Chelsea City Council endorses a three-year agreement to boost wages, improve retirement benefits, and add a new holiday for local police officers.

At its September 3, 2024 meeting, the Chelsea City Council unanimously approved a new collective bargaining agreement between the City of Chelsea and the Police Officers Association of Michigan (POAM). This agreement, effective from July 1, 2024, to June 30, 2027, was described by City Manager Martin Colburn as essential to ensuring that the city’s law enforcement officers remain fairly compensated and well-supported.

Key Provisions of the Agreement

City Manager Colburn provided an overview of the seven key points included in the new contract:

1. Wage Increases for Officers: The agreement includes a 5% wage increase for all police officers each year over the three-year term. This measure aims to keep the city competitive in retaining and attracting officers. “This is to ensure we remain competitive in an increasingly expensive area like Washtenaw County,” explained Colburn. “The wage increase also reflects our recognition of the vital role these officers play in maintaining public safety.”
2. Special Wage Increase for Sergeants: Sergeants will receive a 6% wage increase each year. Colburn emphasized that this specific provision is meant to retain experienced personnel. “We want to encourage our key people, who are already trained and invested in the community, to stay with us,” he said.
3. Retirement Contributions Enhanced: Effective July 1, 2024, the city will increase its contribution to the defined contribution retirement plan by 1.25%. “This follows a similar increase we made for other city employees,” Colburn noted. He also explained that this plan, which is different from the traditional pension plans, helps maintain financial stability for both the city and its employees.
4. Voluntary Additional Contributions: Employees can now voluntarily contribute an additional 2% per year to their retirement plans. This new feature is designed to provide flexibility for employees looking to increase their retirement savings.
5. Removal of Bottom-Tier Salary for New Hires: The agreement eliminates the lowest tier of entry-level salaries to make positions more attractive to new recruits. “This is about encouraging young people to apply and ensuring we remain competitive with similar-sized cities,” Colburn explained.
6. Addition of Juneteenth Holiday: Juneteenth, a federal holiday commemorating the end of slavery in the United States, will now be officially recognized as a paid holiday for city employees. “We want to ensure consistency among our staff and also reflect the values of the community as a whole,” said Colburn.
7. Flexibility for Special Days Off: Employees can now choose between taking their hiring anniversary day or their birthday off as a paid day. Colburn described this as a “logical” change, aimed at providing flexibility given the challenges of maintaining adequate staffing levels.

Council’s Approval and Budget Considerations

The new agreement was ratified by the POAM Local on August 19, 2024, and subsequently forwarded to the Chelsea City Council for final approval. The council’s decision to approve the contract was unanimous, with no opposition or abstentions.

“This agreement is designed to retain experienced officers, attract new talent, and maintain competitive compensation while being mindful of the city’s budget constraints,” Colburn summarized.