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HomeMy WebLinkAbout09 ASSEMBLY BILL 2561 COMPLIANCE Agenda Item_______ Reviewed: AGENDA REPORT City Manager_______ Finance Director_______ MEETING DATE:JANUARY 20, 2026 TO:ALDO E. SCHINDLER, CITY MANAGER FROM:DERICK YASUDA, DIRECTOR OF HUMAN RESOURCES SUBJECT:ASSEMBLY BILL 2561 COMPLIANCE SUMMARY: Pursuant toGovernment Code section 3502.3, public agencies are required to present the status of their vacancies and recruitment and retention efforts in a public hearing at least once per fiscal year. This presentation ensures compliancewith the law. RECOMMENDATION: Receive and file. FISCAL IMPACT: There is no fiscal impact associated with this item. CORRELATION TO THE STRATEGIC PLAN: This item correlates to Goal B (Public Safety and Protection of Assets) and Goal E (Organizational Excellence and Customer Service) byproviding information on the City’s ability to recruit and retain talented staffto ensure Tustin is an attractive, safe, and well-maintained community in which people feel pride. BACKGROUND AND DISCUSSION: On September 22, 2024, Governor Newsom signed into law Assembly Bill 2561 (AB 2561), which amends the Meyers-Milias-Brown Act (MMBA) effective January 1, 2025 to create a new obligation for public agencies to publicly present at least once per fiscal year on the status of their vacant positions and the agency’s efforts to recruit and retain employees. In passing AB 2561, the State Legislature declared a) job vacancies in local government are a widespread and significant problem for the public sector across a range of occupations, b) high job vacancies impact public service delivery and impact employees by imposing heavier workloads, leading to burnout and increased turnover that further exacerbate staffing challenges, City Council AgendaReport Assembly Bill 2561 Compliance January 20, 2026 Page 2 and c) there is statewide interest in ensuring public agencies are appropriately staffed and high vacancies do not undermine public employee labor relations. AB 2561 also added section 3502.3 to Government Code, which creates new reporting obligations for all public agencies related to their staffing. A public agency must present the status of their position vacancies and recruitment and retention efforts during a public hearing before the agency’s governing body at least once per fiscal year. During the presentation, the public agency must identify any necessary changes to policies, procedures, and recruitment activities that may lead to obstacles in the hiring process. If the governing body will be adopting an annual or multi-year budget during the fiscal year, the presentation must be made prior to the adoption of the final budget.In addition, the recognized employee organization for each bargaining unit is allowed to make their own presentation to the governing body during the same public hearing if they wish. Recognized employee organizations have beennotified of this agenda item and, upon request, will be provided an opportunity to address the City Council during the public hearing. Public agencies have additional obligations if the number of job vacancies within any particular bargaining unit meets or exceeds 20% of the total number of authorized full-time positions for that bargaining unit. In these situations, upon request of the bargaining unit’s recognized employee organization, the public agency is required to provide additional related information during the presentation: the total number of vacancies within the bargaining unit, the total number of applicants for vacant positions within the bargaining unit, the average number of days to complete the hiring process from when a position is posted, and opportunities to improve compensation and other working conditions. Vacant Positions The City currently has 333.50 authorized budgeted positions across all departments (including one half-time position). As of January 1, 2026, the City has 27.50 total vacancies, for a vacancy rate of 8.2%. Recruitment efforts are ongoing to fill these vacant positions. Current vacancy rates for each represented employee bargaining unit and unrepresented employee group are listed below. No bargaining units have a vacancy rate at or above 20%. Represented Employees Bargaining Unit Vacancies Authorized Vacancy Positions Rate Tustin Municipal Employees Association (TMEA) 11.5 106.50 10.8% Tustin Police Officers Association – Police 0.028.0 0.0% Management Unit (TPMA) Tustin Police Officers Association – Police Officer 4.076.0 5.3% Unit (TPOA) Tustin Police Support Services Association 9.047.0 19.1% (TPSSA) City Council AgendaReport Assembly Bill 2561 Compliance January 20, 2026 Page 3 Tustin Police Support Services Management 0.09.0 0.0% Association (TPSSMA) Unrepresented Employees Employee Group Vacancies Authorized Vacancy Positions Rate Confidential 0.0 7.0 0.0% Executive Management0.0 9.0 0.0% Management 3.0 41.0 7.3% Supervisory0.010.00.0% The City also employs a number of unrepresented part-time non-benefitted employees in temporary or seasonal positions (primarily to support Parks and Recreation programs). The staffing of part-time non-benefitted employees varies throughout the year based on the City’s needs, therefore in contrast to regular City positions, part-time non-benefittedpositions are budgeted by total dollars, not by a specific number of authorized positions. As a result, there are no vacantpart-time non-benefitted positions. Recruitment and Retention Efforts Vacancies occur on a regular basis for a variety of reasons, including retirement,seeking employment elsewhere in the public or private sector, or failing to meet the City’s standards and expectations for job performance. When a vacancy exists, Human Resources staff collaborates with the impacted City department to determine the most effective way to fill the position. The City’s recruitment process is flexible and adaptable based on the specific type of job and the circumstances surrounding the vacant position. For example, the City may conduct an open recruitment using City staff or through an executive recruiter, conduct an internal promotional recruitment if a pool of well-qualified internal candidates exists, keep recruitments for hard-to-fill positions open on a continuous basis rather than on a limited timeline, or use a targeted recruitment and selection process to expedite the hiring of a qualified candidate without a traditional recruitment process. The City generally posts job opportunities on the City’s website, which is synced with governmentjobs.com, a leading online recruitment source for local government positions. The City also posts job announcements on industry-specific websites, Careers in Government (a recruitment site focused on public sector jobs), and general job sites such as Indeed. The City has also recently increased its presence on social media by utilizing LinkedIn to post frequent updates on employment opportunities and to spotlight employees who are newly hired or promoted from within. Like most public agencies throughout the state, the City has experienced challenges recruiting and retaining high quality employees in recent years. Contributing factors include competition with the private sector, negative perception of government, retirements due to aging of the City Council AgendaReport Assembly Bill 2561 Compliance January 20, 2026 Page 4 workforce, generational changesand evolving employee expectations, high cost of living in the region, reduced pension benefits for newer employees due to changes in state law, and the City’s budgetary constraintsand limits on the compensation that can be provided. The City continuously reviews our policies, procedures, and recruitment activities to identify potential obstacles and improve staffing outcomes. With the full support of the City Council, the City has made a concerted effort in recent years toimprove recruitment and retentionof employees through a number of actions: Communicating and collaborating with employee association representatives to understand the concerns of their members and address them to the extent possible Conducting total compensation surveys to evaluate the City’s position in the local labor market for various positions Negotiating multi-year agreements with represented employee bargaining units that improve the City’s compensation package in ways that are designed to improve recruitment, retention, and morale Trying new approaches for especially difficult to fill positions, such as hiring incentive pilot programs for lateral Police Officersand Police Communications Officers Evaluating and updating job classifications and position requirements to reflect current needs and market trends Expediting the hiring process when feasible Increasing the number of authorized budgeted positions Implementing a formal telecommuting program for eligible positions Offering alternative work schedules with compressed work weeks (e.g. 9/80, 4/10, 3/12.5) Investing additional resources in staff development and employee appreciation programs Going forward, the City will continue to evaluate employee recruitment and retention and make changes as necessary to ensure the City has the talent necessary to provide outstanding service to the Tustin community. _____________________ Derick Yasuda Director of Human Resources