HomeMy WebLinkAbout1982-09-07; City Council; 7153; Amend Public Employees Retirement System ContractCITI .)F CARLSBAD - AGENDA .SILL
ABM % TITLE: DEPT. HD. J
MTp. 9�7/82 AMENDING PUBLIC EMPLOYEES' RETIRI:MENT CITY ATT1f,)
PER SYSTEM CONTRACT CITY MG1R.
DEPT.� —
RECOMMENDED ACTION:
1. Adopt Resolution of Intention to amend PERS contract,
Resolution No. I?Oo�
2. Introduce Ordinance No. L2,57, amending the PERS contract
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for Police and Fire Safety Employees.
ITEM EXPLANATION
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In 1979 the City Council agreed to amend the contract with the
Public Employees' Retirement Sustem (PERS) for police and fire
employees to include the additional service credit for ur,r-.>ed
sick leave provisions.
The City Council needs to take two actions to implement the
proposed revisions to the retirement contract; adoption of a
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resolution of intention and introduction of the ordinance
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amend the contract.
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Cost information will be made public at a sc:: ;A+pled r:,uncil meeting
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in compliance with Section 7507 of the Government Code.
FISCAL IMPACT
Presently the city contributes an amount equal to 24.302% of
salary for PERS retirement for each police and fire safety
employee at an annual cost of approximately $682,712. The
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addition of the above retirement provision will increase the
city's retirement contribution rate to 24.552%, ait increase in
the rate of .250% or approximately $1,706.78 annually.
EXHIBIT
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1. Resolution of Intention to amend PERS contract,
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Resolution No. O os
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2. Ordinance No. amending the PERS contract for
Police and Fire Safety Employees.
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RFSQiI1TT0\ 7005 f"° il;: is
RESOLUTION OF INTENTION TO APPROVE All
AMENDMENT TO CONTRACT BETWEEN THE
BOARD OF ADMINISTRATION OF THE
PUBLIC EMPLOYEES' RETIRENEUT SYSTEM
AND THE
CITY COUNCIL
OF THE
CITY OF CARLSBAD
WHEREAS, the Public Employees' Retirement Law permits the participation of
public agencies and their employees i the Public Employees'
Rotiremont System by the execution of a contract, and sets forth the
procedure by which said public agencies may elect to subject them-
selves and their employees to amendments to said Law; and
WHEREAS. onq.of the steps in the procedure to amend this contract is the
adoption by the legislative body of the public agency of a resolu-
tion giving notice of its intention to approve an amendment to said
contract, r:hich resolution shall contain a summary of the change
proposed in said contract; and
WHEREAS, the following is a statement of the proposed change:
To provide Section 20862.8 (Credit for unused nick
leave) for local safety members only.
VOW, THEREFORE, BE IT RESOLVED, that the governing body of the above agency
gives, and it does hereby give notice of intention to approve an
amendment to the contract betireen the said governing body and the
Board of Administration of the Public Employees' Retirement System,
a copy of said amendment being attached hereto, as an "Exhibit" and
by this reference made a part hereof.
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Date adopted and approved
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BY \..� c5� •u'�-t
VANE
Mayer
('TITLE
Ret. Form 122
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ORDINANCE NO.
AN ORDINANCE OF THE CITY COUNCIL OF TIIE CITY
OF CARLSBAD, CALIFORNIA AUTHORIZING AN AMEND-
MENT TO TIIE CONTRACT BETWEEN CITY COUNCIL
AND THE BOARD OF ADMINISTRATION OF THE CALI-
FORNIA PUBLIC EMPLOYEES` RETIREMENT SYSTEM.
The City Council of the City of Carlsbad does ordain as follows:
SECTION 1. That an amendment to the Contract between the
City Council of the City of Carlsbad and -the Board of Administra-
tion, California Public Employees` Retirement System is hereby
authorized a copy of said amendment being attached hereto, marked
"Exhibit A", and by such reference made a part hereof as though
herein set out in full.
SECTION 2. The Mayor of the City of Carlsbad is hereby
authorized, empowered, and directed to execute said amendment for
and on behalf of said Agency.
SECTION 3. This Ordinance shall take effect 30 days after
the date of its adoption, and prior to the expiration of 15 days
from the adoption thereof shall be published at least once in the
Carlsbad Journal, a newspaper of general circulation, published
and circulated in the City of Carlsbad and thenceforth and
thereafter the same shall be in full force and effect.
INTRODUCED AND FIRST READ at a regular meeting of the
Carlsbad City Council held on the 7th day of September ,
1982,, and thereafter. `
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PASSED, APPROVED, AND ADOPTED at a regular meeting of the
City Council of the City of Carlsbad, California, on the 21st
day of Se tepber , 1982, by the following vote, to wit:
AYES: Council Numbers Casler, Lewis, and Anear
NOES: None
ABSENT: Council k• e n --rs Chicle and Y.u-lchin %
MARX H. CASLUR, Mayor
ATTEST:
ALETHA L. RAUTENY.RANZ, City Clerl
(SEAL)
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2.
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PLEASE DO NOT SIGN " WIMIT MY"
AMENDMENT TO CONTRACT BETWEEN THE
BOARD OF ADMINISTRATION
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
AND THE
CITY COUNCIL
OF THE
CITY OF CARLSBAD
The Board of Administration, Public Employees' Retirement System, herein-
after referred to as Board, and the governing body of above public agency,
hereinafter referred to as Public Agency, having entered into a contract under
date of December 23, 1955, effective January 1, 1956, and as amended effective
July 1, 1957, January 1, 1959, March 5, 1959, March 18, 1975, April 1, 1975,
August 18, 1977, June 21, 1980, January 1, 1981 and June 21, 1982, which
provides for participation of Public Agency in said'Syssem, Board and Public
Agency hereby agree as follows:
A. Paragraphs 1 through 10 are hereby stricken from said contract as executed
effective June 21, 1982, and hereby replaced by the following paragraphs
numbered 1 through 10 inclusive:
1., All words and terms used herein which are defined in the Public
Employees' Retirement Law shall have the meaning as defined therein
unless otherwise specifically provided. "Normal retirement age" stall
mean age 60 for local miscellaneous and age 50 for local safety
members.
2. Public Agency shall participate in the.Public Employees' Retirement
System from and after January 1, 1956 making its employees as
hereinafter provided, members of said System subject to all provisions
of the Public Employees' Retirement Law except such as apply only on
election of a contracting agency and are not provided for herein and
to all amendments to said Law hereafter enacted except such as by
express provisions thereof apply only on the election of contracting
agencies.
3. Employees of Public Agency in the following classes shall become
.members of said Retirement System except such in each such class as
are excluded by law or this agracment:
a. Local Firemen (herein referred to as local safety members);
b. Local Policemen (herein referred to as local safety members);
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c. Employoes other than local safety members (herein referred to as
local miscellaneous members).
In addition to the classes of employees excluded from membership by
said Retirement Law, the following classes of employees shall not
become members of said Retirement System:
NO ADDITIONAL EXCLUSIONS
4. The fraction of final compensation to be provided for loca.t
miscellaneous members for each year of credited prior and eu rrent
service shall be that provided in Section 21251.13 subject to the
reduction provided therein for service on or after June 1, 1958 and
prior to December 31, 1980 for members whose service has been included
in Federal Social Security.
5. The fraction of final compensation to be provided for each year of
credited prior and current service as a local safety member shall be
determined in accordance with Section 21252.01 of said Retirement Law
(2% at age 50 Full).
} 6. The following additional provisions of the Public Employees'
Retirement Law which apply only upon election of a contracting agency
shall apply to the Public Agency and its employees:
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a. Section 20952.E (Age 50 voluntary retirement) for local safety
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members only.
b. Sections-21263/21263.1 (Post -retirement survivor allowance).
c. Section 20020 ("Local Policemen" shalt include persons assigned
to identification and communication duties in the Police Depart-
ment who are not now local safety members and who were in such
employment on August 4, 1972, who elected safety membership
within 60 days of the contract amendment dated March 18, 1975):
d. Section 20862.8 (unused sick leave credit).
e. Sections 21380-21387, (1959 Survivors Program), excluding Section
21382.2 (Increased 1959 Survivors benefits), for local safety
members only.
t f. Section 20024.2 (One-year final compensation), for local
miscellaneous members only.
g. Section 21298 (Increased non -industrial disability allowance),
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for local miscellaneous members only.
b. Sections 21380-21387; including Section 21382.2 (1959 Survivors
Program with increased benefits), for local miscellaneous members
only.
7. Public Agency, in accordance with Section 20740, Government Code,
ceased to be an "employer" for purposes of Chapter 6 of the Public
- Employees' Retirement Law effective on August 1,8, 1977. Accumulated
contributions of Public Agency as of the aforementioned date shall be
fixed and determined as provided in Section 20759, Government Code,
and accumulated contributions as of the aforementioned date and
contributions thereafter made shall be held by the Hoard as provided
in Section 20759, Government Code.
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PLEASE DO NOT SIGN "EXHIBIT aNIY"
8. Public Agency shall contribute to said Retirement. Syste:a ar! fo U ows:
a. With respect to miscellaneous members, the agency shrill con-
tribute the following percentages of monthly salaries earned as
miscellaneous members of said Retirement System:
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(1) 0.006 percent until June 30, 2000 on account of the
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liability for prior service benefits.
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(2) 12.495 percent on account of the liability for current
service benefits.
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(2) 0.400 percent on account of the xiability for the 1959
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Survivor Program.
b. With respect to local safety members, the agency shall contribute
the following percentages of monthly salaries earned as local
safety members of said Retirement System:
(1) 0.039 percent until June 30, 2000 on account of the
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liability for prior service benefits. '
(2) 24.513 percent on account of the liability for current
service benefits.
C. A reasonable amount per annum, as fixed by the Board to cover the
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costs of ad__inistering said System as it affects the employees of ;
Public Agency, not including the costs of special valuations or ;
of the periodic investigation and valuations required by taw.
d. A reasonable amount as fixed by the Board, payable in one install-
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ment as the occasions arise, to cover the costs of special valua-
tions on account of employees of Public Agency, and costs of the
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periodic investigation and valuations required by law. i
9. Contributions required of Public Agency and its employees shall be
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subject to adjustment by Board on account of amendments to the Public 1
Employees' Retirement Law, and on account of the experience under the
Retirement System as determined by the periodic investigation and
valuation required by said Retirement Law.
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10. Contributions required of Public Agency and its employees shall be
paid by Public Agency to the Retirement System within thirty days
after the end of the period to which said contributions refer or as
may be prescribed by Board regulation. If more or less than the
correct amount of contributions is paid for any period, proper
adjustment shall be made in connection with subsequent remittances, or f
adjustments on account of errors in contributions required of any +
employee may be made by direct cash payments between the employee and p
the Board. Payments by Public Agency to Board may be made in the form
of warrants, bank checks, bank drafts, certifidd checks, money orders
or cash.
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B. This amendment shall be attached to said contract and shall be effective on
the day of _ _
1 Witness our hands the _ day of
f BOARD OF ADMINISTRATION CITY COUNCIL
' PUBLIC EMPLOYEES' RETIREMENT SYSTEM OF THE
CITY OF. CARI,SBAD
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BY — BY
Carl J. Blechinger, Executive Officer Presi n� Officer
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Approved as to form: Attest:
en-chia G. Besemer, Legal Office, Date Clerk
# PERS CON-702