Loading...
HomeMy WebLinkAboutResolution No. 3694A Resolution No. 3694 RESOLUTION OF INTENTION TO APPROVE AN AMENDMENT TO THE CONTRACT BETWEEN THE BOARD OF ADMINISTRATION OF THE STATE EMPLOYEES' RETIREMENT SYSTEM AND THE CITY COUNCIL OF THE CITY OF AZUSA WHEREAS, the State Employees' Retirement Law permits the participation of public agencies and their employees in the State Employees' Retirement System by the execution of a contract, and sets forth the procedure by which said public agencies may elect to subject themselves and their employees to amendments to said law; and WHEREAS, Section 21702 of the Government Code provides that a contract between a public agency and the Board of Administration may be amended to modify benefits and adjust contributions if the California State Social Security Agreement of March 9, 1951, is modified to include employees of the public agency in positions covered by the System; and WHEREAS, Retirement System members in police type positions are not generally eligible for Federal Old -Age, Survivors, and Disability Insurance coverage, and therefore must be separated from the Retirement System members whose benefits from the System are to be reduced in connection with the establishment of Old -Age, Survivors, and Disability Insurance coverage; and WHEREAS, Federal and State law permit the present members (other than policemen and firemen) of a retirement system to choose individually whether they wish to be covered by Federal Old -Age, Survivors, and Disability Insurance; and WHEREAS, it is the intention of this governing body to allow employees of this agency to exercise such choice and, further, to provide an appropriately modified program of retirement system benefits and contributions for such employees as elect to be covered by Federal Old -Age, Survivors, and Disability Insurance; and WHEREAS, it is required that an election be held among members of the system before members may be given such choice; and WHEREAS, one step required in procedures for contract amendment is the adoption by the governing body of a public agency of a Resolution of Intention giving notice of intention to amend its contract with the Board of Administration, which Resolution shall contain a summary of the major changes to be made in the retirement plan; and Ret. Form 989-1 0 WHEREAS, the following is a summary of the major changes to be accomplished by said amendment: A. Miscellaneous members of the retirement system shall be divided into two groups as follows: Group A shall consist of those members who, on division date, do not elect to be covered by Federal Old-Age,'Survivors, and Disability Insurance; Group B,shall consist of: 1. All members who choose to be covered by Federal Old - Age, Survivors, and Disability Insurance; 2. All employees who are not miscellaneous members on'the date the retirement system is divided, but who become miscellaneous members thereafter; 3. All Group A members who terminate their membership after separation from employment and thereafter re-enter employment and become miscellaneous members; and 4. All future employees who become miscellaneous members. B. Benefits for local safety and miscellaneous Group A members shall not be changed by this amendment nor shall there be any change in benefits of miscellaneous Group B members on account of service prior to the effectivity of membership in the Group B classification. Benefits earned and rates of contribution on account of service thereafter shall be changed as follows: 1. The retirement allowance per year of service for a miscellaneous Group B member upon retirement at age 60 shall be 1/90 of "final compensation" up to and including $350.00 per month and 1/60 of such "final compensation" as is in excess of $350.00 per month. 2. Any miscellaneous Group B member retiring for service before age 65 who is fully insured under Federal Old -Age, Survivors, and Disability Insurance may elect to have the actuarial equivalent of his unmodified service retirement allowance paid in two parts as follows: a. A temporary annuity which shall not exceed the primary Social Security benefit which it is anticipated the member will be entitled to receive at age 65, plus b. A life income such as may be provided by the remaining actuarial value of his service retirement allowance. Ret. Form 989-2 3. The contributions to be made by a miscellaneous Group B member with respect to compensation for such service equal to or less than $350.00 per month (or its equivalent for other than monthly pay periods) shall be two-thirds of the rate which would other- wise apply to such members. 4. Benefits payable for death and disability shall not be affected or modified by modifications in the retirement allowance payable upon retirement for service. NOW, THEREFORE, BE IT RESOLVED, That the CITY COUNCIL of the CITY OF AZUSA gives, and it does hereby give notice of intention to amend its contract between said CITY COUNCIL and the BOARD OF ADMINISTRATION of the State Employees' Retirement System to provide for a modification of benefits and adjustment of rates, a copy of said amendment being attached hereto marked "Exhibit A," and by this reference made a part hereof; and be it further RESOLVED, That written explanatory statements be furnished to each employee who is or may become a retirement system member affected by these changes, which statements shall contain a summary of the proposed changes and a notice that an election on the proposed changes and on the question whether members shall be permitted to choose individually whether to be covered under O.A.S.D.I., will be held among eligible employees; and be it further RESOLVED, That such election is hereby authorized to be conducted not less than fifteen nor more than thirty days after issuance of such explanatory statements, and that James Miller Name and Title of Local Official is hereby designated and appointed to conduct such election in accordance with law, regulations, and this resolution, including the issuance of proper explanatory statements and notices to eligible employees. CITY COUNCIL of the CITY OF AZUSA By Name December 2nd 1957 Date adopted and approved) MAYOR OF THE CITY OF AZUSA . Title Ret. Form 989-3 I hereby certify that the foregoing resolution was duly and regularly adopted by the City Council of the City of Azusa at a regular _ meeting of said Council of said Circ; held in the regular council chambers of said City Council in said City. December 2 195_7_ and that the same was passed by the -following vote of the Council: AYES: COUNCILMEN: Ortuno,, Romero, Johnson, Mem esheimer NOES: COUNCILMEN: ABSENT: COUNCILMEN:: Fawcett lt;T Clerk, City of P.zusa