HomeMy WebLinkAboutResolution No. 11-C76RESOLUTION NO.11-C76
RESOLUTION OF INTENTION TO APPROVE AN AMENDMENT TO
CONTRACT BETWEEN THE BOARD OF ADMINISTRATION
CALIFORNIA PUBLIC EMPLOYEES' RETIREMENT SYSTEM AND
THE CITY COUNCIL CITY OF AZUSA
WHEREAS, the Public Employees' Retirement Law permits the participation of
public agencies and their employees in the Public 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, one of the steps in the procedures to amend this contract is the
adoption by the governing body of the public agency of a resolution giving notice of its
intention to approve an amendment to said contract, which resolution shall contain a
summary of a change proposed in said contract; and
WHEREAS, the following is a statement of the proposed change:
To provide Section 20475 (Different Level of Benefits).
Section 21363.1 (3% @ 55 Full formula) is applicable to
local safety police members entering membership for the
first time in the safety police classification after the effective
date of the amendment to contract.
NOW, THEREFORE, BE IT RESOLVED that:
Section 1. The governing body of the above agency
does hereby give notice of intention to approve an amendment to the
contract between said public agency 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.
Section 2. The City Clerk shall certify to the adoption of the Resolution.
APPROVE AND ADOPTED this 7ch day of November, 2011
//
/Joseph R. Rocha, Mayor
I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the City
Council of the City of Azusa at a regular meeting thereof, held on the 7`h day of
November, 2011 by the following vote of Council:
AYES:
AGENCY MEMBERS:
GONZALES, CARRILLO, MACIAS, HANK, ROCHA
NOES:
AGENCY MEMBERS:
NONE
ABSTAIN:
AGENCY MEMBERS:
NONE
ABSENT: Y MEMBERS:
NONE
,OCA
era en oza,
City Clerk
3.;
EXHOT
California
Public Employees' Retirement System
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Between the
Board of Administration
California Public Employees' Retirement System
and the
City Council
City of Azusa
The Board of Administration, California Public Employees' Retirement System,
hereinafter referred to as Board, and the governing body of the above public agency,
hereinafter referred to as Public Agency, having entered into a contract effective
January 1, 1949, and witnessed December 20, 1948, and as amended effective July 1,
1956, September 1, 1958, March 2, 1959, May 1, 1"960, September 3, 1967, December
22, 1968, July 15, 1973, April 20, 1975; January 18, 1981, Juiy 1, 1984, January 12,
1986, February 7, 1988, November 27, 1988, April 5, 1994, June 30, 1995, April 4,
1996, July 14, 1996, May 8, 1997, June 17, 1997 and June 24, 2001 which provides for
participation of Public Agency in said System, Board and Public Agency hereby agree
as follows:
A. Paragraphs 1 through 14 are hereby stricken from said contract as executed
effective June 24, 2001, and hereby replaced by the following paragraphs
numbered 1 through 1'6 inclusive:
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" shall mean
age 55 for local miscellaneous members, age 50 for local police members
entering membership in the police classification on or prior to the effective
date of this amendment to contract, and age 55 for local fire members and
for those local police members entering membership in the police
classification after the effective date of this contract.
Public Agency shall participate in the Public Employees' Retirement
System from and after January 1, 1949 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 those, which by
express provisions thereof, apply only on the election of a contracting
agency.
3. Public Agency agrees to indemnify, defend and hold harmless the
California Public Employees' Retirement System (CaIPERS) and its
trustees, agents and employees, the CaIPERS Board of Administration,
and the California Public Employees' Retirement Fund from any claims,
demands, actions, losses, liabilities, damages, judgments, expenses and
costs, including but not limited to interest, penalties and attorneys fees
that may arise as a result of any of the following:
(a) Public Agency's election to provide retirement benefits,
provisions or formulas under this Contract that are different than
the retirement benefits, provisions or formulas provided under
the Public Agency's prior non-CaIPERS retirement program.
(b) Public Agency's election to amend this Contract fo provide
retirement benefits, provisions or formulas that are different than
existing retirement benefits, provisions or formulas.
(c) Public Agency's agreement with a.third party other than
CaIPERS to provide retirement benefits, provisions, or formulas
that are different than the retirement benefits, provisions or
formulas provided under this Contract and provided for under
the California Public°Employees' Retirement Law.
(d) Public Agency's election to file for bankruptcy under Chapter 9
(commencing with section 901) of Title 11 of the United States
Bankruptcy Code and/or Public Agency's election to reject this
Contract with the CaIPERS Board of Administration pursuant to
section 365, of Title 11, of the United States Bankruptcy Code
or any similar provision of law.
(e) Public Agency's election to assign this Contract without the prior
written consent of the CaIPERS' Board of Administration.
(f) The termination of this Contract either voluntarily by request of
Public Agency or involuntarily pursuant to the Public Employees
Retirement Law.
(g) Changes sponsored by Public Agency in existing retirement
benefits, provisions or formulas made as a result of
amendments, additions or deletions to California statute or to
the California Constitution.
4. 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 agreement:
a. Local Fire Fighters (herein referred to as local safety members);
b. Local Police Officers (herein referred to as local safety members);
C. Employees 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
6. Prior to January 1, 1975, those members who were hired by Public
Agency on a temporary and/or seasonal basis not to exceed 6 months
were excluded from PERS membership by contract. Government Code
Section 20336 superseded this contract' provision by providing that any
such temporary and/or seasonal employees are excluded from PERS
.membership subsequent to January 1, 1975. Legislation repealed and
replaced said Section with Government Code Section 20305 effective July
1, 1994.
7. The percentage of final compensation to be provided for each year of
credited prior and current service for local miscellaneous members shall
be determined in accordance with Section 21354. of said Retirement. Law,
subject to the reduction provided therein for service on and after January
1, 1956, the effective date of Social Security coverage, and prior to March
31, 1975, termination of Social Security, for members whose service has
been included in Federal Social Security (2% at age 55 Full and Modified).
8. The percentage of final compensation to be provided for each year of
credited prior and current service as a local fire member shall be
determined in accordance with Section 21366 of said Retirement Law
(One-half pay at age 55 Full).
9. The percentage of final compensation to be provided for each year of
credited prior and current service as a local police member entering
membership in the police classification on or prior to the effective date of
this amendment to contract shall be determined in accordance with
Section 21362.2 of said Retirement Law (3%.at age 50 Full).
10. The percentage of final compensation to be provided for each year of
credited current service as a local police member entering membership for
the first time in the police classification after the effective date of this
amendment to contract shall be determined in accordance with Section
21363.1 of said Retirement Law (3% at age 55 Full).
11. Public Agency elected and elects to be subject to the following optional
provisions:
a. Sections 21624, 21626 and 21628 (Post -Retirement Survivor
Allowance).
b. Section 21574 (Fourth Level of 1959 Survivor Benefits) for local
miscellaneous members and local police members only.
C. Section 20042 (One -Year Final Compensation) for local police
members only.
d. Section 20903 (Two Years Additional Service Credit).
e. Section 20965 (Credit for Unused Sick Leave) for local
miscellaneous members and local police members only.
f. Section 20692 (Employer Paid Member Contributions Converted to
Payrate During the Final Compensation Period) for local
miscellaneous members and local police members in the following
groups and for the specified percentage:
7% Local miscellaneous members.
9% Local police members.
g. Section 20475 (Different Level of Benefits). Section 21363.1 (3%
@ 55 Full formula) is applicable to local police members entering
membership for the first time in the police classification after the
effective date of this amendment to contract.
`
12. Public Agency, in accordance with Government Code Section 20790,
ceased to be an "employer' for purposes of Section 20834 effective on
November 27, 1988. Accumulated contributions of Public Agency shall be
fixed and determined as provided in Government Code Section 20834,
and accumulated contributions thereafter shall be held by the Board as
provided in Government Code Section 20834.
13. Public Agency shall contribute to said Retirement. System the contributions
determined by actuarial valuations of prior and future service liability with
respect to local miscellaneous members and local safety members of said
Retirement System.
14. Public Agency shall also contribute to said Retirement System as follows:
a. Contributions required per covered member on account of the 1959
Survivor Benefits provided under Section 21574 of said Retirement
Law. (Subject to annual change.) In addition, all assets and
liabilities of Public Agency and its employees shall be pooled in a
single account, based on term insurance rates, for survivors of all
local miscellaneous members and local police members.
b. A reasonable amount, as fixed by the Board, payable in one
installment within 60 days of date of contract to cover the costs of
administering 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 law.
C. A reasonable. amount, as fixed by the Board, payable in one
installment as the occasions arise, to cover the costs of special
valuations on account of employees of Public Agency, and costs of
the periodic investigation and valuations required by law.
15. Contributions required of Public Agency and its employees shall be
subject to adjustment by Board on account of amendments to the Public
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.
16. Contributions required of Public Agency and its employees shall be paid
by Public Agency to the Retirement System within fifteen 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. Adjustments on account of
errors in contributions required of any employee may be made by direct
payments between the employee and the Board.
B. This amendment shall be effective on the
BOARD OF ADMINISTRATION
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
BY
DARRYL WATSON, CHIEF
CUSTOMER ACCOUNT SERVi ES DIVISION
PUBLIC EMPLOYEES' RETIREkENT)SYSTEM
J 1,
i
AMENDMENT CAPERS ID #4050337614
PERS-CON-702A
day of
CITY COUNCIL
CITY OF AZUSA
IYA
PRESIDING OFFICER
Witness Date
Attest:
Clerk
CALIFORNIA PUBLIC EMPLOYEES' RETIREMENT SYSTEM
Actuarial and Employer Services Branch
Public Agency Contract Services
P.O. Box 942709
Sacramento, CA 94229-2709
(888) CalPERS (225-7377)
CERTIFICATION OF COMPLIANCE WITH
GOVERNMENT CODE SECTION 7507
I hereby certify that in accordance with Section 7507 of the Government Code
the future annual costs as determined by the System Actuary for the
increase/change in retirement benefit(s) have been made public at a public meeting
of the
CITY COUNCIL ofthe
(governing body)
CITY OF AZUSA
(public agency)
on SEPTEMBER 6, 2011 which is at least two weeks prior to the adoption of the
(date)
Resolution / Ordinance.
Adoption of the retirement benefit increase/change will not be placed on the consent
calendar.
Clerk/Secretary V
Title r;t-Y cjork
Date 11/15/11
PERS-CON-12A (rev. 1196)
CALIFORNIA PUBLIC EMPLOYEES' RETIREMENT SYSTEM
Actuarial and Employer Services Branch
Public Agency Contract Services
P.O. Box 942709
Sacramento, CA 94229-2709
(888) CalPERS (225-7377)
CERTIFICATION OF GOVERNING BODY'S ACTION
I hereby certify that the foregoing is a true and correct copy of a Resolution adopted by the
CITY COUNCIL ofthe
(governing body)
CITY OF AZUSA
(public agency)
on 1115/11
(date)
Clerk/Secretary
Title
PERS-CON-12 (rev. 1/96)
City Clerk