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HomeMy WebLinkAboutE-10 Staff Report - Increased PERS for IBEWCONSENT ITEM E-10 TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL VIA: DON PENMAN, INTERIM CITY MANAGER FROM: TANYA BRAGG, DIRECTOR OF HUMAN RESOURCES & RISK MANAGEMENT DATE: DECEMBER 4, 2017 SUBJECT: ADOPT RESOLUTION NO. 2017-C76 ESTABLISHING THE EMPLOYEE PAID MEMBER CONTRIBUTION UNDER THE CALIFORNIA PUBLIC EMPLOYEES’ RETIREMENT SYSTEM FOR THE AZUSA INTERNATIONAL BROTHERHOOD ELECTRICAL WORKERS (IBEW) SUMMARY: Through recent negotiations, the Azusa International Brotherhood Electrical Workers (IBEW) agreed to have all their members contribute an additional two (2%) percent towards the employee share of their pension benefit. This action approves a resolution establishing the Employee Paid Member Contribution under the California Public Employees’ Retirement System for International Brotherhood Electrical Workers (IBEW) members. RECOMMENDATION: Staff recommends the City Council take the following action: 1) Adopt Resolution No. 2017-C76 establishing the Employee Paid Member Contribution under the California Public Employees’ Retirement System for the Azusa International Brotherhood Electrical Workers (IBEW). DISCUSSION: Effective December 17, 2017 (second pay period in December), all IBEW members will contribute an additional 2% towards the employer’s share of their pension contribution. FISCAL IMPACT: Estimated savings from IBEW members paying towards their retirement benefits over the term of the MOU is $428,899. APPROVED CITY COUNCIL 12/4/2017 Prepared by: Fiscal Impact Reviewed by: Tanya Bragg Talika Johnson Director of Human Resources & Risk Management Finance Director Reviewed and Approved: Reviewed and Approved: Louie F. Lacasella Don Penman Senior Management Analyst Interim City Manager Attachments: 1) Resolution No. 2017-C76 RESOLUTION NO. 2017-C76 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF AZUSA ESTABLISHING THE EMPLOYEE PAID MEMBER CONTRIBUTION UNDER THE CALIFORNIA PUBLIC EMPLOYEES’ RETIREMENT SYSTEM FOR THE AZUSA INTERNATIONAL BROTHERHOOD ELECTRICAL WORKERS (IBEW) WHEREAS, all Local 18 of the International Brotherhood Electrical Workers (IBEW) members are currently contributing 5% towards their employer’s share of PERS contribution; and WHEREAS, effective December 17, 2017 (second pay period in December 2017), all IBEW members will contribute an additional 2% towards their employee share of PERS contribution; and WHEREAS, beginning in fiscal year 2017-2018, all IBEW members will contribute a total of 7% of their employee share. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Azusa does hereby find, determine and declare as follows: SECTION 1. That the City Council adopts the Resolution increasing the employee paid member contribution under the California Public Employees’ Retirement System for the Azusa IBEW. RESOLVED FURTHER that a copy of this Resolution shall be provided to the Azusa International Brotherhood Electrical Workers (IBEW). PASSED, APPROVED and ADOPTED this 4th day of December, 2017. ___________________________________ Joseph Romero Rocha Mayor ATTEST: ___________________________________ Jeffrey Lawrence Cornejo, Jr. City Clerk STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss. Attachment 1 CITY OF AZUSA ) I HEREBY CERTIFY that the foregoing Resolution No. _____ was duly adopted by the City Council of the City of Azusa at a regular meeting thereof, held on the 4th day of December, 2017, by the following vote of Council: AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: ___________________________________ Jeffrey Lawrence Cornejo, Jr., City Clerk APPROVED AS TO FORM: ___________________________________ Best Best & Krieger, LLP City Attorney