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HomeMy WebLinkAboutE - Staff Report - Increased PERS for APMAITEM E TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL VIA: TROY L. BUTZLAFF, ICMA-CM, CITY MANAGER FROM: AMELIA AYALA, DIRECTOR OF HUMAN RESOURCES & RISK MANAGEMENT DATE: JUNE 27, 2016 SUBJECT: ADOPT RESOLUTION NO. 2016-C51 ESTABLISHING THE EMPLOYEE PAID MEMBER CONTRIBUTION UNDER THE CALIFORNIA PUBLIC EMPLOYEES’ RETIREMENT SYSTEM (PERS) FOR THE AZUSA POLICE MANAGEMENT ASSOCIATION (APMA) MEMBERS SUMMARY: Through recent negotiations, the Azusa Police Management Association (APMA) has agreed to have all their members contribute the full nine (9%) percent employee share towards their pension benefit by Fiscal Year 2017-2018. This action approves a resolution establishing the Employee Paid Member Contribution under the California Public Employees’ Retirement System for APMA members. RECOMMENDATION: Staff recommends that the City Council take the following action: 1) Adopt Resolution No. 2016-C51 establishing the Employee Paid Member Contribution under the California Public Employees’ Retirement System for the Azusa Police Management Association (APMA). DISCUSSION: Effective the pay period after ratification, all APMA members will contribute an additional 3% towards the employer’s share of their pension contribution. In Fiscal Year 2016-2017, they will contribute an additional 3% to total 6% cumulatively. In Fiscal Year 2017-2018, they will contribute an additional 3% to total 9% cumulatively. APPROVED SPECIAL MEETING 6/27/2016 Resolution Establishing Employee Paid Member Contribution (APMA) June 27, 2016 Page 2 FISCAL IMPACT: Estimated savings from APMA members paying towards their retirement benefits over the term of the MOU are as follows: FY 2015-16 $4,525; FY 2016-17 $108,380; and FY 2017-18 $165,850. Prepared by: Reviewed and Approved: Louie F. Lacasella Amelia Ayala Management Analyst Director of Human Resources & Risk Management Fiscal Impact Reviewed By: Reviewed and Approved: Talika M. Johnson Troy L. Butzlaff, ICMA-CM Finance Director City Manager Attachments: 1) Resolution No. 2016-C51 ATTACHMENT 1 RESOLUTION NO. 2016-C51 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 POLICE MANAGEMENT ASSOCIATION (APMA) WHEREAS, effective the pay period after ratification all members of the Azusa Police Management Association (APMA) will contribute an additional 3% towards the employer’s share of PERS contribution; and WHEREAS, in fiscal year 2016-2017, all APMA members will contribute an additional 3% to total 6% cumulatively; and WHEREAS, fiscal year 2017-2018, all APMA members will contribute an additional 3% to total 9% cumulatively; and 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 establishing the employee paid member contribution under the California Public Employees’ Retirement System for the Service Azusa Police Management Association (APMA). SECTION 2. That a copy of this Resolution shall be provided to the Azusa Police Management Association (APMA). PASSED, APPROVED and ADOPTED this 27th day of June, 2016. ________________________ Joseph Romero Rocha Mayor ATTEST: ________________________ Jeffrey L. Cornejo, Jr. City Clerk STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss. CITY OF AZUSA ) I HEREBY CERTIFY that the foregoing Resolution No. 2016-C51 was duly adopted by the City Council of the City of Azusa at a regular meeting thereof, held on the 27th day of June, 2016, by the following vote of Council: AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: ___________________________________ Jeffrey L. Cornejo, Jr., City Clerk APPROVED AS TO FORM: ___________________________________ Best Best & Krieger, LLP City Attorney