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HomeMy WebLinkAbout00-80 - Contract Between Board of Admin of PERS and City CouncilRESOLUTION NO. 0 0 - Z—r6 A RESOLUTION OF INTENTION OF THE CITY COUNCIL OF THE CITY OF COSTA MESA, CALIFORNIA, APPROVING AN AMENDMENT TO A CONTRACT BETWEEN THE BOARD OF ADMINISTRATION OF THE PUBLIC EMPLOYEES' RETIREMENT SYSTEM AND THE CITY COUNCIL OF THE CITY OF COSTA MESA. 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 of a resolution by the governing body of the public agency giving notice of its intention to approve an amendment to said contract, which 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 three percent (3%) at 50 Full formula for local police safety members; NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Costa Mesa 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. PASSED AND ADOPTED this 16th day of October, 2000 Mayor of t 7e City of Costa Mesa ATTEST: ---� APPRt"1..VED AS TO FORM Deputy City lerk of the City of Costa Mesa / {TY ATTO -Y STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ss CITY OF COSTA MESA ) I, MARY T. ELLIOTT, Deputy City Clerk and ex -officio Clerk of the City Council of the City of Costa Mesa, hereby certify that the above and foregoing Resolution No. GY - 06 was duly and regularly passed and adopted by the said City Council at a regular meeting thereof held on the, 16th of October, 2000. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Seal of the City of Costa Mesa this 17th .October, 2000. Deputy City Clerk and ex -officio Clerk of the City C ncil of the City of Costa Mesa Ca1PERS EXHIBIT California Public Employees' Retirement System 11� 1 2301 1 1' 1 Between tribe Board ®f Administration California ]Public ]Employees' Retirement System and the City Council City ®f Costa Mesa 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 August 13, 1978, and witnessed August 7, 1978, and as amended effective July 15, 1979, October 25, 1987, October 30, 1992, September 18, 1994, January 4, 1996, June 22, 1998 and June 16, 2000 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 16, 2000, and hereby replaced by the following paragraphs numbered 1 through 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" shall mean age 55 for local miscellaneous members and age 50 for local safety members. 2. Public Agency shall participate in the Public Employees' Retirement System from and after August 13, 1978 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. 9 PLEASE LSO NOT SIGN 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 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). 4. 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 5. Assets heretofore accumulated with respect to members in the local retirement system have been transferred to the Public Employees' Retirement System September 18, 1994 and applied against the liability for prior service incurred thereunder.., That portion of the assets so transferred which represent the accumulated contributions (plus interest thereof) required of the employees under said local system has been credited to the individual membership account of each such employee under the Public Employees' Retirement System. 6. Benefits paid to pensioners or annuitants under the local system on prior to September 18, 1994 shall be continued and paid at their existing rates by the public Employees' Retirement System as authorized by Section 20481 of the Government Code. 7. The percentage of final compensation to be provided for local miscellaneous members for each year of credited prior service is 0% and the percentage of final compensation to be provided for each year of credited current service is 100% and determined in accordance with Section 21354 of said Retirement Law (2% @ age 55 Full). 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 21362 of said Retirement Law (2% at age 50 Full). The employee contribution is 9% of reportable compensation. 9. The percentage of final compensation to be provided for each year of credited prior and current service as a local police member shall be determined in accordance with Section 21362.2 of said Retirement Law (3% at age 50 Full). The employee contribution is 9% of reportable compensation. PLEASE DO HUT QVIGN t9EX d@ff 011,4MLY" 10. Public Agency elected and elects to be subject to the following optional provisions: a. Section 20042 (One -Year Final Compensation). b. Section 20965 (Credit for Unused Sick Leave). C. Sections 21624 and 21626 (Post -Retirement Survivor Allowance). d. Section 21573 (Third Level of 1959 Survivor Benefits) for local miscellaneous members only. e. Section 20903 (Two Years Additional Service Credit) for local miscellaneous members only. f. Section 20938 (Limit Prior Service to Members Employed on Contract Date) for local safety members only. g. Section 21536 (Local System Service Credit Included in Basic Death Benefit) for local safety member only. h. Section 21427 (Improved Nonindustrial Disability Allowance) for local fire members only. Section 21031 (Public Service Credit for Limited Prior Service) for local miscellaneous members only. 11. Public Agency, in accordance with Government Code Section 20834, shall not be considered an "employer" for purposes of the Public Employees' Retirement Law. Contributions of the Public Agency shall be fixed and determined as provided in Government Code Section 20834, and such contributions hereafter made shall be held by the Board as provided in Government Code Section 20834. 12. 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. 13. 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 21573 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 and local safety 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. 13. 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. 14. 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 eMctive on the BOARD OF ADMINISTRATION PUBLIC EMPLOYEESR EMENT SYSTEM BY KENNETH W. M ACTUARIAL & E PUBLIC EMPLA AMENDMENT PERS-CON-702A (Rev. 8\96) ON, CHIEF OYER SERVICES DIVISION 3' RETIREMENT SYSTEM day of , CITY COUNCIL CITY OF COSTA MESA A ' BY PRESIDING.� CER `4 �® Witness Date Attest: Clerk