HomeMy WebLinkAbout01-19 - Contract between the Board of Admin of PERS and City CouncilRESOLUTION NO. 61-1(7
A RESOLUTION OF INTENTION OF THE CITY COUNCIL OF
THE CITY OF COSTA MESA, CALIFORNIA, TO APPROVE
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 Section 21363.1 (3% at 55 Full formula) for
local fire 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 19th day of March, 2001
ATTEST:
Deputy City rk of the City of Costa Mesa
STATE OF CALIFORNIA )
COUNTY OF ORANGE ) ss
CITY OF COSTA MESA )
Mayor of the City of Costa Mesa
APPROVED AS TO FORM`
/dam
CITY , NEY
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. O I - / was duly and regularly passed and adopted by the said
City Council at a regular meeting thereof held on the 19th of March, 2001.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Seal of
the City of Costa Mesa this 201h March, 2000.
C.
I
Deputy Ci Clerk and ex -officio Clerk of
the City C uncil of the City of Costa Mesa
CaIPERS
California
Public Employees' Retirement System
Between the
Board of Administration
EXHIBIT
California Public Employees' Retirement System
a nd ttlhte
City Council.
City of 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 Jusy 15, 1979,
October 25, 1987, October 30, 1992, September 18, 1994, January 4, 1996, June 22,
1998, June 16, 2000 and December 31, 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 December 31, 2000, and hereby replaced by the following paragraphs
numbered -1 through 15 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 55 for local fire
members, and age 50 for local police 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.
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 membersin 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 or
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 police member shall be
determined in accordance with Section 21362.2 of said Retirement Law
(3% at age 50 Full). The required member contribution rate 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 fire member shall be
determined in accordance with Section 21363.1 of said Retirement Law
(3% at age 55 Full). The required member contribution rate is 9% of
reportable compensation.
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 members only.
h. Section 21427 (Improved Nonindustrial Disability Allowance) for
. local fire members only.
i. 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 members 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.
14. 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.
15. 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 day of
BOARD OF ADMINISTRATION CITY COUNCIL
PUBLIC EMPLOYEES' RETIREMENT SYSTEM CITY OF COSTA MESA
BY
KENNETH W. MARZION, CHIEF
ACTUARIAL & EMPLOYER SERVICES DIVISION
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
AMENDMENT
PERS-CON-702A (Rev. 8\96)
BY
PRESIDING OFFICER
Witness Date
Attest:
Clerk