HomeMy WebLinkAboutCC ORD 2011-2360 Amendment to PERS 2%@60 Full Formula Benefit for Miscellaneous Members Entering Membership for the First-TimeORDINANCE NO. 2011 — 2360
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF NATIONAL CITY
AUTHORIZING AN AMENDMENT TO THE CONTRACT BETWEEN
THE CITY OF NATIONAL CITY AND THE BOARD OF ADMINISTRATION
OF THE CALIFORNIA PUBLIC EMPLOYEES' RETIREMENT SYSTEM
TO PROVIDE FOR A 2% @ 60 FULL FORMULA BENEFIT FOR
MISCELLANEOUS MEMBERS ENTERING MEMBERSHIP FOR THE FIRST TIME
The City Council of the City of National City does ordain as follows:
Section 1. That an Amendment to the Contract between the City of National City and
the Board of Administration, California Public Employees' Retirement System is hereby
authorized, a copy of said amendment being attached hereto, marked as Exhibit "A", and by
such reference made a part hereof as though herein set out in full.
Section 2. The Mayor is hereby authorized, empowered, and directed to execute
said Amendment for and on behalf of the City of National City.
Section 3. This Ordinance shall take effect 30 days after the date of its adoption, and
prior to the expiration of 15 days from the passage thereof shall be published at least once in
the San Diego Union Tribune, a newspaper of general circulation, published and circulated in
the City of National City, and thenceforth and thereafter the same shall be in full force and
effect.
PASSED and ADOPTED this 15th day of February, 2011.
on Morrison, Mayor
ATTEST:
Michael R. Dalla City Clerk
APROVED A TO FORM:
dia . Silv
City Attorn
A
CalPERS
California
Public Employees' Retirement System
•
•EXHIBIT A
ZUMMITUVIENT To OCONECRACT
Between the
Board of Administration
California Public Employees' Retirement System
and the
City Council
City of National. City
• The Board of Administration, Califomia 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 July 1,
1948, and witnessed May 1, 1948, and as amended effective March 1, 1954, July 1,
1954, April 1, 1956, April 1, 1970, December 1, 1972, September 28, 1973, October 1,
1973, March 1, 1974, October 1, 1974, January 16, 1977, October 16, 1978, October 1,
1980, July 16, 1983, January 1, 1985, December 27, 1988, December 12, 1989,
November 15, 1991, December 27, 1991, June 11, 199:3, May 2, 1996, July 9, 2002,
September 17, 2002, July 6, 2004 and January 27, 2009, and March 18, 2010 which
provides for participation of Public, Agency in said System, Board and Public Agency
hereby agree as follows:
A. Paragraphs 1 through 17 are hereby stricken from said contract as executed
effective March 18, 2010, and hereby replaced by the following paragraphs
numbered 1 through 18 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 60 for local miscellaneous members, age 50 for local fire
members; age 50 for local police members entering membership in the
police classification on or prior to March 18, 2010; and age 55 for local
police members entering, membership for the first time in the. police
classification after March 18, 2010-
EPS' DO
Public Agency shall participate in the Public Employees' Retirement
System from and after July 1, 1948 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.
Public Agency agrees to indemnify, defend and hold harmless the
CalifotniaPub]icEmproyees' Retirement'System (CalPERS) and its
ttustees,. agents and employees, the CaIPERS Board of Administration,
and theaCalifomia 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 differentthan
the retirement benefits, provisions or formulas provided under
the Public Agency's prior non-CalPERS retirement program.
(b) Public Agency'selection to amend this Contract to 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 for nuias
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 1 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 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.
Changes sponsored by Public Agency in existing retirement
benefits, provisions or formulas made as a result of
amendments, -additions or deletions to California statuteor to
the California Constitution.
PLEASE DO NOT SIGN " Y
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);
. 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 followingclasses of employees shall not become
members of said Retirement System:
NO ADDITIONAL EXCLUSIONS
Prior to January 1, 1975, those members who were hired by Public
Agency on a temporary andlor seasonal basis not to exceed 6 months
were excluded from PERS membership by contract. Govemment Code
Section 20305 supersedes this contract provision by providing that any
such temporary and/or seasonal employees are excluded from PERS
membership subsequent to January 1, 1975.
This contract shall be a continuation of the contract of the Community
Development Commission of the. City of National City, hereinafter referred.
to as "Former Agency".: The accumulated contributions, assets and
liability for prior and current service under the Former Agency's contract
shall" be merged pursuant to Section 20508 of the Govemment Code.
Suchmerger occurred March 20, 2008.
The percentage of final compensation to be provided for each year of
credited prior and current service as a local miscellaneous member in
employment before and not onor after September 1.7, 2002 shall be
deterrnined in accordance With Section 21354 of said Retirement Law
(2% at age 55 Full).
The percentage of final: compensation to be provided for each year of
:credited prior and current service as a local miscellaneous member in
employment on or after September 17, 2002 and not entering membership
for .the first time inthe miscellaneous classification after the effective: date .
of this amendment to contract shall be determined in accordance with
Section 21354.3 of said Retirement Law (3% at age 60 Full).
..PLEASE DO NOT SIGN "EX::
10.. The percentage of final compensation to be provided for each year of
credited current service as a local miscellaneous member entering
membership for the first time in the miscellaneous classification after the
effective date of this amendment to contract shall be determined in
accordance with Section 21353. of said Retirement Law (2% at age 460
Pull).
11. The percentage of final compensation to to provided for each year of
credited prior and current service as a local fire member and 'for those
local police members entering membership in the policeclassification; on
or prior to. March 18, 2010 shall be det.,erniined in aocordaflQe withSeation
21362.2 of said Retirement.Law<3% at age50full).
12. 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 March 18, 2010 shall be
determined in accordance with Section 21363.1 of said Retirement Law
(3% at age 55 Full).
13 . Public Agency elected and elms to be subject to the following .optional
provisions:
a. Section .20425 ("Local Police Offioer" shall include employees of a
police- department -who -were -employed -to -perform identification -or
c.
communicationduties on August 4, 1972 and who elected to be
local safety members).
Section 21222.1 .(One -Time 5% .Increase 1970). Legislation
repealed saidSection effective January 1, 1980.
Sections 21624 and 2.1626 (Post -Retirement Survivor Allowance).
Section 21573 (Third Level of 1959 Survivor Benefits).
e.. Section 20965<Credit for Unused Sick Leave). ,
Section : 21325. (One -Time 3% to 15%o Increase For Local
Miscellaneous Members Who Retired or Died Prior to January 1,
1974). Legislation repealed said Section effective JanUai y.1, 2002.
Section 20042 (One-Yearfinal Compensation).
Section 20903 (Two Years Additional Service Credit).
r'LL -tUa DO- N'_
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 March
18, 2010/and
Section 21353 (2% @ 60 Full formula) is applicable to local
miscellaneous. members entering membership for the first time in
the miscellaneous classification after the effective date of this
amendment to contract.
14. Public. Agency, in accordance with Government Code Section 20790,
ceased to be an "employer" for purposes of Section 20834 effective on
January 16, 1977. 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.
15. 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.
.16. .Public Agency shall also contribute to said Retirement System as follows:
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 pooledin a
single account, based on term insurance rates, for survivors of all
local miscellaneous members and local safety members.
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.
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.
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.
18. Contributionsrequired of Public Agency and its employees shall tie 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 forany period, proper adjustment shall be made in
connection with subsequent remittances. Adjustments on account of
errors in contributions required of any employee may be madeby direct
payments between the employee and the Board.
B. This amendment shall be effectiye on the day of
BOARD OF ADMIINIIRTMTION
PUBLIC EMPLOYE6S' RETIREMENT SYSTEM
1-1-
BY
LORI MCGARTLANKCHIEF
EMPLOYER SERVICA DIVISION
PUBLICEMPLOYEEETIREMENT SYSTEM
Attest:
ITYCOUNCIL
CITY OF NATIQJAL.CITY
r--
yr
PRESIDING O.tICER
C)
ter,
Witness Date F;`a
rr
Clerk
Passed and adopted by the Council of the City of National City, California, on February
15, 2011 by the following vote, to -wit:
Ayes: Councilmembers Morrison, Natividad, Rios, Sotelo-Solis, Zarate.
Nays: None.
Absent: None.
Abstain: None.
AUTHENTICATED BY: RON MORRISON
By:
Mayor of the City of National City, California
4
City CI rk of the City National City, California
Deputy
I HEREBY CERTIFY that the foregoing ordinance was not finally adopted until seven
calendar days had elapsed between the day of its introduction and the day of its final
passage, to wit, on January 11, 2011 and on February 15, 2011.
I FURTHER CERTIFY THAT said ordinance was read in full prior to its final passage or
that the reading of said ordinance in full was dispensed with by a vote of not less than a
majority of the members elected to the Council and that there was available for the
consideration of each member of the Council and the public prior to the day of its
passage a written or printed copy of said ordinance.
I FURTHER CERTIFY that the above and foregoing is a full, true and correct copy of
ORDINANCE NO. 2011-2360 of the City Council of the City of National City, passed
and adopted by the Council of said City on February 15, 2011.
City Clerk of the City of National City, California
By:
Deputy