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HomeMy WebLinkAboutCC RESO 6091t°'gSo).. u i # O RESOLUTION OF INTENTION TO APPROVE 341. la -/ s = 5- 3 M ENDHEIT TO CONTRACT PROVIDING FOR P^.RTICLATION IN STATE EMPLOYEES' RETIREL NT SYSTEM WHEREAS, the State Employees' Retirement Law permits the participation of public agencies in the State Employees' Retirement System, by the execution of a contract making their employees members of said System, and sets forth the procedure by which said public agencies may elect to subject themselves and their employees to amendments to said law, providing for a guaranteed percentage of final compensation for each year of service as "Member", and providing for the portion of compensation to be in- cluded in computations under said law; and WHEREAS, one-step in said procedure is the adoption by the legislative body of the public agency, of a resolution giving notice of its intention to approve an amend- ment to a contract between said governing board and the Board of Administration of said Retirement System, providing for said participation, which said resolution shall contain a summary of the major provisions of the proposed Retirement System; and WHEREAS, the following is a summary of the major provisions of the proposed Retirement System: 1. The System is administered by a board of eightmembers, composed of three members of the System, an official of a bank, an official of a Tire insurance company, the Director of Finance, a member of the State Personnel Board, and an official of the University of California. 2. Retirement for service is optional upon attainment of age 55 by lo- cal firemen and local policemen, and age 60 or age 55 at the election of the Public Agency, by other employees, and completion of twenty years of service for the Public Agency, and is compulsory at age 65 for local firemen and local policemen, and at age 70 for other employees. 3. The monthly retirement allowance payable upon retirement for service is dependent upon such factors as age, sex, salary and years of ser- vice. For local firemen and local policemen, retiring at age 55 in paragraph 2, or at a higher age with 20 years of service, the month- ly allowance is approximately one-half the average monthly salary during the five years immediately preceding retirement, unless the Public Agency elects to provide prior service benefits at less than the full amount. For other Agency employees, the monthly allowance, upon retirement at age 65 if the Agency elects 60 as the lowest op- tional service retirement age, is approximately 1/70th of the aver- age monthly salary during the five years immediately preceding retirement, for each year of service after the effective date of participation, plus approximately 1/70th, or -less as may be pro- vided in said contract by the Public Agency for its employees, of "final compensation" or of the average monthly salary during the three years immediately preceding the effective date of partici- pation, for each year of service prior to that date. Upon retire- ment at age 60, if the agency elects 55 as the lowest optional service retirement age, the fraction is approximately 1/60th instead of 1/70th. F 122d - 1 (Guar. % & Comp.) 10-50 Zt. A minimum service retirement allowance of $40 per month is guaranteed upon retirement at age 70 with credit for service rendered prior to said effective date, if the Public Agency elects age 60 as the lowest optional service retirement age, or a minimum allowance of $60 per month upon retirement at age 65 or over with twenty years of service, or upon retirement at age 70 with credit for prior service, if the Pub- lic Agency elects age 55 as the lowest optional service retirement age. 5. Retirement for disability, except in the case of local firemen and lo- cal policemen disabled from injury arising out of and in the course of employment, is permitted only after ten years of service and upon proof of incapacity for the performance of duty. 6. The monthly retirement allowance payable upon disability retirement, described in preceding item 5, is dependent upon such factors as age, salary and years of service, but generally is equal to 90% of 1/70th,. or 1/60th as the case may be, of the average monthly salary during the five gears immediately preceding retirement, for each year of service, with a guarantee of 25% of said salary, subject to certain restrictions and modifications. 7. Disability retirement of local firemen and local policemen, in the event of disability arising out of and in the course of employment, is permitted regardless of age and service, the.mont.ly retirement allowance be.ing one-half the average monthly salary curing the five years immediately preceding retirement. 8. The benefit payable at death before retirement, except in the case of local firemen and local policemen dying from injury arising -cut of and in the course of -employment, consists of the contributions of the member plus interest, and plus 1/12th of the mem'�er's annual salary during the year immediately preceding death, for each year, not ex- ceeding six years, of service as a :member of the System. Upon death after retirement, and at the election of the Public Agency, a bene- fit of $00 is payable. 9. The monthly allowance payable to the widow and children, at the death, of local firemen and local policemen arising out of and in the course of employment, is one-half the average monthly salary during the five years immediately preceding death. 10. The benefit upon separation from service by other cause than death or retirement, is the refund of the member's contributions, with in- terest. Members having accumulated contributions of at le-.st $500. upon resignation or discharge, may elect irrevocably within ninety days, to leave contributions in the Retirement Fund, and then upc:n reaching the lowest optional service retirement age cr becoming Ois- abled, to be entitled to receive such retirement allowance as will be provided by their and the Agency's contributions and their credited service, regardless of service rendered. F 122d - 2 (Guar. & Comp.) 10-50 11. Contributions required of local firemen and local policemen, without credit for prior service, depend upon salary and upon age of entry into the -Retirement System, the contributions per $100 of salary varying from $7.63 at entry age 21, to $114.35 at entry age 35. Contributions of firemen and policemen having credit for prior service depend on salary, entry age, and amount of prior service, the amount of contribu- tions per $100 being $16.33 for example, at entry age 54, with 19 years of prior service. 12. For other Agency employees, the contributions depend upon -salary, sex and age of entry into the Retirement System, the contributions per $100 of salary varying from $4.62 at age 20, to $7.99. at age 64, for men, and from $5.36 at age 20, to $9.45 at age 64, for women, all based on the Public Agency's election of age 60 as the lowest optional service retirement age. If the Public Agency elects age 55 as the lowest op- tional service retirement age, the contributions per $100 of salary vary from $7.36 at age 20, to $10.88 at age 59, for men, and from $8.35 at age 20, to $12.81 at age 59, for women. 13. The Agency is required to contribute the balance of funds necessary to meet the cost of the benefits provided under the Retirement System for the Agency employees. The Agency also is required to pay its propor- tionate share of the administrative costs of the System. 14. Ability of the Retirement System to pay benefits is safeguarded by a provision authorizing the Board of Administration to revise contribu- tions of both employees and the Agency, in the light of experience under the System. BE IT RESOLVED, that the of (dame of Governing Body) , give, and it hereby gives notice of inten- (Name of .Public Agency) tion to approve an amendment to the contract between said (Name of Governing Body) and the Board of Administration of the State Employees' Retirement System, providing for the participation of said in said Retire- (Name of Public Agency) went System, a copy of said amendment being attached hereto, marked "Exhibit A", and by reference made a part hereof. , 19 (Date Adopted and Approved (Name of Governing Body) (Name of Public Agency) of (Title) F122d - 3 (Guar. % & Comp.) PASSED AND ADOPTED by the City Council of the City of National City, California, this ljth December , 19 53 day of , by the following vote, to -wit: AYES: Councilmen Campbell, Carrigan, Moeser, Parchen, Sarn NAYS: Councilmen None ABSENT: None ATTEST: City Clerk. Mayor of the City of National City, California. I hereby approve the foregoing Resolution , this l5th day of December 19 53 3Piriaiiz Mayor of the City of National City, California. hereby certify that the above and foregoing is a full and true copy of Resolution I No 1. Ordinance of the Resolutions 1 of the City of National City, California, as adopted by the City Council of said Ordinances City, and approved by the Mayor of said City, on the day of 19 City Clerk of the City of National City, California. Deputy