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Home My WebLink AboutReso 97-222 - Approve an Amendment to Contract Between the Board of Admin of teh Public Empl Retirement System & the City Council of COR � - � . • , � � RESOLUTION NO. 97- ZZ Z' A RESOLUTION OF THE CiTY COUNCIL OF THE CITY OF REDDING OF INTENTION TO APPROVE AN AMENDMEIVT TO CONTRACT BETWEEN THE BOARD OF ADMINISTRATION OF THE PUBLIC EMPLOYEES' RETIREMENT SYSTEM AND THE CITY COUNCIL OF THE CITY OF REDDING. 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 arnendments to said Law; and � WHEREAS,one of the steps in the procedures to amend this contract is the adoption by the governing body of the public agency of a resolution 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 ofthe proposed change: To provide 2%� @ 55 Full and Modified formula for local miscellaneous members. NOW, THEREFORE, IT IS HEREBY RESOLVED that the City Council of the City of Redding 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. I HEREBY CERTIFY that the foregoing Resolution was introduced, read, and adopted at a regular meeting of the City Council of the City of Redding on the 16"' day of December, 1997, by the following vote: AYES: COUNCIL MEMBERS: Anderson, Kehoe, McGeorge and Murray NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None ABSTAIN: COUNCIL MEMBERS: None r, i � KEI�� RRA , yor � ATTEST: FORM APPROVED: � z �� .�� CON�1�� STROHMA R, City Clerk W. LEONARD WIN E, City Attorney � N D:\W OR K\COiIN('IL\pers.res.wpd _. .......... _ #�_.� ... �:r.• r •c.:•c::• �-: •t -••:, `_:'.<:::+f...�•...s �...,•.:`�•..!....� �..��._�.;. � i..�.a �::_.�. ' . � � • EXHIBIT AMENDMENT TO CONTRACT BETWEEN THE BOARD OF ADMINISTRATION OF THE PUBLIC EMPLOYEES' RETIREMENT SYSTEM AND THE CITY COUNCIL OF THE CITY OF REDDING The Board of Administration, Public Employees' Retirement System, hereinafter referred to as Board, and the governing body of above public agency, hereinafter referred to as Public Agency, having entered into a contract effective January 19 1954, and witnessed December 8, 1953, and as amended effective October 1, 1956, June 1, 1962, March 21, 1965, October 27, 1968, January 1, 1969, December 19, 1971, February l, 1974, December 26, 1976, July 1, 1977, November 26, 1978, April 1, 1979, July 6, 1980, July 5, 1981, January 3, 1982, March 27, 1983, June 30, 1985, June 29, 1986, December l, 1989, January 6, 1995 and May 19, 1995 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 May 19, 1995, and hereby replaced by the following paragraphs numbered 1 through 14 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 far local miscellaneous members and age 50 for local safety members. 2. Public Agency shall participate in the Public Employees' Retirement System from and after January 1, 1954 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); _.,,..�._;r:::• -;�•,;�c::�s:::. j..�`.., , . �...} ,' : ' ...' ; . ... + �...�. ��'{.��._+•...3 •..'� ... ' ... � ! ...�i:... Y ' , . • . � "�� d�.� �'t r- �� . - �' '�.s"Y 1'`��' r ��- i y� € � ! �.#, 1 �i s� .f�� 1��!1 � �t� U P 1�R�,�P1 �.,��,�� 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. Prior to January 1, 1975, those members who were hired by Public Agency on a temporary and/or seasonal basis not to exceed 6 months were excluded from PERS membership by contract. Government Code Section 20336 superseded this contract provision by providing that any such temporary and/or seasonal employees are excluded from PERS membership subsequent to January 1, 1975. Legislation repealed and replaced said Section with Government Code Section 20305 effective July 1, 1994. 6. This contract shall be a continuation of the benefits of the contract of the Cascade Community Services District and the Enterprise Public Utility District hereinafter referred to as "Former Agency", pursuant to Section 20508 of the Government Code, Former Agencies having ceased to exist and succeeded by Public Agency on June 23, 1976 and December 22, 1976, respectively. Public Agency, by this contract amendment dated July 1, 1977, assumes the accumulated contributions and assets derived therefrom and liability for prior and current service under Former Agency's contracts with respect to the Former Agency's employees. Legislation repealed Section 20508, Statutes of 1949, effective January l, 1988. 7. The percentage of final compensation to be provided for local miscellaneous members far each year of credited prior and current service shall be determined in accordance with Section 21354 of said Retirement Law, subject to the reduction provided therein for service on and after January 1, 1969, the effective date of Social Security coverage, and prior to December 31, 1981, termination of Social Security, for members whose service has been included in Federal Social Security (2% at age 55 Full and Modified). 8. The percentage of final compensation to be provided for each year of credited prior and current service as a local safety member shall be determined in accordance with Section 21362 of said Retirement Law(2% at age 50 Full). 9. Public Agency elected and elects to be subject to the following optional provisions: a. Section 21222.2 (Special 5% Increase-1971). Legislation repealed said Section effective January 1, 1980. b. Section 21024 (Military Service Credit as Public Service), Statutes of 1974. _........ ,_. +_:!'...;4'lI:C �� .;�t:.: .... j! i F'� ' ...v . ` ,-' ...• •...� ...�•..S �...�•..�•..!�...+ �..� .i. � '...�.. '..�•... ., , �• r • :; .. ,,.. .... ; : w.:s �v �.,, - , + �`�� '�� sT�� ! �f�i'� �r�!i��l � �i�'��, c. Section 21024 (Military Service Credit as Public Service), Statutes of 1976. d. Section 20965 (Credit for Unused Sick Leave). e. Section 20042 (One-Year Final Compensation). £ Sections 21624, 21626 and 21628 (Post-Retirement Survivor Allowance). g. Section 21427 (Improved Non-Industrial Disability Allowance) for local safety members only. h. Section 20614, Statutes of 1978, (Reduction of Normal Member Contribution Rate). From November 26, 1978 and until March 31, 1979, the normal local miscelaneous member and local safety member contribution rate shall be reduced by 1%; from April 1, 1979 through July S, 1980, the normal local miscellaneous member and local safety member contributions rates shall be reduced by 2%; from July 6, 980 through January 2, 1982, the normal local miscellaneous member contribution rate shall be reduced by 3%; and from July 6, 1980 through March 26, 1983, the normal local safety member contribution rate shall be reduced by 3%. Legislation repealed said Section effective September 29, 1980. i. Section 20690, Statutes of 1980, (To Prospectively Revoke Section 20614, Statutes of 1978). j. Section 21573 (Third Level of 1959 Survivor Benefits). 10. Public Agency, in accordance with Government Code Section 20790, ceased to be an "employer" for purposes of Section 20834 effective on December 26, 1976. 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. 11. 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. 12. Public Agency shall also contribute to said Retirement System as follows: a. Per covered member, $1,50 per month on account of the liability for 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. ��=�"�°f:��t::; :;.�;:;;�s:;:;�:;;; ;:;F;:-;�� ;:::� :i ;�;,::�. ' . ., , � • � � 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 dire.t�payments between the employee and the Board. � :a` ��'� ��''�, B. This amendment shall be effectiv��n�the day of , 19 ��Y:�''`� O ;�y � \`S�� 4 ` ^v.�i�� °�•��,�-'��• BOARD OF ADMINISTRATION �� CITY COUNCIL �`•°y�. PUBLIC EMPLOYEES' RETIRE�ENT SYSTEM OF THE r,��°� �;�ti�' CITY OF REDDING 4��' t;;;:�� '�4 a R � ,Y BY �,�� BY �;°,`,,, KENNETH W. MARZT�IN, CHIEF PRESIDING OFFIC�R� ACTUARIAL & EIVIPLOYER SERVICES DIVISION `«`��"� PUBLIC EMPLOYEES' RETIREMENT SYSTEM �°``,`� �V Witness Date Attest: Clerk AMENDMENT PERS-CON-702A(Rev.8\96) :YA�:.:,,...��::. ..;;;....�c:�r.:� . ,, ...., . _.��...�f...��._+ '...�:..»F•...� �...��..�i i� i...3.:. ..�{;:..