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Home My WebLink AboutReso. 1986 - 105 - Initiating its intention to approve an amendment to the contract between the board of administration of the public employees retirement system • 111 RESOLUTION NO. 5-(6-716) J� A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING INITIATING ITS INTENTION TO APPROVE AN AMENDMENT TO THE CONTRACT BETWEEN THE BOARD OF ADMINISTRATION OF THE PUBLIC EMPLOYEES ' RETIREMENT SYSTEM AND THE CITY COUNCIL OF THE CITY OF REDDING. Y 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 c- oo c rn J . agencies may elect to subject themselves and their employees to w cn amendments to said law; and V .may Lc) n Co `i WHEREAS , one of the steps in the procedure to amend this IZT contract is the adoption by the legislative 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 of the proposed change : To provide 2% @ 50 Full formula (from 1/2 @ 55 Full formula) for local fire members only. NOW, THEREFORE, BE IT 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 governing body and the Board of Administration of the Public Employees ' Retirement System, a copy of which amendment is attached hereto as Exhibit "A" and made a part hereof by reference. I HEREBY CERTIFY that the foregoing Resolution was introduced and read at a regular meeting of the City Council of the City of Redding on the 5th day of MaY , 1986 , and was duly adopted at said meeting by the following vote: AYES: COUNCIL MEMBERS: Carter, Dahl , Gard, Johannessen, & Fulton NOES: COUNCIL MEMBERS: None ABSENT: COUNCIL MEMBERS: None ABSTAIN: COUNCIL MEMBERS: None LEE D. FULTON, M.D. , Mayor City of Redding ATTEST: ETHEL A. NICHOLS, City Clerk FORM APPROVED: RA DALL A. HAYS, City Attorney -2- • 0 AMENDMENT TO CONTRACT BETWEEN THE 4 BOARD OF ADMINISTRATION OF THE PUBLIC EMPLOYEES' RETIREMENT SYSTEM • AND THE • CITY CLTNCIL OF THE • pie,qCITY OF REDDING se AoA! The Board of Administration, Pubi 9 loyees' Retirement System, hereinafter referred to as Board, and the govern+sf(/Vo4 of above public agency, herein- after referred to as Public Agency, having �d into a contract effective January 1 , 1954, and witnessed December 8, 1953'; Ta��AAs amended effective October 1 , 1956, June 1, 1962, March 21, 1965, Octo'&J017, 1968, January 1, 1969, December 19, 1971, February 1, 1974, December 26, 1976, July 1, 1977, November 26, 1978, April 1, 1979, July 6, 1980, July 5, 1981, JAluary 3, 1982, March 27, 1983 and June 30, 1985, which provides for participation of Public Agency in said System, Board and Public Agency hereby agree as follows: A. Paragraphs 1 through 15 are hereby stricken from said contract as executed effective June 30, 1985, and hereby replaced by the following paragraphs numbered 1 through 13 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 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 olf a contract- ing agency. 3. Employees of Public Agency in the following classes shall become members of said Retirement System except such in each such class az 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). • I EXHIBIT "A" • • • 4. In additicktii�(�a classes of employees excluded from membership by said Retiremen KL he following classes of employees shall not become members of sai pti.r ement System: G ta NO ADDITIONAL hips. 5. Prior to January 1 , 1975, those members whd ere 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 supersedes this contract provision by providing that any such temporary and/or seasonal employees are excluded from PERS membership subsequent to January 1 , 1975. 6. This contract shall be the continuation of the benefits of the contracts of the Cascade Community Services District and the Enterprise Public Utility District, hereinafter referred to as "Former Agencies", pursuant to Section 20567.1 of the Government Code. Former Agencies having ceased to exist and been 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 the Former Agencies' contract with respect to the Former Agencies' employees. 7. The fraction of final compensation to be provided for local miscel— laneous members for each year of credited prior and current service shall be determined in accordance with Section 21251 .13;1 subject to the reduction provided therein for service on or after January 1 , 1969 and prior to December 31, 1981 for members whose service has been included in Federal Social Security (2% 0 60 Full and Modified). 8. The fraction 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 21252.01 of said Retirement Law (2% at age 50 Full). 9. The following additional provisions of the Public Employees' Retirement Law, which apply only upon election of a contracting agency, shall apply to the Public Agency and its employees: a. Section 21222. 1 (Special 5% Increase — 1970). Legi3laticI repealed said Section effective JanuL: •y 1 , 380. b. Section 20930.3 (Military Service Credit), as defined in Chapter 1437, Statutes of 1974. c. Section 20930.3 (Military Service Credit) , as defined in Chapter 830, Statutes of 1976. d. Section 20862.8 (Unused Sick Leave Credit). • e. Section 20024.2 (One-Year Final Compensation). f. Section . 4541 21263. 1 and 21263.3 (Post-Retirement Survivor Allowance). 40 �, Q epg. Section 21298 (Incre sni. i, strial Disability Allowance) for those members who retired on n. "101 rial disabikLity after June 14, 1975, for local safety members o l 1y#r h. Section 20614, Statutes of 1978, (Reduction of Normal Member Contribution Rate). From November 26, 1978 through March 31 , 1979, the normal local miscellaneous and local safety members contribution rates shall be reduced by 1%; from April 1, 1979 through July 5, 1980, the normal local miscellaneous and local safety members contribution rates shall be reduced by 2%; from July 6, 1980 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%. i. Sections 21380 - 21387 (1959 Survivor Program) including Section 21382.2 (Increased 1959 Survivor Benefits). j. Section 20614, Statutes of 1980, (To Prospectively Revoke Section 20( 14, Statutes of 1978). 10. Public Agency, in accordance with Government Code Sectioin 20740, ceased to be an "employer" for purposes of Section 20759 effective on December 26, 1976. Accumulated contributions of Public �Agency shall be fixed and determined as provided in Government Code Section 20759, and accumulated contributions thereafter shall be held by the Board as provided in Government Code Section 20759. 11 . Public Agency shall contribute to said Retirement System as follows: a. With respect to local miscellaneous members, the agency shall contribute the following percentages of salaries earned as members of said Retirement System: (1 ' 1 .461 percent until June 30, 2000 on account of the for prior service benefits. (Subject to annual change. ) (2) 11.601 percent until June 30, 2000 on account of the liability for current service benefits. (Subject to annual change. ) • • Pt SE b. With respect to �w `E)pa. ety members, the agency shall contribute the following percentdge aries earned as members of said Retirement System: ej/7/8/1. ( 1 ) 1.020 percent until June 30, 2000 onaccount hof the liability for prior service benefits. (Subject to annual change. ) (2) 24.457 percent until June 30, 2000 on account of the liability for current service benefits. (Subject to annual change. ) c. A reasonable amount, as fixed by the Board, payable in one in- stallment 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. d. A reasonable amount, as fixed by the Board, payable in one in- stallment 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. 12. Contributions required of Public Agency and its employees shall be subject to adjustment by Board on account of amendments Ito the Public Employees' Retirement Law, and on account of the experience under the Retirement System as determined by the periodic investig1ation and valuation required by said Retirement Law. 13. Contributions required of Public Agency and its employees shall be paid by Public Agency to the Retirement System within thirty 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 wi':h sut ;equent rmit`ances. Adjustments on accoun-- of :rorsI_i contr _butions 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 19 • BOARD OF ADMINISTRATION CITY COUNCIL PUBLIC EMPLOYEES' RETIREMENT SYSTEM OF THE CITY OF REDDING P/FASe oQq, BY 9 yOr s/c , BY SIDNEY C. McCAUSLAND, " �7/Presiding Officer EXECUTIVE OFFICER B/1 j yra Witness Date Approved as to form: Attest: 4).74, Legal Office, Date Clerk Date PERS-CON-702 (AMENDMENT) (Rev. 9/85)