HomeMy WebLinkAboutORD-03-01 Amend CalPERS Contract- 3% @ 50 Retirement for Safety EmployeesORDINANCE NO. 3-
01 AN ORDINANCE OF THE CITY COUNCIL OF
THE CITY OF ORANGE AMENDING THE
CONTRACT BETWEEN THE BOARD OF ADMINISTRATION
OF THE CALIFORNIA PUBLIC
EMPLOYEES'RETIREMENT SYSTEM AND THE CITY
OF ORANGE TO PROVIDE THE 3% @
50 RETIREMENT PROGRAM FOR THE CITY'
S SAFETY
EMPLOYEES.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, the City of Orange desires to amend its contract pursuant to
Government Code Section 21362.2, to provide the 3% @ 50 Full formula for local safety
members;NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF
ORANGE HEREBY ORDAINS AS
FOLLOWS:SECTION
I:That an amendment to the contract between the City Council of the City of Orange
and the Board of Administration of the California Public Employees' Retirement System is
hereby authorized, a copy of said amendment being attached hereto, marked Exhibit "A" and by
such reference made a part hereof as though herein set out in
full.SE4CTION
II:The Mayor of the City Council is hereby authorized, empowered and directed to
execute said amendment for and on behalf of the City of
Orange.SECTION
III:A summary of this Ordinance shall be published and a certified copy of the full text
of this Ordinance shall be posted in the Office of the City Clerk at least five (5) days prior to
the City Council meeting at which this Ordinance is to be adopted. A summary of this
Ordinance shall also be published once within (15) days after this Ordinance's passage in a newspaper
of general circulation, published, and circulated in the City of Orange. The City Clerk shall post
in the Office of the City Clerk a certified copy of the full text of such adopted Ordinance along
with the names of those City Council members voting for and against the Ordinance in
accordance with Government Code Section 36933. This Ordinance shall take effect thirty (30) days
from and after the date of its final
ADOPTED this 13th day of March, 2001.
Ml!!urvhY'Ma or
ATTEST:
u~...A2u~~ _
Cassandra 1. Cathc , CIty Clerk ofthe CIty of Orange
STATE OF CALIFORNIA)
COUNTY OF ORANGE )
CITY OF ORANGE )
I, CASSANDRA J. CATHCART, City Clerk ofthe City of Orange, California, do hereby
certify that the foregoing Ordinance was introduced at the regular meeting of the City Council
held on the 13th day of February 2001 and thereafter at the regular meeting of said City Council
duly held on the 13th day of March, 2001, was duly passed and adopted by the following vote, to
wit:
AYES:
NOES:
ABSENT:
ABSTAIN:
COUNCILMEMBERS: SLATER. ALVAREZ, MAYOR MURPHY, COONTZ
COUNCILMEMBERS: NONE
COUNCILMEMBERS: NONE
COUNCILMEMBERS NONE
Cassandra J. Cathc , ity Clerk ofthe City of Orange
A
CalPERS
EXHIBIT
California
Public Employees' Retirement System
AMENDMENT TO CONTRACT A Betweenthe
Board of Administration
California
Public Employees'
R~etirement System
and the City CouncH City of
Orang,e
0==='- .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 entl~red into a
contract effective July 1,1958, and witnessed May 13, 1958, and as amended effective October
1, 1966,October 7, 1971, January 16. 1977, August 26. 1979, April 1,
1982, July 24. 1983,March 31,1985, December 31,1989, July 23, 19H1, December 7,
1997 and July 1,2000 which provides for participation of Public Agency in said System,
Board and Public Agency hereby agree as follows:A. Paragraphs 1 through 12 are
hereby strickEln from said contract
as executed effective July 1, 2000, and hereby replaced by the following paragraphs
nUlmbered 1 through 12 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 50 for
local safety members.2. Public Agency shall participate in the Public Employees' Retirement
System
from and after July 1, 1958 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 Gontracting agency.
PLEASE DO NOT mGZ~ \"L.",",-., '--".. ,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 mferred 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 RetirementLaw, the following classes of employees shall not become members of
said Retirement System:NO ADDITIONAL
EXCLUSIONS 5. The
percentage of final compensation to be provided for each year of credited prior
and current service for local miscellaneous members shall be determined
in accordance with SE!ction 21354 of said Retirement Law,subject to
the reduction provided then3in for service prior to September 30,1971, termination
of Social Security, for members whose service has been included in
Federal Social Security (2'Yo at age 55 Full and Modified).B. 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 21362.2 of said Retirement Law 3% at
age 50 Full). The required member contribution rate is 9% of reportable compensation.
1'. Public
Agency elected and elects to be subject to the following optional provisions:a. Sections
21624 and 21626 (Post-Retirement Survivor Allowance).b.
Section 21573 (Third Level of 1959 Survivor Benefits).c.
Section 20042 (One-Year Final Compensation).
d. Section 20903 (Two Years Additional Service Credit).
e. Section 20516 (Employees Sharing Cost of Additional Benefits):
2% @ 55 Full and Modified formula for local miscellaneous
members.
rLtJi~t UU .'i\H ~:}u;~ t;,... ";~ i; -. ".~~From
and after December 7, 1997 and until July 1, 2000 the miscellaneous
employees of Public Agency were assessed an additional
4% of their compensation for a total contribution rate of 11 %
pursuant to Government Code Section 20516.E:.
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.J.
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.10.
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 hxed 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.11.
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.
12. Contributions required of Public Agency and its employees shall be paidbyPublicAgencytotheRetirementSystemwithinfifteendaysaftertheendoftheperiodtowhichsaidcontributionsreferorasmaybeprescribedbyBoardregulation. 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 effegtiVe on the ___ day of
BOARD OF ADMINISTRATION CITY COUNCIL
PUBLIC EMPLOYEES' RETIREMENT SYSTEM CITY OF ORANGE j.~BY "':.~,~ '
BY ~,~";,.~KENNETH
w.
MAR~N,
CHIEF . PRESIDING OK~R ACTUAFlJAL & E~OYER SERVICES
DIVISION ~~PUBLIC EMPL.~EES' RETIREMENT
SYSTEM <- ~~1\~Witness Date Attest:
AMENDMENT
PERS-
CON-7D2A (
Rev.
8\
96)Clerk