ORD-34-85 URGENCY MEASURE AUTHORIZING AMENDMENT TO THE CONTRACT BETWEEN THE BOARD OF ADMINISTRATION OF THE PUBLIC EMPLOYEES RETIREMENT SYSTEMORDINANCE NO. 34-
85 AN INTERIM ORDINANCE OF THE CITY
COUNCIL OF THE CITY OF ORANGE ADOPTED AS AN
UR-GENCY MEASURE AUTHORIZING AN
AMENDMENT TO THE CONTRACT BETWEEN THE BOARD OF
AD-MINISTRATION OF THE PUBLIC EMPLOYEES'
RE-TIREMENT SYSTEM AND THE CITY COUNCIL
OF THE CITY OF ORANGE BY ADDING
GOVERNMENT CODE SECTION 20818 (TWO YEARS
ADDITIONAL SERVICE CREDIT) FOR LOCAL SAFETY
MEMBERS.WHEREAS, the City Council has heretofore
approved Resolution No. 6403 expressing their intention to approve
an amendment to the contract between the Board of
Administra-tion of Public Employees' Retirement System and the
City Council of the City of Orange providing for Government
Code Section 20818 (two years additional service credit)
for safety members;
and WHEREAS, the aforementioned Resolution 6403
conformed to the procedures and policies of the Public
Employees'Retirement law set forth in the California Government
Code;
and WHEREAS, there is presently employed in the
local safety membership of the City employees, a person
employed as Special Assistant to the City Manager for Law
Enforcement who has expressed an intention to retire subsequent to
the effective date of the contract amendment;
and WHEREAS, the City Council hereby elects to exercise
the provisions of Section 20818 of the Government Code of
the State of California to discontinue the aforementioned
position of Special Assistant to the City Manager for Law
Enforcement,and the City Council hereby expresses its intention
that this position shall remain permanently unfilled and
consti-tute an overall reduction in the person therefore
occupying this Department designation within the Office of the
City Manager;
and WHEREAS, the City Council hereby certifies that it
is choosing to exercise the provisions of Section 20818 of
the Government Code because of its decision to eliminate
the position of Special Assistant to the City Manager for
Law Enforcement which is a position which constitutes at
least one percent (1%) of the City Manager organizational unit
as designated by the City Council resulting from the
decision of the City Council to curtail the aforementioned
position of Special Assistant to the City Manager for Law
Enforcement and hereby change the manner in which the City will
perform the law enforcement function in relation to the City Manager'
s position;
1--_____.___WHEREAS, the
City Council
hereby indicates its inten-tion to transmit to
the retirement fund the amount specified in Section 20818 of
the Government Code and in a manner acceptable to the Public
Employees' Retirement Board and the City Council of the
City of Orange; and WHEREAS, in accordance with
the provisions of Resolu-tion No. 6403, the
City Council hereby approves an amendment to the contract between
the City Council of the City of Orange and the Board
of Administration of the Public Employees'Retirement System retroactive to
March 31, 1985, a copy of said amendment is attached
hereto as Exhibit "A" and by this reference is made a
part hereof.NOW, THEREFORE, THE CITY
COUNCIL OF THE CITY OF ORANGE DOES ORDAIN AS FOLLOWS:
SECTION I:That an
amendment to
the contract between the City Council of the City
of Orange and the Board of Administra-tion of the Public
Employees' Retirement System is hereby authorized, a copy of
said amendment being attached hereto,marked Exhibit "A" and
by such reference is made a part hereof as fully set
forth herein and having an effective date of March 31,
1985.SECTION II:The Mayor
of the
City of Orange is hereby authorized,empowered and directed to
execute said amendment for and on behalf of the City
Council of the City of Orange.SECTION III:The reasons
for the
urgency of this Ordinance are as follows:1. The City
of
Orange had earlier determined that there was a need
for Special Assistant to the City Manager for Law Enforcement in
order to analyze and study certain law enforcement problems.2.
City had in
its employ, its then police Chief Norman A. Traub, who
had many years of law enforcement experience and who was
willing to function in the capacity of Special Assistant to
the City Manager for Law Enforce-ment.3. However, Chief
Traub
desired to retire and enter the state retirement system.
4. The City was
willing to agree to his retirement,but desired that he
serve in this capacity in order to promote the City's
needs and interests.Ord. No. 34-85
2 -
5. But after performing in this capacity, Chief of
Police Norm Traub, expressed his desire to retire and enter
the system with the benefits of Section 20818 on or about
June 17, 1985.
6. This objective he could have accomplished if the
prior Resolution extending Section 20818 Government Code
benefits had included safety members.
7. Inasmuch as the aforementioned Resolution in-
advertently failed to include safety members, it is nec-
essary to enact an ordinance which includes safety members
within the provisions of the extra service credit as pro-
vided in Section 20818 of the Government Code.
8. It is necessary to enact this ordinance by an
urgency means in order that it shall become effective
immediately in order to accomplish the objective of per-
mitting Chief Traub who now occupies this Special Assistant
to the City Manager for Law Enforcement position to accom-
plish his objective of retiring on or about June 17, 1985.
9. The enactment of a normal ordinance will require
five to six weeks for such ordinance to become effective.
10. The State Public Employees' Retirement System has
heretofore agreed to permit amendment to the contract between
the State and the Public Employees' Retirement System retro-
actively effective to March 31,.1985, inasmuch as the employer's
contribution is not affected by this retroactive date.
THEREFORE, pursuant to the procedures of section 36937
of the California Government Code, the City Council of the
City of Orange hereby enacts this Ordinance as an urgency
measure to become effective on August 13, 1985, in order to
protect the public health, safety, and welfare until the
time the permanent ordinance becomes effective.
ADOPTED this 13 th 1985.
ayor of the City of Orange
ATTEST:
M/J~ fk- ~R.J
City Clerk of t~ Ci of Orange
3 -Ord. No. 34-85
STATE OF CALIFORNIA
COUNTY OF ORANGE
CITY OF ORANGE
I, MARILYN J. JENSEN, City Clerk of the City of Orange,
California, DO HEREBY CERTIFY that the foregoing Ordinance
No. 34-85 was regularly introduced, reading in full
was waived, was read by Title, was passed and adopted at
a regular meeting of the City Council, City of Orange,
California held on the 13 th day of August , 1985, by the
fOllowing vote to
wit:AYES:COUNCILMEN: SMITH, BARRERA, MAYOR BEAM, PEREZ,
BEYER NOES:COUNCILMEN:
NONE ABSENT:COUNCILMEN:
NONE ABSTAINED:COUNCILMEN:
NONE 0M~
Q~city Clerk of tlffe C y of
Orange Ord. No. 34-85 4 -
AMENDMENT TO CONTRACT
BETWEEN THE
BOARD OF ADMINISTRATION
OF THE
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
AND THE
CITY COUNCIL
OF THE
CITY OF ORANGE
The Board of Administration, Public Employees' Retirement System, hereinafter
referred to as Board, and the governing body of above public agency, herein-
after referred to as Public Agency, having entered 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 and
July 24, 1983, which provides for participation of Public Agency in said
System, Board and Public Agency hereby agree as follows:
A.Paragraphs 1 through 11 are hereby stricken from said contr~t as executed
effective July 24, 1983, and hereby replaced by the fOll~ paragraphs
numbered 1 through 11 inclusive: ~
1. All words and terms used herein which are de~~ in the Public
Employees' Retirement Law shall have the ~ing as defined therein
unless otherwise specifically provided.~~ormal retirement age"
shall mean age 60 for local miscella~s members and age 55 for local
safety members. ()~~
s
2. Public Agency shall particip~~n the Public Employees' Retirement
System from and after JulYlil~l';958 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) ;
c. Employees other than local safety members (herein referred to as
local miscellaneous members).
EXHIBIT A
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.The fraction of final compensation to be prOVided for each year of
credited prior and current service as a local miscellaneous member
shall be that provided in Section 21251.13 of said Retirement Law with
all service prior to Social Security termination September 30, 1971,
subject to the reduction provided by said section (2J @ 60 Full and
Modified). .
The fraction of final compensation to be provide~~ each year of
credited prior and current service as a local fe~ty member shall be
determined in accordance with Section 2125~~~'t said Retirement Law
One-half pay at age 55
Full). ,,~The following additional provisions .~e Public Employees'
Retire-ment Law, which apply only upon ~~~~n of a contracting
agency,shall apply to the Public Age~l\~d its
employees:a. Sections 21263, 2126l~~ 21263.3 (Post-
Retirement
Survivor Allowance). ~~~b. Sections 21380-21387 (1959 Survivors
Program) including Section 21382.2 (Increased
1959
Survivors
Benefits).6.7.c. Section 20024.2 (
One-Year Final Compensation).d. Section 20818 (Two-Years
Additional Service Credit), as defined in
Chapter 327, Statutes of 1982.8. Public Agency, in accordance
with Section 20740, Government Code,ceased to be an "employer" for purposes of
Section 20759 of the Public Employees' Retirement Law effective
on January 16, '1977. Accumulated contributions of Public Agency as of
the aforementioned date shall be fixed and determined as provided
in Section 20759, Government Code,and accumulated contributions as
of the aforementioned date and contributions thereafter made shall be held
by the Board as provided
in Section 20759, Government Code.9. 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 monthly salaries earned as local miscellaneous
members of said Retirement System:1) 0.451 percent until June 30, 2000
on account of the lia-bility for prior
service
benefits. (Subject
2)12.899 percent until June 30, 2000 on
bility for current service benefits.
change. )
account of the lia-
Subject to annual
b. With respect to local safety members, the agency shall contribute
the following percentages of monthly salaries earned as local
afety members of said Retirement System:
1) 0.216 percent until June 30, 2001 on account of the lia-
bility for prior service benefits. (Subject to annual
change.)
2) 17.774 percent until June 30, 2000 on accoun~\of the lia-
bility for current service benefits. (su~~t to annual
change.) ... a
I~~"
A reasonable amount, as fixed by the ~~~ payable in one in-
stallment within 60 days of date o~~ntract to cover the costs
of administering said sYstem~~'ahects the employees of
Public Agency, not includin costs of special valuations or
of the periodic investig~ and valuations required by law.
S~ .
A reasonable amoun~~ fixed by the Board, payable in one in-
stallment as the o~asions 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.
c.
d.
10. 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.
11. 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 cor-
rect 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.
EXHIBIT A
B.
This amendment shall be effective on the 31st day of March, 1985.Witness
our hands the day of 19_.BOARD
OF ADMINISTRATION PUBLIC
EMPLOYEES' RETIREMENT SYSTEM CITY
COUNCIL OF
THE CITY
OF ORANGE Legal
Office,Date BY '
1"~presidin~
ficer Attest:
BY
SIDNEY
C. McCAUSLAND,EXECUTIVE
OFFICER Approved
as to form:Clerk
PERS
CON-702
EXHIBIT A