HomeMy WebLinkAboutAgenda Report - September 19, 2012 C-11AGENDA ITEM C40011
AhCITY OF LODI
COUNCIL COMMUNICATION
Im
AGENDA TITLE: Adopt Resolutionto Grant Designated Period for Two Years Additional Service
Credit
MEETING DATE: September 19, 2012
PREPARED BY: Human Resources Manager
RECOMMENDED ACTION: Adopt resolutionto grant designated period for two years additional
service credit.
BACKGROUND INFORMATION: The anticipated need to further reduce City spending in FY 2012/13
has necessitated the City explore additional options to reduce
staffing. The CalPERS Two Year Additional Service Credit program,
as established under California Government Code Section 20903, allows the City (as part of a budget
reduction process) to offer a retirement incentive of two years service credit to eligible employees.
The City of Lodi desires to designate a period in which eligible employees qualify for two years additional
service credit, based on the amendmentto the PERS contract.
The designated period for two years additional service credit would begin September 20, 2012 and go
through March 17, 2013 for eligible Miscellaneous members.
This resolution grants final approval and completes the process.
FISCAL IMPACT: The cost of this benefit will be amortized over 20 years and included in the City's
CalPERS employer contribution rate beginning in FY 2013/2014. Although the net
savings depends on the number of employees who accept the benefit, the
anticipated job vacancies are expected to save the City approximately $400,000
annually in salary and benefits.
FUNDING AVAILABLE: Not applicable.
APPROVED:
7, C� -� )
Dean &410,
Human Resources M nager
Jordan Ayers, Deputy City nager/
Internal Services Director
Bartlam, City Manager
CALIFORNIA PUBLIC EMPLOYEES' RETIREMENT SYSTEM
Actuarial and Employer Services Branch
PublicAgency Contract Services
P.O. Box 942709
Sacramento, CA 94229-2709
(888) CalPERS (225-7377)
CERTIFICATION OF COMPLIANCE WITH
GOVERNMENT CODE SECTION 7507
I hereby certify that in accordance with Section 7507 of the Government Code
the future annual costs as determined by the System Actuary for the
increase/change in retirement benefit(s) have been made public at a public meeting
of the
City Council
(governing body)
City of Lodi
on August 15,2012
(date)
Resolution/ Ordinance.
(public agency)
of the
which b at least two weeks prior to the adoption of the
Adoption of the retirement benefit increaselchange will not be placed on the consent
calendar.
Clerk/Secr
City Clerk
Title
Date September 24, 2012
PERS-CON-12A (rev. 1/96)
CALIFORNIA PUBLIC EMPLOYEES' RETIREMENT SYSTEM
Employer Services Division
Contract Maintenance Unit
P.O. Box 942709
Sacramento, CA 94229-2709
CERTIFICATION OF COMPLIANCEWITH
GOVERNMENT CODE SECTION 20903
In accordance with Government Code Section 20903 and the contract between the
Public Employees' Retirement System, the City Council of the City of Lodi hereby
certifies that:
7. Because of an impending curtailment of, or change in the manner of performing
service, the best interests of the agency will be served by granting such additional
service credit.
2. The added cost to the retirementfund for all eligible employees who retire during
the designated window period will be included in the contracting agency's
employer contribution rate for the fiscal year that begins two years after the end of
the designated period.
3. It has elected to become subject to Section 20903 because of impending
mandatory transfers, demotions, and layoffs that constitute at least 1 percent of the
job classification, department or organizational unit, as designated by the
governing body, resulting from the curtailment of, or change in the manner of
performing, its services.
4. Its intention at the time Section 20903 becomes operative is to keep all vacancies
created by retirements under this section or at least one vacancy in any position in
any department or other organizational unit permanently unfilled thereby resulting
in an overall reduction in the work force of such department or organizational unit.
THEREFORE, the City Council of the City of Lodi hereby elects to provide the benefits
of Government Code Section 20903 to all eligible members who retire within the
designated period, September 19, 2012 through March 17,2013
CITY COUNCIL
OF THE
CITY O LODI
BY
P esiding Officer
Atte
Cler ary
September 24, 2012
Date 2yr certification -PA (Rev. 4104)
CALIFORNIA PUBLIC EMPLOYEES' RETIREMENT SYSTEM
Actuarial and Employer Services Branch
PublicAgency Contract Services
P.O. Box 942709
Sacramento, CA 94229-2709
(888) CalPERS (225-7377)
CERTIFICATION OF GOVERNING BODY'S ACTION
I hereby certify that the foregoing is a true and correct copy of a Resolution adopted by the
City Council of the
(governing body)
City of Lodi
(public agency)
on September 19,2012
(date)
Clerk/Secretary
City Clerk
Title
PERS-CON-12 (rev. 1/96)
RESOLUTION NO. 2012-149
A RESOLUTION OF THE LODI CITY COUNCIL
GRANTING DESIGNATED PERIOD FOR TWO YEARS
ADDITIONAL SERVICE CREDIT
WHEREAS, the City Council of the City of Lodi is a contracting Public Agency of
the Public Employees' Retirement System; and
WHEREAS, the City of Lodi desires to provide another designated period for
Two Years Additional Service Credit, Section 20903, based on the contract amendment
included in said contract which provided for Section 20903, Two Years Additional
Service Credit, for eligible members.
NOW, THEREFORE, BE IT RESOLVEDthat said City Council does seek to add
another designated period and does hereby authorize this Resolution indicating a desire
to add a designated period from September 19, 2012 through March 17, 2013, for
eligible members in the following classifications:
Classification
Department
Administrative Secretary
Fire
Electrical Technician
Electric Utility
Library Services Manager
Libra
Parks Maintenance Worker III
Park, Recreation & Cultural
Services
Date: September 19, 2012
I hereby certify that Resolution No. 2012-149 was passed and adopted by the
Lodi City Council in a regular meeting held September 19, 2012, by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN
COUNCIL MEMBERS —Johnson, Katzakian, Nakanishi, and
Mayor Mounce
COUNCIL MEMBERS — None
COUNCIL MEMBERS — Hansen
COUNCIL MEMBERS — None
2012-149
RANDI JOHL
City Clerk