HomeMy WebLinkAboutAgenda Report - October 7, 1998AGENDA TITLE: Ordinance No. 1664 Entitled, "An Ordinance Of The Lodi City Council Authorizing An
Amendment To The Contract Between The City Council Of The City Of Lodi And The Board Of
Administration Of The Public Employees' Retirement System (PERS)"
MEETING DATE: October 7, 1998
PREPARED BY: City Clerk
RECOMMENDED ACTION: Following reading by title, it would be appropriate for the City Council to adopt
Ordinance No. 1664.
BACKGROUND INFORMATION: Ordinance No. 1664 entitled, "An Ordinance Of The Lodi City Council
Authorizing An Amendment To The Contract Between The City Council Of
The City Of Lodi And The Board Of Administration Of The Public
Employees' Retirement System (PERS)" was introduced at the regular City
Council meeting of September 2, 1998.
Pursuant to State statute, ordinances may be adopted five days after their introductions following reading by title.
This Ordinance has been approved as to form by the City Attorney.
FUNDING: None required.
Attachment
14L)
A.4�,
Alice M. Reimch
City Clerk
APPROVED:
H. Don Flynn -- City Manager,
ORDINANCE NO. 1664
AN ORDINANCE OF THE LODI CITY COUNCIL AUTHORIZING AN
AMENDMENT TO THE CONTRACT BETWEEN THE CITY COUNCIL
OF THE CITY OF LODI AND THE BOARD OF ADMINISTRATION OF
THE PUBLIC EMPLOYEES' RETIREMENT SYSTEM
The City Council of the City of Lodi does ordain as follows:
Section 1. That an amendment to the contract between the City Council of the City
of Lodi and the Board of Administration, California Public Employees' Retirement
System is hereby authorized, a copy of said amendment being attached hereto, marked
Exhibit, and by such reference made a part hereof as though herein set out in full.
Section 2. The Mayor of the City of Lodi is hereby authorized, empowered, and
directed to execute said amendment for and on behalf of said Agency.
Section 3. All ordinances and parts of ordinances in conflict herewith are repealed
insofar as such conflict may exist.
Section 4. This ordinance shall be published one time in the "Lodi News Sentinel", a
daily newspaper of general circulation printed and published in the City of Lodi and shall
be in force and take effect thirty days from and after its passage and approval.
Approved this 7'" day of October, 1998
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JA6ik A. SIEGLOCK
Mayor
Attest:
ALICE M. RE MCHE
City Clerk
State of California
County of San Joaquin, ss.
I, Alice M. Reimche, City Clerk of the City of Lodi, do hereby certify that Ordinance No.
1664 was introduced at a regular meeting of the City Council of the City of Lodi held
September 2, 1998 and was thereafter passed, adopted and ordered to print at a regular
meeting of said Council held October 7, 1998 by the following vote:
Ayes: Council Members — Land, Mann, Pennino and Sieglock (Mayor)
Noes: Council Members - Johnson
Absent: Council Members - None
Abstain: Council Members - None
I further certify that Ordinance No. 1664 was approved and signed by the Mayor on the
date of its passage and the same has been published pursuant to law.
(
AALICEICEMM. RREHE
City Clerk
Approved as to Form:
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NDALL A. HAYS
City Attorney
EXHIBIT
AMENDMENT TO CONTRACT
BETWEEN THE
BOARD OF ADMINISTRATION
OF THE
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
AND THE
CITY COUNCIL
OF THE
CITY OF LODI
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 June 1, 1966, and witnessed April 27, 1966, and as
amended effective July 6, 1966, May 1, 1970, July 1, 1973, July 1, 1977, April 1, 1991, July 7,
1993 and June 30, 1996 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 June
30, 1996, and hereby replaced by the following paragraphs numbered 1 through 14
inclusive:
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 June 1, 1966 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).
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:
It. PERSONS COMPENSATED ON AN HOURLY BASIS WHO ARE
HIRED JUNE 1, 1966 OR THEREAFTER.
5. Assets heretofore accumulated with respect to members in the local retirement
system have been transferred to the Public Employees' Retirement System and
applied against the liability for prior service incurred thereunder. That portion of
the assets so transferred which represent the accumulated contributions (plus
interest thereof) required of the employees under said local system has been
credited to the individual membership account of each such employee under the
Public Employees' Retirement System.
6. Benefits paid to pensioners and annuitants under the local system on the effective
date of the contract were recalculated, as authorized by Section 20481 of the
Government Code, to conform with benefits applicable to persons retiring after
the effective date of the contract except that no benefit which would have been
payable under the continuation of the local system shall be reduced.
7. The percentage of final compensation to be provided for local miscellaneous
members for each year of credited prior and current service shall be determined in
accordance with Section 21353 of said Retirement Law, subject to the reduction
provided therein for service prior to June 30, 1977, termination of Social Security
coverage, for members whose service has been included in Federal Social
Security (2% at age 60 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 21536 (Local System Service Credit Included in Basic Death
Benefit).
b. Section 21222.1 (Special 5% Increase -1970). Legislation repealed said
Section effective January 1, 1980.
C. Sections 21624 and 21626 (Post -Retirement Survivor Allowance) for local
miscellaneous members only.
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d. Section 21573 (Third Level of 1959 Survivor Benefits).
e. Section 21427 (Improved Non -Industrial Disability Allowance) for local
miscellaneous members only.
f. Section 20042 (One -Year Final Compensation) for local fire members
only.
g. Section 20903 (Two Years Additional Service Credit) for local
miscellaneous members and local fire members only.
h. Section 20434 ("Local Fire Fighter" shall include any officer or employee
of a fire department employed to perform firefighting, fire prevention, fire
training, hazardous materials, emergency medical services, or fire or arson
investigation services as described in Government Code Section 20434).
i. Section 20965 (Credit for Unused Sick Leave).
j. Section 20938 (Limit Prior Service to Members Employed on Contract
Date) for elected officials employed on the effective date of this
amendment to contract.
10. Public Agency, in accordance with Government Code Section 20790, ceased to be
an "employer" for purposes of Section 20834 effective on July 1, 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.
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, $0 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.
P"M DID NOTEXii*i, i CqqLyo
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 Lay.
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 direct payments between the employee and the Board.
B. This amendment shall be effectiAn the day of , 19
BOARD OF ADMINISTRATION ,;,;s;� CITY COUNCIL
PUBLIC EMPLOYEES' RETii E!- .. T SYSTEM OF THE
CITY OF LODI
BY
KENNETH W. MARZ11DN, CHIEF
ACTUARIAL & EMDYER SERVICES DIVISION
PUBLIC EMPLOS' RETIREMENT SYSTEM
AMENDMENT
PERS-CON-MA (Rev. 8\96)
I_t 1
PRESIDING OFFICER
w�
Witness Date 1
Attest:
Clerk