HomeMy WebLinkAboutAgenda Report - May 15, 1996 (84)AGENDA TITLE: First Reading Of The Ordinance To Amend The Contract Between the
Board of Administration Of The Public Employees' Retirement System And
The City of Lodi, To Include 1) Credit For Unused Sick Leave, And 2) The Position Of Fire Inspector
As A Safety Member.
MEETING DATE: May 15, 1996
SUBMITTED BY: Human Resources Director
RECOMMENDED ACTION: To approve the first reading of the Ordinance to amend the
contract between the Board Of Administration Of The Public
Employees' Retirement System and the City Of Lodi, to include 1) credit for unused sick leave, and 2)
the position of fire inspector as a safety member.
BACKGROUND INFORMATION: On its May 1, 1996 meeting, the Council approved the
Resolution of Intention (Resolution 96-42), to amend the
contract between PERS and the City, which was the first step in the process towards amending the
contract. In accordance with Government Code Section 20471, adoption of changes to the contract must
be done via City Ordinance. This action is the first reading of the Ordinance. The second reading will be
the final adoption of the Ordinance and the amendment to the contract.
Respectfully submitted,
R
Joa ne Narloch, Human Resources Director
Prepared by Marlon Robbins, Human Resources Analyst II
APPROVED:
H. Dixon Flynn -- City M nager
ORDINANCE NO. 1633
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF LODI
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
BE IT ORDAINED BY THE LODI CITY COUNCIL AS FOLLOWS:
Section 1. That an amendment to the contract between the City Council of the City of Lodi 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, and by such reference made a part
hereof as though herein set out in full.
Section 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 - No Mandatory Duty of Care. This ordinance is not intended to and shall not be construed or
given effect in a manner which imposes upon the City, or any officer or employee thereof, a mandatory
duty of care towards persons or property within the City or outside of the City so as to provide a basis of
civil liability for damages, except as otherwise imposed by law.
Section 4 - Severability. If any provision of this ordinance or the application thereof to any person or
circumstances is held invalid, such invalidity shall not affect other provisions or applications of the
ordinance which can be given effect without the invalid provision or application. To this end, the
provisions of this ordinance are severable. The City Council hereby declares that it would have adopted
this ordinance irrespective of the invalidity of any particular portion thereof,
Section 5. All ordinances and parts of ordinances in conflict herewith are repealed insofar as such
conflict may exist.
Section 6. 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 day of May, 1996
DAVID P. WARNER
Mayor
Attest:
JENNIFER M. PERRIN
City Clerk
State of California
County of San Joaquin, ss.
I, Jennifer M. Perrin, City Clerk of the City of Lodi, do hereby certify that Ordinance No. 1633 was
introduced at a regular meeting of the City Council of the City of Lodi held May 15, 1996 and was
thereafter passed, adopted and ordered to print at a special meeting of said Council held May 21, 1996 by
the following vote:
Ayes: Council Members -
Noes: Council Members -
Absent: Council Members -
Abstain: Council Members -
I further certify that Ordinance No. 1633 was approved and signed by the Mayor on the date of its
passage and the same has been published pursuant to law.
JENNIFER M. PERRIN
City Clerk
Approved as to Form:
RANDALL A. HAYS
City Attorney
AMENDMENT TO CONTRACT EXHIBIT
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 and July 7, 1993 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 July 7,
1993, 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.
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:
a. PERSONS COMPENSATED ON AN HOURLY BASIS WHO ARE HIRED
JUNE 1, 1966 OR THEREAFTER; AND
b. ELECTIVE OFFICIALS.
PLEASE DO NOT SIGN "TXHIBIT ONLY"
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 21251.13 of said Retirement Law, subject to the reduction provided therein for
service prior to June 30, 1977, termination of Social Security, 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.
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).
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. Public Agency shall contribute $2.00 per member, 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.
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 Law.
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 effective on the day of , 19
,O
BO OF ADMINISTRATION CITY COUP
P� MPLOYEES' RETIREMENT SYSTEM OF THE J'
vF CITY OF LODr
Q�N
BY �� BY YCa
DIVISION CHIEFVI, Presiding Officer
ACTUARIAL & EMPLO SERVICES DIVISION
PUBLIC EMPLOYEES' ENT SYSTEM
%O� \ Witness Date
l�e Attest:
AMENDMENT
PERS-CON-702A (Rev. 1/96) Clerk