HomeMy WebLinkAboutResolutions - No. 2012-170RESOLUTION N0. 2012-170
RESOLUTION OF INTENTION
TO APPROVE AN AMENDMENT TO CONTRACT
BETWEEN THE
BOARD OF ADMINISTRATION
CALIFORNIA PUBLIC EMPLOYEES RETIREMENT SYSTEM
AND THE
CITY CO U NC It
CITY OF LODI
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, one of the steps in the procedures to amend this contract is the adoption by
the governing body cf the public agency of a resolution giving notice of its
intention to approve an amendment to said contract, which resolution shall
contain a summary of the change proposed in said contract; and
WHEREAS, the following is a statement of the proposed change:
To provide Section 20475 (Different Level of Benefits).
Section 21363.1 (3% @ 55 Full formula) and Section 20037
(Three -Year Final Compensation) are applicable to local
safety members entering membership for the first time in
the safety classification after the effective date of this
amendment to contract.
NOW, THEREFORE, BE IT RESOLVED that the governing body of the above agency
does hereby give notice of intention to approve an amendment to the
contract between said public agency and the Board of Administration of the
Public Employees' Retirement System, a copy cf said amendment being
attached hereto, as an "Exhibit" and by this reference made a part hereof.
B. � i 16x-,6"�.
residing Officer, JoAnne L. Mounce
Mayor
Title
October 30, 2012
Date adopted and approved
(Amendment)
CON-302(Rev. 4/96)
Dated: October 30, 2012
I hereby certify that Resolution No. 2012-170 was passed and adopted by the
City Council of the City of Lodi in a special meeting held October 30, 2012, by the
following vote:
AYES: COUNCIL MEMBERS — Hansen, Nakanishi, and Mayor Mounce
NOES: COUNCIL MEMBERS — None
ABSENT: COUNCIL MEMBERS —Johnson and Katzakian
ABSTAIN: COUNCIL MEMBERS — None
RA HL
City Clerk
2012-170
AlAk
Ca1PERS
California
Public Employees' Retirement System
EXHIBIT
AMENDT TO CONTRACT
Between the
Board of Administration
California Public Employees' Retirement System
and the
City Council
City of Lodi
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 PublicAgency, 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, June 30, 1996, November
15, 1998, June 12, 2000, May 17, 2003 and June 17, 2010 which provides for
participation of Public Agency in said System, Board and Public Agency hereby agree
as follows:
A. Paragraphs 1 through 15 are hereby stricken from said contract as executed
effective June 17, 2010, and hereby replaced by the following paragraphs
numbered 1 through 16 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 entering membership in the safety classification on or prior to
the effective date of this amendment to contract and age 55 for local
safety members entering membership for the first time in the safety
classification after the effective date of this amendment to contract.
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. PublicAgency agrees to indemnify, defend and hold harmless the
California Public Employees' Retirement System (CaIPERS) and its
trustees, agents and employees, the CaIPERS Board of Administration,
and the California Public Employees' Retirement Fund from any claims,
demands, actions, losses, liabilities, damages, judgments, expenses and
costs, including but not limited to interest, penatties and attorneys fees
that may arise as a result of any of the following:
(a) Public Agency's election to provide retirement benefits,
provisions or formulas under this Contract that are different than
the retirement benefits, provisions or formulas provided under
the Public Agency's priornon-CaIPERS retirement program.
(b) Public Agency's election to amend this Contract to provide
retirement benefits, provisions or formulas that are differentthan
existing retirement benefits, provisions or formulas.
(c) Public Agency's agreement with a third party other than
CaIPERS to provide retirement benefits, provisions, or formulas
that are different than the retirement benefits, provisions or
formulas provided under this Contract and provided for under
the California Public Employees' Retirement Law.
(d) Public Agency's election to file for bankruptcy under Chapter
(commencing with section 901) of Title 11 of the United States
Bankruptcy Code and/or Public Agency's election to reject this
Contract with the CaIPERS Board of Administration pursuant to
section 365, of Title 11, of the United States Bankruptcy Code
or any similar provision of law.
(e) Public Agency's election to assign this Contract without the prior
written consent of the CalPERS' Board of Administration.
(f) The termination of this Contract either voluntarily by request of
PublicAgency or involuntarily pursuantto the Public Employees'
Retirement Law.
(g) Changes sponsored by PublicAgency in existing retirement
benefits, provisions or formulas made as a result of
amendments, additions or deletions to California statute or to
the California Constitution.
4. Employees of PublicAgency 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).
5. 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.
6. 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.
7. 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.
8. 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 Section 21354 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 55 Full and Modified).
9. The percentage of final compensation to be provided for each year of
credited prior and current service as a local safety member entering
membership in the safety classification on or prior to the effective date of
this amendment to contract shall be determined in accordance with
Section 21362.2 of said Retirement Law (30/6 at age 50 Full).
10. The percentage of final compensation to be provided for each year of
credited current service as a local safety member entering membershipfor
the first time in the safety classification after the effective date of this
amendment to contract shall be determined in accordance with Section
21363.1 of said Retirement Law (3% at age 55 Full).
11. 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 (One -Time 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 Nonindustrial Disability Allowance) for
local miscellaneous members only.
f. Section 20042 (One -Year Final Compensation) for local safety
members entering membership on or prior to the effective date of
this amendment to contract.
g. Section 20903 (Two Years Additional Service Credit).
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 November 15,
1998.
k. Section 21024 (Military Service Credit as Public Service).
Section 20475 (Different Level of Benefits). Section 21363.1 (3%
@ 55 Full formula) and Section 20037 (Three -Year Final
Compensation) are applicable to local safety members entering
membership for the first time in the safety classification after the
effective date of this amendment to contract.
12. 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.
13, Public Agency shall contribute to said Retirement System the contributions
determined by actuarial valuations of prior and future service liabilitywith
respect to local miscellaneous members and local safety members of said
Retirement System.
14, 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 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.
15. 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.
16. 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
BOARD OF ADMINISTRATION
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
BY
day of ,
CITY COUNCIL
CITY OF LODI
BY
KAREN DE FRANK, CHIEF PRESIDING OFFICER
CUSTOMER ACCOUNT SERVICES DIVISION
PUBLIC EMPLOYEES' RETIREMENTSYSTEM
Witness Date
Attest:
Clerk
AMENDMENT CaIPERS 10 #6448562990
PERS-CON-702A