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HomeMy WebLinkAboutAgenda Report - November 19, 2014 C-17AGENDA ITEM c-t7 Crrv on Lour C ouNcIr-, C ovTMUNICATIoN TM AGENDA TITLE: MEETING DATE: PREPARED BY: Adopt Resolution Amending Employer Paid Member Contributions to California Public Employees' Retirement System November 19,2014 Human Resources Manager RECOMMENDED ACTION Adopt resolution amending employer paid member contributions to California Public Employees' Retirement System. BACKGROUND INFORMATION: The City of Lodi is a member of the California Public Employees' Retirement System (CaIPERS). Retirement contributions are segmented into employer-paid contributions and employee-paid contributions. ln the past, the City paid the employee's contribution referred to as employer paid member contribution (EPMC). ln recent negotiations with the various bargaining units, the City negotiated to eliminate EPMC, requiring employees to pay their own employee-paid contribution. Currently, all City employees, other than IBEW members, pay their own employee-paid member contribution. City staff recently negotiated a successor Memorandum of Understanding (MOU) with IBEW, with a term date of May 1 , 2014 through December 31,2017. Article XXI of the successor MOU provides for IBEW members to begin paying the employee-paid contribution of 7 percent, effective January 5, 2015. The City will be responsible for the employer-paid contribution only; eliminating EPMC for IBEW members. CaIPERS regulations require the City to adopt the attached resolution stating the specific percentage that the City will contribute towards each employee's employee-paid contribution amount. The table below indicates the EPMC percentage by employee category/bargaining group. Effective January 5,2015, the EPMC amounts are as follows: Emolovee Cateoorv/Barqaininq Grouo Confidential - Non-exempt Confidential- Exempt Council Appointee Council Members Executive Management General Services Maintenance & Operators Mid-Management Fire Fire Mid-Management EPMC Percentaqe Oo/o 0% Oo/o 0o/o 0% Oo/o Oo/o 0o/o 0o/o Oo/o APPROVED ager Police Mid-Management Police Dispatch IBEW *Bolded amounts represent changed amounts. FISCAL IMPAGT: The savings impact for Fiscal Year 2014-2015 is $100,790 FUNDING AVAILABLE: Not applicable. 0o/o jYo 0o/o 0o/o %rt e Post, Human Resources Manager Jordan Ayers, Deputy Ma nternal Services Director RESOLUTION NO. 201 4-213 A RESOLUTION OF THE LODI CITY COUNCIL ELIMINATING EMPLOYER PAID MEMBER CONTRIBUTIONS UNDER THE PUBLIC EMPLOYEES RETIREMENT SYSTEM WHEREAS, the governing body of the City of Lodi has the authority to implement Government Code Section 20691; and WHEREAS, the governing body of the City of Lodi had a written labor policy or agreement which specifically provided for the inclusion of normal member contributions paid by the employer on behalf of the members; and WHEREAS, the governing body of the City of Lodi has renegotiated said policy or agreement and now has a written air""."nt-tf'at êliminates ihe amount of the normal member contribution paid by the employer; and WHEREAS, one of the steps in the procedures to implement Government Code Section 20691 is the adoption by the governing body of the City of Lodi of a resolution relative to said Employer Paid Member Contributions (EPMC); and WHEREAS, the governing body of the City of Lodi has identified the following conditions for the purpose of discontinuing its ãection to pay EPMC, and this benefit shall apply to all employees as distinguished below: Miscellaneous Members Gontribution ÍEmploye No Employee Gontribution to NormalMember Contribution January 5,20',50%7%IBEW NOW, THEREFORE, BE lT RESOLVED that the City Council of the City of Lodi elects to discontinue EPMC, as set forth above. PHIL KATZAKIAN Mayor Dated: November19,2014 I hereby certify that Resolution No. 2014-213 was passed and adopted by the City Council of the City of Lodi in a regular meeting held November 19, 2014, by the following vote: AyES: COUNCIL MEMBERS - Hansen, Johnson, Mounce, Nakanishi, and Mayor Katzakian NOES: COUNCIL MEMBERS - None ABSENT: COUNCIL MEMBERS - None ABSTAIN: COUNCIL MEMBERS - None J IFER City Clerk 2014-213 OBISON