HomeMy WebLinkAbout2301ORDINANCE NO. 2301
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
ARCADIA, CALIFORNIA, AUTHORIZING AN AMENDMENT TO THE
CONTRACT BETWEEN THE CITY COUNCIL OF THE CITY OF
ARCADIA AND THE BOARD OF ADMINISTRATION OF THE
CALIFORNIA PUBLIC EMPLOYEES' RETIREMENT SYSTEM
REGARDING PRE - RETIREMENT OPTIONAL SETTLEMENT 2W
DEATH BENEFITS
THE CITY COUNCIL OF THE CITY OF ARCADIA, CALIFORNIA, DOES
ORDAIN AS FOLLOWS:
SECTION 1. An amendment to the contract between the City Council of the
City of Arcadia and the Board of Administration, California Public Employees'
Retirement System is hereby authorized, a copy of said amendment being attached
hereto, marked Exhibit "A ", and by such reference made a part hereof as though herein
set out in full.
SECTION 2. The Mayor of the City Council is hereby authorized, empowered,
and directed to execute said amendment for and on behalf of said Agency.
SECTION 3. This Ordinance shall be implemented on October 7, 2012.
SECTION 4. The City Clerk shall certify to the adoption of this Ordinance and
shall cause a copy of same to be published in the official newspaper of the City of
Arcadia within fifteen (15) days after its adoption. This Ordinance shall take effect on
the thirty -first (31 st) day after its adoption.
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Passed, approved and adopted this day 4th day of September , 2012.
ATTEST:
APPROVED AS TO FORM:
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Stephen P. Deitsch
City Attorney
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Mayor of the City of Arcadia
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES) SS:
CITY OF ARCADIA )
I, GENE GLASCO, City Clerk of the City of Arcadia, hereby certifies that the
foregoing Ordinance No. 2301 was passed and adopted by the City Council of the City of
Arcadia, signed by the Mayor and attested to by the City Clerk at a regular meeting of said
Council held on the 4th day of September, 2012 and that said Ordinance was adopted by
the following vote, to wit:
AYES: Council Members Amundson, Kovacic, Segal, Wuo and Harbicht
NOES: None
ABSENT: None
City CI*k of the Cip of Arcadia
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Ca1PERS
California
Public Employees' Retirement System
AMENDMENT TO CONTRACT
Between the
Board of Administration
California Public Employees' Retirement System
and the
City Council
City of Arcadia
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 Public Agency, having entered into a contract effective
October 1, 1945, and witnessed September 24, 1945, and as amended effective July 1,
1953, January 1, 1957, January 1, 1958, January 1, 1959, January 19, 1964, February
28, 1965, October 1, 1972, June 24, 1973, January 4, 1976, April 10, 1977, March 11,
1979, June 22, 1986, November 6, 1988, December 2, 1994, June 4, 1999, October 11,
1999, December 8, 1999, October 19, 2001, March 5, 2004, September 28, 2008 and
October 9, 2011 which provides for participation of Public Agency in said System, Board
and Public Agency hereby agree as follows:
A. Paragraphs 1 through 16 are hereby stricken from said contract as executed
effective October 9, 2011, 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 entering membership in
the miscellaneous classification on or prior to October 9, 2011, age 60 for
local miscellaneous members entering membership for the first time in the
miscellaneous classification after October 9, 2011, age 50 for local safety
members entering membership in the safety classification on or prior to
October 9, 2011 and age 55 for local safety members entering
membership for the first time in the safety classification after October 9,
2011.
2. Public Agency shall participate in the Public Employees' Retirement
System from and after October 1, 1945 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. Public Agency 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, penalties 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 prior non - CaIPERS retirement program.
(b) Public Agency's election to amend this Contract to provide
retirement benefits, provisions or formulas that are different than
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 9
(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 CaIPERS' Board of Administration.
(f) The termination of this Contract either voluntarily by request of
Public Agency or involuntarily pursuant to the Public Employees'
Retirement Law.
(g) Changes sponsored by Public Agency 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 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).
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:
NO ADDITIONAL EXCLUSIONS
6. The percentage of final compensation to be provided for each year of
credited prior and current service for local miscellaneous members in
employment before and not on or after September 28, 2008 shall be
determined in accordance with Section 21354 of said Retirement Law,
subject to the reduction provided therein for service prior to March 31,
1977, termination of Social Security, for members whose service has been
included in Federal Social Security (2% at age 55 Full and Modified).
7. The percentage of final compensation to be provided for each year of
credited prior and current service for local miscellaneous members in
employment on or after September 28, 2008 and not entering membership
for the first time in the miscellaneous classification after October 9, 2011
shall be determined in accordance with Section 21354.4 of said
Retirement Law, subject to the reduction provided therein for service prior
to March 31, 1977, termination of Social Security, for members whose
service has been included in Federal Social Security (2.5% at age 55 Full
and Modified).
8. The percentage of final compensation to be provided for each year of
credited current service as a local miscellaneous member entering
membership for the first time in the miscellaneous classification after
October 9, 2011 shall be determined in accordance with Section 21353 of
said Retirement Law (2% at age 60 Full).
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 October 9, 2011 shall
be determined in accordance with Section 21362.2 of said Retirement Law
(3% 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 membership for
the first time in the safety classification after October 9, 2011 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 21573 (Third Level of 1959 Survivor Benefits) for local
miscellaneous members and local police members only.
b. Section 20042 (One -Year Final Compensation) for those local
miscellaneous members and local safety members entering
membership on or prior to October 9, 2011.
C. Section 20965 (Credit for Unused Sick Leave).
d. Sections 21624 and 21626 (Post- Retirement Survivor Allowance).
e. Section 21024 (Military Service Credit as Public Service).
f. Section 21574 (Fourth Level of 1959 Survivor Benefits) for local fire
members only.
g. Section 21027 (Military Service Credit for Retired Persons).
h. Section 20475 (Different Level of Benefits). Section 21353 (2% @
60 Full formula) and Section 20037 (Three -Year Final
Compensation) are applicable to local miscellaneous members
entering membership for the first time in the miscellaneous
classification after October 9, 2011.
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 October 9, 2011.
Section 21548 (Pre- Retirement Option 2W Death Benefit).
12. Public Agency, in accordance with Government Code Section 20790,
ceased to be an "employer" for purposes of Section 20834 effective on
April 10, 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 liability with
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 police members.
b. Contributions required per covered member on account of the 1959
Survivor Benefits provided under Section 21574 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 fire members.
C. 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.
d. 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 day of na 11-
BOARD OF ADMINISTRATION CITY COUNCIL
PUBLIC EMPLOYEES' RETIREMENT SYSTEM CITY OF ARCADIA
BY
KAREN E FRANK, C IEF
CUSTOMER ACCOUNT SERVICES DIVISION
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
AMENDMENT CaIPERS ID #1676318862
PERS- CON -702A
PRESIDING OFFICER
. Witness
Attest:
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