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Home My WebLink AboutReso 1998-18954 RESOLUTION NO. 18954 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA OF INTENTION TO APPROVE AN AMENDMENT TO CONTRACT BETWEEN THE BOARD OF ADMINISTRATION OF THE PUBLIC EMPLOYEES' RETIREMENT SYSTEM AND THE CITY COUNCIL OF THE CITY OF CHULA VISTA 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 of 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 21574 (Fourth Level of 1959 Survivor Benefits) for local miscellaneous members and local safety members. NOW, THEREFORE, BE IT RESOLVED the City Council of the City of Chula Vista 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 * of said amendment being attached hereto, as a Exhibit A and by this reference made a part hereof. Presented by Approved as to form by * C098-090 Resolution 18954 Page 2 Exhibit A AMENDMENT TO CONTRACT BETWEEN THE BOARD OF ADMINISTRATION OF THE PUBLIC EMPLOYEES' RETIREMENT SYSTEM AND THE CITY COUNCIL OF THE CITY OF CHULA VISTA The Board of Administration, Public Employees' Retirement System, hereinafter referred to as Board, and the goveming body of above public agency, hereinafter referred to as Public Agency, having entered into a contract effective October 1, 1948, and wimessed August 31, 1948, and as amended effective October 1, 1951, November 1, 1955, January 1, 1960, January 1, 1961, September 1, 1967, September 28, 1973, October 4, 1973, October 8, 1976, April 16, 1981, January 8, 1982, September 28, 1984, July 3, 1987, October 13, 1989, September 27, 1990, November 16, 1990, January 4, 1991, September 6, 1991, October 7, 1994 and June 28, 1995 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 28, 1995, and hereby replaced by the following paragraphs numbered 1 through 13 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. 2. Public Agency shall participate in the Public Employees' Retirement System from and after October 1, 1948 m'aking 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. Resolution 18954 Page 3 PLEr, SE DO NOT SiGNONW 3. Employees of Public Agency in the following classes shall become members of said Retirement System except such in each such class as ~xe 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 ~'om membership by said Retirement Law, the following classes of employees shall not become members of said Retirement System: NO ADDITIONAL EXCLUSIONS 5. Effective October 4, 1973 and prior to January 1, 1975, those members who were hired by Public Agency on a temporary and/or seasonal basis not to exceed 6 months were excluded fi-om PERS membership by contract. Government Code Section 20336 superseded this contract provision by providing that any such temporary and/or seasonal employees are excluded from PERS membership subsequent to January 1, 1975. Legislation repealed and replaced said Section with Government Code Section 20305 effective July 1, 1994. 6. This contract shall be a continuation of the contract of the Montgomery Fire Protecction Disu-ict, hereinafier referred to as "Former Agency". The accumulated contributions, assets and liability for prior and current service under the Former Agency's contract shall be merged pursuant to Section 20508 of the Gove.rnment Code. Such merger occurred January 1, 1986. a. All benefits provided under this contract shall apply to all past service for former employees of the Montgomery Fire Protection District. 7. The percentage of final compensation to be provided for each year of credited prior and current service as a local miscellaneous member shall be determined in accordance with Section 21354 of said Retirement Law (2% at age 55 Full). Resolution 18954 Page 4 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 20965 (Credit for Unused Sick Leave). b. Section 20425 ("Local Police Officer" shall include employees of a police department who were employed to perform identification or communication duties on August 4, 1972 and who elected to be local safety members on or before September 28, 1973). c. Section 21325 (Special 3% - 15% Increase) for or on behalf of those local miscellaneous members and those local safety members who retired or died prior to January 1, 1974. d. Sections 21624 and 21626 (Post-Retirement Survivor Allowance) for local safety members only. e. Section 20516 (Public Agency and its employees have agreed to share the cost of the following benefit): Section 21362 2% at 50 Full formula From and after September 28, 1984 to July 1, t985 the safety employees of Public Agency shall be assessed an additional 0.341% of their compensation for a total contribution rate of 9.341% pursuant to Govemment Code Section 20516. f. Section 21574 (Fourth Level of 1959 Survivor Benefits). g. Section 20042 (One-Year Final Compensation). h. Section 20426 ("Local Police Officer" shall include any officer or employee of a police department employed to perform communication duties and who elected to become a local safety member on August 25, 1973). Resolution 18954 Page 5 PLEASE DO NOT SIGN "EXHiBfi' ONt:. " i. Section 21024 (Military Service Credit as Public Service), Statutes of 1976. 10. Public Agency, in accordance with Government Code Section 20790, ceased to be an "employer" for purposes of Section 20834 effective on October 8, 1976. 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 conlribute to said Retirement System as follows: a. Per covered member, $3.50 per month on account of the liability for 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 miscellaneous members and local safety members. b. A reasonable mount, 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. Resolution 18954 Page 6 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 mount 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 BOARD OF ADMINISTRATION CITY COUNCIL PUBLIC EMPLOYEES' RETIRE,Iv~xlT~ SYSTEM OF THE ,~ CITY OF CHULA VISTA BY " BY :,~,'~. KENNrETH W. MARZION, C~IEF PRESIDING OFFICER ACTUARIAL & EMPLO,Y~I[ SERVICES DIVISION .~ PUBLIC EMPLOYEES' t~h'TIREMENT SYSTEM Witness Date '~"~ Attest: ,~- \ Clerk Resolution 18954 Page 7 PASSED, APPROVED, and ADOPTED by the City Council of the City of Chula Vista, California, this 7th day of April, 1998, by the following vote: AYES: Councilmembers: Moot, Padilia, Salas and Horton NAYES: Councilmembers: None ABSENT: Councilmembers: Rindone ABSTAIN: Councilmembers: None ATTEST: Authelet, City Clerk STATE OF CALIFORNIA ) COUNTY OF SAN DIEGO ) CITY OF CHULA VISTA ) I, Beverly A. Authelet, City Clerk of the City of Chula Vista, California, do hereby certify that the foregoing Resolution No. 18954 was duly passed, approved, and adopted by the City Council at a regular meeting of the Chula Vista City Council held on the 7th day of April, 1998. Executed this 7th day of April, 1998. ~Authelet, City Clerk