R 2212
261
RESOLUTION NO. 2212
RESOLUTION OF INTENTION
TO APPROVE AN AMENDMENT TO CONTRACT
BETWEEN THE
BOARD OF ADMINISTRATION
OF THE
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
AND THE
CITY COUNC I L
OF THE
CITY OF ARROYO GRANDE
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 procedure to amend this contract
is the adoption by the government 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 2 % @ 50 Modified formula (from ~ @ 55 Modified
formula) for local police members only.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City
of Arroyo Grande does hereby give notice of intention to approve an amendment
to the contract between the said governing body and the Board of Administration
of the Public Employees' Retirement System, a copy of said amendment being
attached hereto, as an "Exhibit" and by this reference made a part hereof.
On motion of Council Member Johnson, seconded by Council Member Millis,
and on the following roll call vote, to wit:
AYES: Council Members Johnson, Millis, Moots, Porter and Mayor Mankins
NOES: None
ABSENT: None
the foregoing Resolution was passed and -adopted this 12th day of April,
1988.
~~.~~
ATTEST: ~O'~J~~-i
ITY L
I, NANCY A, DAVIS, City Clerk of the City of Arroyo Grande, County
of San Luis Obispo, State of California, do hereby certify under penalty
of perjury that the foregoing Resolution No. 2212 is a true, full and
correct copy of Said Resolution passed and adopted at a regular meeting
of said Council on the 12th day of April, 1988,
WITNESS my hand and the Seal of the City of Arroyo Grande affixed
this 15th day of April, 1988. -
~a~
CITY CL RK d '. ..
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262 Resolution No, 2212-
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C~'\. AMENDMENT TO CONTRACT
~ BETWEEN THE
,,~i-~ BOARD 01' ADMINISTRATION
r.;~ OF THE .
.. S, PUBLIC EMPLOYEES I RETIREMENT SYSTEM
\.~C)'. AND THE
\)() , CITY COUNCIL
S~ OF THE
~~~ CITY OF ARROYO GRANDE
The Board of Administration, Public Employees' Retirement System, hereinafter
referred to as Board, and the governing body of above public agency, herein-
after referred to as Public Agency, having entered into a contract effective
July 10. 1964, and witnessed June 16, 1964, and as amended effective September
16, 1966, May 24, 1973 and July 4, 1980, which provides for participation of
Public Agency in said System, Board and Public Agency hereby agree as follows:
A. Paragraphs 1 through 11 are hereby stricken _from said contract as executed
effective July 4, 1980, and hereby replaced by the following paragraphs
numbered 1 through 12 inclusive:
1. All words and terms used herein which are defined in the Publ,ic
Employees' Retirement Law shall have the meaning as defined therein .
unless otherwise specifically provided. "Normal retirement age"
shall mean age ~O for local miscellaneous members, age 55 for local
fire members and age 50 for local police members.
2. Public Agency shall participate in the Public Employees' Retirement
System from and after July 10, 1964 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 contract-
ing agency,
3. 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). .
.
Kesolutl0n NO.-iili
* * * C OP Y * * * 263
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. ~PtOYEES COMPENSATED ON AN HOURLY BASIS; AND
b. ELECTED OFFICERS.
5. The fraction of final compensation to be provided for each year of
I credited prior and current service as a local miscellaneous member
shall be determined in accordance with Section 21251.13 of said
Retirement Law subject to the reduction provided therein for Federal
Social Security (2\ at age 60 MOdified).
6. The fraction of final compensation to be provided for each year of
credited prior and current service as a local fire member shall be
determined in accordance with Section 21252.1 of said Retirement Law
subject to the reduction provided therein for Federal Social Security
(One-half pay at age 55 Modified).
, -
7. ~e fraction of final compensation to be provided for each year of
~redited prior and current service as a local police member shall be
~determined in accordance with Section 21252.01 of said Retirement Law
~ subject to the reduction provided therein for Federal Social Security
~ (2\ at age 50 Modified).
:<<.e . The following additional provisions of the Public Employees'
& Retirement Law, which apply only upon election of a contracting
i$ agency, shall apply to the Public Agency and its employees:
.J
~, Section 21222.1 (Special 5\ Increase - 1970), Legislation
~ a.
-<: repealed said Section effective January 1, 1980.
.0
<:::) b. Section 20862.8 (Unused Sick teave Credit).
~
~ 9. Public Agency, in accordance with GOvernment Code Section 20740,
~ ceased to be an "employer" for purposes of Section 20759 effective on
July 4, 1900. Accumulated contributions of Public Agency shall be
fixed and determined as provided in Government Code Section 20759, and
accumulated contributions thereafter shall be held by the Board as
provided in Government Code Section 20759,
10. Public Agency shall contribute to said Retirement System as follows:
a. With respect to local miscellaneous members, the agency shall
contribute the following percentages of salaries earned as
members of said Retirement System:
(1) 1.062 percent until June 30, 1990 on account of the
liability for prior service benefits. (Subject to annual
change.)
(2) 6.801 percent until June 30, 2000 on account of the
liability for current service benefits. (Subject to annual
change. )
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264
Resolution No~ 2212
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b. with respect to local safety members, the agency shall contribute
the following percentages of salaries earned as members of said
Retirement System:
(1) 0,168 percent until June 30, 2000 on account of the
liability for prior service benefits. (Subject to annual
change.)
(2) 27.963 percent until June 30, 2000 on account of the
liability for current service benefits. (Subject to annual
change. )
c. A reasonable amount, as fixed by the Board, payable in one in-
stallment 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 in-
stallment 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.
ll. 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.
12. Contributions required of PUblic Agency and its employees shall be
paid by Public Agency to the Retirement System within thirty 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_.
BOARD OF ADMINISTRATION ~. CITY COUNCIL
PUBLIC EMPLOYEES' RETIREMENT EM OF THE
a. _CITY OF ARROYO GRANDE
@ .(
~
BY ~~ BY a~
SANDRA C. LUND ..ct Presiding Officer ~
ASSISTANT EX~U~IVE OFFICER .:-<()-~
BENEFIT SER1.'tCES
.....- .4~~
~O'
>>.g, Witness Dat~s5'
~,~., '0
Attest :.~~
~~
~~
Clerk