Ordinance 1992-16ORDINANCE NO. 92 - 16
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF GILROY AUTHORIZING AN AMENDMENT TO
THE CONTRACT BETWEEN THE CITY COUNCIL OF THE CITY OF GILRO¥ AND THE BOARD OF
ADMINISTRATION OF THE CALIFORNIA PUBLIC EMPLOYEES' RETIREMENT SYSTEM.
THE CITY COUNCIL OF THE CITY OF GILRO¥ DOES ORDAIN AS FOLLOWS:
SECTION 1. That an amendment to the COntract between the City Council of
the City of Gilroy and the Board of Administration, California Public Employees'
Retirement System is hereby authorized, a copy of said amendment being attached
hereto, marked Exhibit, 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 take effect thirty days after the date of
its adoption, and at least 3 days prior to its adoption there shall be published by
at least once by title and summary in the Gilroy/Morgan Hill Dispatch, a newspaper
of general circulation, published and circulated in the City of Gilroy and
thenceforth and thereafter the same shall be in full force and effect.
PASSED AND ADOPTED this 19th day of October, 1992, by the following vote:
AYES: COUNCILMEMBERS: GILROY, HALE, KLOECKER, NELSON, ROWLISON, VALDEZ and GAGE.
NOES: COUNCILMEMBERS: None
ABSENT:COUNCILMEMBERS:None
AP P ROV~: ,
M~ayor ~/
ATTEST:
ORDINANCE NO. 92 -16
EXHIBIT "A"
AMENDMENT TO CONTRACT
BETWEEN THE
BOARD OF ADMINISTRATION
OF THE
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
AND THE
CITY COUNCIL
OF THE
CITY OF GILROY
COPY
The Board of Administration, Public Employees' Retirement System, hereinafter referred to as Board,
and the governing body of above public agency, hereinafter referred to as Public Agency, having
entered into a contract effective July 1, 1968, and witnessed May 21, 1968, and as amended effective
November 3, 1971, August 1, 1973, January 1, 1975, July 1, 1981, July 1, 1982, January 1, 1987,
June 2, 1988, June 1, 1990 and May 1, 1991, which provides for participation of Public Agency in
said System, Board and Public Agency hereby agree as follows:
A. Paragraphs 1 through 13 are hereby stricken from said contract as executed effective May 1,
1991, and hereby replaced by the following Paragraphs numbered 1 through 13 inclusive: '
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 60 for local miscellaneous members and age 50
for local safety members.
Public Agency shall participate in the Public Employees' Retirement System from and after
July 1, 1968 making its employees as hereinafter provided, members of said System subject
to all provisions of the Public Employees' Retirement Law cxccp~ 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.
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);
Employees other than local safety members (herein referred to as local miscellaneous
members).
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.
DO NOT SIGN "EXHIBIT:
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.
The percentage of final compensation to be provided for local miscellaneous members for
each year of credited prior and current service shall be determined in accordance with
Section 21251.13 of said Retirement Law, subject to the reduction provided therein for
service prior to December 31, 1974, termination of Social Security, for members whose
service has been included in Federal Social Security (2% at age 60 Full and Modified).
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
21252.01 of said Retirement Law (2% at age 50 Full).
8. Public Agency elected to be subject to the following optional provisions:
sections 21380-21387 (1959 Survivor Benefits) excluding Section 21382.2 (It/creased
1959 Survivor Benefits) and Section 21382.4 (Third Level of 1959 Survivor
Benefits) for local miscellaneous members and local police members.
b. Section 21361.5 (Local System Service Credit Included in Basic Death Benefit).
Section 21222.1 (Special 5% Increase- 1970). Legislation repealed said Section
effective January 1, 1980.
d. Section 20862.8 (Credit for Unused Sick Leave).
Sections 21380-21387 (1959 Survivor Benefits) including Section 21382.4 (Third
Level of 1959 Survivor Benefits) for local fire members only.
Public Agency, in accordance with Government Code Section 20740, ceased .to--b'e an
"employer" for purposes of Section 20759 effective on July 1, 1981. 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 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.
11. Public Agency shall also contribute to said Retirement System as follows:
Public Agency shall contribute $2.50 per employee, per month on account of the
liability for the 1959 Survivor Benefits provided under Section 21382.4 ofsaid
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.
bo
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.
Co
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.
12.
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.
13.
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
., 9
BOARD OF ADMINISTRATION &"~-
PUBLIC EMPLOYEES' RETIRE~KNT SYSTEM
BY
CHIEF, CONTRA~,~,x RVICES DIVISION
PUBLIC EMPL~S RETIREMENT SYSTEM
PERS-CON-702 (AMENDMENT)
(Rev. 1/92)
day of
CITY COUNCIL
OF THE
CITY OF GILROY
BY
Presiding Officer
Witness Date
Attest:
Clerk~.~l
I, SUSANNE E. STEINMETZ' City Clerk of the City of Gilroy, do
hereby certify that the attached Ordinance No. 92-16 is an original
ordinance, duly adopted by the Council of the City of Gilroy at a regular
meeting of said Council held on the I9th day of October , 19 92 ,
at which meeting a quorum was present.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the
Official Seal of the City of Gilroy this 20th day of October
19 92.
/City Cler~ of the City bf Gilroy ~
(Seal)