Loading...
Resolution 1986-40 . . RESOLUTION NO. 86 - 40 RESOLUTION OF THE COUNCIL OF THE CITY OF GILROY OF INTENTION TO APPROVE AN A}lliNDMENT TO CONTRACT BETWEEN THE BOARD OF ADMINISTRA- TION OF THE PUBLIC EMPLOYEES' RETIREllliNT SYSTEM AND THE CITY COUNCIL OF THE CITY OF GILROY. 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 governing body of the public agency of a resolution giving notice of its intention to approve an amend- ment 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 Full formula (from 1/2 @ 55 Full formula) for local police members and Section 20862.8 (Credit for Unused Sick Leave) for local fire members only. NOW THEREFORE, BE IT RESOLVED that the governing body of the above agency 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. PASSED AND ADOPTED this 7th day of July, 1986, by the following vote: AYES: COUNCIL}lliMBERS: GAGE, KLOECKER, HUSSALLEM, PALMERLEE, VALDEZ and HUG~~N. NOES: COUNCILMEMBERS: None ABSENT: COUNCIL~}ffiERS: ~ ~. o~ ~ "f,~ , " r ,.c3'" -J' . ~ ,.0\ ~... D~ s<.v \j ":J~~ ., AHENDMENT TO CONTRACT BETWEEN THE BOARD OF ADMINISTRATION OF THE PUBLIC EMPLOYEES' RETIREMENT SYSTEM AN D THE CITY COUNCIL OF THE CITY OF GILROY 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 1, 1968, and witnessed May 21, 1968, and as amended effective November 3, 1971, August 1, 1973, January 1, 1975, July 1, 1981 and July 1, 1982, which provides for participation of Public Agency in said System, Board and Public Agency hereby agree as follows: A. Paragraphs 1 through 12 are hereby stricken from said contract as executed effective July 1, 1982, and hereby replaced by the following paragraphs numbered 1 through 12 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 60 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 July 1, 1968 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. 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). Pl& DC NOT SIGN "EXHIBit ON~ 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. ELECTED OFFICIALS; AND b. PERSONS COt-1PENSATED ON AN HOURLY BASIS. 5. 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 representing 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. 6. The fraction 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 21251.13 of said Retirement Law with all service prior to Federal Social Security termination December 31, 1974, subject to the reduction provided by said section (2% at age 60 Full and Modified). 7. The fraction of final compensation to be provided~or 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. The following additional prov1s10ns of the Public Employees' Retirement Law, which apply only upon election of a contracting agency, shall apply to the Public Agency and its employees: a. Sections 21380 - 21387 (1959 Survivor Program) excluding Section 21382.2 (Increased 1959 Survivor Benefits) and Section 21382.4 (Third Level of 1959 Survivor Benefits). b. Section 21361.5 (Local System Service Credit), for local miscellaneous members only. c. Section 21222.1 (Special 5% Increase - 1970), Legislation repealed said Section effective January 1, 1980. d. Section 20862.8 (Unused Sick Leave Credit), for local fire member s only. 9. Public Agency, in accordance with Government Code Section 20740, ceased to be 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. Plle DO NOT SICN - ',_n' . '1EXHf~lt ONLY" 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) 0.094 percent until June 30, 2000 on account of the lia- bility for prior service benefits. (Subject to annual change.) (2) 7.384 percent un bility for current change.) ~ 200C on ace_unt of the Ij~- servic~ oenefits. (Subject~) ann~al b. With respect to local safety members, the agency shall contribute the following percentages of salaries earned as members of said Retirement System: (1) 1.382 percent until June 30, 1988 on account of the lia- bility for prior service benefits. (Subject to annual change.) (2) 18.562 percent until June 30, 2000 on account of the lia- bility for current service benefits. (Subject to annual change.) c. A reasonable amount, a~ fixed bv the Board, payable in one in- stallment within 60 d2!~ oi dat: of contract to cover the costs of administering said System ~s 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. 11. 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~ays after the end of the period to Which said contributio~s refer or as may be prescribed by Board regulation. If mere or less than the correct amount of contribution~ 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 e~ployee and the Board. . B. This amendment shall be effective on the ,19_ BOARD OF ADMINISTRATION uw~ PUBLIC EMPLOYEES' RETIRE~l SYSTEM (] ~ ~# " BY -4 SIDNEY C. M~uSLAND, EXECUTIVE~FICER ~ <SJ ~' ~ "\"""' <"" " ,~ Approved as to form: 'C~ 8, ~ [" ~ 1..1- g(, Legal Office, Date PERS-CON-702 (AMENDMENT) (Rev. 9/85) . CITY COUNCIL OF THE CITY OF GILROY 11.' R BY ~ '..t Presiding ~~ er ~O/ "- c"f' r~ Witness4.n e 6'" ~ At~: 4 ~ / day of Cl er k Date - . . : . ~ I, SUSANNE E. STEINMETZ; City Clerk of the City of Gilroy, do hereby, certify that the attached Resolution No. 86-40 is an original resolution, duly adopted by -the Council of the City of Gilroy at a regular meeting of said Council held on the 7th day of July , 19 ~, at which meeting a quorum was' pres ent. IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Official Seal of the City of Gilroy this 8th day of July 19 ~.