Ordinance 1990-07ORDINANCE NO. 90- 7
AN ORDINANCE OF THE COUNCIL OF THE CITY OF GIL~O¥ AUTHORIZING AN A~iND~ENT TO THE
CONTP, AUf BEI~'EEN THE CITY COUNCIL OF THE CII~ OF GILRO¥ AND THE BOAP, D OF
ADNIIfISTRATION OF THE CALIFORNIA PUBLIC F_.NP~ES' RETIREHENT SYSTEH.
THE CITY COUNCIL OF THE CITY OF GILROY 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 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 take effect 30 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 16th day of April, 1990 by the following vote:
A~ES: COUNCIII~EHBEP.~: GAGE, HALE, KLOECKER, MUSSALLEM, NELSON, VALDEZ
and HUGHAN.
NOES: COUNCILMEMBERS: None
ABSENT:COUNCII~IEHBERS:None
OP. DINANCE NO. 90 - 7
COPY ***
"EXHIBIT A"
AMENDMENT TO CONTRACT
BETWRRN THE
BOARD OFADMINISTRATION
OF THE
PUBLIC EMPLOYEES' RETIR]~4ENT SYSTEM
CITY COUNCIL
OF THE
CITY OF GILRO¥
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 and June 2, 1988, which provides for participation of Public
Agency in said System, Board and Public Agency hereby agree as follows:
Paragraphs 1 through 12 are hereby stricken from said contract as executed
effective June 2, 1988, and hereby replaced by the following paragraphs
numbered 1 through 12 inclusive:
Ail 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 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.
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);
Local Police Officers (herein referred to as local safety
members);
Ce
Employees other than local safety members (herein referred to as
local miscellaneous members).
** COPY ***
Se
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.
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
whichrepresent 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).
Public Agency elected to be subject to the following optional
provisions:
so
Sections 21380-21387 (1959 Survivor Benefits) excluding Section
21382.2 (Increased 1959 Survivor Benefits) and Section 21382.4
(Third Level of 1959 Survivor Benefits).
be
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.
de
Section 20862.8 (Credit for Unused Sick Leave) for local
miscellaneous members and local fire members only.
*** COPY ***
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.
10. Public Agency shall contribute to said Retirement System as follows:
ao
With respect to local miscellaneous members, the agency shall
contribute the following percentages of monthly salaries earned
as members of said Retirement System:
(1)
0.085 percent until June 30, 2000 on account of the
liability for prior service benefits. (Subject to annual
change.)
(2)
5.941 percent until June 30, 2000 on account of the
liability for current service benefits. (Subject to annual
change.)
be
With respect to local safety members, the agency shall contribute
the following percentages of monthly salaries earned as members
of said Retirement System:
(1)
12.687 percent until June 30, 2000 on account of the
liability for current service benefits. (Subject to annual
change.)
Co
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.
de
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 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
~ ,-~1~--'
BOARD OF ADMINISTRATION ~
PUBLIC EMPLOYEES' RETIREMENT S,IA~M
BY ..~,~'~
CHIEF, CONTRACT ~E~iCES DIVISION
PUBLIC EMPLOYE~\RETIREMENT SYST~I
day of
CITY COUNCIL
OF THE
CITY OF GILROY
Presiding Officer'
Witness Dat%~
Attest: I~~
Clerk
PERS-CON-702 (AMENDMENT)
(Rev. 6/88)
I, SUSANNE E. STEINMETZ, City Clerk of the City of Gilroy, do
hereby certify that the attached Ordinance No. 90-7 is an original
ordinance, duly adopted by the Council of the City of Gilroy at a regular
meeting of said Council held on the 16th day of April , 19 90 ,
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 17th day of April
19 90.
~t~'Clerk of the City of
(Seal)