HomeMy WebLinkAbout13-Personnel CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION
From: BARBARA DILLON Subject: RESOLUTION OF THE MAYOR&COMMON COUNCIL
. . . EXPRESSING ITS INTENTION TO APPROVE AN
De PERSONNEL AMENDMENT TO CONTRACT BETWEEN THE BOARD
OF ADMINISTRATION OF THE PUBLIC EMPLOYEES'
Date: JULY 7, 1997 RETIREMENT SYSTEM AND THE CITY OF SAN
BERNARDINO
AN ORDINANCE . . . AUTHORIZING AN AMEND-
JUL 0 8 1997 MENT TO THE CONTRACT BETWEEN THE BOARD OF
ADMINISTRATION OF THE PUBLIC EMPLOYEES'
RETIREMENT SYSTEM AND THE CITY OF SAN
BERNARDINO
Synopsis of Previous Council Action:
On March 20, 1995, the Mayor and Common Council approved the Memorandum of Understanding between the
City of San Bernardino and employees in the Police Safety Employees' bargaining unit of the City of San
Bernardino represented by the San Bernardino Police Officers' Association (SBPOA).
On June 2, 1997, the Mayor and Common Council approved the Memorandum of Understanding between the City
of San Bernardino and employees in the Fire Safety Employees' bargaining unit of the City of San Bernardino
represented by the International Association of Fire Fighters' Local 891.
Recommended Motion:
Motion 1: Adopt the resolution of the Mayor and Common Council of the City of San
Bernardino expressing its intention to approve an amendment to the contract between the Board
of Administration of the Public Employees' Retirement System and the City of San Bernardino.
and
Motion 2: That said ordinance be laid over.
Signature
Contact person: Barbara Dillon Phone: 384-5161
Supporting data attached: Yes Ward:
FUNDING REQUIREMENTS: Amount: 3.583% increase in employer contribution rate for all local safety
employees. effective January 1. 1998.
Source: (Acct. No.)
(Acct. Description)
Finance:
Council Notes: Previously - # .x5 0 7 -W/f 7
Continued to �1 / �/ 7 Agenda Item No.� /Y��'7 _
CITE' OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION
STAFF REPORT
BACKGROUND
Police Safety
On March 20, 1995, the Mayor and Common Council approved the Memorandum of
Understanding between the City of San Bernardino and employees in the Police Safety
employees' bargaining unit of the City of San Bernardino represented by the San Bernardino
Police Officers' Association (SBPOA).
Article III, Section 2, PERS - Retirement Plan, of said MOU states in subsection D, "The City
will contract with PERS to additionally provide the Post-Retirement Survivors' Benefit, as of
January 1, 1998, upon approval by the Mayor and Common Council and by PERS"
Fire Safety
On June 2, 1997, the Mayor and Common Council approved the Memorandum of Understanding
between the City of San Bernardino and employees in the Fire Safety Employees' bargaining unit
of the City of San Bernardino represented by the International Association of Fire Fighters'
Local 891.
Article 15, Retirement Plan, of said MOU states in Section H, "Following Council approval of
the 1997-1998 MOU, the City will begin the process to contract with PERS to additionally
provide the "Post-Retirement Survivor Allowance to Continue After Remarriage." This benefit
will also become effective January 1, 1998, upon approval by the Mayor and Common Council
and by PERS.
Pursuant to PERS regulations, the Mayor and Common Council must adopt a Resolution of
Intention and an ordinance approving an amendment to the PERS contract.
ANALYSIS
The attached Resolution of Intention (Exhibit A) states the intention of the Mayor and Common
Council of the City of San Bernardino to amend its contract with the Public Employees'
Retirement System to provide Section 21624, 21626, and 21628 (Post-Retirement Survivor
Benefits) for local police safety members and to provide Section 21635 (Post-Retirement
Survivor Allowance to Continue After Remarriage) for local fire members only. Exhibit B is the
ordinance, which is presented for a first reading.
COSTING
An actuarial valuation was requested and performed by the Public Employees' Retirement
System, Actuarial and Employer Services Division. The estimated cost will be a 3.583%
increase to the employer contribution rate for all local safety members. The employer
contribution rate would reflect the increase effective January 1, 1998.
RECOMMENDATION
Based on the foregoing, it is recommended that the Mayor and Common Council adopt:
* Resolution of the Mayor and Common Council of the City of San Bernardino expressing
its intention to approve an amendment to contract between the Board of Administration
of the Public Employees' Retirement System and the City of San Bernardino.
and,
* That said ordinance be laid over.
I ORDINANCE NO.
2 AN ORDINANCE OF THE CITY OF SAN BERNARDINO AUTHORIZING AN
AMENDMENT TO THE CONTRACT BETWEEN THE BOARD OF ADMINISTRATION
3 OF THE PUBLIC EMPLOYEES' RETIREMENT SYSTEM AND THE CITY OF SAN
BERNARDINO.
4
THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO
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DO ORDAIN AS FOLLOWS:
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SECTION 1. The Mayor is hereby authorized and directed to approve an amendment
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to the contract between the City of San Bernardino and the Board of Administration of the
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California Public Employees' Retirement System. A copy of said amendment is attached
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hereto as an Exhibit and by such reference made a part hereof as though herein set out in full.
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SECTION 2. The authorization to execute the above-referenced amendment to
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Contract is rescinded if the parties to the Contract fail to execute it within sixty (60) days of the
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passage of this Ordinance.
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1
-MifA/uiiiMlWiiliGWlll f-"`""`°` "
1 AN ORDINANCE OF THE CITY OF SAN BERNARDINO AUTHORIZING AN
t AMENDMENT TO THE CONTRACT BETWEEN THE BOARD OF ADMINISTRATION
2 OF THE PUBLIC EMPLOYEES' RETIREMENT SYSTEM AND THE CITY OF SAN
BERNARDINO.
3
1 HEREBY CERTIFY that the foregoing resolution was duly adopted by the Mayor and
4
Common Council of the City of San Bernardino at a meeting thereof, held on
5
the_day of , 1997, by the following vote,to wit:
6
Council Members: AYES NAYS ABSTAIN ABSENT
7
NEGRETE
8
CURLIN
9
ARIAS
10
OBERHELMAN
11
DEVLIN
12
ANDERSON
13
MILLER
14
15
Rachel Clark
16 City Clerk
17 The foregoing Ordinance is hereby approved this day of , 1997.
18
19 Tom Minor, Mayor
City of San Bernardino
20
Approved as to
21 form and legal content:
22 JAMES F. PENMAN,
City Attorney
23
n �
24 By-
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SRA:tbm[persord] 2
EXHIBIT
AMENDMENT TO CONTRACT
BETWEEN THE
BOARD OF ADMINISTRATION
OF THE
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
AND THE
CITY COUNCIL
OF THE
CITY OF SAN BERNARDINO
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 March 1, 1945, and witnessed February 6, 1945, and as
amended effective November 1, 1949, September 1, 1951, January 1, 1952, July 1, 1954,
February 1, 1965, February 24, 1969, March 8, 1971, October 1, 1973, October 28, 1974, March
17, 1975, April 28, 1975, November 10, 1975, July 6, 1977, January 7, 1985, May 27, 1985,
September 16, 1988, August 27, 1990, August 1, 1996, and July 3, 1997 which provides for
participation of Public Agency in said System, Board and Public Agency hereby agree as
j follows:
A. Paragraphs 1 through 13 are hereby stricken from said contract as executed effective July
3, 1997, 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 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 March 1, 1945 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);
PLEASE DO NOT SIGN "EXHIBIT ONLY"
C. Employees other than local safety members (herein referred to as local
miscellaneous members).
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. CROSSING GUARDS HIRED ON OR AFTER JANUARY 1, 1952;
b. LIBRARY PAGES HIRED ON OR AFTER MARCH 17, 1975;
C. LIFEGUARDS;
d. SENIOR LIFEGUARDS;
e. SUPERVISING LIFEGUARDS;
f. RECREATION INTERNS;
g. RECREATION AIDES;
h. RECREATION LEADERS;
i. SENIOR RECREATION LEADERS;
j. RECREATION SPECIALIST;
k. LOCKER ATTENDANTS;
1. VEHICLE OPERATORS; AND
M. EXTRA RELIEF HEAVY LABORERS (EXTRA BOARD).
5. 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 from
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. 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 21353 of said Retirement Law(2% at age 60 Full).
7. 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).
8. Public Agency elected and elects to be subject to the following optional
provisions:
a. Sections 21624, 21626 and 21628 (Post-Retirement Survivor Allowance).
b. Section 21222.1 (Special 5% Increase-1970). Legislation repealed said
Section effective January 1, 1980.
C. Section 20042 (One-Year Final Compensation).
PLEASE DO NOT SIGN "EXHIBIT ONLY"
d. Section 21024 (Military Service Credit as Public Service), Statutes of
1974.
e. Section 21222.2 (Special 5% Increase-1971). Legislation repealed said
Section effective January 1, 1980.
f. Section 21319 (Special 15% Increase for Local Miscellaneous Members).
g. Section 21573 (Third Level of 1959 Survivor Benefits) for local fire
members only.
h. Section 20903 (Two Years Additional Service Credit) for local
miscellaneous members only.
i. Section 21635 (Post-Retirement Survivor Allowance to Continue After
Remarriage) for local fire members only.
9. Public Agency, in accordance with Government Code Section 20790, ceased to be
an "employer" for purposes of Section 20834 effective on April 28, 1975.
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.
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:
a. Per covered member, $1.50 per month on account of the liability for the
1959 Survivor Benefits provided under Section 21573 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 fire members.
b. 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.
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.
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 day of ' 19
BOARD OF ADMINISTRATION CITY COUNCIL
PUBLIC EMPLOYEES' RETIREMENT SYSTEM OF THE
CITY OF SAN BERNARDINO
BY BY
KENNETH ION, CHIEF PRESIDING OFFICER
ACTUARIAL &%ftQy'ER SERVICES DI �N
PUBLIC EMPLOYEES'WVREMENT SYSTTE '
�7 4F 0*01) S
xylelT I�,
O*z Witness Date -tylBIT
Attest: 0N1 yh,
Clerk
AMENDMENT
PERS-CON-702A(Rev.8\96)