2008-030-Adopt Resolution Of Intention To Approve An Amendment To Contract Between The Board Of Administration California Public Employeers' Retirement System And The Town Council Of The Town Of Los GatosRESOLUTION N0.2008-030
ADOPT RESOLUTION OF INTENTION TO APPROVE AN AMENDMENT TO CONTRACT
BETWEEN THE BOARD OF ADMINISTRATION CALIFORNIA PUBLIC EMPLOYEES'
RETIREMENT SYSTEM AND THE TOWN COUNCIL OF THE TOWN OF LOS GATOS
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 procedures 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
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 Section
213.54..4 (2.SoIo @ 55 Full and Modified formula) for local miscellaneous members.
RESOLVED, by the Town Council of the Town of Los Gatos, County of Santa Clara,
State of California, that the Town Council does hereby give notice of intention to approve an amendment
to the contract between said public agency 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 at a regular meeting of the Town Council of the Town of Los Gatos,
California, held on the 7th day of April, 2008, by the following vote:
COUNCIL, MEMBERS:
AYES: Steve Glickman, Diane McNutt, Joe Pirzynski, Mike Wasserman, and Mayor
Barbara Spector
NAYS: None
ABSENT:
ABSTAIN:
ATTEST:
~~~
CLE OF THE T'O~?VN OF LOS GATOS
LOS GATOS, CALIFORNIA
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~alit'r~rnia
~ubiie 1Vmplayees" retirement ystern
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The Board of Adrnrnastrafiror~, ~al~fprrnia i~ublic l~rriployees' i~f~tiretTlG'nt ysterrr,
her~ina~ter refierred tc~ as Board, arrCi the governing body o~ the above public agency,
i7ereinaftc~r referred tca ~~ Pul~iic Agency,: having enter~:d ir~ta a contract effective- April 1,.
19`7, and witnessed lViarch 1, 1972, aid ~ amended effacty~ August 2, 1.~'~~, June 1,
1976, July 1, 197, t~ctc~ber 1, 1:976, January ~, 199a, l~ec~:rnber 16, 1 J92, August 6,
1:997 an:s~ June 24, 2961 which provides for participation cif Public Agency in said
Bysterr~, ~+~ar~i and l~~abiic Agency hereby agree a follows:
~. Paragraphs 1 through 14 are. hereby stricl~en frorr~ said contract as executed
affective June 2~, 29f}1, and hereby replaced by the following paragraphs
nuartbered 1 through 1 ~ inclusive.:
1. .Ali words ar~d terrrss used herein which are defined in the l~'ublic
rr~pfoyees' Refirement l.~aw sl~alP have the meaning as dei'lned therein
unless otherr~ise :specifically provirted, "No-anal retirement age" shall
mean age 66 fidr lcca! miscellaneous members and .age 69 fear local safety
members.
Pt~ablic Agency shall participate in the 'ublic mpltayees' ~etlrerr~c~r~t
ystern frorri and after April `~> 197 malting its emplr~yees as hereinafter
provided, rnernbers of saki. ysterrs subject try all provisions of the Public
rr~pioyees' l~e%irerrtent i~.aw except scach as apply canly o:n electir~ra of a
ct7rltr~C'klnC~ r~g£~3"#~y k1T`td are rtC7t pt"ovided fc~r herE3in arld ~o ill arnerldr~ents
to said i~,av~r hereafter enacted except th.casa, which by express: previsions
thereof, apply only tan tt~e election of a contracting agency.
EXHIBIT A
1 ...E l a..1,... 3 ~ a . 3 _ t ~ ~<, . ~ .,. .,....
3. fi~n,ploye~~ of Publio Agency in the following cfiasses si~tai! become
rrternbers of said Retirement ysfern except such in each such class s
are ~;xcl~aded by law car this agreement:.
a. f..ocal Police ~3fi'icers {herein :referred tQ as fiocat safety members};
b. 1=mpiayees other Chart focal safety .members (herein referred to as
local misoellanecaus members).
~. !n additive to the classes of erriployees excluded frt~m membership ley
said Retirement law, the folfiewing classes of errtployees shad trot became
members of said Retirerrtent system:
~. A~.~. F'~~~t~N 1~:~lPi»t,~Y>~1~ ~fi~ C~~t F~Rlt~f~ "F'~ Cd~~lfii~.~i~7`
E~~~~T Tli~~~l~ ~~ ~~il~li.t~Y`tVli~Pij7" CJh1 GCDi~I"F2,~~T L~~'it"~ '4~Nfl
~1~C9 'i'Mil: ~1t~li~T~ ~;lP~~I[~R TE~~ ~.~~fi~L. YSl'~M ~~
~. Rric~r tc~ ,January 1, '!9'7, thras membern whey were hired by F'ulalic
Agency on a terrtpcarary and/car s~;asonal basis rtc~t to exceed ~ months
ovate excluded front RI~R rnernbershlp ~y eontract. government bode
section 2(J~t~i superseded this erarttract provision by providing that any
such ternporat~y artdlrrr seasonal erraployees are excluded frorr~ PR
membership sbser{uent to ,January 1, 1.97, fimegislatlan rc~pealr~d and
replaced said ~ectctn with government bode section 2tJ3tJ~ effective Juiy
y ~ 9~~.
~. Assets heretofore accumulated with respect to merrtbers under the local
retirt~ment system whc~ waived their righis under that systert7 .have been
transferred to the ~'tablic fi~,mpi~ayees' Retirement ysten~ on Aprifi 1, 1972
or between March 18r and March ~~, "( f376 and applied against the iabiifty
for prier service incurred thereunder. That portion of-~assets so transferred
which represent tfi~e accumulated cantrib~atians (plus interest thereof)
rewired cif the emptoyes untJer said local systen7 have been credited to
the lrtdividual rrtembership acco~.znt of eaoh such et~piayee under the
public ~mpl~yees' Retirement system.
~". The. percentage of final campensatinn to be provided for each year of
credited prier anal currc~r~t service far local miscellartc~aus members in
er~npiayrnent before ar~d net on or after the affective date of this
amendrrrertt to contract shall be determined in accordance with ~ectian
2154 of .said Retirernertt Law, subject tra the reductiarl provided therein
far service prlar to .June 39, `197, terminatinrt crf ~ociai security, for
merrtb~rs whose service has b~ert included in ~d~ral ~~alal ecurlty
{2~1~ at age ~5 l=gall acrd Modified.
~. The percentage of final ccarrrp~;nsation to be provided fear each year cal
credited prig and current service for iacal miscellaneous members ire
employment crf ar after the effective date of this amendment tc, contract
shah be determined 'Jn arcardance with eatlsan ~13~~-.~ ofi said
Rotir~rr~er~t i_auvx subj~~t try thc~ reduction provided titi~r~~n fir s~rvic~ prier
tea ~trr~e ~~, 13 ~, terrrrinatitan raf c~cal security, far merr~bers vahose
service has been inaiuded in Federal ~aei~il security (~.°l~ at age ~~ i=uli
and it~lcdified).
~, The percentage of final carr~pensatian tra be provided far each year of
credited pri~ar anrt current service as a irae~al safety mernrber shall be
determined in acccardance with ~ectian ~ ~~.2 a'f said Retirerrrent l.aw
(~°,!q at age ~fl i*uli},
~ 0. i'uialic Agency elected a;rtd elects tc~ be subject. tta the faitc~wing optiarrai
provisions:
a, ~ecti~an ~~r~i {i~acai ;~ysterrr Service credit included in Basic
Death 13eneflt).
b. ~~ctifan s ?~ ~~ and .~"1t~f~ (mast-Retirement urviVtar Aliaw~ance}.
c. Section 1~4 {Fourth f,.ev~l of 1958 Survivor benefits}.
d. ;~eetian ~CI04 {C3r~e-Year irtal ~r~rr7pensatian},
e. ;section '1D~~ (NlJiitary Service credit as Pabilc Service},
1 ~ , Public agency, in a;cccardance with ~caver-t~rnent fade Section ~i3'~9U,
ceased tea tae an "ernpiayer" f~rr pra'rpt~ses ref lea#ic~rf t78~~ effective can
July ~, 176, Accurrruiated cantributians ofi Pubi'rc Agency shall be fixed
and determined as pra~ided in C~averrrerrt fade lea#i~rr 2t78~~, and
accumulated c~antrib~:ttivns #hereafter~ shall be i7eld lay the Board as
prtavlded In Governrxtent t'acie Section ~a83~.
Public Agency shall contribute to said F~etirernent System the caratributians
deterr~rlned by actuarial valuations of prier and future service liability with
respect to local miscelianecaus and local safety members of said
Retirement ystetrm. '
1 ~, l~~ablic Agency shall also contribute to said Retirerrrent System as follows:
a. ContribGJtiorrs rec{c€ir~;d :per covered member an accs~unt of the 1 ~'~`~
Surv'tvcar Benefits provided under Sectiar~ 'l~7'~4 of saod f~etlrement
l_aw. l;~~ubj~:ct to annual change.} !n addltlr~n, ~zfl assets- and
ifakaiii'ties raf Public Agerrey and its errrplayees shall be pooled irr a
single acceurrt, b~~ed ~r~ terra lrrsurnce r~te~, fog ~urvivcar~ cal ill
local miscellaneous members and Ioca1 safely rrrerrrbers.
[?, A reasonable amaunt, as fixed by the Br~ard, p~yat~le. in one
installrrrent within 6Cl days of date caf c~antraet to cover thy; casts of
adrrrinist~r°[ng said system as Jt affc~sts the employees crf l"'~tblic
Agency, riot incfiudirrcd the cr~~ts raf apec[al valuations ar ref the
periodic investi~at[on and valuat~~ns r`o~uirod by iaw.
c. A reasc~nab[e amount, as fixed by the i~3aarci, payab(~ in pie
instal[~rrerat as fibs acoaslons arises, to cover the costs of special
va[raat[or~s on account ~f ernpic~yees of I~ub(c, Agency, and casts bf
the periodic investigation and valr~ratlorrs required bylaw.
'J4. Cantribtatians rertuired of f~ubd[o Agency and [fis employees shall be
sr~bject. to adjustment ley board ran account of amendrr°rents to the P~laiic
1~mplayee' ,t~etiremer~fi L.aw, and an accr~ttnt cif the experi-epee under the
F~etirement ystm as deterrr~ined by the periodic investlgatinn and
valuation regrxired by s~ald Ftetlrement l,.aw.
~~. C+~ntributians required of l~ubii~ A~enoy and its empi~yees shall be paid
by F'ubl[c Agency to the l~:etlrement system within. fifteen days. after the
end of the period to which saki cantributic~r~s refer ~r as tray lie prescribed
by ward regulation, if mare ar less than fibs correct amount of
cantril~utt~ns is paid fear ant per[~ad, proper ad~usfinent shall be rr~ade In
C:t717rictiarl with ~bs ll~it 1'~r31(ttarlcES. l~djustrrtents are aoct~unt Cif
~arri~rs In contrlbr~tions ~i;airad ~f any employee rr~ay be made by direct.
payrr~ents l~etweer, emp[t~yee and fhe hoard.:
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C~3. 'This amer7dmer~t s~li`x~ie etfi~ctlve pan the day of .
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