1997-054-Approve An Amendment To Contract Between The Board Of Administration Of The Public Employees Retirement System And The Town Council1997 - 54
RESOLUTION OF INTENTION
TO APPROVE AN AMENDMENT TO CONTRACT
BETWEEN THE
BOARD OF ADMINISTRATION
OF THE
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 21382.5 (Fourth Level of 1959 Survivor
Benefits) for local miscellaneous members and local safety
members.
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
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.
AYES: Randy Attaway, Steven Blanton,
Jan Hutchins, Linda Lubeck
Mayor Joanne Benjamin
NAYS: None
ABSENT: None
ABSTAIN: None
June 2, 1997
Date adopted and approved
(Amendment)
CON -302 (Rev. 4/96)
t ��'residing Officer
MAYOR OF THE TOWN OF LOS GATOS
Title
ATTEST: }}
MARIAN V. COSGROVE, TOWN ERK
AMENDMENT TO CONTRACT EXHIBIT
BETWEEN THE
BOARD OF ADMINISTRATION
OF THE
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
AND THE
TOWN COUNCIL
OF THE
TOWN OF LOS GATOS
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 April t, 1972, and witnessed March 1, 1972, and as
amended effective August 2, 1972, June 1, 1976, July 1, 1976, October 1, 1976, January 4, I990,
and December 16, 1992 which provides for participation of Public Agency in said System, Board
and Public Agency hereby agree as follows:
A. Paragraphs 1 through 14 are hereby stricken from said contract as executed effective
December 16, 1992, and hereby replaced by the following paragraphs numbered I
through 14 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 55 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 April 1, 1972 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 Police Officers (herein referred to as local safety members);
b. 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. ALL PERSONS EMPLOYED ON OR PRIOR TO CONTRACT
DATE WHO WERE MEMBERS OF THE LOCAL SYSTEM
EXCEPT THOSE IN EMPLOYMENT ON CONTRACT DATE
WHO WAIVED THEIR RIGHTS UNDER THE LOCAL SYSTEM
AND THOSE PERSONS WHO WAIVED THEIR RIGHTS
BETWEEN MARCH 18 AND MARCH 26, 1976.
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 supersedes this
contract provision by providing that any such temporary and/or seasonal
employees are excluded from PERS membership subsequent to January I, 1975.
Legislation repealed and replaced said Section with Government Code Section
20305 effective July 1, 1994.
6. Assets heretofore accumulated with respect to members under the local retirement
system who waived their rights under that system have been transferred to the
Public Employees' R- •irement System on April 1, 1972 or between March 18, and
March 26, 1976 anu applied against the liability for prior service incurred
thereunder. That portion of assets so transferred which represent the accumulated
contributions (plus interest thereof) required of the employees under said local
system have been credited to the individual membership account of each such
employee under the Public Employees' Retirement System.
7• 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 June 30, 1976, termination of
Social Security, for members whose service has been included in Federal Social
Security (2% at age 55 Full and Modified).
8. 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).
9. Public Agency elected and elects to be subject to the following optional
provisions:
a. Section 21536 (Local System Service Credit Included in Basic Death
Benefit).
b. Sections 21624 and 21626 (Post - Retirement Survivor Allowance).
C. Section 21382.5 (Fourth Level of 1959 Survivor D___fi__)
d. Section 20042 (One -Year Final Compensation).
e. Section 21024 (Military Service Credit as Public Service), Statutes of
1976.
10. Public Agency, in accordance with Government Code Section 20790, ceased to be
an "employer" for purposes of Section 20834 effective on July 1, 1976.
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.
11. 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.
12. Public Agency shall also contribute to said Retirement System as follows:
a• Per covered member, S8.50 Der month nn account of the liability for the
1959 Survivor RBnPfita nrn.,: in F __d__ . .
account, based on term insurance rates for survivors of all to
miscellaneous members and local saferi 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.
13. 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.
td. 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 TOWN COUNCIL
PUBLIC EMPLOYEES' RETIREMENT SYSTEM OF THE
TOWN OF LOS GATOS
BY BY
KENNETH W. MARZION, CHIEF PRESIDING OFFICER
ACTUARIAL & EMPLOYER SERVICES DIVISION
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
Witness Date
Attest:
Clerk
AMENDMENT
PERS- CON•702A (Rev. M6)
RESOLUTION OF INTENTION
TO APPROVE AN AMENDMENT TO CONTRACT
BETWEEN THE
BOARD OF ADMINISTRATION
OF THE
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 21382.5 (Fourth Level of 1959 Survivor
Benefits) for local miscellaneous members and local safety
members.
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
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.
By (rye✓
Presiding Officer
1
I \AJcg
Title
D4fe adopted and approved
(Amendment)
CON -302 (Rev. 4/96)
EXHIBIT
AMENDMENT TO CONTRACT
BETWEEN THE
BOARD OF ADMINISTRATION
OF THE
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
AND THE
TOWN COUNCIL
OF THE
TOWN OF LOS GATOS
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 April 1, 1972, and witnessed March 1, 1972, and as
amended effective August 2, 1972, June 1, 1976, July 1, 1976, October 1, 1976, January 4, 1990,
and December 16, 1992 which provides for participation of Public Agency in said System, Board
and Public Agency hereby agree as follows:
A. Paragraphs 1 through 14 are hereby stricken from said contract as executed effective
December 16, 1992, and hereby replaced by the following paragraphs numbered 1
through 14 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 55 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 April 1, 1972 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 Police Officers (herein referred to as local safety members);
b. 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. ALL PERSONS EMPLOYED ON OR PRIOR TO CONTRACT
DATE WHO WERE MEMBERS OF THE LOCAL SYSTEM
EXCEPT THOSE IN EMPLOYMENT ON CONTRACT DATE
WHO WAIVED THEIR RIGHTS UNDER THE LOCAL SYSTEM
AND THOSE PERSONS WHO WAIVED THEIR RIGHTS
BETWEEN MARCH 18 AND MARCH 26, 1976.
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 supersedes 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. Assets heretofore accumulated with respect to members under the local retirement
system who waived their rights under that system have been transferred to the
Public Employees' Retirement System on April 1, 1972 or between March 18, and
March 26, 1976 and applied against the liability for prior service incurred
thereunder. That portion of assets so transferred which represent the accumulated
contributions (plus interest thereof) required of the employees under said local
system have been credited to the individual membership account of each such
employee under the Public Employees' Retirement System.
7. 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 June 30, 1976, termination of
Social Security, for members whose service has been included in Federal Social
Security (2% at age 55 Full and Modified).
8. 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).
9. Public Agency elected and elects to be subject to the following optional
provisions:
a. Section 21536 (Local System Service Credit Included in Basic Death
Benefit).
b. Sections 21624 and 21626 (Post- Retirement Survivor Allowance).
C. Section 21382.5 (Fourth Level of 1959 Survivor Benefits).
d. Section 20042 (One -Year Final Compensation).
e. Section 21024 (Military Service Credit as Public Service), Statutes of
1976.
10. Public Agency, in accordance with Government Code Section 20790, ceased to be
an "employer" for purposes of Section 20834 effective on July 1, 1976.
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.
H. 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.
12. Public Agency shall also contribute to said Retirement System as follows:
a. Per covered member, 58.50 per month on account of the liability for the
1959 Survivor Benefits provided under Section 21382.5 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
miscellaneous members and local safety 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.
13. 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.
14. 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
BOARD OF ADMINISTRATION TOWN COUNCIL
PUBLIC EMPLOYEES' RETIREMENT SYSTEM OF THE
TOWN OF LOS GATOS
BY
KENNETH W. MARZION, CHIEF
ACTUARIAL & EMPLOYER SERVICES DIVISION
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
AMENDMENT
PERS- CON -702A (Rev. 8V6)
BY KtWIANU
• 'r'
� G
Witness Date
Attest:
C 1 k
CALIFORNIA PUBLIC L,, PLOYEES' RETIREMENT SYSTEm
Actuarial and Employer Services Division
Public Agency Contract Services
P.O. Box 942709
Sacramento, CA 94229 -2709
(916) 326 -3420
CERTIFICATION OF GOVERNING BODY'S ACTION
I hereby certify that the foregoing is a true and correct copy of a Resolution adopted by the
of the
(governing body)
L=':0:5
agency)
on 0"-a� j / /V/
& = (date)
Cler e @r' 4iy
Title
PERS- CON -12 (rev. 1/96)
CALIFORNIA PUBLIC L,, PLOYEEY RETIREMENT SYSTEi..
Actuarial and Employer Services Division
Public Agency Contract Services
P.O. Box 942709
Sacramento, CA 94229 -2709
(916) 326 -3420
CERTIFICATION OF COMPLIANCE WITH
GOVERNMENT CODE SECTION 7507
I hereby certify that in accordance with Section 7507 of the Government Code the future annual
costs as determined by the System Actuary and/or the increase in retirement benefit(s) have been
made public at a public meeting of the �AD n CCU nn 1
f (governing body)
of the n a n '7- ( c ( r\ -
(public agency)
one d / �f j7 which is at least two weeks prior to the adoption of the
C/ (date)
Resolution/Ordinance.
Clerk/Sgcx6taf�/ �
Title
Date
PERS- CON -12A (rev. 1/96)
AGREEMENT
TO POOL
1959 SURVIVOR BENEFITS ASSETS AND LIABILITIES
BETWEEN THE
BOARD OF ADMINISTRATION
OF THE
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
AND THE
TOWN COUNCIL
OF THE
TOWN OF LOS GATOS
WHEREAS, Government Code Section 21382.5 provides for a single employer rate to be
established to provide benefits under said Section on account of members
employed by contracting agencies electing to include the provision of said Section
in their contracts; and
WHEREAS, Government Code Section 21382.5, requires pooling of all assets and liabilities of
all contracting agencies subject to said Section;
NOW, THEREFORE BE IT AGREED, that assets and liabilities of the Town of Los Gatos and
its covered employees shall be pooled pursuant to the provisions of Government
Code Section 21382.5.
BOARD OF ADMINISTRATION
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
BY
KENNETH W. MARZION, CHIEF
ACTUARIAL & EMPLOYER SERVICES DIVISION
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
PERS- CON -59 (Rev. 7/96)
TOWN COUNCIL
OF THE
TOWN OF LOS GATOS
BY !?�—
PRESIDTNG OFFICER
'1
Date
1,
AGREEMENT
TO POOL
1959 SURVIVOR BENEFITS ASSETS AND LIABILITIES
BETWEEN THE
BOARD OF ADMINISTRATION
OF THE
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
AND THE
TOWN COUNCIL
OF THE
TOWN OF LOS GATOS
WHEREAS, Government Code Section 21382.5 provides for a single employer rate to be
established to provide benefits under said Section on account of members
employed by contracting agencies electing to include the provision of said Section
in their contracts; and
WHEREAS, Government Code Section 21382.5, requires pooling of all assets and liabilities of
all contracting agencies subject to said Section;
NOW, THEREFORE BE IT AGREED, that assets and liabilities of the Town of Los Gatos and
its covered employees shall be pooled pursuant to the provisions of Government
Code Section 21382.5.
BOARD OF ADMINISTRATION
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
BY
KENNETH W. MARZION, CHIEF
ACTUARIAL & EMPLOYER SERVICES DIVISION
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
PERS- CON -59 (Rev. 7196)
TOWN COUNCIL
OF THE
TOWN OF LOS GATOS
Date
V/
CALIFORNIA PUBLIC L,,tPLOYEES' RETIREMENT SYSTEivt
Actuarial and Employer Services Division
Public Agency Contract Services
P.O. Box 942709
Sacramento, CA 94229 -2709
(916) 326 -3420
CERTIFICATION OF GOVERNING BODY'S ACTION
I hereby certify that the foregoing is a true and correct copy of a Resolution adopted by the
��4ecO of the
(governing body)
T�
agency)
on
j (date)
Cler �r
Title
PERS- CON -12 (rev. 1/96)