HomeMy WebLinkAboutORD 1224ORDINANCE NO. 1224 CALPERS
AN ORDINANCE OF THE CITY COUNCIL OF
THE CITY OF PALM DESERT, CALIFORNIA,
AUTHORIZING AN AMENDMENT TO THE CONTRACT BETWEEN THE
BOARD OF ADMINISTRATION OF THE PUBLIC EMPLOYEES'
RETIREMENT SYSTEM AND AND
THE CITY COUNCIL OF THE CITY OF PALM DESERT.
WHEREAS, the City Council of the City of Palm Desert (hereinafter the "City") and
the Board of Administration, Public Employees' Retirement System (hereinafter the
"Board"), entered into a contract for participation of the City in said system effective
October 26, 1974; and
WHEREAS, said contract has been amended, from time to time, on February 7,
1981, July 29, 1989, June 14, 1991, June 28, 1996, July 31, 2002, and April 24 2009; and
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF PALM DESERT,
CALIFORNIA, DOES HEREBY ORDAIN AS FOLLOWS:
Section 1. That an amendment to the contract between the City Council of the City
of Palm Desert, California, and the Board of Administration of the 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 of Palm Desert, California is hereby authorized,
empowered, and directed to execute said amendment for and on behalf of said Agency.
Section 3. The Ordinance shall take effect 30 days after the date of its adoption,
and shall be published at least once in The Desert Sun, a newspaper of general circulation,
and thenceforth and thereafter the same shall be in full force and effect.
ORDINANCE NO. 1 224
Adopted and approved this 25TH day of August , 2011.
PASSED, APPROVED, AND ADOPTED by the City Council of the City of Palm
Desert, California, at its regular meeting held this 25th day of ,s , 2011, by the
following vote, to wit:
AYES: FINERTY, HARNIK, KROONEN, SPIEGEL, and BENSON
NOES: NONE
ABSENT: NONE
ABSTAIN: NONE
ATTEST:
RA HE LE D. ASS ,CITY CL K
CITY OF PALM DESERT, CALIFORNIA
,---? - I -Il
2
ORDINANCE NO. 1224
EXHIBIT A
Ca1PERS
California
Public Employees' Retirement System
Page 1 of 5
AMENDMENT TO CONTRACT
Between the
Board of Administration
California Public Employees' Retirement System
and the
City Council
City of Palm Desert
ub� The Board of Administration, California Public Employees' Retirement System,
hereinafter referred to as Board, and the governing body of the above public agency,
hereinafter referred to as Public Agency, having entered into a contract effective
October 26, 1974, and witnessed October 3, 1974, and as amended effective February
7, 1981, July 29, 1989, June 14, 1991, June 30, 1996, September 7, 2002 and April 24,
2009 which provides for participation of Public Agency in said System, Board and Public
Agency hereby agree as follows:
A. Paragraphs 1 through 13 are hereby stricken from said contract as executed
effective April 24, 2009, and hereby replaced by the followisig paragraphs
numbered 1 through 15 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.
2. Public Agency shall participate in the Public Employees' Retirement
System from and after October 26, 1974 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.
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ORDINANCE NO. 1224 Page 2 of 5
3. Public Agency agrees to indemnify, defend and hold harmless the
California Public Employees' Retirement System (CaIPERS) and its ri
trustees, agents and employees, the CaIPERS Board of Administration,
and the California Public Employees' Retirement Fund from any claims,
demands, actions, losses, liabilities, damages, judgments, expenses and
costs, including but not limited to interest, penalties and attorneys fees
that may arise as a result of any of the following:
(a) Public Agency's election to provide retirement benefits,
provisions or formulas under this Contract that are different than
the retirement benefits, provisions or formulas provided under
the Public Agency's prior non-CaIPERS retirement program.
(b) Public Agency's election to amend this Contract to provide
retirement benefits, provisions or formulas that are different than
existing retirement benefits, provisions or formulas.
(c) Public Agency's agreement with a third party other than
CaIPERS to provide retirement benefits, provisions, or formulas
that are different than the retirement benefits, provisions or
formulas provided under this Contract and provided for under
the California Public Employees' Retirement Law.
(d) Public Agency's election to file for bankruptcy under Chapter 9
(commencing with section 901) of Title 11 of the United States
Bankruptcy Code and/or Public Agency's election to reject this
Contract with the CaIPERS Board of Administration pursuant to
section 365, of Title 11, of the United States Bankruptcy Code
or any similar provision of law.
(e) Public Agency's election to assign this Contract without the prior
written consent of the CaIPERS' Board of Administration.
(f) The termination of this Contract either voluntarily by request of
Public Agency or involuntarily pursuant to the Public Employees'
Retirement Law.
(g) Changes sponsored by Public Agency in existing retirement
benefits, provisions or formulas made as a result of
amendments, additions or deletions to California statute or to
the California Constitution.
4. 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. Employees other than local safety members (herein referred to as
local miscellaneous members).
ORDINANCE NO. 1224 Page 3 of 5
5. In addition to the classes of employees excluded from membership by
Slow said Retirement Law, the following classes of employees shall not become
members of said Retirement System:
a. ALL SAFETY EMPLOYEES; AND
b. ALL EMPLOYEES AGE 65 OR OLDER ON CONTRACT DATE.
6. 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.
7. The percentage of final compensation to be provided for each year of
credited prior and current service as a local miscellaneous member in
employment before and not on or after September 7, 2002 shall be
determined in accordance with Section 21354 of said Retirement Law
(2% at age 55 Full).
wow 8. The percentage of final compensation to be provided for each year of
credited prior and current service as a local miscellaneous member in
employment on or after September 7, 2002 and not entering membership
for the first time in the miscellaneous classification after the effective date
of this amendment to contract shall be determined in accordance with
Section 21354.5 of said Retirement Law (2.7% at age 55 Full).
9. The percentage of final compensation to be provided for each year of
credited current service as a local miscellaneous member entering
membership for the first time in the miscellaneous classification after the
effective date of this amendment to contract shall be determined in
accordance with Section 21354 of said Retirement Law (2% at age 55
Full).
10. Public Agency elected and elects to be subject to the following optional
provisions:
a. Sections 21624 and 21626 (Post -Retirement Survivor Allowance).
b. Section 21572 (Increased Level of 1959 Survivor Benefits).
C. Section 20965 (Credit for Unused Sick Leave).
ORDINANCE NO. 1224
Page 4 of 5
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d. Section 21151 (Industrial Disability Retirement For Local
Miscellaneous Members). a"
e. Section 21427 (Improved Nonindustrial Disability Allowance).
f. Section 20042 (One -Year Final Compensation) for those local
miscellaneous members entering membership on or prior to the
effective date of this amendment to contract.
g. Section 20503 (To Remove the Exclusions of "Crossing Guards"
and "Administrative Intern", Prospectively from June 14, 1991).
h. Section 20325 (Optional Membership for Part -Time Employees) for
those local miscellaneous members entering membership on or
prior to the effective date of this amendment to contract.
Section 20903 (Two Years Additional Service Credit).
Section 20475 (Different Level of Benefits). Section 21354 (2% @
55 Full formula) and Section 20037 (Three -Year Final
Compensation) without Section 20325 (Optional Membership for
Part -Time Employees) are applicable to local miscellaneous
members entering membership for the first time in the
miscellaneous classification after the effective date of this Wi
amendment to contract.
11. Public Agency, in accordance with Government Code Section 20790,
ceased to be an "employer" for purposes of Section 20834 effective on
February 7, 1981. 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.
12. 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 of said Retirement System.
13. Public Agency shall also contribute to said Retirement System as follows:
a. 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.
ORDINANCE NO. 1224
Page 5 of 5
b. 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.
14. 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.
15. 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 25th day of 2011
BOARD OF ADMINISTRATION CITY COUNCIL
PUBLIC EMPLOYEES' RETIREMENT SYSTEM CITY OF PALM DESERT
DARRYL WATSON, CHIEF
CUSTOMER ACCOUNT SERVICES DIVISION
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
September 6, 2011
Witness Date
Attest:
AMENDMENT ER# 1018
PERS-CON-702A