HomeMy WebLinkAboutSR - SB642 - Unemplymnt Cmpnstn BnftsREQUEST:
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CITY OF PALM DESERT
COMMUNITY SERVICES DEPARTMENT
STAFF REPORT
CONSIDERATION OF LEGISLATIVE REVIEW COMMITTEE
ACTION ON SB642 (NEGRETE-MCLEOD) AT ITS MEETING OF
APRIL 24, 2007
DATE: May 10, 2007
CONTENTS: SB642 Language
RECOMMENDATION:
By Minute Motion, concur with the action taken by the Legislative Review Committee at its
meeting of April 24, 2007, and direct staff to prepare a letter of support for the Mayor's
signature with regard to SB642 (Negrete-McLeod) relative to unemployment compensation
benefits.
EXECUTIVE SUMMARY:
Passage of SB642 would remove employer responsibility with regard to unemployment
compensation under certain conditions.
BACKGROUND:
Current law provides for the payment of unemployment compensation to unemployed
individuals who meet certain eligibility requirements and under existing law, unemployment
compensation benefits are based on wages paid in a base period. SB642 would declare
the intent of the Legislature to provide that, to the extent permitted by Federal Law,
unemployment compensation benefits payable to a retired public employee, who receive
the employer paid defined benefit pension payments from a former employer, may not • el
charged against that employer's account. While the City of Palm Desert accei is
responsibility for its employees having its unemployment insurance account cha 'gPd fo a
retired employee does not appear to be in the best public interest.
Therefore, the Legislative Review Committee recommends that the City Counc I Euc port
SB642 nd direct staff to prepare a letter stating that position to appropriate Legi$ la:ors r
the Mj is signature.
PATRICIA SCULLY, CF
SENIOR MANAGEMENT ANAJ'YST
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HEILA R. GILL A
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PAUL GIBSON ` E-t
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CARLOS L. ORTEGA
CITY MANAGER
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