Ordinance - 2088ORDINANCE NO. 2088
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF WEST
COVINA, CALIFORNIA, AUTHORIZING AN AMENDMENT TO THE
CONTRACT BETWEEN THE BOARD OF ADMINISTRATION OF THE
PUBLIC EMPLOYEES' RETIREMENT SYSTEM AND THE CITY
• COUNCIL OF THE CITY OF WEST COVINA
The City Council of the City of West Covina does ordain as follows:
WHEREAS, the City of West Covina has met and conferred with the West Covina Fire
Association, Police Officers' Association, and Police Management Association; and
WHEREAS, the City Council has made a determination regarding the issue of providing
the Ca1PERS Section 21548 (Pre -retirement death benefit for surviving spouse) for the police
and fire sworn employees; and
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.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF WEST COVINA
DOES ORDAIN AS FOLLOWS:
Section 1. That an amendment to the contract between the City Council of the City of
West Covina and the Board of Administration, 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 Council is hereby authorized, empowered, and directed
to execute said amendment for and on behalf of said Agency.
Section 3. This Ordinance shall take effect thirty days after the date of its adoption, and
prior to the expiration of 15 days from the passage thereof shall be published in the San Gabriel
Valley Daily Tribune, a newspaper of general circulation, published and circulated in the City of
West Covina.
Passed and approved this 3rd day of September, 2002.
IWIA,nAt�"
Mayor Michael Touhey Q
ATTEST:
City Clerk Janet Berry
Ordinance No. 2088
Page Two
I, JANET BERRY, City Clerk of the City of West Covina, do hereby certify that the
• foregoing Ordinance No. 2088 was introduced at a regular meeting of the City Council
on the 6th day of August, 2002. Thereafter, the ordinance was duly approved and adopted at a
regular meeting of the City Council on the 3rd day of September, 2002, by the following vote:
AYES: Herfert, Miller, Sanderson, Wong, Touhey
NOES: None
ABSENT: None
APPROVED AS TO FORM:
City Attor ey Arnold Alvarez-Glasman
•
U
City Clerk Janet Berry
A000,0000"
caIrExs
California
Public Employees' Retirement System
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\\II\It)\II.AI lOC O\III''\ITT
Between the
Board of Administration
California Public Employees' Retirement System
and the
City Council
City of West Covina
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 July 1,
1966, and witnessed May 26, 1966, and as amended effective November 1, 1968,
October 1, 1970, September 16, 1977, December 11, 1978, January 1, 1979, June 1,
1983, December 16, 1983, December 16, 1984, December 16, 1987, February 16,
1989, July 1, 1989, June 17, 1992, January 6, 1994, June 24, 1997, September 24,
1997, October 2, 1998, November 17, 1998, July 16, 1999, July 8, 2000 and August 4,
2001 which provides for participation of Public Agency in said System, Board and Public
Agency hereby agree as follows:
A. Paragraphs 1 through 16 are hereby stricken from said contract as executed
effective August 4, 2001, and hereby replaced by the following paragraphs
numbered 1 through 16 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 July 1, 1966 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);
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. PERSONS COMPENSATED ON AN HOURLY BASIS; AND
b. EMPLOYEES AND FORMER EMPLOYEES RETAINING RIGHTS,
OR RECEIVING BENEFITS ON ACCOUNT OF RETIREMENT
FOR SERVICE UNDER THE LOCAL SYSTEM AS OF JULY 1,
1966.
5. Benefits being received under the local system on July 1, 1966 by persons
retired for disability shall be continued by the Public Employees'
Retirement System at the rate provided in the local system in accordance
with Section 20481 of the said Retirement Law, said rate being constituted
as follows:
a. A monthly lifetime allowance in the amount of one-half of the retired
person's basis salary at the date of disability retirement reduced by
the worker's compensation payments, each month during the
retired person's entitlement to such payments.
b. A $500 death benefit payable upon death of the retired person
described above.
6. Public Agency, in accordance with Section 20685 of the Government
Code, shall provide that the normal rate of contribution for those
employees who were members of the Local Retirement System be based
on age at entry into said local system.
•
•
•
7. Assets heretofore accumulated with respect to members in the local
retirement system have been transferred to the Public Employees'
Retirement System and applied against the liability for prior service
incurred thereunder. That portion of the assets so transferred which
represent the accumulated contributions (plus interest thereof) required of
the employees under said local system has been credited to the individual
membership account of each such employee under the Public Employees'
Retirement System.
8. This contract shall be a continuation of the contract of the San Gabriel
Valley. Fire Authority. A portion of the function of the. San Gabriel Valley
Fire Authority has been transferred to the City of West Covina. The
accumulated contributions, assets and liability for prior and current service
under the Former Agency's contract shall be merged pursuant to Section
20508 of the Government Code. Such merger occurred February 1, 1989.
9. 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 21354 of said Retirement Law
(2% at age 55 Full).
10. 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 21363.1 of said Retirement Law
(^ at age 55 Full).
11. Public Agency elected and elects to be subject to the following optional
provisions:
a. Section .21389 (Second Opportunity to Elect 1959 Survivor
Benefits). Legislation repealed said Section effective September
27, 1979.
b. Section 21536 (Local System Service Credit Included in Basic
Death Benefit).
C. Section 20903 (Two Years Additional Service Credit), Statutes of
1976. Legislation repealed said section effective January 1, 1979.
d. Sections 21624 and 21626 (Post -Retirement Survivor Allowance)
for local safety members only.
e. Section 20042 (One -Year Final Compensation)
f. Section 20965 (Credit for Unused Sick Leave).
g. Section 21622 ($600 Retired Death Benefit) for local fire members
only.
h. Section 21024 (Military Service Credit as Public Service), Statutes
of 1976.
Section 20903 (Two Years Additional Service Credit) for local
miscellaneous members only.
j. Section 21574 (Fourth Level of 1959 Survivor Benefits).
k. Section 21548 (Pre -Retirement Optional Settlement 2 Death
Benefit) for local safety members only.
12. Public Agency, in accordance with Government Code Section 20790,
ceased to be an "employer" for purposes of Section 20834 effective on
September 16, 1977. 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.
13. 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.
14. . Public Agency shall also contribute to said Retirement System as follows:
a. Contributions required per covered member on account of the 1959
Survivor Benefits provided under Section 21574 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.
15. 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.
16. 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.
This amendment shall be effective on the 12th day of October 2002
BOARD OF ADMINISTRATION CITY COUNCIL
PUBLIC EMPLOYEES' RETIREMENT SYSTEM CITY OF WEST COVINA
BY BY 11 'SAt4-p
KENNETH W. MARZION, CHIEF PRESIDI 4JG OFFICER
ACTUARIAL & EMPLOYER SERVICES DIVISION
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
�/y/oa
Witness Date/
Attest:
V �
Clerk
AMENDMENT
PERS-CON-702A (Rev. M96)
CALIFORNIA PUBLIC EMPLOYEES' RETIREMENT SYSTEM
Actuarial and Employer Services Division
Public Agency Contract Services
P.O. Box 942709
Sacramento, CA 94229-2709
(916)326-3420
CERTIFICATION
OF
FINAL ACTION OF GOVERNING BODY
I hereby certify that the
adopted on September 3
(date)
City Council
(governing body)
City of West Covina
of the
(public agency)
2002 , by an affirmative vote of a majority
of the members of said Governing Body,
Ordinance
(Ordinance or Resolution)
No. toss approving the attached contractual agreement between the
Governing Body of said Agency and the Board of Administration of the California Public
Employees' Retirement System, a certified copy of said Ordinance
(Ordinance or Resolution)
in the form furnished by said Board of Administration being attached hereto.
Clerk/Secretary
City Clerk
Title
Date 9/4/02
PERS-CON-5 (Rev. 1/96)