Resolution - 5537'RESOLUTION NO. 5537
��RESOLUTION OF INTENTION TO APPROVE AN
I( AMENDMENT TO CONTRACT BETWEEN THE
• U BOARD OF ADMINISTRATION OF THE
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
AND THE
•
•
CITY COUNCIL
OF THE
I;
CITY OF WEST COVINA
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 them-
selves and their employees to amendments to said law; and
WHEREAS, one of the steps in the procedure to amend this contract is the
adoption by the legislative body of the public agency of a resolu-
tion 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:
Provides that miscellaneous members not covered by
federal Social Security who did not elect to be covered
by the 1959 Survivor Benefit when Public Agency added
said 'benefit to its contract shall be given another
opportunity to elect to be covered under the program.
NOW, THEREFORE, BE IT RESOLVED, that the governing body of the above agency
gives, and it does hereby give notice of intention to approve an
amendmentilto the contract between the said governing body and the
Board of Administration of the Public Employees' Retirement System,
a copy ofj,said amendment being attached hereto,'as an "Exhibit"
and by this reference made a part hereof.
ATTEST:
City erk}
August 22, 1977
(Date adopted and approved)
CITY COUNCIL
OF THE
CITY OF WEST COVINA
�-',
/ �.n._
Mayor
(Title)
Ret. Form 122
•
I HEREBY CERTIFY that the foregoing Resolution No. 5537
was duly adopt,6d by the City Council of the City of West Covina at
a regular meet'i'ng thereof held on the 22nd day of August, 1977, by
the following vote of the Council:
AYES: Councilmen: Miller,Chappell, Browne, Tice, Shearer.
NOES: Councilmen: None
ABSENT: Councilmen: None
•
K]
- 2 -
r
City Cle k
APIENDIVIENT TO CONTRACT BETI�EEN THE
BOARD OF A7LINIINISTRATION
x � q PUBLIC ErJIPLOYEES' RE 12ET9ENT SYSTEM
• 47 AND THE
CITY COUNCIL
V� OF THE _
CITY OF. VVEST COVINA
4 e Board of Administration, Public Employees' Retirement System, hereinafter
,erred to as Board, el
end the City Council of the City of West Covina, hereinafter
referred to as Public Agency, having entered into a contract under date of May 26,
1.966, effective July l 1966, and as amended effective November 1, 1968, April 11
1970, and October 1, 1970, which pxovides'for participation of Public Agency in
said System., Board and , Publi.c Agency hereby agree as follows:
A. Paragraphs 1 through 13 are hereby stricken from said contract as amended
effective October 1, 1970, and are hereby replaced by the following
paragraphs numbered 1 through 12 inclusive:
1. All Swords and terms used'herein which are defined in the Public
Employees !Retirement Law shall have the meaningas defined
therein unless otherwise specifically provided. "Normal retirement
age" shall°mean age 60 for miscellaneous members and age 55 for local -
safety members. "Local System" shall mean Group Annuity Contract
No. 6378-N';issued by. Occidental Life Insurance.Company to the City of
Nest Covina on July 1, 1959 including all amendments thereto.
• 2. Public:Agency shall participate in the Public Employees' Retirement
System from and after. July 1, 1966, making its employees as herein-
after 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 haw hereafter enacted except such as by
express provision thereof apply only on the election of contracting
agencies.
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 firemen (herein referred to as local safety members);
b. Local policemen (herein referred to as local safety members);
C. Employees other than local firemen and local policemen (herein
referred to as Miscellaneous Members).
The following classes of employees shall be excluded from membership
in said Retirement System:
EMPLOYEES COMPENSATED ON AN HOURLY BASIS.
EMPLOYEES AND FORMER EMPLOYEES RETAINING RIGHTS
OR RECEIVING BENEFITS ON ACCOUNT OF RETIREMENT FOR SERVICE
UNDER THE LOCAL SYSTEM AS OF CONTRACT DATE.
Ret. Form 702-1
4:: q f is being received under, the local system on contract date by
'� s;sons retired far disability shall be continued by the Public
p wl+3piployees'� Retirement System at the rate provided in the local .system
•
in accordance with Section 20520 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 basic salary at the date of disability retire-
ment reduced by the Worlmen's compensation payment in each month_
during the retired person's entitlement to such payment.
b. A $50&death benefit payable upon death of the retired person
described above.
5. Assets heretofore accumulated in the local system shall. be transferred
to the Public Employees' Retirement System and applied against the
liability for prior service incurred. hereunder. That portion of the
assets so -,transferred which represents the accumulated contributions
(plus interest thereon) of employees under said. local system shall
be transferred to the Public Employees' Retirement System within
90 days after the effective date of this contract (July 1, 1966)
and credited to the individual membership account of each such
employee under the :Public Employees' Retirement System and admini.s-
tered there under Section 20523 of the Retirement Law. The balance
of local system assets shall be transferred from the insurer of the
local system, the Occidental. Fife Insurance Company of California.'
at a rate of not less than $8,333.00 per month commencing 30 days
following the effective date of this contract (July 1, 1966) until
•
the entire balance of such assets (including interest compounded at
3% per annum of balances remaining to be transferred) has been fully
transferred.
6. The fraction of final compensation to be provided for each year of .
credited prior and current service as a miscellaneous member shall
be determined in accordance with Section 21251.13 of said
Retirement,' Law.
7. The fraction of final compensation to be provided for each year of
credited prior and current service as a safety member shall be
determined in accordance with Section 21252.1 of said Retirement haw..
8. The following additional provisions of the Public Employees' Retire-
ment law which apply only upon election of a contracting agency shall
apply to the Public -Agency and its employees:
a. Section 20952.5 (providing for age 50 as the minimum voluntary
retirement age for local safety members with benefit payments .
commencing prior to age 55 subject to actuarial discount)..
b. Section 20605.5 (providing that the normal rate of contribution
for those employees who were members of the Local.Retirement System
--.. -
shall be based on age at entry into said local system).
Ret. Form 702-2
•
(providing that years of service rendered as a "
cal Retirement System prior to the effective date
shall .be included in the computation of the basic
ovided in Section 21361 upon the death of any
member who was also a member of said local system).
d. Section 21380-8 (providing for allowances for survivors of
members covered under the 1959 Survivor's Program upon the
member's death before retirement).
e. Section 21389 (providing that miscellaneous members not -covered
by federal Social Security who did not elect to be covered by
the 1959 Survivor Benefit when Public Agency added said benefit
to its contract shall be given another opportunity to elect to
be covered under the program).
9. Public Agency, in accordance with Section 20740, Government Code, shall
cease to be an "employer" for purposes of Chapter 6 of the Public
Employees"i Retirement haw effective as of the effective date of this
amendment 'to this contract. Accumulated contributions of the Public
Agency as 'of the date of such amendment shall be fixed and determined
as provided in Section 20759, Government Code, and such accumulated
contributions and contributions hereafter made shall be held by the
Board as provided in Section 20759, Government Code.
10. Public Agency shall contribute to said Retirement System as follows:
a. With respect to miscellaneous members, the public agency shall
contribute the following percentages of monthly salaries earned
as miscellaneous.members of said System:
(1) 1.159 percent until June 30, 1996 on account of the liability
for prior service benefits.
(2) &.171 percent on account of the liability for current service
benefits:
(3) 0.343 percent on account of the liability for the 1_959 Survivors
program.
b. With respect to local safety members, the public agency shall
contribute the following percentages of monthly salaries earned
as loc'al safety members of said System:
(1) 2.167 percent until June 30, 1996'on account of the liability
for prior service benefits.
(2) 11.888 percent on account of the liability for current service
benefits.
(3) 0.048 percent on account of the liability.for the 1959 Survivors
program.
uo+ '0.,,..,, 700_'z
c. A reasonable amount per annum, as fixed by Board to cover the
costs';of administering said System as it affects the employees
• of Public Agency, not including the costs of special valuations
or the periodical investigations and valuation required by law.
d. A reasonable amount as fixed by the Board, payable in one install-
ment as the occasions arise, to cover costs of special valuations
on account of employees of Public Agency, and.costs of the period-
ical investigation anal valuation required by law.
11. '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 experience under the
Retirement System as determined by the periodical investigation and
valuation required by said Retirement Law.
12. Contributions required of Public Agency and its employees shall be
paid by Public Agency to the Retirement System within thirty days
after the,lend of the period to which said contributions refer. 'If
more or less than the correct amount of contribution is paid for any
period, proper adjustment shall be made in connection with subsequent
remittances or adjustment on account of errors in contributions
required of any employee may be made by direct cash payments between
the employee and Board. Payments by Public Agency to Board may be
made in the form of warrants, bank checks, bank drafts, certified
checks, money orders, or cash.
. B. This amendment shall be attached to said contract and shall become
effective on the day of
Witness our hands this day of
BOARD OF ADMINISTRATION CITY COUNCIL
PUBLIC EMPLOYEES' RETIREMENT SYSTEM OF TIC
CITY OF WEST COVINA
BY BY
Carl J. Blechinger, ;Executive Officer Presiding Officqrpfi4
Approved as to form: Attest: f
Legal Office, PERS Clerk
Ret. Form 702-4
• �w
•
CERTIFICATION OF GOVERNING BODY'S ACTION
I hereby certify that the foregoing is a true and correct copy
of a Resolution adopted by the _ City Council ,
(Governing Body) -
of the City of West Covina
'(Name of Public Agency)
being Resolution No. 5537
on -- August 22, 1977 appearing at rage ,
(Date)
Volume of the (Minutes) (Official Records) of the
City Council
(Governing Body)
Dated:t�
CITY CLU* or
Secretary of the Board
PER --ACT-12 011710