2012-11 PERSORDINANCE 2012 -11
AN ORDINANCE OF THE CITY COUNCIL OF THE
CITY OF ENCINITAS AUTHORIZING AN AMENDMENT
TO THE CONTRACT BETWEEN THE CITY COUNCIL
OF THE CITY OF ENCINITAS AND THE BOARD OF
ADMINISTRATION OF THE CALIFORNIA PUBLIC
EMPLOYEES' RETIREMENT SYSTEM
The City Council of the City of Encinitas does ordain as follows:
Section 1 That an amendment to the contract between the City Council of the City of
Encinitas and the Board of Administration, California Public Employees'
Retirement System, is hereby authorized, a copy of said amendment being
attached hereto, marked "EXHIBIT ", and by such reference made a part hereof
as though hereon 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 (30) days after the date of its adoption and
prior to the expiration of nine (9) days from the passage thereof shall be
published at least once in a newspaper of general circulation, published and
circulated in the City of Encinitas and thenceforth and thereafter the same shall
be in full force and effect.
This ordinance was introduced on August 22, 2012
Adopted and approved on this 12th day of September, 2012, by the following vote to wit.
AYES:
Barth, Bond, Gaspar, Muir.
NAYES:
None.
ABSENT:
Stocks.
ABSTAIN:
None.
Kristin aspar, Deputy ayor of e
City of Encinitas
ATTEST:
Kathy Ho4lywooJ, City Clerk
CaIPERS
California
Public Employees' Retirement System
ANMI /IM
Between the
Board of Administration
California Public loyees' Retirement System
and the
City Crouch
City of Encinitas
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 31, 1987, and witnessed October 1, 1587, and as amended effective June 22,
1990, January 13, 1996, June 14, 1997, December 26, 1998, April 26, 2001, December
1, 2042, June 21, 2003, July 2, 2005 and June 23, 2012 which provides for participation
of Public Agency in said System, Board and Public Agency hereby agree as follows:
A. Paragraphs 1 through 15 are hereby stricken from said contract as executed
effective June 23, 2012, and hereby replaced by the following paragraphs
numbered 1 through 16 inclusive:
All wards and terms used herein which are deterred 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 entering membership in
the miscellaneous classification on or prior to the effective date of this
amendment to contract, age 60 for local miscellaneous members entering
membership for the first lime In the miscellaneous classification after the
effective bate of this amendment to contract and age 55 for local safety
members.
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2. Public Agency shall participate in the Public Employees' Retirement
System from and after October 31, 1987 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. Public Agency agrees to indemnify, defend and hold harmless the
California Public Employeee Retirement System (CalPERS) and its
trustees, agents and employees, the CalPERS 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- CalPERS 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
CalPERS 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 355, 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.
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(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 became
members of said Retirement System except such in each such class as
are excluded by lawn or this agreement:
a. Local Fire Fighters (herein referred to as local safety members);
b. Ocean Beach Lifeguards (included as local safety members);
C. Employees other than local safety members (herein referred to as
local miscellaneous members).
5, 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. POLICE OFFICERS.
6. This contract shall be a continuation of the contract of the Encinitas Fire
Protection District and Encinitas Sanitary District, hereinafter referred to as
"Former Agency". The accumulated contributions, arts and liability for
prior and current service under the Former Agency's contract shall be
merged pursuant to Section 2 0508 of the Government Code. Such
merger occurred June 6, 1955.
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 July 2, 2005 shall be determined in
accordance with Section 21354 of said Retirement Law (2% at age 55
Full).
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 July 2, 2005 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 determine in
accordance with Section 21353 of said Retirement Law (2% at age 60
Full).
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10. The percentage of final compensation to be provided for each year of
credited prim and current service as a local safety member shall be
determined In accordance A ft Section 21363.1 of said Retirement Law
(3% at age 55 Full).
11. Public Agency elected and elects to be subject to the following optional
provisions:
a. Section 20938 (Limit Prior Service to Members Employed on
Contract Gate) for local miscellaneous members and ocean bead
lifeguards only.
b. Section 21573 (Third Level of 1859 Survivor Benefits).
C. Section 20042 (dine -Yeas Final Compensation) for local
miscellaneous members and for those local fire members entering
membership on or prior to June 23, 2012 and ocean beach
lifeguards entering membership on or prior to the effective date of
this amendment to contract..
d. Section 20965 (Credit for Unused Sick Leave) for local fire
members only.
e. Sections 21624 and 21626 (Post - Retirement Survivor Allowance)
for local fire members only.
f. Section 20903 (Two Years Additional Service Credit) for local
miscellaneous members only.
g. Section 20475 (Different Level of Benefits). Section 20037 (Three -
Year Final Compensation) is applicable to local fire members
entering membership for the first time in the fire classification sifter
,tune 23, 2012.
Section 20037 (Three -Year Final Compensation) is applicable to
ocean beach lifeguards entering membership for the first time in the
ocean beach lifeguard classificaton after the effective date of this
amendment to contract.
Section 21353 (2% @ 60 Full formula) and Section 20037 (Three
Year Final Compensation) are applicable to local miscellaneous
members entering membership for the first time in the
miscellaneous classification after the effective date of this
amendment to contract.
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12. Public Agency, in accordance with Government Code Section 201834, shall
not be considered an "employer' for purposes of the Public Employees'
Retirement Law. Contributions of the Public Agency shall be fixed and
determined as provided In Government Cade Section 201834, and such
contributions hereafter made 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
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 21573 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 members.
b. A reasonable amount, as fbted by the Board, payable in one
installment within 80 days of date of contract to cover the costs of
administering said System as it affects the employees of Public
Agency, not including the casts 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.
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