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Home My WebLink AboutNS-2066 - Authorizing an Amendment to Contract Between City Council of City of Santa Ana and Board of Administration of California Public Employees Retirement SystemORDINANCE NO. NS- 2066 AN URGENCY ORDINANCE OF THE CITY OF SANTA ANA AUTHORIZING AN AMENDMENT TO THE CONTRACT BE~EEN THE CITY COUNCIL OF THE CITY OF SANTA ANA AND THE BOARD OF ADMINISTRATION OF THE CALIFORNIA PUBLIC EMPLOYEES RETIREMENT SYSTEM 593 THE CITY COUNCIL OF THE CITY OF SANTA ANA DOES ORDAIN AS FOLLOWS: SECTION 1: That an amendment to the contract between the city of Santa Ana 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 through herein set out in full. SECTION 2: The Mayor of the city Council of the City of Santa Ana is hereby authorized, empowered, and directed to execute said amendment for and on behalf of said agency. SECTION 3: This ordinance is declared by the city Council to be necessary as an emergency measure for preserving the public peace, health, and safety. The reasons for its urgency are as follows: (1) The city and the Santa Ana Fireman's Benevolent Association (FBA) are contractually obligated to amend the City's existing agreement with the Public Employees' Retirement System (PERS) to make certain changes effective July 1, 1990. (2) Pursuant to state law, any amendment to said agreement must be approved and authorized by ordinance of the City Council. (3) Further pursuant to state law, this ordinance could not be adopted until at least twenty days after the adopting of Resolution No. 90-054 on May 21, 1990, by which the city Council gave notice of its intent to amend the said agreement. (4) Said Resolution No. 90-054 could not be adopted earlier than the May 21, 1990 meeting of the City Council because an unanticipated need to update previously obtained valuation/cost data from PERS delayed the lengthy contract amendment procedure by six weeks. (5) Unless adopted as an urgency measure, this ordinance approving and authorizing the amendment to the said agreement would not be effective until after the necessary July 1, 1990, effective date for said amendment, thereby causing a breach of contract between the City and the FBA, as well as incurring a higher future contribution rate to PERS. 594 ORDINANCE NO. NS- PAGE TWO 2066 SECTION 4: This ordinance is adopted as an emergency measure and shall take effect immediately upon adoption. ADOPTED this 18th day of June, 1990. D~H.~YO~Mayor ATTEST: ~c~nice C. Guy' lerk of the CoUncil COUNCILMEMBERS: Young Aye Acosta Absent Griset A.¥e May Aye McGuigan A.¥e Norton A.¥e Pulido Aye APPROVED AS TO FORM: City AttOrn~e 595 The Board of Administration, Public Employees' Retirement System, hereinafter referred to as Board, and the governing body of above public agency, hereinafter referred to as Public Agency, having entered into a contract effective July 1, 1947, and witnessed November 25, 1946, and as amended effective October 1, 1951, February 1, 1954, September 1, 1956, July 1, 1959, November 1, 1960, September 1, 1963, April 1, 1964, February 1, 1965, January 16, 1969, November 1, 1970, June 1, 1974, December 16, 1976, December 1, 1978, October 1, 1981, July 1, 1984, December 1, 1984, July 1, 1985 and February 1, 1990, which provides for participation of Public Agency in said System, Board and Public Agency hereby agree as follows: Paragraphs 1 through 12 are hereby stricken from said contract as executed effective February 1, 1990, and hereby replaced by the following paragraphs numbered 1 through 12 inclusive: 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 60 for local miscellaneous members and age 50 for local safety members. Public Agency shall participate in the Public Employees' Retirement System from and after July 1, 1947 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. 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);. Local Police Officers (herein referred to as local safety members); c. Employees other than local safety members (herein referred to as local miscellaneous members). 596 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~ I~OADDITIOf~,L EXCI.,USIONS 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 21251.13 of said Retirement Law (2% at age 60 Full). 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 21252.01 of said Retirement Law (2% at age 50 Full). Public Agency elected to be subject to the following optional provisions: Sections 21380-21387 (1959 Survivor Benefits) excluding Section 21382.2 (Increased 1959 Survivor Benefits) and Section 21382.4 (Third Level of 1959 Survivor Benefits). Sections 21263, 21263.1 and 21263.3 (Post-Retirement Survivor Allowance). Section 20930.3 (Military Service Credit as Public Service), Statutes of 1974 for those local miscellaneous members and local safety members entering membership prior to October 1, 1981. Section 20461.6 (Different Level of Benefits), applicable to Section 20930.3 (Military Service Credit as Public Service), Statutes of 1974, for local miscellaneous members and local safety members entering membership on or after October 1, 1981. e. Section 20024.2 (One-Year Final Compensation). Public Agency, in accordance with Government Code Section 20740, ceased to be an "employer" for purposes of Section 20759 effective on December 16, 1976. Accumulated contributions of Public Agency shall be fixed and determined as provided in Government Code Section 20759, and accumulated contributions thereafter shall be held by the Board as provided in Government Code Section 20759. 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. 597 10. Public Agency shall also contribute to said Retirement System as follows: mo A reasonable amount, as fixed by the Board, payable in one in- stallment 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. A reasonable amount, as fixed by the Board, payable in one in- stallment 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. 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 the experience under the Retirement System as determined by the periodic 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 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 day of , 19 BOARD OF ADMINISTRATION PUBLIC EMPLOYEES' RETIREMENT SYSTEM CITY COUNCIL OF THE CITY OF SANTA ANA BY BY CHIEF, CONTRACT SERVICES DIVISION PUBLIC EMPLOYEES' RETIREMENT SYSTEM Presiding Officer Witness Date Attest: PERS-CON-702 (AMENDMENT) (Rev. 6/88) Clerk