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HomeMy WebLinkAboutReso - CC - 021-1979RESOLUTION NO. 21-79 RESOLUTION OF INTENTION TO APPROVE All t1?LN>? iT TO CONT?.ACT BITUM."1:I THE SOMA OF ADHINISTRATIOII OF THE PUBLIC EiPLOYEES' RETIREMENT SYSTM AND THE CITY COUNCIL OF THE CITY OF BURLINGAME W0REAS, the Public Employees' Retirement Lasa 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 procodure 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 small contain a summary of the change proposed in said contract; and WHEREAS, the following is a statement of the proposed changes To provide Section 20614 (that normal member contribution rates be reduced from 7% to 3�i% for miscellaneous members and from 9% to 415% for local safety members). NOW, THEREFORE, BE IT RESOLVED, that the sgoverninbody of the above agency gives, and it does hereby give notice of intention to auprove an amendment to the contract between the said governing body and the Board of Administration of the Public Employees' Retirement System, a copy of said amendment being attached hereto, as an 11Exhibit" and by this reference made a part hereof. BY (i1 e) Mayor Title April 2, 1979 (Date adopted and approved) Ret. Fora 122 AMENDIENT TO C014TRACT BETWEEN THE B0.'1P.D OF ADMIvISTRATION PUBLIC EMPLOYEES' RLTIRFriENT SYSTEM AND THE CITY COUNCIL OF THE CITY OF BURLINGAME 'Iti The Board of Administration, Epblic;Enployees} Retirement System, herein- after referred to as "Board", and the governing body of above public agency, hereinafter referred to as "Public 4ancy", having entered into a contract under date of July 6, 1942, effective July 1, 1942,and as amended effective February 1, 1954, July 1, 1956, April 1, 1963, March 1, 1964, April 1, 1965, march 16, 1967, November 1, 1963, September 1, 1970,April 1, 1973, May 1, 1974, November 1, 1974, February 20, 1975, [larch 16, 1975, July 1, 1976, August 16, 1976, which provides for participation of Public Agency in said System, Board and Public Agency hereby agree as follows: A. Paragraphs 1 through 10 are hereby stricken from said contract as executed effective July 1, 1942, and 'hereby replaced by the following paragraphs number 1 through o 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 60 for 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, 1942, 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 such as by express provisions 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 safety members (herein referred to as miscellaneous members). PERS-CON-702-1 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: PLAYGROUND LEAVERS HIRED ON OR AFTER .PARCH 16, 1967, WHO ARE PAID ON Alii HOURLY BASIS. POLICE CADETS HIRE Oti OR AFTER MARCH 16, 1967. LIBRARY PAGES HIRED ON OR AFTER MAP,CH 16, 1967. FIRE CADETS :LTD CdOSSIiTG GUARDS HIRED ON OR AFTER .PAY 1, 1974. 4. 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 (2/, at age 60). 5. 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 21252.01 of said Retirement Law (2i at age 50). 6. The following additional provisions of the Public Employees' Retirement Law which apply only upon election of a contracting agency shall apply to the Public Agency and its employees: a. Sections 21380-21388 (providing for allowances for survivors of members covered under the 1959 Survivor's Program upon the member's death before retirement). b. "Local Policemen" shall include persons assigned to identifi- cation and communication duties in the Police Department who are not now local safety members and who were in such employment on August 4, 1972, who elect safety membership within sixty days of February 20, 1975. c. Section 21222.1 (providing a five -percent increase in allowance to which the annual cost -of -living provisions apply, payable for time commencing on the first day of the calendar month coinciding with or next following the effective date of the amendment to add this section to this contract, to or on account of members retired or deceased on or prior to December 31, 1970). d. Section 21222.2 (providing a five -percent increase in allowances to which the annual cost -of -living provisions apply, payable for time commencing on the first day of the calendar month coinciding with or next following the effective date of the amendment to add this section to this contract, to or on account of members retired or deceased on or after January 1, 1971 but before July 1, 1971). PERS-CON-702-2 e. Sections 21263 and 21263.1 (providing upon the death of a member who retired for service or disability for continuance of a post-retirement survivor allowance to certain survivors). f. Section 21222.6 (providing a fifteen -percent increase in allowances to which the annual cost -of -living provisions apply, payable for time commencing on the first day of the calendar month coinciding with or next following the effective date of the amendment to add this section to this contract, to or on account of certain miscellaneous members retired or deceased prior to July 1, 1971). g. Section 20614 (providing that normal member contribution rates be reduced from 7% to 3'-j'/'for local miscellaneoud members and 9% to 4�1% for local safety members. 7. Public Agency, in accordance with Section 2074U, Government Code, ceased to be an "employer" for purposes of Chapter 6 of the Public Employees' Retirement law effective on August 16, 1975. Accumulated contributions of Public Agency as of the aforementioned date shall be fired and determined as provided in Section 2U759, Government Code, and accumulated contributions as of the afore- mentioned date and contributions thereafter made shall be held by the Board as provided in Section 20759, Government Code. 8. Public Agency shall contribute to said Retirement System as follows: a. With respect to miscellaneous members, the agency shall contribute the following percentages of monthly salaries earned as miscellaneous members of said Retirement System: (1) 1.321 percent until June 30, 1980 on account of the liability for prior service benefits. (2) 20.361 percent on account of the liability for current service benefits. (3) .259 percent on account of the liability for the 1959 Survivor Program. (4) .240 percent until October 30, 1980 on account of the liability for the benefits provided under Section 21222.1 of said Retirement Law. b. With respect to local safety members, the agency shall contribute the following percentages of monthly salaries earned as local safety members of said Retirement System: (1) 32.294 percent on account of the liability for current service benefits. PERS-CON-702-3 c. A reasoua_�e amount per annum, as fixed by the 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 of the periodical investigation and valuations required by law. d. 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 periodical investigation and valuations required by law. 9. 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 Systema as determined by the periodical investigation and valuation required by said Retirement Law. 10. Contributions required of Public Agency and its employees shall be paid by Public Agency to the Retirement System within thirty 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, or adjustments on account of errors in contributions required of any employee may be made by direct cash payments between the employee and the Board. Payments bj 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 be effective on the day of , 19 Witness our hands this BOARD OF ADMINISTRATION PUBLIC EMPLOYEES' RETIREMENT SYSTEH BY Carl J. Blechinger, Executive,'Officer' Approved as to form: Legal Office, PERS day of -OF THE j BY Presiding Officer Attest: Clerk 19 PERS-CON-702-4 PERS -C0:? -14 (tev. 4-78) AGE11CY NA`,E City of Burlingame EMPLOYER NO MISCELLAN-ECUS PA 15 A. VALUATIOTTSPECIFICATIC"'.S 1. Actuarial data as of 6/7n /2-7 2. Formula 3. Final Compensation Averaee 4. 1959 Survivor Benefits 5. Post-retirement Survivor Dene£its 6. Unused Sick Leave 7. Military Service Credit 8. SB 135 (Section 21222.1 and 21222.2) 9. Section 20614 (From 7% to 3'k %) B. AGZZICY CC`7TRIBLTION RATE FOR CL'•R_RrT.JT SERVICE (as of member payroll a. Rett ement benefits b. Death benefits c. 1959 Survivor Benefits d. 'Doused Sick Leave e. Military Service Credit 1- SB 135 (Sections 21222.1 and 21222.2) Until October 30, 1980. g. Total current service rate C. AG$NCY CONTRIBUTION FOR PRIOR SERVICE a. Contribution rate as ,'> of member payroll until June 30, 1980 D. TOTAL AGENCY CONTRIBUTIONS a. Total Agency Contribution Rate: E. ACTUARSAL VALUATION FEE X—ch 2.4,_ t 470 DALE M ESENT BENEFITS 76 ASSUMPTIONS (Unpooled) FULL 27 at 60 PRF.SaT BEt r IT 1978 ASSUMPTION (Unpooled) FULL 27,at 60 PROPOSED BZNEFI 1978 ASSUMPTION (Unpooled) FULL 27 at 60 3 Years 3 Years 3 Years Yes Yes Yes Yes Yes. Yes No No No No No No Yes Yes Yes No No Yes 14.6187 15.5457 20.2247 0.167 0.130 0.137 0.223 0.252 0.259 0.240 0.240 0.240 15.248% 16.167% 20.8607 1.7177 1.3217 1.3217 16.9657. 17.4887. 22.1817 KLSUY YAPJC CHIEF ACTUARY AGE1CY NA112 City of Burlingame 2ILPLOYLR NO. 18 A. VALUATIO':' SPECIFICATIOIS 1. Actuarial data as of 6-30-77 2. Formula 3. Final Compensation Average 4. 1959 Survivor Benefits 5. Post-retirement Survivor Benefits 6. Unused sick leave 7. Military Service Credit 8. SB 135 9. Section 20614 (From _% to 4� %) B. AGENCY CONTRIBUTION RATE FOR CURRENT SERVICE '(as '� of member payroll a. Retirement benefits b. Death benefits c. 1959 Survivor Benefits d. Unused sick Leave e. Military Service Credit i. SB 135 g. Total current service rate C. AGENCY CONTRIBUTION FCR PRIOR SERVICE a. Contribution rate as of member pw,rroll until June 30, 2000 D. TOTAL AGE21GY COAITRIBUTIONS a. Total Agency Contribution Rate: E. ACTUA=T, VALUATIC:T FE✓ March 29, 1979 DATE P1 is SAFETY ?SSENT BENEFITS PRESENT BENEFITS i i76 ASSUMPTIONS x978 ASSUMPTIONS I F: 29 at 50 F: 2% at 50 P: 2% at 50 P: 2% at 50 PP.CPCSED BENEFIT: 1978 ASSUMPTIONS F: 2% at 50 P: 2% at 50 __L.Years 3 Years Yes Yes Yes Yes Yes Yes No No No No No No Yes Yes Yes No No F: Yes P: Yes 26-040% 27,289% 12941% 0.070 0.052 0.053 0.033 --- --- 26.143% 27.341% 32.294% S211.00 KISUK YANG CHIEF ACTUARY PUBLIC E!TLO=St RETI1R.Ef,1ENT SYSTEi ACTUARIAL VALUATION REPORT 'ERS-CO1%1-14 (Rev. 4-78) AGENCY NA1S City of Burlingame E11PLOYER NO Members 18 B. AGENCY CONTRIBUTION RATE FOR CURRENT SERVICE (as ' of member payroll a. Retirement benefits 29.969% 29.561% b. Death benefits 0.052 0.052 c. 1959 Survivor Benefits --- --- d. Total current service rate C. AGENCY CONTRIBUTION FOR PRIOR SERVICE a. Contribution rate as � of member payroll until June 30. 2000 D. TOTAL AGENCY CONTRIBUTIONS a. Total Agency Contribution Rate: E. ACTUARIAL VALUATION FEE March 29, 1979 DATE 30.021% 29.613% 30.021% 29.613% $100.00 KISUK YANG CHIEF ACTUARY 1978 Assumptions A. VALUATION SPECIFICATIONS Optional Benefits Optional Benfits 1. Actuarial data as of 6-30-77 2. Formula 2% at 50 2% at 50 3. Final Compensation Average 3 Years 3 Years 4. 1959 Survivor Benefits Yes Yes 5. Post-retirement Survivor Benefits Yes Yes 6. SB 135 (Section 21222.1 and 21222.2) Yes Yes F: Yes F: No 7. Section 20614 (From 9% to 4'k%). P: No P: Yes B. AGENCY CONTRIBUTION RATE FOR CURRENT SERVICE (as ' of member payroll a. Retirement benefits 29.969% 29.561% b. Death benefits 0.052 0.052 c. 1959 Survivor Benefits --- --- d. Total current service rate C. AGENCY CONTRIBUTION FOR PRIOR SERVICE a. Contribution rate as � of member payroll until June 30. 2000 D. TOTAL AGENCY CONTRIBUTIONS a. Total Agency Contribution Rate: E. ACTUARIAL VALUATION FEE March 29, 1979 DATE 30.021% 29.613% 30.021% 29.613% $100.00 KISUK YANG CHIEF ACTUARY Public Employees' Retirement System Post Office Sox 1953 Sacramento CA 95809 CERTIFICATION OF COMPLIANCE WITH GOVERNMENT CODE SECTION 7507 I hereby certify that in accordance with Section 7507 of the Government Code the future annual costs as determined by the System Actuary have been made public at a public meeting at least two weeks prior to the adoption of the increase in public retirement plan Section 20514 reducing normal member contribution benefits as provided by the rates from 7% to 31A for miscellaneous members an from 9% to 4�% (optional benefit) vor local safety members. which was adopted by the City Ccouncil of (legislative body) the City of Burlingame on the 2ndof 4aril 1979. (public agency) (date) Date: April 2, 1979 i �• original\sign-gEure Irving S. Amstrup Mayor official title PERS-CON-12A (9-78) 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 C�uncj (Governing Body) of the _. City rvF on April 2, 1979 (Date Name of Public Agency appearing at Page 330 Volume 19 of the (Minutes) (Official Records) of the City of Burlingame (Governing Body) �— �Y 717/ o Y CLERK or Secretary of the Board PERS-CON-12 (11/77)