HomeMy WebLinkAboutCC Resolution 3678RESOLUTION NO. 3678 RESOLUTION OF INTENTION TO APPROVE AN AMENDMS��T TO COTTTRACT BEU[ EN THE BOARD OF ADMINISTRATION OF THE PUBLIC EMPLOYEES' RETIREMENT SYSTEM AND THE CITY COUNCIL OF THE CITY OF SAN RAFAEL WFEREAS, 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; and WHEREAS, one of the steps required in the procedure to amend this contract is the adoption by the legislative body of the public agency of a resolution giving notice of its intention to approve an amendment to said contract, which resolution shall contain a summary of the changes proposed in said contract; and WHEREAS, attached is a summary of the proposed changes: NOW, THEREFORE, BE IT RESOLVED, that the CITY COUNCIL of the CITY OF SAN RAFAEL gives, and it does hereby give notice of intention to approve an amend- ment to contract between said CITY COUNCIL and the Board of Administra- tion of the Public Employees' Retirement System, a copy of said amend- ment and a summary of the major provisions of the proposed changes being attached hereto, marked "Exhibits A, B, and C" and by this reference made a part hereof. CITY COUNCIL AUGUST 5, 1968 lia.te adopted and approved) OF THE CITY �T-' SLIJ RAFAEL BY _ name W. CLIFFORD CORNWELL d CITY CLERK (Title) Ret. Form 122 I, W. C. CORNWELL, Clerk of the City of San Rafael, hereby certify that the foregoing resolution was duly and regularly in- troduced and adopted at a Regular meeting of the Council of said City held on Monday the 5th day of August_` 1968, by the following vote, to -wit: AYES: COUNCILMEN: Barbier, Jensen, Miskimen and Acting Mayor Baar NOES: COUNCILMEN: None ABSENT: COUNCILMEN: Mayor Bettini W.- CLI)F'FORD CORNWELL City Jerk 6 PAP EXHIBIT A Ak a TO aiiACT BOAU Of •7y�T�►pa�lj��l�M THE A; PUBLIC fWLOYMBS RETIREPMRT SYSTRM AOD THE CITY COUNCIL of THE CITY OF SAN RAFAIM The Board of Admi.nistratic P%bUe XWjoyctisf System., ►sere, � :.''tom refers, to "d.0 an;! the CITY ODUVCIL of the CITY DF ►tom (AFAU, herr naftw referred to as Publis Apeney having entered Into a conttet under date of Jew 20e 1957, efi'eet:ive duly 1, 1957s and as amended effective December 1, 1957, jau:;:a.+ry 1s 19530 and March 29 1959s which provides for participation of Public Agency in said Syste.l, Board and Public Agt:ncy hereby aj_:ree as follows: A. Paararraphs 1 through 13 aro :.eroby stricken from said contract as executad effective July 1, 1957, and are hereby replaced by the following paras ra_•hs wint,ered 1 through 13 inclusive: lr All worde and terms cuter herein ehich are defined In U ftbUG Em loyees' Retirement Law ill wave the meaning: as defined tkAoreia unless otherwise specifically „rovided. "Normal ret-Srement are" scall rsean age 63 for miscellaneous meir;Ders and age 55 for local safet,/ members excopt these local safety j tubers continuing urwler prolvisinns of this contract -)rior to the ane-.dneent in 1968. 2, pubs. t Agamy shaU porUejuato in the l:L* I Roti- .: :,nt sye ,i:.. from aud - . Juin is 19579 asking i er- )ler' .. ho- _ after pr,.:-ided, ;ae?,bL; of J41 tete a", to sU provisions of the Pablic EmaloyeesO {,etirement Low t s:- h as appIr only on election of a contracting agency sand arra not ,;roviuoi ivr neroin aad to all -.`.s to `•7i" o•. .-.'4,r e7�f!n, "�, r. by express previ ion +.here & ply only on 1.h(: sl"tion of contract- us ctconcies. )loyees of Public iwenc., in he f ollowinr clasz as shall beco::e �nr�= of said heti i r.T"r' Sys..an except such in -•-ch such class as ars xcluded by 1< or tbi.i -i-raenentt Local firemen (harels raivrred to as loeal, safety nambera)I b. Laasl polV,:..en (herein referr.e-i to ;:'Local sa oty ::embers)3 p. • „a_,loyecs other than local Wety .:,unbu.:~s ( •_-rein referred to as miscei lanec:us :rs;nbers). 'i re^'.1.0 ,jn -ties 9MU be e..cl -Jed fro -r-, -c1h•,t_ Ip in said fcsti at Sys c NO ADDITIONAL EXCLOSIOAS R*U form 702.1 1, w fraction of .final com3ensatlon to be provided for each ywx r f credited service as a miscellaneous air upon retires mat at normal retirer.ient are shall be 1/bJ and shall be applied as ;provided iii 39ation 21251.1 of said '4tirwent Law and redaced to 1/" .'or :=ier7L- re covered ander Federal _)ocial 3scurity in aeeo=danoe with Section 21251.11 of said :,'e3tirement Lahr. 5. The fraction of final cr,mpense►tion to be -)rovided for eacl"! ;ear of credited service as aE local safety ­ew?- snail be dcV:w- accordance with :miction 21252.h and small beL.- t ' for c.- • ; ;r u . - somal 7., r l L, , in accordance with Section 21252.115 of -sai.d diet at Law. b> Benefits on ac*ount of prior 0* shall w 1 of tha fraction of final elnsp*nsation ,i,4._ : ed for miscall` ne pus :-Ambers in Para - c. aw ve3., but conoc:ted i. Ah section 21253 of sr�� .0,1 re_aent Lnx, and for local safety menbers shall be 100% of the ,.'r_action established in accordance with ar=raFraph 5; provided, over, as to both miscellaneous and 1^ al tr L that said sia . .. .. . - L _ , * rd for application to the first U00.00 per nth of ,final erswensation of WW r tet108o position is ^, -: , by ral. Social Security for all prior serv.ce of s m members, whether or not the service i. included in . cdera . Social 7 the reti.re3reerat benefit., payable upon ret-... at, for ordinary di lity shall not affected ay the modMceation oroviaec, 1.1% Pars - 1.8 hs L and5 of -3 contract excc- t that for the purposes of V ..Lt on sew ouch llowanceys Restioot 21297, Goveraeae»t r r©ti z-w^c for s - shall be accord - to vie= !• ,<Jitietd °or uln sq", out in P h 4 mad 5 of the con- tract. All o lier provisions of this sratraot shill be fully applicable to the ecaa►putation of *1 upon roti at for I ilitlr . Q. Contributions for jai us and loeai, ty re shall be subject to s do 20601.5 arad 20612 of said Rotir nt Lav eo- tt , .aid sections ;aroviding .for reduction in rat" of contribu- tion as ouch rela' to the first X000 of uathly compensation and 100% of such rates as they apply to the remainder of the monthly coven - tioo wig positions are from Social Security cover shall contribute in a :ardance with Sections 20601 grad 20607 5 of maid Rets at Law. 5, 5, a :•':ovc shall rot apply to ti-ose local safety members in an '.he of tive di%ite til 1-63 of t` it, ,'nit• = f `" t to contract who elect to continue under the prowl oris of thi con. tract prier to v id t and sectio 2060'd.51 and 21252.5 of said Heti Law shall continue to mealy with respect to mach members provided in Section 21252N1 . 10. The fbIlowing additional provisions of the Public ea a heti .. +eent Law rhie h apply only Wa as of a contracting ageneay shall to the Public i am its I RoU Yom 702-2 p ~'� •�. Section 2002h.01 (defining "final r: asations on the :,aria . � of s nor,.o- c-, -..g, cutive y, . b., S-tioon21258(b) (providit a ,ninl! retti at al .-,,+ance of .• ��$720.00 .iC:+ J:: •J, under conditions). M a. Sanction 21567.51 (providing ;j W*00 seat, benefit upon dna+h after re 04, d. Sect en 2M25 (provldiog for inali..aion of cc tion without limit in oampa tions vhers seqwnsatioa is a factor) s . Section 2IM5.5 (providing s►oatty allowaime in lieu of the z� c .:cath diA,. t for a of a who dies in e. %Aorment aftiu; - "lifying for volantary seg: Ce retirement). f. Section 20M 5 (providing for 50 as tht- mini voluntary retirement , for Local safe with;. benefit Payments camenaing prior to age 55 subject to actuarial discount). g. Section 21251,55 (providing for 1 in payable .for Ing on the first of the Cal mouth co- inciding with or next f effesti of nd- nds provided s that the fl owensa►tien in the calculation of a1r all at roti at l not be and me are to hr ), ll. Public A ,+icy oontri to said Beti 3"ten at, follows: so With re A to ni;cellaneous memberv, the city shall contribute the fol . ng -ereentages of monthly-•.rned ea taiscella- us s of said i (1) 1.878 at until Juns 30 1587 oaa account of th liability for prior service 1 (8) 6.8b4 p on mount of the liability for ..nt servi its. b. With : os,)ect to local sa1•eV :7, Aberes the city shall aontribu,.c the follaaIn$ of i:outhlf salaries a,=read as local s : ety r.2cfiibt-.rs df said. ;btu ., t (1) 2.993 :-wrce,t until, dune 30s 1"7 an aocaant Of tips liability for prior ^ t. rvice (2) 8.232 pMent CC account of the liability for current Ser vice benefits• so A reasonable amount per anew% as fixed bir Board to +a~ tl,e costs of administering said Byetem as it affects ttie em-)loyees of Public Aeencys not lncludit* the costae of special valuations or ti -,e periodical investigation and valvAtion required by laws .i'or, i 702-3 Provided that said asunt shall be determined on the basis of the rnuiaber of employees of Public Agemy who are► reported as members an a payroll to be designated by the Zystem covering one nouth of each year# or with respect to the first year of partici- pstiooe an the effective date of said participation. d, A rsasor►able amount as fixed by the board# ;payable in one, installment as the occasions arise# to cover costs of s t-cial valuations on account of ea ,,)loyeas of publio ageneyg and coats of the periodical investigation and valuation required by lax, Ue Contributions required of Public Agency cad its employees small be subject to ad justroent by Board on aacowt of asondoents to the PUblie Employees $ =letirement Law# and on account of the eac)eriencs vendor the Retirewsnt System as determined by the periodical in vesti. gatlon, and valuation required by said Retirement Lav, 13, Contributions required of public Agency and its employees shall be paid by Public Agency to the Rotirownt System withift thirty days :after the end of Vie-,eriod to *dch said contributions refer. If More or lose than the correct a:4ount of oontributions is paid for aqy :)ariod# proper adjustment shall be made in connection with sub- sequent reati.ttances, or adjustments on account of errors La contri- butions required of any aWleyees may be made by direct cash payteents between the employee ark Hoard. Payments by Publics Areney to Hoard may be rade in the form of warrants# lank sbooks# Bank drafts# certified cheeks# money- orders# or cash; So 1e amendment shall be attached to said contract and shall be effective Witness our hands this I day of , ,FA Ji R► D SM AJ.AR I NI SSL .TI ON BY WilUam E, • ayne. !Lxecutive •! CAT 44 CUMCzL OF CITY Or 3" RAFAZL " r v r. `. Br 'nsa3d� At Rot. Form T02-4 EXHIBIT B iMA.RY OF MAJOR PROVISIONS 1/90-1/60 at 60 Retirement program Local Miscellaneous fibers Membership is compulsory for all employees,, other than elected officials, who are employed one-half time or more. SERVICE RWr1R1W.' The earliest retirement age is 55; the normal retirement age is 60; and the compulsory retire,-uxnt a�-,e is T), An csanloyee may retire any time between these ayes, 55 and 70, provided he mf:ets the minimum requirements that ?ie wither have more than $500.00 of acc,Jmulot�.'d eontributionsp or 20 years of s-_rvice, or have attained the compulsory retirement age of 70. At norrial yeti_ e;oont age 6J, the unmoaified allowance is 1/90 of that :)ortion of "final compensation" up to and including $400 per month and 1/60 of that pertion of "final cor, ,enation" as is in excess of -%009 for each year of credited service. If retirement is deferred beyond age 60, the percentages of "final compensation" for each year of service are increased actuarially up to age 65 but not beyond. If retirement is earlier than age 60, the perce a of "final compensation" for each year of service are actuarially decreased. "Final, compensation" is average monthly salary (full time rate) earned during that period of three consecutive years of highest earnings, excluding overtime com- pensation. A minimum service retirement allowance of $100.00 per month is guaranteed upon compulsory retirement with credit for prior servicej, or upon retirement at age 65 with twenty years of service. DISABILITY RETIR TNT An employee becoming disabled to the extent that he is incapable of perftrmi.ng his duties shall be eligible for disability retirement provided he has at least $500 of accumulated contributionsp or at least 10 years of service. The monthly retirement allowance is 1.50% of "final compensation" for each year of service, with a minimum guarantee of one-third of final compensation for most employees who have rendered at least 10 years of service, The disability retirement allowance shall under no circumstances exceed the service retirement allowance payable upon retirement for service at age 60. MTB BENEFITS The death benefit, where death occurs before retirement, consists of a refund of the member's accumulated contributions (including interest earned), plus an ad- ditional benefit equal to six months' salary where he has been a member for six years or more. For those who have been a member for less than six years, the additional benefit is one month's salary for each year of membership. If death occurs after retirement a lump sum of 4W will be paid. This amount will be in addition to any benefits which may be paid from Social Security or any payments which might be trade under an optional retirement benefit chosen by the member at his retirement. 1957 SURVIVOR BENEFIT Employees who have at least 5 years of service and who are at Least age 55 have further death protection under the 1957 Survivor Programa Should such an employee die before retirement, his surviving widow may elect to receive either the basic death benefit or a monthly income equal to one-half the unmodified retirement allowance the employee was eligible for on the date of his death. The monthly income is payable until the widow's dead] or remarriage with a guarantee that she will receive at least as much as she would have received under the basin death benefit. TEk14INATION OF EMPLOYMENT Upon termination of employment, an employee may, either leave his contributions with the System and--ece:i-ve, upon attaining retirement age: the retirement b�. i,, -fit he has earned, or he ::,.r withdraw his contributions (plus interest), thus tee rat- ing his membership in the System and receiving no retirement benefit. Except, (1) a member with $500 or less in accumulated contributions and less than 20 years of service shall not have the privilege of leaving his contributions with the System, but shall :: tically have his contributions: plus interest, refunded upon termina- tion of and (2) a member who is transferring to empioi%ent with another agency which is covered under the System shall not have the right of withdrawing his accumulated contributions. EMPLOYEE, CONTRIBUTIONS Each member makes monthly contributions to the System which are deducted ,from his salary. The rate of contribution (percentage of pay) depends upon a member's sex and age (nearest birthday) on the date of becoming a member and varies from a minimum of 5,37% to a maximum of less than 11.25%. The employer also contributes toward the cost of the benefits. The amount contributed by the employer for current service benefits will,, on the average exceed the cost to the employee. In addition, the employer bears the entire cast of -prior service benefits. All contribution rates are subject to revision by the Board of Administration. ALIMANCE LICREASES Retirement allevances payable for time comencing on the first day of they calendar month coinciding with or next following the effe eti-ro date of this amend - cent *hall be increased to the ascents they would hays been receiving if the pro- visions of this contract had been in effect on the effective date of retirement except that under no circumstances stall any s1lownwe be depretased. EXHIBIT C MWURY (W MJM PROV181043 SAL sAf`m mizas • mmnzD OIM-.,ALF PAI AT 55 RETIMA SST PRDGRAM HIP .'embership is co&Vulsory for all enployeese other Uum sleeted officials,# who are eir,)loyed one-half time or yaws. The earliest retirement ape is 55; the noretal retirement age is $51 and tbo compulsory retirerment age is 65. A local safety ro :bar ray retire &xW time after age 55 provided he either has $500 of accumulated contributions# SK has attii.,ed the compulsory retirerenT age of 65. The monthly income is determined by ai7e at retirtmerst, ;viers of credited service, and "final compensation". The latter teras means the average monti:ly salary (exclud#.nr overtime) during the 36 consecutive hivhrst paid months. The basic benefit formula is designed to -)rovide an age 55 allowa:,ce equal to 50.t: of "final compensation" for all who enter safety sorviee► at a�?e 35 or u. -.,der and coi;- tinue to be so eWlcyed until age 55. In order to ccor,iinute the benefits from the State System with benefits from: Social Security,, the law provides that the portion of the State Srtom benefit which relates to the first 9400 of monthly salary will be two-thirds of the fall formula with the full formula ioverning that portion of the 'benefit Which is earned by the «access of "final co-%pensation" over MOO. mathematically this is exactly the same as though the salary subjcrct to retire- ment .: ,-_ ru.,:uoed by $133.33 for air menber a:,rning i%aj a month `hereZoree tables and �!orl:s!t Bots in this :}. ^ .a1 present simplified computations based on "adjusted + ampeneationO which produoes reeulte identical to ttia formula spsaifiod in t1w Law* Laoal safety :rennbers in empiorment on the OffeeUve date ofd the establishment of this progran may elevt to remain subject to the retirement allowance f'ormila presently applicable to them. Final vowpe - done is avers; mathly salary (full ) earl during that period of - <.e Sao outive year of hi&ovt earn#. „ excluding overtimo n ati on. A mininL= service retirment allowance of ,1W ;ger yzouth is -. i+ -Ern. upon ow - p ? -nry — ---ent with credit for prior service, or upon retirea*nt 'Q: 65 with twenty ,years of service. DISABILiTT RM. '111."IN-IT An employee beeomi.ng,, diaablPd to the •- -#tent that h is inecopablee of perform- ing his dutie- shall be retlrec, for disabilityo tike dis"ility will be ei loyment, connected (Industrial disability) or ee (nonindustrial disability) An who beemes disab While A Of this Syer for arising out of his eaplgvmees,tA will be eligible for life, of fifty (50%) reont of his fi compensation. If his di Uty is such that he is a entitled to a disability sool earitye the State teas benefit will be . by the sumat of his sac Security . ': U An; eemplm " bec. 'ng dila for rap -sone not aonneee with his amp rr-erit sh 11 be eligible for disability retirement pr h has at least $5453 of accumulated contributions or at 1 t 10 ars of riee3 such disability all,tr - .,,, - to 1.5 of fi for ruar antee -r 1/3 of eh fi -? co- ;^ *,; nn for most, omnlo fee:, h vas rendered at least 10 years of 'oo, The "ord - rf" diRab1l1ty retirameeat allowance shall under no eircuaatomes the service i ' lent X110%, ... which would heco:t:e payable► at a 55 if a Vloymeeat could eont1:.ue:, to that aeg�. DEATH BENEFITS ..oath ,sefore 1 •. Gl:`cs.::�:�t .>asic D uath iWamfit This benefit is a refund of the aa:riberra accumulated CtMtr b tions !)lus six months# salary orovidod liar hast been a member for Ix years or .:% -. For tho.: who dice before co;Wleting six years of ipe be t is one mouth ea ry for each year of plus refuod of contributions salary to i. than a .. during the year -ng dooth e Prior ae doesa not count. toward this benefit* Industrial lleR+.s, If death is service—cc ntod In the Jude, r at of the rn—n; rsion., a :9 is uai,. to widow for life (syr until r iurriage) instead of the above ba death beenaSit , if :;;e is slew ' ible for sure vox - to from, of the t . to e State Ws •:; . be it will be reduce by e t of such Social r-ity so V. ty to are -11y the vnunvest child r lg .:nd after the wido, c hes age 62). The total, includins Social Seaur5': , would be 50% of "final *amp tion", If death razz riolee or physical force the total ber afit (including Smi al. Security) would be inero to the following perceu d of "finual cost- nemmtlonu so IwW as the widow lues and does not reaearrya Win% with 3 or mom children under 18 Widow with I chi 1. is Widow with i child under IS 'J2" 1957 °survivor :.vnefitImployees with 5 or mors yearsof service whofi ,ve -anc od ' . wdnintwn age for service reti.renent have further death protection under this i » the surviving widow can elect to either the ie death benefit or a monthly in- come eq : to one-half th waod retirement allowance e was eligible for on the of his de The monthly i.r com la to until th widow's death or idth a guarantee that the Systema will pay mob as under basics death efit. The death benefit is . This I, 1n addition to any ring " 417 amity" I tal.lweet and any benefit to unser n option chosen at retirement, sir' Upon termination, of eaploy'r,".•: to an mW neither 1 his contributions with - .. . _ a _ t ve. :upon attai reti - _ s th _ � . _ ._ he hes ^trued, .r .e (nay wl.thdraw his c ibutinns iplu', into ;`t), thus, te-minat- ing his membership in the Sys and reeaeiving no retiresrsflt fits. Dept„ (l) air with $00 or in aadamml.ated contributions and with 1 " than 20 years of servi shall, not have privile of ng his coo ntribution with the outomaticany have ttar. i4 - � : , andeC rioon terminatior. of emol-),rment and (2) a „enh,>r %to is Lransferring to ern= loymvnt, vith another - gear' which is covered under the sys oat shall not have the right of withdrawing his aaaa fated contributions. it{PWYER COMMISlITIONS :,ach i. -.ember oathly to 3rs which are deducted from his :­' ary. The rate of an of pay) upon a manborais seas age at entry into the %j -,ten and amunt, of prior to the contract -ate. Such cuntrlb,tionsi for mala emi)l;:.; s with no pxior servicep surrently ,Anne from a minimmurt of 5*6" of salary 4- a maxim4a of 12.735 of $a -, The foyer also contribut ns toward the a* . of the benefits, The anount contr t.a.. by employer for our *rviae rotiremont benefits will. on averapm, exceed: th amt to the am In addition, the or bears the entire oast of prior service benefits, the industrial, death mW disability benefits. All contribution rates are subject to revision by the ;card of Administration, MI AL.LO'+:A': I 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 SAN RAFAEL on August 5th , Name of Public Agency) 19-U_, appearing at Page 363 Volume 17 of the (Minutes) City Council of the (Official Records) of the / City of San Rafael Governing Body) CITY T= or Secrettary of the Board a Ret. Form 549 (Rev. 9/57) 75