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AB-2665 County employees’ retirement: Marin County: safety members.(2011-2012)

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AB2665:v98#DOCUMENT

Amended  IN  Senate  August 14, 2012

CALIFORNIA LEGISLATURE— 2011–2012 REGULAR SESSION

Assembly Bill
No. 2665

Introduced  by Committee on Public Employees, Retirement and Social Security Assembly Member Allen, Huffman

February 29, 2012

An act relating to state employees. An act to add Section 31485.11 to the Government Code, relating to public employees’ retirement.


LEGISLATIVE COUNSEL'S DIGEST


AB 2665, as amended, Committee on Public Employees, Retirement and Social Security Allen. State employees: memoranda of understanding: addenda. County employees’ retirement: Marin County: safety members.
The County Employees Retirement Law of 1937 authorizes counties and districts to establish retirement systems pursuant to its provisions in order to provide pension benefits to employees. The County Employees Retirement Law of 1937 authorizes the Board of Supervisors of the County of San Mateo to provide any retirement benefits pursuant to that formula for some, but not all, general members or safety members of the county. Existing law further authorizes that county, by resolution, to require safety members to pay all or part of the contributions by a member or employer, or both, subject to certain limitations and conditions.
This bill would authorize the Board of Supervisors of Marin County to provide a service retirement formula known as 3% at age 55 for safety members hired on or after January 1, 2013, as specified. The bill would authorize different retirement benefits pursuant to that formula for different bargaining units of safety members and the unrepresented groups of safety employees in similar job classifications and the supervisors and managers of those employees. The bill would also permit an ordinance or resolution adopted by the board to require safety members to pay part of the contributions by a member or employer, or both. The bill would require that the payment by a safety member become part of the accumulated contributions of the safety member. The bill would authorize the board, by means of a resolution, ordinance, contract, or contract amendment, to make the above-described provisions applicable to safety members in Marin County who are first hired on or after January 1, 2013.

Existing law establishes procedures governing the approval of memoranda of understanding reached between the state employer and state bargaining units that require the expenditure of funds, including the approval of related side letters, appendices, or other addenda to memoranda of understanding that require the expenditure of funds.

This bill would approve provisions of unspecified addenda to memoranda of understanding entered into between the state employer and state bargaining units that require the expenditure of funds. The bill would specify that provisions of the addenda to memoranda of understanding that require the expenditure of funds will not take effect unless funds for those provisions are specifically appropriated by the Legislature, and would require the state employer and the affected employee organization to meet and confer to renegotiate the affected provisions if funds for those provisions are not specifically appropriated by the Legislature.

Vote: MAJORITY   Appropriation: NO   Fiscal Committee: YESNO   Local Program: NO  

The people of the State of California do enact as follows:


SECTION 1.

 Section 31485.11 is added to the Government Code, to read:

31485.11.
 (a) Notwithstanding any other law, in a county of the 18th class, as defined in Sections 28020 and 28039, the board of supervisors may, by resolution, ordinance, contract, or contract amendment under this chapter, provide retirement benefits based on the formula provided in subdivision (b) for some, but not all, safety members who are employed by the county and who are first hired on or after January 1, 2013.
(b) The combined service pensions for safety members subject to this section is a pension derived from the contributions of the employer sufficient when added to the service retirement annuity that is derived from the accumulated normal contributions of the member at the date of his or her retirement to equal the fraction of 3 percent of his or her final compensation set forth opposite his or her age at retirement taken to the preceding completed quarter year, in the following table, multiplied by the number of years of service subject to this section with which he or she is credited at retirement:
Age at
Retirement
Fraction
41  ........................
.4777
41¼  ........................
.4848
41½  ........................
.4918
41¾  ........................
.4987
42  ........................
.5058
42¼  ........................
.5130
42½  ........................
.5202
42¾  ........................
.5274
43  ........................
.5347
43¼  ........................
.5422
43½  ........................
.5497
43¾  ........................
.5572
44  ........................
.5647
44¼  ........................
.5725
44½  ........................
.5803
44¾  ........................
.5881
45  ........................
.5958
45¼  ........................
.6039
45½  ........................
.6120
45¾  ........................
.6200
46  ........................
.6280
46¼  ........................
.6366
46½  ........................
.6452
46¾  ........................
.6555
47  ........................
.6625
47¼  ........................
.6703
47½  ........................
.6781
47¾  ........................
.6858
48  ........................
.6936
48¼  ........................
.7019
48½  ........................
.7103
48¾  ........................
.7186
49  ........................
.7269
49¼  ........................
.7360
49½  ........................
.7452
49¾  ........................
.7543
50  ........................
.7634
50¼  ........................
.7733
50½  ........................
.7832
50¾  ........................
.7930
51  ........................
.8028
51¼  ........................
.8135
51½  ........................
.8242
51¾  ........................
.8349
52  ........................
.8457
52¼  ........................
.8574
52½  ........................
.8691
52¾  ........................
.8808
53  ........................
.8926
53¼  ........................
.9053
53½  ........................
.9182
53¾  ........................
.9310
54  ........................
.9418
54¼  ........................
.9579
54½  ........................
.9718
54¾  ........................
.9860
55 and over   ........................
1.0000
(c) A resolution, ordinance, contract, or contract amendment adopted pursuant to this section may establish different retirement benefits pursuant to the formula specified in subdivision (b) for different bargaining units of safety employees and the unrepresented groups of safety employees in similar job classifications and the supervisors and managers of those employees.
(d) A resolution, ordinance, contract, or contract amendment adopted pursuant to this section may require safety members hired on and after January 1, 2013, to pay part of the contributions by a member or employer, or both. The payment by a safety member shall become part of the accumulated contributions of the safety member. For those safety members who are represented by a bargaining unit, the contribution rates and any changes to those rates shall not be effective until approved in a memorandum of understanding executed by the board of supervisors and the employee representatives, and any changes to those rates shall not be imposed using impasse procedures. Nothing in this section shall be construed to limit the authority of a county to reduce or eliminate the pickup by the county of the member’s contribution after fulfilling its obligation to meet and confer pursuant to Section 3505.
(e) This section shall only apply to safety members who are hired on or after January 1, 2013. The formula may apply to safety members in collective bargaining units and to unrepresented safety members.
(f) This section shall not become operative unless and until the county board of supervisors, by resolution or ordinance adopted by a majority vote, makes this section operative in the county.

SECTION 1.

The Legislature finds and declares that the purpose of this act is to approve addenda to memoranda of understanding entered into by the state employer and the state bargaining units that require the expenditure of funds.

SEC. 2.

The provisions of the addenda to memoranda of understanding entered into by the state employer and the state bargaining units that require the expenditure of funds are hereby approved for the purposes of Section 3517.63 of the Government Code in accordance with the following schedule:

SEC. 3.

The provisions of the addenda to memoranda of understanding approved by Section 2 of this act that require the expenditure of funds shall not take effect unless funds for these provisions are specifically appropriated by the Legislature or already exist within available appropriations. If funds for these provisions are not specifically appropriated by the Legislature, the state employer and the affected employee organization shall meet and confer to renegotiate the affected provisions of the addendum.