ORDINANCE 1500ORDINANCE NO. 1500
AN URGENCY ORDINANCE ADOPTED IN ACCORDANCE WITH
GOVERNMENT CODE § 36937(B) APPROVING AN AMENDMENT TO
AN AGREEMENT WITH THE CALIFORNIA PUBLIC EMPLOYEES
RETIREMENT SYSTEM.
The City Council of the City of El Segundo does ordain as follows:
SECTION 1: The City Council finds and determines it is in the public interest to
adopt this ordinance on an urgency basis for the purpose of preserving the public
welfare.
SECTION 2: The Amendment attached as Exhibit "A," and incorporated by
reference, is approved. The City Manager, or designee, is authorized to execute the
Amendment and all ancillary documents required to implement the Amendment.
SECTION 3: If any part of this Ordinance or its application is deemed invalid by a
court of competent jurisdiction, the city council intends that such invalidity will not affect
the effectiveness of the remaining provisions or applications and, to this end, the
provisions of this Ordinance are severable.
SECTION 4: The City Clerk is directed to certify the passage and adoption of this
Ordinance; cause it to be entered into the City of El Segundo's book of original
ordinances; make a note of the passage and adoption in the records of this meeting;
and, within fifteen (15) days after the passage and adoption of this Ordinance, cause it
to be published or posted in accordance with California law.
SECTION 5: This Ordinance will become effective immediately upon adoption
pursuant to Government Code § 36937(b) for the immediate preservation of the public
neace- health- safety and welfare_ Accnrdinnly this Ordinance is arinntpd by a fniir-
fifths vote.
PASSED AND ADOPTED this 2nd day of December, 2014.
4
Suzanne Fuentes, Mayor
ATTEST:
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) SS
CITY OF EL SEGUNDO )
I, Tracy Weaver, City Clerk of the City of El Segundo, California, do hereby certify that the
whole number of members of the City Council of said City is five; that the foregoing Urgency
Ordinance No. i suLwas duly passed and adopted by said City Council, approved and signed by
the Mayor, and attested to by the City Clerk, all at a regular meeting of said Council held on the
2nd day of December, 2014, and the same was so passed and adopted by the following vote:
ABSTAIN: 1 Joe-
Tracy Weaver, City Clerk
1-j
APPROVED AS TO FORM:
Mar D. Hensley, City Attorney
41�
California
Public Employees' Retirement System
Between the
ward of Administration
Californ-1-a Public Employeesy Retirement System
and the
City Council
City of El Segundo
The Board of Administration, California Pudic 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 1, 1943, and witnessed August 25, 1943, and as amended effective November
1, 1947, August 1, 1949, duly 1, 1950, November 1, 1955, September 1, 1955, March 9,
1959, November 7, 1964, October 19, 1958, December 11, 1971, July 20, 1974, ,duly
19, 1975, January 3, 1976, July 16, 1977, June 3, 1973, February 6, 1982, April 3,
1982, January 1, 1992, June 27, 1992, May 15, 1993, January 8, 1994, January 19,
1996, April 4, 1997, October 13, 1997, October 7, 2000, December 18, 2000, May 19,
2001, July 2, 2044, April 12, 2008, May 9, 2049, October 3, 2009, October 23, 2010,
October 6, 2012 and December 30, 2012 which provides for participation of Public
Agency in said System, Board and Public Agency hereby agree as follows;
A. Paragraphs 1 through 16 are hereby stricken from said contract as executed
effective December 30, 2012, and hereby replaced by the following paragraphs
numbered 1 through 16 inclusive:
?-"� - .4
AIN wn4- V-nd terms use-04 11ierpjn te Publi.-
Em. DI I o y s e- s st r es i n s n t La, shall hava the nneaning as de-Am ned thersin
unless otherwise specifi cally provided. "Normal retirement age" shall
mean age 55 for locaj miscellaneous members eat -tiring membership in
+ke rnzpsn r prior toc DecembT 0 f,
Mn on to. r 0 2, age
a
for local Miscellaneous members entering membership for the first time in
the miscellaneous classification after December .30, 2012, age 50 for local
police members entering mambership in the police classification on or
prior to October 6, 2012, age 55 for local fire members and for those 'local
police members entering membership for the first 'Lime in the police
classfirication after October 6, '20 12.
2, Public Agency shall participate in the Public Employees' Retirement
System from and after October 1, 1943 making its employees as
hereinafter provided, members of said System subject to all provisions of
�L. - Public Employees' TR=-tirement law except such as ap- only on
I
'He r_ I L TI t-,7.Lrt=PL H Ply
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 there-of., apply only on the election of a contracting
agency.
3. Public Agency agrees to indemnify, defend and hold harmless the
California Public Employees' Retirement System (CalPERS) and its
trustees, agents and employees, the C21PERS 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 then
the retirement benefits, provisions or formulas provided under
the Public Agency's prior non-CalPERS retirement program.
(b) Any dispute, disagreement, claim, or proceeding (including
Without limitation arbitration, administrative hearing, or litigation)
between Public Agency and its employees (or their
representatives) which relates to Public Agency's election to
amend this Contract to provide retirement benefits, provisions or
formulas that are different than such employees' 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.
A
Employees of Public Agency in the following class-as shall become
P,
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);
b, Local Police Officers (herein referred to as local safety members);
G' 'Employees other than local safety, inernbers (herein referred to as
local miscellaneous members),
5. In addition to the classes oi employs-as excluded from rinambership by
said Retirement Law, the following classes ai employees shall not become
members, of said Retirement System:
6. Prior to January 1, 1975, those members who were hired by Public
Agency on a temporary and-for seasonal basis not to exceed 6 months
were excluded from PERS membership by contract. Government Code
Section 20336 superseded this contract provision by providing that any
such temporary and/or seasonal employees are excluded from PEES
membership subsequent to January 1, 1975- Legislation repealed and
replaced said Section with Government Code Section 20305 effective July
1, 1994.
7, The percentage of final compensation to be provided for each year of
credited prior and current service as a local miscellaneous member
entering membership in the miscellaneous classification on or prior to
December 30, 2012 shall be determined in accordance with Section
21354 of said Retirement Law subject to the reduction provided therein for
service on and after July 1, 1956, the effective date of Social Security
coverage, for members whose service has been included in Federal
Social Securitv ( 0/n at Fiqnri Mnriffi ril
J 2, ffl
3. 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
December 30, 2012 shall be determined in accordance with Section
21353 of said Retirement Law subject to the reduction provided therein for
Federal Social Security (2% at age 60 Modified).
9. The percentage of final compensation to be provided for each year of
credited prior and current service as a local fire member shall be
determined in accordance with Section 21363.1 of said Retirement Law
(3% at age 55 Full).
i; 3 Thes p ar-ce n a Of fina-1 connoensa+ nn i f�%r =20-'
nn– 4� _--tar- ct nf-1--
membership in the police class ification on, or prior to October 6., 2912 shall
b-- dWit -amnined it accordance with Sectmn a ' Ra"ment Law
21382.2 o' s :-ai re
d
Y-�nl
kow at age QU Fulj�,
11, The Percentage of final compensa-tion to be provided for each year of
credited current service as a local police member entering membership for
the first, tirria in the police classification after October 6. 2012 shall be
deteni-niried in accordance with Section 21363.1 of said Retirement Law
(3% at age 55 Full).
124 Public Agency elected and elacts to be subje-c-1, t,) the follvviing optional
provisions:
a, Sections 21624 and 21526 (Post-Ratire-ment Survivor Allowance)
for local safety members only.
I of 1959 Survi — Benefits' for local
Section 21571 (Basic eve, 11,101
miscellaneous members only.
C. Section 21222.1 (One-Time 5% Increase ® 1970). Legislation
repealed said Section effective January 1, 1980.
d. Section 21222.2 (One-Time 5% Increase - 1971). Legislation
repealed said Section eft-c-tive Januanj 1, 1980.
e. Section 21024 (Military Sei-vice Credit as Public Service).
f. Section 20042 (One-Year Final Compensation).
9- Section 21574 (Fourth Level of 1959 Survivor Benefits) for local
safety members only.
h, Section 21548 (Pre Retirement Option 2W Death Benefit),
j. Section 20903 (Two Years Additional Service Credit).
1. Section 20516 (Employees Sharing Cost of Additional Benefits):
Section 21353.1 (3% @ 55 Full and Modified formula) for local fire
members from and after October 6, 2012 and until the effective
date of this amendment to contract.
The 6-mplcyea cost -sharing contributions are 3%. The triarimurn
employee cost sharing contribution is the norrna1 cost plus the
increase in the -.=Grued liability diue to the benefit improvemein,-'
amortized over 210 years-s. In no event shall] the employee Cos,
sh,aring conYmbuton attributable to tie unfunded liability ramain in
61ffect beyond May 19, 2f021 Thereafter, in any cliven contribution
year, thle rna=irnum employse cost sharing contributflon, s=--nnot
exceed 2.591% of payroll.
i z
"ection 20-4757 10ifferasnft eve! r--e, Benefits'. Section 21,2631 kz,.,%
T i
4 4
@ 554 Full forrriula) is applicable to local
police "nernbers enlarin-q,
membership for the first, time fln the police ClSS;SflFjc;@�t.on after
October 6, 2011
Section 21353 (2% @ 60 Modified formula) is applicable to local
miscellaneous members entering membership for the first time in
',.-he miscellaneous classification after December 30, 2012,
Section 20516 (Employees Sharing Cos-It of Additional Benefits):
From the effective date of this amendment to contract, 3% for
classic local Fire members in the Supervisory and Professional
Employees Association, and the Unrepresented Fire Management
Group.
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 of said
Retirement System.
14, Public Agency shall also contribute to said Retirement System as follows:
ai Contributions required per covered member on account of the 1959
1:Zijrvivnr R,=n=4FifQ nrnifirl=Y4 (InA=r 0197A -4 —A M A". -,— —
re
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 safety members.
b. A reasonable amount, as fixed by the Board, payable in one
installment 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
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.
1, er�
required of Public Ag"enc-11 and i .nn!nvzg-S Sh,-.11 hp
-3 qlz-�--
hi. , ��-utrA ein Cif =rn.Andrynpnfiz fn th�gL- PI M
Employees' Refiramen-t Law, and or) accotint of the experience under the
Ra"Iramen't System as determined by the periodic investigation and
t
Contributions required of Public Agency and its employees shall be paid
by Public Agency to the Refli-Sment Syster, i w Moin fifteen days after the
end of the period to which said cont0butions refer or as may be prescribed
by Scard regulation. If more or less than tha correct annount of
contributions is paid for any period, proper adjustrnent shall be made in
connection with subs,—,4ulent remittances, Adjusulnents on accowns of
errors In contributions required of any employee may be made by direcat
payments bet yeen the employee and the Board.
-1
6-. This arnendment shall be effective on the d
— ay Of
BOARD OF ADMINISTRATION CITY COUNCIL
Pi IBLIC EMPLUYEES'RE11REMENT -SYSTEN! CITY OF EL SEGUNDO
U
BY BY
RENEE OSTRANDER, ACTING CHIEF Pk—ESI —0ING -0—F F-1-C—ER
CUSTOMER ACCOUNT SERVICES DIVISION
PUBLIC EMPLOYEESRETIREMENT SYSTEM
'Witness Date
Attest:
Clerk
AMENDMENT CaIPERS 10 #26570825-95
PERS-CON�702A