CONTRACT 537E AmendmentAMENDMENT TO CONTRACT BETWEEN THE
BOARD OF ADMINISTRATION
STATE EMPLOYEES' RETIREMENT SYSTEM
AND THE
CITY COUNCIL
OF THE
CITY OF EL SEGUNDO
537
The Board of Administration, State Employees' Retirement System, hereinafter
referred to as Board, and the CITY COUNCIL of the CITY OF EL SEGUNDO, hereinafter
referred to as Public Agency, having entered into a contract under date of
August 25, 1943, effective October 1, 1943, and as amended effective November 1,
1947, July 1, 1950, and November 1, 1955, which provides for participation of
Public Agency in said System, Board and Public Agency hereby agree as follows:
A. Wherever in said agreement the word "City" appears, the term "Public
Agency" is hereby substituted.
B. The following phrase is added to the sentence which constitutes Paragraph
Number 1 of said agreement:
"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 provision thereof apply
only on the election of contracting agencies."
C. Paragraphs 3 to 16 inclusive are hereby stricken from said contract as
executed August 25, 1943, and as amended effective November 1, 1947,
July 1, 1950, and November 1, 1955, and are hereby replaced by the
following paragraphs numbered 3 through 9 inclusive:
3. Employees of Public Agency in the following classes and groups shall
become members of said Retirement System except such in each such
class and group 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 whose positions are
not subject to Federal Social Security coverage (herein referred
to as miscellaneous Group A members);
d. Employees other than local safety members whose positions are
subject to Federal Social Security coverage (herein referred to
as Group B members).
In addition to the employees excluded from membership by said
Retirement Law, the following employees shall not become members
of the Retirement System:.
NO ADDITIONAL EXCLUSIONS
4. All words and terms used herein which are defined in the State
Employees' Retirement Law shall have the meaning as defined therein
unless otherwise specifically provided. "Normal retirement age"
shall mean age 60 for miscellaneous members in Group A, age 60 for
miscellaneous members in Group B, and age 55 for local safety members.
5. The following provisions shall apply to local safety and miscellaneous
Group A members only:
a. 1/60 shall be the fraction of final compensation to be provided
for each year of credited current service as a miscellaneous
Group A member upon retirement at normal retirement age.
b. Benefits on account of each year of prior service shall be
100 percent of the fraction of final compensation provided
under the Law and this contract for each year of current
service upon retirement for service.
c. The following provisions of the State Employees' Retirement Law
which apply only upon election of a contracting agency shall
apply:
Section 21251.1 (providing for a
final compensation for each year
miscellaneous Group A member).
Section 21252.4 (providing for a
final compensation for each year
local safety member).
guaranteed percentage of
of current service as a
guaranteed percentage of
of current service as a
(3) Section 20024.01 (defining "final compensation" on the
basis of a period of 3 consecutive years).
(4) Section 21258 (b) (providing a minimum retirement allowance
of $720.00 per year subject to certain conditions).
(5) Section 21367.51 (providing a $400.00 death benefit upon
death after retirement).
(6) Section 20025 (providing for inclusion of compensation
without limit in computations of benefits).
Ret. Form 990 -2
(7) Section 20952.5 (providing for age 50 as the minimum
voluntary retirement age for local firemen, local police-
men, or county peace officers).
(8) Section 21251.3 (providing for the recalculation of allow-
ances to persons retired on or prior to July 1, 1950, for
time commencing July 1, 1950, provided that no allowances
are to be decreased by such recalculation. "Final com-
pensation" for such recalculation shall be determined in
accordance with Section 200211 instead of Section 20024.01).
6. The following provisions shall apply to miscellaneous Grouo B
members only:
a. 1/60 shall be the fraction of final compensation to be provided
upon retirement at normal retirement age for each credited year
of current service subject to the modification set forth in
subparagraph "c" below.
b. Benefits on account of each year of prior service shall be 100
per cent of the fraction of final compensation provided under
the Law and this contract for current service benefits earned
by service at the date of membership.
c. The fraction of final compensation specified in subparagraph
"a" shall be reduced to 1/90 for application to the first
:$350.00 per month of final compensation in the computation of
service retirement allowances on account of service credited
after the effectivity of membership in the Group B classification.
d. Any miscellaneous member who, upon retirement for service before
age 65, is fully insured under Federal Old -ge, Survivors, and
Disability Insurance may elect to receive the actuarial equiva-
lent of his unmodified service retirement allowance in the form
of an increased monthly income until he reaches age 65, and a
reduced income thereafter in accordance with Government Code,
Section 21703.
e. The retirement benefits payable upon retirement for ordinary
disability shall not be affected by paragraph 6c of this
contract as amended and for the purposes of the limit on any
such allowance imposed under Section 21297, Government Code,
allowances for retirement for service shall be computed
according to the formula set out in paragraph 6a of the contract
as amended both as to service before and after the effectivity
of membership in the Group classification. All other pro-
visions of this amendment shall be fully applicable to the
computation of allowances upon retirement for disability.
Het. Form 990 -3
d. A reasonable amount as fixed by the Board, payable in one
installment as the occasions arise, to cover costs of special
valuations on account of employees of Public Agency, and costs
of the periodical investigation and valuation required by law.
8. Contributions required of Public Agency and its employees shall
be subject to adjustment by Board on account of amendments to the
State Employees' Retirement Law, and on account of experience under
the Retirement System, as determined by the periodical investiga-
tion and valuation required by said Retirement Law.
9. 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.
If more or less than the correct amount of contribution is paid for
any period, proper adjustment shall be made in connection with sub -
sequent remittances, or adjustments on account of errors in con-
tributions required of any employee may be made by direct cash
payments between the employee and Board. Payments by Public Agency
to Board may be made in the form of warrants, bank checks, bank
drafts, certified checks, money orders, or cash.
D. This amendment shall be attached to said contract and shall become
effective on the ' .. day of .r" . /
Witness our hands this
BOARD OF ADi'NIS TR.A ^l IOiT
STATE EMPLOYEES' RETIREMENT SYSTE1,1
Attest:
day of
CITY COUNCIL of the
CITY OF EL SEGUNDO
By r
/2-
Presiding Officer
Attest:
aetirement System, at