CONTRACT 537V AmendmentExhibit to Ordinance 1267
AMENDMENT TO CONTRACT
BETWEEN THE
BOARD OF ADMINISTRATION
OF THE
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
AND THE
CITY COUNCIL
OF THE'
CITY OF EL SEGUNDO
The Board of Administration, Public Employees' Retirement System, hereinafter referred to as
Board, and the governing body of 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, July 1, 1950, November 1, 1955,
September 1, 1958, March 9, 1959, November 7, 1964, October 19, 1968, December 11, 1971,
July 20, 1974, July 19, 1975, January 3, 1976, July 16, 1977, June 3, 1978, February 6, 1982,
April 3, 1982, January 1, 1992, June 27, 1992, May 15, 1993, January 8, 1994 and January 19,
1996 which provides for participation of Public Agency in said System, Board and Public
Agency hereby agree as follows:
A. Paragraphs 1 through 12 are hereby stricken from said contract as executed effective
January 19, 1996, and hereby replaced by the following paragraphs numbered 1 through
12 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 local
miscellaneous members and age 50 for local safety members.
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 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 those,
which by express provisions thereof, apply only on the election of a contracting
agency.
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 Fire Fighters (herein referred to as local safety members);
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b. Local Police Officers (herein referred to as local safety members);
C. Employees other than local safety members (herein referred to as local
miscellaneous members).
4. 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:
NO ADDITIONAL EXCLUSIONS
5. Prior to January 1, 1975, those members who were hired by Public Agency on a
temporary and/or seasonal basis not to exceed 6 months were excluded from
PERS membership by contract. Government Code Section 20336 supersedes this
contract provision by providing that any such temporary and/or seasonal
employees are excluded from PERS membership subsequent to January 1, 1975.
Legislation repealed and replaced said Section with Government Code Section
20305 effective July 1, 1994.
6. The percentage of final compensation to be provided for local miscellaneous
members for each year of credited prior and current service shall be determined in
accordance with Section 21251.13 of said Retirement Law, subject to the
reduction provided therein for service on and after January 1, 1956, the effective
date of Social Security coverage, for members whose service has been included in
Federal Social Security (2% at age 60 Full and Modified).
7. N The percentage of final compensation to be provided for each year of credited
prior and current service as a local safety member shall be determined in
accordance with Section 21362 of said Retirement Law (2% at age 50 Full).
8. Public Agency elected and elects to be subject to the following optional
provisions:
a. Sections 21624 and 21626 (Post- Retirement Survivor Allowance) for local
safety members only.
b, Section 21571 (Basic Level of 1959 Survivor Benefits) for local
miscellaneous members.
C. Section 21222.1 (Special 5% Increase - 1970). Legislation repealed said
Section effective January 1, 1980.
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d. Section 21222.2 (Special 5% Increase - 1971). Legislation repealed said
Section effective January 1, 1980.
C. Section 21024 (Military Service Credit as Public Service), Statutes of
1976.
f Section 20042 (One -Year Final Compensation).
9. Section 21573 (Third Level of 1959 Survivor Benefits) for local safety
members only.
9. 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.
10. Public Agency shall also contribute to said Retirement System as follows:
a. Public Agency shall contribute $1.50 per member, per month on account
of the liability for the 1959 Survivor Benefits provided under Section
21573 of said Retirement 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.
C. 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.
11. 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 System
as determined by the periodic investigation and valuation required by said
Retirement Law.
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11 Contributions required of Public Agency and its employees shall be paid by
Public Agency to the Retirement System within fifteen 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. Adjustments on account of errors in contributions required of any
employee may be made by direct payments between the employee and the Board.
B. This amendment shall be effective on the 4th day of April 19 97
BOARD OF ADMINISTRATION CITY COUNCIL
PUBLIC EMPLOYEES' RETIREMENT SYSTEM OF THE
CITY OF EL SEGUNDO
ACTUARIAL & EMPLOYER SERVICES DIVISION
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
April 2, 1997
.......... ...............................
Witness Date
Attest:
�erk
AMENDMENT
PERS- CON -702A (Rev. 8W6)