The URL can be used to link to this page

Home My WebLink About2017-06-27 Ordinance 5416AY/HR/20170726 Ord Amending CalPERS Contract 1 Ordinance No. 5416 Ordinance of the Council of the City of Palo Alto Authorizing an Amendment to the Contract between the City of Palo Alto and the Board of Administration of the to Add CostSharing Pursuant to Government Code Section 20516 The Council of the City of Palo Alto ORDAINS as follows: SECTION 1. That an amendment to the contract between the City of Palo Alto and the is hereby authorized, a copy of said amendment hereto, marked Exhibit A, and such reference made a part hereof as though herein set out in full. SECTION 2. The City Manager, or his designee is authorized, empowered, and directed to execute said amendment for and on behalf of the City of Palo Alto. // // // // // // // // // // // // // // // // // (SGY7MKR)RZIPSTI-(()&'(%%&&' AY/HR/20170726 Ord Amending CalPERS Contract 2 SECTION 3. This ordinance shall be effective on the thirtyfirst day after the date of its adoption. INTRODUCED: August 14, 2017 PASSED: September 11, 2017 AYES: DUBOIS, FILSETH, FINE, HOLMAN, KNISS, KOU, SCHARFF, TANAKA, WOLBACH NOES: ABSENT: ABSTENTIONS: ATTEST: City Clerk Mayor APPROVED AS TO FORM: APPROVED: City Attorney City Manager Director of Human Resources Director of Administrative Services (SGY7MKR)RZIPSTI-(()&'(%%&&' (SGY7MKR)RZIPSTI-(()&'(%%&&' Exhibit A A PLEASE DO NOT SlGN "EX~ CalPERS EXt California Public Employees' Retirement System -----------~·----------- AMENDMENT TO CONTRACT Between the Board of Administration California Public Employees' Retirement Sys and the City Council City of Palo Alto The Board of Administration, California Public Employees' Retirement hereinafter referred to as Board, and the governing body of the above public hereinafter referred to as Public Agency, having entered into a contract January 1, 1942, and witnessed March 9, 1942, and as amended effective Ja 1948, April 1, 1949, January 1, 1952, July 1, 1954, February 1 , 1956, Nove 1964, September 23, 1968, December 14, 1970, February 1, 1974, July l January 5, 1975, April 1, 1975, September 11, 19n, July 1, 1979, February 2 July 11, 1981, December 12, 1981, June 12, 1982, September 17, 1983, Nover 1983, February 11, 1991, October 15, 1994, December 10, 1994, February 2 October 15, 1998, January 1, 1999, October 14, 1999, July 1, 2000, October 2 March 9, 2002, September 16, 2006, January 6, 2007, July 17, 2010, June 8, 2 December 7, 2012 which provides for participation of Public Agency in said Board and Public Agency hereby agree as follows: A. Paragraphs 1 through 16 are hereby stricken from said contract as e effective December 7, 2012, and hereby replaced by the following par numbered 1 through 18 inclusive: 1. All words and terms used herein which are defined in the Employees' Retirement Law shall have the meaning as defined unless otherwise specifically provided. •Normal retirement ag mean age 55 for classic local miscellaneous members membership in the miscellaneous classification on or prior to (SGY7MKR)RZIPSTI-(()&'(%%&&' PLEASE DO NOT StGr\ July 171 20101 age 60 for classic local miscellaneous members membership for the first time in the miscellaneous classification c 17, 2010, age 62 for new local miscellaneous members, age 50 fc local fire members entering membership in the fire classificatic prior to June 8, 2012 and for those classic local police members membership in the police classification on or prior to December age 55 for classic local fire members entering membership for time in the fire classification after June 8, 2012 and for those cla~ police members entering membership for the first time in th classification after December 71 2012 and 57 for new loca members. 2. Public Agency shall participate in the Public Employees• Re System from and after January 1, 1942 making its emplo~ hereinafter provided, members of said System subject to all prov the Public Employees' Retirement Law except such as apply election of a contracting agency and are not provided for herein a amendments to said Law hereafter enacted except those, ~ express provisions thereof, apply only on the election of a co1 agency. 3. Public Agency agrees to indemnify, defend and hold harml California Public Employees' Retirement System (CalPERS) trustees, agents and employees, the CalPERS Board of Admin and the California Public Employees' Retirement Fund from an~ demands, actions, losses, liabilities, damages, judgments, expen costs, including but not limited to interest, penalties and attorney 1 may arise as a result of any of the following: (a) Public Agency's election to provide retirement provisions or formulas under this Contract that are differ the retirement benefits, provisions or formulas provide the Public Agency's prior non-CalPERS retirement prog1 (b) Any dispute, disagreement, claim, or proceeding (i without limitation arbitration, administrative hearing, or I between Public Agency and its employees (c representatives) which relates to Public Agency's ele amend this Contract to provide retirement benefits, prov formulas that are different than such employees' retirement benefits, provisions or formulas. (c) Public Agency's agreement with a third party oth CalPERS to provide retirement benefits, provisions, or 1 that are different than the retirement benefits, provi: formulas provided under this Contract and provided fc the California Public Employees' Retirement Law. (SGY7MKR)RZIPSTI-(()&'(%%&&'PLEASE DO NOT SIGN I 4. Employees of Public Agency in the following classes shall members of said Retirement System except such in each such are excluded by law or this agreement: a. Local Fire Fighters (herein referred to as local safety memb b. Local Police Officers (herein referred to as local safety merr c. Employees other than local safety members (herein referr local miscellaneous members). 5. In addition to the classes of employees excluded from membe said Retirement Law, the following classes of employees shall not members of said Retirement System: a. PROJECT PROFESSIONAL; PROJECT MANAGER; PF TECHNICIAN; PROJECT ASSISTANT; PROJECT LAI LANDSCAPE MAINTENANCE TRAINEE; LIBRARY WATER SAFETY INSTRUCTOR /LIFEGUARD; RECR LEADER; AND POOL MANAGER HIRED ON OR OCTOBER 14, 1999. 6. The percentage of final compensation to be provided for each credited prior and current service as a classic local miscellaneous in employment before and not on or after January 6, 2007 determined in accordance with Section 21354 of said Retirem (2% at age 55 Full). 7. The percentage of final compensation to be provided for each credited prior and current service as a classic local miscellaneous in employment on or after January 6, 2007 and not entering men for the first time in the miscellaneous classification after July 1 shall be determined in accordance with Section 21354.5 Retirement Law. 8. The percentage of final compensation to be provided for each credited current service as a classic local miscellaneous member membership for the first time with this agency in the misce classification after July 17, 2010 shall be determined in accorda1 Section ?1353 of said Retirement Law (2% at age 60 Full) .. 9. The percentage of final compensation to be provided for each credited prior and current service as a new local miscellaneous shall be determined in accordance with Section 7522.20 Retirement Law (2% at age 62 Full). (SGY7MKR)RZIPSTI-(()&'(%%&&' · PLEASE DO NOT SIGN " 10. The percentage of final compensation to be provided for each credited prior and current service as a classic local fire member membership in the fire classification on or prior to June 8, 2012 those classic local police members entering membership in th classification on or prior to December 7, 2012 shall be detem accordance with Section 21362.2 of said Retirement Law (3% at Full). 11. The percentage of final compensation to be provided for each credited current service as a classic local fire member membership for the first time with this agency in the fire classificat June 8, 2012 and for those classic local police members membership for the first time with this agency In the police clas~ after December 7, 2012 shall be detennined in accordance with 21363.1 of said Retirement Law (3% at age 55 Full). 12. The percentage of final compensation to be provided for each credited prior and current service as a new local safety member determined in accordance with Section 7522.25(d) of said Retirem (2. 7% at age 57 Full). 13. Public Agency elected and elects to be subject to the following provisions: a. Section 21571 (Basic Level of 1959 Survivor Benefits), b. Section 21222.1 (One-Time 5% Increase -1970). Le1 repealed said Section effective January 1, 1980. c. Section 21222.2 (One-Time 5% Increase -1971). Le! repealed said Section effective January 1, 1980. d. Section 21319 (One-Time 15% Increase for Local Miscel Members Who Retired or Died Prior to July 1, 1971 ). Le! repealed said Section effective January 1, 2002. e. Section 21325 (One-Time 3% to 15% Increase Fo Miscellaneous Members and Local Safety Members Who R1 Died Prior to January 1, 1974). Legislation repealed said effective January 1, 2002. f. Section 20042 (One-Year Final Compensation) for clas~ miscellaneous members, those classic local fire members membership on or prior to June 8, 2012 and for classic loci members entering membership on or prior to December 7, ~ g. Section 21317 (One-Time 15% Increase for Certain Loca Members Who Retired for Service Retirement). Le! repealed said Section effective January 1, 2002. (SGY7MKR)RZIPSTI-(()&'(%%&&' PLEASE DO NOT SIGr h. Section 21326 (One-Time 1% to 7% Increase Fe Miscellaneous Members and Local Safety Members Who R Died Prior to July 1, 1974). Legislation repealed said effective January 1, 2002. i. Section 21024 (Military Service Credit as Public Service). j. Section 20692 (Employer Paid Member Contributions Com Payrate During the Final Compensation Period) for clas. miscellaneous members and classic local safety member following groups: Local miscellaneous members who are Manageme confidential employees; Local police members who are Management and car employees; Local fire members entering membership on or prior to 2012 who are Management and confidential employees; Local miscellaneous members represented by local 71: AFL-CIO and CLC; and Local police members represented by the Palo Alto Peace Association. k. Section 20434.5 (11Local Fire Fighter'' shall include any c employee of a fire department employed to perform ha materials services as described in Government Code 20434.5). I. Section 21548 (Pre-Retirement Option 2W Death Benefit) fire members only. m. Section 20475 (Different Level of Benefits). Section 2135~ 60 Full formula) is applicable to classic local misce members entering membership for the first time with this a! the miscellaneous classification after July 17, 2010. Section 21363.1 (3%@ 55 Full formula) and Section 20037 Year Final Compensation) without Section 20692 (Empie~ Member Contributions Converted to Payrate During the Fine Compensation Period) are applicable to classic local fire n entering membership for the first time with this agency in classification after June 8, 2012. (SGY7MKR)RZIPSTI-(()&'(%%&&'PLEASE DO NOT SIGN "E Section 21363.1 (3% @ 55 Full formula) and Section 20037 Year Final Compensation) are applicable to classic locc members entering membership for the first time with this a the police classification after December 7. 2012. n. Section 20516 (Employees Sharing Additional Cost): From and after the effective date of this amendment to t .5% for local miscellaneous members in the Service Err International Union (SEIU) Local 521. From and after the effective date of this amendment to cont for local safety members in the International Association Fighters. Palo Alto Fire Chief's Association, Palo Altc Officers' Association and Palo Alto Police Mane Association. The portion of the employer's contribution that the membe to contribute from his or her compensation, over and at member's normal contribution ("Cost Sharing Percentage not exceed the Employer Normal Cost Rate, as that rate is in the CalPERS Actuarial Valuation for the relevant fiscal ' the Cost Sharing Percentage will exceed the relevant E Normal Cost Rate, the Cost Sharing Percentage shall autor be reduced to an amount equal to, and not to exceed, the E Normal Cost Rate for the relevant fiscal year. 14. Public Agency, in accordance with Government Code Section ceased to be an "employer" for purposes of Section 20834 effe September 11 , 1977. Accumulated contributions of Public Ager be fixed and determined as provided in Government Code Sectior and accumulated contributions thereafter shall be held by the E provided in Government Code Section 20834. 15. Public Agency shall contribute to said Retirement System the conti determined by actuarial valuations of prior and future service liab respect to local miscellaneous members and local safety member: Retirement System .. 16. Public Agency shall also contribute to said Retirement System as f a. A reasonable amount, as fixed by the Board, payable installment within 60 days of date of contract to cover the administering said System as it affects the employees c Agency, not including the costs of special valuations o periodic investigation and valuations required by law. (SGY7MKR)RZIPSTI-(()&'(%%&&' PLEASE DO NOT S\GN "1 b. A reasonable amount, as fixed by the Board, payable installment as the occasions arise, to cover the costs o1 valuations on account of employees of Public Agency, and the periodic investigation and valuations required by law. 17. Contributions required of Public Agency and its employees : subject to adjustment by Board on account of amendments to th Employees' Retirement Law, and on account of the experience u Retirement System as determined by the periodic investigat valuation required by said Retirement Law. 18. Contributions required of Public Agency and its employees shall by Public Agency to the Retirement System within fifteen days ; end of the period to which said contributions refer or as may be pr· by Board regulation. If more or less than the correct arr contributions is paid for any period, proper adjustment shall be connection with subsequent remittances. Adjustments on ac1 errors in contributions required of any employee may be made I payments between the employee and the Board. B. This amendment shall be effective on the day of __ ..-o=---- ,.o \~ BOARD OF ADMINISTRATION %1TY COUNCIL >70 PUBLIC EMPLOYEES' RETIREMENT SYSTEM ~TY OF PALO AL~ BY ____ ~~~~~~~~~~- ARNIT A PAIGE, CHIEF PENSION CONTRACTS AND PREFUNDING PROGRAMS DIVISION PUBLIC EMPLOYEES' RETIREMENT SYSTEM .. AMENDMENT Ca/PEAS ID #6373437857 PEAS-CON·702A a <6 B~ ~ PRlijK)ING OFFICER ~ ~ ~ ~ ~ ~ ~ Witness Da~ :;:A Attest: Clerk ~ ~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