Resolution No. 6343
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RESOLUTION NO. 6343
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
VERNON DECLARING ITS INTENTION TO APPROVE AN
AMENDMENT TO THE CONTRACT BETWEEN THE BOARD OF
ADMINISTRATION OF THE PUBLIC EMPLOYEES'
RETIREMENT SYSTEM (PERS) AND THE CITY COUNCIL OF
THE CITY OF VERNON
WHEREAS, the Public Employees' Retirement Law permits the
participation of public agencies and their employees in the PERS by
the execution of a contract, and sets forth the procedure by which
said public agencies may elect to subject themselves and their
employees to amendments to said Law; and
WHEREAS, the Board of Administration of the PERS and the
City of Vernon have entered into a contract dated October 23, 1948,
effective November 1, 1948 and amendments thereto effective on April
1, 1956, October 1, 1960, July 1, 1966, October 1, 1972, May 1,
1974, November 1, 1975, December 1, 1976, March 1, 1979, July 6,
1986, October 17, 1986, September 7, 1990, January 19, 1991, and
September 21, 1991, which provides for participation of the City of
Vernon in the PERS; and
WHEREAS, one of the steps in the procedure to amend this
contract is the adoption by the governing body of the public agency
of a resolution giving notice of its intention to approve an
amendment to said contract, which resolution shall contain a summary
of the change proposed in said contract; and
WHEREAS, the following are statements of the two proposed
changes:
1. To provide Section 20024.2 (Computation of Final
Compensation by One-Year Period) for local police
members only.
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2. To provide 2% at 55 Full formula for local
miscellaneous members, including an extension of
the funding period to the year 2011.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF VERNON AS FOLLOWS:
SECTION 1: The City Council of the City of Vernon does
hereby give notice of intention to approve an amendment to the
contract between the City Council and the Board of Administration of
the PERS, a copy of which has been presented to the City Council
concurrently with this resolution, and the ci ty Council hereby
orders said amendment to be received and filed by the City Clerk.
SECTION 2:
The City Clerk of the City of Vernon shall
certify to the passage of this resolution, and thereupon and
thereafter the same shall be in full force and effect.
APPROVED AND ADOPTED this 2nd day of November, 1993.
~~.i(yU;n:;;yor
ATT~ a~#
BROCE V. MALKENHORST, City Clerk
Pro Tem
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STATE OF CALIFORNIA )
)ss
COUNTY OF LOS ANGELES )
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I, BRUCE V. MALKENHORST, City Clerk of the City of Vernon,
do hereby certify that the foregoing Resolution, being Resolution
No. 6343 as duly adopted by the City Council of the City of Vernon
at a regular meeting of the City Council duly held on Tuesday,
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November 2, 1993, and thereafter
was duly signed by the Mayor Pro
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BRUCE V. MALKENHORST, City Clerk
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Tem of the City of Vernon.
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AMENDMENT TO CONTRACT
BETWEEN THE
BOARD OF ADMINISTRATION
OF THE
PUBLIC EMPWYEES' RETIREMENT SYSTEM
AND THE
CITY COUNCIL
OF THE
CITY OF VERNON
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 November 1, 1948, and witnessed October 23, 1948, and as amended effective
April 1, 1956, October 1, 1960, July 1, 1966, October 1, 1972, May 1, 1974, November 1, 1975,
December 1, 1976, March 1, 1979, July 6, 1986, October 17, 1986, September 7, 1990, January 19,
1991 and September 21, 1991, which provides for participation of Public Agency in said System, Board
and Public Agency hereby agree as follows:
A. Paragraphs 1 through 13 are hereby stricken from said contract as executed effective September
21, 1991, and hereby replaced by the following paragraphs numbered 1 through 13 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 55 for local miscellaneous members, age 50 for
local police members and for those local fire members entering membership on or prior
to October 17, 1986, and age 55 for those local fire members entering membership after
October 17, 1986.
2. Public Agency shall participate in the Public Employees' Retirement System from and
after November 1, 1948 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);
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
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5. The percentage of final compensation to be provided for each year of credited prior and
current service as a local miscellaneous member shall be determined in accordance with
Section 21251.132 of said Retirement Law (2% at age 55 Full).
6. The percentage of final compensation to be provided for each year of credited prior and
current service as a local police member and as a local fire member entering membership
on or prior to October 17, 1986 shall be determined in accordance with Section 21252.01
of said Retirement Law (2 % at age 50 Full).
7. The percentage of final compensation to be provided for each year of credited prior and
current service as a local fire member entering membership after October 17, 1986 shall
be determined in accordance with Section 21252.6 of said Retirement Law (2% at age
55 Full).
8. Public Agency elected to be subject to the following optional provisions:
a. Sections 21380-21387 (1959 Survivor Benefits) excluding Section 21382.2
(Increased 1959 Survivor Benefits) and Section 21382.4 (Third Level of 1959
Survivor Benefits) for local safety members only.
b. Sections 21263, 21263.1 and 21263.3 (post-Retirement Survivor Allowance).
c. Section 20930.3 (Military Service Credit as Public Service), Statutes of 1974.
d. Section 20024.2 (One-Year Final Compensation).
e. Section 20461.6 (Different Level of Benefits). Section21252.01, 2 % at age 50
Full formula is not applicable to local fire members entering membership after
October 17, 1986.
f. Sections 21380-21387 (1959 Survivor Benefits) including Section 21382.4 (Third
Level of 1959 Survivor Benefits) for local miscellaneous members only.
g. Section 21365.6 (pre-Retirement Optional Settlement 2 Death Benefit) for local
miscellaneous members and local fire members only.
9. Public Agency, in accordance with Government Code Section 20740, ceased to be an
"employer" for purposes of Section 20759 effective on November 1, 1975. Accumulated
contributions of Public Agency shall be fixed and determined as provided in Government
Code Section 20759, and accumulated contributions thereafter shall be held by the Board
as provided in Government Code Section 20759.
10. 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.
11. Public Agency shall also contribute to said Retirement System as follows:
a. Public Agency shall contribute $2.00 per employee, per month on account of the
liability for the 1959 Survivor Benefits provided under Section 21382.4 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 miscellaneous members.
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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.
12. 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.
13. 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. '
This amendment shall be effective on the ,;J-Y d day of rJl~ , 19 ~.
B.
BOARD OF ADMINISTRATION
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
CITY COUNCIL
OF THE
CITY OF VERNON
BY~r~!-r~ N
C IEF, CONTRACT SERVI ES DIVIS N
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
BY ~~ a~~L/
Presiding Officer omas A. Ybarra
Mayor Pro Tem
December 6, 1993
Witness Date
PERS-CON-702 (AMENDMENT)
(Rev. 10/92)
Clerk Bruce V. Malkenhorst
City Clerk
Approved as to Form:
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Davi B. Brea"rley
City Attorney