Resolution No. 95242
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RESOLUTION NO. 9524
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 CALIFORNIA PUBLIC EMPLOYEES'
RETIREMENT SYSTEM 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 Public
Employees' Retirement System 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, one of the steps in the procedures 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 is a statement of the proposed change:
To provide Section 21354.5 (2.70 @ 55 Full formula)
for local miscellaneous members.
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 its intention to approve an amendment to the
contract between the City Council of the City of Vernon and the Board
of Administration of the Public Employees' Retirement System, a copy
of said amendment being attached hereto, as an "Exhibit" and by this
reference made a part hereof.
1 SECTION 2: The City Council of the City of Vernon hereby
2 directs the City Clerk, or her designee, to send a certified copy of
3 this resolution together with a completed original "Certification of
4 Governing Body's Action" and "Certification of Compliance with
5 Government Code Section 7507" to:
6 Danielle Brooks
Employer Representative
7 Public Agency Contract Services
8 CalPers Actuarial & Employer Services Division
P.O. Box 942709
9 Sacramento, CA 94229-2709
10 SECTION 3: The City Clerk of the City of Vernon shall
11 certify to the passage of this resolution, and thereupon and
12 thereafter the same shall be in full force and effect.
13 APPROVED AND ADOPTED this 22Id day of January, 2008.
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17 Name: Leonis C. Malburg
18 Title: Mayor / -A4 A n TPro
19 ATTEST:
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22 MANUELA GIRON, Ci y Clerk
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STATE OF CALIFORNIA )
) ss
COUNTY OF LOS ANGELES )
I, MANUELA GIRON, City Clerk of the City of Vernon, do hereby
certify that the foregoing Resolution, being Resolution No. 9524, was
duly adopted by the City Council of the City of Vernon at a regular
meeting of the City Council duly held on Tuesday, January 22, 2008, and
thereafter was duly signed by the Mayor or Mayor Pro-Tem of the City of
Vernon.
(SEAL)
ANUELA GI ON, City Clerk
- 3 -
EXHIBIT
California
Public Employees' Retirement System
AMENDMENT TO CONTRACT
Between the
Board of Administration
California Public Employees' Retirement System
and the
City Council
City of Vernon
The Board of Administration, California Public 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
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, September 21, 1991, December 24, 1993, October 30, 1994, July 18,
1997, June 30, 2002, February 6, 2005, February 3, 2007 and May 27, 2007 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 May 27, 2007, and hereby replaced bythe the following paragraphs
numbered 1 through 14 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 and local prosecutors and
age 50 for local police and local fire members.
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. Local Prosecutors (included 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. The percentage of final compensation to be provided for each year of
credited prior and current service as a local miscellaneous member in
employment before and not on or after the effective date of this
amendment to contract shall be determined in accordance with Section
21354 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 miscellaneous member in
employment on or after the effective date of this amendment to contract
shall be determined in accordance with Section 21354.5 of said
Retirement Law (2.7% at age 55 Full).
7. The percentage of final compensation to be provided for each year of
credited prior and current service as a local fire member and local police
member shall be determined in accordance with Section 21362.2 of said
Retirement Law (3% at age 50 Full).
8. The percentage of final compensation to be provided for each year of
credited prior and current service as a local prosecutor member shall be
determined in accordance with Section 21363.1 of said Retirement Law
(3% at age 55 Full).
9. Public Agency elected and elects to be subject to the following optional
provisions:
a. Section 21571 (Basic Level of 1959 Survivor Benefits) for local
police members only.
b. Sections 21624, 21626 and 21628 (Post -Retirement Survivor
Allowance).
C. Section 21024 (Military Service Credit as Public Service).
d. Section 20042 (One -Year Final Compensation).
e. Section 21573 (Third Level of 1959 Survivor Benefits) for local
miscellaneous members and local prosecutors only.
f. Section 21574 (Fourth Level of 1959 Survivor Benefits) for local
miscellaneous members and local fire members only.
g. Section. 20423.6 ("Local Safety Member" shall include local
prosecutors, local public defenders, and local public defender
investigators as described in Government Code Section 20423.6).
h. Section 21574 (Fourth Level of 1959 Survivor Benefits) for local fire
members only.
10. Public Agency, in accordance with Government Code Section 20790,
ceased to be an "employer" for purposes of Section 20834 effective on
November 1, 1975. Accumulated contributions of Public Agency shall be
fixed and determined as provided in Government Code Section 20834,.
and accumulated contributions thereafter shall be held by the Board as
provided in Government Code Section 20834.
11. Public Agency shall contribute to said Retirement System the contribufions
determined by actuarial valuations of prior and future service liability with
respect to local miscellaneous members and local safety members of said
Retirement System.
12. Public Agency shall also contribute to said Retirement System as follows:
a. Contributions required per covered member on account of 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 miscellaneous members and local prosecutors.
b. Contributions required per covered member on account of the 1959
Survivor Benefits provided under Section 21574 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 fire members.
C. 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.
d. 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.
13. 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.
14. 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
BOARD OF ADMINISTRATION`-'
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
BY C
LORI MCGARTLAND,.CHIEF
EMPLOYER SERVJQES DIVISION
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
day of
X.
CITY COUNCIL
CITY OF VERNON
BY
,.
PRESIDING OF 11ER
R�
Witness Date
Attest:
Clerk
AMENDMENT ER# 0209
PERS-CON-702A (Rev. 10\05)
CITY CLERK'S OFFICE
INTER —OFFICE MEMORANDUM
To: Sharon Duckworth, City Treasurer
Avigal Horrow, Director of Human Resources
Martha Valenzuela, Director of Personnel
Willard Yamaguchi, Risk Manager
From- Giron, City Clerk
Date: July 30, 2008
Re: Amendment to Contract Between the Board of Administration
California Public Employees' Retirement System and the City
of Vernon (2.7% at 55)
Transmitted herewith is a copy of the Amendment referenced above that
was approved by Resolution No. 9646 on June 16, 2008, previously
submitted to you.
Also attached is a copy of Resolution No. 9524 - Declaring the City's
intent to approve the amendment to complete your file.
:ng
c: Ordinance No. 1144
Resolution No. 9524
Resolution No. 9646
Agreement No. 08-013
STATE OF CALIFORNIA )
ss
COUNTY OF LOS ANGELES)
CERTIFICATE
I, Manuela Giron, City Clerk of the City of Vernon, County
of Los Angeles, State of California, hereby certify that the
attached is a full and complete copy of:
RESOLUTION NO. 9524 -.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 California Public Employees,
Retirement System and the City Council of the City of
Vernon
IN WITNESS WHEREOF, I have hereunto set my hand and affixed
the official Seal of the City of Vernon, County of.Los Angeles,
State of California, on this 29th day of January 2008.
SEAL:
City Clerk
4flr-7'_ ion
'ublic Agency, in -the fdllo
ors of said Retiremenf S
as are excluded by law
f
CITY CLERK'S OFFICE
INTEROFFICE MEMORANDUM
DATE: November 28 2012
TO: Rory Burnett, Finance Director/City Treasurer
Teresa McAllister, Director of Human Resources
Mark Whitworth, City Administrator/Fire Chief
FROM: Deborah Juarez, Records Management Assistant;,
RE: Resolution No. 2012-192 - Resolution Authorizing a Correction
to the Amendment to Contract to Contract Between the Board of
Administration California Public Employees' Retirement System
and the City Council City of Vernon
Transmitted herewith is a copy of the above -referenced resolution that
was approved by City Council on October 16, 2012, and executed by both
the City of VernonandCalPers.
Thank you.
Attachment
c: Ordinance No. 1104
Resolution No. 8605
Ordinance No. 1144
Resolution Nos. 9524 & 9646
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Pan e1l.Q.3 ro4ks.....CALFTRS..................................
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Street, Apt. No.;
-POB-No. p •0.
Box 942704
City, State, ZIP+4
Sacramento, CA 94229-2704
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4305 Santa Fe.Avenue, Vernon, California 90058
Telephone (323) 583-8811
October 18, 2012
Danielle Brooks, VIA U.S. CERTIFIED MAIL
Employer Representative
California.Public Employees'
Retirement System
P.O. Box 942704
Sacramento, CA 94229-2704
Re: CalPERS Audit Findings #5
Dear Ms. Brooks:
Per your letter dated September 27, 2012, enclosed please find
two partially executed resolutions for the above -referenced
matter adopted by the City Council on October 16, 20.12.
If you have any questions or comments, please contact Kristen
Enomoto at (323) 583-8811 ext. 398.
Yours truly,
Ana Barcia
Deputy City Clerk
AB:em
Enclosures
cc: Mark Whitworth, City Administrator
Nicholas Rodriguez, City Attorney
E,cfusivefy Industriaf
RESOLUTION NO. 2012-192
RESOLUTION AUTHORIZING A CORRECTION TO THE
AMENDMENT TO CONTRACT BETWEEN THE BOARD OF
ADMINISTRATION CALIFORNIA PUBLIC EMPLOYEES'
RETIREMENT SYSTEM AND THE CITY COUNCIL CITY OF
VERNON
STATE OF CALIFORNIA )
ss
COUNTY OF LOS ANGELES )
I, Ana Barcia, Deputy City Clerk of the City of Vernon, do hereby
certify that the foregoing Resolution, being Resolution No. 2012-192,
was duly passed, approved and adopted by the City Council of the City
of Vernon at a regular meeting of the City Council duly held on
Tuesday, October 16, 2012, and thereafter was duly signed by the Mayor
or Mayor Pro-Tem of the City of Vernon.
Executed this day of October, 2012, at Vernon, California.
Ana rcia, Dep y City Clerk
(SEAL)
G1TY OF:VERNON
`'i
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Jury. U AVOU, UULUlJer;:rI, 4yav;,,aaptemoer.I" ryau, January ru, itit=r,
California Public Employees' Retirement System
Customer Account Services Division
P.O. Box 942704
- Sacramento, CA 94229 2704
CalPERS TTY: (916) 795-3240
888 CalPERS (or 888-225-7377) phone (916) 795-3005 fax
www.calpers.ca.gov
September 27, 2012
Ms. Kristen Enomoto
City of Vernon
4305 Santa Fe Avenue
Vernon, CA 90058
Dear Ms. Enomoto:
ID # 3431795727
Due to CalPERS audit finding #5, enclosed are two copies of a Resolution authorizing an
amendment to strike the contract dated February 6, 2005.
This will correct CalPERS audit finding #5.
Please return two executed copies of the Resolution. A copy will be returned for your
records after it has been executed by CalPERS.
If you have any questions, please call (888) CalPERS (225-7377).
Sincerely,
Danielle Brooks
Employer Representative
Public Agency Contract Services
Enclosures
G
California Public Employees' Retirement System
www.calpers.ca.gov
DATE: . October 11, 2012
TO: Honorable Mayor Pro Tem and City Council
FROM: Mark C. Whitworth, City Administrator
RE: Ca1PERS Correction Resolution
Background
In February 2005, the City amended its contract with the Board of Administration of the
California Public Employees' Retirement System (Ca1PERS) to add the following provision,
which effectively granted city attorneys a safety formula:
"The percentage of final compensation to be provided for each year of credited prior and
current service as a local prosecutor member shall be determined in accordance with
Section 21363.1 of said Retirement Las (3% at age 55 Full)."
Beginning in 2010, Ca1PERS Office of Audit Services conducted a public agency review of the
City of Vernon and issued a report of its findings on April 27, 2012. One of the findings was as
follows:
"The City incorrectly reported attorneys under coverage group 79001, a safety
classification that provides anenhanced retirement benefit formula of 3% @ 55."
In its January 31, 2012 response to the draft report, the City acknowledged that it had received
inaccurate advice regarding the qualifications of city attorneys, and indicated its desire to work
with Ca1PERS to correct the issue and properly reclassify the positions under the miscellaneous
category.
As such, the City received the attached correction resolution from CalPERS, which is being
presented for adoption. The resolution also corrects errors to the City's current contract with
Ca1PERS, effective June 22, 2008, that were discovered during this process.
Recommendation
It is recommended that the attached Ca1PERS correction resolution be approved and adopted.
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ublic Agency inthe fo owlngLLclasses shall
is of said: Retiremenfi.�ystern`exeept such in
Year of predited prior and current service as a local prosecutor
member:shalf be„determined, ire accordance with Section
:'2.1363.1 of said Retirement Law -3 at age 55 Fully. .
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