HomeMy WebLinkAboutReso 111-1977RESOLUTION NO. 111-77
RESOLUTION OF INTENTION TO APPROVE AN
AMENDMENT TO CONTRACT BETWEEN THE
BOARD OF ADMINISTRATION OF THE
PUBLIC EMPLOYEESt RETIREMENT SYSTEM
AND THE
CITY COUNCIL
OF THE
CITY OF SOUTH SAN FRANCISCO
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 them-
selves and their employees to amendments to said law; and
WHEREAS, one of the steps in the procedure to amend this contract is the
adoption by the legislative body of the public .agency of a resolu-
tion 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:
1. Provides 2% at 50 benefits for safety members.
2. Provides service credit under the provisions of
Chapter 830, Statutes 1976 for miscellaneous members.
NOW, THEREFORE, BE IT RESOLVED, that the governing body of the above agency
gives, and it does hereby give notice of intention to approve an
amendment to the contract between the said governing body 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.
CITY COUNCIL
OF THE
CITY OF SOUTH SAN FRANCISCO
City Clerk
(Title)
August': 3, 1977
(Date adopted and approved)
Ret. Form 122
I hereby certify that the foregoing Resolution was
regularly introduced and adopted by the City Council of
the City of South San Francisco at a regular
meeting held on the 3rd day of August
19' 77 , by the following vote:
AYES, COUNCILMEN William A. Borba, Emanuele N. Damonte,
Terry J. Mirri and Leo Padreddii
NOES, " Richard A. Battaglia
ABSENT, " None
ATTE S T:
Clerk'
I1~[ '1~ IIlill il II~r 1:1
'Exhibit to Resolution No. 111-77
A~ T~
CITY COUNCI~
OF. THE
CITY OF SOUTH SAN FRANCISCO
The Board of Administration, Public Employees' Retirement System, hereinafter
referred to as Board and the CITY COUNCIL of the CITY OP SOUTH SAN FRANCISCO,
hereinafter referred to as Public Agency, having entered into a contract under date
of September 12, 1945, effective September 1, 1945, and as amended effectiv8
September 1, 1949, December 1, 1953, January 1, 1960, January 1, 1963, February 1,
1967, January 1, 1968, January 1, 1969, November 1, 1973, April 19, 1974, and
January 21, 1977, which provides for participation of Public Agency in said System,
Board and Public Agency hereby agree as follows:
A. Paragraphs I through 8 are hereby stricken from said contract as
executed effective November 1, 1973, and are hereby replaced by the following
paragraphs numbered 1 through 10 inclusive:
5
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 miscellaneous members and age 50 for local
safety members.
5
Public Agency shall participate in the Public Employees' Retirement
System from and after September 1, 1945, 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 such as by
express provision thereof apply only on the election of contracting
agencies.
.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. ~,ocal 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 (herein referred to as
miscellaneous members).
In addition to the employees excluded from membership by said Retirement
Law, the following employees ~hnll not become members of the Ret~remen~
System:
PERSONS WHO ARE COMPENSATED ON AN HGJRLY
BASIS WHO ARE EMPLOYED JANUARY 1, 1965
Ret. l~orm 702-1
. ~~%~ Exhibit to Resolution No. 111-77
S[~A~RY OF MAJOR PROVISIONS
Local Safety Members - 2% at 50
Retirement Program
MEMBERSHIP
Compulsory for all employees except those specifically excluded. Exclusions
include; (1) special contract exclusions; (2) employees who work less than half
time; (3) employees who work half time or more but who will work six months or
less; (&) temporary or seasonal full-time employees who will work six months or
less.
SERVICE RETIRE~I~
The earliest retirement age is 50; the normal retirement age is 50; and the
compulsory retirement age is 60. A local safety member may retire any time after
age 50 provided he either has at least 5 years of service or has attained the
compulsory retirement age.
The monthly income is determined by age at retirement, years of credited
service, and "final compensation". The latter term means the average monthly
salary (excluding overtime) earned during the final 36 consecutive months unless
member specifically request another 36 consecutive month period.
The unmodified life allowance will be "2% of final compensation" for each
year of safety service upon retirement age 50 with increasing percentages to a
maximum of 2.7% at retirement at age 55. Service retirement benefit is subject
to .a~ limitation of 75% of final compensation.
A minimum service retirement allowance of $100 per month is guaranteed upon
compulsory retirement with credit for prior service.
DISABILITY RETIR~E~
An employee becoming disabled to the extent that he is incapable of performing
his daties shall be retired for disability. His disability will be either employment
connected (industrial disability) or otherwise (nonindustrial disability).
An employee who becomes disabled while a member of this System for reasons
arising out of his employment, will be eligible for a life income of fifty (50~.)
percent of his final compensation. If his disability is such that he is also,
entitled to a disability income from Social Security,, the State System benefit
will be reduced by the amount of his Social Security benefit.
An employee who becomes disabled while a member of PERS for reasons arising
out of his employment, will be eligible for a life income of fifty (50%) percent
of his final compensation. If his disability is such that he is also entitled
to a disability income from Social S~curity, the PERS benefit will be reduced by
the amount of his Social Sec. urity benefit.
An employee becoming disabled for reasons not connected with his employment
shall be eligible for disability retirement provided he has at least 5 years of
service. This disability allowance is equal to 1.8% of final compensation for
each year of service, with a guarantee of 1/3 of final compensation for most
employees who have rendered at least l0 years of service. The "ordinary dis-
ability" retirement allowance shall under no circumstances exceed the service
retirement allowance which would become payable to age 60 if employment could
be continued to that age.
DEATH BENEFITS
(1) Death Before Retirement
Basic Death Benefit: This benefit is a refund of the member's
accumulated contributions plus six months' salary provided
he was a member for six years or more. For those who die
before completing six years of membership, the benefit is
one month's salary for each year of membership plus refund
of contributions. The salary referred to is that earned
during the year preceding death. Prior service does not
count toward this benefit.
Industrial Death Benefit: If death is service-connected in the
judgment of the Industrial Accident Commission, a monthly
income is paid to the spouse for life (or until remarriage)
instead of the above basic death benefit. However, if the
spouse is also eligible for survivor benefits from Social
Security benefits are payable (usually until the youngest
child reaches 18). The total, including Social Security,
would be 50% of "final compensation". If death was caused
by external violence or physical force, the total benefit
(including Social Security) would be increased to the
following percentages of "final compensation" so long as
the spouse lives and does not remarry:
Spouse with 3 or more children under 18' 75%
Spouse with 2 children under 18 70%
Spouse with 1 child under 18 62~
1957 Survivor Benefit: Members with 5 or more years of service who
have reached the minimum age for service retirement have further
death protection under this item. Here the surviving spouse can
elect .to receive either the Basic Death Benefit or monthly income
equal to one-half the unmodified retirement allowance the member
was eligible for on the date of his death. The monthly income
lasts until the spouse's death or remarriage, with a guarantee
that PERS will pay at least as much as is entitled under the
Basic Death Benefit. '
1959 Survivor Benefit: A monthly allowance shall be paid to certain
survivors of a member who dies before retirement.
(2) Death After Retirement:
The death benefit is $500. This is in addition to any remaining
"temporary annuity" installments and any benefits payable under
an option chose at retirement.
Death After Retirement
One-half Continuance provides upon the death of a local safety member
who has retired for service, or disability, for the continuance of
one-half the retirement allowance to certain survivors.
TEPJ,4INATION OF ~2~PLOt~NT
UPOn termination of employment, a member with at least 5 years of service may
either leave his contributions with PERS and receive, upon attaining retirement age,
the retirement benefit he has earned, or he may withdraw his contributions (plus
interest), thus terminating his membership in the System and receiving no retirement
benefits. Exceptions: (1) a member with less than 5 years of service shall Dot..
~ve the privilege of leaving his contributions with the System, but shall
automatically have his contributions, plus interest, refunded upon termination of
employment and (2) a member who is transferring to employment with another agency
which is covered under the System shall not have the right of withdrawing his
accumulated contributions. .
~ CO~IBUTIONS
Each member makes monthly contributions to the System which are deducted
from his salary. The rate of contribution (percentage of gross pay) is 9%.
The employer also contributes toward the cost of the benefits. The amount
contributed by the employer for current service retirement benefits will, on the
average, exceed the cost to the employee. In addition, the employer bears the
entire cost of prior service benefits.
All employer contribution rates are subject to revision bythe Board of
Administration.