HomeMy WebLinkAboutReso 1453-1949376
RESOLb~ION OF INTENTION TO APPROVE
At~F~_ DMENT TO CONTRACT PROVIDING FOR
PARTICIPATION IN
STATE EMPLOYEES' RETI~T SYSTEM
WHEREAS, the State ~mployees' Retirement Law permits the participation of public agencies in the
State ~aployees' Retirement System, by the execution of a contract making their employees members of said System,
and sets forth the procedure by which said public agencies may elect to subject themselves 'and their employees %o
amendments to said law, providing for a guaranteed percentage of final compensation for eaeh year of service as
"Member", and providing for the portion of compensation to be included in computations under said law; and
WHEREAS, one step in said procedure is the adoption by the legislative body of the public agency,
of a resolution giving notice of its intention to approve an amendment to a contract between said governing
Board and the Board of Administration of said ~etirement Sustem, providing for said participation, which said resolu-
tion shall Contain a summary of the major provisions of the proposed Retirement System; and
~EREAS, the following is a ~,mme~y of the major provisions of the proposed Retirement System..
The System is administered by a board of eight members, composed of three members of the System, an ~-.f
official of a bank, an official of a life insurance company, the Director of Finance, a member of
the State Personnel Board, and an official of t~e University of California.
0
Retirement for service is optional upon attaimnent of age 55 by local firemen and lo~al policemen,
and age 60 or age 55 at the election of the Public Agency, by other employees, and completion of
twenty years of service for the ~ublic Agency, and is compulsory at age 65 fo¥ local firemen and
local policemen, and at age ?0 for other employees.
.
The monthly retirement allowance payable upon retirement for service is dependent upon such fadvra
as age, sex, salary and years of service. For local firementand local policemen, retiring at age 55
in paragraph 2, or at a higher age with 20 years of service, the monthly allowance is approximately
one-half the average monthly salary during the five years imeediately preceding retirement, unless
the Public Agency elects to ~rovide prior service benfits at less than the full amount. For ~ther
Agnecy employees, the monthly allowance, upon retirement at age 65 if the Agency elects 60 aa the
lowest optional service retirement age, is approximately 1/70th of the average monthly salary during
the five years immediately preceding retirement, for each year of service after the effective date
of participation, plus approximately 1/?Otb, or less as may be provided in said contract by the
public agency for its employees, of the average monthly salary during the three years immediately
preceding the effective date of participation, for each year of service prior to that date. Upon
retirement at age 60, if the agency elects 55 as the lowest optiona~ service retirement age, the fraction
is approximately 1/6Oth instead of 1/7Otb. ·
A minimt~a service retirement allowance of $&O per month is guaranteed upon retirement at age 70 with
credit for service rem~iered prior to said effective date, if the Public Agency elects age 60 as the
lowest optional service retirement age, or a minimum allowance of $60 per month upon retirement at age
65 or over with twenty years of service, or upon retirement at age 70 with credit for prior service, if
the Public Agency elects age 55 as the lowest optional service retirement a~e.
Retirement for disability, except in the case of local firemen and local policemen disabiled from injury
arising out of and in the course of employment, is permitted only after ten years of service and upon proof
of incapacity for the performance of duty.
0
The monthly retirement allowance payable upon disability retirement, described in preceding ite~ 5, is
dependent upon such factors as age, salary and years of service, but generally is equal to 90% of 1/70th,
or 1/60th as the case may be, bf the average monthly salary during the five years i~mediately preceding
retirement, for each year of service, with a guarantee of 25% of said salary, subject to certain restrict-
ti.ns and modifications.
Disability retirement of local firemen and local policemen, in the event of disability arising out of and
in the course of employment, is permitted regardless of age and service, the monthly retirement allowance
being one-half the average monthly salary during the five years immediately precedihg retirement.
The benefit payable at death before retirement, except in the case of local firea~en and local policemen
dying from injury arising out of and in the course of employment, consists of the coatributions of the
member plus interest, and plus 1/12th of the member's annual salary during the year immediately preceding
death, for each year, not exceeding six years, of service as a member of the ~ystem. Upon death after
retirement, and at the election of the Public Agency, a benefit of $300 is payable.
The monthly allowance payable to the widow and children, at the death of local firementand local police-
men arising out of and in the course of employment, is one-half the average monthly salary during the five
years immediately preceding death.
10.
The benefit upon separation from service by other cause than death or retirement, is the refund of the
member's contributions, with interest, members having accumulated contributions of at least $500 upon
resignation or discharge, may elect irrevocablt, within ninety days, to leave contributions in the Retirement
Fund, and then upon reaching the lowest optional service retirement age or bec.ming disabled, to be en-
titled to receive such retirement allowanc~ as will be provided by their and the Agency's contributions
and their credited service, regardless of service rendered.
11.
Contributions required of local firemen and local policemen~ without credit for prior service, depend upon
salary and upon age of entry into the Retirement System, the contributions per $1OO ef salary varying from
$?.63 at entry age 21 ~to $1~.35 at entry age 35. Contributions of fir.merit and policemen having credit for
prior service depend on salary, entry age, and amount of prior service, the amount of contributions per
$100 being $16.33 for example, at entry age 5&, with 19 years of prior service.
For other Agency emplbyees, the contributions depend upon salary, sex and age of entry into the Retirement
System, the contributions per $100 of salary varying from $~,83 at age 20, to $7.~5 at age 6~, for men,
and from $5.83 at age 20, to $8.50 at age 6~, for women, all based on the Bublic Agency's election of a~e
60 as the lowest optional service retirement age. If the Public Agency elects age 55as the lowest optional
service retirement age, the contributions per $100 of salary vary from $7.22 at age 20, to $10.26 at age 59
for men, and from $8.51 at age 20, to $11.61 at age 59, for women.
13.
The Agency is required to contribute the balance of the funds necessary to meetithe cost of the benefits
provided under the Retirement System for the Agency employees. The Agency also is required to pay its
proportionate share of the a~m~nistrative costs of the System.
1~. Ability of the Retirement System to pay benefits is safeguarded by a provision authorizing the Board of
Administration to revise contributions of both employees and the Agency, in the light of expeeience under
.
o
10.
11.
12.
13.
The monthly retirement ail~Ce'pgy~l~U~n retir~ent for-service is dependent upon such fad~r~
as age, sex, salary and years of service. For local firemen!, and local policemen, retiring at age 55
in paragraph 2, or at a higher age with 20 years of service, the monthly allowance is approximately
one-half the average monthly salary during the five years imeediately preceding retirement, unless
the Public Agency elects to provide prior service benfits at less than the full amount. For ~ther
Agnecy employees, the monthly allowance, upon retirement at age 65 if the Agency elects 60 aS the
lowest optional service retirement age, is approximately 1/70th of the average monthly salary during
the five years immediately preceding retirement, for each year of service after the effective date
of participation, plus approximately 1/7Oth, or less as may be provided in said contract by the
public agency for its employees, of the average monthly salary during the three years immediately
preceding the effective date of participation, for each year of service prior to that date. Upon
retirement at age .60, if the agency elects 55 as the lowest optiona~ service retirement age, the fraction
is approximately 1/6Otb instead of 1/70th.
A minimma sex-,ice retirement allowance of $~O per month is guaranteed upon retirement at age ?O with
credit for service remMered prior to said effective date, if the Public Agency elects age 60 as the
lowest optional service retirement age, or a m~n~mum allowance of $60 per month upon retirement at age
65 or over with twenty years of service, or upon retirement at age ?O with credit for prior service, if
the Public Agency elects age 55 as the lowest optional service retirement a~e.
Retirement for disability, except in the case of local firemen and local policemen disabiled from injury
arising out of and in the course of employment, is permitted only after ten years of service and upon proof
of incapacity for the performance of duty.
The monthly retirement allowance payable upon disability retirement, described in preceding item 5, is
dependent upon such factors as age, salary and years of service, but generally is equal to 90% of 1/?Otb,
or 1/60th as the case may be, bf the average monthly salary during the five years i~mediately preceding
retirement, for each year of service, with a guarantee of 25% of said salary, subject to certain restrict-
tions and modifications.
Disability retirement of local firemen and local policemen, in the event of disability arising out of and
in the course of employment, is permitted regardless of age and service, the monthly retirement allowance
being one-half the average monthly salary during the five years immediately prec_~h~ retirement.
The benefit payable at death before retirement, except in the case of local fire~en and local policemen
dying from injury arising out of and in the course of emplo2ment, consists of the coatributions of the
member plus interest, and plus 1/12th of the member's annual salary during the year immediately preceding
death, for each year, not exceeding six years, of service as a member of the ~ystem. Upon death after
retirement, and at the election of the Public Agency, a benefit of $300 is payable.
The monthly allowance payable to the widow and children, at the death of local firementand local police-
men arising out of and in the course of employment, is one-hahf the average monthly salary during the five
years immediately preceding death.
The benefit upon separation from ser~¢ice by other cause than death or retirement, is the refund of the
member's contributions, with interest, members having accumulated contributions of at least $500 upon
resignation or discharge, may elect irrevocablt, within ninety days, to leave contributions in the Retirement
Fund, and then upon reaching the lowest optional service retirement age or becoming disabled, to be en-
titled to receive such retirement allowam~g as will be provided by their and the Agency's contributions
and their credited service, regardless of service rendered.
Contributions required of local firemen and local policemen~ without credit for prior service, depend upon
salary and upon age of entry into the Retirement System, the contributions per $1OO ef salary varying from
$7.63 at entry age 21 to $1~.35 at entry age 35. Contributions of firemen'~ and policemen having credit for
prior service depend on salary, entry age, and amount of prior service, the amount of contributions per
$1OO being $16.33 for example, at entry age 5&, with 19 years of prior service.
For other Agency emplbyeee, the contributions depend upon salary, sex and age of entry into the Retirement
System, the contributions per $100 of salary varying from $A,83 at age 20, to $7.~5 at age 6~, for men,
and from $5.83 at age 20, to $$.50 at age 6~, for women, all based on the ~Bublic Agency's election of a~e
60 as the lowest optional service retirement age. If the Public Agency elects age 55as the lowest optional
service retirement age, the contributions per $100 of salary vary from $7.22 at age 20, to $10.26 at age 59
for men, and from $8.51 at age 20, to $11.61 at age 59, for women.
The Agency is required to contribute the balance of the funds necessary to meetS, the cost of the benefits
provided under the Retirement System for the Agency employees. The Agency also is required to pay its
proportionate share of the administrative costs of the System.
Ability of the Retirement System to pay benefits is safeguarded by a provision authori?.ing the Board of
Administration to revise contributions of both employees and the Agency, in the light of expeeience under
the System.
BE IT RESOLVED, that the City Council of the City of South San Francisco, give, and it hereby
gives notice of intention to approve an amendment to the contract between said City Council and the Board of
administration of the State Employees' Retirement System, providing for the participation of said City of South
San Francisco in said Retirement System, a copy of said amendment being at~tached~hereto, marked "Exhibit A", and
by reference made a part hereof.
City Council of
City of South San Francisco
May 23rd, 19~9
By
DANIEL J. HYLAND