1995-20 RESOLUTION NO. 95-20
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF GRAND TERRACE, CALIFORNIA, DECLARING ITS
INTENTION TO APPROVE AN AMENDMENT TO CON-
TRACT BETWEEN THE BOARD OF ADMINISTRATION
OF THE PUBLIC EMPLOYEES' RETIREMENT SYSTEM
AND THE CITY COUNCIL OF THE CITY OF GRAND
TERRACE
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 21382.4 (Third Level of 1959 Survivor Benefits) pursuant to
Article 6 (commencing with Section 21380) for local miscellaneous members.
NOW, THEREFORE, BE IT RESOLVED, that the governing body of the above agency
does hereby give notice of intention to approve an amendment to the contract between said
public agency 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.
ADOPTED THIS loth day of August, 1995
ATTEST:
City Clerk of the City of rand Terrace :Mayo f the City of r d Terrace
and of the City Council thereof. an the City Council thereof.
RESOLUTION NO. 95-20
Page 2
I, BRENDA STANFILL, City Clerk of the City of Grand Terrace, do hereby certify that the
foregoing Resolution was introduced and adopted at a regular meeting of the City Council of the
City of Grand Terrace held on the loth day of August, 1995, by the following vote:
AYES: Councilmembers Hilkey, Singley, and Buchanan; Mayor Pro Tem
Carlstrom; Mayor Matteson
NOES: None
ABSENT: None
ABSTAIN: None
Approved as to form:
l
City Clerk '
City Attorney
a
EXHIBIT
AMENDMENT TO'CONTRACT
BETWEEN THE
BOARD OF ADMINISTRATION
OF THE
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
AND THE
CITY COUNCIL
OF THE
CITY OF GRAND TERRACE
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 January 20, 1990, and witnessed December 14, 1989, which provides.for
participation of Public Agency in said System, Board and Public Agency hereby agree as follows:
A. Paragraphs 1 through 10 are hereby stricken from said contract as executed effective January 20;
1990, and hereby replaced by the following paragraphs numbered 1 through 11 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 60 for local miscellaneous members.
2. Public Agency shall participate in the Public Employees' Retirement System from and
after January 20, 1990 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. 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:
a. SAFETY EMPLOYEES; AND
b. ELECTED OFFICIALS.
5. Assets heretofore accumulated with respect to members in the local retirement system
have been transferred.to the Public Employees' Retirement System and applied against
the liability for prior service incurred thereunder. That portion of the assets so
transferred which represent the accumulated contributions(plus interest thereof) required
of the employees under said local system has been credited to.the individual membership
account of each such employee under the Public Employees' Retirement System.
6. 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 21251.13 of said Retirement Law (2% at age 60 Full).
7. Public Agency elected and elects to be subject to the following optional provisions:
a. Section 20835.1 (Limit Prior Service to Members Employed on Contract Date).
b. Section 21361.5 (Local System Service Credit Included in Basic Death Benefit)..
C. Section 21382.4 (Third Level of 1959 Survivor Benefits) pursuant to Article 6
(commencing with Section 21380).
8. 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 of said Retirement System.
9.. Public Agency shall also contribute to said Retirement System as follows: .
a. Public Agency shall contribute $2.00 per member, 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 rate's, for survivors of all local miscellaneous members.
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.
10. 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.
11. 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 day of , 19
BOARD OF ADMINISTRATION CITY COUNCIL
PUBLJO EMPLOYEES' RETIREMENT SYSTEM OF THE
CITY 014 GRAND TERRACE
BY BY
CHIEF ACT Y Presidin fficer
ACTUARIAL CE
PUBLIC EMPL*S' RETIREMENT SYSTEM
Witness Date s�
Attest:
Clerk
AMENDMENT
PERS-CON-702A (Rev. 3/95)