HomeMy WebLinkAbout6/15/2011 - STAFF REPORTS - 3.A. ANN
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DATE: June 15, 2011 LEGISLATIVE
SUBJECT: AN URGENCY ORDINANCE OF THE CITY OF PALM SPRINGS,
CALIFORNIA, AUTHORIZING AN AMENDMENT TO CONTRACT
BETWEEN THE BOARD OF ADMINISTRATION OF THE CALIFORNIA
PUBLIC EMPLOYEES' RETIREMENT SYSTEM AND THE CITY
COUNCIL OF THE CITY OF PALM SPRINGS
FROM: David H. Ready, City Manager
BY: Human Resources
SUMMARY
City Council adopted Resolution on May 18, 2011, which declared its intention to
approve an Amendment to Contract between the City Council of the City of Palm
Springs and the Board of Administration of the California Public Employees' Retirement
System. This Ordinance amending the Contract is the second action required to comply
with the California Public Employees' Retirement System contract amendment
procedures.
RECOMMENDATION:
1. Adopt Ordinance No. "AN URGENCY ORDINANCE OF THE CITY
COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA AUTHORIZING
AN AMENDMENT TO CONTRACT BETWEEN THE BOARD OF
ADMINISTRATION OF THE CALIFORNIA PUBLIC EMPLOYEES'
RETIREMENT SYSTEM AND THE CITY COUNCIL OF THE CITY OF PALM
SPRINGS."
STAFF ANALYSIS:
City Council adopted Resolution 22830 on November 17, 2010, approving a
Memorandum of Understanding with the Palm Springs Police Officers' Association
(PSPOA). Article 34.1 of this Memorandum of Understanding agreed to contract with
the California Employees' Retirement System for a new 3% @ 55 Police Second Tier,
ITEM NO. � �
City Council Staff Report
June 15, 2011 -- Page 2
Police Safety Unit
and; City Council adopted Resolution 22912 on May 4, 2011, approving a Memorandum
of Understanding with the Palm Springs Police Management Association (PSPMA).
Article 9.2 of this Memorandum of Understanding agreed to contract with the California
Employees' Retirement System for a new 3% @ 55 Police Second Tier. (Section
20475: Different Level of Benefits Provided for New Employees) — For Police Only.
City Council adopted Resolution 22924 on May 18, 2011, which declared its intention to
approve an Amendment to Contract between the City Council of the City of Palm
Springs and the Board of Administration of the California Public Employees' Retirement
System. This Ordinance amending the Contract is the second action required to comply
with the California Public Employees' Retirement System contract amendment
procedures.
The Resolution of Intent and the Ordinance amending the California Public Employees'
Retirement System contract are actions that must be certified by City Council to comply
with the California Public Employees' Retirement System contract amendment
procedures. This Ordinance is being adopted by Urgency for the timely hiring of sworn
police personnel.
Perry Madiso , Director of Human Resources David H. Ready, City Man
Attachments: Urgency Ordinance
ORDINANCE NO.
AN URGENCY ORDINANCE OF THE CITY OF PALM SPRINGS,
CALIFORNIA, AUTHORIZING AN AMENDMENT TO CONTRACT
BETWEEN THE BOARD OF ADMINISTRATION OF THE
CALIFORNIA PUBLIC EMPLOYEES' RETIREMENT SYSTEM
AND THE CITY COUNCIL OF THE CITY OF PALM SPRINGS.
THE CITY COUNCIL OF THE CITY OF PALM SPRINGS HEREBY ORDAINS:
SECTION 1. An amendment to the contract between the City Council of the City
of Palm Springs and the Board of Administration of the California Public Employees'
Retirement System is hereby authorized and approved, a copy of said amendment being
attached hereto, marked Exhibit A, and by such reference made a part hereof as though
herein set out in full, as on file in the office of the City Clerk.
SECTION 2. The City Manager of the City of Palm Springs is hereby authorized,
empowered, and directed to execute said amendment for and on behalf of the City
Council and the City of Palm Springs.
SECTION 3. This urgency ordinance is adopted pursuant to the City's authority
of matters of local concern as a charter city and Section 312 of the Palm Springs
Charter. The City Council finds, determines, and declares that this urgency ordinance is
necessary for the preservation of the public heath and safety due to the immediate need
to hire sworn police personnel pursuant to the terms of the amended contact, and to
ensure the timely hiring of sworn police personnel.
SECTION 4. The Mayor shall sign and the City Clerk shall certify to the passage
and adoption of this Ordinance and shall cause the same, or the summary thereof, to be
published and posted pursuant to the provisions of law and this Ordinance shall take
effect upon adoption.
PASSED, APPROVED, AND ADOPTED BY THE PALM SPRINGS CITY
COUNCIL THIS 15TH DAY OF JUNE, 2011.
STEPHEN P. POUGNET, MAYOR
AlIEST:
JAMES THOMPSON, CITY CLERK
Ordinance
Page 2
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) SS.
CITY OF PALM SPRINGS )
I, JAMES THOMPSON, City Clerk of the City of Palm Springs, California, do
hereby certify that Ordinance No. is a full, true, and correct copy, and was
introduced at a regular meeting of the Palm Springs City Council on , and
adopted at a regular meeting of the City Council held on the 15th day of June, 2011, by
the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
JAMES THOMPSON, CITY CLERK
City of Palm Springs, California
c�
CaIPERS
California
Public Employees' Retirement System
4110.
AMENDMENT TO CONTRACT
Between the
Board of Administration
California Public Employees ' Retirement System
and the
City Council
City of Palm Springs
4800.
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
January 1, 1957, and witnessed December 3, 1956, and as amended effective July 14,
1965, January 14, 1973, January 1, 1975, September 5, 1976, July 10, 1977, October
15, 1978, April 29, 1979, February 27, 1983, July 1, 1984, June 29, 1986, April 18,
1998, August 23, 1998, April 18, 1999, August 19, 2001, April 28, 2002, May 25, 2003
and January 4, 2004 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 January 4, 2004, and hereby replaced by the following paragraphs
numbered 1 through 15 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 fire members
and those local police members entering membership in the police
classification on or prior to the effective date of this amendment to
contract, and age 55 for local police members entering membership for
the first time in the police classification after the effective date of this
amendment to contract.
2. Public Agency shall participate in the Public Employees' Retirement
System from and after January 1, 1957 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. Public Agency agrees to indemnify, defend and hold harmless the
California Public Employees' Retirement System (CaIPERS) and its
trustees, agents and employees, the CaIPERS Board of Administration,
and the California Public Employees' Retirement Fund from any claims,
demands, actions, losses, liabilities, damages, judgments, expenses and
costs, including but not limited to interest, penalties and attorneys fees
that may arise as a result of any of the following:
(a) Public Agency's election to provide retirement benefits,
provisions or formulas under this Contract that are different than
the retirement benefits, provisions or formulas provided under
the Public Agency's prior non-CaIPERS retirement program.
(b) Public Agency's election to amend this Contract to provide
retirement benefits, provisions or formulas that are different than
existing retirement benefits, provisions or formulas.
(c) Public Agency's agreement with a third party other than
CaIPERS to provide retirement benefits, provisions, or formulas
that are different than the retirement benefits, provisions or
formulas provided under this Contract and provided for under
the California Public Employees' Retirement Law.
(d) Public Agency's election to file for bankruptcy under Chapter 9
(commencing with section 901) of Title 11 of the United States
Bankruptcy Code and/or Public Agency's election to reject this
Contract with the CaIPERS Board of Administration pursuant to
section 365, of Title 11, of the United States Bankruptcy Code
or any similar provision of law.
(e) Public Agency's election to assign this Contract without the prior
written consent of the CaIPERS' Board of Administration.
(f) The termination of this Contract either voluntarily by request of
Public Agency or involuntarily pursuant to the Public Employees'
Retirement Law.
(g) Changes sponsored by Public Agency in existing retirement
benefits, provisions or formulas made as a result of
amendments, additions or deletions to California statute or to
the California Constitution.
i;
4. 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).
5. 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
6. The percentage of final compensation to be provided for each year of
credited prior and current service for local miscellaneous members in
employment before and not on or after April 28, 2002 shall be determined
in accordance with Section 21354 of said Retirement Law, subject to the
reduction provided therein for service prior to December 31, 1974,
termination of Social Security, for members whose service has been
included in Federal Social Security (2% at age 55 Full and Modified).
7. The percentage of final compensation to be provided for each year of
credited prior and current service for local miscellaneous members in
employment on or after April 28, 2002 shall be determined in accordance
with Section 21354.5 of said Retirement Law, subject to the reduction
provided therein for service prior to December 31, 1974, termination of
Social Security, for members whose service has been included in Federal
Social Security (2.7% at age 55 Full and Modified).
8. The percentage of final compensation to be provided for each year of
credited prior and current service as a local fire member and those local
police member entering membership in the police classification on or prior
to the effective date of this amendment to contract shall be determined in
accordance with Section 21362.2 of said Retirement Law (3% at age 50
Full).
9. The percentage of final compensation to be provided for each year of
credited current service as a local police member entering membership
for the first time in the police classification after the effective date of this
amendment to contract shall be determined in accordance with Section
21363.1 of said Retirement Law (3% at age 55 Full).
10. Public Agency elected and elects to be subject to the following optional
provisions:
a. Sections 21624, 21626 and 21628 (Post-Retirement Survivor
Allowance).
b. Section 21024 (Military Service Credit as Public Service).
C. Section 20042 (One-Year Final Compensation).
d. Section 20965 (Credit for Unused Sick Leave) for local fire
members only.
e. Section 21574 (Fourth Level of 1959 Survivor Benefits).
f. Section 20475 (Different Level of Benefits). Section 21363.1 (3%
@ 55 Full formula) is applicable to local police members entering
membership for the first time in the police classification after the
effective date of this amendment to contract.
11. Public Agency, in accordance with Government Code Section 20790,
ceased to be an "employer" for purposes of Section 20834 effective on
September 5, 1976. 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.
12. 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.
13. 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 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 miscellaneous members and local safety 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.
14. 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.
15. 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 ,
BOARD OF ADMINISTRATION CITY COUNCIL
PUBLIC EMPLOYEES' RETIREMENT SYSTEM CITY OF PALM SPRINGS
BY BY _
DARRYL WATSON, CHIEF PRESIDING OFFICER
CUSTOMER ACCOUNT SERVICES DIVISION
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
Witness Date
Attest:
Clerk
AMENDMENT ER#355
PERS-CON-702A
CITY OF PALM SPRINGS
NOTIFICATION
a 0.NP
City Council
Meeting Date: July 15, 2011
Subject: Urgency Ordinance 1795
AFFIDAVIT OF PUBLICATION
I, Kathie Hart, Chief Deputy City Clerk, of the City of Palm Springs, California, do hereby
certify that a copy of the attached Ordinance was published in the Desert Sun on June 25,
2011.
1 declare under penalty of perjury that the foregoing is true and correct.
\Lk4aA-9
Kathie Hart, CMC
Chief Deputy City Clerk
AFFIDAVIT OF POSTING
I, Kathie Hart, Chief Deputy City Clerk, of the City of Palm Springs, California, do hereby
certify that a copy of the attached Ordinance was posted at City Hall, 3200 E. Tahquitz
Canyon Drive, on the exterior legal notice posting board and in the Office of the City Clerk
on June 16, 2011.
I declare under penalty of perjury that the foregoing is true and correct.
\WCAO-
Kathie Hart, CMC
Chief Deputy City Clerk
The Desert Sun Certificate of Publication
750 N Gene Autry Trail
Palm Springs, CA 92262
760-778-4578/Fax 760-778-4731
No 2176 ORDINANCENO.1795-
State Of California ss: AN URGENCY ORINANCE OF THE CITY OF
PALM SPRINGS CAAAAAALIFORNIA, AUTHORIZING
County of Riverside AN AMENDMEfIT TO CONTRACT BETWEEN
THE BOARD OF MINISTRATION OF THE
CALIFORNIA PUB C EMPLOYEES' RETIRE-
'A SYSTEM A THE CITY COUNCIL OF
THE CITY OF PALM SPRINGS
Advertiser: THE CITY COUNCI OF THE CITY OF PALM
SPRINGSHEREBY RDAINS.
CITY OF PALM SPRINGS/LEGALS SECTION t.An ant to the oanract_be-
tween the City Cw 'I of the City of Patin Spnrgs
PO BOX 2743 and the 8oard of A minislrefion of[Ire Casfomia
Public Employees' etirement System.is hereby
PALM SPRINGS CA 922632 aWhodzed erJ app ed a wpy of said S'P
men[ being aVach hereto, marked Exhibit A,
arM W auch refs made a an
hereof as
though here.set m hYl,as on file in Vie of Ka
of Vre Cdy Clerk..
SECTION 2.The C Mana er of the City of Palm
2000268635 Spr'mgs is hereby a hors ,empowered'and di-
rected to execute Id amendment for and on be-
half of the City C uncil and the City of Palm
Springs.
prsusrOdNo Vre C s� V.my rs of focal
Ss c as a cha r city and Secbort 312 cf Me
Palm Springs Cha r The Cary Council finds,tle-
termur¢e 9gd tlepla ;ihaClhiel4g9pCy uNinanpa
I am Over the age Of 18 years Old, a citizen Of the United is riec__4tor preservatbn of the puhlic
heaN aria eatery Po the immediate neetl to
States and not a party to, or have interest in this matter. I hire swam ponce IGursuem to are terms'
ofthe amerxbd arrtl to ensure the timely
hereby certify that the attached advertisement appeared hiring Wswanp ol,.rsonnel.
in Said newspaper (set in type not Smaller than non Aerial) SECTION 4.The ayor shall sign and the.City
in each and entire issue of said newspaper and not in any Clerk shall cerlilyhe passage and adoption of
this Ordinanw an shall cause the same,or the
supplement thereof on the following dates,to wit: summary thereof, be published and posted pur-
I take eVept Thies
adoption.
law antl Vra Ortlinence
Newspaper: .The Desert Sun PASSED APP S C11 AND ADOPTED BY THE
PALM SPRINGS CITY COUNCIL THIS 15TH
DAYOFJUNE,201.
6/25/2011 STEPHEN P.PO NET,MAYOR
ATTEST:
JAMES THOMPSON,CITY CLERK
-CE FICATION
STATE OF CALIFNIA
CIOU TY OF LRIV RSIDE
I,JAMES THOM N,C•rty ClerRINGS
k of Vre h of
acknowled a that I am a rinci al clerk of the rioter of Palm SpprNgs Cal amre.do ceraty the Ur-
9 P P P gencyOrdinance o 1795 is a toll,tole,a. wr-
The Desert Sun, printed and published weekly in the City reW copy,antl s introduced and ahaotpfed et a
regular meeting f the Clty Council heltl w the
of Palm Springs, County of Riverside, State of California. 15ih aay otJune oil bythe following vote:
The Desert Sun was adjudicated a newspaper of general AYES: 'Imember Feat,Councilmember
circulation on March 24, 1988 by the Superior Court of the �wef,on, Mills,Maya Pro Tam
County of Riverside, State 'of California Case No. and Pougnst
NOES: None
ABSENT: Nate
191236. ABSTAIN:..None
JAMES TROMP N,CITY CLERK
City W Palm Spril Qs,California -
I declare under penalty of perjury that the foregoing is true Published.&&'At
and correct. Executed on this 25th day of June, 2011 in
Palm Springs, California.
DeclgOnt'sgignPure
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ORDINANCE NO. 1795
AN URGENCY ORDINANCE OF THE CITY OF PALM SPRINGS,
CALIFORNIA, AUTHORIZING AN AMENDMENT TO CONTRACT
BETWEEN THE BOARD OF ADMINISTRATION OF THE
CALIFORNIA PUBLIC EMPLOYEES' RETIREMENT SYSTEM
AND THE CITY COUNCIL OF THE CITY OF PALM SPRINGS. (AO037)
THE CITY COUNCIL OF THE CITY OF PALM SPRINGS HEREBY ORDAINS:
SECTION 1. An amendment to the contract between the City Council of the City
of Palm Springs and the Board of Administration of the California Public Employees'
Retirement System is hereby authorized and approved, a copy of said amendment being
attached hereto, marked Exhibit A, and by such reference made a part hereof as though
herein set out in full, as on file in the office of the City Clerk.
SECTION 2. The City Manager of the City of Palm Springs is hereby authorized,
empowered, and directed to execute said amendment for and on behalf of the City
Council and the City of Palm Springs.
SECTION 3. This urgency ordinance is adopted pursuant to the City's authority
of matters of local concern as a charter city and Section 312 of the Palm Springs
Charter. The City Council finds, determines, and declares that this urgency ordinance is
necessary for the preservation of the public heath and safety due to the immediate need
to hire swom police personnel pursuant to the terms of the amended contact, and to
ensure the timely hiring of sworn police personnel.
SECTION 4. The Mayor shall sign and the City Clerk shall certify to the passage
and adoption of this Ordinance and shall cause the same, or the summary thereof, to be
published and posted pursuant to the provisions of law and this Ordinance shall take
effect upon adoption.
PASSED, APPROVED, AND ADOPTED BY THE PALM SPRINGS CITY
COUNCIL THIS 15T" DAY OF JUNE, 2011.
STEPH N P. POUGNET, MAYOR
ATTEST:
MES THOMPSON, CITY CLERK
NOTE ONLY: Exhibit A on file in the Office of the City Clerk
Ordinance 1795
Page 2
CERTIFICATION
STATE OF CALIFORNIA )
COUNTY OF RIVERSIDE ) ss.
CITY OF PALM SPRINGS )
I, JAMES THOMPSON, City Clerk of the City of Palm Springs, California, do
hereby certify that Urgency Ordinance No. 1795 is a full, true, and correct copy, and
was introduced and adopted at a regular meeting of the City Council held on the Wh
day ofJune, 2011�by the fol owing vote:
AYES: Councilmember Foat, Councilmember Hutcheson, Councilmember Mills,
Mayor Pro Tern Weigel, and Mayor Pougnet.
NOES: None.
ABSENT: None.
ABSTAIN: None.
;k—ES THOMPSON, CITY CLERK
City of Palm Springs, California p/,�t6rZ�� f