California Senate Bill SB54 Amended / Bill

 BILL NUMBER: SB 54AMENDED BILL TEXT AMENDED IN SENATE FEBRUARY 6, 2013 AMENDED IN SENATE JANUARY 29, 2013 INTRODUCED BY Senator Hancock DECEMBER 21, 2012 An act to add Sections 31621.12 and 31676.20 to the Government Code, relating to county employees' retirement, and declaring the urgency thereof, to take effect immediately. LEGISLATIVE COUNSEL'S DIGEST SB 54, as amended, Hancock. Retirement: county employees. The California Public Employees' Pension Reform Act of 2013 requires each county retirement system created pursuant to the County Employees Retirement Law of 1937 to use a retirement formula commonly known as 2.5% at 67 years of age for nonsafety members first hired on or after January 1, 2013, except that a lower retirement formula may be used as specified. The County Employees Retirement Law of 1937 authorizes the Alameda County Board of Supervisors to provide service retirement allowances for general members based on one of 2 formulas commonly known as the 2% at 57 years of age formula or the 1.64% at 57 years of age formula. This bill would authorize the Alameda County Board of Supervisors to adopt a resolution that would provide service retirement allowances based on a formula commonly known as the 2% at 65 years of age formula for general members hired after approval of the resolution, as specified. This bill would declare that it is to take effect immediately as an urgency statute. Vote: 2/3. Appropriation: no. Fiscal committee: no. State-mandated local program: no. THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS: SECTION 1. Section 31621.12 is added to the Government Code, to read: 31621.12. In counties adopting Section 31676.20, the normal rates of contribution for members covered by Section 31676.20 shall be as provided for in Section 7522.30. Employees shall pay at least 50 percent of normal costs and the employer shall not pay any part of the required employee contribution. SEC. 2. Section 31676.20 is added to the Government Code, to read: 31676.20. (a) (1) Notwithstanding any other provision of this chapter or of subdivision (b) of Section 7522.02 and Section 7522.20, this section may be made applicable in a county of the fourth class, as defined in Sections 28020 and 28025, as amended by Chapter 1204 of the Statutes of 1971, on the first day of the month after the board of supervisors of the county adopts a resolution by majority vote, as part of or subsequent to the adoption of any negotiated memorandum of understanding with a bargaining unit that represents general member employees and that was adopted on or before  July   December  31, 2012, to employees of that bargaining unit hired after approval of the resolution or to unrepresented employees hired after approval of the resolution. (2) Notwithstanding any other provisions of this chapter or of subdivision (b) of Section 7522.02 and Section 7522.20, the defined benefit plan shall provide a pension at retirement for service equal to the percentage of the member's final compensation set forth opposite the member's age at retirement, taken to the preceding quarter year, in the following table, multiplied by the number of years of service in the system as a nonsafety member. A member may retire for service under this section after five years of service and upon reaching 52 years of age. Age of Retirement Fraction 52................................ 1.00 52 1/4............................ 1.025 52 1/2............................ 1.050 52 3/4............................ 1.075 53................................ 1.100 53 1/4............................ 1.125 53 1/2............................ 1.150 53 3/4............................ 1.175 54................................ 1.1883 54 1/4............................ 1.2022 54 1/2............................ 1.2160 54 3/4............................ 1.2299 55 ............................... 1.2436 55 1/4............................ 1.2585 55 1/2............................ 1.2733 55 3/4............................ 1.2882 56................................ 1.3031 56 1/4............................ 1.3192 56 1/2............................ 1.3353 56 3/4............................ 1.3514 57................................ 1.3675 57 1/4............................ 1.3850 57 1/2............................ 1.4025 57 3/4............................ 1.4200 58................................ 1.4375 58 1/4............................ 1.4565 58 1/2............................ 1.4757 58 3/4............................ 1.4947 59................................ 1.5138 59 1/4............................ 1.5346 59 1/2............................ 1.5554 59 3/4............................ 1.5763 60................................ 1.5972 60 1/4............................ 1.6126 60 1/2............................ 1.6282 60 3/4............................ 1.6438 61................................ 1.6593 61 1/4............................ 1.6801 61 1/2............................ 1.7010 61 3/4............................ 1.7219 62................................ 1.7428 62 1/4............................ 1.7649 62 1/2............................ 1.7871 62 3/4............................ 1.8092 63................................ 1.8314 63 1/4............................ 1.8549 63 1/2............................ 1.8785 63 3/4............................ 1.9021 64................................ 1.9257 64 1/4............................ 1.9510 64 1/2............................ 1.9763 64 3/4............................ 2.0015 65................................ 2.0268 65 1/4............................ 2.0268 65 1/2............................ 2.0268 65 3/4............................ 2.0268 66 ............................... 2.0268 66 1/4............................ 2.0268 66 1/2............................ 2.0268 66 3/4............................ 2.0268 67 and over....................... 2.0268 (b) Except as provided for in subdivision (a), any requirement of the California Public Employees' Pension Reform Act of 2013 (Article 4 (commencing with Section 7522) of Chapter 21 of Division 7 of Title 1) applicable to employers or members participating in county and district retirement systems created under this chapter shall also apply to employers and members operating under this section. (c) Subject to the requirements of Section 7522.30, a resolution adopted pursuant to this section or previously adopted resolutions of the board may require members to pay all or part of the contributions by a member or employer, or both, that would have been required if the section or sections specified within this chapter were or have been adopted by resolution. The payment by a member shall become part of the accumulated contributions of the member. (d) The board of supervisors, in a resolution described in subdivision (a), shall not require that a bargaining unit be divided solely for the purpose of providing different retirement benefits. However, if the members of a bargaining unit within the same or similar membership classification so elect, retirement benefits may be separately negotiated with that bargaining unit. (e) Notwithstanding any other provision of law, the effective date of a resolution described in subdivision (a) may be different than the date of the resolution. (f) This section shall not apply to safety members. SEC. 3. This act is an urgency statute necessary for the immediate preservation of the public peace, health, or safety within the meaning of Article IV of the Constitution and shall go into immediate effect. The facts constituting the necessity are: In order for the benefits of a memorandum of understanding that was negotiated between a county of the fourth class and one of its bargaining units to be enacted and applied equitably at the earliest possible time, it is necessary that this act take effect immediately.