CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION Assembly Bill No. 3084Introduced by Assembly Member LevineFebruary 16, 2018 An act to add Section 7514.8 to the Government Code, relating to public employees. LEGISLATIVE COUNSEL'S DIGESTAB 3084, as introduced, Levine. Public employees: retirement systems: annual report.Existing law requires all state and local public retirement systems to submit audited financial statements to the Controller at the earliest practicable opportunity within 6 months of the close of each fiscal year. Existing law requires the Controller to review these reports and to publish an annual report on the financial condition of all state and local public retirement systems, as specified.This bill would require each state and local public retirement system to, in its annual audited financial statements submitted to the Controller, in a form prescribed by the Controller, show that the retirement system has met or if it has not met, detail why it has not met and what the retirement system is doing to meet, specified parameters related to the provision of other postemployment benefits. Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 7514.8 is added to the Government Code, to read:7514.8. Each state and local public retirement system shall, in its annual audited financial statements submitted to the Controller pursuant to Section 7504, in a form prescribed by the Controller, show that the retirement system has met or if it has not met, detail why it has not met and what the retirement system is doing to meet, all of the following relating to other postemployment benefits:(a) Making targeted prefunding contributions on a timely basis.(b) Depositing contributions in an irrevocable qualified trust for the exclusive benefit of plan members.(c) Investing contributions in excess of any pay-as-you-go amounts in a diversified investment portfolio with a defined investment policy.(d) Ensuring that the discounted rate used to develop the actuarial account liability and normal cost recognizes the expected return of the entire portfolio.
CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION Assembly Bill No. 3084Introduced by Assembly Member LevineFebruary 16, 2018 An act to add Section 7514.8 to the Government Code, relating to public employees. LEGISLATIVE COUNSEL'S DIGESTAB 3084, as introduced, Levine. Public employees: retirement systems: annual report.Existing law requires all state and local public retirement systems to submit audited financial statements to the Controller at the earliest practicable opportunity within 6 months of the close of each fiscal year. Existing law requires the Controller to review these reports and to publish an annual report on the financial condition of all state and local public retirement systems, as specified.This bill would require each state and local public retirement system to, in its annual audited financial statements submitted to the Controller, in a form prescribed by the Controller, show that the retirement system has met or if it has not met, detail why it has not met and what the retirement system is doing to meet, specified parameters related to the provision of other postemployment benefits. Digest Key Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NO
CALIFORNIA LEGISLATURE 20172018 REGULAR SESSION
Assembly Bill No. 3084
Introduced by Assembly Member LevineFebruary 16, 2018
Introduced by Assembly Member Levine
February 16, 2018
An act to add Section 7514.8 to the Government Code, relating to public employees.
LEGISLATIVE COUNSEL'S DIGEST
## LEGISLATIVE COUNSEL'S DIGEST
AB 3084, as introduced, Levine. Public employees: retirement systems: annual report.
Existing law requires all state and local public retirement systems to submit audited financial statements to the Controller at the earliest practicable opportunity within 6 months of the close of each fiscal year. Existing law requires the Controller to review these reports and to publish an annual report on the financial condition of all state and local public retirement systems, as specified.This bill would require each state and local public retirement system to, in its annual audited financial statements submitted to the Controller, in a form prescribed by the Controller, show that the retirement system has met or if it has not met, detail why it has not met and what the retirement system is doing to meet, specified parameters related to the provision of other postemployment benefits.
Existing law requires all state and local public retirement systems to submit audited financial statements to the Controller at the earliest practicable opportunity within 6 months of the close of each fiscal year. Existing law requires the Controller to review these reports and to publish an annual report on the financial condition of all state and local public retirement systems, as specified.
This bill would require each state and local public retirement system to, in its annual audited financial statements submitted to the Controller, in a form prescribed by the Controller, show that the retirement system has met or if it has not met, detail why it has not met and what the retirement system is doing to meet, specified parameters related to the provision of other postemployment benefits.
## Digest Key
## Bill Text
The people of the State of California do enact as follows:SECTION 1. Section 7514.8 is added to the Government Code, to read:7514.8. Each state and local public retirement system shall, in its annual audited financial statements submitted to the Controller pursuant to Section 7504, in a form prescribed by the Controller, show that the retirement system has met or if it has not met, detail why it has not met and what the retirement system is doing to meet, all of the following relating to other postemployment benefits:(a) Making targeted prefunding contributions on a timely basis.(b) Depositing contributions in an irrevocable qualified trust for the exclusive benefit of plan members.(c) Investing contributions in excess of any pay-as-you-go amounts in a diversified investment portfolio with a defined investment policy.(d) Ensuring that the discounted rate used to develop the actuarial account liability and normal cost recognizes the expected return of the entire portfolio.
The people of the State of California do enact as follows:
## The people of the State of California do enact as follows:
SECTION 1. Section 7514.8 is added to the Government Code, to read:7514.8. Each state and local public retirement system shall, in its annual audited financial statements submitted to the Controller pursuant to Section 7504, in a form prescribed by the Controller, show that the retirement system has met or if it has not met, detail why it has not met and what the retirement system is doing to meet, all of the following relating to other postemployment benefits:(a) Making targeted prefunding contributions on a timely basis.(b) Depositing contributions in an irrevocable qualified trust for the exclusive benefit of plan members.(c) Investing contributions in excess of any pay-as-you-go amounts in a diversified investment portfolio with a defined investment policy.(d) Ensuring that the discounted rate used to develop the actuarial account liability and normal cost recognizes the expected return of the entire portfolio.
SECTION 1. Section 7514.8 is added to the Government Code, to read:
### SECTION 1.
7514.8. Each state and local public retirement system shall, in its annual audited financial statements submitted to the Controller pursuant to Section 7504, in a form prescribed by the Controller, show that the retirement system has met or if it has not met, detail why it has not met and what the retirement system is doing to meet, all of the following relating to other postemployment benefits:(a) Making targeted prefunding contributions on a timely basis.(b) Depositing contributions in an irrevocable qualified trust for the exclusive benefit of plan members.(c) Investing contributions in excess of any pay-as-you-go amounts in a diversified investment portfolio with a defined investment policy.(d) Ensuring that the discounted rate used to develop the actuarial account liability and normal cost recognizes the expected return of the entire portfolio.
7514.8. Each state and local public retirement system shall, in its annual audited financial statements submitted to the Controller pursuant to Section 7504, in a form prescribed by the Controller, show that the retirement system has met or if it has not met, detail why it has not met and what the retirement system is doing to meet, all of the following relating to other postemployment benefits:(a) Making targeted prefunding contributions on a timely basis.(b) Depositing contributions in an irrevocable qualified trust for the exclusive benefit of plan members.(c) Investing contributions in excess of any pay-as-you-go amounts in a diversified investment portfolio with a defined investment policy.(d) Ensuring that the discounted rate used to develop the actuarial account liability and normal cost recognizes the expected return of the entire portfolio.
7514.8. Each state and local public retirement system shall, in its annual audited financial statements submitted to the Controller pursuant to Section 7504, in a form prescribed by the Controller, show that the retirement system has met or if it has not met, detail why it has not met and what the retirement system is doing to meet, all of the following relating to other postemployment benefits:(a) Making targeted prefunding contributions on a timely basis.(b) Depositing contributions in an irrevocable qualified trust for the exclusive benefit of plan members.(c) Investing contributions in excess of any pay-as-you-go amounts in a diversified investment portfolio with a defined investment policy.(d) Ensuring that the discounted rate used to develop the actuarial account liability and normal cost recognizes the expected return of the entire portfolio.
7514.8. Each state and local public retirement system shall, in its annual audited financial statements submitted to the Controller pursuant to Section 7504, in a form prescribed by the Controller, show that the retirement system has met or if it has not met, detail why it has not met and what the retirement system is doing to meet, all of the following relating to other postemployment benefits:
(a) Making targeted prefunding contributions on a timely basis.
(b) Depositing contributions in an irrevocable qualified trust for the exclusive benefit of plan members.
(c) Investing contributions in excess of any pay-as-you-go amounts in a diversified investment portfolio with a defined investment policy.
(d) Ensuring that the discounted rate used to develop the actuarial account liability and normal cost recognizes the expected return of the entire portfolio.