HomeMy Public PortalAbout74-002 (01-02-74)RESOLUTION NO. 74-2
A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF LYNWOOD OF ITS INTENTION TO SUBMIT
AN ORDINANCE TO THE ELECTORATE FOR
APPROVAL AMENDING ORDINANCE NO. 426
AUTHORI~LNG AN AMENDMENT TO THE CONTRACT
BETWEEN THE CITY COUNCIL OF THE CITY OF
LYNWOOD AND THE BOARD OF ADMINTaSTRATION
OF THE PUBLIC EMPLOYEES' RETIREMENT SYSTEM
TO INCLUDE IMPROVED RETIREMENT BENEFITS
FOR THE SAFETY EMPLOYEES (FLREMEN AND
POLICEMEI~ OF THE CITY.
WHEREAS, the Public Employees' Retirement Law permits
the participation of public agencies in the Public Employees' Retirement
System, making their employees members of said System, and sets forth
the procedure by which participation may be accomplished, and the City
of Lynwood is so participating by contract pursuant to Ordinance No. 426
adopted by a vote of the electorate on Apri1 9, 1946; and
WHEREAS, the City Council of the City of Lynwood intends to
submit to the electorate for their approval of an amendment to Ordinance
No. 426, and, one of the steps required in the procedure is the adoption
by the City Council of the City of Lynwood of a resolution giving notice of
its intention to submit to the qualified electors of the City an ordinance
approving such amendment of the contract between the City Council and
the Board of Administration of the Public Employees' Retirement System,
which resolution shall contain a summary of the maj or provisions of the
proposed amendment to said contract; and
WHEREAS, attached is a summary of the major provisions
of the proposed plan which will become effective by the amendment to said
contract, marked Exhibit "B" and by such reference made a part hereof
as though herein set out in full.
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NOW, THEREFORE, BE IT RESOLVED, that the City Council
of the City of Lynwood gives, and it does hereby give notice of intention to
submit to the qualified electors of the City an ordinance amending Ordinance
No. 426 approving an amendment to the contract as hereinafter set forth
between said City Council and the Board of Administration of the Public
Employees' Retirement System; and
BE IT FURTHER RESOLVED, that the City Council, pursuant
to its right and authority to do so, does hereby determine that there shall be
and there is hereby ordered submitted to the qualified electors of said City
at the general election to be held March 5, 1974, the following proposition
or ordinance:
: Shall the Ordinance amending ~ . ~
: Ordinance No. 426, effective July 1, : : ~
: 1974, provide that the City's con- : :
: tract with the Board of Administra- ~
: tion of the PUBLIC EMPLOYEES' • ~
: RETIREMENT SYSTEM be amended ; • ~
: to include improved retirement : Yes :
: benefits to the Lynwood Firemen ; • -
: and Policemen, herein referred to . .
: as local safety members on the • ~
: basis of discretionary retirement ~
: at age 50, with the local safety . , ~
: member receiving a retirement of • ~
: Two (2%) percent of their final .
: compensation for each year of , ~ ~
: service (not to exceed Seventy- , , ~
: Five (75%) percent of final compen- . • ~
: sation) with compulsory retirement ~
: at age 60, to provide a widow `s ; ~
: allowance of One-half (1/2) of the : No . •
: local safety member's retirement : ~
: benefits on his death and the levy , ~
: of only such taxes as will be neces- . ~
: sary to maintain the City`s share • • ~
: of said benefits be adopted? , , .
A cross (+) placed in the voting square after the word "Yes"
in the rnanner hereinbefore provided shall be counted in favor of the adop-
tion of the question or proposition. A cross (+) placed in the voting square
after the word "No" in the manner hereinbefore provided shall be counted
against the adoption of the question or proposition.
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~
BE IT FURTHER RESOLVED, that said ordinance shall be
known as Ordinance Number 965 and shall appear on the ballot as
Proposition Number 1, and said ordinance shall provide in full as follows:
ORDINANCE NO. 965
AN ORDINANCE OF THE PEOPLE OF THE CITY
OF LYNWOOD AMENDING ORDINANCE NO. 426
AUTHORIZING AN AMENDMENT TO THE CONTRACT
BETWEEN THE CITY COUNCIL OF THE CITY OF
LYNWOOD AND THE PUBLzC EMPLOYEES' RETIRE-
MENT SYSTEM TO INCLUDE IMPROVED RETIREMENT
BENEFITS FOR THE SAFETY EMPLOYEES (FIREMEN
AND POLICEMEN) OF THE CITY.
THE PEOPLE OF THE CITY OF LYNWOOD DO ORDAIN AS
FOLLOWS:
Section l. Section 5 is hereby added to Ordinance No. 426 of
the City of Lynwood to read as follows:
Section 5. That an amendment to the contract between the
City Council of the City of Lynwood and the Board of Administra-
tion of the California State Employees` Retirement System is
hereby approved to include improved retirement benefits for
the Lynwood Firemen and Policemen, herein referred to as
local safety members, a copy of said amendment to contract
being attached hereto, marked Exhibit "A", and by such
reference made a part hereof as though herein set out in full.
Section 2. Section 6 is hereby added to Ordinance No. 426 of
the City of Lynwood to read as follows:
Section 6. The Mayor of the City of Lynwood is hereby
authorized, empowered, and directed to execute said amend-
ment to contract for and on behalf of said Agency.
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Section 3. Section 7 is hereby added to Ordinance No. 426
of the City of Lynwood to read as follows:
Section 7. The City Council of the City of Lynwood
shall levy such taxes as the City Council shall determine is
necessary to maintain the City's share of the improved retire-
ment benefits for the local safety members.
Section 4. Section 8 is hereby added to Ordinance No. 426 of
the City of Lynwood to read as follows:
Section 8. This ordinance shall take effect on July l,
1974.
PASSED, APPROVED? AND ADOPTED by the people of the
City of Lynwood at the general election held on the 5th day of March, 1974.
ATTEST:
City Clerk, City of Lynwood
PASSED, APPROVED, AND ADOPTED at a regular meeting
of the City Council held on the 2nd day of J'anuary, 1974.
~ ` ~ !~
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a or of the Ci of Lynwood
ATTEST:
_,
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City erk, City o~ Lyriwood
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~zBZT a
AMENDN~NT TO CONTRACT BET'~YEEN THE
BOARD OF ADMINISTRATION
PUEI.IC ET~LOYEES' FiETIRE~IT SYSTEM
AND 'PFIE
CITY COUNCIL
OF TF~
CITY OF I,YNWOOD
The Board of Administratior., Public Employees~ Retirement System~ hereinafter
referred to as Board and the CITY COUNCIL of the CITY OF LYN`~~OOD, hereinafter re-
ferred to as Public Agency having entered into a contract under date of i,7gy 7, 1946,
ePfec;:ive July 1, 1946, and as amended ePfective November 1, 1951~ February 1~ 1954,
August 1, 1959, December 1, 1964, and November 13~ 1966, and as provided by Chapters
170 and 316, Stabstes of 1971, which provide for participation of Public Agency,
hereby agree as iollows:
A. Paragraphs 1 through 9 are hereby stricken Prom said contract as executed
efPective July 1, 1946, and are hereby replaced by the £ollowin~ paragraphs
numbered 1 througn 8 inclusive:
1. All words and terms used herein which are defined in +..he Public ~oloy-
ees' Retirement Law shall have the meaning as defined therein iialess
otheiwise specifically provid.ed. "Normal retirement age" shall r~ean
age 60 for miscellaneoys members and age 50 Por local eafety n;embers.
2. Public Agency sha11 participate in the Public Employees' Retirer~,ent
System fro~ and after July 1~ 1946, making its employees as herein-
after provided, members oP said System subject to all provisions o~
the Public Employees' Betirement Law except such as apply only on elec-
tion of a contracting agency and are not provided for herein and to all
amendments to said Law'hereafter enacted except such as by exprees pro-
vision thereof apply only on the election of contracting aoenciea.
3. ~ployees of Public Agency in the £ollowing classes shall become members
of said Retirement System except such in each such class as are excluded
by law or this a~reement:
a. Local firemen (herein referred to as local safety members);
b. Local policeaen (herein rePerred to as local saPety members);
c. Employees other than local safety members (herein'referred to as
miscellaneous mec~bers~.
The following employees shall be excluded from memberehip in said
Retirement System:
NO ADDITIONAL r"7.CCLUSIONS
4. The fraction or final cov~pensation to be provided for each year o?
credited prior ~~d current service as a miscellaneous member shall
be thnt ~,rovide; :n Secticn 21251.13 of said Hetireaent Law.
, .
5, The foiloming additional provisions of the Public ~mp1enceSSha111app1Yt
Law which apply only upon election oP a contractinE; ag Y
to the Public Agency and its employees:
a, The fraction of final compensation to be provided Yor each year oP
credited prior and ci.u'rent service as a ~~cal safety member sha11
be that provided in Section 21252.01 of the Retirement iaw.
b. Section 21380-7 (providing for allowances for survivors of nem-
bers covered under the program upon death before retiremer:t).
c. Section 21263 (providing upon death oP a local ~afety member who
retired for service or disability for the continu2tion uf one-half
the retirement allowance to certain survivors).
6, Public Agency shall contribute to said Retireaent System as Yollows:
a. With respect to miscellaneous members, the public agencv shall
contritnite the followin~ percentages o£ monthly salaries earned
as miscellaneous members of said System:
(l~ 1.01 percent until June 3~, 1980 on account of the liability
for prior service benefits.
(2~ 7,67 percent on account of the liability for current service
, benefits.
(3~ p,~5 percent on account of the liability for the 1959 ~~ivors
program.
' b. With respect to local safety members~ the public agency shali con-
tribute the follo:vino percentages of monthly salaries earr-ed as
local safety members of said System:
~1~ 0.955 percent until June 3~~ 1977 on account of the liability
Por prior service benefits.
(2~ 23,770 percent on account of the liability for currer.t service
benefits.
(j~ 0.098 percent on account of the liability for the 1959 Survivors
program.
c. A reasonable amount per annum, as fixed by Board to cover t::e costs
oP administeric~ said Syster~ as it 2ffects the employees oi F'ublic
Agency~ not includin~ the costs oi specisi valuations or ~i~e period-
ical investigation and valuatior. required by law.
d. A reasonable amount as fixed by the Board, payable in one install-
ment as the occasions arise, to cover costs of special valuatior:
on account of emoloyees of °ublic Agency, and ~osts of the ;%eriud-
ical investi~atior. 2nd valuation required b;~ iaw.
~a-tiaiT a
AD~NNDMENT TO CONTRACT BET~YEEN TfiE
BOARD OF ADMINISTRATION
PUBI,IC EP~LOYEES' fiETIRE~fIT SYSTEM
A.ND TI{E
CITY COUNCIL
OF THE
CITY OF I,7@IWOOD
The Board of Administration, Public Employees' Retirement Syatem, hereinafter
referred to as Board and the CITY COUNCIL of the CITY OF LYN'~lOOD. hereinafter re-
ferred to as Public Agency having entered into a contract under date of Ida;~ 7, 1946,
effective July 1, 1946, and as amended effective November 1, 1951~ February 1, 1954,
August 1, 1959, December 1, 1964, and November 13, 1966~ and as provided by Chapters
170 and 316, Statutes of 1971, which provide for participation of Public Agency,
hereby agree as Pollows:
A. Paragraphs 1 through 9 are hereby stricken from said contract as executed
effective July 1, 1946, and are hereby replaced by the followin~ paragraphs
numbered 1 throizgn 8 inclusive:
1. All words and terms used herein which are defined in +..he Public ~oloy-
ees' Retirement Law shall have the meaning as deiined therein tinless
otherwise specifically provid.ed. "Normal retirement age" shail r~ean
age 60 for miscellaneoys members and age 50 Por local safety n.embers.
2. Public Agency shall participate in the Public Employees' Retirer~,ent
System Pron and after July 1~ 1946, maki,ng its employees as herein-
after provided, members oP said System subject to all provisions o°
the Public E~nployees' t~etirement Zaw except such as apply only on elec-
tion o£ a contracting agency and are not provided for herein and to all
amendments to said Law'hereafter enacted except such as by exprees pro-
vision thereof apply only on the election of contracting aoencies.
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. Local firemen (herein referred to as local safety members);
b. Local policenen (herein referred to as local saYety members};
c. Employees other than local safety members (herein'referred to as
miscellaneous membere~.
The following employees sha11 be excluded Prom membership in said
Retirement System:
NO ADDITIONAI, r~..CCLUSZON5
4. The fr~ction o.° final cov~pensation to be provided Por each year o?
credited prior a^d current service as a miscellaneous member shall
be tnnt ~,rovide~ in 5ecticn 21251.13 of said Retirenent Law,
5. 'S'he foiloming additional provisions of the Public ~mployees' ~etirement
Law v~hich apply only upon election of a contractir~ agency shall apply
to the Public Agency and its employees:
a. The Praction of final compensation to be provided for each year of
credited prior and current service as a~_~cal safety memoer shall
be that provided in Section 21252.01 of the Retirenent iaw.
b. Section 21380-7 (providino for allowances for survivors of nem-
bers covered under the program upon death before retiremert).
c. Section 21263 (providing upon death of a local uafety member who
retired Por service or disability for the continuation of one-half
the retirement allowance to certain survivors).
6. Yublic Agency shall contribute to said Retireaent System as Yollows:
a. With respect to miscellaneous members, the public agencv s;hall
contrib~zte the followin~ percentages of monthly salaries earned
as miscellaneous members of said System:
~1~ 1.01 percent until June 30, 1980 on account of the liability
for prior service benefits.
~2~ 7.67 percent on account of the liability for current service
benefits.
~3~ ~•75 percent on account of the liability for the 1959 ~urvivors
program.
b. With respect to local safety members, the public agency sha'_i con-
tribute the follo;vino percentages of monthly salaries earr.~d as
local safety members of said 5ystem:
~1~ 0.955 percent until June 30~ 1977 on account of the liability
for prior service bene£its.
~2~ 23.770 percent on account of the liability for currer.t service
benefits.
(3~ 0.098 percent on account of the liability :or the 1959 Survivors
program.
c. A reasonable amount per annum, as fixed by Board to cover t:te costs
of administering said System as it affects the employees c~ Yublic
Agency~ not includin~ the costs oi speciai valuations or ~ne period-
ical investigation and valuation required by law.
d. A reasonable amount as fized by the Board, pa,yable in one install-
ment as the occasions arise, to cover costs of special valuatior:
on account of employees of Public Agency, and ~o~ts of tne period-
ical ir.vestigatior. 2nd valuation required b;~ law.
A • •
7. Contributions required by Public Agency and its employees shall be sub-
ject to adjus~ent by Board on account of amendments to the Public
Employees' Reti^ement Law, and on account oP the ezperience under the
Retirement Syste~, as determined by the perlodical investigation and
valuation required by said Retirement Law.
8. Contributions required oP Public Agency and its employees shall be paid
by Public Agency to the Retirement System within thirty days after the
end of the period to which said contributions refer. IP more or less
than the correct amount oP contributions is paid Por any period, proper
adjustment shall be made in connection with subsequent remittances, or
adjustments on accaunt of errors in contributions required of aciy
e~uployee s.ay be made by direct cash payments between the employee and
Board. Payments by Public Agency to Board may be made in the form of
warrants, bank checks~ bank drafts~ certified checks~ money orders, or
cash.
B. This amendment shall be attached to said contract and shall be effective
on the lst_ day oY T1,~'.,:- 1~~74 '
9Vitness our hands this lst day of July, 11~74
BOAi3D OF ADIJII:dISTRATION
PUBLIC ENIPLOYEES' RETIREri~IT SYSTIId
BY
William E. ?ayne, ~xecutive Ufficer
CITY COUNCIL
OF TFIE
CITY OF L~CN~IOOD
BY
Preaiding Offieer'
Attest:
Clerk
~IBIT B
SiJlQ1ARY OF MAJOR PROVISIONS
Local Safety Members - 2X at 50
Retirement Program
MEMBERSHIP
Membership is compulsory for all employees, other than elective officials, who
are employed one-half time or more.
SERVICE RETIREMENT
The earliest retirement age is 50; the norraal retirement age is S0; and the
compulsory retirement age is 6o. A local safety member may retire any time after
age 50 provided he has at least 5 years of service.
The monthly income is determined by age at retirement, years of credited service~
and "final compensation". The latter term means the average monthly salary (excluding
overtime) earned during the final 36 consecutive months unless member specifically
requests another 36 consecutive month period.
The unmodified life allowance will be "2% of final compensation" for each year of
safety service upon retirement at age SO with increasing percentages to a maximimm of
2.7X at retirement at age 55. Service retirement benefit is subject to a limitation
of 75`G of final compensation.
A minim~ sezvice retirement allowance of $100 per month is guaraateed upon
compulsory retirement vith credit for prior service.
DISABILITY RETIREMENT
An.employee becoming disabled to the extent that he is incapable of performing
his duties shall be retired for disability. His dis2bility will be either employment
connected (industrial disability) or otherwise (nonindustrial disability).
An employee who becomes disabled while a member of this System for reasons
arising out of his employment, will be eligible for a life income of fifty (50%) per-
cent of his final compensation. If his disability is such that he is also entitled
to a disability income from Social Security, the State System benefit will be reduced
by the amount of his Social SecuriCy benefit.
An employee becoming disabled for reasons not connected with his employment shal.l
be eligible for disability retirement provided he has at least S years of service;
such disability allovance is equal to 1.8~C of final compensation for each year of
service~ with a guarantee of 1/3 of such final compensation for most employees who have
rendered at least 10 years of service. The "ordinary" disability retirement allovance
shall under no circumstances exceed the service retirement allowance Which would
become payable at age 60 if employment could be continued to that age.
DEATH BENEFITS
Death Before Retirement
Basic Death Benefit This benefit is a refund of the member's accumulated
contributions plus six months' salary provided he has been a member
for six-years or more. For those who die before completing six years
of inembership, the benefit is one month's salary for each year of
membership plus refund of contributions. The salary referred to is
that eamed during the year preceding death. Prior service does not
co~t toward this benefit.
Industrial Death If death is service-connected in the judgment of the
Industrial Accident Commission, a monthly income is paid to the widow
fos life (or until remarriage) instead of the above basic death
benefit. However, if she is also eligible for survivor benefits from
Social Security because of the member's death, the State system
benefit will be reduced by the amount of sucn Social Security so long
as Social Security benefits are payable (usually until the youngest
child reaches 18 and after the widow reaches age 62). The total,
inc2uding Social Security, would be SOti of "final compensation". If
death was caused by external violence or physical force, the total
benefit (including Social Security) would be increased to the follov-
ing percentages of "final compensation" so long as the widow lives
and dces not remarry :
Wido~w with 3 or more children under 18 75°~
W;dow with 2 children under 18 6~
Widaa with 1 child under 18
1957 Survivor Benefit Employees with 5 or more years of service who have
reached the minimum age for service retirement have further death
protection under this item. Here the surviving widow can elect to
receive either the basic death benefit or a monthly income equal to
one-half the unmodified retirement allowance the employee was eligible
for on the date of his death. The monthly income lasts until the
widow's death or remarriage with a guarantee that the System will pay
as ~ch as under the basic death benefit.
1959 Survivor Benefit A monthly allowance shall be paid to certain sur-
vivors of a member who dies before retirement.
Death After Retirement
The death benefit is $500. This is in addition to any payments which
might be made under an optional retirement benefit chosen by the
member at retirement.
One-half Continuance provides upon the death of a local safety member who
has retired for service, or disability, for the
continuation of one-half the retirement allowance to certain survivors.
TERMINATION OF EMPLOYMENT
Upon termination of employment, an employee with at least 5 years of service ma?
either leave his contributions with the System and receive, upon attaining retiremez:
~ age, the retirement benefit he has eamed, or he may withdraw his contributions (plti:s
interest), thus terminating his membership in the System and receiving no retirement
benefits. Except, (1) a member with less than 5 years of service shall not have [he
privilege of leaving his contributions with the System, but shall automatically hat~e
his contributions, plus interest, refunded upon termination of employment, and (2) a
member who is transferring to employment with another agency which is covered under
the System shall not hav~ the right of withdrawing his accumulated contributions.
EMPLOYEE CONTRIBUTIONS
Each member makes monthlq contributions to the System which are deducted from `~is
salary. The rate of contribution (percentage of pay) is 9% of salary eamed,
exclusive of overtime, on the date this formula becomes effective.
The employer also contributes toward the cost of the benefits. The amount cor.-
tributed by the employer for current service retirement benefits will, on the averace
exceed the cost to the employee. In addition„ the employer bears the entire cost o:
prior service benefits, the industrial death and disability benefits.
All contribution rates are subject to revision by the Board of Administration.
CERTIFICATION OF ACTION OF
CITY COUNCIL OF CITY OF LYNWOOD
I hereby certify that attached hereto is a true and correct copy
of a Resolution adopted by the City Council of the City of Lynwood,
on January 2, 1974.
. ,.
~ .:°./~l % , ~ ' ~ " ...~ ~t:~~l~.~G~
~ity lerk, City of Ly wood
STATE OF CALIFORNIA )
. ss.
COUNTY OF LOS ANGELES )
I, the undersigned, City Clerk of the City of
Lynwood, do hereby certify that the above and foregoing
resolution was duly adopted by the City Council of said
city at a regular meeting thereof held
in the City Hall of said city on the ~d day of
January ~ 19 7~ , and passed by the following vote:
AYES: COUN CI LMEN Byork, Liewer, Malchow, Morris, Rowe
NOES: COUNCILMEN None
ABSENT: COUNCILMEN None
,
~~'' j~~~ ~~~,, f ~~ .L~,tr~y~
CJ-~T~CLERK, CITY 0 LYNWOOD
STATE ~)F CA~,Ib'URf1rA ) ~
COUNTY OF LOS AIJGELES ~ Ss.
~ )
I, the undersigned, Cit
y Clerk of the City of
Lynwood, do hereby certif
Y,that the above and foregoing
re5olution was duly adopted by the City Council of said
City at a regular meeting thereof held
in the City Hall of said city on the 2nd
day of
~ January , 19 7~+ , and passed by the fallowing vote:
AYES: COUNCILt~IEN Byork, Liewer, Nfalchow, Morris, Rowe
NOES : COUNCILP~iEN None
ABSENT: COUPJCILP~EN None
(SEAL) ~ s/ Josephine L. Shepherd
CITY CLERK, CIT1' OF LYPJYlOOD
STATE OF CAi,IFORNIA ) '
55.
COUN'rY OF LOS ANGELES )
` I, the undersigned, City Clerk of the City of
Lynwood, and clerk of the City Council of said city, do
hereby certify that the above and foregoing is a full,
true and correct copy of Resolution No. 74-2
on
file in my office and that said Resolution was adopted
on the date and by the vote therein stated.
Dated this 4th day of January ~971} .
~
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CITP CT LERK, ITy F LYN6J0 D