City Manager
100 Gregory Lane, Pleasant Hill, CA 94523-3323 – (925) 671-5270 www.phillca.gov
MEMORANDUM
TO: City Councilmembers
FROM: Ethan Bindernagel, City Manager
DATE: July 13, 2026
SUBJECT: Letter of Opposition to Assembly Bill (AB) 1383 Assemblymember Tina McKinnor has introduced AB 1383, the Public Employees’ Retirement Benefits Act, which would make several significant changes to public employees’ retirement benefits and lead to increased pension liability for public agencies.
The League of California Cities has issued a statewide “Action Alert” message to its member cities, including Pleasant Hill, urging letters of opposition to the legislation, which would increase pension obligations and undo critical pension reform, in the following ways:
Increase the pensionable compensation cap;
Reduce the retirement age for public safety from 57 to 55 prospectively; Add a 4th safety tier that is 3% @ 55, prospective and subject to bargaining; and Allow local agencies to adjust their local formula in a prospective manner.
As proposed, the bill increases mandated costs without a way for public agencies to absorb them. This legislation will lead to serious cost increases for local government at a time when cities, including Pleasant Hill, are facing budget challenges, as the cost of delivering services outpaces revenues received. The proposed letter of opposition expresses these concerns and others and is offered for the City Council’s consideration.