City of Sacramento
City Council - 2PM Report
915 I Street Sacramento, CA 95814
www.cityofsacramento.org
File ID: 2024-01465 8/20/2024 Consent Item 16.
Approval of a Resolution to Initiate the CalPERS Contract Amendment Process to include Retirement Cost Sharing for Unrepresented Classic Employees and Officers File ID: 2024-01465
Location: Citywide
Recommendation: Adopt a Resolution approving the initiation of the CalPERS contract amendment process to include retirement cost sharing under Government Code Section 20516 by Unrepresented classic employees and officers.
Contact: Samantha Hardy, HR Manager, (916) 808-7657, [email protected], Department of Human Resources
Presenter: None
Attachments:
1-Description/Analysis
2-Resolution
Additional Description/Analysis
Issue Detail: Currently CalPERS classic employees and officers in Unrepresented Units 09, 20, 21, and 22, as outlined in the in Personnel Resolution Covering Unrepresented Officers and Employees (Unrep Resolution), pay a percentage of the CalPERS employer contribution rate to CalPERS as follows:
· Classic miscellaneous employees pay one percent (1%) of the employer’s contribution rate. · Classic police safety employees pay three percent (3%) of the employer’s contribution rate. · Classic fire safety employees pay twelve percent (12%) of the employer’s contribution rate.
In accordance with the Unrep Resolution, the City is seeking to amend the City’s contract with CalPERS to reflect the cost-sharing agreement. Upon completion of the CalPERS contract amendment process, the cost sharing paid by employees and officers covered by the Unrep Resolution will be credited to their CalPERS member account as opposed to the employer’s account.
File ID: 2024-01465 8/20/2024 Consent Item 16.
Under Government Code Section 20516, CalPERS requires the Council to adopt a resolution that has been signed by a simple majority of the affected unrepresented employees and officers to initiate the CalPERS contract amendment process. The proposed amendment received the number of signatures required by CalPERS.
Policy Considerations: None.
Economic Impacts: None.
Environmental Considerations: Not applicable.
Sustainability: Not applicable.
Commission/Committee Action: Not applicable.
Rationale for Recommendation: The Unrep Resolution states the City will seek to amend its contract with CalPERS to reflect the cost-sharing for unrepresented CalPERS classic employees and officers.
Financial Considerations: Not applicable.
Local Business Enterprise (LBE): Not applicable.
RESOLUTION NO.
Adopted by the Sacramento City Council
Resolution of Agreement between Unrepresented Officers and Employees and the City of Sacramento to Share Costs of the Employer Contribution Pursuant to California Government Code 20516
BACKGROUND
A. The California Public Employees’ Retirement System (CalPERS) requires the City of Sacramento (City) to first adopt a formal resolution that specifically details the information reflected herein for Unrepresented employees and officers in Unrepresented Units 09, 20, 21, and 22, before proceeding with the CalPERS contract amendment under California Government Code Section 20516.
B. A resolution containing a simple majority of signatures from the Unrepresented classic employees and officers must be submitted to CalPERS to begin the contract amendment process for pension cost-sharing.
C. Unrepresented classic miscellaneous employee and officers will pay one percent (1%) of the employer contribution rate, pursuant to California Government Code Section 20516.
D. Unrepresented classic police safety employees will pay three percent (3%) of the employer contribution rate, pursuant to California Government Code Section 20516.
E. Unrepresented classic fire safety employees will pay twelve percent (12%) of the employer contribution rate, pursuant to California Government Code Section 20516.
F. The undersigned classic members of Unrepresented Units 09, 20, 21, and 22, and the City, hereby agree that effective the first day of the full pay period following such date as CalPERS approves a contract amendment, to implementing the cost sharing agreement contained herein pursuant to California Government Code Section 20516.
BASED ON THE FACTS SET FORTH IN THE BACKGROUND, THE CITY COUNCIL RESOLVES AS FOLLOWS:
Section 1. Adopt a Resolution affirming the undersigned Classic members and officers of Unrepresented units 09, 20, 21, and 22, and the City of Sacramento, hereby agree that effective the first day of the full pay period following such date as CalPERS approves a contract amendment, to implementing the cost sharing agreement contained herein pursuant to Government Code 20516 for all CalPERS classic employees and officers in Unrepresented units 09, 20, 21, and 22.
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Thomas Pace
Wendy Klock-Johnson