COUNCIL AGENDA : 4/21/2026
FILE : 26-475
ITEM : 2.14
TO: HONORABLE MAYOR AND
CITY COUNCIL
FROM: Toni J. Taber, MMC
City Clerk
SUBJECT: SEE BELOW DATE: April 15, 2026
SUBJECT: VEBA Advisory Committee Appointments
Recommendation
As recommended by the Rules and Open Government Committee on April 15, 2026:
(a) Approve the appointment of Edgar “David” Parker, nominated by the Federated unions, to the Voluntary Employees Beneficiary Association (VEBA) Advisory Committee for a four-year term, beginning June 1, 2026 and ending on May 31, 2030. (b) Approve the appointment of Nicholas Rovetto, nominated by the Federated unions, to the VEBA Advisory Committee for a four-year term, beginning June 1, 2026 and ending on May 31, 2030.
CEQA: Not a Project, File No. PP17-010, City Organizational and Administrative Activities resulting in no changes to the physical environment. (Human Resources) [Rules Committee referral 4/15/2026 - Item B.2]
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RULES COMMITTEE: 4/15/26
ITEM: B.2
TO: RULES AND OPEN
GOVERNMENT COMMITTEE
FROM: Aram Kouyoumdjian
SUBJECT: VEBA Advisory Committee
Appointments
DATE: March 9, 2026
Approved
Date:
3/24/2026
COUNCIL DISTRICT: Citywide
RECOMMENDATION
(a) Approve the appointment of Edgar “David” Parker, nominated by the Federated unions, to the Voluntary Employees Beneficiary Association (VEBA) Advisory Committee for a four-year term, beginning June 1, 2026 and ending on May 31, 2030.
(b) Approve the appointment of Nicholas Rovetto, nominated by the Federated unions, to the VEBA Advisory Committee for a four-year term, beginning June 1, 2026 and ending on May 31, 2030.
(c) Place the item on the April 21, 2026 City Council Agenda for action.
SUMMARY AND OUTCOME
Approval of this recommendation will allow the VEBA Advisory Committee to continue to do business and meet as a full committee at its next meeting on June 15, 2026.
BACKGROUND
Pursuant to the Alternative Pension Reform Frameworks and Measure F, the City has established the Police and Fire Voluntary Employees Beneficiary Association under Chapter 3.57 of the San José Municipal Code and the Federated Employees’ Voluntary Employees Beneficiary Association under Chapter 3.58 of the San José Municipal Code. A VEBA is a tax-exempt trust instrument authorized by Internal Revenue Code 501(c)(9) through which eligible healthcare benefits can be reimbursed. The City’s CITYOF ~
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HONORABLE MAYOR AND CITY COUNCIL
March 9, 2026
Subject: VEBA Advisory Committee Appointments
VEBAs are set up to reimburse eligible medical expenses in retirement for their respective members.
San José Municipal Code Sections 3.57.210 and 3.58.210 provide that the VEBA Plans shall be administered by the VEBA Advisory Committee. The VEBA Advisory Committee oversees all aspects of the City’s VEBA Plans. The VEBA Plans currently have 6,161 participants and include active employees, former employees, and retirees, and contain approximately $85.5 million in assets. All newly hired employees represented by a bargaining unit are placed into the VEBA plan and make contributions based on a percent of base pay. The VEBA Advisory Committee is responsible for administering the VEBA Plans, the trust account, and is responsible for the operation of the Plans in accordance with their terms. The VEBA Advisory Committee is required to determine all questions arising out of the administration, interpretation, and application of the Plans, including evaluating and selecting investment options.
Resolution No. 78563, dated May 1, 2018, requires that the VEBA Advisory Committee be composed of five members: One active member of the San Jose Firefighters, IAFF Local 230; One active member of the San Jose Police Officers’ Association; two active members of the Federated Unions; and one active member of unrepresented employees. The union members shall be nominated by the respective unions. The City Manager or City Manager’s designee shall nominate the unrepresented employee member. As a City Council-appointed committee, appointments to the VEBA Advisory Committee must first be approved by the Rules Committee before being recommended to the City Council. The appointment of nominated employees to the VEBA Committee shall be routine business on the City Council agenda. The City Council shall approve the nomination unless the City Council finds cause for rejection.
Each member of the VEBA Advisory Committee shall be an active employee who is a participant in a VEBA Plan and shall serve a four-year term, with the exception that the initial terms of the members were set to allow each member’s term to end in subsequent years. In the event a vacancy should occur in the office of any member prior to the expiration of a term, a successor shall be nominated for the unexpired portion of the member’s term pursuant to the process set forth above. There are no term limits for members.
ANALYSIS
David Parker and Nicholas Rovetto are members of the VEBA Plan and currently serve on the VEBA Advisory Committee as representatives of the Federated unions. Their terms for the two Federated employee seats are set to expire on May 31, 2026. Both members have expressed interest in serving an additional term on the VEBA Advisory Committee.
HONORABLE MAYOR AND CITY COUNCIL
March 9, 2026
Subject: VEBA Advisory Committee Appointments
The Federated unions were invited to submit nominations for City Council approval and appointment to the VEBA Advisory Committee for the upcoming four-year term, should they wish to propose candidates other than the incumbents. On February 2, 2026, the Federated unions were notified that current members David Parker and Nicholas Rovetto had expressed interest in reappointment and were given until February 9, 2026, to raise any concerns or submit alternative nominations. No concerns or additional nominations were received from the Federated unions.
EVALUATION AND FOLLOW-UP
Whenever terms of the members are due to expire, or a seat becomes vacant, a recommendation will be presented to the City Council to appoint nominees to fill those seats on the VEBA Advisory Committee. The recommendation will allow the VEBA Advisory Committee to continue to do business by having a quorum at its next meeting on June 15, 2026.
COORDINATION
This memorandum has been coordinated with the City Attorney’s Office and the City Clerk’s Office.
PUBLIC OUTREACH
The key stakeholders were invited to nominate a candidate for appointment to the VEBA Advisory Committee.
COMMISSION RECOMMENDATION AND INPUT
No commission recommendation or input is associated with this action.
CEQA
Not a Project, File No. PP17-010, City Organizational and Administrative Activities resulting in no changes to the physical environment.
HONORABLE MAYOR AND CITY COUNCIL
March 9, 2026
Subject: VEBA Advisory Committee Appointments
PUBLIC SUBSIDY REPORTING
This item does not include a public subsidy as defined in section 53083 or 53083.1 of the California Government Code or the City’s Open Government Resolution.
A
ram Kouyoumdjian
Director of Human Resources and the City
Manager’s Office of Employee Relations
For questions, please contact Amy Morton, Senior Benefits Analyst, Human Resources Department, at [email protected] or (408) 975-1425.