r-10626City Council Meeting October 25, 2011 Santa Monica, California
RESOLUTION NUMBER 10626 (CCS)
(City Council Series)
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF SANTA MONICA AUTHORIZING THE CITY MANAGER TO
EXECUTE A MEMORANDUM OF UNDERSTANDING SETTING THE TERMS AND
CONDITIONS OF EMPLOYEE -PAID CALIFORNIA PUBLIC EMPLOYEE'S
RETIREMENT PLAN (CALPERS) OPTIONAL BENEFITS FOR MISCELLANEOUS
CITY EMPLOYEES BETWEEN CITY-OF SANTA MONICA AND MANAGEMENT TEAM
ASSOCIATES, SUPERVISORY TEAM ASSOCIATES, ADMINISTRATIVE TEAM
ASSOCIATES, MUNICIPAL EMPLOYEES ASSOCIATION, PUBLIC ATTORNEYS'
UNION, UNITED TRANSPORTATION UNION (LOCAL 1785), PUBLIC ATTORNEYS'
LEGAL SUPPORT STAFF UNION, AND EXECUTIVE PAY PLAN PARTICIPANTS
WHEREAS, the City administration and representatives of the City's
miscellaneous employee bargaining units and the Executive Pay Plan participants have
met and conferred under the terms of Ordinance No. 801 (CCS) and have reached
agreement on the terms and conditions of retirement benefits; and
WHEREAS, Section 2.06 of Ordinance No. 801 (CCS) of the City of Santa
Monica requires preparation of a written Memorandum of Understanding between the
administration and employees if an agreement can be reached; and
WHEREAS, Section 2.06 of Ordinance No. 801 (CCS) further provides that any
such Memorandum of Understanding shall not be binding unless and until presented to
the governing body for determination; and
WHEREAS, the purpose of the Memorandum of Understanding is to promote
and provide harmonious relations, cooperation, and understanding between the City
and its miscellaneous employee bargaining units and the Executive Pay Plan
participants;
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SANTA MONICA
DOES RESOLVE AS FOLLOWS:
SECTION 1. The City Council of the City of Santa Monica does hereby approve
and authorize the City Manager to execute an amendment to the Memorandum of
Understanding (Umbrella Agreement), Contract No. 8650 (CCS) previously executed on
November 3, 2006, setting the terms and conditions of certain retirement benefits for
miscellaneous employee bargaining units and the Executive Pay Plan participants,
which has been ratified by the Coalition of Santa Monica City Employees representing
those bargaining groups and the Executive Pay Plan participants.
SECTION 2. The Memorandum of Understanding sets forth the terms and
conditions of retirement benefits coverage and includes the following changes:
Employees eligible for CalPERS membership and hired before July 1, 2012 ('Tier 1 ")
will continue to be included under the optional CalPERS benefit of 2.7% @ 55 full
retirement formula set forth in California Government Code Section 21354.5; will
continue to use the 12 highest paid consecutive months, pursuant to California
Government Code Section 20042, when determining the average monthly pay rate in
calculating retirement benefits; will continue to have the City pay and report the value of
Employer Paid Member Contributions (EPMC) pursuant to California Government Code
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Section 20636(c)(4); and will continue to share the cost of the 2.7% @ 55 formula by
reimbursing the City 6.7% of their CalPERS reportable earnings. A pre -tax treatment to
this reimbursement shall be applied effective July 1, 2011. Employees eligible for
CaIPERS membership and hired on or after July 1, 2012 ('Tier 2 ") will be included
under the optional CaIPERS benefit of 2.0% @ 55 full retirement formula set forth in
California Government Code Section 21354; will use the 36 highest paid consecutive
months when determining the average monthly pay rate in calculating retirement
benefits, pursuant to California Government Code Section 20037; will contribute the
mandatory 7.0% employee contribution (pre -tax) of their CalPERS reportable earnings;
and will not be eligible to have the City pay and report the value of Employer Paid
Member Contributions (EPMC) pursuant to California Government Code
Section 20636(c)(4). All other optional CalPERS benefits currently in effect will apply to
Tier 1 and Tier 2 employees.
SECTION 3. The City Clerk shall certify to the adoption of this Resolution, and
thenceforth and thereafter the same shall be in full force and effect.
APPROVED AS TO FORM:
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Adopted and approved this 25th day of October, 2011.
Richard Bloom, Mayor
1, Maria M. Stewart, City Clerk of the City of Santa Monica, do hereby certify that
the foregoing Resolution No. 10626 (CCS) was duly adopted at a meeting of the Santa
Monica City Council held on the 25th day of October, 2011, by the following vote:
Ayes: Councilmembers: Holbrook, McKeown, O'Connor, O'Day,
Mayor Pro Tern Davis, Mayor Bloom
Noes: Councilmembers: None
Absent: Councilmember: Shriver
ATTEST:
Maria M. Stewart, Cit Clerk