HomeMy WebLinkAbout07.a.3) Update on pension reform legislation.�a.3)
Central Contra Costa Sanitary District
July 29, 2011
TO: HONORABLE BOARD OF DIRECTORS
VIA: JAMES M. KELLY, GENERAL MANAGER
FROM: RANDALL M. MUSGRAVES, DIRECTOR OF ADMINISTRATION
MICHAEL SCAHILL, COMMUNICATION SERVICES MANAGER
SUBJECT: SENATE AND ASSEMBLY BILLS COVERING ENHANCED BENEFITS
Both the State Senate and Assembly are on their Summer Recess, going
back into session on Monday, August 15.
As of July 15, this is where the two pension - related bills stood.
Assembly Bill 340: County Employees Retirement; post- retirement service
Passed by Assembly 73 — 0 (7 not voting or absent) on May 12, 2011
Passed by Senate 35 — 0 on July 11.
Returned to Assembly for concurrence on Senate amendments.
The key elements of the amended bill include:
• Bill would prohibit spiking during last year of employment.
• Effective January 1, 2012, retired person would be prohibited from reemployment
without reinstatement until at least 180 days have passed.
• Provisions of this bill shall not be applied to reduce the pension of anyone who
has retired prior to January 1, 2012.
Senate Bill 27: Public retirement: final compensation:
Passed by Senate 39 — 0 on June 1, 2011
Now in Assembly Appropriations Committee.
No hearing date scheduled as yet
The key elements of the amended bill include:
• Covers members of CaISTRS and CalPERS
• Would end spiking
• Calculation of final compensation would be limited to the average of highest paid
12 or 36 months of employment.
• A person who retires on or after January 1, 2013 may not work for any employer
covered by state or local retirement system for at least 180 days.
• Provisions become operative on July 1, 2012.