To: Board of Supervisors
From: Human Resources
Agenda Section: Consent
SUBJECT:
title
Adoption of an Ordinance of the Board of Supervisors to Amend the Contract between the California Public Employees’ Retirement System (CalPERS) and the County of Humboldt to Remove the Share of Cost for New Local Safety Members in the Humboldt Deputy Sheriff’s Organization
end
RECOMMENDATION(S):
Recommendation
That the Board of Supervisors:
1. Adopt the attached Ordinance approving the amendment to the contract between the Board of Administration of the California Public Employees’ Retirement System (CalPERS) and the Board of Supervisors of the County of Humboldt to remove the share of cost (in accordance with GC section 20516) for new local safety members in the Humboldt Deputy Sheriff’s Organization, effective 30 days following approval; and
2. Direct the Clerk of the Board of Supervisors to complete and sign the Certification of Final Action of Governing Body; and
3. Approve and sign two copies of the final Amendment to Contract, with a contract effective date of Jan. 8, 2023; and
4. Direct the Clerk of the Board of Supervisors to publish, within 15 days after adoption, a post-adoption summary of the ordinance with the names of the Supervisors voting for and against the ordinance, and to post in the office of the Clerk of the Board of Supervisors a certified copy of the full text of the Ordinance.
Body
SOURCE OF FUNDING:
General Fund (1100)
DISCUSSION:
On Oct. 4, 2022, your Board introduced the attached ordinance by title, waived the first reading, and signed all required certifications to initiate the creation of the amendment to the contract between the California Public Employees’ Retirement System (CalPERS) and the County of Humboldt (County).
This amendment removes the share of cost, pursuant to GC Section 20516, previously applied to new local safety members in the Humboldt Deputy Sheriff’s Organization (HDSO). The Memorandum of Understanding (MOU) between the county and HDSO addresses retirement cost sharing for represented members of this bargaining group. Specifically, the group defined as ‘new,’ in accordance with the Public Employees’ Pension Reform Act (PEPRA), was assigned a variable cost share that was designed to increase or decrease so that the membership group members’ total contribution did not exceed 12% (unless otherwise required by law). On July 1, 2021, the membership group members employee cost exceeded 12%, meaning the share of cost should be adjusted to zero. This contract revision removes the previous .25% cost share, changing the ‘new’ HDSO member share of cost to 0%. This change is compliant with the current MOU between the County of Humboldt and HDSO, and Public Employee Retirement Law. The effective date of the contract amendment will be Jan. 8, 2023.
FINANCIAL IMPACT:
There is no financial impact as a result of this contract amendment. The additional share of cost is currently being covered by the county as charging the employees for this cost share would be a violation of their MOU.
STRATEGIC FRAMEWORK:
This action supports your Board’s Strategic Framework by investing in county employees .
OTHER AGENCY INVOLVEMENT:
CalPERS
ALTERNATIVES TO STAFF RECOMMENDATIONS:
Your Board could choose to not adopt the recommended Ordinance. However, this is not recommended, as the County would continue to have to manually correct CalPERS bi-weekly reporting to comply with the CalPERS contract and be in compliance with the current MOU with our recognized employee organizations.
ATTACHMENTS:
1. Ordinance No. _________
2. Certification of Final Action of Governing Body
3. Amendment to Contract between the Board of Administration California Public Employees’ Retirement System and the Board of Supervisors County of Humboldt
4. Post-Adoption Summary
PREVIOUS ACTION/REFERRAL:
Board Order No.: I2
Meeting of: 10/04/2022
File No.: 22-1244