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HomeMy WebLinkAboutMINUTES - 05121992 - 1.48 0 48 TO: BOARD OF SUPERVISORS 1 E''L= °^ Contra FROM: Phil Batchelor, County Administrator Costa n.' $ County DATE: May 6, 1992 s>;coon t SUBJECT: REQUEST TO GRANT WAIVER TO 45-DAY NOTICE OF CHANGES IN CERTAIN INFORMATION REGARDING THE RETIREMENT BOARD SPECIFIC REQUEST(S)OR RECOMMENDATION(S)&BACKGROUND AND JUSTIFICATION RECOMMENDATION: Grant a waiver to the 45-day advance notice to the Board of Supervisors which is required before the Retirement Board recommends changes in interest rate credited to the members and the County and contribution rates from employers and employees . BACKGROUND: Government Code Section 31453 requires that the Retirement Board shall, at least 45 days prior to the beginning of the new fiscal, recommend to the Board of Supervisors changes in the interest rates which are to be credited to members and the County and contribution rates which are to be charged to members and the County for the succeeding fiscal year. As the attached memorandum from the Retirement Administrator indicates, the necessary ,valuation study is normally completed early enough to permit the 45-day deadline to be met. However, this year the Retirement Board is also conducting an experience study before the valuation study was undertaken. This experience study validates all noneconomic assumptions and is required to be completed every three years. The Retirement Board wants a little more time for all interested parties to conduct a thorough review of the valuation study before it acts on the contribution rates . As a result, ' the Retirement Board is asking that it be allowed to delay acting on the matters covered by Government Code Section 31453 until May 26, 1992 . This is only possible if the Board of Supervisors is willing to waive its right to the 45-day before the beginning of the fiscal year notice, which would be approximately May 16 . CONTINUED ON ATTACHMENT: YES SIGNATURE: RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE APPROVE OTHER a C SIGNATURE(S): ACTION OF BOARD ON may lz, APPROVED AS RECOMMENDED OTHER VOTE OF SUPERVISORS I HEREBY CERTIFY THAT THIS IS A TRUE UNANIMOUS(ABSENT ) AND CORRECT COPY OF AN ACTION TAKEN AYES: NOES: AND ENTERED ON THE MINUTES OF THE BOARD ABSENT: ABSTAIN: OF SUPERVISORSO THE DATE SHOWN. County Administrator �q CC: ATTESTED Retirement Administrator PHIL BATCHELOR CLERK OF THE BOARD OF County Counsel Auditor-Controller COUNTY SUPERVISORS AND ADMINISTRATOR / Tony Enea, Senior Deputy County Administrator G M382 (10/88) BY DEPUTY CONTRA COSTA COUNTY EMPLOYEES' BETIREHM ASSOCIATION DATE: April 14, 1992 is vUSta TO: County Board of Supervisors RECEIVED attn: Claude VanMarter jR =51992 FROM: Pat Wiegert, Retirement Administrator Office of IInty AdministrPto- SUBJECT: Waiver of 45 Day Limitation, Gov. Code Sec. 31453 The Board of Retirement requests a waiver of the 45 day notice requirement as set forth in Government Code Section 31453. Each year the Retirement Board's actuary conducts a valuation of system assets and liabilities, and then recommends any changes in contribution rates. Government Code Section 31453 provides that any changes in rates be communicated to the Board of Supervisors at least 45 days prior to the beginning of the fiscal year. Normally the valuation is completed sufficiently in advance of the 45 day notice period to allow ample time for review and comment by the County Administrator, budget people, union representatives and the public. This year. however, the actuary is conducting an experience study before launching into the valuation. The experience study validates all noneconomic assumptions used by the actuary and is required by law every three years. Unfortunately, the experience study also delays the annual valuation results. Although the Retirement Board fully expects the valuation report to be available for its meeting on May 12, this leaves very little time for review by all interested parties. The Retirement Board wants to encourage a more thorough understanding of this important issue. Understanding takes time. For this reason we would prefer to delay any decision on contribution rates until May 26. The Board cannot delay its \ decision without a waiver of the 45 day period from the Board of Supervisors.