HomeMy WebLinkAboutOrdinance No. 135 ORDINANCE NO. 135
PROVIDING ADDITIONAL SERVICE CREDIT TO ELIGIBLE
DISTRICT EMPLOYEES WHO RETIRE EARLY
AN ORDINANCE OF THE BOARD OF DIRECTORS OF
COUNTY SANITATION DISTRICTS NO. 1 OF ORANGE
COUNTY, CALIFORNIA, PROVIDING FOR AN EARLY
RETIREMENT INCENTIVE PROGRAM BY GRANTING
ADDITIONAL SERVICE CREDIT TO ELIGIBLE DISTRICT
EMPLOYEES AS AUTHORIZED BY THE COUNTY
EMPLOYEES RETIREMENT LAW OF 1937, GOVERNMENT
CODE SECTION 31641.04
WHEREAS, the Board of Directors of County Sanitation Districts Nos. 1, 2, 3, 5, 6,
7, 11, 13 and 14 of Orange County, California have previously adopted Resolutions and
Ordinances approving early retirement incentive programs for all eligible District
employees as authorized by Government Code Section 31641.04; and
WHEREAS, previously adopted incentive programs were, as provided by law, for
a fixed period of time, each of which has now expired; and
WHEREAS, Districts' management has reported to the Boards the desirability of
implementing a further early retirement incentive program due to the implementation of
changes in the manner of performing Districts services and the savings of money and
other economic benefits that will flow to the Districts by the retirement of eligible
employees; and
WHEREAS, pursuant to the provisions of the Joint Ownership Operation and
Construction Agreement by and among County Sanitation Districts Nos. 1, 2, 3, 5, 6, 7, 11,
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13 and 14, District No. 1 is the appointed authorized agent to act for every other District;
and
WHEREAS, the Board of Directors of County Sanitation District No. 1, acting as
agent for County Sanitation Districts Nos. 2, 3, 5, 6, 7, 11, 13 and 14 have determined that
changes in the manner of performing District services and the total cost savings of having
higher compensated employees retire early will exceed the total actuarial costs of the
additional service credit granted to those who retire under this program.
NOW, THEREFORE, the Board of Directors of County Sanitation District No. 1 of
Orange County, California, does hereby ORDAIN:
Section r 1: Government Code Section 31641.04 as a component provision of the
County Employees Retirement Law of 1937 is hereby adopted and deemed applicable to
all regular full time employees by the Board of Directors upon the adoption of this
Ordinance.
Section : All regular full time employees of the County Sanitation Districts of
Orange County, California who are eligible to participate as members and retire under the
Orange County Employees Retirement System, shall be granted two (2) additional years
of service credit for retirement benefit purposes, provided they retire from regular
employment of the Districts during the period of February 1, 1998 through and including
March 3$,'1998.
Section 3: The General Manager of the Districts, or his designee, is authorized
to execute any and all contracts or other documents and to transfer all required funds to
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the Orange County Employees Retirement System, in order to implement the authorized
actions provided for herein.
Section 4: The total cost savings resulting from the retirement of employees in
positions which are subsequently filled at a lower level or when the position is held vacant
for a period of time, shall exceed the total actuarial cost of the additional service credit
granted to those employees who retire together with the related paid leave payoff costs.
Section 5: Districts shall pay to the Orange County Employees Retirement
System the actuarially determined cost of this early retirement incentive Program over a
period rat to exceed five(5)years and on such other terms and conditions as shall be set
forth in a mutually agreed upon written contract between the Districts and the Board of
Retirement of the Orange County Employees Retirement System.
Section This Ordinance is enacted as an urgency measure to take effect
immediately in order to preserve and enhance the public welfare in that the Districts have
not fully recovered from all losses suffered in the bankruptcy of the County of Orange in
1995 and the savings of money through reduced employee compensation will partially
offset losses suffered and incurred directly by the Districts and whose full recovery is
otherwise unknown at this time.
Section 7: This Ordinance shall take effect immediately upon adoption.
Section 8: The Secretary of the Board shall certify to the adoption of this
Ordinance and shall cause a summary to be published in a newspaper of general
circulation as required by law.
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PASSED AND ADOPTED by the Board of Directors of County Sanitation District No.
1 at a regular meeting held January 28, 1998.
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Patricia McGuigan
Chair, Board of Directors, County
Sanitation District No. 1 of
Orange County, California
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Penny Kyle
Secretary o t e o rd of Directors
County Sanitation District No. 1 of
Orange County, California
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STATE OF CALIFORNIA )
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COUNTY OF ORANGE )
I, PENNY KYLE, Secretary of the Board of Directors of County Sanitation District
No. 1 of Orange County, California, do hereby certify that the above and foregoing
Ordinance No. 135 was passed and adopted at a regular meeting of said Board on the
28th day of January, 1998, by the following vote, to wit:
AYES: Pat McGuigan, Chair; James M. Ferryman; Mark A. Murphy;
Thomas R. Saltarelli; Todd Spitzer
NOES: None
ABSENT: None
IN WITNESS WHEREOF, I have hereunto set my hand this 28th day of January,
1998.
Penny Kyle
Secretary oft Boa f Directors of County
Sanitation District No. 1 of Orange County,
California
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