Agenda

Return

C.100

To:	Board of Supervisors
From:	David Twa, County Administrator
Date:	February 3, 2015

Contra

Costa

County

Subject:

EMPLOYEE RETIREMENT PLAN CONTRIBUTION RATES FOR 1/1/2015 THROUGH 6/30/2015 AND FY 2015/2016 FOR CCC FIRE PROTECTION & CENTRAL CC SANITARY DISTRICTS

APPROVE	OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR	RECOMMENDATION OF BOARD COMMITTEE

Action of Board On: 02/03/2015

APPROVED AS RECOMMENDED

OTHER

Clerks Notes:

VOTE OF SUPERVISORS

AYE:

John Gioia, District I Supervisor
Candace Andersen, District II Supervisor
Mary N. Piepho, District III Supervisor
Karen Mitchoff, District IV Supervisor
Federal D. Glover, District V Supervisor

Contact:	Lisa Driscoll, County Finance Director 335-1023
cc:	Robert Campbell, Auditor-Controller Harjit S. Nahal, Assistant Auditor-Controller Jeff Carmen, Fire Chief Kurt Schneider, Deputy Chief Executive Officer

I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown.
ATTESTED: February 3, 2015
David Twa,

BY:	, Deputy

RECOMMENDATION(S):

ADOPT Resolution No. 2015/50 as approved by the Retirement Board, which establishes retirement plan contribution rates for the period January 1, 2015 through June 30, 2016 for the Contra Costa County Fire Protection District and employer contribution rates to be effective for the period July 1, 2015 through June 30, 2016 for the Central Contra Costa Sanitary District.

FISCAL IMPACT:

See 'Background' below.

BACKGROUND:

BACKGROUND: (CONT'D)

The employer contribution rates for the Contra Costa County Fire Protection District for the current and next fiscal year are based on December 31, 2012 and December 31, 2013 Actuarial Valuation reports. Those reports only included employer contribution rates for the District for members in PEPRA Tiers limited to a 3% annual post-retirement cost-of-living adjustment (COLA). Since those reports were published, a new MOU was approved by the Board of Supervisors with a 2% COLA provision for those who become members on or after January 1, 2015.

Additionally, on December 30, 2014, the Central Contra Costa Sanitary District made a $5 million prepayment towards their December 31, 2013 Unfunded Actuarial Accrued Liability (UAAL). The prepayment will be amortized over 18 years as a level percent of pay and will be used to reduce Central Contra Costa Sanitary District's UAAL contribution rate. The rate reduction for the District will be effective on July 1, 2015, which is the date that the contribution rates from the December 31, 2013 valuation become effective.

At its January 28, 2015 meeting the Retirement Board reviewed and accepted the actuary’s calculations of the employer contribution requirements for the Contra Costa County Fire Protection District and Central Contra Costa Sanitary District. Copies of the Board memorandum is available from CCCERA upon request.

Attached are the contribution rates effective January 1, 2015 for the Contra Costa County Fire Protection District and July 1, 2015 for the Central Contra Costa Sanitary District submitted for adoption by the County Board of Supervisors by the Contra Costa County Employees’ Retirement Association.

Please note the following:

The rates are the employer required rates without taking into consideration any employer subvention of employee contributions.
The rates are before any increase in employee rate to pay a portion of the employer contribution. If an employee’s rate needs to be increased to pay a portion of the employer contribution, both employee and employer rates would need to be adjusted accordingly.

CONSEQUENCE OF NEGATIVE ACTION:

Rates will not reflect those adopted by the Contra Costa County Employees Retirement Board.