Title
Adopt a Resolution of Intention and Introduce an Ordinance to Approve an Amendment to the Contract between the Board of Administration of the California Public Employees' Retirement System and the City of San Leandro to Include Provisions Pursuant to Government Code Section 20516 "Cost Sharing" for Unrepresented Executive Safety Employees
Staffreport
COUNCIL PRIORITY
* Infrastructure
SUMMARY
As permitted by Government Code Section 20516, employees may agree to pay a portion of the employer's CalPERS contribution. In 2023, the City Council approved the participation of the unrepresented executive safety employees in the cost sharing program; these employees' cost share is currently 1.5%. For FY 2025-2026, the employee cost share will increase an additional 0.5% for an employee cost share of 2.0%. CalPERS requires the City Council to adopt a new resolution when there is a change in the cost share percentage due to the unrepresented status of this group.
RECOMMENDATIONS
Staff recommends that the City Council approve an additional 0.5% employee cost share towards the employer's contribution rate, resulting in a total employee cost share of 2.0% for unrepresented executive safety employees effective July 1, 2025.
BACKGROUND
CalPERS mandates that any changes to the employee cost share for unrepresented groups be formally approved by the governing body. This approval process ensures that adjustments to the cost-sharing requirements are reviewed and validated regularly within pension regulations.
Analysis
CalPERS requires that specific procedures be followed to amend an agency's contract. The following steps are being taken to complete the contract amendment process:
1. The City Council must adopt a Resolution of Intention to amend the contract.
2. A secret ballot election among the employees affected must be held.
3. The Ordinance will be presented to the City Council for adoption on May 19, 2025.
Previous Actions
* On September 16, 2024, by Resolu...
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