HomeMy WebLinkAbout09 - Amendment to Correct an Error in the PERS ContractNovember 9, 1998
Council Agenda
Item No. 9
CITY OF NEWPORT BEACH
ADMINISTRATIVE SERVICES DEPARTMENT
Resource Management • Human Resources • Risk Management • Fiscal Services • M.I.S. • Revenue • Accounting
TO: Honorable Mayor and Members of the City Council
FROM: Dick Kurth, Administrative Services Director (Acting
SUBJECT: Amendment to Correct an Error in the PERS Cont
RECOMMENDATION:
Approve the resolution authorizing an amendment to correct an error in the contract
between the Board of Administration of the Public Employees' Retirement System (PERS)
and the City Council of the City of Newport Beach.
BACKGROUND:
The City of Newport Beach entered into a contract effective July 1, 1945, providing for
participation in the Public Employees' Retirement System (PERS). On October 1, 1998, a
representative of the Actuarial and Employer Services Division of PERS notified the City
and provided the attached resolution to correct an error that was made on the contract
when it was amended on December 2, 1989, and June 12, 1996.
This resolution will correct the error made when the contract was amended effective June
12, 1996. At that time, paragraph 7.e. read, in error, "Section 21583 (Second Opportunity to
Elect 1959 Survivor Benefits) for local miscellaneous members. Legislation repealed said
Section effective September 27, 1979." The correct section code for this benefit is 21389.
Adoption of the resolution will correct the contract effective June 12, 1996, the date this
error was made.
In addition, when the contract was amended effective December 2, 1989, paragraph 7 did
not include Section 20042 (One Year Final Compensation) for local miscellaneous members
and local safety members. This error has been repeated in the subsequent contract
amendment effective June 12, 1996. The attached resolution will also correct this error.
RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF NEWPORT BEACH
AUTHORIZING AN AMENDMENT TO CORRECT
AN ERROR IN THE CONTRACT BETWEEN THE
BOARD OF ADMINISTRATION OF THE
PUBLIC EMPLOYEES' RETIREMENT SYSTEM AND
THE CITY COUNCIL OF THE CITY OF NEWPORT BEACH
WHEREAS, the City Council of the City of Newport Beach hereinafter referred to
as Public Agency, and the Board of Administration of the Public Employees' Retirement
System entered into a contract effective July 1, 1945, providing for the participation of
Public Agency in the Public Employees' Retirement System; and
WHEREAS, said contract was amended effective June 12, 1996, and due to an
inadvertent error, "Section 21583 (Second Opportunity to Elect 1959 Survivor Benefits) for
local miscellaneous members" should have read "Section 21389 (Second Opportunity to
Elect 1959 Survivor Benefits) for local miscellaneous members "; and
WHEREAS, said contract was amended effective December 2, 1989, and June 12,
1996, and due to an inadvertent omission "Section 20042 (One Year Final Compensation)
for local miscellaneous members and local safety members" was not included in the
contract amendment; and
WHEREAS, Section 20472 of the Government Code provided that errors in any
contract may be corrected through amendments approved by the adoption of suitable
resolutions by the contracting parties;
NOW, THEREFORE, BE IT RESOLVED that said governing body of Public Agency
authorizes, and it does hereby authorize, a contract error amendment to said contract
effective June 12,1996, as follows:
A. Paragraph 7.e. of the contract amendment effective June 12, 1996, shall be
changed as follows:
"Section 21389 (Second Opportunity to Elect 1959 Survivor Benefits)
for local miscellaneous members. Legislation repealed said Section
effective September 27, 1979."
B. Paragraph 7 of the contract amendment effective December 2, 1989, and all
subsequent amendments thereto shall be changed to include the following:
"Section 20042 (One Year Final Compensation) ."
BE IT FURTHER RESOLVED, that the presiding officer of the governing body of Public
Agency is hereby authorized, empowered, and directed to execute said amendment for
and on behalf of Public Agency.
Adopted this day of
BOARD OF ADMINISTRATION
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
BY
KENNETH W. MARZION, CHIEF
ACTUARIAL & EMPLOYER SERVICES DIVISION
PUBLIC EMPLOYEES' RETIREMENT SYSTEM
19
CITY COUNCIL OF THE
CITY OF NEWPORT BEACH
BY
MAYOR
Attest:
Clerk