BILL NUMBER: AB 1214	CHAPTERED  07/03/01

	CHAPTER  31
	FILED WITH SECRETARY OF STATE  JULY 3, 2001
	APPROVED BY GOVERNOR  JULY 2, 2001
	PASSED THE SENATE  JUNE 18, 2001
	PASSED THE ASSEMBLY  MAY 10, 2001

INTRODUCED BY   Assembly Member Chavez

                        FEBRUARY 23, 2001

   An act to add Sections 31491.1 and 31491.2 to the Government Code,
relating to county employees' retirement.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1214, Chavez.  County employees' retirement:  Plan E benefit
offsets.
   The County Employees Retirement Law of 1937 establishes an
optional, alternative retirement plan for counties that have a
population in excess of 6,000,000.  Under that plan, a member's
retirement benefit is required to be reduced by an amount based on
the member's estimated primary insurance amount under Old Age and
Survivors Insurance provisions of the Social Security Act, as
specified.
   This bill would authorize counties subject to that plan to adjust
the member's retirement benefit according to the member's actual
primary insurance amount or if the retired member is not receiving a
primary insurance amount, as specified.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:


  SECTION 1.  Section 31491.1 is added to the Government Code, to
read:
   31491.1.  (a) Notwithstanding Section 31491, any retired member
receiving a retirement pension may present evidence in the form
required by the board of the retired member's actual primary
insurance amount.  For the purposes of this section, the actual
primary insurance amount shall be the amount being paid under the
federal system.  Following receipt of that evidence, the board shall
adjust the retired member's pension to equal the amount of the
pension to which he or she would have been entitled on that date had
the estimated primary insurance amount equaled the actual insurance
amount.
   (b) The adjustment calculated in subdivision (a) shall be applied
to the retired member's pension beginning in the month upon which the
retired member presents evidence required by the board.
   (c) This section shall not be operative in any county until such
time as the board of supervisors shall, by resolution adopted by
majority vote, make this section applicable.
  SEC. 2.  Section 31491.2 is added to the Government Code, to read:

   31491.2.  (a) Notwithstanding Section 31491, any retired member
receiving a retirement pension may present evidence in the form
required by the board of the retired member's federal estimated
primary insurance amount provided that the retired member is not
receiving a federal primary insurance amount.  For the purposes of
this section, the federal estimated primary insurance amount shall be
the amount payable under the federal system as of the retired member'
s normal federal retirement age.  Should the federal estimated
primary insurance amount equal zero, the retired member shall not
have his or her pension benefit reduced for an estimated primary
insurance amount as required in subdivision (e) of Section 31491.
   (b) Following receipt of that evidence, the board shall adjust the
retired member's pension to equal the amount of the pension to which
he or she would have been entitled on that date had the estimated
primary insurance amount calculated in Section 31491 equaled zero.
   (c) The adjustment calculated in subdivision (a) shall be applied
to the retired member's pension beginning in the month upon which the
retired member presents evidence required by the board.
   (d) Notwithstanding subdivision (a), upon attaining federal
retirement age, the retired member shall submit such evidence as
required by the board of the retired members' federal estimated or
actual primary insurance amount.  Following receipt of that evidence,
the board shall adjust the retired member's pension in accordance
with subdivision (j) of Section 31491.
   (e) This section shall not be operative in any county until such
time as the board of supervisors shall, by resolution adopted by
majority vote, make this section applicable.