BILL NUMBER: AB 2711	CHAPTERED  08/23/04

	CHAPTER  268
	FILED WITH SECRETARY OF STATE  AUGUST 23, 2004
	APPROVED BY GOVERNOR  AUGUST 23, 2004
	PASSED THE SENATE  AUGUST 9, 2004
	PASSED THE ASSEMBLY  APRIL 22, 2004

INTRODUCED BY   Assembly Member Leno

                        FEBRUARY 20, 2004

   An act to add Section 20589 to the Government Code, relating to
public employees' retirement.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2711, Leno.  Public Employees' Retirement System:  transfer
agreements.
   Existing law authorizes the Board of Administration of the Public
Employees' Retirement System to enter into an agreement with the
board of retirement of specified county retirement systems subject to
the County Employees Retirement Law of 1937 for the transfer of
assets and liabilities from the Public Employees' Retirement System
to the county retirement system with respect to safety members who
have ceased to be employed by a public agency or the state and who
have been employed by a county, fire authority, or district as a
result of a transfer of firefighting or law enforcement functions.
   This bill would authorize the Board of Administration of the
Public Employees' Retirement System to enter into such an agreement
with the retirement board of the San Francisco City and County
Employees' Retirement System with respect to safety members who are
now employed by the city and county or the local fire authority or
district as a result of a transfer of firefighting or law enforcement
functions.


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


  SECTION 1.  Section 20589 is added to the Government Code, to read:

   20589.  (a) Notwithstanding any other provision of this article,
the board may enter into an agreement with the board of retirement of
the San Francisco City and County Employees' Retirement System, for
termination of participation of a public agency whose contract has
been in effect for at least five years in this system or the state
with respect to certain safety members who have ceased to be employed
by the public agency or the state and have been employed by the city
and county, fire authority, or district as a result of a transfer of
firefighting or law enforcement functions from the public agency or
the state to the city and county, fire authority, or district and
inclusion of the former public agency employees in that retirement
system.
   (b) The agreement shall contain provisions the board finds
necessary to protect the interests of this system, including
provisions for determination of the amount, time, and manner of
transfer of cash or securities, or both, to be transferred to the
city and county system representing the actuarial value of the
interests in the retirement fund of the public agency or the state
and the transferred employees by reason of accumulated contributions
credited to that public agency or the state and the employees
transferred.  The agreement may also contain any other provisions
that the board deems necessary to address issues related to the
transfer, including, but not limited to, benefits subject to an
outstanding domestic relations order and benefits subject to a lien.
The agreement shall apply only to employees who are employed by the
city and county or district on the effective date of the agreement.
   (c) All liability of this system with respect to the members
transferred under that agreement shall cease and shall become the
liability of the San Francisco City and County Employees' Retirement
System as of the date of transfer specified in the agreement.
Liability of the city and county retirement system shall be for
payment of benefits to transferred employees.
   (d) Any member transferred who becomes a member of the city and
county retirement system upon that transfer date shall be subject to
provisions of this part and the provisions of the San Francisco City
Charter and Administrative Code extending rights to a member or
subjecting him or her to limitations because of membership in another
retirement system to the same extent that he or she would have been
had he or she been a member of the city and county retirement system
during his or her membership in this system.
   (e) This section shall apply only in the City and County of San
Francisco.