BILL ANALYSIS ------------------------------------------------------------ |SENATE RULES COMMITTEE | SB 867| |Office of Senate Floor Analyses | | |1020 N Street, Suite 524 | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ------------------------------------------------------------ THIRD READING Bill No: SB 867 Author: Senate Budget and Fiscal Review Committee Amended: 10/7/10 Vote: 21 PRIOR VOTES NOT RELEVANT ASSEMBLY FLOOR : Not available SUBJECT : Budget Act of 2010 Public pension system transparency reforms SOURCE : Author DIGEST : Assembly Amendments delete the Senate version of the bill which expressed the intent of the Legislature to enact statutory changes relating to the Budget Act of 2010, and add the current content relating to public pension system transparency reforms. This bill now makes statutory changes necessary to implement public pension system transparency reforms related to the 2010-11 budget. ANALYSIS : This bill, in order to increase transparency, requires additional analysis and oversight of the Public Employees' Retirement System's (PERS) actuarial assumptions. More specifically, this bill requires that the PERS Board of Administration, every time it adopts CONTINUED SB 867 Page 2 contribution rates, provide an actuarial report, containing investment returns, amortization period, and discount rates using specific analytical guidelines, to the Legislature, the Governor and the Treasurer. This bill requires the Treasurer to then, within 30 days of receipt of the report, provide an address to both houses of the Legislature about the report. FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes Local: No CPM:cm 10/7/10 Senate Floor Analyses SUPPORT/OPPOSITION: NONE RECEIVED **** END ****