BILL ANALYSIS                                                                                                                                                                                                    



                                                                       



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          |SENATE RULES COMMITTEE            |                   SB 867|
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                                 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  
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                                                                SB 867
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          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

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