BILL NUMBER: SB 689	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Harman

                        FEBRUARY 18, 2011

   An act to add and repeal Section 7503.1 of the Government Code,
relating to public retirement systems.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 689, as introduced, Harman. Public retirement systems.
   Existing law requires all state and local public retirement
systems to prepare an annual report in accordance with generally
accepted accounting principles.
   The bill would, until January 1, 2016, require all state and local
public retirement systems to file an annual report with the
Legislature, the Department of Finance, and the Legislative Analyst's
Office that would include specified information about any retired
member who receives a pension of $100,000 or more annually.
   The bill would express a legislative finding and declaration that
to ensure the security of the University of California funds,
including retirement funds, it is necessary for this act to apply to
the University of California.
   The bill would also express a legislative finding and declaration
that to ensure the statewide integrity of local government, to
cultivate an attractive business climate, and to improve the
sufficiency of local public safety services, the disclosure of
generous pensions paid to public retirees is an issue of statewide
concern and not a municipal affair, and that therefore, all cities,
including charter cities, would be subject to the provisions of the
bill.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


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

  SECTION 1.  Section 7503.1 is added to the Government Code, to
read:
   7503.1.  (a) In addition to the report required by Section 7503,
all state and local public retirement systems, including those of the
University of California, charter cities, and charter counties,
shall file an annual report with the Legislature, the Department of
Finance, and the Legislative Analyst's Office that includes the
following information regarding any retired member who receives a
pension of one hundred thousand dollars ($100,000) or more annually:
   (1) The classification from which the member retired.
   (2) The department or agency from which the member retired.
   (3) The amount of the pension that the member receives annually.
   (b) (1) The report to the Legislature shall be submitted in
compliance with Section 9795.
   (2) Pursuant to Section 10231.5, this section shall remain in
effect only until January 1, 2016, and as of that date is repealed,
unless a later enacted statute, that is enacted before January 1,
2016, deletes or extends that date.
  SEC. 2.  The Legislature finds and declares the following:
   (a) To ensure the security of the University of California funds,
including retirement funds, it is necessary for this act to apply to
the University of California.
   (b) The security of public moneys and the fiscal integrity of
local governmental agencies in this state, including charter cities,
have a direct impact on the long-term well-being of all residents of
this state. A functioning, transparent, and practical governmental
structure is critical to businesses either staying in or relocating
to California. Further, local governments that are incapacitated by
excessively generous pension obligations have difficulty providing
sufficient public safety services and place additional resourcing
burdens on the state. Accordingly, the Legislature finds and declares
that to ensure the statewide integrity of local government, to
cultivate an attractive business climate, and to improve the
sufficiency of local public safety services, the disclosure of
generous pensions paid to public retirees is an issue of statewide
concern and not a municipal affair, as that term is used in Section 5
of Article XI of the California Constitution. Therefore, this act
shall apply to all cities, including charter cities.