Amended in Senate June 19, 2013

Amended in Assembly April 29, 2013

Amended in Assembly April 15, 2013

California Legislature—2013–14 Regular Session

Assembly BillNo. 1144


Introduced by Assembly Member Hall

February 22, 2013


An act to add Section 22893.1 to the Government Code, relating to public employee benefits.

LEGISLATIVE COUNSEL’S DIGEST

AB 1144, as amended, Hall. Public Employees’ Medical and Hospital Care Act: City of Carson.

The Public Employees’ Medical and Hospital Care Act (PEMHCA) authorizes the Board of Administration of the Public Employees’ Retirement System to contract with carriers for health benefit plans for employees and annuitants, as defined. Existing law requires an agency contracting for coverage under PEMHCA and each employee or annuitant to contribute a portion of the cost of providing the benefit coverage afforded under the health benefit plan in which the employee or annuitant may be enrolled and prescribes various schedules for employer payments and requirements in relation to those payments.

This billbegin insert, for an employee hired on or after January 1, 2014,end insert would require the employer contribution for postretirement health benefit coverage for an employee of the City of Carson to be based on specified percentages associated with the employee’s credited years of service, which would reach 100% when the employee attains 10 years of credited service. The bill would define credited service as service performed with the City of Carson. The bill would require that the employer contribution with respect to each employee be mutually agreed upon through collective bargaining, as specifiedbegin insert, except for an unrepresented employee, for whom the employer contribution would be established by a city council resolutionend insert. The bill would require that the employer provide any information requested by the board that the board deems necessary to implement the section.

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

P2    1

SECTION 1.  

Section 22893.1 is added to the Government
2Code
, to read:

3

22893.1.  

(a) Notwithstanding any other provision of this part,
4the percentage of employer contribution payable for postretirement
5health benefits for an employee of the City of Carson, California,
6shall be based on the employee’s completed years of credited
7service, provided that the City of Carson shall not pay an employer
8contribution for the first five years of that credited service, and
9shall pay thereafter as shown in the following table:


10
11

 

Credited Years of Service   Percentage of Employer Contribution

5     50

6     60

7     70

8     80

9     90

10     100

P2   1920

 


21The application of this subdivision shall be subject to the
22following:

23(1) begin insert(A)end insertbegin insertend insert The employer contribution with respect to each
24annuitant shall be mutually agreed upon through collective
25bargaining by the City ofbegin delete Carson,end deletebegin insert Carson andend insert the exclusive
26representatives of employees of the citybegin delete, and unrepresented
27employees of the cityend delete
. The employer may adjust the amount from
28time to time through a collectively bargained memorandum of
P3    1understanding. Changes to the employer contribution shall be
2ratified by a resolution passed by the city council of the City of
3Carson and that resolution shall be filed with the board.begin insert The
4employer contribution established by this paragraph shall not be
5less than the adjusted employer contribution required by
6subdivision (b) of Section 22892. end insert

begin insert

7(B) In the case of employees not represented by a bargaining
8unit, the employer contribution with respect to each annuitant
9shall be determined pursuant to a resolution passed by a majority
10of the city council of the City of Carson and that resolution shall
11be filed with the board.

end insert

12(2) The employer shall certify to the board, in the case of
13employees not represented by a bargaining unit, that there is not
14an applicable memorandum of understanding.

15(3) The credited service of an annuitant for the purpose of
16determining the percentage of employer contributions applicable
17under this section shall mean credited service performed with the
18City of Carson.

19(4) The employer shall provide the board any information
20requested that the board determines is necessary to implement this
21section.

22(b) This sectionbegin delete is not applicable to any employee who retired
23before the effective date of the memorandum of understanding. In
24the event that the memorandum of understanding establishes a
25retroactive effective date, this section applies only prospectively
26and any employee who retires before the memorandum of
27understanding is signed may not be affected by itend delete
begin insert applies only to
28the City of Carson and only with regard to an employee of the city
29who is first hired on or after January 1, 2014end insert
.



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