BILL ANALYSIS �
AB 1380
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Date of Hearing: May 8, 2013
ASSEMBLY COMMITTEE ON PUBLIC EMPLOYEES, RETIREMENT AND SOCIAL
SECURITY
Rob Bonta, Chair
AB 1380 (P.E.,R. & S.S. Committee) - As Amended: April 23,
2013
SUBJECT : County employees' retirement.
SUMMARY : Makes various technical corrections and conforming
changes that align the County Employees' Retirement Law of 1937
('37 Act) with the provisions of the Public Employees' Pension
Reform Act of 2013 (PEPRA), as enacted in AB 340 (Furutani),
Chapter 296, Statutes of 2012. Specifically, this bill :
1)Specifies that the provisions of the '37 Act governing the
purchase of additional retirement credit only apply to an
application received by the retirement system prior to January
1, 2013, that is subsequently approved.
2)Specifies that the provisions of the '37 Act that allow a
member to retire at a specified age, or a specified age with a
certain amount of service credit, or once they have attained a
certain amount of service credit regardless of age, do not
apply to members who are subject to PEPRA.
3)Authorizes a '37 Act retirement system member who is subject
to PEPRA who has completed five years of service and has
reached the applicable minimum retirement age or has reached
age 70, to retire, as specified.
EXISTING LAW :
1)Establishes comprehensive public employee pension reform
through enactment of PEPRA (and related statutory changes)
that apply to all public employers and public pension plans on
and after January 1, 2013, excluding the University of
California and charter cities and counties that do not
participate in a retirement system governed by state statute.
2)Prohibits, under PEPRA, the purchase of nonqualified service
credit unless the application to purchase the credit is
received by the retirement system prior to January 1, 2013,
and subsequently approved.
AB 1380
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3)Authorizes, under the '37 Act, an active member of the
retirement system to purchase up to five years of additional
retirement credit for "nonqualified service," as specified.
4)Authorizes, under the '37 Act, a safety member who has
completed 10 years of continuous service and has reached age
50, or who has completed 20 years of service regardless of
age, to retire, as specified.
5)Authorizes, under the '37 Act, a general member who has
reached age 70, or has completed 10 years of service and has
reached age 55, or who has completed 30 years of service
regardless of age, to retire, as specified.
FISCAL EFFECT : This bill has been keyed non-fiscal by
Legislative Counsel.
COMMENTS : According to the sponsor of the bill, the State
Association of County Retirement Systems, AB 1380 will ensure
continued implementation of PEPRA as intended by placing the
act's requirements in the '37 Act.
REGISTERED SUPPORT / OPPOSITION :
Support
State Association of County Retirement Systems (Sponsor)
Opposition
None on file
Analysis Prepared by : Karon Green / P.E., R. & S.S. / (916)
319-3957