BILL NUMBER: AB 2456	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Cooley

                        FEBRUARY 19, 2016

   An act to add Chapter 19 (commencing with Section 21710) to Part 3
of Division 5 of Title 2 of the Government Code, relating to public
employees' retirement.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 2456, as introduced, Cooley. Public employee retirement
benefits: prefunding.
   Existing law creates the Public Employees' Retirement System,
which provides defined retirement benefits to employees of the state
and to employees of other public agencies contracting with the Board
of Administration of the Public Employee's Retirement System for this
purpose. The benefits provided by the system are funded by employer
and employee contributions and investment returns.
   This bill would state the intent of the Legislature to encourage
state and local public employers that provide a defined benefit
pension plan to their employees to effectively manage their pension
contributions payments by investing surplus funds into a trust fund
to be developed, established, and administered by the board.
   Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.


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

  SECTION 1.  Chapter 19 (commencing with Section 21710) is added to
Part 3 of Division 5 of Title 2 of the Government Code, to read:
      CHAPTER 19.  CALIFORNIA EMPLOYERS' PENSION PREFUNDING TRUST
PROGRAM


   21710.  It is the intent of the Legislature to encourage state and
local public employers that provide a defined benefit pension plan
to their employees to effectively manage their payments toward their
annually required pension contributions by investing surplus funds
into a trust fund to be developed, established, and administered by
the Board of Administration of the Public Employees' Retirement
System.