BILL NUMBER: AB 609	AMENDED
	BILL TEXT

	AMENDED IN SENATE  JULY 1, 2009
	AMENDED IN ASSEMBLY  JUNE 2, 2009
	AMENDED IN ASSEMBLY  APRIL 30, 2009
	AMENDED IN ASSEMBLY  APRIL 13, 2009

INTRODUCED BY   Assembly Member Conway

                        FEBRUARY 25, 2009

   An act to amend Sections 31580.2 and 31580.3 of the Government
Code, relating to county employees' retirement.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 609, as amended, Conway. County employees retirement:
administrative costs.
   The County Employees Retirement Law of 1937 requires a board of
retirement, or a board of retirement and the board of investment,
with appointed members to annually adopt a budget covering the entire
expense of administration of the retirement system and prohibits the
expense incurred in any year from exceeding 18/100 of 1% of the
total assets of the retirement system.
   This bill would  increase that percentage to 
 19/100   of 1%   instead
prohibit expenses   incurred in any year from exceeding
  18/100   of 1% of the approved actuarial
liability of the retirement system  . The bill would also make a
conforming change regarding maximum expense in any year the
expenditures include certain computer expenses.
   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.  Section 31580.2 of the Government Code is amended to
read:
   31580.2.  In counties in which the board of retirement, or the
board of retirement and the board of investment, have appointed
personnel pursuant to Section 31522.1 or 31522.5, or both, the
respective board or boards shall annually adopt a budget covering the
entire expense of administration of the retirement system which
expense shall be charged against the earnings of the retirement fund.
Except as described in Section 31580.3, the expense incurred in any
year may not exceed  nineteen   eighteen 
hundredths of 1 percent of the  total assets  
approved actuarial liability  of the retirement system.
  SEC. 2.  Section 31580.3 of the Government Code is amended to read:

   31580.3.  (a) If during any year the expense of administration of
the retirement system includes expenditures for software, hardware,
and computer technology consulting services in support of that
software or hardware, the expense incurred may not exceed the greater
of the following:
   (1) The sum of  nineteen   eighteen 
hundredths of 1 percent of the  total assets  
approved actuarial   liability  of the retirement
system plus one million dollars ($1,000,000).
   (2)  Twenty-four   Twenty-three 
hundredths of 1 percent of the  total assets  
approved actuarial liability  of the retirement system.
   (b) This section shall remain in effect only until January 1,
2013, and as of that date is repealed, unless a later enacted
statute, that is enacted before January 1, 2013, deletes or extends
that date.