BILL NUMBER: AB 1406 AMENDED
BILL TEXT
AMENDED IN ASSEMBLY MAY 7, 2009
AMENDED IN ASSEMBLY APRIL 2, 2009
INTRODUCED BY Assembly Member Emmerson
FEBRUARY 27, 2009
An act to amend Section 31522.5 of add
Section 31522.7 to the Government Code, relating to county
employees' retirement.
LEGISLATIVE COUNSEL'S DIGEST
AB 1406, as amended, Emmerson. County boards
board of retirement: Orange County and
San Bernardino County.
The County Employees Retirement Law of 1937 authorizes the board
of retirement of Orange County, and that of San
Bernardino County upon resolution by the board of retirement, to
appoint specified management, investment, and legal personnel. These
appointees are not classified as county employees and are therefore
not subject to the civil service system, but are employees of that
retirement system, subject to the terms of employment determined by
the board of retirement. Existing law provides that the
compensation of certain of these personnel is an expense of
administration of the retirement system, while the compensation of
other of these personnel is considered as a reduction in earnings
from the system's investments or a charge against the assets of the
system.
This bill would extend the authority of the retirement
boards described above enact similar provisions
applicable only to the board of retirement in San Bernardino County,
upon adoption by resolution, to appoint their
specified personnel outside the civil service system to
apply to supervisors and employees with specialized training and
knowledge in pension benefit member services, investment reporting
compliance, investment accounting, pension benefit tax reporting,
pension benefit financial accounting, and pension
law , and legal counsel .
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 31522.7 is added to the
Government Code , to read:
31522.7. (a) In addition to the authority provided pursuant to
Section 31522.5, the board of retirement in the County of San
Bernardino may appoint an administrator, an assistant administrator,
a chief investment officer, senior management employees next in line
of authority to the chief investment officer, subordinate
administrators, senior management employees next in line of authority
to subordinate administrators, supervisors and employees with
specialized training and knowledge in pension benefit member
services, investment reporting compliance, investment accounting,
pension benefit tax reporting, pension benefit financial accounting,
pension law, and legal counsel.
(b) Notwithstanding any other provision of law, the personnel
appointed pursuant to this section may not be county employees but
shall be employees of the retirement system, subject to terms and
conditions of employment established by the board of retirement.
Except as specifically provided in this subdivision, all other
personnel shall be county employees for purposes of the county's
employee relations resolution, or equivalent local rules, and the
terms and conditions of employment established by the board of
supervisors for county employees, including those set forth in a
memorandum of understanding.
(c) Except as otherwise provided by Sections 31529.9 and 31596.1,
the compensation of personnel appointed pursuant to this section
shall be an expense of administration of the retirement system,
pursuant to Section 31580.2.
(d) The board of retirement and board of supervisors may enter
into any agreements as may be necessary and appropriate to carry out
the provisions of this section.
(e) Section 31522.2 is not applicable if a retirement system
elects to appoint personnel pursuant to this section.
(f) This section shall apply only to the retirement system
established under this chapter in San Bernardino County at such time
as the board of retirement, by resolution, makes this section
applicable in that county.
SECTION 1. Section 31522.5 of the Government
Code is amended to read:
31522.5. (a) In a county in which the board of retirement has
appointed personnel pursuant to Section 31522.1, the board of
retirement may appoint an administrator, an assistant administrator,
a chief investment officer, senior management employees next in line
of authority to the chief investment officer, subordinate
administrators, senior management employees next in line of authority
to subordinate administrators, supervisors and employees with
specialized training and knowledge in pension benefit member
services, investment reporting compliance, investment accounting,
pension benefit tax reporting, pension benefit financial accounting,
and pension law, and legal counsel.
(b) Notwithstanding any other provision of law, the personnel
appointed pursuant to this section may not be county employees but
shall be employees of the retirement system, subject to terms and
conditions of employment established by the board of retirement.
Except as specifically provided in this subdivision, all other
personnel shall be county employees for purposes of the county's
employee relations resolution, or equivalent local rules, and the
terms and conditions of employment established by the board of
supervisors for county employees, including those set forth in a
memorandum of understanding.
(c) Except as otherwise provided by Sections 31529.9 and 31596.1,
the compensation of personnel appointed pursuant to this section
shall be an expense of administration of the retirement system,
pursuant to Section 31580.2.
(d) The board of retirement and board of supervisors may enter
into any agreements as may be necessary and appropriate to carry out
the provisions of this section.
(e) Section 31522.2 is not applicable to any retirement system
that elects to appoint personnel pursuant to this section.
(f) This section shall apply only in Orange County.
(g) This section shall apply to the retirement system established
under this chapter in San Bernardino County at such time as the board
of retirement, by resolution, makes this section applicable in that
county.