BILL ANALYSIS                                                                                                                                                                                                    






          SENATE PUBLIC EMPLOYMENT & RETIREMENT     BILL NO: SB 538
          Lou Correa, Chair            Hearing date: April 20, 2009
          SB 538 (Senate PE&R Comm)    as introduced  2/27/09       
          FISCAL:  NO

           '37 ACT:  LOS ANGELES COUNTY:  REINSTATEMENT FROM DISABILITY  
          BEFORE WAIVER OF MANDATORY RETIREMENT AGE OF 60 FOR SAFETY  
          MEMBERS
           
           HISTORY  :

              Sponsor:  California Professional Firefighters (CPF)

              Prior legislation:  SB 579 (Wiggins), Chapter 21 of 2008

           
          SUMMARY  :

          Would provide a technical clarification in Gov't Section  
          31663.15 in the County Employees Retirement Act of 1937 ('37  
          Act), permitting only the Los Angeles County Employees  
          Retirement Association (LACERA) to receive the necessary  
          physical certification of a safety member upon returning from  
          disability leave, before making a determination as to whether  
          the member is subject to mandatory retirement.


           BACKGROUND:
          
           1)   Is there a mandatory retirement age of 60 for L.A. County  
          safety members  ?

          The committee is advised that  existing '37 Act law  contains  
          various provisions, which '37 Act counties may implement, to  
          require their safety members to retire once they reach age  
          60.

          Pursuant to a resolution adopted by the L.A. County Board of  
          Supervisors, county safety employees hired before March 31,  
          1997, are subject to mandatory retirement at age 60 and are  
          retired as of the first day of the calendar month immediately  
          following their 60th birthday.

          David Felderstein
          Date:  4/9/09                                          Page 1  










          In a later resolution, the L.A. Supervisors rescinded the  
          mandatory retirement age provisions for safety members first  
          employed after March 31, 1997.

           Chapter 21 of 2008  permits L.A. County safety members to work  
          beyond the mandatory retirement age provided that a physician  
          approved by the County certifies that the safety member is  
          capable of performing his or her assigned duties pursuant to  
          specified standards.
































          David Felderstein
          Date:  4/9/09                                          Page 2  










          2)   Did Chapter 21 of 2008 effectively permit L.A. County to  
          allow affected safety members to work beyond age 60 with the  
          County's approval  ?

          The committee is advised that, although  Chapter 21 of 2008   
          permits L.A. County to allow its safety members to work  
          beyond the mandatory retirement age of 60,  Chapter 21 of 2008   
          has unintentionally required LACERA to retire a safety member  
          when he or she is on temporary disability beyond "the first  
          day of the calendar month next succeeding that in which he or  
          she attains age 60" and, therefore, is unable to timely  
          receive the medical certification determining "fitness for  
          duty."


          ANALYSIS  :
          
          1)   This bill  would provide a technical clarification,  
          permitting LACERA to receive the necessary physical  
          certification of a safety member upon returning from  
          disability leave, before making a determination as to whether  
          the member is subject to mandatory retirement.

          2)  This section of the Government Code is applicable only to  
          L.A. County, and is not effective until it is adopted by the  
          L.A. County Board of Supervisors.


          COMMENTS  :

          1)  Arguments in support:

          The sponsor, the California Professional Firefighters,  
          states:

            "Pursuant to a resolution adopted by Los Angeles County Board  
            of Supervisors, county safety employees -- hired prior to  
            March 31, 1997 -- are subject to Section 31662.6, which is one  
            such '37 Act mandatory retirement age section.  As such, a  
            safety member, hired prior to March 31, 1997 is retired as of  
            the first day of the calendar month immediately following the  
            month in which he or she attains age 60.  In a later  
            resolution, the Board rescinded the mandatory retirement age  
          David Felderstein
          Date:  4/9/09                                          Page 3  










            provisions for safety members first employed after March 31,  
            1997.

            "Government Code Section 31663.15, which was enacted by SB 579  
            (Chapter No. 21, Statutes of 2008) and took effect June 22,  
            2008, permits those Los Angeles County safety members subject  
            to Section 31662.6 to work beyond the mandatory retirement age  
            provided that a physician, employed or approved by the County,  
            certifies that the safety member is capable of performing his  
            or her assigned duties pursuant to specified standards.   
            Although Section 31663.15 permits Los Angeles County to allow  
            its safety members to work beyond the mandatory retirement age  
            in accordance with the above-described conditions, Section  
            31662.6 has unintentionally bound the Los Angeles County  
            Employees Retirement Association (LACERA) to retire a safety  
            member when he or she is on temporary disability beyond "the  
            first day of the calendar month next succeeding that in which  
            he or she [safety member] attains age 60" and therefore unable  
            to timely receive the medical certification determining  
            "fitness for duty." 





















          David Felderstein
          Date:  4/9/09                                          Page 4  










            "SB 538 simply clarifies Section 31663.15 to permit LACERA to  
            receive the necessary physical certification of a safety  
            member upon returning from his or her disability leave before  
            making a determination as to whether the member is subject to  
            mandatory retirement, even if that leave extends beyond the  
            month in which the member turns age 60."


          2)   OPPOSITION  :

               None to date




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          David Felderstein
          Date:  4/9/09                                          Page 5