BILL NUMBER: SB 1209	AMENDED
	BILL TEXT

	AMENDED IN SENATE  APRIL 15, 2010

INTRODUCED BY   Senator Romero

                        FEBRUARY 18, 2010

   An act to amend Section 21623 of the Government Code, relating to
public employees' retirement, and making an appropriation therefor.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1209, as amended, Romero. Public employees' retirement:
postretirement death benefits.
   The Public Employees' Retirement Law requires that, upon the death
of any state or school member after retirement and while receiving a
retirement allowance, the sum of $2,000 be paid to the member's
designated beneficiary, as specified. Existing law provides that the
additional employer contributions required to fund this benefit be
computed as a level percentage of member compensation, and these are
deposited in the Public Employees' Retirement Fund, a continuously
appropriated fund.
   This bill would  , commencing January 1, 2011,  increase
the amount of  that payment to $6,163 with respect to those
  benefits payable to   designated
beneficiaries of retired  school members  , to $4,000 for
deaths of retired school members occurring on or after January 1,
2011, and before January 1, 2012; to $4,500 for deaths of retired
school members occurring on or after January 1, 2012, and before
January 1, 2013; to $5,000 for deaths of retired school members
occurring on or after January 1, 2013, and before March 31, 2014. The
benefit amount payable to designated beneficiaries of retired school
members who die on or after April 1, 2014, would be in the amount of
$5,000, as annually adjusted pursuant to a specified formula  .
By providing for funds in the Public Employees' Retirement Fund to
be spent for a new purpose, and by increasing contributions to that
fund, this bill would make an appropriation.
   Vote: majority. Appropriation: yes. Fiscal committee: yes.
State-mandated local program: no.


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

  SECTION 1.  Section 21623 of the Government Code is amended to
read:
   21623.  (a) In lieu of benefits provided by Section 21620 or
21622, upon the death of any retired state  or school 
member, after retirement and while receiving a retirement allowance
from this system, there shall be paid to the beneficiary whom he or
she shall nominate by written designation duly executed and filed
with the board, the sum of two thousand dollars ($2,000), to be
provided from contributions by the employer.
   (b)  In   Commencing   January 1,
2011, in  lieu of benefits provided by Section 21620 or 21622,
upon the death of a retired school member, after retirement and while
receiving a retirement allowance from this system, there shall be
paid to the beneficiary whom he or she shall nominate by written
designation duly executed and filed with the board, the  sum
of six thousand one hundred sixty-three dollars ($6,163) 
 following amounts  , to be provided from contributions by
the  employer.   employer:  
   (1) For deaths occurring on or after January 1, 201l, and before
January 1, 2012, the sum of four thousand dollars ($4,000). 

   (2) For deaths occurring on or after January 1, 2012, and before
January 1, 2013, the sum of four thousand five hundred dollars
($4,500).  
   (3) For deaths occurring on or after January 1, 2013, and before
April 1, 2014, the sum of five thousand dollars ($5,000).  
   (4) For deaths occurring on or after April 1, 2014, the sum of
five thousand dollars (5,000) shall be adjusted annually in the same
manner as monthly allowances subject to Sections 21313 and 21329.

   (c) For the purposes of this section, all contributions,
liabilities, actuarial interest rates, and other valuation factors
shall be determined on the basis of actuarial assumptions and methods
that, in the aggregate, are reasonable and that, in combination,
offer the actuary's best estimate of anticipated experience under
this system.
   (d) The additional employer contributions required under this
section shall be computed as a level percentage of member
compensation.
   (e) This section shall  apply to a school employer and a
retired school member whose death after retirement occurs on or after
January 1, 2001. This section shall  not apply to any
contracting agency or local member, except those contracting agencies
that are school employers and those school districts or community
college districts as defined in subdivision (i) of Section 20057.