BILL ANALYSIS
------------------------------------------------------------
|SENATE RULES COMMITTEE | SB 1479|
|Office of Senate Floor Analyses | |
|1020 N Street, Suite 524 | |
|(916) 651-1520 Fax: (916) | |
|327-4478 | |
------------------------------------------------------------
THIRD READING
Bill No: SB 1479
Author: Senate Public Employment and Retirement Committee
Amended: As introduced
Vote: 21
SENATE PUBLIC EMP. & RET. COMMITTEE : 6-0, 4/12/10
AYES: Correa, Ashburn, Corbett, Cox, Ducheny, Liu
SUBJECT : 1937 Act County Retirement Law System
Housekeeping Bill
SOURCE : Alameda County Employees Retirement Association
South Coast Air Quality Management District
State Association of County Employee Retirement
Systems
DIGEST : This bill makes technical and non-controversial
changes to the 1937 Act County Retirement Law.
ANALYSIS :
1.Existing law:
A. Establishes the County Employees Retirement Law of
1937, which governs 20 independent county retirement
systems.
B. Allows an employee who moves from one public
employer to another public employer to accrue service
CONTINUED
SB 1479
Page
2
credit in separate public retirement systems and to
have reciprocity among the different retirement
systems with regard to certain benefits; however,
that employee cannot receive reciprocity if service
is earned in more than one retirement system during
the same period.
C. Allows the retirement board of a county retirement
system to set the date upon which a new employee
becomes a credited member of the system, but that
date must be no later than six weeks after entering
employment with the participating country.
This bill allows the retirement board of a county to
set the date upon which a new employee becomes, or
ceases being, a member, but that date could be no
later than 12 weeks after entering employment with
the county and no sooner than 12 weeks prior to
ending employment under the previous employer.
Source: State Association of County Employee
Retirement Systems
2.Existing law requires that counties in the 1937 Act
system transfer payments to the county retirement
associations to fund the cost of retiree benefits.
Existing law also allows a county board of supervisors to
authorize the county auditor to make payments to the
retirement system in advance of when those payments would
otherwise be due.
This bill allows a district in San Bernardino County that
participates in the San Bernardino County Employee
Retirement Association (SBCERA) to also make advance
payments to that retirement system.
Source: South Coast Air Quality Management District, a
SBCERA
participating agency
3.Existing law establishes the Supplemental Retiree
Benefits Reserve (SRBR), to be used exclusively for the
benefit of retirees under county retirement systems that
have elected to be subject to those provisions
SB 1479
Page
3
(specifically, Alameda, Kern and Tulare counties).
This bill clarifies that the administrative costs of
operating the SRBR in Alameda County may be paid through
the main retirement program in order to comply with IRS
rulings regarding the exclusive benefits rule.
Source: Alameda County Employees Retirement Association
FISCAL EFFECT : Appropriation: No Fiscal Com.: No
Local: No
SUPPORT : (Verified 4/13/10)
Alameda County Employees' Retirement Association
(co-source)
State Association of County Retirement Systems (co-source)
South Coast Air Quality Management District (co-source)
CPM:cm 4/14/10 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
**** END ****