AB 1987 - An Act to Amend Sections 31460 and 31461 Of, to Add Sections 7500.5, 31460.2, 31461.8, 31539.5, 31540, 31541, 31569, 31680.10, 45309.6, 45309.7, 50871.6, and 50871.7 To, and to Repeal and Add Section 31539 Of, the Government Code, Relating to Public Retirement Systems.

Public retirement: final compensation: computation: retirees. 2009-2010 Legislature. View bill details
Author(s):
Summary:
(1)The Public Employees’ Retirement Law (PERL) creates the Public Employees’ Retirement System (PERS), which provides a defined benefit to its members based on age at retirement, service credit, and final compensation. PERL defines “final compensation” for purposes of calculating a member’s retirement allowance. The State Teachers’ Retirement Law, which applies to specified school… More
(1)The Public Employees’ Retirement Law (PERL) creates the Public Employees’ Retirement System (PERS), which provides a defined benefit to its members based on age at retirement, service credit, and final compensation. PERL defines “final compensation” for purposes of calculating a member’s retirement allowance. The State Teachers’ Retirement Law, which applies to specified school employees, and the retirement laws for county employees and city employees also provide for a defined benefit based on age at retirement, service credit, and final compensation.

This bill would generally provide, effective July 1, 2011, that any change in salary, compensation, or remuneration principally for the purpose of enhancing a member’s benefits would not be included in the calculation of a member’s final compensation for purposes of determining that member’s defined benefit. The bill would require the board of each state and local public retirement system to establish, by regulation, accountability provisions that would include an ongoing audit process to ensure that a change in a member’s salary, compensation, or remuneration is not made principally for the purpose of enhancing a member’s retirement benefits. This bill would limit the calculation of a member’s final compensation to an amount not to exceed the average increase in compensation received within the final compensation period and the 2 preceding years by employees in the same or a related group as that member. This bill would also provide that a person who retires on or after January 1, 2012, may not perform services for any employer covered by a state or local retirement system until that person has been separated from service for a period of at least 180 days. This bill would provide for the implementation of the changes under the applicable retirement laws that apply to counties and cities.

This bill includes legislative findings expressing the public purpose that would be served by the enactment of this bill.

(2)This bill would, except as otherwise specified, provide that its provisions would become operative on July 1, 2011. This bill would further provide that its provisions would not become operative unless SB 1425 of the 2009–10 Regular Session is also enacted and takes effect on or before January 1, 2011. Hide
 
Status:
This bill was passed by both houses and vetoed by the Governor. It did not become law
Assembly Vote: On Passage

PASSED on August 31, 2010.

voted YES: 77 voted NO: 0
1 voted present/not voting

An Act to Amend Sections 31460 and 31461 Of, to Add Sections 7500.5, 31460.2, 31461.8, 31539.5, 31540, 31541, 31569, 31680.10, 45309.6, 45309.7, 50871.6, and 50871.7 To, and to Repeal and Add Section 31539 Of, the Government Code, Relating to Public Retirement Systems.

AB 1987 — 2009-2010 Legislature

Summary
(1)The Public Employees’ Retirement Law (PERL) creates the Public Employees’ Retirement System (PERS), which provides a defined benefit to its members based on age at retirement, service credit, and final compensation. PERL defines “final compensation” for purposes of calculating a member’s retirement allowance. The State Teachers’ Retirement Law, which applies to specified school employees, and the retirement laws for county employees and city employees also provide for a defined benefit based on age at retirement, service credit, and final compensation.

This bill would generally provide, effective July 1, 2011, that any change in salary, compensation, or remuneration principally for the purpose of enhancing a member’s benefits would not be included in the calculation of a member’s final compensation for purposes of determining that member’s defined benefit. The bill would require the board of each state and local public retirement system to establish, by regulation, accountability provisions that would include an ongoing audit process to ensure that a change in a member’s salary, compensation, or remuneration is not made principally for the… More
(1)The Public Employees’ Retirement Law (PERL) creates the Public Employees’ Retirement System (PERS), which provides a defined benefit to its members based on age at retirement, service credit, and final compensation. PERL defines “final compensation” for purposes of calculating a member’s retirement allowance. The State Teachers’ Retirement Law, which applies to specified school employees, and the retirement laws for county employees and city employees also provide for a defined benefit based on age at retirement, service credit, and final compensation.

This bill would generally provide, effective July 1, 2011, that any change in salary, compensation, or remuneration principally for the purpose of enhancing a member’s benefits would not be included in the calculation of a member’s final compensation for purposes of determining that member’s defined benefit. The bill would require the board of each state and local public retirement system to establish, by regulation, accountability provisions that would include an ongoing audit process to ensure that a change in a member’s salary, compensation, or remuneration is not made principally for the purpose of enhancing a member’s retirement benefits. This bill would limit the calculation of a member’s final compensation to an amount not to exceed the average increase in compensation received within the final compensation period and the 2 preceding years by employees in the same or a related group as that member. This bill would also provide that a person who retires on or after January 1, 2012, may not perform services for any employer covered by a state or local retirement system until that person has been separated from service for a period of at least 180 days. This bill would provide for the implementation of the changes under the applicable retirement laws that apply to counties and cities.

This bill includes legislative findings expressing the public purpose that would be served by the enactment of this bill.

(2)This bill would, except as otherwise specified, provide that its provisions would become operative on July 1, 2011. This bill would further provide that its provisions would not become operative unless SB 1425 of the 2009–10 Regular Session is also enacted and takes effect on or before January 1, 2011. Hide
Learn More
At LegInfo.ca.gov
Title
An Act to Amend Sections 31460 and 31461 Of, to Add Sections 7500.5, 31460.2, 31461.8, 31539.5, 31540, 31541, 31569, 31680.10, 45309.6, 45309.7, 50871.6, and 50871.7 To, and to Repeal and Add Section 31539 Of, the Government Code, Relating to Public Retirement Systems.
Author(s)
Fiona Ma
Co-Authors
Subjects
  • Public retirement: final compensation: computation: retirees
Major Actions
Introduced2/17/2010
Referred to Committee
Passed Assembly Committee on Public Employees, Retirement and Social Security4/21/2010
Passed Assembly Committee on Appropriations5/12/2010
Passed Assembly6/03/2010
Passed Senate Committee on Public Employment and Retirement6/23/2010
Passed Senate Committee on Appropriations8/02/2010
Passed Senate Committee on Appropriations8/12/2010
Passed Senate8/30/2010
Passed Assembly8/31/2010
Presented to the governor (enrolled)9/15/2010
Vetoed by Governor9/30/2010
Vetoed by Governor9/30/2010
Bill History
Chamber/CommitteeMotionDateResult
select this voteAssembly Committee on Public Employees, Retirement and Social SecurityDo pass and be re-referred to the Committee on Appropriations.4/21/2010This motion PASSED the Assembly Committee on Public Employees, Retirement and Social Security
6 voted YES 0 voted NO 0 voted present/not voting
select this voteAssembly Committee on AppropriationsDo pass.5/12/2010This motion PASSED the Assembly Committee on Appropriations
15 voted YES 0 voted NO 2 voted present/not voting
select this voteAssemblyAB 1987 MA Assembly Third Reading6/03/2010This bill PASSED the Assembly
75 voted YES 0 voted NO 4 voted present/not voting
select this voteSenate Committee on Public Employment and RetirementDo pass, but re-refer to the Committee on Appropriations.6/23/2010This motion PASSED the Senate Committee on Public Employment and Retirement
5 voted YES 0 voted NO 1 voted present/not voting
select this voteSenate Committee on AppropriationsPlaced on Appropriations Suspense file.8/02/2010This motion PASSED the Senate Committee on Appropriations
10 voted YES 0 voted NO 1 voted present/not voting
select this voteSenate Committee on AppropriationsDo pass as amended.8/12/2010This motion PASSED the Senate Committee on Appropriations
11 voted YES 0 voted NO 0 voted present/not voting
select this voteSenateW/O REF. TO FILE AB1987 Ma8/30/2010This bill PASSED the Senate
28 voted YES 1 voted NO 10 voted present/not voting
currently selectedAssemblyAB 1987 Ma Concurrence in Senate Amendments8/31/2010This bill PASSED the Assembly
77 voted YES 0 voted NO 1 voted present/not voting
ActionDateDescription
Introduced2/17/2010
2/17/2010Read first time. To print.
2/18/2010From printer. May be heard in committee March 20.
3/04/2010Referred to Com. on P.E.,R. & S.S.
4/15/2010From committee chair, with author's amendments: Amend, and re-refer to Com. on P.E.,R. & S.S. Read second time and amended.
4/19/2010Re-referred to Com. on P.E.,R. & S.S.
select this voteVote4/21/2010Do pass and be re-referred to the Committee on Appropriations.
4/21/2010From committee: Do pass, and re-refer to Com. on APPR. Re-referred. (Ayes 6. Noes 0.) (April 21).
4/29/2010From committee chair, with author's amendments: Amend, and re-refer to Com. on APPR. Read second time and amended.
5/03/2010Re-referred to Com. on APPR.
select this voteVote5/12/2010Do pass.
5/13/2010From committee: Do pass. (Ayes 15. Noes 0.) (May 12).
5/17/2010Read second time. To third reading.
6/01/2010Read third time, amended, and returned to third reading. (Page 5418.).
6/03/2010Read third time, passed, and to Senate. (Ayes 75. Noes 0. Page 5555.)
select this voteAssembly Vote on Passage6/03/2010AB 1987 MA Assembly Third Reading
6/07/2010In Senate. Read first time. To Com. on RLS. for assignment.
6/10/2010Referred to Com. on P.E. & R.
select this voteVote6/23/2010Do pass, but re-refer to the Committee on Appropriations.
6/24/2010From committee: Do pass, and re-refer to Com. on APPR. Re-referred. (Ayes 5. Noes 0.) (June 23).
8/02/2010In committee: Set, first hearing. Referred to APPR suspense file. From committee chair, with author's amendments: Amend, and re-refer to committee. Read second time, amended, and re-referred to Com. on APPR.
select this voteVote8/02/2010Placed on Appropriations Suspense file.
select this voteVote8/12/2010Do pass as amended.
8/16/2010From committee: Amend, and do pass as amended. (Ayes 11. Noes 0.) (August 12).
8/17/2010Read second time and amended. Ordered to third reading.
8/23/2010Re-referred to Com. on RLS. by unanimous consent. Senate Rule 29.3(b) suspended. From committee chair, with author's amendments: Amend, and re-refer to committee. Read second time, amended, and re-referred to Com. on RLS.
8/27/2010Senate Rule 29.3(b) suspended. (Ayes 21. Noes 11. Page 4960.) From committee chair, with author's amendments: Amend, and re-refer to committee. Read second time, amended, and re-referred to Com. on RLS.
8/30/2010Withdrawn from committee. Ordered to third reading. Read third time, passed, and to Assembly. (Ayes 28. Noes 1. Page 5015.)
select this voteSenate Vote on Passage8/30/2010W/O REF. TO FILE AB1987 Ma
8/31/2010In Assembly. Concurrence in Senate amendments pending. Senate amendments concurred in. To enrollment. (Ayes 77. Noes 0. Page 6923.)
currently selectedAssembly Vote on Passage8/31/2010AB 1987 Ma Concurrence in Senate Amendments
9/15/2010Enrolled and to the Governor at 4:45 p.m.
Vetoed9/30/2010Vetoed by Governor.

Total contributions given to Assemblymembers from interest groups that…

23% more
$836,389
$1,512,366
$2,348,755
$61,344
$1,716,236
$75,046
$55,200
$1,907,826
2 Organizations Supported and 4 Opposed; See Which Ones

Organizations that took a position on
An Act to Amend Sections 31460 and 31461 Of, to Add Sections 7500.5, 31460.2, 31461.8, 31539.5, 31540, 31541, 31569, 31680.10, 45309.6, 45309.7, 50871.6, and 50871.7 To, and to Repeal and Add Section 31539 Of, the Government Code, Relating to Public Retirement Systems.: AB 1987 Ma Concurrence in Senate Amendments

2 organizations supported this bill

American Federation of Teachers
Senate Rules Committee (2010, August 30). Bill Analysis AB 1987 8-30-2010. Retrieved September 9, 2010, from Leg Info.
San Bernardino Public Employees Association
Senate Rules Committee (2010, August 30). Bill Analysis AB 1987 8-30-2010. Retrieved September 9, 2010, from Leg Info.

4 organizations opposed this bill

California Association of School Business Officials
Senate Rules Committee (2010, August 30). Bill Analysis AB 1987 8-30-2010. Retrieved September 9, 2010, from Leg Info.
California Peace Officers' Association
Senate Rules Committee (2010, August 30). Bill Analysis AB 1987 8-30-2010. Retrieved September 9, 2010, from Leg Info.
California State Association of Counties
Senate Rules Committee (2010, August 30). Bill Analysis AB 1987 8-30-2010. Retrieved September 9, 2010, from Leg Info.
Olivenhain Municipal Water District
Senate Rules Committee (2010, August 30). Bill Analysis AB 1987 8-30-2010. Retrieved September 9, 2010, from Leg Info.

Need proof?

View citations of support and opposition

Includes reported contributions to campaigns of Assemblymembers in office on day of vote, from interest groups invested in the vote according to MapLight, January 1, 2009 – December 31, 2010.
Contributions data source: FollowTheMoney.org

Contributions by Legislator

NamePartyDistrictsort icon$ From Interest Groups
That Supported
$ From Interest Groups
That Opposed
Vote
Wesley ChesbroDCA-1$46,700$15,485Yes
Jim NielsenRCA-2$8,400$54,200Yes
Dan LogueRCA-3$0$6,200Yes
Ted GainesRCA-4$0$4,775Yes
Roger NielloRCA-5$2,000$19,450Yes
Jared HuffmanDCA-6$16,300$24,248Yes
Noreen EvansDCA-7$41,820$30,399Yes
Mariko YamadaDCA-8$30,800$11,903Yes
Dave JonesDCA-9$240,491$91,492Yes
Alyson HuberDCA-10$64,952$34,899Yes
Tom TorlaksonDCA-11$256,800$87,950Yes
Fiona MaDCA-12$28,900$34,000Yes
Tom AmmianoDCA-13$31,750$14,156Yes
Nancy SkinnerDCA-14$40,900$32,005Yes
Joan BuchananDCA-15$72,234$21,326Yes
Sandre SwansonDCA-16$131,628$48,600Yes
Cathleen GalgianiDCA-17$14,300$24,307Yes
Mary HayashiDCA-18$26,000$53,396Yes
Jerry HillDCA-19$29,700$19,100Yes
Alberto TorricoDCA-20$21,005$112,507Yes
Ira RuskinDCA-21$0$0Yes
Paul FongDCA-22$12,550$19,845Yes
Joe CotoDCA-23$0$0Yes
Jim BeallDCA-24$33,100$12,754Yes
Tom BerryhillRCA-25$0$33,150Yes
Bill BerryhillRCA-26$2,000$12,900Yes
Bill MonningDCA-27$25,300$17,600Yes
Anna CaballeroDCA-28$63,400$31,018Yes
Mike VillinesRCA-29$2,000$14,200Yes
Danny GilmoreRCA-30$0$0Yes
Juan ArambulaICA-31$0$0Yes
Jean FullerRCA-32$1,000$11,500Yes
Connie ConwayRCA-34$5,900$19,500Yes
Pedro NavaDCA-35$3,000$23,876Yes
Steve KnightRCA-36$0$10,190Yes
Audra StricklandRCA-37$0$0Yes
Cameron SmythRCA-38$0$21,900Yes
Felipe FuentesDCA-39$24,100$22,000Yes
Bob BlumenfieldDCA-40$40,800$20,549Yes
Julia BrownleyDCA-41$37,600$23,050Yes
Mike FeuerDCA-42$17,500$24,250Yes
Mike GattoDCA-43$38,300$24,500Yes
Anthony PortantinoDCA-44$53,200$39,700Yes
Kevin De LeonDCA-45$66,299$28,050Yes
John PerezDCA-46$75,200$60,773Yes
Karen BassDCA-47$15,250$16,100Yes
Mike DavisDCA-48$6,100$6,850Yes
Mike EngDCA-49$36,100$22,180Yes
Hector De La TorreDCA-50$31,800$32,600Yes
Steven BradfordDCA-51$34,050$11,656Yes
Isadore HallDCA-52$16,100$20,950Yes
Ted LieuDCA-53$33,400$56,048Yes
Bonnie LowenthalDCA-54$37,541$33,712Yes
Warren FurutaniDCA-55$108,165$29,475Yes
Tony MendozaDCA-56$74,455$33,986Yes
Ed HernandezDCA-57$40,879$38,423Yes
Charles CalderonDCA-58$11,900$13,400Yes
Anthony AdamsRCA-59$0$0Yes
Curt HagmanRCA-60$1,500$30,850Yes
Norma TorresDCA-61$44,100$38,925Yes
Wilmer Amina CarterDCA-62$21,144$7,430Yes
Brian NestandeRCA-64$0$3,950Yes
Paul CookRCA-65$2,000$58,850Yes
Kevin JeffriesRCA-66$3,000$12,300Yes
Jim SilvaRCA-67$1,000$21,150Yes
Van TranRCA-68$0$0Yes
Jose SolorioDCA-69$23,400$46,250Yes
Chuck DeVoreRCA-70$0$0Yes
Jeff MillerRCA-71$0$19,100Yes
Chris NorbyRCA-72$0$2,000Not Voting
Diane HarkeyRCA-73$0$11,450Yes
Martin GarrickRCA-74$3,750$21,750Yes
Nathan FletcherRCA-75$9,050$20,950Yes
Lori SaldanaDCA-76$0$0Yes
Joel AndersonRCA-77$6,625$20,350Yes
Marty BlockDCA-78$90,750$21,072Yes
Mary SalasDCA-79$38,972$21,976Yes
Manuel PerezDCA-80$51,795$22,390Yes

Add Data Filters:

Legislator Filters
Legislator Filters
Show All
NamePartyDistrict$ From Interest Groups
That Supported
$ From Interest Groups
That Opposed
Vote
Anthony AdamsRCA-59$0$0Yes
Tom AmmianoDCA-13$31,750$14,156Yes
Joel AndersonRCA-77$6,625$20,350Yes
Juan ArambulaICA-31$0$0Yes
Karen BassDCA-47$15,250$16,100Yes
Jim BeallDCA-24$33,100$12,754Yes
Bill BerryhillRCA-26$2,000$12,900Yes
Tom BerryhillRCA-25$0$33,150Yes
Marty BlockDCA-78$90,750$21,072Yes
Bob BlumenfieldDCA-40$40,800$20,549Yes
Steven BradfordDCA-51$34,050$11,656Yes
Julia BrownleyDCA-41$37,600$23,050Yes
Joan BuchananDCA-15$72,234$21,326Yes
Anna CaballeroDCA-28$63,400$31,018Yes
Charles CalderonDCA-58$11,900$13,400Yes
Wilmer Amina CarterDCA-62$21,144$7,430Yes
Wesley ChesbroDCA-1$46,700$15,485Yes
Connie ConwayRCA-34$5,900$19,500Yes
Paul CookRCA-65$2,000$58,850Yes
Joe CotoDCA-23$0$0Yes
Mike DavisDCA-48$6,100$6,850Yes
Hector De La TorreDCA-50$31,800$32,600Yes
Kevin De LeonDCA-45$66,299$28,050Yes
Chuck DeVoreRCA-70$0$0Yes
Mike EngDCA-49$36,100$22,180Yes
Noreen EvansDCA-7$41,820$30,399Yes
Mike FeuerDCA-42$17,500$24,250Yes
Nathan FletcherRCA-75$9,050$20,950Yes
Paul FongDCA-22$12,550$19,845Yes
Felipe FuentesDCA-39$24,100$22,000Yes
Jean FullerRCA-32$1,000$11,500Yes
Warren FurutaniDCA-55$108,165$29,475Yes
Ted GainesRCA-4$0$4,775Yes
Cathleen GalgianiDCA-17$14,300$24,307Yes
Martin GarrickRCA-74$3,750$21,750Yes
Mike GattoDCA-43$38,300$24,500Yes
Danny GilmoreRCA-30$0$0Yes
Curt HagmanRCA-60$1,500$30,850Yes
Isadore HallDCA-52$16,100$20,950Yes
Diane HarkeyRCA-73$0$11,450Yes
Mary HayashiDCA-18$26,000$53,396Yes
Ed HernandezDCA-57$40,879$38,423Yes
Jerry HillDCA-19$29,700$19,100Yes
Alyson HuberDCA-10$64,952$34,899Yes
Jared HuffmanDCA-6$16,300$24,248Yes
Kevin JeffriesRCA-66$3,000$12,300Yes
Dave JonesDCA-9$240,491$91,492Yes
Steve KnightRCA-36$0$10,190Yes
Ted LieuDCA-53$33,400$56,048Yes
Dan LogueRCA-3$0$6,200Yes
Bonnie LowenthalDCA-54$37,541$33,712Yes
Fiona MaDCA-12$28,900$34,000Yes
Tony MendozaDCA-56$74,455$33,986Yes
Jeff MillerRCA-71$0$19,100Yes
Bill MonningDCA-27$25,300$17,600Yes
Pedro NavaDCA-35$3,000$23,876Yes
Brian NestandeRCA-64$0$3,950Yes
Roger NielloRCA-5$2,000$19,450Yes
Jim NielsenRCA-2$8,400$54,200Yes
Chris NorbyRCA-72$0$2,000Not Voting
John PerezDCA-46$75,200$60,773Yes
Manuel PerezDCA-80$51,795$22,390Yes
Anthony PortantinoDCA-44$53,200$39,700Yes
Ira RuskinDCA-21$0$0Yes
Mary SalasDCA-79$38,972$21,976Yes
Lori SaldanaDCA-76$0$0Yes
Jim SilvaRCA-67$1,000$21,150Yes
Nancy SkinnerDCA-14$40,900$32,005Yes
Cameron SmythRCA-38$0$21,900Yes
Jose SolorioDCA-69$23,400$46,250Yes
Audra StricklandRCA-37$0$0Yes
Sandre SwansonDCA-16$131,628$48,600Yes
Tom TorlaksonDCA-11$256,800$87,950Yes
Norma TorresDCA-61$44,100$38,925Yes
Alberto TorricoDCA-20$21,005$112,507Yes
Van TranRCA-68$0$0Yes
Mike VillinesRCA-29$2,000$14,200Yes
Mariko YamadaDCA-8$30,800$11,903Yes

Interest Groups that supported this bill

$ Donated
State & local government employee unions$1,512,366
Teachers unions$836,389

Interest Groups that opposed this bill

$ Donated
Police & fire fighters unions and associations$1,716,236
Water utilities$75,046
Civil servant/public employee$61,344
Municipal & county government organizations$55,200
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