Individual legislator voting records for this vote are not currently available. Includes all politicians who were in office at any point during the 2011-2012 Legislature.

AB 340 - An Act to Amend Sections 24214 and 24214.5 Of, and to Add Sections 22119.3, 22164.5, 24202.6, 24202.7, and 24202.8 To, the Education Code, to Amend Sections 9355.4, 9355.41, 9355.45, 20281.5, 20516, 21076, and 31461 Of, to Amend and Renumber Section 1243 Of, to Add Sections 20516.5, 20677.96, 20683.2, 20791, 21076.5, 31542, 31542.5, 31543, 31631, and 31631.5 To, to Add Article 4 (Commencing with Section 7522) to Chapter 21 of Division 7 of Title 1 Of, to Add a Heading to Article 1 (Commencing with Section 7500), to Add a Heading to Article 2 (Commencing with Section 7515), and to Add a Heading to Article 3 (Commencing with Section 7520) of Chapter 21 of Division 7 of Title 1 Of, to Add and Repeal Sections 7522.66 and 21400 Of, and to Repeal the Headings of Chapter 21.4 (Commencing with Section 7515) and Chapter 21.5 (Commencing with Section 7520) of Division 7 of Title 1 Of, the Government Code, Relating to Public Employees’ Retirement, and Making an Appropriation Therefor.

Public employees’ retirement. 2011-2012 Legislature. View bill details
Author(s):
Summary:
(1)The Public Employees’ Retirement Law (PERL) establishes the Public Employees’ Retirement System (PERS) and the Teachers’ Retirement Law establishes the State Teachers’ Retirement System (STRS) for the purpose of providing pension benefits to specified public employees. Existing law also establishes the Judges’ Retirement System II which provides pension benefits to elected judges and… More
(1)The Public Employees’ Retirement Law (PERL) establishes the Public Employees’ Retirement System (PERS) and the Teachers’ Retirement Law establishes the State Teachers’ Retirement System (STRS) for the purpose of providing pension benefits to specified public employees. Existing law also establishes the Judges’ Retirement System II which provides pension benefits to elected judges and the Legislators’ Retirement System which provides pension benefits to elective officers of the state other than judges and to legislative statutory officers. The County Employees Retirement Law of 1937 authorizes counties to establish retirement systems pursuant to its provisions in order to provide pension benefits to county, city, and district employees.

This bill would require a public retirement system, as defined, to modify its plan or plans to comply with this act. The bill would establish new retirement formulas that could not be exceeded by a public employer offering a defined benefit pension plan, setting the maximum benefit allowable for employees first hired on or after January 1, 2013, as a formula commonly known as 2.5% at age 67 for nonsafety members, one of 3 formulas for safety members, 2% at age 57, 2.5% at age 57, or 2.7% at age 57, and 1.25% at age 67 for new state miscellaneous or industrial members who elect to be in Tier 2. The amount of pensionable compensation upon which a defined benefit for new members, as defined, could be based would be limited to an amount determined under a specified provision of federal law for an employee whose service is included in the federal system, which is $110,100 for 2012, and 120% of that amount for an employee whose service is not included in the federal system. Those amounts would be adjusted annually, as specified. The bill would authorize an employer to contribute to a defined contribution plan, as specified.

The bill would prohibit a public employer from making contributions on behalf of a person who first becomes a member on or after January 1, 2013, to any qualified retirement plan based on any portion of compensation that exceeds an amount specified in federal law, which is $250,000 for 2012. The bill would also prohibit, for the purposes of determining a retirement benefit paid to a new member of a public retirement system, the maximum salary, compensation, or payrate taken into account under the retirement plan for any year from exceeding the amount specified in that federal provision, and would prohibit a public employer from seeking an exception to that prohibition.

The bill would prohibit a public employer from offering a plan of replacement benefits for a person who is first hired on or after January 1, 2013, and any survivors or beneficiaries whose retirement benefits are limited by a specified provision of federal law.

The bill would prohibit a public employer from providing a retirement health benefit vesting schedule or other specified retirement benefits to a manager or an employee or officer who is excluded from collective bargaining that is more advantageous than that provided generally to other public employees of the same employer who are in related membership classifications.

Under existing law, state miscellaneous and industrial employees first hired on or after August 11, 2004, who qualify for membership in PERS do not make contributions to the system or receive service credit for their service and the state employer does not make contributions on their behalf during their first 24 months of employment. These members are instead required to contribute into a tax-deferred savings account, commonly known as the alternate retirement program.

This bill would end that program and instead provide that new members immediately make their contributions to the system.

(2)Existing law defines final compensation for various employment classifications in connection with the benefits provided by the retirement systems.

This bill, for the purposes of determining a retirement benefit paid to a person who first becomes a member of a public retirement system on or after January 1, 2013, would require that final compensation mean the member’s highest average annual pensionable compensation earned, as defined, during a period of at least 36 consecutive months, or at least 3 school years, as specified.

(3)Existing state and local public employee retirement systems are funded by investment returns and employer and employee contributions. The California Constitution provides that the retirement board of a public pension or retirement system has the exclusive power to provide for actuarial services in order to ensure the competency of the assets of the system. Existing law, with respect to PERS, requires the Governor to include in the annual Budget Act the contribution rates submitted by the system actuary of the liability on account of employees of the state.

This bill would require public employees who are first employed on and after January 1, 2013, and who contribute to a defined benefit plan to contribute at least 12 of the annual actuarially determined normal costs, and would prohibit a public employer from contributing in any fiscal year, in combination with employee contributions, less than the plan normal cost, except as specified. The bill would authorize employee contributions to be more than 12 of the normal costs if agreed to through collective bargaining, but would prohibit the employer from using impasse procedures to increase an employee rate. The bill would also state that equal sharing of the normal cost between the employer and employees shall be the standard and would prescribe specified increases in employee contribution rates for existing employees. By increasing the contribution to continuously appropriated funds, this bill would make an appropriation.

(4)The Teachers’ Retirement Law establishes the Defined Benefit Program of STRS, which provides a defined benefit to members of the system based on final compensation, credited service, and age at retirement, subject to certain variations. The Teachers’ Retirement Law also establishes the Defined Benefit Supplement Program, which provides supplemental retirement, disability, and other benefits, payable either in a lump-sum payment or an annuity, or both, to members of the State Teachers’ Retirement Plan. The Teachers’ Retirement Law defines creditable compensation for these purposes as remuneration that is payable in cash to all persons in the same class of employees, as specified, for performing creditable service.

This bill would revise the definition of creditable compensation for these purposes and would identify certain payments, reimbursements, and compensation that are creditable compensation to be applied to the Defined Benefit Supplement Program. The bill would prohibit an employer from offering a supplemental defined benefit plan unless it offered one before January 1, 2013.

The bill would establish a retirement formula of 2.4% at age 65 and set a minimum retirement age of 55 for a member of STRS who is hired on or after January 1, 2013. The bill would state the intent of the Legislature that STRS propose statutory changes to fully effectuate those changes by June 30, 2013.

(5)Existing law permits members of PERS, STRS, and county, city, and district retirement systems that have adopted specified provisions, to purchase up to 5 years of nonqualified service credit by making specified contributions to the system.

This bill, on and after January 1, 2013, would prohibit a public retirement system from allowing the purchase of nonqualified service credit, as described above, except as specified.

Under existing law, retirement benefits may be increased retroactively or prospectively.

This bill would provide that any enhancement to a public retirement system’s retirement formula or benefit that is adopted on or after January 1, 2013, would apply only to service performed on or after the operative date of the enhancement. The bill would also provide that, if a change to a member’s classification or employment results in an increase in the retirement formula or benefit applicable to that member, the increase would apply only to service performed on or after the operative date of the change. The bill would also, until January 1, 2018, specify the benefit amount for industrial disability retirement.

(6)Existing law requires the final compensation of a local member for the purpose of determining any pension or benefit resulting from state service as an elective or appointed officer on a city council or a county board of supervisors accrued while in membership, to be based on the highest average annual compensation earnable by the member during the period of state service in each elective or appointed office.

This bill, for the purpose of determining any pension or benefit resulting from the local service, would require final compensation to be based on the highest average annual pensionable compensation earned.

(7)Existing law provides that any elected public officer who takes public office, or is reelected to public office, on or after January 1, 2006, who is convicted of any specified felony arising directly out of his or her official duties, forfeits all rights and benefits accrued on and after January 1, 2006, under, and membership in, any public retirement system in which he or she is a member, effective on the date of final conviction, as specified.

This bill would instead require that a public employee, including one who is elected or appointed to a public office, who is convicted of any state or federal felony for conduct arising out of, or in the performance of, his or her official duties in pursuit of the office or appointment, or in connection with obtaining salary, disability retirement, service retirement, or other benefits, forfeit retirement benefits earned or accrued from the earliest date of the commission of the felony to the forfeiture date, as specified. The bill would also require any contributions to the public retirement system made by the public employee on or after the earliest date of commission of the felony to be returned, without interest, to the public employee upon the occurrence of a distribution event, as defined, unless otherwise ordered by a court or determined by the pension administrator. The bill would also make related, conforming changes.

(8)PERL establishes the circumstances in which a retired person may serve without reinstatement from retirement or loss or interruption of benefits, including as a member of a board, commission, or advisory committee, upon appointment by certain state officials, by the director of a state department, or by the governing board of a contracting agency. Existing law generally prohibits any person who has been retired from being employed in any capacity with the same public employer unless he or she is first reinstated from retirement, except as authorized.

This bill would authorize a retired person, who is first appointed on or after January 1, 2013, to a part-time or nonsalaried position on a state board or commission, to serve without reinstatement, as specified. The bill would prohibit a retired person who retires from a public employer from serving, being employed by, or being employed through a contract directly by a public employer in the same retirement system from which the retiree receives a pension benefit without reinstatement, except as specified.

(9)The Teachers’ Retirement Law limits the amount of compensation for certain creditable service activities by a retired member to be $22,000 adjusted by the percentage change in the average compensation earnable by active members of the Defined Benefit Program, from the 1998–99 fiscal year to the fiscal year ending in the previous calendar year.

The bill would change that limit in the Teachers’ Retirement Law to be 12 of the median final compensation of all members who retired for service during the fiscal year ending in the previous calendar year and would define those activities as retired member activities.

(10)The Legislators’ Retirement Law (LRL) provides pension benefits based in part upon credited service. The LRL also authorizes the Insurance Commissioner and every legislative statutory officer and every elective officer of the state whose office is provided for by the California Constitution, except judges, to become a member of the Legislators’ Retirement System (LRS). PERL authorizes legislative statutory officers and elective officers, as defined, to elect to become members of PERS.

This bill would prohibit anyone who first becomes, on or after January 1, 2013, the Insurance Commissioner, a legislative statutory officer, or an elective officer of the state whose office is provided for by the California Constitution from becoming a member of the LRS but would continue to provide optional membership in PERS.

(11)Existing law authorizes any public agency to participate in, and make its employees members of, PERS by contract. In the case of an employee who has been employed by one or more contracting public agencies, retirement benefits distributed to that employee are based on the highest final compensation under any system, and each system makes a separate retirement payment to the employee based upon the number of years that the employee worked for each of those agencies.

The bill would require the Board of Administration of PERS to implement program changes to ensure that a contracting agency that creates a significant increase in actuarial liability bears the associated liability. The bill would require the system actuary to assess an increase in liability in this regard to the employer that created it at the time the increase is determined and to make adjustments to that employer’s rates to account for the increased liability. The bill would apply these requirements to any significant increase in actuarial liability due to increased compensation paid to a nonrepresented employee regardless of when the increase in compensation occurred.

(12)The County Employees Retirement Law of 1937 (CERL) authorizes counties and districts, as defined, to provide a system of retirement benefits to their employees. CERL defines compensation earnable for the purpose of calculating benefits as the average compensation for the period under consideration with respect to the average number of days ordinarily worked by persons in the same grade or class of positions during the period, and at the same rate of pay, as determined by the retirement board.

This bill would prohibit a variety of payments, including unscheduled overtime, payments for unused vacation, sick leave, or compensatory time off, exceeding what may be earned and payable in each 12-month period during the final average salary period, and specified payments made at the termination of employment from being included in compensation earnable. The bill would require the board to establish a procedure for assessing and determining whether an element of compensation was paid to enhance a member’s retirement benefit and would prohibit that compensation from being included in compensation earnable.

The bill would require the board to provide notice to the member and employer upon a final determination that compensation was paid to enhance a member’s retirement benefit. The bill would authorize the member or employer to obtain judicial review of the board’s action by filing a petition for writ of mandate, as specified.

The bill would authorize the board to assess a county or district a reasonable amount to cover the cost of audit, adjustment, or correction, if it determines that a county or district knowingly failed to comply with specified reporting requirements. Hide
 
Status:
The bill has become law (chaptered). 

An Act to Amend Sections 24214 and 24214.5 Of, and to Add Sections 22119.3, 22164.5, 24202.6, 24202.7, and 24202.8 To, the Education Code, to Amend Sections 9355.4, 9355.41, 9355.45, 20281.5, 20516, 21076, and 31461 Of, to Amend and Renumber Section 1243 Of, to Add Sections 20516.5, 20677.96, 20683.2, 20791, 21076.5, 31542, 31542.5, 31543, 31631, and 31631.5 To, to Add Article 4 (Commencing with Section 7522) to Chapter 21 of Division 7 of Title 1 Of, to Add a Heading to Article 1 (Commencing with Section 7500), to Add a Heading to Article 2 (Commencing with Section 7515), and to Add a Heading to Article 3 (Commencing with Section 7520) of Chapter 21 of Division 7 of Title 1 Of, to Add and Repeal Sections 7522.66 and 21400 Of, and to Repeal the Headings of Chapter 21.4 (Commencing with Section 7515) and Chapter 21.5 (Commencing with Section 7520) of Division 7 of Title 1 Of, the Government Code, Relating to Public Employees’ Retirement, and Making an Appropriation Therefor.

AB 340 — 2011-2012 Legislature

Summary
(1)The Public Employees’ Retirement Law (PERL) establishes the Public Employees’ Retirement System (PERS) and the Teachers’ Retirement Law establishes the State Teachers’ Retirement System (STRS) for the purpose of providing pension benefits to specified public employees. Existing law also establishes the Judges’ Retirement System II which provides pension benefits to elected judges and the Legislators’ Retirement System which provides pension benefits to elective officers of the state other than judges and to legislative statutory officers. The County Employees Retirement Law of 1937 authorizes counties to establish retirement systems pursuant to its provisions in order to provide pension benefits to county, city, and district employees.

This bill would require a public retirement system, as defined, to modify its plan or plans to comply with this act. The bill would establish new retirement formulas that could not be exceeded by a public employer offering a defined benefit pension plan, setting the maximum benefit allowable for employees first hired on or after January 1, 2013, as a formula commonly known as 2.5% at age 67 for nonsafety members, one of 3… More
(1)The Public Employees’ Retirement Law (PERL) establishes the Public Employees’ Retirement System (PERS) and the Teachers’ Retirement Law establishes the State Teachers’ Retirement System (STRS) for the purpose of providing pension benefits to specified public employees. Existing law also establishes the Judges’ Retirement System II which provides pension benefits to elected judges and the Legislators’ Retirement System which provides pension benefits to elective officers of the state other than judges and to legislative statutory officers. The County Employees Retirement Law of 1937 authorizes counties to establish retirement systems pursuant to its provisions in order to provide pension benefits to county, city, and district employees.

This bill would require a public retirement system, as defined, to modify its plan or plans to comply with this act. The bill would establish new retirement formulas that could not be exceeded by a public employer offering a defined benefit pension plan, setting the maximum benefit allowable for employees first hired on or after January 1, 2013, as a formula commonly known as 2.5% at age 67 for nonsafety members, one of 3 formulas for safety members, 2% at age 57, 2.5% at age 57, or 2.7% at age 57, and 1.25% at age 67 for new state miscellaneous or industrial members who elect to be in Tier 2. The amount of pensionable compensation upon which a defined benefit for new members, as defined, could be based would be limited to an amount determined under a specified provision of federal law for an employee whose service is included in the federal system, which is $110,100 for 2012, and 120% of that amount for an employee whose service is not included in the federal system. Those amounts would be adjusted annually, as specified. The bill would authorize an employer to contribute to a defined contribution plan, as specified.

The bill would prohibit a public employer from making contributions on behalf of a person who first becomes a member on or after January 1, 2013, to any qualified retirement plan based on any portion of compensation that exceeds an amount specified in federal law, which is $250,000 for 2012. The bill would also prohibit, for the purposes of determining a retirement benefit paid to a new member of a public retirement system, the maximum salary, compensation, or payrate taken into account under the retirement plan for any year from exceeding the amount specified in that federal provision, and would prohibit a public employer from seeking an exception to that prohibition.

The bill would prohibit a public employer from offering a plan of replacement benefits for a person who is first hired on or after January 1, 2013, and any survivors or beneficiaries whose retirement benefits are limited by a specified provision of federal law.

The bill would prohibit a public employer from providing a retirement health benefit vesting schedule or other specified retirement benefits to a manager or an employee or officer who is excluded from collective bargaining that is more advantageous than that provided generally to other public employees of the same employer who are in related membership classifications.

Under existing law, state miscellaneous and industrial employees first hired on or after August 11, 2004, who qualify for membership in PERS do not make contributions to the system or receive service credit for their service and the state employer does not make contributions on their behalf during their first 24 months of employment. These members are instead required to contribute into a tax-deferred savings account, commonly known as the alternate retirement program.

This bill would end that program and instead provide that new members immediately make their contributions to the system.

(2)Existing law defines final compensation for various employment classifications in connection with the benefits provided by the retirement systems.

This bill, for the purposes of determining a retirement benefit paid to a person who first becomes a member of a public retirement system on or after January 1, 2013, would require that final compensation mean the member’s highest average annual pensionable compensation earned, as defined, during a period of at least 36 consecutive months, or at least 3 school years, as specified.

(3)Existing state and local public employee retirement systems are funded by investment returns and employer and employee contributions. The California Constitution provides that the retirement board of a public pension or retirement system has the exclusive power to provide for actuarial services in order to ensure the competency of the assets of the system. Existing law, with respect to PERS, requires the Governor to include in the annual Budget Act the contribution rates submitted by the system actuary of the liability on account of employees of the state.

This bill would require public employees who are first employed on and after January 1, 2013, and who contribute to a defined benefit plan to contribute at least 12 of the annual actuarially determined normal costs, and would prohibit a public employer from contributing in any fiscal year, in combination with employee contributions, less than the plan normal cost, except as specified. The bill would authorize employee contributions to be more than 12 of the normal costs if agreed to through collective bargaining, but would prohibit the employer from using impasse procedures to increase an employee rate. The bill would also state that equal sharing of the normal cost between the employer and employees shall be the standard and would prescribe specified increases in employee contribution rates for existing employees. By increasing the contribution to continuously appropriated funds, this bill would make an appropriation.

(4)The Teachers’ Retirement Law establishes the Defined Benefit Program of STRS, which provides a defined benefit to members of the system based on final compensation, credited service, and age at retirement, subject to certain variations. The Teachers’ Retirement Law also establishes the Defined Benefit Supplement Program, which provides supplemental retirement, disability, and other benefits, payable either in a lump-sum payment or an annuity, or both, to members of the State Teachers’ Retirement Plan. The Teachers’ Retirement Law defines creditable compensation for these purposes as remuneration that is payable in cash to all persons in the same class of employees, as specified, for performing creditable service.

This bill would revise the definition of creditable compensation for these purposes and would identify certain payments, reimbursements, and compensation that are creditable compensation to be applied to the Defined Benefit Supplement Program. The bill would prohibit an employer from offering a supplemental defined benefit plan unless it offered one before January 1, 2013.

The bill would establish a retirement formula of 2.4% at age 65 and set a minimum retirement age of 55 for a member of STRS who is hired on or after January 1, 2013. The bill would state the intent of the Legislature that STRS propose statutory changes to fully effectuate those changes by June 30, 2013.

(5)Existing law permits members of PERS, STRS, and county, city, and district retirement systems that have adopted specified provisions, to purchase up to 5 years of nonqualified service credit by making specified contributions to the system.

This bill, on and after January 1, 2013, would prohibit a public retirement system from allowing the purchase of nonqualified service credit, as described above, except as specified.

Under existing law, retirement benefits may be increased retroactively or prospectively.

This bill would provide that any enhancement to a public retirement system’s retirement formula or benefit that is adopted on or after January 1, 2013, would apply only to service performed on or after the operative date of the enhancement. The bill would also provide that, if a change to a member’s classification or employment results in an increase in the retirement formula or benefit applicable to that member, the increase would apply only to service performed on or after the operative date of the change. The bill would also, until January 1, 2018, specify the benefit amount for industrial disability retirement.

(6)Existing law requires the final compensation of a local member for the purpose of determining any pension or benefit resulting from state service as an elective or appointed officer on a city council or a county board of supervisors accrued while in membership, to be based on the highest average annual compensation earnable by the member during the period of state service in each elective or appointed office.

This bill, for the purpose of determining any pension or benefit resulting from the local service, would require final compensation to be based on the highest average annual pensionable compensation earned.

(7)Existing law provides that any elected public officer who takes public office, or is reelected to public office, on or after January 1, 2006, who is convicted of any specified felony arising directly out of his or her official duties, forfeits all rights and benefits accrued on and after January 1, 2006, under, and membership in, any public retirement system in which he or she is a member, effective on the date of final conviction, as specified.

This bill would instead require that a public employee, including one who is elected or appointed to a public office, who is convicted of any state or federal felony for conduct arising out of, or in the performance of, his or her official duties in pursuit of the office or appointment, or in connection with obtaining salary, disability retirement, service retirement, or other benefits, forfeit retirement benefits earned or accrued from the earliest date of the commission of the felony to the forfeiture date, as specified. The bill would also require any contributions to the public retirement system made by the public employee on or after the earliest date of commission of the felony to be returned, without interest, to the public employee upon the occurrence of a distribution event, as defined, unless otherwise ordered by a court or determined by the pension administrator. The bill would also make related, conforming changes.

(8)PERL establishes the circumstances in which a retired person may serve without reinstatement from retirement or loss or interruption of benefits, including as a member of a board, commission, or advisory committee, upon appointment by certain state officials, by the director of a state department, or by the governing board of a contracting agency. Existing law generally prohibits any person who has been retired from being employed in any capacity with the same public employer unless he or she is first reinstated from retirement, except as authorized.

This bill would authorize a retired person, who is first appointed on or after January 1, 2013, to a part-time or nonsalaried position on a state board or commission, to serve without reinstatement, as specified. The bill would prohibit a retired person who retires from a public employer from serving, being employed by, or being employed through a contract directly by a public employer in the same retirement system from which the retiree receives a pension benefit without reinstatement, except as specified.

(9)The Teachers’ Retirement Law limits the amount of compensation for certain creditable service activities by a retired member to be $22,000 adjusted by the percentage change in the average compensation earnable by active members of the Defined Benefit Program, from the 1998–99 fiscal year to the fiscal year ending in the previous calendar year.

The bill would change that limit in the Teachers’ Retirement Law to be 12 of the median final compensation of all members who retired for service during the fiscal year ending in the previous calendar year and would define those activities as retired member activities.

(10)The Legislators’ Retirement Law (LRL) provides pension benefits based in part upon credited service. The LRL also authorizes the Insurance Commissioner and every legislative statutory officer and every elective officer of the state whose office is provided for by the California Constitution, except judges, to become a member of the Legislators’ Retirement System (LRS). PERL authorizes legislative statutory officers and elective officers, as defined, to elect to become members of PERS.

This bill would prohibit anyone who first becomes, on or after January 1, 2013, the Insurance Commissioner, a legislative statutory officer, or an elective officer of the state whose office is provided for by the California Constitution from becoming a member of the LRS but would continue to provide optional membership in PERS.

(11)Existing law authorizes any public agency to participate in, and make its employees members of, PERS by contract. In the case of an employee who has been employed by one or more contracting public agencies, retirement benefits distributed to that employee are based on the highest final compensation under any system, and each system makes a separate retirement payment to the employee based upon the number of years that the employee worked for each of those agencies.

The bill would require the Board of Administration of PERS to implement program changes to ensure that a contracting agency that creates a significant increase in actuarial liability bears the associated liability. The bill would require the system actuary to assess an increase in liability in this regard to the employer that created it at the time the increase is determined and to make adjustments to that employer’s rates to account for the increased liability. The bill would apply these requirements to any significant increase in actuarial liability due to increased compensation paid to a nonrepresented employee regardless of when the increase in compensation occurred.

(12)The County Employees Retirement Law of 1937 (CERL) authorizes counties and districts, as defined, to provide a system of retirement benefits to their employees. CERL defines compensation earnable for the purpose of calculating benefits as the average compensation for the period under consideration with respect to the average number of days ordinarily worked by persons in the same grade or class of positions during the period, and at the same rate of pay, as determined by the retirement board.

This bill would prohibit a variety of payments, including unscheduled overtime, payments for unused vacation, sick leave, or compensatory time off, exceeding what may be earned and payable in each 12-month period during the final average salary period, and specified payments made at the termination of employment from being included in compensation earnable. The bill would require the board to establish a procedure for assessing and determining whether an element of compensation was paid to enhance a member’s retirement benefit and would prohibit that compensation from being included in compensation earnable.

The bill would require the board to provide notice to the member and employer upon a final determination that compensation was paid to enhance a member’s retirement benefit. The bill would authorize the member or employer to obtain judicial review of the board’s action by filing a petition for writ of mandate, as specified.

The bill would authorize the board to assess a county or district a reasonable amount to cover the cost of audit, adjustment, or correction, if it determines that a county or district knowingly failed to comply with specified reporting requirements. Hide
Learn More
At LegInfo.ca.gov
Title
An Act to Amend Sections 24214 and 24214.5 Of, and to Add Sections 22119.3, 22164.5, 24202.6, 24202.7, and 24202.8 To, the Education Code, to Amend Sections 9355.4, 9355.41, 9355.45, 20281.5, 20516, 21076, and 31461 Of, to Amend and Renumber Section 1243 Of, to Add Sections 20516.5, 20677.96, 20683.2, 20791, 21076.5, 31542, 31542.5, 31543, 31631, and 31631.5 To, to Add Article 4 (Commencing with Section 7522) to Chapter 21 of Division 7 of Title 1 Of, to Add a Heading to Article 1 (Commencing with Section 7500), to Add a Heading to Article 2 (Commencing with Section 7515), and to Add a Heading to Article 3 (Commencing with Section 7520) of Chapter 21 of Division 7 of Title 1 Of, to Add and Repeal Sections 7522.66 and 21400 Of, and to Repeal the Headings of Chapter 21.4 (Commencing with Section 7515) and Chapter 21.5 (Commencing with Section 7520) of Division 7 of Title 1 Of, the Government Code, Relating to Public Employees’ Retirement, and Making an Appropriation Therefor.
Author(s)
Warren Furutani
Co-Authors
Subjects
  • Public employees’ retirement
Major Actions
Introduced2/10/2011
Referred to Committee
Passed Assembly Committee on Public Employees, Retirement and Social Security5/04/2011
Passed Assembly5/12/2011
Passed Senate Committee on Public Employment and Retirement6/27/2011
Passed Senate7/11/2011
Passed Senate9/08/2011
Failed passage in Assembly9/09/2011
Passed Assembly8/31/2012
Passed Assembly8/31/2012
Passed Senate8/31/2012
Presented to the governor (enrolled)9/06/2012
Became law (chaptered).9/12/2012
Bill History
Chamber/CommitteeMotionDateResult
select this voteAssembly Committee on Public Employees, Retirement and Social SecurityDo pass.5/04/2011This motion PASSED the Assembly Committee on Public Employees, Retirement and Social Security
5 voted YES 0 voted NO 1 voted present/not voting
select this voteAssemblyAB 340 FURUTANI Assembly Third Reading5/12/2011This bill PASSED the Assembly
73 voted YES 0 voted NO 7 voted present/not voting
select this voteSenate Committee on Public Employment and RetirementDo pass.6/27/2011This motion PASSED the Senate Committee on Public Employment and Retirement
5 voted YES 0 voted NO 0 voted present/not voting
select this voteSenateAssembly 3rd Reading AB340 Furutani By Negrete McLeod7/11/2011This bill PASSED the Senate
35 voted YES 0 voted NO 5 voted present/not voting
select this voteSenateAssembly 3rd Supp 1 AB340 Furutani By Simitian9/08/2011This bill PASSED the Senate
25 voted YES 15 voted NO 0 voted present/not voting
currently selectedAssemblyAB 340 FURUTANI Concurrence in Senate Amendments9/09/2011This bill DID NOT PASS the Assembly
4 voted YES 75 voted NO 1 voted present/not voting
select this voteAssemblyAB 340 FURUTANI Conference Report Appeal the Decision of the Chair By DONNELLY8/31/2012This bill PASSED the Assembly
30 voted YES 46 voted NO 4 voted present/not voting
select this voteAssemblyAB 340 FURUTANI Conference Report8/31/2012This bill PASSED the Assembly
66 voted YES 9 voted NO 5 voted present/not voting
select this voteSenateConference Reports AB340 Furutani By Negrete McLeod8/31/2012This bill PASSED the Senate
38 voted YES 1 voted NO 1 voted present/not voting
ActionDateDescription
Introduced2/10/2011
2/10/2011Read first time. To print.
2/11/2011From printer. May be heard in committee March 13.
2/24/2011Referred to Com. on P.E., R. & S.S. From committee chair, with author's amendments: Amend, and re-refer to Com. on P.E., R. & S.S. Read second time and amended.
2/28/2011Re-referred to Com. on P.E., R. & S.S.
4/11/2011From committee chair, with author's amendments: Amend, and re-refer to Com. on P.E., R. & S.S. Read second time and amended.
4/12/2011Re-referred to Com. on P.E., R. & S.S.
4/14/2011From committee chair, with author's amendments: Amend, and re-refer to Com. on P.E., R. & S.S. Read second time and amended.
4/25/2011Re-referred to Com. on P.E., R. & S.S. From committee chair, with author's amendments: Amend, and re-refer to Com. on P.E., R. & S.S. Read second time and amended.
4/26/2011Re-referred to Com. on P.E., R. & S.S.
5/04/2011From committee: Do pass. (Ayes 5. Noes 0.) (May 4).
select this voteVote5/04/2011Do pass.
5/05/2011Read second time. Ordered to third reading.
5/12/2011Read third time. Passed. Ordered to the Senate. (Ayes 73. Noes 0. Page 1339.)
5/12/2011In Senate. Read first time. To Com. on RLS. for assignment.
select this voteAssembly Vote on Passage5/12/2011AB 340 FURUTANI Assembly Third Reading
5/26/2011Referred to Com. on P.E. & R.
6/22/2011From committee chair, with author's amendments: Amend, and re-refer to committee. Read second time, amended, and re-referred to Com. on P.E. & R.
select this voteVote6/27/2011Do pass.
6/28/2011From committee: Do pass. (Ayes 5. Noes 0.) (June 27).
6/29/2011Read second time. Ordered to third reading.
7/11/2011Read third time. Passed. Ordered to the Assembly. (Ayes 35. Noes 0. Page 1781.).
7/11/2011In Assembly. Concurrence in Senate amendments pending. May be considered on or after July 13 pursuant to Assembly Rule 77.
select this voteSenate Vote on Passage7/11/2011Assembly 3rd Reading AB340 Furutani By Negrete McLeod
9/01/2011Ordered to the Senate.
9/01/2011In Senate. Held at Desk.
9/02/2011Action rescinded whereby the bill was read third time, passed, and to Assembly. Read third time and amended. Ordered to second reading.
9/06/2011Read second time. Ordered to third reading. Re-referred to Com. on RLS.
9/07/2011From committee chair, with author's amendments: Amend, and re-refer to committee. Read second time, amended, and re-referred to Com. on RLS. Senate Rule 29.3(b) suspended. (Ayes 23. Noes 2. Page 2338.)
9/08/2011Withdrawn from committee. (Ayes 23. Noes 14. Page 2392.) Ordered to third reading. Read third time. Passed. Ordered to the Assembly. (Ayes 25. Noes 15. Page 2422.).
select this voteSenate Vote on Passage9/08/2011Assembly 3rd Supp 1 AB340 Furutani By Simitian
9/09/2011In Assembly. Concurrence in Senate amendments pending. Assembly refused to concur in Senate amendments. To Conference Committee. (Ayes 4. Noes 75. Page 3210.)
currently selectedAssembly Vote on Passage9/09/2011AB 340 FURUTANI Concurrence in Senate Amendments
10/11/2011Senators Negrete McLeod, Simitian, and Walters appointed to Conference Committee.
10/13/2011Assembly Members Allen, Furutani, and Silva appointed to Conference Committee.
8/28/2012From Conference Committee: Be adopted. Assembly (Ayes 2 (Allen and Furutani). Noes 0.). Senate (Ayes 2 (Negrete McLeod and Simitian. Noes 0.). To print.
8/29/2012From printer.
8/31/2012Assembly adopts Conference Committee report. (Ayes 66. Noes 9. Page 6733.).
8/31/2012Senate adopted Conference Committee report. (Ayes 38. Noes 1. Page 5073.)
8/31/2012Ordered to Engrossing and Enrolling.
select this voteAssembly Vote on Passage8/31/2012AB 340 FURUTANI Conference Report Appeal the Decision of the Chair By DONNELLY
select this voteAssembly Vote on Passage8/31/2012AB 340 FURUTANI Conference Report
select this voteSenate Vote on Passage8/31/2012Conference Reports AB340 Furutani By Negrete McLeod
9/06/2012Enrolled and presented to the Governor at 4:55 p.m.
9/12/2012Approved by the Governor.
9/12/2012Chaptered by Secretary of State - Chapter 296, Statutes of 2012.

Total contributions given to Assemblymembers from interest groups that…

16 Organizations Supported and 3 Opposed; See Which Ones

Organizations that took a position on
An Act to Amend Sections 24214 and 24214.5 Of, and to Add Sections 22119.3, 22164.5, 24202.6, 24202.7, and 24202.8 To, the Education Code, to Amend Sections 9355.4, 9355.41, 9355.45, 20281.5, 20516, 21076, and 31461 Of, to Amend and Renumber Section 1243 Of, to Add Sections 20516.5, 20677.96, 20683.2, 20791, 21076.5, 31542, 31542.5, 31543, 31631, and 31631.5 To, to Add Article 4 (Commencing with Section 7522) to Chapter 21 of Division 7 of Title 1 Of, to Add a Heading to Article 1 (Commencing with Section 7500), to Add a Heading to Article 2 (Commencing with Section 7515), and to Add a Heading to Article 3 (Commencing with Section 7520) of Chapter 21 of Division 7 of Title 1 Of, to Add and Repeal Sections 7522.66 and 21400 Of, and to Repeal the Headings of Chapter 21.4 (Commencing with Section 7515) and Chapter 21.5 (Commencing with Section 7520) of Division 7 of Title 1 Of, the Government Code, Relating to Public Employees’ Retirement, and Making an Appropriation Therefor.: AB 340 FURUTANI Concurrence in Senate Amendments

16 organizations supported this bill

American Federation of State, County and Municipal Employees
Senate Public Employment & Retirement Committee (2011, June 29). Senate Committee Analysis. Retrieved August 29, 2011, from Leg. Info.
Association for Los Angeles Deputy Sheriffs
Senate Public Employment & Retirement Committee (2011, June 29). Senate Committee Analysis. Retrieved August 29, 2011, from Leg. Info.
California Association of Psychiatric Technicians
Senate Public Employment & Retirement Committee (2011, June 29). Senate Committee Analysis. Retrieved August 29, 2011, from Leg. Info.
California School Employees Association
Senate Public Employment & Retirement Committee (2011, June 29). Senate Committee Analysis. Retrieved August 29, 2011, from Leg. Info.
Glendale City Employees Association
Senate Public Employment & Retirement Committee (2011, June 29). Senate Committee Analysis. Retrieved August 29, 2011, from Leg. Info.
International Association of Fire Fighters
Senate Public Employment & Retirement Committee (2011, June 29). Senate Committee Analysis. Retrieved August 29, 2011, from Leg. Info.
Los Angeles County Probation Officers Union AFSCME Local 685
Senate Rules Committee (2011, September 8). Senate Floor Analysis. Retrieved February 16, 2012, from Leginfo: Bill Analysis.
Organization of SMUD Employees
Senate Public Employment & Retirement Committee (2011, June 29). Senate Committee Analysis. Retrieved August 29, 2011, from Leg. Info.
Redondo Beach Chamber of Commerce and Visitors Bureau
Senate Rules Committee (2011, September 8). Senate Floor Analysis. Retrieved February 16, 2012, from Leginfo: Bill Analysis.
Retired Public Employees Association
Senate Public Employment & Retirement Committee (2011, June 29). Senate Committee Analysis. Retrieved August 29, 2011, from Leg. Info.
Riverside Sheriffs' Association
Senate Public Employment & Retirement Committee (2011, June 29). Senate Committee Analysis. Retrieved August 29, 2011, from Leg. Info.
San Bernardino Public Employees Association
Senate Public Employment & Retirement Committee (2011, June 29). Senate Committee Analysis. Retrieved August 29, 2011, from Leg. Info.
San Luis Obispo County Employees Association
Senate Public Employment & Retirement Committee (2011, June 29). Senate Committee Analysis. Retrieved August 29, 2011, from Leg. Info.
Santa Rosa City Employees Association
Senate Public Employment & Retirement Committee (2011, June 29). Senate Committee Analysis. Retrieved August 29, 2011, from Leg. Info.
Service Employees International Union
Senate Public Employment & Retirement Committee (2011, June 29). Senate Committee Analysis. Retrieved August 29, 2011, from Leg. Info.
South Bay Association of Chambers of Commerce
Senate Rules Committee (2011, September 8). Senate Floor Analysis. Retrieved February 16, 2012, from Leginfo: Bill Analysis.

3 organizations opposed this bill

Association of California Water Agencies
Senate Public Employment & Retirement Committee (2011, June 29). Senate Committee Analysis. Retrieved August 29, 2011, from Leg. Info.
California District Attorneys Association
Senate Public Employment & Retirement Committee (2011, June 29). Senate Committee Analysis. Retrieved August 29, 2011, from Leg. Info.
California State Association of Counties
Senate Public Employment & Retirement Committee (2011, June 29). Senate Committee Analysis. Retrieved August 29, 2011, from Leg. Info.

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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, 2011 – December 31, 2012.
Contributions data source: FollowTheMoney.org

Contributions by Legislator

Namesort iconPartyDistrict$ From Interest Groups
That Supported
$ From Interest Groups
That Opposed
Vote
Katcho AchadjianRCA-33$32,350$500
Luis AlejoDCA-28$45,200$5,448
Michael AllenDCA-7$164,510$5,900
Tom AmmianoDCA-13$21,724$0
Toni AtkinsDCA-76$40,550$8,200
Jim BeallDCA-24$122,644$100
Bill BerryhillRCA-26$19,770$4,000
Marty BlockDCA-78$121,450$2,750
Bob BlumenfieldDCA-40$64,300$2,700
Susan BonillaDCA-11$46,460$1,200
Steven BradfordDCA-51$40,200$6,000
Julia BrownleyDCA-41$0$0
Joan BuchananDCA-15$57,060$3,250
Betsy ButlerDCA-53$163,175$1,000
Charles CalderonDCA-58$0$0
Nora CamposDCA-23$50,051$2,000
Wilmer Amina CarterDCA-62$0$0
Gilbert CedilloDCA-45$0$0
Wesley ChesbroDCA-1$32,810$2,500
Connie ConwayRCA-34$34,700$4,100
Paul CookRCA-65$0$0
Mike DavisDCA-48$0$0
Roger DickinsonDCA-9$57,700$1,000
Tim DonnellyRCA-59$800$1,000
Mike EngDCA-49$0$0
Mike FeuerDCA-42$0$0
Nathan FletcherRCA-75$0$0
Paul FongDCA-22$59,422$200
Felipe FuentesDCA-39$0$0
Warren FurutaniDCA-55$0$0
Beth GainesRCA-4$10,500$3,750
Cathleen GalgianiDCA-17$131,580$4,200
Martin GarrickRCA-74$0$0
Mike GattoDCA-43$77,318$5,650
Rich GordonDCA-21$36,950$1,500
Jeff GorellRCA-37$35,800$1,500
Shannon GroveRCA-32$2,000$1,000
Curt HagmanRCA-60$36,800$1,500
Linda HaldermanRCA-29$0$0
Isadore HallDCA-52$46,000$1,300
Diane HarkeyRCA-73$20,200$6,000
Mary HayashiDCA-18$0$0
Roger HernandezDCA-57$39,200$3,500
Jerry HillDCA-19$73,400$860
Alyson HuberDCA-10$0$0
Ben HuesoDCA-79$47,400$150
Jared HuffmanDCA-6$0$0
Kevin JeffriesRCA-66$0$0
Brian JonesRCA-77$10,300$1,000
Steve KnightRCA-36$18,700$2,000
Ricardo LaraDCA-50$61,800$3,000
Dan LogueRCA-3$13,800$2,000
Bonnie LowenthalDCA-54$21,900$0
Fiona MaDCA-12$0$0
Allan MansoorRCA-68$2,250$3,000
Tony MendozaDCA-56$0$0
Jeff MillerRCA-71$16,500$7,150
Holly MitchellDCA-47$42,306$225
Bill MonningDCA-27$62,587$1,775
Mike MorrellRCA-63$16,774$500
Brian NestandeRCA-64$41,100$2,000
Jim NielsenRCA-2$5,500$1,500
Chris NorbyRCA-72$9,000$2,000
Kristin OlsenRCA-25$19,050$3,500
Richard PanDCA-5$104,892$1,000
Henry PereaDCA-31$35,200$5,000
John PerezDCA-46$170,700$9,400
Manuel PerezDCA-80$34,800$0
Anthony PortantinoDCA-44$0$0
Jim SilvaRCA-67$0$0
Nancy SkinnerDCA-14$50,655$2,250
Cameron SmythRCA-38$0$0
Jose SolorioDCA-69$0$0
Sandre SwansonDCA-16$0$0
Norma TorresDCA-61$40,753$0
David ValadaoRCA-30$0$0
Don WagnerRCA-70$8,800$2,500
Bob WieckowskiDCA-20$64,650$400
Das WilliamsDCA-35$103,572$0
Mariko YamadaDCA-8$29,553$400

Add Data Filters:

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NamePartyDistrict$ From Interest Groups
That Supported
$ From Interest Groups
That Opposed
Vote
Katcho AchadjianRCA-33$32,350$500
Luis AlejoDCA-28$45,200$5,448
Michael AllenDCA-7$164,510$5,900
Tom AmmianoDCA-13$21,724$0
Toni AtkinsDCA-76$40,550$8,200
Jim BeallDCA-24$122,644$100
Bill BerryhillRCA-26$19,770$4,000
Marty BlockDCA-78$121,450$2,750
Bob BlumenfieldDCA-40$64,300$2,700
Susan BonillaDCA-11$46,460$1,200
Steven BradfordDCA-51$40,200$6,000
Julia BrownleyDCA-41$0$0
Joan BuchananDCA-15$57,060$3,250
Betsy ButlerDCA-53$163,175$1,000
Charles CalderonDCA-58$0$0
Nora CamposDCA-23$50,051$2,000
Wilmer Amina CarterDCA-62$0$0
Gilbert CedilloDCA-45$0$0
Wesley ChesbroDCA-1$32,810$2,500
Connie ConwayRCA-34$34,700$4,100
Paul CookRCA-65$0$0
Mike DavisDCA-48$0$0
Roger DickinsonDCA-9$57,700$1,000
Tim DonnellyRCA-59$800$1,000
Mike EngDCA-49$0$0
Mike FeuerDCA-42$0$0
Nathan FletcherRCA-75$0$0
Paul FongDCA-22$59,422$200
Felipe FuentesDCA-39$0$0
Warren FurutaniDCA-55$0$0
Beth GainesRCA-4$10,500$3,750
Cathleen GalgianiDCA-17$131,580$4,200
Martin GarrickRCA-74$0$0
Mike GattoDCA-43$77,318$5,650
Rich GordonDCA-21$36,950$1,500
Jeff GorellRCA-37$35,800$1,500
Shannon GroveRCA-32$2,000$1,000
Curt HagmanRCA-60$36,800$1,500
Linda HaldermanRCA-29$0$0
Isadore HallDCA-52$46,000$1,300
Diane HarkeyRCA-73$20,200$6,000
Mary HayashiDCA-18$0$0
Roger HernandezDCA-57$39,200$3,500
Jerry HillDCA-19$73,400$860
Alyson HuberDCA-10$0$0
Ben HuesoDCA-79$47,400$150
Jared HuffmanDCA-6$0$0
Kevin JeffriesRCA-66$0$0
Brian JonesRCA-77$10,300$1,000
Steve KnightRCA-36$18,700$2,000
Ricardo LaraDCA-50$61,800$3,000
Dan LogueRCA-3$13,800$2,000
Bonnie LowenthalDCA-54$21,900$0
Fiona MaDCA-12$0$0
Allan MansoorRCA-68$2,250$3,000
Tony MendozaDCA-56$0$0
Jeff MillerRCA-71$16,500$7,150
Holly MitchellDCA-47$42,306$225
Bill MonningDCA-27$62,587$1,775
Mike MorrellRCA-63$16,774$500
Brian NestandeRCA-64$41,100$2,000
Jim NielsenRCA-2$5,500$1,500
Chris NorbyRCA-72$9,000$2,000
Kristin OlsenRCA-25$19,050$3,500
Richard PanDCA-5$104,892$1,000
Henry PereaDCA-31$35,200$5,000
John PerezDCA-46$170,700$9,400
Manuel PerezDCA-80$34,800$0
Anthony PortantinoDCA-44$0$0
Jim SilvaRCA-67$0$0
Nancy SkinnerDCA-14$50,655$2,250
Cameron SmythRCA-38$0$0
Jose SolorioDCA-69$0$0
Sandre SwansonDCA-16$0$0
Norma TorresDCA-61$40,753$0
David ValadaoRCA-30$0$0
Don WagnerRCA-70$8,800$2,500
Bob WieckowskiDCA-20$64,650$400
Das WilliamsDCA-35$103,572$0
Mariko YamadaDCA-8$29,553$400

Interest Groups that supported this bill

$ Donated
Police & fire fighters unions and associations$1,293,027
State & local government employee unions$1,252,526
Other non-physician health practitioners$78,360
Chambers of commerce$62,400
Civil servant/public employee$30,853
Energy-related unions (non-mining)$0

Interest Groups that opposed this bill

$ Donated
Water utilities$85,700
Municipal & county government organizations$31,800
Courts & justice system$15,858
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