CC – 2023-51 – Establishing Salary And Benefits For The City Council Of The City of Rosemead From July 1, 2023 Through June 30, 2025RESOLUTION NO. 2023-51
A RESOLUTION OF THE CITY COUNCIL OF THE CITY
OF ROSEMEAD, CALIFORNIA, ESTABLISHING SALARY
AND BENEFITS FOR THE CITY COUNCIL OF THE
CITY OF ROSEMEAD FROM JULY 1, 2023 THROUGH
NNE 30, 2025
WHEREAS, City Council Members are critical to the efficientand effective operations of the
City, due to the policy-making nature and responsibilities of the position; and
NOW THEREFORE, BE IT RESOLVED that effective July 1, 2023, the salary and
benefits for the City Council Members will be as follows:
SECTION 1: COMPENSATION
Members of the City Council will receive $1,118.63 per month pursuant to Ordinance No. 841.
SECTION 2: HEALTH INSURANCE PROVIDER
The City contracts with California Public Employees' Retirement System (CalPERS) to serve as
the health insurance provider for the City.
SECTION 3• CAFETERIA -STYLE HEALTH, WELFARE. & SAVINGS BENEFIT
The City will provide each full-time City Council Member with $1,700 per month for use towards
enrolling in any of the City offered health, dental, and vision plans. Effective July 1, 2023, the
City will provide an additional $200 per month for excess health care premiums with no cash -out
value.
1. Unused Contributions. For Council Members elected/appointed on or prior to
November 30, 2021, any unused remainder of the $1,700 monthly cafeteria -style
benefit will be put into a 457 deferred compensation plan up to the maximum amount
allowed by law. Council Members elected/appointed after November 30, 2021, will
not be compensated for any unused portion of the cafeteria -style benefit.
2. Excess Premiums. Employees shall be required to pay any cost of the health, dental,
and vision premiums for their selected plans that exceeds the amount of the City's
monthly contribution.
3. Opt -Out. Council Members elected/appointed on or prior to November 30, 2021, may
also choose to waive coverage and receive the entire benefit as deferred compensation
(457 Plan -up the maximum contribution allowed by law) but must first show proof of
group health insurance coverage through an individual, a spouse or family member's
coverage through their employer and complete the Voluntary Decline of Health Care
Offered Under City of Rosemead Group Plan form. Council Member elected/appointed
after November 30, 2021 choosing to opt -out of medical coverage offered by the City,
under the same conditions, will receive $500 per month deposited into the 457 deferred
compensation plan.
SECTION 4: CHANGES TO HEALTHCARE LAWS
The parties recognize that certain changes to State or Federal laws, programs, taxes or
regulation including, but not limited to, the Affordable Care Act, may impact future medical
plan offerings.
SECTION 5: RETIREMENT HEALTH PLAN
For Members of the City Council elected/appointed on or before July 1, 2007, who have 20 years
or more of service with the City of Rosemead, and who retire from the City, an allocation of up to
$1,000/month will be given to pay for health care benefits for the duration of their retirement. If
the health insurance program selected by the Member costs more than $1,000/month, the City will
only cover the first $1,000/month of the cost of the selected program.
For members elected/appointed on or before July 1, 2007. who have 12-19 years of service
with the City of Rosemead, and who retire from the City, an allocation of up to $500/month
will be given to pay for health care benefits; for the duration of their retirement. If the health
insurance program selected by the Member costs more than $500/month, the City will only
cover the first $500/month of the cost of the selected program.
The above retirement health contributions will only be in effect for Members
elected/appointed as of July 1, 2007. When a retired Council Member reaches 65 years of
age, or becomes eligible for Medicare, said Members will transition to Medicare coverage and
the City will continue to contribute towards the cost of health care coverage to the maximum
amounts provided above during the duration of the Members' retirement. Furthermore, it is
expressly noted that the retirement health contribution can be used towards health coverage
for the retired Council Member, their spouse, and/or any eligible dependent.
Members hired after July 1, 2007, will receive retiree health benefits in accordance with public
employees' retirement laws and CalPERS.
SECTION 6: RETIREMENT PROGRAM (CALPERSI
Members will be enrolled in the City's retirement program through CalPERS. On July 1. 2007,
the City began providing the 2.7%@55 benefit formula with one-year final compensation option
with no cap.
On July 1, 2010, the City implemented a 2 -tier system with changes for new hires only. Council
Members, hired on or after July 1, 2010, are subject to the 2%@55 formula with one-year final
compensation option. All existing Council Members hired prior to July 1, 2010 will remain at the
2.7@55 formula.
Under the Public Employees' Pension Reform Act of 2013 (PEPRA), effective January 1, 2013,
all "new members" are subject to the 2.0% @ age 62 benefit formula which also requires a three-
year final compensation (the highest average annual pensionable compensation earned by a
member during a period of at least 36 months) with an early retirement age of 52.
A "New Member" is defined as:
1. A new hire that is brought into CalPERS membership for the first time on or after
January 1, 2013, and who has no prior membership in any other California public
retirement system.
2. A new hire who is brought into Ca1PERS membership for the first time on or after
January 1, 2013, and who is not eligible for reciprocity with another California public
retirement system.
A member who established Ca1PERS membership prior to January 1, 2013, and who
is hired by a different Ca1PERS employer after January 1, 2013, after a break in service
of greater than six months.
Effective January 1, 2013, PEPRA prohibited employers from paying any portion of a "new
member's member contribution rate. All new members must pay 50% of total normal cost as
employee contribution rate.
Ca1PERS refers to all members that do not fit within the definition of a new member as "classic
members". All "classic members" are required to contribute their full share, up to 8%, of the
employee contribution of the Ca1PERS rate. Additionally, all existing CalPERS members as
of December 31, 2012, will retain the existing benefit levels for future service with the same
employer.
SECTION 7: ENHANCED RETIREMENT PROGRAM PUBLIC AGENCY
RETIREMENT SERVICES (PARS)
The City offers an enhanced retirement package through Public Agency Retirement Services
(PARS) for all members hired prior to July 1, 2010. Such members who retire from Rosemead
after working 12 years for the City will have their pension formula enhanced to 3%@55, with
the provision that the maximum pension allowance that members can accrue through PARS
is 90% of their final pay. The PARS retirement pension is limited to 90% of their final pay.
Members must be at least 55 years of age to qualify for PARS.
Council Members elected/appointed on or after July 1, 2010, are not eligible for the Enhanced
Retirement Program through PARS.
SECTION 8: DEFERRED COMPENSATION PROGRAM (401A & 457)
401A: Members of the City Council receive $500 per month to be deferred through the 401A
Plan which allows members to make contributions through a supplemental retirement
savings program. This benefit was eliminated for all Council Member
elected/appointed on or after July 1, 2010.
457: For Council Members elected/appointed after Any remaining balance of the monthly
health benefit allowance will be put into a 457 deferred compensation plan, up the
maximum allowed by law, as specified in Section 3.
SECTION 9: LIFE INSURANCE
Members of the City Council receive an accidental death and dismemberment and life
insurance policy of $100,000.
SECTION 10: TUITION REIMBURSEMENT
Members may attend and be reimbursed for part or all of the costs of educational and other
training courses (up to $5,000 per fiscal year) which provide a benefit to the City provided
there are budgeted funds for such approval by the City Council. The educational/training
courses must be job-related leading towards a college or university degree or certificate and
Members must remain with the City for three (3) years after the successful completion of
class/course or must refund the amount received to the City on a pro -rated basis.
If a Member leaves office (voluntarily or involuntarily) with the City, prior to the three (3)
years after the completion of class/course, the Member must repay the City the amount
received based upon the following pro -rated basis:
Less than one 1 year Full Amount Received
Less than two 2 ears 2/3 of Amount Received
Less than three (3) years 1/3 of Amount Received
Members may be reimbursed for registration, cost of books, tuition, lab fees and parking for classes
or instruction, provided such classes or instruction are related to the Member's assigned duties with
the City.
Reimbursement will be made only after a Member has satisfactorily completed the class or
workshop with the grade of "C" or better or a "B" or better for graduate level courses and that
proof of completion has been submitted and reviewed by the City Manager.
All study time shall be considered completely voluntary and there is no mileage reimbursement
provided for travel to and from educational classes. Required forms must be completed and
necessary documentation (receipts and grades) must be provided in order to receive
reimbursement.
SECTION 11: WELLNESS PROGRAM
The City shall reimburse City Council Members up to three -hundred dollars ($300) per fiscal year
for qualifying expenses of the City's Wellness Program.
SECTION 12: COMPUTER PURCHASE PROGRAM
The City provides a computer purchase program for members of the City Council as outlined
in the Administrative Policy No. 30-09 approved by the City Manager. Loans are due and
payable in full upon termination or separation of service.
SECTION 13: EMPLOYEE ASSISTANCE PROGRAM
The City provides access to the Employee Assistance Program (EAP).
SECTION 14: DIRECT DEPOSIT
Members of the City Council are provided with an option to authorize the automatic deposit
of each paycheck into an individual's checking, savings or credit union account. Payroll
checks will not be issued in advance.
SECTION 15: UNEMPLOYMENT INSURANCE BENEFITS
Members of the City Council are not eligible for unemployment insurance benefits.
SECTION 16: The City Clerk shall certify to the adoption of this resolution and hereafter the
same shall be in full force and effect.
PASSED, APPROVED, AND ADOPTED this 12th day of September, 2023.
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Steve i Mayor
APPROVED AS TO FORM:
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Rachel RicFiman, City Attorney
ATTEST:
Ericka Hernandez, City Clerk` -
STATE OF CALIFORNIA
COUNTY OF LOS ANGELES
CITY OF ROSEMEAD
I, Ericka Hernandez, City Clerk of the City Council of the City of Rosemead, California, do hereby
certify that the foregoing City Council Resolution No. 2023-51 was duly adopted by the City
Council of the City of Rosemead, California, at a regular meeting thereof held on the 121' day of
September, 2023, by the following vote, to wit:
AYES: ARMENTA, CLARK, LOW, LY
NOES: NONE
ABSENT: DANG
ABSTAIN: NONE
Ericka Hernandez, City Clerk