SDCERA’s legislation section helps to keep you informed about recently proposed,
chaptered, adopted and vetoed legislation that may have an effect on your retirement
benefits. For the most current details on these or other bills, refer to the
California legislative information website.
Bills chaptered (signed into law)
The following bills were signed into law and became effective January 1, 2013, unless otherwise noted.
AB 1380—Eligibility for Retirement, age/years of services Effective January 1, 2014
Assembly Bill (AB) 1380 prohibits applying the current age and years of service credit formula from specific County Employees Retirement Law of 1937 sections to members subject to the Public Employees’ Pension Reform Act of 2013 (PEPRA). This law makes PEPRA members (Tier C) eligible to retire once they have completed five years of service and reached the applicable minimum retirement age, or have reached age 70 if they are still an active member.
AB 340—Public Employees' Retirement
Assembly Bill (AB) 340 is also known as the California Public Employees’ Pension Reform Act (PEPRA). PEPRA defines new benefit formulas (2.5% at age 67 for General members and 2.7% at age 57 for Safety members) and member contribution rates for individuals who became SDCERA members on or after January 1, 2013. PEPRA also requires all retired members who wish to return to work for the County of San Diego (or participating employer) in an hourly position requiring special skills to wait 180 calendar days (90 days for Public Safety Officers) following their last day of employment as a regular employee. Refer to the January issue of News for more details.
Also under PEPRA, you forfeit your pension and related benefits if you are convicted of a felony in carrying out official duties, in seeking an elected office or appointment, or in connection with obtaining salary or pension benefits. If convicted of such a felony, you would forfeit all of the retirement benefits earned from the earliest date of the commission of the felony. Employee contributions paid after that day will be returned without interest. This provision applies to anyone who is convicted on or after January 1, 2013.
AB 197—Public Employees' Retirement
Assembly Bill (AB) 197 excludes from the definition of compensation earnable any compensation determined by the Board of Retirement to have been paid to enhance a member’s retirement benefit. It also excludes various payments from the definition of compensation earnable, including payments for unused vacation, annual leave, personal leave, sick leave, and compensatory time off, as well as payments made at the termination of employment, except what may be earned and payable in each 12-month period during the final average salary period.
AB 1519—Retirement Board Member Continuing Education
Assembly Bill (AB) 1519 requires the Board of Retirement to establish an education policy, including a minimum of 24 hours of board member education within the first two years of assuming office and every two-year period thereafter. The Board is required to maintain a record of each member's compliance with the policy and to post the policy and an annual compliance report on the system's internet website.
SB 13—PEPRA clean-up legislation
Effective January 1, 2014 Senate Bill (SB) 13 clarifies provisions of the Public Employees' Pension Reform Act of 2013 (PEPRA). It allows reciprocal local public retirement systems to fully implement the original pension reform act measures and grants local systems the authority to adopt resolutions to implement PEPRA requirements.
SB 996—Heart Trouble Presumption
Existing law provided that if a Safety member who has completed five years or more of service develops heart trouble, the heart trouble shall be presumed to arise out of and in the course of employment. Effective January 1, 2013, the presumption is rebuttable. Unless successfully rebutted, the Board is bound to find that when a safety member is permanently incapacitated due to heart trouble, the heart condition is work-related.
SB 1382—County Employees’ Retirement: Retiree Organizations
Existing law allows SDCERA to make deductions from a retired member’s benefit upon the member’s authorization. Senate Bill (SB) 1382 adds recognized retiree organizations and the benefits offered through that organization to the list of authorized deductions from a retirement allowance. This law requires the Board of Retirement to provide reasonable advance notice of and reasonable opportunity to comment on any proposed changes to the retirement and health care benefits. It also requires the Board to assist with distributing communications regarding the retiree organization and allows the Board to charge a reasonable fee for the deductions and mailings.