If you are an active General member, you have an opportunity to be the voice of your fellow General members. Help make important decisions, such as how the pension fund is invested and setting SDCERA’s strategic direction. Consider running in the upcoming election for a seat on the Board of Retirement.

Pick up your candidate petition beginning March 25, 2010, at the SDCERA office located at 2275 Rio Bonito Way, Suite 200, in Mission Valley. Please see the election schedule below for important deadlines. The third seat is one of two seats elected by active General members. The elected candidate will serve a three-year term beginning on July 1, 2010.

Streaming video of Board of Retirement meetings is now available on the SDCERA web site. Watch live meetings or view archives of past meetings by clicking on the Meetings Online button on the homepage.

Visit the Board of Retirement page for more information about the Board of Retirement, including meeting calendars, Board members and responsibilities of the Board.

As a result of recent state legislation, California personal income tax withholding schedules for 2009 have been modified. In an effort to accelerate tax revenues for the state, Assembly Bill X4 17 amends the Revenue and Taxation Code to increase California income tax withholding by 10 percent. This is not a new tax.

Retired members may see a slight increase in their state income tax withholding beginning with their November 2009 retirement benefit payment. You may change your tax withholding at any time by completing a Tax Election for Monthly Retirement Benefit form. If you have questions regarding personal income tax, visit the Franchise Tax Board web site at www.ftb.ca.gov or call 800.852.5711.

The San Diego County Employees Retirement Association (SDCERA) contracted with Integrity Capital led by Lee Partridge to serve as Portfolio Strategist. This innovative move enables SDCERA to benefit from the talent and experience of a nationally recognized investment professional to guide the fund through the current volatile and challenging market environment and position it for the future.

To view the press release, click SDCERA signs Integrity Capital as outsourced Chief Investment Officer.

SDCERA’s 2008 Comprehensive Annual Financial Report (CAFR) earned awards for both its financial reporting and design.  The Government Finance Officers Association (GFOA) awarded the CAFR with the Certificate of Achievement, the highest form of recognition in the area of governmental financial and accounting reporting. SDCERA has received the award for the last 13 years.

The Association of Marketing and Communication Professionals also presented the CAFR with two platinum Hermes Creative Awards in the design and annual report categories. Hermes Creative Awards is an international competition for creative professionals involved in the concept, writing and design of traditional and emerging media. SDCERA’s Retirement Plan booklet also earned a gold Hermes Creative Award in the publications category.

Changes to SDCERA’s Interest Crediting Policy affect the interest rate applied to member contribution accounts each June 30 and December 31.

Effective June 30, 2009, the interest rate applied semiannually will be an amount equal to the actual earnings rate of the fund for that six-month period, or half the assumed annual rate of return, whichever is lower. The current assumed rate of return is 8.25% annually (4.125% semiannually). The minimum annual interest crediting rate is 0%, and no higher than 8.25%. For periods that have investment losses (the earnings are negative), the interest crediting rate will be 0%. Previously, interest was credited to members’ accounts at the assumed rate of return (currently 8.25% annually; 4.125% semiannually).

These changes in interest crediting do not affect the amount of members’ future retirement benefits. With a defined benefit plan, a member’s benefit is based on retirement age, service credit and final average compensation, not the amount of member contributions. However, the changes will affect any refund of a member’s contributions following termination, because the refund will equal contributions and earned interest.  A refund forfeits the right to receive future retirement benefits.

Members will receive an Annual Member Statement in the fall which reports total contributions and earned interest as of June 30, 2009.