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Department of Human Resources
Reference: Statewide Hybrid Plan-Money Purchase Component Defined Benefit Selection
To: Mayor Richard N. McLean and Members of City Council
Through: Manuel Esquibel, City Manager
Prepared By: Karen Borkowski Surine, HR Director
Date Prepared: 11/18/2014
PURPOSE To approve allowing Defined Benefit Selection for active "re-entry" members of the Statewide Hybrid Plan - Money Purchase Component.
BACKGROUND
Effective January 1, 2005, City Council approved coverage under the FPPA Defined Benefit System administered by the Fire and Police Pension Association. At that time eligible employees selected a program or chose not to participate. FPPA has received numerous requests to allow qualified employees to reconsider their choices. The FPPA Board adopted a rule to permit this change. Employers must first allow for the Defined Benefit Selection to take place via Resolution and, if approved, employees will then have until 2/26/15 to make a decision. The effective date of the change will be Friday, May 1, 2015.
The FPPA Defined Benefit System Defined Benefit Selection Project Employer Q & A is attached along with the proposed Resolution.
CRITERIA BY WHICH COUNCIL MUST CONSIDER THE ITEM
FINANCIAL IMPACT
There is no financial impact to the City.
STAFF RECOMMENDATION
Staff recommends approval of the proposed Resolution.
ATTACHMENTS
FPPA Defined Benefit System Defined Benefit Selection Project Employer Q & A.
Proposed Resolution.