Employees Hired On or After. January 1, 2021
Employees Hired On or After. January 1, 2013
a. As required by Government Code Section 7522.25, the safety Option Plan Two (2% @ 50 – 2.7% @ 57) pension formula shall apply.
b. As required by Government Code Section 7522.32, for the purposes of determining a retirement benefit for CalPERS eligible employees, final compensation shall mean the highest average annual pensionable compensation earned during 36 consecutive months of service.
c. As required by Government code Section 7522.30, employees shall have an initial contribution rate of 50% of the total normal cost rate.
Employees Hired On or After. July 1, 2012 Who Are Not Defined As “New Members” Under the Public Employees’ Pension Reform Act of 2013
Employees Hired On or After. July 1, 2011
Employees Hired On or After. June 21, 2010
a. Effective December 19, 2011, for employees hired before July 1, 2011, the City will pay up to 1 percent of the member’s required contribution (EPMC) and employees will pay up to 6 percent of the member’s required contribution on a pretax basis.
b. Effective December 19, 2011, for employees hired on or after July 1, 2011, employees will pay up to 7 percent of the member’s required contribution on a pretax basis for the first 5 years of employment pursuant to 2 CCR 569.
c. Effective June 27, 2016, the City will pay 0 percent of the member’s required contribution (EPMC) and the employees will pay up to 8 percent of the member’s required contribution on a pretax basis thus terminating items 2.a. and 2.b. above.
Employees Hired On or After. 2/1/88: For those employed on or after February 1, 1988, the maximum amount paid by the Board for retiree medical benefits shall be the amount the Board would have been required to pay had the retiree selected the medical plan with the lowest premium amount. For those retirees who relocate upon retirement to other areas of California, or to another state in the United States, the retiree will be required to inform the Board of the plans available in the new geographic location and to provide proof of coverage. When the retiree does the foregoing, the Board will pay an amount equal to the lowest premium of the plans available, but in no event exceeding the cap in effect at the time.
Employees Hired On or After. 7/1/92: For unit members whose first day of paid service commences on or after July 1, 1992, to be eligible for Board-paid retiree medical and dental benefits, the retiree must have twenty (20) full years of service within the District; must be at least 55 years of age; must be currently employed by the Board at the time of retirement; and the age at retirement of the retiree (in full years) when added to the number of full years of service must total 75 or more. For a year of service to be counted, the assignment must have been such that the employee was eligible for medical insurance benefits if such benefits were available to employees. (1991-92 settlement)
Employees Hired On or After. 7/1/95: For unit members whose first day of paid service commences on or after July 1, 1995, the maximum amount paid by the Board for retiree benefits (medical and dental) shall be capped at the same amount as single active employee per month until the employee become eligible for Medicare Part B. At that time, the Board will then pay, for the employee only, the amount equal to the lowest cost medical plan available within the agreement between the parties. (1994- 95 settlement). This amendment does not apply to any employees hired into positions being advertised on or before June 14, 1995, even if their actual date of hire is later than July 1, 1995 (unless positions are not filled and are re-opened/re-advertised at a later time).
Employees Hired On or After. January 1, 2013 Without Pension Reciprocity (Tier 3)
Employees Hired On or After. January 1, 2013: Effective January 1, 2013, new members to CalPERS or an agency with CalPERS’ reciprocity, and employees to the City who have a 6-month or greater break in service between employment with the City and employment in a CalPERS (or reciprocal) agency, will be subject to the provisions of the Public Employees’ Pension Reform Act of 2013 (PEPRA) and will receive the “2.7% @ 57” benefit formula. This plan provides 2.7 percent of pay at age 57 for each year of service credited with the City. The City pays fifty percent (50%) of the normal cost rate to be calculated by CalPERS, and the employee pays fifty percent (50%) of the normal cost rate on a pretax basis to be calculated by CalPERS and the cost of administration. In addition, new members must be at least 50 years of age with 5 or more years of CalPERS–credited service in order to retire with a normal service retirement through the CalPERS system, and their retirement allowance will be based on the average of their last 3 years of compensation prior to retirement. Employees not currently or previously enrolled under PEPRA and who are current members of CalPERS or an agency with CalPERS’ reciprocity, or who have less than a 6–month break in service between employment in a CalPERS (or reciprocal) agency, or who have previously been employed by the City of Montclair as a CalPERS member and are required to be enrolled under the formula specified in this paragraph, will be enrolled in the “3% @ 55” formula. Except as otherwise provided for in this MOU for retiree–medical benefits and CalPERS–related retirement benefits, to retire from the City to be eligible for City– provided retirement benefits other than CalPERS retirement benefits, an employee must be at least 50 years of age with 25 or more years of continuous service to the City and retire with a normal service retirement; e.g. to receive the 25–year–retiree– medical benefit, an employee must be at least 50 years of age and have a minimum of 25 consecutive years of service with the City. If an employee should leave City employment prior to age 50, and is no longer eligible for membership in the CalPERS system, the Employer Paid Member Contribution (EPMC) and Member Contribution (both as calculated by CalPERS) will be paid to the employee by CalPERS after termination. An employee with 5 or more years of CalPERS–credited service may, however, leave the EPMC and member contributions on deposit in the system, with interest, for future withdrawal;...
