TO: Board of Supervisors
FROM: Christine Briceño, Director of Human Resources
REPORT BY: Joy Cadiz, Staff Services Manager
SUBJECT: Introduction of an Ordinance to Amend the Contract with the Board of Administration of the California Public Employees’ Retirement System and Adoption of a Resolution of intent to amend the Contract with California Public Employees’ Retirement System
RECOMMENDATION
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PUBLIC HEARING - California Public Employees’ Retirement System
Conduct a public hearing to consider the first reading and the intention to adopt an ordinance amending Napa County’s Contract with the Board of Administration of the California Public Employees’ Retirement System (CalPERS) to allow the Napa County Probation Professionals Association (NCPPA) Non-Supervisory and Supervisory employee groups to be recognized bargaining units in the County’s Contract with CalPERS and further requests the adoption of a Resolution of intent to approve an amendment to the County’s contract with the Board of Administration of the California Public Employees’ Retirement System.
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BACKGROUND
In 2022, the Napa County Probation Professionals Association (NCPPA) entered into a new Memorandum of Understanding (MOU) as a result of decertifying with SEIU 1021 and formed NCPPA and two employee bargaining units, the Supervisory and Non-Supervisory Units. The new NCPPA MOUs include negotiated language for compensation and supplemental fringe benefits, including retirement coverage as part of CalPERS. CalPERS requires a contract amendment to formally recognize NCPPA as a party in the CalPERS Contract with Napa County. The draft ordinance proposes to amend the County’s contract with CalPERS so that NCPPA Non-Supervisory and Supervisory employee bargaining units are named as participants within the contract. Further, CalPERS requires the County adopt a Resolution demonstrating the County’s intent to amend the contract.
NCPPA’s MOUs dictate the formula for employees participating in the CalPERS contract to cost share a portion of the contribution toward retirement.
The amendment to the CalPERS Contract for Fiscal Year 2024-2025 sets the retirement contribution as follows:
• Tier 1 employee contribution: 8.0% statutory rate with an additional employee cost share rate of 2.346%
• Tier 2 employee contribution: 8.0% statutory rate with an additional employee cost share rate of 2.346%
The Amendment to the CalPERS Contract will not change the cost sharing formula, however as part of the amendment process NCPPA Non-Supervisory and Supervisory employee bargaining units must vote to re-approve the cost sharing rates agreed to in their MOUs.
Requested Actions:
1. Adopt a resolution intending to approve an amendment to the County’s Contract with the Board of Administration of the California Public Employees’ Retirement System
2. Receive the first reading and the intention to adopt an ordinance to amend the County’s Contract with the Board of Administration of the California Public Employees’ Retirement System
PROCEDURAL REQUIREMENTS
1. Open Public Hearing.
2. Staff reports.
3. Public comments.
4. Close Public Hearing.
5. Motion, second, discussion, and vote on intention to adopt the ordinance.
FISCAL & STRATEGIC PLAN IMPACT
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Is there a Fiscal Impact? |
No |
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Is the general fund affected? |
No |
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Consequences if not approved: |
The cost sharing formula for as bargained for by NCPPA, the newly recognized employee group, will not be properly reported to CalPERS. |
ENVIRONMENTAL IMPACT
ENVIRONMENTAL DETERMINATION: The adoption of this ordinance is not subject to the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15061(b)(3) (there is no possibility the activity in question may have a significant effect on the environment).