Bill Text: CA AB1144 | 2013-2014 | Regular Session | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft

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Bill Title: Public Employees' Medical and Hospital Care Act: City of

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Passed) 2013-09-06 - Chaptered by Secretary of State - Chapter 244, Statutes of 2013. [AB1144 Detail]

Download: California-2013-AB1144-Amended.html

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BILL NUMBER: AB 1144	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  APRIL 29, 2013
	AMENDED IN ASSEMBLY  APRIL 15, 2013

INTRODUCED BY   Assembly Member Hall

                        FEBRUARY 22, 2013

   An act to add Section 22893.1 to the Government Code, relating to
public employee benefits.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 1144, as amended, Hall. Public Employees' Medical and Hospital
Care Act:  contracting agencies.   City of
Carson. 
   The Public Employees' Medical and Hospital Care Act (PEMHCA)
authorizes the Board of Administration of the Public Employees'
Retirement System to contract with carriers for health benefit plans
for employees and annuitants, as defined. Existing law requires an
agency contracting for coverage under PEMHCA and each employee or
annuitant to contribute a portion of the cost of providing the
benefit coverage afforded under the health benefit plan in which the
employee or annuitant may be enrolled and prescribes various
schedules for employer payments and requirements in relation to those
payments. 
   This bill would require the employer contribution for
postretirement health benefit coverage for an employee of the City of
Carson to be based on specified percentages associated with the
employee's credited years of service, which would reach 100% when the
employee attains 10 years of credited service. The bill would define
credited service as service performed with the City of Carson. The
bill would require that the employer contribution with respect to
each employee be mutually agreed upon through collective bargaining,
as specified. The bill would require that the employer provide any
information requested by the board that the board deems necessary to
implement the section.  
   This bill would authorize a contracting agency, the employees'
exclusive representative, and unrepresented employees to agree that
the employer contribution for postretirement health coverage be
subject to specified factors, including that the contributions be
subject to a mutually agreed upon memorandum of understanding that is
not subject to impasse procedures. The bill would prohibit a
memorandum of understanding entered into in this context from
applying to retired employees. The bill would prohibit an employer
contribution for an employee with less than 5 years of credited
service with the contracting agency. 
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

   SECTION 1.    Section 22893.1 is added to the 
 Government Code  , to read:  
   22893.1.  (a) Notwithstanding any other provision of this part,
the percentage of employer contribution payable for postretirement
health benefits for an employee of the City of Carson, California,
shall be based on the employee's completed years of credited service,
provided that the City of Carson shall not pay an employer
contribution for the first five years of that credited service, and
shall pay thereafter as shown in the following table:

 Credited Years of Service  Percentage of Employer 
 Contribution 
   5 ........................................... 50 
   6 ........................................... 60 
   7 ........................................... 70 
   8 ........................................... 80 
   9 ........................................... 90 
   10 ......................................... 100 



   The application of this subdivision shall be subject to the
following:
   (1) The employer contribution with respect to each annuitant shall
be mutually agreed upon through collective bargaining by the City of
Carson, the exclusive representatives of employees of the city, and
unrepresented employees of the city. The employer may adjust the
amount from time to time through a collectively bargained memorandum
of understanding. Changes to the employer contribution shall be
ratified by a resolution passed by the city council of the City of
Carson and that resolution shall be filed with the board.
   (2) The employer shall certify to the board, in the case of
employees not represented by a bargaining unit, that there is not an
applicable memorandum of understanding.
   (3) The credited service of an annuitant for the purpose of
determining the percentage of employer contributions applicable under
this section shall mean credited service performed with the City of
Carson.
   (4) The employer shall provide the board any information requested
that the board determines is necessary to implement this section.
   (b) This section is not applicable to any employee who retired
before the effective date of the memorandum of understanding. In the
event that the memorandum of understanding establishes a retroactive
effective date, this section applies only prospectively and any
employee who retires before the memorandum of understanding is signed
may not be affected by it.  
  SECTION 1.    Section 22893.1 is added to the
Government Code, to read:
   22893.1.  (a) Notwithstanding any other provision of this part,
the contracting agency, the exclusive representative of employees of
the agency, and unrepresented employees of the agency may agree that
the employer contribution for postretirement health coverage shall be
subject to the following:
   (1) Credited years of service that the employee worked with the
contracting agency.
   (2) A memorandum of understanding regarding postretirement health
coverage mutually agreed upon through collective bargaining. This
issue may not be subject to the impasse procedures set forth in
Article 9 (commencing with Section 3548) of Chapter 10.7 of Division
4 of Title 1.
   (3) The employer shall certify to the board, in the case of an
employee not represented by a bargaining unit, that there is not an
applicable memorandum of understanding.
   (b) A memorandum of understanding regarding employer contributions
entered into pursuant to the authorization provided by this section
shall not apply to an employee who retired before the effective date
of the memorandum of understanding and, to the extent a memorandum of
understanding purports to apply to a employee who is retired, those
provisions shall be without effect.
   (c) An agreement reached pursuant to subdivision (a) shall not be
valid if it provides an employer contribution for an employee with
less than five years of credited service with the contracting agency.

   (d) The contracting agency shall provide, in the manner prescribed
by the board, a notification of the agreement established pursuant
to this section and any additional information necessary to implement
this section.