Bill Text: CA AB507 | 2013-2014 | Regular Session | Introduced

California Assembly Bill 507 (Prior Session Legislation)

Introduced

Bill Title: Public employees' retirement: postretirement death benefits.

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Introduced - Dead) 2014-02-03 - From committee: Filed with the Chief Clerk pursuant to Joint Rule 56. [AB507 Detail]

Download: California-2013-AB507-Introduced.html

BILL NUMBER: AB 507	INTRODUCED
	BILL TEXT


INTRODUCED BY   Assembly Member Garcia

                        FEBRUARY 20, 2013

   An act to amend Section 21623.6 of the Government Code, relating
to public employees' retirement.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 507, as introduced, Garcia. Public employees' retirement:
postretirement death benefits.
   The Public Employees' Retirement Law requires that, upon the death
of any state or school member after retirement and while receiving a
retirement allowance, the sum of $2,000 be paid to the member's
designated beneficiary, except as specified. Existing law requires,
when a school employer elects by contract, that the amount paid to
the beneficiary be $3,000, $4,000, or $5,000, whichever amount is
designated in its contract.
   This bill would require that the amount paid be $4,000 for a death
occurring from January 1, 2014, to December 31, 2014, inclusive, and
would increase that amount each year by $500 until April 1, 2018, at
which point the amount would be $6,000, and would be adjusted
annually, as specified. Until January 1, 2016, when the amount would
reach $5,000, the bill would instead allow a school employer to elect
by contract to pay the beneficiary $5,000.
   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 21623.6 of the Government Code is amended to
read:
   21623.6.  (a) In lieu of benefits provided by Sections 21620,
21622, and 21623, upon the death of any school member, after
retirement and while receiving a retirement allowance from this
system, there shall be paid to the beneficiary whom he or she shall
nominate by written designation duly executed and filed with the
board,  the sum of three thousand dollars ($3,000), four
thousand dollars ($4,000), or five thousand dollars ($5,000),
whichever   an  amount is designated by the
employer in its contract,  to be provided from
contributions by the  employer.   employer as
follows:  
   (1) The sum of four thousand dollars ($4,000), or five thousand
dollars ($5,000) if designated by the employer in its contract, for a
death occurring from January 1, 2014, to December 31, 2014,
inclusive.  
   (2) The sum of four thousand five hundred dollars ($4,500), or
five thousand dollars ($5,000) if designated by the employer in its
contract, for a death occurring from January 1, 2015, to December 31,
2015, inclusive.  
   (3) The sum of five thousand dollars ($5,000) for a death
occurring from January 1, 2016, to December 31, 2016, inclusive.
 
   (4) The sum of five thousand five hundred dollars ($5,500) for a
death occurring from January 1, 2017, to December 31, 2017,
inclusive.  
   (5) The sum of six thousand dollars ($6,000) for a death occurring
from January 1, 2018, to March 31, 2018, inclusive.  
   (6) For a death occurring on or after April 1, 2018, the amount
shall be adjusted annually in the same manner as monthly allowances
subject to Sections 21313 and 21329. 
   (b) For the purposes of this section, all contributions,
liabilities, actuarial interest rates, and other valuation factors
shall be determined on the basis of actuarial assumptions and methods
that, in the aggregate, are reasonable and that, in combination,
offer the actuary's best estimate of anticipated experience under the
system.
   (c) The additional employer contributions required under this
section shall be computed as a level percentage of member
compensation.
   (d) This section shall not apply to  a school employer
unless and until it elects to be subject to this section by amendment
to its contract made in the manner prescribed for approval of
contracts or, in the case of contracts made on   any
contracting agency  or  after January 1, 2001, 
 local member,  except  by express provision in the
contract making the   those contracting agencies that
are  school  employer subject to this section. 
 employers and those school districts or community college
districts as defined in subdivision (i) of Section 20057.