Bill Text: CA AB609 | 2009-2010 | Regular Session | Chaptered
Bill Title: County employees retirement: administrative costs.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Passed) 2010-09-30 - Chaptered by Secretary of State - Chapter 663, Statutes of 2010. [AB609 Detail]
Download: California-2009-AB609-Chaptered.html
BILL NUMBER: AB 609 CHAPTERED
BILL TEXT
CHAPTER 663
FILED WITH SECRETARY OF STATE SEPTEMBER 30, 2010
APPROVED BY GOVERNOR SEPTEMBER 30, 2010
PASSED THE SENATE AUGUST 23, 2010
PASSED THE ASSEMBLY AUGUST 24, 2010
AMENDED IN SENATE AUGUST 19, 2010
AMENDED IN SENATE JUNE 22, 2010
AMENDED IN SENATE JULY 1, 2009
AMENDED IN ASSEMBLY JUNE 2, 2009
AMENDED IN ASSEMBLY APRIL 30, 2009
AMENDED IN ASSEMBLY APRIL 13, 2009
INTRODUCED BY Assembly Member Conway
FEBRUARY 25, 2009
An act to amend Section 31580.2 of, and to repeal Section 31580.3
of, the Government Code, relating to county employees' retirement.
LEGISLATIVE COUNSEL'S DIGEST
AB 609, Conway. County employees retirement: administrative costs.
The County Employees Retirement Law of 1937 requires a board of
retirement, or a board of retirement and the board of investment,
with appointed members to annually adopt a budget covering the entire
expense of administration of the retirement system and prohibits the
expense incurred in any year from exceeding 18/100 of 1% of the
total assets of the retirement system. Existing law provides that
expenditures for legal services or costs of litigation are not
considered to be a cost of administration of the retirement system.
Existing law prohibits expenses incurred in any year for expenditures
for computer software and hardware and computer technology
consulting services, in support of these products, from exceeding the
greater of the sum of 18/100 of 1% of the total assets of the
retirement system plus $1,000,000 or 23/100 of 1% of the total assets
of the retirement system.
This bill would prohibit expenses for the costs of administration
of the retirement system incurred in any year from exceeding the
greater of 21/100 of 1% of the accrued actuarial liability of the
retirement system or $2,000,000, as adjusted annually by a specified
annual cost-of-living adjustment. This bill would eliminate the
exclusion of expenditures for legal services and costs of litigation
from the costs of administration of the retirement system and would,
instead, exclude from those costs of administration expenditures for
computer software and hardware and computer technology consulting
services in support of these products.
THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:
SECTION 1. Section 31580.2 of the Government Code is amended to
read:
31580.2. (a) In counties in which the board of retirement, or the
board of retirement and the board of investment, have appointed
personnel pursuant to Section 31522.1, 31522.5, or 31522.7, the
respective board or boards shall annually adopt a budget covering the
entire expense of administration of the retirement system which
expense shall be charged against the earnings of the retirement fund.
The expense incurred in any year may not exceed the greater of
either of the following:
(1) Twenty-one hundredths of 1 percent of the accrued actuarial
liability of the retirement system.
(2) Two million dollars ($2,000,000), as adjusted annually by the
amount of the annual cost-of-living adjustment computed in accordance
with Article 16.5 (commencing with Section 31870).
(b) Expenditures for computer software, computer hardware, and
computer technology consulting services in support of these computer
products shall not be considered a cost of administration of the
retirement system for purposes of this section.
SEC. 2. Section 31580.3 of the Government Code is repealed.
