AgdaPkt 2018-05-21 Joint SA PFA - Laserfiche WebLink

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REPORT To the Honorable Mayor and City Council From the City Manager May 21, 2018 SUBJECT Opposition to Assembly Bill 1912 RECOMMENDATION By motion, authorize the Mayor to send a letter of opposition for Assembly Bill 1912 BACKGROUND Local governments have a long history of addressing service delivery challenges with creativity, self-reliance and innovation. Unique local challenges and limited resources continue to fuel innovative efforts to obtain expertise and provide high quality services. Joint Powers Authorities (JPAs) play a vital role in promoting regional and, in some cases, statewide collaboration in addressing public needs that cannot be effectively achieved by each local government agency acting on its own. These activities include regional public improvements, local and statewide infrastructure for water and roadways, emergency communications systems, law enforcement, fire protection, emergency medical services, insurance, and public financing, among others. The City is a member of many JPAs, including the Bay Cities Joint Powers Insurance Authority, City/County Association of Governments, Peninsula Clean Energy Authority, Silicon Valley Clean Water, and South Bayside Waste Management Authority (Rethink Waste) to name a few. ANALYSIS The League of California Cities has a prepared a form letter that cities can send to Assembly Member Rodriguez, who introduced Assembly Bill (AB) 1912. The analysis in this section is based upon the League’s analysis and recommendations. As amended, AB 1912 places substantial burdens and new unworkable requirements on local and state agencies. It applies retroactive as well as prospective joint and several liability for all retirement-related obligations to any current or former member of a JPA since inception. Such obligations include active employee normal pension costs, 9.A. - Page 1