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6.G. - Pa Ree oocT$i� <br />City <br />Notes to the Basic Financial Statements <br />For the fiscal year ended June 30, 2018 <br />NOTE 9 - EMPLOYEE BENEFITS <br />A. Pension Plan <br />General Information about the Pension Plan: <br />Plan Description — All qualified permanent and probationary employees are eligible to participate in the <br />City's separate Safety (police and fire) and Miscellaneous (all other) Plans, agent multiple -employer <br />defined benefit pension plans administered by the California Public Employees' Retirement System <br />(CAPERS), which acts as a common investment and administrative agent for its participating member <br />employers. Benefit provisions under the Plans are established by State statute and Local Government <br />resolution. CAPERS issues publicly available reports that include a full description of the pension plans <br />regarding benefit provisions, assumptions, and membership information that can be found on the CalPERS <br />website. <br />Benefits Provided — CalPERS provides service retirement and disability benefits, annual cost of living <br />adjustments and death benefits to plan members, who must be public employees and/or their <br />beneficiaries. Benefits are based on years of credited service, equal to one year of full time employment. <br />Members with five years of total service are eligible to retire at age 50 with statutorily reduced benefits. <br />All members are eligible for non -duty disability benefits after 10 years of service. The death benefit is <br />one of the following: the Basic Death Benefit, the 1957 Survivor Benefit, or the Optional Settlement 2W <br />Death Benefit. The cost of living adjustments for each plan are applied as specified by the Public <br />Employees' Retirement Law (PERIL). <br />The plans' provisions and benefits in effect at June 30, 2018 are summarized as follows: <br />Benefit Vesting Schedule <br />Benefit payments <br />Retirement age <br />Benefit factor for each year of service <br />as a % of annual salary <br />Required employee contribution rates <br />Required employer contribution rates -normal cost <br />Benefit Vesting Schedule <br />Benefit payments <br />Retirement age <br />Benefit factor for each year of service <br />as a % of annual salary <br />Required employee contribution rates <br />Required employer contribution rates -normal cost <br />Public Safety Tier 1 Public Safety Tier 2 <br />5 years of service 5 years of service <br />Monthly for life Monthly for life <br />50 <br />3% <br />9% <br />21.263% <br />Miscellaneous Tier 1 <br />5 years of service <br />Monthly for life <br />55 <br />2%-2.7% <br />8°% <br />8.777°% <br />55 <br />2.4%-3% <br />9% <br />21.263% <br />Miscellaneous Tier 2 <br />5 years of service <br />Monthly for life <br />60 <br />1.092%-2.418% <br />7% <br />8.777% <br />Public Safety Tier 3 <br />5 years of service <br />Monthly for life <br />57 <br />2%-2.7% <br />12% <br />21.263% <br />Miscellaneous Tier 3 <br />5 years of service <br />Monthly for life <br />62 <br />1%-2.5% <br />6.25% <br />8.777% <br />In accordance with Memoranda of Understanding with the employee bargaining units, employees <br />participate in cost sharing of the required employer contribution rates from 2%-9%, depending on the <br />bargaining unit. <br />66 272 <br />