AgdaPkt 2014-04-28 - Laserfiche WebLink

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9.B. - Page 1 REPORT To the Honorable Mayor and City Council From the City Manager April 28, 2014 SUBJECT Exception to Public Employee Pension Reform Act 180-Day Wait Period to Hire Retired Annuitant to Perform Finance Director Duties RECOMMENDATION Adopt a Resolution approving an exception to the Public Employee Reform Act (PEPRA) 180-day waiting period to hire retired annuitant, Brian Ponty, to perform critical Finance Director duties associated with oversight and effective execution of Finance operations for a limited time in 2014. BACKGROUND Assembly Bill 340, the Public Employee Pension Reform Act of 2013 also known as PEPRA, was signed into law on September 12, 2012 and went into effect on January 1, 2013. PEPRA created Government Code Section 7522.56 which requires public agency retirees to wait 180 days after retirement before returning to work for a public agency. Exceptions to this waiting period can be granted if the City Council determines that the appointment of the retiree is necessary to fill a critically-needed position and that other conditions, as outlined in the attached resolution, have been met. ANALYSIS Brian Ponty, Finance Director, has been employed by the City of Redwood City for 29 years and is retiring, effective May 10, 2014. As Finance Director, he performs critical daily tasks to oversee management of the City's budgets, investments and accounts in order to ensure the fiscal health and effective operation of the City. This includes oversight of such functions as budget preparation and monitoring, financial reporting, treasury management, payroll, accounts payable, general liability, property risk management, utility billing, business license administration, accounts receivable, and purchase order processing. The recruitment for the Finance Director position was opened on January 23 and closed on February 17, 2014. The City is in the process of reviewing candidates and will not be able to make an appointment prior to Mr. Ponty's May 10 retirement date. In order to provide continued oversight of critical Finance functions and complete preparations for adoption of the 2014-15 budget, it is necessary for Mr. Ponty to remain at work beyond his retirement through June 30, 2014 or sooner depending on the timing of appointing a successor.