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Agenda Item
ASR
Control 08-000143 |
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MEETING DATE: |
01/29/08 |
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legal entity taking action: |
Board of Supervisors |
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board of supervisors
district(s): |
All Districts |
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SUBMITTING
Agency/Department: |
County Counsel
(Approved) |
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Department contact
person(s): |
Benjamin P. de Mayo, County Counsel 834-3300
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Subject:
Retroactive Pension Increase
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ceo Concur |
County
Counsel Review |
Clerk of the Board |
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Concur |
Approved Resolution to Form |
Discussion |
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4/5 Vote |
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Budgeted: N/A |
Current Year Cost:
N/A |
Annual Cost:
N/A |
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Staffing Impact: No |
# of Positions:
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Sole Source:
N/A |
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Current Fiscal Year Revenue: N/A |
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Funding Source: N/A |
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Prior Board Action: December
4, 2001 adoption of Resolution 01-410 |
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RECOMMENDED ACTION(S)
Adopt Resolution authorizing Kirkland & Ellis LLP, as outside counsel to the County, to seek to obtain a declaration of unconstitutionality and an injunction against OCERS prohibiting it from paying out, in any month following the Court declaration, any increased pension benefits arising from Resolution 01-410 that are based on years of service rendered before June 28, 2002, and taking various actions to ensure that the rights and interests of the affected active-duty and retired peace officers are protected to the greatest extent possible.
SUMMARY:
Kirkland & Ellis was retained by the Board to research and make a recommendation regarding the constitutionality of the retroactive component of the 3% at 50 pension for safety employees. They have concluded that the retroactive component is unconstitutional. This recommended action would adopt a resolution taking necessary steps to implement that conclusion and obtain the attendant cost savings for the County’s benefit.
BACKGROUND INFORMATION:
Adoption of the draft resolution would include the following protections for safety employees and retirees. The Board would direct:
1. That the contemplated litigation be brought under an initial complaint that seeks only declaratory relief and an injunction, solely against OCERS as a single named defendant;
2. That counsel for the County not object to the participation in the contemplated litigation of appropriate representatives of the affected active-duty and retired peace officers, including the Association of Orange County Deputy Sheriffs (“AOCDS”);
3. That counsel for the County recommend to the Court that the Court appoint a special master to provide added protection against the occurrence of computational or other errors in any re-computation, resulting from the contemplated litigation, of benefits to be prospectively paid by OCERS to those active-duty and retired peace officers affected by the litigation contemplated by this Resolution; and
4. That counsel for the County in the contemplated litigation not seek the repayment or any other recovery of monies paid out by OCERS to retired peace officers and received by those peace officers prior to an initial judicial declaration of the constitutional invalidity of the challenged portions of Board Resolution 01-410.
FINANCIAL IMPACT:
Savings of approximately $187,000,000
STAFFING IMPACT:
N/A
ATTACHMENT(S):
Draft Resolution