News & Analysis as of

Retirement Plan California Public Employees Retirement System

Nossaman LLP

Felony Forfeitures Statutes Tested Again: A Tale of Two States’ Pension Reform Statutes–One Forfeiture Survives and One Does Not

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The constitutionality of California’s felony forfeiture statute, as applied by the Board of Administration of the California Public Employees’ Retirement System (CalPERS), survived yet another challenge in September 2023,...more

Allen Matkins

Godot Is Still Waiting . . .

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Last month, the Securities and Exchange Commission announced that it was proposing a new rule under the Exchange Act.  In an accompanying "fact sheet", the SEC said that it was doing so "to increase transparency and...more

Best Best & Krieger LLP

California Supreme Court Finds Modifications to CERL Constitutional, But Leaves “California Rule” Intact

Modifications Are Permissible Under the California Rule - In a unanimous decision, the California Supreme Court held that changes made to the County Employees’ Retirement Law, known as CERL, by pension reform measures...more

Allen Matkins

The Cost Of Justice In Nevada

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In February, I penned this post about some of Nevada's historic rural courthouses.  Recently, I visited Goldfield, Nevada.  Although Goldfield is the county seat of Esmeralda County, it has no gas station and no supermarket. ...more

Allen Matkins

Audit Report Discloses Sharp Increase In Personal Trading Violations At CalPERS

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The California Public Employees Retirement System (aka CalPERS) is the largest defined-benefit public pension in the United States.  It is governed by a Board of Administration that consists of 13 members who are elected,...more

Best Best & Krieger LLP

COVID-19 Pandemic May Force Some Cities to Reset Employee Benefits

As the harsh realities of the coronavirus pandemic, along with its widespread impact on all aspects of daily life, continue to shock and numb us all, many cities have already been identified as “high risk” from a financial...more

Best Best & Krieger LLP

Take Care When Cost-Sharing Under CalPERS

With overall required contribution rates increasing at an alarming rate, most CalPERS employers – particularly those with significant “classic” safety populations – are looking for help to pay for these obligations....more

Best Best & Krieger LLP

A 457(b) Plan Distribution Depends on Which 457(b) Plan You’re In

With very few exceptions, the rules governing governmental 457(b) plans require a “severance of employment” to occur before a distribution can be made. Recently, we came across yet another of those arcane, little-known rules...more

Best Best & Krieger LLP

CalPERS Board Decision on Contract Workers Will Not Become Precedential. Now What? - Contract Workers May Still Be Reclassified as...

The CalPERS Board of Administration will not consider whether to establish the Tracy Fuller decision as a CalPERS precedent, we have confirmed. While the decision to not pursue Fuller as a precedential decision is welcome...more

Best Best & Krieger LLP

California Supreme Court Rules in Cal Fire Case – Round One Goes to the Legislature, But It Ain’t Over

The California Supreme Court recently issued its decision in the Cal Fire Local 2881 v. CalPERS case – the first of six so-called “California Rule” (“Vested Pension Rights”) cases pending before the Court. The California...more

Best Best & Krieger LLP

California Supreme Court Decides Cal Fire Narrowly - Option to Purchase Airtime is Not a Vested Right

As expected, the California Supreme Court affirmed the appellate court’s holding in Cal Fire Local 2881 v. California Public Employees’ Retirement System et al., concluding that the plaintiffs did not have a vested right to...more

Nossaman LLP

California Supreme Court Announces Date for Oral Argument in the First of Its Five Pending Vested Rights Cases

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In a much awaited announcement, on November 8, 2018, the California Supreme Court scheduled oral argument in CalFire Local 2881, et al. v. CalPERS, et al., which is the first of the five pending vested rights cases that are...more

Best Best & Krieger LLP

CalPERS Employers Dodge A Bullet - SB 1124 Would Have Imposed Statutory Liability For Errors In Calpers Reporting

Gov. Jerry Brown vetoed legislation that would have imposed significant liability on CalPERS employers for errors in their CalPERS reporting which result in post-retirement pension reductions....more

Best Best & Krieger LLP

70 Years of Pension Precedent Could Soon Be Weakened by the California Supreme Court - Isabel Safie Provides Insight Into Lawsuits...

It’s a big litigation year for California pensions. The California Supreme Court ruled last month that San Diego’s landmark pension cutback legislation, Proposition B, was illegally placed on the 2012 ballot because city...more

Best Best & Krieger LLP

The Anticipated Demise of the Vested-Rights Doctrine - Cases Before State’s High Court Could Mean Big Changes for Retirement...

California’s cities are in crisis mode. With pension costs outpacing revenue growth and severely underfunded retirement systems (the California Public Employee Retirement System is only 68 percent funded), local...more

Best Best & Krieger LLP

Gov. Brown’s Executive Order Suspends Certain Retired Annuitant Employment Requirements - Modifications Needed for Disaster...

To ensure adequate staffing levels while responding to recent natural disasters in California, the California Public Employees’ Retirement System has modified the 960-hour limitation related to retired annuitants employed in...more

Best Best & Krieger LLP

CalPERS Employers are Now Subject to Two New Penalties - New Laws Change Out-of-Class Appointments Requirements and Impose New...

Two new California laws could result in costly fines to public agency employers who fail to adhere to the specified requirements. Assembly Bills 1487 and 1309 both went into effect Jan. 1....more

Best Best & Krieger LLP

Settlement Reached with CalPERS on Behalf of Truckee BB&K Represented Town in Negotiations

Following a CalPERS audit of the Town of Truckee, Calif. about three years ago, CalPERS determined that merit pay was not PERSable because it was only offered to employees who had reached the maximum on their salary ranges....more

Best Best & Krieger LLP

Connections the Key for Resolving CalPERS Issues - BB&K Partner Isabel Safie Helped Two Public Agencies Overcome Problems

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Best Best & Krieger LLP Partner Isabel Safie recently represented two special district clients in mitigating potential negative impacts related to CalPERS findings....more

Mintz - Securities Litigation Viewpoints

Briefs Filed in CalPERS v. ANZ Securities

On February 27, 2017, the California Public Employees’ Retirement System (“CalPERS”) filed its brief with the Supreme Court, requesting that the Court reverse the decision of the Second Circuit and abrogate the Second...more

Nossaman LLP

First District Court of Appeal Speaks Again on Vested Rights as It Upholds the Constitutionality of PEPRA's Elimination of...

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On December 30, 2016, Division Three of the First District Court of Appeal (“DCA”) issued a unanimous published decision in Cal FIRE Local 2881, et al. v. CalPERS, et al. (Dec. 30, 2016, A142793) (“CalFIRE Decision”)...more

Allen Matkins

California’s New “Thermal Coal” Divestment Law Forces Fiduciary Duty Question

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Public pension funds exist to provide retirement benefits to public employees.  Cal. Const. Art. XVI, § 17(a).  In 1992, the voters of California tried to eliminate political interference with the state’s retirement funds by...more

Allen Matkins

Is Buying Stock The Same As Providing Capital?

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A report issued by the California Public Employees’ Retirement System (CalPERS) implies otherwise.  The report entitled “CalPERS for California 2014” trumpets CalPERS’ investment in California businesses and its indirect...more

Best Best & Krieger LLP

CalPERS Clarifies Rules for Hiring Retirees

Long-Awaited Guidance Details Requirements for Employing CalPERS Retirees - The rules on employing retirees of the California Public Employees’ Retirement System (CalPERS) have been subject to numerous changes in the...more

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