Retired Yorba Linda council members' medical, pension benefits continue for life under CalPERS
Here's a
mixture of new and updated information on the hot-button issue of
lifetime medical and
pension benefits for which now-retired Yorba Linda City Council
members qualify:
--This
year, the city is paying $13,490 in medical insurance premiums for
three past members. The city pays 90 percent of the premium, rising
to 95 percent next year and 100 per-cent in 2016, up to a $1,167
monthly maximum per retiree.
Monthly
city-paid contributions are $276 for Barbara Kiley and $295 for Hank
Wedaa, both for single coverage, and $553 for single and one
dependent coverage for Gene Wisner, according to data provided upon
my request by Finance Director Dave Christian.
Kiley,
elected to two terms, served eight years, 1992-2000; Wedaa, elected
to eight terms, served 30 years, 1970-1994, 1996-2000 and 2007-08;
and Wisner, appointed and elected to five terms, served 15
years, 1983-1992 and 1994-1999.
--Five
past members collect monthly pensions all or partly based on years of
council service through the California Public Employees Retirement
System, known as CalPERS: Kiley, Wedaa, Wisner, Irwin Fried (four
terms,1976-1992) and John Gullixson (three terms, 1990-2002).
The five
collected a combined total of some $18,000 last year, based on
council service. Gullixson also earned CalPERS credit for a
post-council stint as executive director of Plumas County's Local
Agency Formation Commission.
Pensions
can begin at age 55 after a minimum of five years of CalPERS-covered
service, computed by multiplying service years by salary and a 2
percent at age 55 formula. Salary for most was $500 per month plus
for most a $60 monthly Redevelopment Agency stipend.
Thus, a
participant serving two terms and retiring at 55 would receive $89.60
per month, and a participant serving the current three-term maximum
would receive $134.40 per month, plus annual 2 percent cost-of-living
adjustments, for life.
The 2
percent factor increases to 2.418 percent at age 63, so a participant
serving two terms and taking a pension at or after that age would
collect $108.33 monthly, and a participant serving three terms
$162.49 monthly, plus the yearly COLAs, for life.
--Since
CalPERS pensions vest upon five years of service, members with less
than five years would not qualify for a pension, unless they have
other CalPERS-covered government employment that can be added to the
council service to meet or exceed the five-year minimum.
Or
individuals leaving council service can apply to CalPERS to have the
seven percent of salary employee contribution, plus interest,
returned, even though that entire amount was for many years
city-paid. Employer contributions – currently 18 percent –
aren't rebated.
In 1995, council
members granted themselves the same benefit and retirement packages
as management employees – on a 3-2 vote – with Kiley, Wisner and
Mark Schwing in favor and Gullixson and Dan Welch opposed.
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