Measure JJ: Latest on council salaries, benefits

Remember Yorba Linda's Measure JJ on the November 2014 ballot?

The wording was simple: “Shall the ordinance prohibiting City Council members serving future council terms from receiving pension benefits and health care benefits be adopted?”

And the “yes” vote was overwhelming – 16,061 to 2,714 “no” – but the matter became a political football both during and since last year's recall and regular council elections, as candidates and supporters argued endlessly over who would and who wouldn't be affected.

Now with the law on the books for nine months, I asked city Finance Director Dave Christian to update salaries and benefits for sitting and retired council members, including those who participate in the state Public Employees Retirement System (PERS).

Here's Christian's response, which clarifies who receives “cafeteria” and pension benefits:

“All five of the council members receive a monthly stipend of $500, a monthly phone allowance of $36 (except Gene Hernandez, who opted out) and a monthly car allowance of $100. The monthly stipend will increase to $525 per month for councils seated on or after Dec. 3, 2014 (the current council was seated on Dec. 2, 2014).

“Tom Lindsey, Mark Schwing and Craig Young are all members of PERS, and as such contribute six percent of their stipend into the system. While Measure JJ eliminated retirement benefits for newly elected (or re-elected) council members going forward, Tom was already a member of PERS, and as such they have dictated that he remain a member, requiring contributions from both him and the city as normal.

“However, Tom has given the city a signed statement indicating that he will not file for retirement benefits from PERS upon his separation from service with the city, thus complying with the intention of Measure JJ.

“Council members receiving the cafeteria plan benefit of $1,095 per month are Gene Hernandez, Mark Schwing and Craig Young. Each have elected to have this amount deposited into a deferred compensation account in lieu of receiving health insurance benefits. Peggy Huang and Tom Lindsey do not receive this benefit as a result of Measure JJ.

“The city contributes 21 percent of pay into PERS for the three council members mentioned above (Lindsey, Schwing and Young), who contribute six percent themselves. The only council member receiving dental/vision benefits from the city's self-insured plan is Mark Schwing. The administrative fee remains the same at $9.20 per month. All five...are included in the Employee Assistance Program at a cost to the city of $3.02 per month each.

“The city currently pays 95 percent of the medical insurance premium for retired council members. This will increase to 100 percent in January 2016 (subject to a ceiling of $1,167 per month). The new monthly amounts for the three retired council members are Barbara Kiley, $322.50; Hank Wedaa, $350.32; and Gene Wisner, $644.99.”