BILL ANALYSIS
ACA 12
Page 1
ASSEMBLY THIRD READING
ACA 12 (Papan)
As Introduced June 6, 2001
2/3 vote
ELECTIONS 8-3 APPROPRIATIONS 13-5
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|Ayes:|Longville, Bill Campbell, |Ayes:|Migden, Alquist, Aroner, |
| |Cardenas, Horton, Kehoe, | |Washington, Corbett, |
| |Leonard, Oropeza, Vargas | |Goldberg, Papan, Pavley, |
| | | |Simitian, Thomson, |
| | | |Wesson, Wiggins, Wright |
| | | | |
|-----+--------------------------+-----+--------------------------|
|Nays:|Ashburn, Aanestad, |Nays:|Bates, Ashburn, Correa, |
| |Daucher | |Daucher, Zettel |
| | | | |
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SUMMARY : Authorizes a legislator to accrue pension or
retirement benefits as a result of his or her service in the
Legislature if the person was a member of a public retirement
system prior to election to the Legislature. Makes minor,
technical changes to existing law.
EXISTING LAW prohibits the accrual of pension or retirement
benefits as a result of service in the Legislature, other than
federal social security benefits, by Members of the Legislature
elected or serving after November 1, 1990.
FISCAL EFFECT : According to the Assembly Appropriations
Committee analysis:
1)One-time General Fund costs of about $220,000 for printing the
text of the measure and arguments for and against the measure
in the voter pamphlet.
2)Unknown additional costs to public pensions. Costs would
depend on the number of legislators with prior membership in
public pension systems, the number of years of service in
those systems, and the type of retirement benefits available
in those systems.
COMMENTS : According to the author, "[t]he inability of
ACA 12
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Legislators to participate in a retirement plan deprives their
family of receiving any benefits, including death benefits
should the member pass away unexpectedly. . . . Many Legislators
come from public service backgrounds. For instance, many of the
current members have . . . served our communities diligently as
teachers, civil servants or elected officials at the municipal
and county levels. By continuing their public service as state
Legislators, members have demonstrated their commitment to
solving [society's] problems and making government work for
their constituents. As such, Legislators should be able to
participate in the same retirement plan that is available to
those employed by the state government."
Approved by voters in the 1990 statewide general election,
Proposition 140 imposed legislative term limits and prohibited
legislators from participating in state retirement systems.
This measure seeks to amend Section 4.5 of Article IV of the
California Constitution, which was added by Proposition 140.
ACA 12 (Papan), Resolution Chapter 83, Statutes of 2000, which
was placed on the 2000 statewide general election ballot as
Proposition 33, would have authorized legislative participation
in the Public Employees' Retirement System. Proposition 33 was
rejected by voters by a margin of 61% to 39%.
A companion measure to this bill, AB 1190 (Papan), pending in
the Assembly Banking and Finance Committee, makes various
changes to sections of the Government Code relating to
reciprocity of retirement benefits between public retirement
systems. According to the author's office, these changes would
be necessary upon approval of this measure because existing law
imposes time limits that could prevent reciprocity between
legislators' retirement systems as authorized by this measure.
As a constitutional amendment, this measure will need voter
approval in order to take effect.
Analysis Prepared by : Ethan Jones / E., R. & C. A. / (916)
319-2094
FN: 0003072