2021/10/12 City Council Resolution 2021-118 RESOLUTION NO. 2021-118
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROHNERT PARK
AUTHORIZING AN INCREASE IN APPROPRIATIONS OF $24.3 MILLION TO PAY
CITY'S UNFUNDED ACCRUED PENSION LIABILITY (UAL)
WHEREAS, the City of Rohnert Park(the "City") has previously adopted a retirement
plan pursuant to the Public Employees' Retirement Law, commencing with Section 20000 of the
Government Code of the State of California, as amended (the"Retirement Law") and elected to
become a contracting member of the California Public Employees' Retirement System
("CalPERS"); and
WHEREAS, the Retirement Law and the contract (as amended, the "PERS Contract")
effective July 1, 1965, between the Board of Administration of PERS and the City Council of the
City(the "City Council") obligate the City to (i) make contributions to PERS to fund pension
benefits for certain City employees, (ii)make payments towards the unfunded actuarial liability
with respect to such pension benefits under the Retirement Law and the PERS Contract (the
"UAL"), and (iii) appropriate funds for the foregoing purposes; and
WHEREAS,the City had an outstanding UAL balance of approximately $53.8 million as
per the June 2020 valuation reports published by California Public Employees' Retirement
System (CalPERS); and
WHEREAS,the City Council, after due deliberation, has determined that it is in the
public interest of the City at this time to reduce the City's UAL using the City's available
reserves and funding from the City's Public Agency Retirement Services (PARS)Trust; and
WHEREAS, the City has set-aside funds in the City Facility Reserve account, the City
Contingency Reserve account, and has available funds in the Public Agency Retirement Services
(PARS)program, a tax exempt trust under Section 115 of the Internal Revenue Code and
relevant statutory provisions of the State of California, for such purposes; and
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Rohnert
Park that it does hereby authorize the Finance Director to increase appropriations of$ 24,300,000
in the General Fund and record the use of$10,000,000 from the City Facility Reserve,
$7,700,000 from the City Contingency Reserve and available remaining balance in the City's
PARS Trust (approximately $6,600,000)to pay down the City's UAL with CalPERS.
BE IT FURTHER RESOLVED that the City Manager is hereby authorized and directed
to make payments to CalPERS as described in this resolution and execute any necessary
documents on behalf of the City of Rohnert Park related to the same.
DULY AND REGULARLY ADOPTED this 12th day • i s ser, 2021.
CITY I ' I 0 ERT PARK
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ATTEST:
Elizabeth Machado, Acting City Clerk --
ADAMS: 1=11.(e LINARES: ALle. STAFFORD: ELWARD: e. GIUDICE: c,
AYES: ( 5 ) NOES: ( 0 ) ABSE T: ( 95 ) ABSTAIN: ( z )
Resolution 2021-118
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