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HomeMy WebLinkAbout2014 11 12 CC MIN SS MINUTES • BALDWIN PARK CITY COUNCIL STUDY SESSION AND SPECIAL MEETING NOVEMBER 12, 2014, 6:00 P.M. COUNCIL CHAMBER - 14403 E. Pacific Avenue, Baldwin Park, 91706 CALL TO ORDER The meeting was called to order at 6:16 p.m. by Mayor Pro Tern Pacheco. ROLL CALL PRESENT: Councilmember Cruz Baca Councilmember Susan Rubio Mayor Pro Tern Ricardo Pacheco Mayor Manuel Lozano arrived at 6:57 p.m. ABSENT: Councilmember Monica Garcia II PUBLIC COMMUNICATIONS Mayor Pro Tern Pacheco opened Public Communications at 6:18 p.m. • An unidentified local resident asked whether it is true that those City employees who choose not to take health insurance receive an "in-lieu" stipend. Al Luna opined that benefits should not be paid to retirees until they reach the age of 60 and that those collecting pensions and medical benefits are putting a strain on the City's finances. Mayor Pro Tern Pacheco closed Public Communications at 6:22 p.m. STUDY SESSION /OPEN SESSION 1. Presentation concerning "the long term impacts of"Other Pension Employer Benefits" (OPEB) Carolyn McLeod, Director of Health and Benefit Actuarial, with Bickmore narrated a PowerPoint presentation which provided a brief overview of the factors that affect other post-employment benefits. Ms. McLeod reviewed the current eligibility requirements, the benefits covered, and which are direct versus indirect subsidies. She also explained the medical coverage provided through CaIPERS, in accordance with the Public Employees' Medical and Hospital Care Act (PEMHCA), and how it ties into the subsidies paid by the City. During her presentation, Ms. McLeod provided a snapshot of the 2013 Valuation and how it appears on the financial accounting reports for the City. She then provided some Page 1 of 2 • suggestions that could be considered for discussions which would serve to mitigate future liabilities. Following the presentation, Ms. McLeod responded to questions from Council, clarifying how CaIPERS and PEMHCA tie in to the City's current post-employment benefits program; explained that meeting the State requirements is already a part of the City's program and that adjustments could be made that would translate to long-term funding for retirees and would also meet the requirements of State and CaIPERS rules. It was also noted that adjustments to the qualification and terms of benefits payments would be subject to review by labor negotiation groups, so immediate implementation of changes is not currently an option. Craig Graves, Director of Finance, stated that he would be working with Human Resources and Administration to consider all viable options in seeking a balance of long- term care for retirees but also protection for the financial health of the City. ADJOURNMENT There being no further business, motion was made by Lozano, second-• by Baca, to adjourn the meeting at 7:32 p.m. La • ATTEST: 1 r /r" < City Clerk APPROVED: DP< +n- be„- 3 ;2-01 Li • Page 2 of 2