Contact: Tony Bell, Communications Deputy
Office: (213) 974-5555 Cell: (213) 215-5176
October 12, 2010 For Immediate Release
LOS ANGELES COUNTY – In a motion introduced before the Board of Supervisors, Supervisor Michael D. Antonovich called for the adoption of reforms to the County’s pension system proposed previously in a report by the County‘s Chief Executive Officer.
Similar to those currently proposed for the State of California, the CEO’s report includes changes to the final compensation pay rate, increase of the minimum retirement age and increases of the contribution amount.
“If adopted by the County, these reforms would result in a potential savings of over $200 million annually,” Antonovich said pointing to the escalating rate of Retiree Health Benefits plan costs’ administered by Los Angeles County Employees Retirement Association -- a rate greater than the amount set aside in the Trust Fund established by the Board of Supervisors.
The Supervisor’s motion also directed the CEO to begin negotiations with all County Unions to modify the current pension plan.
The reforms currently under consideration by the State of California include:
ü Changing the final compensation from highest average compensation for one year to three years for new employees.
ü Increasing minimum retirement ages for Safety Plan B and General Plan D
ü Increasing Employee Retirement Contributions for current and new employees.