The board may prescribe the terms and conditions upon which the officers and employees of the district or their beneficiaries shall be entitled to benefits and the amounts thereof.
Retirement SystemBenefits and Contributions
Section § 12331
This section gives the board the authority to decide the rules for when district officers and employees, or their beneficiaries, can receive benefits, and how much those benefits will be.
district board officers benefits employee benefits
Section § 12332
This law says that part of a member's retirement benefits can be based on the work they did for the district before the retirement system was set up. This past work is referred to as 'prior service.'
The retirement allowance may be predicated in part upon service rendered the district by a member prior to the establishment of the retirement system, which service is known as “prior service.”
retirement allowance prior service member benefits
Section § 12333
This law requires that both the district and its members contribute to the retirement system. The board is responsible for setting the contribution rates for district employees based on certain data and estimates.
The board shall provide that both the district and the members shall contribute to the retirement system. Based on tables and assumptions adopted by the board, it shall fix the rates of contributions by officers and employees of the district who are members of the retirement system.
retirement contributions contribution rates district employees
Section § 12334
This law states that everyone who is part of the retirement system must contribute money as determined by the board. These contributions can be automatically taken out of their paycheck.
All members of the retirement system shall contribute in the manner and amount fixed by the board and such contributions may be collected by deducting the amounts thereof from the salary, wages, or compensation due such members.
retirement contributions member contributions deductions from salary
Section § 12335
This section explains how a district must handle financial responsibilities related to retirement benefits. Any benefits beyond what members' contributions cover must be funded by the district. The district can spread out these payments over several years instead of paying all at once. However, until the district's future contributions and available assets match the value of all the retirement benefits promised, each year's funding must at least equal or exceed what was paid out that year for past service or other commitments.
Liabilities accruing under the retirement system because of benefits other than such as are the equivalent of contributions by the members, with accumulated interest, shall be met by contributions by the district. Prior service or other liabilities of the district may be met by annual appropriations instead of by one appropriation for the total of the liabilities; but until the present value of regular contributions for current service, together with assets then available, equals the present value of all allowances and benefits granted or to be granted under the system, the appropriation for any one year when added to any unused balance of any previous appropriations for such purpose shall not be less than the amount disbursed during that year on account of prior service or other liabilities of the district.
retirement system liabilities member contributions district funding
Section § 12336
If a member of the retirement system leaves before retiring, they can get back all the money they have put in, along with any interest earned. However, the board can decide the rules for a member who stops working (but isn’t dead or retiring) to leave their contributions in the system. The board also sets the conditions for how and when such members might receive retirement payments based on what they’ve contributed.
If any member withdraws from the retirement system prior to retirement the total amount contributed by him with such interest as may be credited thereto shall be returned to him; provided, however, that the board may prescribe the terms and conditions upon which a member, whose district service is terminated except by death or retirement, may elect to leave his contributions and interest thereon in the retirement fund, and the terms and conditions upon which a retirement allowance may be made to him after such termination based upon his contributions prior to such termination.
retirement system withdrawal member contributions return credited interest
Section § 12337
Money from pensions, annuities, retirement benefits, disability payments, or death benefits from the retirement system is protected. This means it cannot be given away or taken through legal action, except in specific situations mentioned in another law, Section 704.110 of the Code of Civil Procedure.
All money received by any person as an annuity, pension, retirement allowance, disability payment, or death benefit from the retirement system, and all contributions and interest thereon returned to any member of the retirement system, whether in the actual possession of such person or deposited, loaned, or invested by him, is unassignable, and is exempt from execution or any other process except to the extent permitted by Section 704.110 of the Code of Civil Procedure.
annuity protection pension benefits retirement allowance
Section § 12337.5
This law allows a retirement board to act on a retired member's written consent to deduct certain amounts from their retirement payments. These deductions can be for health plan premiums, taxes, or contributions to a utility district credit union, with the benefit going to the retiree or their family.
Notwithstanding the provisions of Section 12337, the retirement board may comply with and give effect to a revocable written authorization signed by a retired member or beneficiary of a retired member entitled to a retirement allowance or benefit under this chapter, authorizing the district to deduct appropriate amounts from the retirement allowance or benefit payable to any such retired member or beneficiary of a retired member for the purpose of paying premiums of any group medical or hospital service plan, or both, approved by the district, for the benefit of such retired member or his dependents, for the payment of personal income taxes to the Government of the United States or of the State of California, or for the purchase of shares in, or the payment of money to, the utility district credit union.
retirement board revocable authorization deduction from retirement allowance
Section § 12338
This law allows districts to set up a deferred compensation plan for their officers and employees. It refers to following certain government code guidelines when doing so.
Nothing in this division shall prevent a district from establishing a deferred compensation plan for some or all of its officers and employees pursuant to Article 1.1 (commencing with Section 53212) of Chapter 2 of Part 1 of Division 2 of Title 5 of the Government Code.
deferred compensation plan district officers district employees
