20250AB__160199INT INTRODUCED 2026-01-16 2025 AB INT Introduced by Assembly Member Rogers LEAD_AUTHOR ASSEMBLY Rogers

An act to add

Section 31874.7 to the Government Code, relating to public employees’ retirement. public employees’ retirement County employees’ retirement: cost-of-living adjustments. The County Employees Retirement Law of authorizes counties to establish retirement systems for county employees, authorizes counties to establish a board of retirement, and authorizes the board of retirement to provide cost-of-living adjustments and certain supplemental cost-of-living allowances.

Existing law, applicable to Sonoma County and Imperial County, authorizes the board of retirement, with approval of the county board of supervisors, to grant a cost-of-living adjustment on a prefunded basis to the retirement allowances, optional death allowances, or annual death allowances payable to or on account of eligible members. This bill would permit the county board of supervisors for Sonoma County to authorize a cost-of-living adjustment to the retirement allowances, optional death allowances, or annual death allowances payable by the retirement system.

Before authorizing a cost-of-living adjustment, the bill would require the county board of supervisors to take various actions, including collaborating with the retirement board to identify the eligible retired members, survivors, beneficiaries, or successors in interest designated, or a subset of those benefit recipients, to receive the cost-of-living adjustment, the amount thereof, and the funding source. This bill would make legislative findings and declarations as to the necessity of a special statute for Sonoma County.

MAJORITY NO NO NO NO NO NO NO NO NO NO The people of the State of California do enact as follows:

SECTION

Section 31874.7 is added to the Government Code , immediately following

Section 31874.6 , to read: 31874.7. (

a) Notwithstanding any other provision of law, on an annual basis, the county board of supervisors may authorize a cost-of-living adjustment to the retirement allowances, optional death allowances, or annual death allowances payable by the retirement system. The action by the board of supervisors may specify a date as of which the adjustment shall be effective and, if no effective date is specified, the adjustment shall be made in allowances payable for the time commencing on the first day of the month following the action by the county board of supervisors. (

b) Prior to the authorization of a cost-of-living adjustment under this section, the county board of supervisors shall collaborate with the retirement board to identify the eligible retired members, survivors, beneficiaries, or successors in interest designated, or a subset of those benefit recipients, to receive the cost-of-living adjustment, the amount of the cost-of-living adjustment, and the funding source. A statement of the actuarial impact upon future annual costs, prepared by an enrolled actuary, shall be provided and reported in accordance with Sections 31515.5 and 31516. (

c) The county board of supervisors may authorize a cost-of-living adjustment under any

section in this

article and

Article 16.6 (commencing with

Section 31875) of

Chapter of Part of Division of Title or may specify the adjustment provided by this

section shall be payable only to those eligible retired members, survivors, beneficiaries, or successors in interest whose accumulated loss of purchasing power equals or exceeds an amount specified by the board of supervisors as of January of the year the board of supervisors takes action pursuant to this section. Loss of purchasing power shall be determined by the board of supervisors based on the difference between the following:

(1) The initial retirement allowance, optional death allowance, or annual death allowance as it would have been increased by the cumulative total effect of the annual changes, rounded to the nearest one-half of percent, in the Consumer Price Index for All Urban Consumers for the area in which the county seat is situated.

(2) The retirement allowance, optional death allowance, or annual death allowance as actually increased by cost-of-living adjustments previously granted with respect to the allowance, if any. (

d) A cost-of-living adjustment granted pursuant to this

section shall become part of the retirement allowance, optional death allowance, or annual death allowance to be increased by any subsequent cost-of-living adjustments. The granting of an increase pursuant to this

section in any particular year does not create any continuing entitlement to additional increases in subsequent years and does not create any claim by a retired member, survivor, beneficiary, or successor in interest against the county, district, or retirement fund for any increase in any allowance paid or payable prior to the effective date of the action by the county board of supervisors pursuant to this section. (

e) This

section shall only apply to a county of the 19th class, as defined by Sections and 28040, as amended by

Chapter of the Statutes of 1971.

SEC. 2. The Legislature finds and declares that a special statute is necessary and that a general statute cannot be made applicable within the meaning of

Section of

Article IV of the California Constitution because of the unique circumstances facing Sonoma County.