Labor
County employees’ retirement: cost-of-living adjustments
Sonoma County may approve annual pension cost-of-living increases for eligible county retirement-system benefit recipients.
The law gives Sonoma County a process to address retirees’ loss of purchasing power while requiring the county to identify recipients, costs, and funding before acting.
What the law does
- Allows the Sonoma County Board of Supervisors to authorize annual cost-of-living adjustments for retirement, optional death, and annual death allowances.
- Requires the board to work with the retirement board to identify eligible recipients or a subset of recipients, set the adjustment amount, and identify its funding source.
- Requires an enrolled actuary’s statement of future annual cost impacts.
- Allows the board to limit an adjustment to recipients whose purchasing-power loss meets a threshold it sets, using local Consumer Price Index changes and prior adjustments.
- Makes an approved adjustment part of the allowance for future cost-of-living calculations, without guaranteeing future increases or retroactive payments.
Who it affects
- Retired Sonoma County employees receiving retirement allowances.
- Survivors, beneficiaries, and successors receiving eligible death allowances.
- Sonoma County’s Board of Supervisors and retirement board.
Context
The law applies only to Sonoma County.