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CalPERS Extends Comment Period for Precedential Decision, Again

By Vanessa Gonzales posted 06-01-2020 03:27 PM

  

CalPERS_2.jpegOn February 26, 2020, CalPERS issued a memorandum requesting public comments regarding the designation of the CalPERS’ Board of Administration’s Decision in the Dudley Lang matter as precedential. CalPERS had requested that all public comments be submitted no later than March 27. However, due to the challenges associated with responding to COVID-19, CalPERS determined that the public comment period should be extended and pushed the comment deadline out to May 15. As the deadline approached, CSDA requested another extension on the comment period and CalPERS has graciously granted that request. While an official memo extending the comment period is forthcoming, CalPERS has communicated directly with CSDA that the matter is now scheduled to be heard during the September 14-16 CalPERS Board meetings, meaning the comment period will be extended into August.

CalPERS staff is seeking to make the Lang Decision precedential because, in their opinion, it is the explanation and application of the Public Employees’ Retirement Law’s working after retirement restrictions, and the penalty assessed when a member violates those restrictions. The CalPERS’ staff analysis, requesting the Decision be posted for comment states: “The Lang Decision details the applicable analysis to be performed when determining whether post-retirement employment falls within the limited exceptions to the general rule. In addition, the Lang Decision provides definitive guidance that a respondent, and not CalPERS, has the burden of establishing the retiree’s post-retirement employment is lawful. Finally, the Lang Decision provides definitive guidance that the law requires that a retiree reimburse CalPERS all of the retirement allowance that was received during the period(s) of unlawful post-retirement employment.”

While simultaneously seeking an extension to allow for greater participation in the comment period, CSDA submitted comments to oppose the decision making it precedential because it would eliminate the current three-year statute of limitations on CalPERS’ ability to retroactively recover overpayments to retirees “where the system makes an erroneous payment to a member or beneficiary.”

When the official memo from CalPERS extending the comment period for the Lang Decision is issued, CSDA will post it to the Advocacy News Community on the CSDA website. Should you have any questions about the Decision and how it may impact your district, please contact CSDA’s Senior Legislative Representative, Dillon Gibbons, at dillong@csda.net


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