When a district’s governing board takes action to provide increases to employee benefits or compensation such as a retroactive cost-of-living-adjustment (COLA), bonus, or an off-salary-schedule payment, it is important to notify School Business Advisory Services (SBAS).
1. Important reminders:
* Before settling negotiations, please be aware there may be differences in the types of compensation subject to retirement contributions for certificated and classified employees. Please see example below and attached documents. * Obtain necessary board approval before inputting current or retroactive benefit or pay adjustments. * Districts are responsible for erroneous retirement reporting and may be required to assist with corrections.
1. Notify your District Financial Advisor (DFA) – Submit a Public Disclosure of Proposed Collective Bargaining Agreement (Public Disclosure) Public school districts are required to provide notification of salary settlements to their reviewing agencies and publicly disclose proposed collective bargaining agreements before entering into a written agreement.
Please submit your Public Disclosure form to SBAS at least 10-working days prior to the date that the Governing Board will take action on the proposed agreement. During the 10-day window, your DFA will review information in the document for completeness, transparency and reasonableness.
Contact your DFA if you have questions about the Public Disclosure form or process.
* Nicole Evenson nevenson@sbceo.org<mailto:nevenson@sbceo.org> 805-964-4711 x 5271 * Makenzie Johns mjohns@sbceo.org<mailto:mjohns@sbceo.org> 805-964-4711 x 5259 * StephenWilliams sgwillaims@sbceo.org<mailto:sgwillaims@sbceo.org> 805-964-4711 x 5273
1. Notify the School Business Advisory Services Payroll Team – Proactively review items that include:
* Benefits – how to make changes to the caps * Retroactive pay – which Addons, Bargaining Units, and Pay Cycles to include * Salary schedules – copying and applying percentage changes, inputting end and start dates * Guidance on whether compensation is subject to retirement contributions for the California Public Employees’ Retirement System (CalPERS) or California State Teachers’ Retirement System (CalSTRS) * How to properly code compensation for CalPERS and CalSTRS reporting
For example, an Off-Salary-Schedule payment is:
Retirement system Sometimes called a Classic member Generally hired on or before 12-31-2012 Sometimes called a PEPRA member Generally hired on or after 1-1-2013 CalPERS 2% at 55 2% at 62
Subject to retirement under specific conditions, (a) the amount cannot exceed 6% of the salary schedule and (b) can only be given when a pay increase has not been granted in the same fiscal year. Not subject to retirement. CalSTRS 2% at 60 2% at 62
Subject to retirement, but the compensation must be coded to the DBS (not DB) plan. Not subject to retirement.
* Before inputting a retroactive payroll, watch the Escape Webinar identified below. Please note that Escape does not update Webinars each year; therefore look for presentations in the current and previous year(s). 
Payroll Contacts in SBAS
* Myron Porter mporter@sbceo.org<mailto:mporter@sbceo.org> 805-964-4711 x 5280 * Staci Hunter shunter@sbceo.org<mailto:shunter@sbceo.org> 805-964-4711 x 5254 * Richard Weger rweger@sbceo.org<mailto:rweger@sbceo.org> 805-964-4711 x 5242 * Sheng Xiong sxiong@sbceo.org<mailto:sxiong@sbceo.org> 805-964-4711 x 5252
Helpful Resources
CalPERS employer references pages:
* Compliance in Compensation Reporting www.calpers.ca.gov/page/employers/policies-and-procedures/compliance-in-compensation-reporting
* Special Compensation Reportability Table www.calpers.ca.gov/page/employers/mycalpers-technical-requirements/special-compensation-reportability-table
CalSTRS employer helpful references:
* One-Time Off Salary Schedule Payments www.calstrs.com/sites/main/files/file-attachments/eic21-6.pdf?1628097632
* CalSTRS Employer Support Portal – Teachers’ Retirement Law Aids employersupport.calstrs.com/
* CalSTRS Creditable Compensation employersupport.calstrs.com/GetFile/8c975bc9-1b6d-4889-8cef-6932f92cf8e7
Regards,
School Business Advisory Services Team Santa Barbara County Education Office
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