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CHAPTER 941, STATUTES OF 1977 - SB 439

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Government Code section 7507, relating to the approval of benefits in public retirement systems, was added in 1977 following legislative passage of Senate Bill 439, which affected this section only.  (See Exhibit A, #1e)  Senator Newton R. Russell introduced this measure “upon the recommendations of the California Taxpayers Association and the Senate committee on Public Employment and Retirement.”  (See Exhibit A, #1a; and #13, document PE-10)   


Senate Bill 439 was assigned to the Senate Committee on Public Employment and Retirement and the Assembly Committee on Public Employees and Retirement where policy issues raised by the bill were considered.  (See Exhibit A, #3 and #9)  The fiscal ramifications of the bill were considered by the Senate Committee on Finance and the Assembly Committee on Revenue and Taxation.  (See Exhibit A, #2 and #5)  Three amendments were made to Senate Bill 439 while being heard in both Houses of the Legislature.  (See Exhibit A, #1b through #1d and #2)  Subsequent to legislative approval, Governor Edmund G. Brown, Jr., signed Senate Bill 439 on September 21, 1977, and it was recorded by the Secretary of State on the same day as Chapter 941 of the Statutes of 1977.  (See Exhibit A, #1e and #2)


The Enrolled Bill Report to the Governor prepared by the Legislative Secretary described Senate Bill 439 as follows:


This bill would require the Legislature and local legislative bodies to obtain actuarial evaluations of future annual costs before authorizing increases in public retirement plan benefits and to make the information public at a public meeting at least two weeks prior to the adoption of such increases.

(See Exhibit A, #13, document PE-2)