Website lacera.com | Founded 1 January 1938 | |
Formed January 1, 1938 (79 years ago) (1938-01-01) Agency executives Gregg Rademacher, Chief Executive OfficerDavid Kushner, Chief Investment OfficerBeulah Auten, Chief Financial OfficerJJ Popowich, Asst. Executive OfficerRobert Hill, Asst. Executive Officer Headquarters Pasadena, California, United States | ||
The Los Angeles County Employees Retirement Association (LACERA) is an independent Los Angeles County agency that administers and manages the retirement fund for the County and outside Districts (Little Lake Cemetery District, Local Agency Formation Commission, Los Angeles County Office of Education, and South Coast Air Quality Management District). In 2012, it managed defined benefit pension plans for 156,563 civil servants (members), including 56,752 retirees, making it the largest county retirement system in the United States. In 2012, LACERA’s net assets were worth US$38.3 billion.
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History
LACERA was established on January 1, 1938, following passage of the County Employees Retirement Law of 1937 (CERL), which mandates LACERA to pay for the defined retirement benefits of Los Angeles County employees and their beneficiaries. In 1971, LACERA began administering a retiree healthcare benefits program.
Management
LACERA is governed by two Boards, each composed of 9 members:
Day-to-day management and operation of LACERA is delegated to a Chief Executive Officer, who is appointed by both Boards.
Board of Retirement
The Board of Retirement (BOR) administers the retirement system, the retiree healthcare program, and the review and processing of disability retirement applications.
The Board of Retirement’s members are appointed as follows:
The Board of Retirement meets at 9 a.m. on the first Wednesday of each month and the next Thursday of the following week.
Board of Investments
The Board of Investments (BOI) establishes LACERA’s investment policy and objectives and exercises authority and control over the retirement fund’s investment management.
The Board of Investments’ members are appointed as follows:
The Board of Investments meets at 9 a.m. on the second Wednesday of each month.
Health care benefits
LACERA provides health insurance plans for its retired members. LACERA covers 100% of healthcare premiums for Los Angeles County retirees who have at least 25 years of public service. For members with 10 years of public service, LACERA contributes 40% of health care plan premiums, with an additional contribution of 4% for each additional year worked.
Retirement plans
LACERA offers two tracks of retirement plans, for general members (civil servants) and for safety members (safety employees, including sheriff deputies and firefighters), further subdivided as follows:
Finances
As of June 30, 2012, LACERA’s net assets were worth US$38.3 billion, a decrease of $1.1 billion, or 2.9%, from the prior year. The latest actuarial valuation on June 30, 2011, determined that LACERA had a funded ratio of actuarial assets to the actuarial accrued liability of 80.6%. For fiscal year (FY) 2011-12, LACERA's fiscal-year-to-date return on investments was 0.10%; the FY 2010-11 return was 20.40%.
Over the past 15 years, each LACERA pensions has been funded as follows:
Reciprocity
LACERA has reciprocity with the other California public retirement systems, including:
LACERA also has reciprocity with other California public agencies and districts, cities, counties, school districts, superintendents of schools and others that are covered by CalPERS or have a reciprocal relationship with CalPERS.