Sonoma County Civil Grand Jury Grand Jury Report

The information related to pensions is daunting and difficult for the lay person Suggested Reading to understand. The California Employees Retirement Law

The County, its employees, and retirees of 1937 are well served by the Retirement The Public Employees Pension Reform Act Association. of 2013

Sonoma County, with the assistance Sonoma County Board of Supervisors of new State laws and good-faith Ad Hoc Commission On Pension Reform bargaining with employees, has made Report, November 3, 2011 strides towards reducing unfunded pension liabilities. Sonoma County Board of Supervisors Pension Reform Update, December 2014

Periodic comprehensive update reports on pension reform are valuable tools The 2014 Pension Reform Update for gauging the progress of reducing presented to the Board of Supervisors on the unfunded liability. January 27, 2015 at www.sonomaCounty. ca.gov/Board-of-Supervisors/Meeting-

A standard method of measuring Agendas-Minutes-and-Videos performance would help citizens gauge the progress of County’s goal of Agendas, minutes, and resolutions of the pension reform and funding pension Sonoma County Board of Supervisors liabilities. Sonoma County Civil Grand Jury Pension Reform Report 2014 - 2015 8 Agendas, minutes, and resolutions of the Retirement Board of the Sonoma County Employees Retirement Association County of Sonoma Citizen’s Report, Fiscal Year 2013-14 prepared by the County of Sonoma Auditor-Controller-Treasurer-Tax Collector Comprehensive Annual Financial Report For the year ended December 31, 2013 prepared by the Sonoma County Employee’s Retirement Association, A Pension Trust Fund for the County of Sonoma Letters and actuarial studies from Segal Consulting (actuaries) to the Sonoma County Employees Retirement Association Letters and actuarial studies from Bartel Associates, Inc. (actuaries) to the Sonoma County Administrator’s Office Comprehensive Annual Financial Report (CAFR) of the County of Sonoma for the fiscal year ended June 30, 2014 Reports and Articles by Ken Churchill at New Sonoma - www.newsonoma.org Reports and Articles by the Sonoma County Taxpayer’s Association - www. sonomacountytaxpayers.org Sonoma County Civil Grand Jury Report, “Sonoma County Pension Increases in 2002 - Legal or Not?” dated June 28, 2012 Sonoma County Civil Grand Jury Report 2005-2006, “The Impact of Yesterday’s Promises” dated June 26, 2007 Grand Jury Chapter Quotations from Sonoma County Board of Supervisors Ad Hoc Commission On Pension Reform, November 3, 2011 A Full Bibliography is Available at: Sonoma. courts.ca.gov Reports issued by the Grand Jury do not identify individuals interviewed. Penal Code section 929 requires that reports of the Grand Jury not contain the name of any person or facts leading to the identity of any person who provides information to the Grand Jury. Pension Reform Report 2014 - 2015 Consider Becoming a Grand Juror Grand jury service is a tremendously rewarding experience, providing a meaningful and independent say in local government. Sonoma County grand jurors play a distinct and vitally important role in government. They have broad oversight powers to investigate and influence positive change within the County, its cities, special districts and the many organizations that collectively constitute our local government. The Civil Grand Jury is made up of a diverse cross section of 19 County residents chosen for a one year term. They decide what to investigate and how to comment on their findings. They are self-starting and self-directed. They are bound by a common interest in promoting transparency and efficiency in government. Special training on grand jury investigative processes is provided to ensure that their work is conducted in a fair and objective manner, consistent with the provisions of the California penal code. The experience provides an enhanced understanding of local government and what it takes to make our community such a desirable place to live. Examples of past Sonoma County Grand Jury reports can be viewed on-line by clicking the link below. For further information and insight into the role that grand juries provide in California, please see the California Grand Jury Association’s web site at www.cgja.org Application forms to become a Sonoma County Civil Grand Juror are available online at Sonoma.courts.ca.gov (click on the Grand Jury tab at the top of the page). You may also obtain an application at the Administrative Office of the Sonoma County Courts, 600 Administration Drive, Room 106, Santa Rosa, CA 95403, phone 707-521-6501. By law, a Grand Juror must be a U.S. citizen 18 years of age or older; a resident of Sonoma County for at least one year; have sufficient knowledge of the English language to participate in meetings, take notes, and write reports; and have no convictions for malfeasance in office, any felony, or any other high crime. In addition to meeting the statutory requirements, a Grand Juror should be able to fulfill the time commitment required to be an effective Grand Juror, be in good health, have the ability to work with others and be tolerant of their views, have a genuine interest in community affairs, and have investigative and computer skills. Applications can be submitted throughout the year. Each spring, judges of the Superior Court interview prospective Grand Jurors from the applicant pool. Several members of the previous year’s Grand Jury may be selected to serve a second year in order to provide continuity. Sonoma.courts.ca.gov 10

Actuarial predictions cannot anticipate to contain and reduce pension costs, rather extreme market volatility, which may than increasing costs to further unsustainable result in investment losses and levels. While the forecast is encouraging, increased unfunded liabilities. caution must be exercised until a trend is established. Recommendations The County’s major cost is employee salaries. The Sonoma County Civil Grand Jury While the County can reduce the number of recommends that: employees, it cannot reduce its contractual obligations such as pension obligations for R1. The Office of the County Administrator past services. Making significant reductions publish yearly a Pension Reform in pension costs over time can make more Update. funds available for County services, such as R2. The Office of the County Administrator maintaining roads, parks and recreation, health continue to include the annual payment and human services, or cultural activities. No toward pension obligation bonds in its matter what the measurement, it is clear that measurement of the County’s ability to pension contributions are projected annually meet its future pension obligations. by the Retirement Association, the County is paying 100 percent of their actuarially Request For Responses required contribution (ARC), and the County Pursuant to Penal Code section 933.05, the and the Retirement Association policies have Grand Jury requests responses as follows: a clear goal of reaching full funding of pension liabilities for current and future retirees. From the following governing bodies: • R1. and R2. - Sonoma County Board Findings of Supervisors