County Employees Retirement Law of 1937 (CERL) - sdcera

§31586. Payments into fund as obligations of county or district
All payments of the county or of any district into the retirement fund, whether made
pursuant to this article or made pursuant to law, are obligations of the county or district.
(Added by Stats. 1947, Ch. 424, Sec. 1)
§31587. Application of contributions
The board shall apply the contributions of the county or district to its obligations under
the system in the order and amounts as follows:
First, in an amount equal during each fiscal year to the liability accruing to the county or
district because of service rendered during such year and on account of service and disability
pensions, in an amount determined by the actuarial valuation as interpreted by the actuary.
Second, in an amount equal during each fiscal year to the payments made from
contributions by the county or district during the year for death benefits.
Third, the balance of such contributions on the liabilities accrued on account of prior
service benefits.
(Added by Stats. 1947, Ch. 424, Sec. 1)
§31588. “Employees retirement fund”
A trust fund account to be designated as “employees retirement fund” shall be opened
upon the books of the retirement board, or treasurer and auditor if authorized by the board, of
any county adopting this retirement system.
The “employees retirement fund” shall be a trust fund created or continued and
administered in accordance with this chapter, solely for the benefit of the members and retired
members of the system and their survivors and beneficiaries.
Nothing in this section shall be construed to prohibit the retirement board paying
administrative costs, already authorized or to be authorized, or to prohibit the transfer of
surplus funds to county advance reserves.
(Amended by Stats. 1979, Ch. 427, Sec. 1)
(Amended by Stats. 1995, Ch. 584 (A.B. 1021), Sec. 4.5)
§31588.1. Deferred yield adjustment account
There is hereby established in the County Employees’ Retirement System a deferred
yield adjustment account which shall be increased by the sale or disposition of any debt
securities at less than book value and shall be decreased by the sale or disposition of debt
securities at more than book value. At the end of each year, a portion of the balance of this
account shall be offset against the investment income for that year. The annual portion of the
balance to be offset shall be proportional to the reciprocal of the average remaining life of
the bonds sold. The amount of this account shall be included in any accounting or actuarial
computations or listing of assets. In any year in which the gains on the sales of debt securities
exceed the discounts realized on the sales of such securities, the excess shall be used to reduce
the balance of the account.
This section shall not be operative in any county until such time as the board shall, by
resolution adopted by majority vote, make the provisions of this section applicable in such
county.
(Added by Stats. 1974, Ch. 1366, Sec. 1)
§31588.2. Expending of funds; limitation to administration of system, investments, benefits
to members
Notwithstanding any other provision of law, no funds in the retirement fund shall be
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