LOCAL AGENCY FORMATION COMMISSION ORANGE COUNTY 2677 North Main Street, Suite 1050 Santa Ana, CA (714) FAX (714)

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1 LOCAL AGENCY FORMATION COMMISSION ORANGE COUNTY 2677 North Main Street, Suite 1050 Santa Ana, CA (714) FAX (714) REGULAR MEETING AGENDA Wednesday, October 12, :00 a.m. Orange County Transportation Authority First Floor - Boardroom 600 South Main Street, Orange, CA Any member of the public may request to speak on any agenda item at the time that item is being considered by the Commission. 1. CALL THE MEETING TO ORDER 2. PLEDGE OF ALLEGIANCE COMMISSIONER WENDY BUCKNUM 3. ROLL CALL 4. ANNOUNCEMENT OF SUPPLEMENTAL COMMUNICATIONS (Received After Agenda Distribution) 5. APPROVAL OF MINUTES a.) August 10, 2016 Regular Commission Meeting 6. PUBLIC COMMENT This is an opportunity for members of the public to address the Commission on items not on the agenda, provided that the subject matter is within the jurisdiction of the Commission and that no action may be taken on an off-agenda item(s) unless authorized by law. 7. CONSENT CALENDAR None 8. PUBLIC HEARING a.) Plano Trabuco/Dove Canyon Annexation to the City of Rancho Santa Margarita (CA 13-11) (continued from August 10, 2016) The Commission will consider the proposed annexation of 1.7 acres of uninhabited territory to the City of Rancho Santa Margarita. Pursuant to the California Environmental Quality Act (CEQA), the Commission will consider the approval of a Notice of Exemption for this project.

2 9. COMMISSION DISCUSSION AND ACTION a.) OCERS FY Retirement Contribution Rates and Prepayment Program The Commission will consider the adoption of the retirement contribution rates as approved by the Orange County Employees Retirement System (OCERS) Executive Board for FY The Commission will also receive a report on the OCERS prepayment program. b.) Amendment to Sharon Browning & Associates Contract The Commission will consider a proposed amendment to the professional services contract with Sharon Browning & Associates. 10. COMMISSIONER COMMENTS This is an opportunity for Commissioners to comment on issues not listed on the agenda, provided that the subject matter is within the jurisdiction of the Commission and that no action may be taken on off-agenda items unless authorized by law. 11. EXECUTIVE OFFICER S REPORT Executive Officer s report on upcoming events and activities of the Executive Officer since last meeting. a.) City of San Juan Capistrano Focused Municipal Service Review (MSR 16-03) The Commission will receive a brief report on the application filed by the City of San Juan Capistrano for a Municipal Service Review to evaluate the potential transfer of the City s water and wastewater facilities to a successor public agency. No action to be taken by the Commission. 12. INFORMATIONAL ITEMS & ANNOUNCEMENTS a.) Meeting Room Change Beginning November 9, 2016, all LAFCO regular meetings will be held at 550 South Main Street, Orange in the OCTA Board Room, Conference Room 07. The regular meeting start time will remain at 8:00 a.m. b.) LAFCO Ethics Training In accordance with Government Code through , Commissioners and staff must complete ethics training every two years. Proof of completion of the training should be submitted to Commission Clerk prior to December 31, b.) CALAFCO Annual Conference Many Commissioners and staff will attend the CALAFCO Annual Conference in Santa Barbara, October 27-28, During this time, the LAFCO offices will be closed. 13. ADJOURNMENT OF REGULAR COMMISSION MEETING NOTICE REGARDING ITEMS DISTRIBUTED TO THE COMMISSION LESS THAN 72 HOURS PRIOR TO THE LAFCO REGULAR MEETING: Pursuant to Government Code Section public records that relate to open session agenda items that are distributed to a majority of the Commission less than seventy-two (72) hours prior to the meeting will be available to the public at Orange County LAFCO offices at 2677 North Main Street, Suite 1050, Santa Ana, CA during regular business hours. These records when possible will also be made available on the OC LAFCO website at

3 NOTICE: State law requires that a participant in a LAFCO proceeding who has a financial interest in a decision and who has made a campaign contribution of more than $250 to any commissioner in the past year must disclose the contribution. If you are affected, please notify the Commission s staff before the hearing. LAFCO Agendas and supporting documentation are available on the Internet at

4 Local Agency Formation Commission DRAFT MINUTES Orange County 5a LAFCO REGULAR MEETING AGENDA Wednesday, August 10, :00 a.m. Orange County Transportation Authority First Floor Boardroom 600 South Main Street, Orange, CA CALL TO ORDER Chair McGregor called the regular meeting of the Orange County Local Agency Formation Commission (OC LAFCO) to order at 8:03 a.m. 2. PLEDGE OF ALLEGIANCE Commissioner Wilson led the Pledge of Allegiance. 3. ROLL CALL The following Commissioners and Alternates were present: Chair Derek J. McGregor Vice Chair Allan Bernstein Commissioner Lisa Bartlett Commissioner Cheryl Brothers Commissioner Todd Spitzer Commissioner Charley Wilson Commissioner John Withers Alternate Commissioner Wendy Bucknum Alternate Commissioner James Fisler Alternate Commissioner Kathryn Freshley The following Commissioner was absent: Alternate Commissioner Andrew Do The following LAFCO staff members were present:

5 August 10, 2016 DRAFTMinutes Page 2 of 6 Executive Officer Carolyn Emery Assistant Executive Officer Debra Kurita Policy Analyst Luis Tapia Commission Clerk Cheryl Carter-Benjamin Legal Counsel Scott Smith 4. ANNOUNCEMENT OF SUPPLEMENTAL COMMUNICATIONS (Received After Agenda Distribution) There was no supplemental communications submitted. 5. APPROVAL OF MINUTES July 13, 2016 Regular Commission Meeting Minutes The minutes were approved with no revisions. MOTION: SECOND: FOR: AGAINST: None ABSTAIN: None MOTION PASSED 6. PUBLIC COMMENT Approve the July 13, 2016 Regular Commission Meeting Minutes. (Allan Bernstein) Charley Wilson Derek J. McGregor, Allan Bernstein, Lisa Bartlett, Cheryl Brothers, Todd Spitzer, Charley Wilson, John Withers Chair McGregor requested public comments on any non-agenda items. There were none. Chair McGregor closed public comments. 7. CONSENT CALENDAR 7a. Comprehensive Quarterly Report Chair McGregor called for the approval of the consent calendar. Commission Withers motioned for approval of the consent calendar and Commissioner Wilson seconded. Commissioner Spitzer requested Agenda Item 7a be pulled for further discussion.

6 August 10, 2016 DRAFTMinutes Page 3 of 6 Commissioner Spitzer commented briefly on the issue that the Board of Supervisors considered at its last meeting involving the potential consolidation of Mesa Water District and Costa Mesa Sanitary District, which is discussed in the comprehensive quarterly report. He suggested that protocol be developed to provide the Commission with an update on potential projects. Executive Officer Carolyn Emery responded that she encourages agencies to work with LAFCO staff in advance of filing applications. Ms. Emery added that there is a balance regarding how much LAFCO gets involved prior to an application being formally filed. MOTION: SECOND: FOR: AGAINST: None ABSTAIN: None MOTION PASSED 8. PUBLIC HEARING Receive and file the fourth quarter comprehensive report for FY (John Withers) Charley Wilson Derek J. McGregor, Allan Bernstein, Lisa Bartlett, Cheryl Brothers, Todd Spitzer, Charley Wilson, John Withers 8a. Plano Trabuco/Dove Canyon Annexation to the City of Rancho Santa Margarita (CA 13-11) Executive Officer Emery recommended that the Commission continue this item to the next regular Commission meeting to allow the County and City more time to finalize the terms and conditions of the annexation. MOTION: SECOND: FOR: AGAINST: None ABSTAIN: None MOTION PASSED Continue Plano Trabuco/Dove Canyon Annexation to the City of Rancho Santa Margarita (CA 13-11) to the next Regular Commission Meeting. (Charley Wilson) Lisa Bartlett Derek J. McGregor, Allan Bernstein, Lisa Bartlett, Cheryl Brothers, Todd Spitzer, Charley Wilson, John Withers 9. COMMISSION DISCUSSION AND ACTION

7 August 10, 2016 DRAFTMinutes Page 4 of 6 9a. Adoption of a Resolution Approving the Performance Bonus and Memorandum of Agreement for the Position of Executive Officer with Carolyn Emery Chair McGregor presented the report and recommendations to the Commission to adopt the resolution approving the performance bonus and Memorandum of Agreement for Executive Officer Carolyn Emery. MOTION: SECOND: FOR: AGAINST: None ABSTAIN: None MOTION PASSED Adopt resolution approving the performance bonus and memorandum of agreement for the position of Executive Officer with Carolyn Emery; authorize the Chair to execute the appropriate documents. (Allan Bernstein) John Withers Derek J. McGregor, Allan Bernstein, Lisa Bartlett, Cheryl Brothers, Todd Spitzer, Charley Wilson, John Withers 9b. Quarterly Legislation Report Policy Analyst Luis Tapia presented the final update on legislation of LAFCO interest introduced during this legislative session. Commissioners Spitzer and Bartlett requested staff to review the consistency of positions adopted by the Commission with those adopted by the County involving unfunded liability if an entity disincorporates and/or dissolves. Staff will continue to monitor legislation through its participation with CALAFCO and contact with the County Legislative Affairs staff. MOTION: SECOND: FOR: AGAINST: None ABSTAIN: None MOTION PASSED Receive and file the Legislative Quarterly Report. (Allan Bernstein) John Withers Derek J. McGregor, Allan Bernstein, Lisa Bartlett, Cheryl Brothers, Todd Spitzer, Charley Wilson, John Withers 10. COMMISSIONER COMMENTS Commissioner Brothers gave a brief oral report on the quarterly meeting of the Southern Region LAFCOs which took place on Monday, August 8, 2016 at the Santa Ana train station and the upcoming CALAFCO Annual Conference.

8 August 10, 2016 DRAFTMinutes Page 5 of 6 Chair McGregor restated that Executive Officer should report to the Commission on any potential projects during future regular meetings. 11. EXECUTIVE OFFICER S REPORT Executive Officer Carolyn Emery gave brief updates on each of the following: o An upcoming meeting with the State Water Resources Control Board and County Environmental Health to discuss the sixteen small water public systems that exist in Orange County. An update on this discussion will be provided at a future meeting. o The potential consolidation of Mesa Water District/Costa Mesa Sanitation District. o An application expected by end of the month from the City of San Juan Capistrano for a focused MSR to review transfer of the City s water and wastewater operations and facilities. An update on the MSR process will be provided at a future meeting. o The Little Hoover Commission will conduct a public hearing on August 25 to discuss special districts and LAFCO s role in consolidations. CALAFCO will testify at the hearing. A report published in 2000 by the Commission is available on the OCLAFCO website. o A protest hearing was held for the approved EOCWD reorganization and no petitions were filed. OCSD provided a copy of letter to Commission and staff that includes an update on how the District will assist EOCWD to address additional infrastructure deficiencies within Area 7 recently identified. Prior to staff recording the reorganization final documents, Executive Officer consulted with legal counsel who confirmed it was appropriate to move forward with recordation. 12. INFORMATIONAL ITEMS & ANNOUNCEMENTS 12a. East Orange County Water District Reorganization for Local Sewer Service (RO 14-01) Protest Hearing Lisa Ohlund, General Manager of EOCWD provided brief comments on concluding the process and the OCSD letter. 12b. CALAFCO Annual Conference The 2016 conference is scheduled for October 26-28, in Santa Barbara. 13. OPENED SESSION Chair McGregor informed the Commission that there is no open session.

9 August 10, 2016 DRAFTMinutes Page 6 of ADJOURNMENT OF REGULAR COMMISSION MEETING The Commission meeting was adjourned to October 12, 2016 at 9:05 a.m. Derek J. McGregor, Chair Orange County Local Agency Formation Commission By: Cheryl Carter-Benjamin Commission Clerk

10 LOCAL AGENCY FORMATION COMMISSION ORANGE COUNTY CHAIR DEREK J. MCGREGOR Represen~ of ~)Pub/le VICE CHAIR DR. AUAN BERNSTEIN Counc11membe< City or Tustin LISA BARTLETT Supervisor s oismct CHERYL BROTHERS Councrlmember 0Cy of F0unta1n Valrey TODD SPITZER Supervisor J Drstrlct CHARLEY WILSON Director Silnw M;;irg.:1nr.1 Water Oi5tflC! JOHN WITHERS D1tector Irvine Ranch Watei D&nct ALTERNATE WENDY BUCKNUM Cooncllmember City of Mrssion Vie)O Al..TERNATE ANDREW DO Superviso1 l"drswct ALTERNATE JAMES FISLER 01reet(){ Mesa W.-itet D<Slnet Al..TERNATE KATHRYN FRESHLEY Represencauve of Gener al Pu bite CAROLYN EMERY Executive Officer October 12, 2016 TO: FROM: SUBJECT: Local Agency Formation Commission Executive Officer Policy Analyst Proposed "Plano Trabuco/Dove Canyon Annexation to the City of Rancho Santa Margarita (CA 13-11)" - (Continued from August 10, 2016) APPLICANT Roman Catholic Bishop of Orange, a California Corporation Sole. BACKGROUND At the August 10, 2016 regular LAFCO meeting, the Commission continued the Proposed Plano Trabuco/Dove Canyon Annexation to the City of Rancho Santa Margarita (CA 13-11). The proposal was continued to allow the County and City staff to finalize the terms and conditions requested to be included as part of the LAFCO Resolution. As a result of that process, both parties have agreed on the terms and conditions which define the ownership and responsibilities that will be transferred as part of the annexation between the City of Rancho Santa Margarita and the County of Orange. PROPOSED ANNEXATION The proposed annexation involves the adjustment to the City of Rancho Santa Margarita's boundary to include the entirety of the property located at the intersection of Plano Trabuco Road and Dove Canyon Drive. This change of organization is the final step in a process to address several issues that were identified during the implementation of a Master Plan that was approved by the County of Orange in The Master Plan included the development of the San Francisco Solano Catholic Church and Santa Margarita Catholic High School on a 37-acre lot located at and Antonio Parkway. During the development of the project, it was discovered that 1.4 acres of the campus and.3 acres of the right-of way portion at the intersection of Plano Trabuco Road and Dove Canyon Drive were excluded from the City's boundary. Ba The Roman Catholic Bishop of Orange initially submitted the annexation application to LAFCO on August 27, However, because of several 2677 North Main Street Suite I 050. Santa Ana. CA (714) FAX(714) htrp//

11 Proposed "Plano Trabuco/Dove Canyon Annexation to the City of Rancho Santa Margarita" (CA 13-11) October 12, 2016 Page 2 of 4 unresolved issues related to land use, parcel mapping, and traffic signal maintenance, the annexation was stalled. Over the past several months, meetings and discussions involving LAFCO, city, and County staff and the landowner have been instrumental in resolving these issues. The Roman Catholic Bishop of Orange has requested the annexation of approximately 1.7 acres of uninhabited territory currently located in the County of Orange to the City of Rancho Santa Margarita. The annexation of this area will result in the extension of the City's boundary to include approximately 1.4-acres of private property located at the southwest corner of Plano Trabuco Road and Dove Canyon Drive, and.3 of an acre designated as the public-right-of-way at the intersection of Plano Trabuco Road and Dove Canyon Drive. If the proposed annexation is approved, the City of Rancho Santa Margarita's boundary line would be realigned to include the entire Rancho Santa Margarita Catholic High School's property and the high school's access-way within the city's boundary-line. The location is depicted in the attached vicinity map (See Attachment A). ANALYSIS The proposed annexation includes the modification to the existing jurisdictional boundary between the City of Rancho Santa Margarita and the County of Orange. Approximately 1.7-acres proposed for annexation are currently within Orange County's jurisdictional boundary. The annexation will modify the City of Rancho Santa Margarita's boundary to include 1.4-acres of Santa Margarita Catholic High School property and.3 acres of the Plano Trabuco Road and Dove Canyon Drive right-of-way. If approved by the Commission, the proposed annexation will place all of the Santa Margarita Catholic High School property, access to the school facilities and the entire adjacent right-of-way within the City of Rancho Santa Margarita. Annexation of the proposed territory, which is immediately adjacent to the City's boundary represents a more logical and efficient boundary for this area. The details of all of the factors considered in the review of the proposal are delineated as part of Attachment B. LAND USE Presently, the proposed annexation territory is designated by the County of Orange General Plan as Open Space and Community Center/Commercial. On September 10, 2014, the City Council of Rancho Santa Margarita approved a General Plan Map Amendment and pre-zoned the proposed annexation property as Community Facility and Public/Quasi- Public.

12 Proposed "Plano Trabuco/Dove Canyon Annexation to the City of Rancho Santa Margarita" (CA 13-11) October 12, 2016 Page 3 of 4 PROPERTY TAX Pursuant to Section 99 of the Revenue and Tax Code, the City of Rancho Santa Margarita and the County must adopt resolutions agreeing to the exchange of property tax revenues prior to Commission consideration of the proposal. The City of Rancho Santa Margarita adopted the property tax exchange resolution on May 25, The Board of Supervisors adopted the property tax exchange resolution on June 28, ENVIRONMENTAL REVIEW The City of Rancho Santa Margarita, as the lead agency under the California Environmental Quality Act, completed a Negative Declaration addressing the proposed annexation. The Commission, as the responsible agency, may use the environmental document in its consideration of the proposal. The draft Notice of Determination is attached for the Commission's review (Attachment C). The full environmental document is available on the LAFCO website ( RECOMMENDATION Staff recommends that the Commission take the following actions: 1. Certify that the Commission has reviewed and considered the information contained within the California Environmental Quality Act documents prepared by the City of Rancho Santa Margarita; 2. As a responsible agency, approve the Notice of Determination (Attachment C) for the "Plano Trabuco/Dove Canyon Annexation to the City of Rancho Santa Margarita (CA 13-11); 3. Adopt the form of resolution (Attachment D) approving the proposed "Plano Trabuco/Dove Canyon Annexation to the City of Rancho Santa Margarita (CA 13-11)" with all the terms and conditions contained therein. 4. Authorize and direct the Executive Officer to conduct protest proceedings pursuant to Government Code Section et seq. and set 21-day protest period following the 30-day reconsideration period that is required pursuant to Government Code Section Respectfully submitted, Attachments: LUIS TAPIA

13 Proposed "Plano Trabuco/Dove Canyon Annexation to the City of Rancho Santa Margarita" (CA 13-11) October 12, 2016 Page4 of 4 A. Vicinity Map B. Factors Considered by the Commission C. Draft Notice of Determination D. Draft Form of Resolution Approving the "Plano Trabuco/Dove Canyon Annexation to the City of Rancho Santa Margarita (CA 13-11)"

14 D Proposed Annexation Boundary Rancho Santa Margarita Boundary Unincorporated Plano Trabuco Road/Dove Canyon Drive Annexation to the City of Rancho Santa Margarita (CA ) Vicinity Map s

15 FACTORS CONSIDERED IN REVIEW OF PROPOSAL ATTACHMENT B Page 1of4 I. Population and Population Density, Land Area and Land Use, and Assessed Valuation The subject territory is currently uninhabited. The subject area is located adjacent to the intersection of Plano Trabuco Parkway and Dove Canyon Drive, north of the unincorporated community of Coto de Caza. The subject territory is not located in or adjacent to a designated scenic vista and will not irnpact scenic resources including trees, rock outcroppings, and historic buildings. The subject territory is within Tax Rate Areas and The total assessed valuation for property within the subject territory is $501,157. The City of Rancho Santa Margarita amended its City's General Plan and Zoning on September 10, The City Council approved General Plan Map Amendment GPA for Parcels 1 and 2 as Community Facility, and amended the zoning designation to Public/Quasi-Public under amendment CA The City Council's amendment also assigned the unincorporated Parcel 3 as a Community Facility and pre-zoning as Public/Quasi-Public. II. Organized Community Services, Present Cost and Adequacy, and Future Needs of Governmental Services, and Probable effect of the proposed annexation Staff has not identified a need for additional organized community services in the proposed project territory. The property does not currently require significant municipal services. The City of Rancho Santa Margarita is a full-service city capable of efficiently extending municipal services to the area. As part of the Property Tax Exchange Agreement a provision was included stating that the terms of the agreement will not bind or require the use of the same assigned tax revenues for future annexations or agreements between the City of Rancho Santa Margarita and Orange County. The intersection between Plano Trabuco Road and Dove Canyon Drive has four corners with traffic poles directing traffic on each corner. The signal pole and control cabinet located at the north-east corner of the intersection is within the City of Rancho Santa Margarita's boundary. The remaining three corners of the intersection are currently located within the unincorporated territory jurisdictional boundary. Currently, the light poles located in the northwest and southwest corners of the intersection are located within the Santa Margarita Catholic High School's (SMCHS) campus property boundary. The fourth light pole is located on the south-east corner of the intersection. As a result of the annexation process, the three corners and light poles of the intersection will be within the City's boundary. In order for the City to legally service the light poles located on the west side of the intersection, an easement agreement is required to allow City staff to service the poles. The Roman Catholic Bishop of Orange County signed the Grant of Easement to allow City staff to enter the high school's property boundary to maintain the signal poles as required. If the Commission approves the proposed annexation, it will not affect the City of Rancho

16 ATTACHMENT B Page 2 of 4 Santa Margarita's ability to adequately provide services in the project territory and adjacent areas. The table below depicts the current and proposed service provisions. Service Current Provider New Provider Animal Control County of Orange County of Orange Fire Protection Orange County Fire Authori ty Orange County Fire Authority Library Service County of Orange County of Orange Public Works County of Orange Rancho Santa Margarita Parks & Recreation County of Orange Rancho Santa Margarita City of Rancho Sa nta Margarita Po lice Service Orange County Sheriff Department (Contract with Ornnge County Sheriff Department) Sewer Service Santa Margarita Water District Santa Margarita Water District Water Service Santa Margarita Water District Santa Margarita Water District Ill. Effect on Adjacent Areas, Mutual Social and Economic Interests, Local Government Structure Government Code (a)(l) Allows the Commission the authority to "review nnrl npprm1e or disapprove with or without amendment, wholly, partially, or conrlitionally, proposnls for changes of organization or reorganization, consistenl with written policies, procedures, nnrl guidelines adopted by the commission" If the Commission approves the proposed annexation, the City of Rancho Santa Margarita will provide all municipal services except those currently provided by Orange County Fire Authority and Santa Margarita Water District. If the Commission denies the proposed amlexation, the listed current service providers will continue to provide respective municipal services. IV. The conformity of both the proposal and its anticipated effects with both the adopted commission policies on providing planned, orderly, efficient patterns of urban development, and the policies and priorities set forth in Government Code Section The proposed annexation does not include any proposed conversion of existing open space lands. The proposed annexation was processed in accordance with Commission policies and procedures and is consistent with the priorities set forth in Government Code Section V. Effect on Maintaining the physical and economic integrity of agricultural lands No agricultural land is contained within or adjacent to the proposed project territory.

17 ATTACHMENT B Page 3 of 4 VI. The definiteness and certainty of the boundaries of the territory, the nonconformance of proposed boundaries with lines of assessment or ownership, the creation of islands or corridors of unincorporated territory, and other similar matters affecting the proposed boundaries The proposed annexation will correct a mapping development error. The proposed annexation conforms with lines of assessment and ownership within the subject territory and does not create any islands or corridors of unincorporated territory. VII. Regional Transportation Plan (RTP) adopted and Consistency with city or county general and specific plans The proposed annexation of territory will not impact the adopted Regional Transportation Plan and Sustainable Communities Strategy that has been adopted for the region by the Southern California Association of Governments. VIII. Sphere of Influence of Local Agencies Spheres of fnfluence boundaries for LocaJ Agencies were not adjusted. IX. Comments from Affected Agencies and/or other public agency On September 17, 2013, all affected agencies were notified of the proposal and were encouraged to comment on the proposal. As required by state law, 21-days prior to the public hearing on August 10, 2016, a public notice was published in the Orange County Register. No comments were received. X. Ability of newly formed or receiving entity to provide services to proposal area and sufficiency of revenues for those services Minimal municipal service provision due to current use of the parking lot will be transferred to the City of Rancho Santa Margarita. XI. Timely availability of water supplies adequate for projected needs as specified in Government Code Section The annexation of the territory to the City of Rancho Santa Margarita will not interrupt or alter current service provision and the availability of water supplies as specified in Government Code Section XII. Extent to which the proposal will affect a city(ies) and the County in achieving their respective fair shares of the regional housing needs There were no comments received from either the City or County regarding the extent to which the proposal will affect their respective ajlocation of the regional housing needs. XIII. Information or Comments from landowners, voters, or residents within affected territory.

18 A TI ACHMENT B Page 4 of 4 Staff received a consent form from the landowner The Roman Catholic Bishop of Orange, a California Corporation Sole. LAFCO distributed a preliminary staff report on September 17, 2013 to all affected agencies and did not receive any responses. Jn accordance with Government Code 56427, the Executive Officer gave mailed notice of the hearing to each affected local agency and published in the local newspaper notifying the proposed annexation. XIV. Information re]ating to existing land use designations. The proposed annexation is an administrative modification to the existing jurisdictional boundary between the City of Rancho Santa Margarita and the County of Orange County. The approximately 1.7-acrcs proposed for annexation are currently within Orange County's jurisdictional boundary. The annexation will modify the City of Santa Margarita's boundary to include the approximately 1.7-acres within the City's boundary. Presently, the proposed annexation territory is designated by the County of Orange General Plan as Open Space and Community Center/Commercial. On September 10, 2014, the City Council of Rancho Santa Margarita approved a General Plan Map Amendment and pre-zoned the proposed annexation property as Community Facility and Public/Quasi- Public. I. The extent to which the proposal will promote environmental justice. As used in this subdivision, "environmental justice" means the fair treatment of people of aij races, cultures, and incomes w ith respect to the location of public facilities and the provis ion of public services. lf the Commission approves the proposed annexation to the City of Rancho Santa Margarita, the subject territory will be accessible to the general public.

19 ATTACHMENT C NOTICE OF DETERMINATION TO: D ' Clerk of the Board of Supervisors or FROM: Public Agency: Orange County Local Agency Formation Commission ~ County Clerk County of: Address: 2677 N. Main Street, Suite 1050, Santa Ana, CA Address: 12 Civic Center Plaza Santa Ana, CA Contact: Carolyn Emery Phone: TO: D Office of Planning and Research P. 0. Box 3044 Sacramento, CA Lead Agency: Address: City of Rancho Santa Margarita El Paseo, Rancho Santa Margarita, (overnight or hand delivery) CA ~ 1400 Tenth Street, Rm. 113 Sacramento, CA Contact: Phone: Cheryl Kuta (Ext. 6707) SUBJECT: Filing of Notice ofdetermination in compliance with Section or of the Public Resources Code. State Clearinghouse Number (If submitted to SCH): : Project Title: Plano Trabuco/Dove Canyon Road Annexation to the City of Rancho Santa Margarita (CA 13-11) for the Santa Margarita Catholic High School. Project Applicant: The Roman Catholic Bishop of Orange, A California Corporation Sole Specific Project Location - Identify street address and cross street or attach a map showing project site (preferably a USGS I 5' or 7 Yi' topographical map identified by quadrangle name): Southwest corener of Plano Trabuco Road and Dove Canyon Drive. General Project Location (City and/or County): The proposal area is located within Orange County at the intersection of Plano Trabuco Road and Dove Canyon Drive. Project Description: The project is a technical cleanup involving the modification of the City Rancho Santa Margarita's boundary. The annexation area will result in the extension of the City's boundary to include approximately 1.4- acres located at the southwest corner of Plano Trabuco Road and Dove Canyon Drive, and.3 of an acre designated as the public-right-of-way at the intersection of Plano Trabuco Road and Dove Canyon Drive. Identify the person or entity undertaking the project, including any private applicant, any other person undertaking an activity that receives financial assistance from the Public Agency as part of the project, and any person receiving a lease, permit, license, certificate, or other entitlement of use from the Public Agency as part of the project. Notice of Determination FORM "F"

20 ATTACHMENT C The Roman Catholic Bisho oforan&e, A California Co oration Sole. This is to advise that the (181 Lead Agency or D Responsible Agency) has approved the above described project on September I 0, 2014, and has made the following detenninations regarding the above described project: I. D The project will have a significant effect on the environment. 181 The project will NOT have a significant effect on the environment 2. D 1 An Environmental Impact Report was prepared and certified for this project pursuant to the provisions of CEQA and reflects the independent judgment of the Lead Agency. 181 I A Negative Declaration was prepared for this project pursuant to the provisions ofceqa and reflects the I independent judgment of the Lead Agency. D A Mitigated Negative Declaration was prepared for this project pursuant to the provisions ofceqa and reflects the independent judgment of the Lead Agency. 3. D Mitigation measures were made a condition of the approval of the project. 181 Mitigation measures were NOT made a condition of the approval of the project. 4. D A Mitigation Monitoring or Reporting Plan was adopted for this project. 181 A Mitigation Monitoring or Reporting Plan was NOT adopted for this project. 5. D A Statement of Overriding Considerations was adopted for this project. 181 A Statement of Overriding Considerations was NOT adopted for this project Findings were made pursuant to the provisions of CEQA. D Findings were NOT made pursuant to the provisions of CEQA. This is to certify that the Negative Declaration, is available to General Public at: Custodian: Orange County Local Agency Formation Location: 2677 N. Main St., Suite 1050 Commission Santa Ana, CA Date: Signature Date Received for Filing: Title Authority cited: Sections , Public Resources Code. Reference Section , Public Resources Code. Notice of Determination 2 FORM "F"

21 ATTACHMENT D CA13-11 RESOLUTION OF THE LOCAL AGENCY FORMATION COMMISSION OF ORANGE COUNTY, CALIFORNIA MAKING DETERMINATIONS AND APPROVING THE PLANO TRABUCO/DOVE CANYON ANNEXATION TO THE CITY OF RANCHO SANT A MARGARITA October 12, 2016 On motion of Commissioner J duly seconded and carried, the following resolution was adopted: WHEREAS, the proposed change of organization, designated as "Plano Trabuco/Dove Canyon Annexation to the City of Rancho Santa Margarita (CA 13-11), was heretofore filed with and accepted for filing on July 5, 2016 by the Executive Officer of this Local Agency Formation Commission pursuant to Title 5, Division 3, commencing with Section et seq. of the Government Code; and WHEREAS, the Executive Officer, pursuant to Government Code Section set October 12, 2016 as the hearing date of this proposal; and WHEREAS, the Executive Officer, pursuant to Government Code Section has reviewed this proposal and prepared a report including her recommendation therein and has furnished a copy of this report to each person entitled to a copy; and WHEREAS, the proposal consists of the extension of the City of Rancho Santa Margarita's boundary to include approximately 1.4-acres of the parcel located at the southwest corner of Plano Trabuco Road and Dove Canyon Drive and a.3-acre portion of the public right-of-way at the intersection of Plano Trabuco Road and Dove Canyon Drive; and WHEREAS, this Commission on October 12, 2016, considered the proposal and the report of the Executive Officer, and considered the factors determined by the Resolution RO 13-11

22 ATTACHMENTD Commission to be relevant to this proposal, including, but not limited to, factors specified in Government Code Section 56668; and WHEREAS, this Commission called for and held a public hearing on the proposal on October 12, 2016, and at the hearing, this Commission heard and received all oral and written protests, objections and evidence which were made, presented or filed, and all persons present were given an opportunity to hear and be heard with respect to this proposal and the report of the Executive Officer; and WHEREAS, this Commission has fulfilled its obligations as the responsible agency as defined by the California Environmental Quality Act (CEQA) and has reviewed and considered the Mitigated Negative Declaration for the annexation of the subject territory adopted by the City of Rancho Santa Margarita, as the lead agency, on September 10, NOW, THEREFORE, the Local Agency Formation Commission of the County of Orange DOES HEREBY RESOLVE, DETERMINE and ORDER as follows: Section 1. Pursuant to the California Environmental Quality Act, the Commission has reviewed and considered the Mitigated Negative Declaration prepared for the annexation of the subject territory that was adopted by the City of Rancho Santa Margarita on September 10, The Commission directs the Executive Officer to file a Notice of Determination with the Orange County Clerk-Recorder as a responsible agency pursuant to Section of the State CEQA Guidelines. Section 2. The subject territory is found to be uninhabited, is currently within the Orange County, and is assigned the following distinctive shortform designation, "Plano Trabuco/Dove Canyon Annexation to the City of Rancho Santa Margarita (CA 13-11)." Section3. The City of Rancho Santa Margarita's boundary is hereby amended to include the subject territory as shown in vicinity map referenced as Exhibit "A." Resolution RO 13-11

23 ATTACHMENTD Section4. The proposal is approved subject to the following terms and conditions: a) Payment by the applicant of County Clerk-Recorder and State Board of Equalization fees. b) Upon annexation of the territory to the city, all right, title, and interest of the County, including the underlying fee title where owned by the County in any and all streets, sidewalks, trails, landscaped areas, street lights, open space, signals, shall vest in the City, except for those properties to be retained by the County and specifically listed by these conditions. Upon annexation of the territory, the City shall be the owner of, and responsible for, all of the following property owned in fee by the County: public roads, streets, adjacent slopes, street lights, traffic signals, and storm drains within street right-of-way and appurtenant slopes, medians and adjacent property. c) Upon annexation of the territory, the Roman Catholic Bishop of Orange shall grant easement access to the City to enter the Santa Margarita Catholic High School's property boundary to provide maintenance to the signal poles located at the northwest and southwest corners of the intersection between Plano Trabuco Road and Dove Canyon Drive. d) Upon the effective date of annexation, the City shall do the following: (1) assume ownership and maintenance responsibilities for all existing drainage devices, storm drains and culverts, appurtenant drainage facilities (except regional OCFCD flood control facilities for which OCFCD has a recorded flood control easement or ownership interest), site drainage, and all master plan storm drain facilities that are within the annexation area and are Resolution RO 13-11

24 ATTACHMENT D currently operated and maintained by the County of Orange or OCFCD; (2) administer flood zoning and Federal Emergency Management Agency floodplain regulations within the annexation area; (3) coordinate development within the annexation area that is adjacent to any existing flood control facilities for which OCFCD has a recorded flood control easement or owns fee interest, and; (4) for development proposals that are adjacent to regional drainage courses which are not owned or maintained by OCFCD, but are in need of improvements to provide the required flood control and/ or erosion protection for the development, require the developer to enter into an agreement with OCFCD for the design, review, construction, acceptance, and maintenance of proposed regional flood control facilities if acceptable to OCFCD. e) Notwithstanding section 4(b) above, the County anticipates obtaining a non-exclusive easement to the Tijeras Creek Riding and Hiking Trail located within the annexed territory, which is depicted on Exhibit B, for obtaining access on, over, under, and through the trail area( s) for recreational hiking and riding trail purposes and the right to make improvements, repairs, and maintenance thereon. f) The applicant agrees to defend, hold harmless and indemnify LAFCO and/ or its agents, officers and employees from any claim, action or proceeding against LAFCO and/ or its agents, officers and employees to attack, set aside, void or annual the approval of LAFCO concerning this proposal or any action relating to or arising out of such approval. g) The Commission authorizes and direct the Executive Officer to conduct protest proceedings pursuant to Government Code Section et seq. and set 21-day protest period following the 30-day reconsideration period that is required pursuant to Government Resolution RO 13-11

25 ATTACHMENTD Code Section recordation. The effective date shall be the date of Sections. The Executive Officer is hereby authorized and directed to mail copies of this resolution as provided in Section of the Government Code. AYES: NOES: STATE OF CALIFORNIA ) COUNTY OF ORANGE ) ) SS. I, DEREK J. MCGREGOR, Chair of the Local Agency Formation Commission of Orange County, California, hereby certify that the above and foregoing resolution was duly and regularly adopted by said Commission at a regular meeting thereof, held on the 12th day of October, IN WITNESS WHEREOF, I have hereunto set my hand this 12th day of October, DEREK J. MCREGOR Chair of the Orange County Local Agency Formation Commission By: Derek J. McGregor Resolution RO 13-11

26 D Proposed Annexation Boundary Rancho Santa Margarita Boundary Unincorporated Plano Trabuco Road/Dove Canyon Drive Annexation to the City of Rancho Santa Margarita (CA ) Vicinity Map

27 EXHIBITB Trabuco Canyon c.:"\ ~ a Mission Viejo Coto de Caza ~ Plano Trabuco Road Dove Canyon Drive Annexation to the City of Rancho Santa Margarita (CA13-11) N A Cl Annexation RANCHO SANTA MARGARITA UNINCORPORATED - County Trails

28 LOCAL AGENCY FORMATION COMMISSION ORANGE COUNTY October 12, a C HAIR DEREK J. MCGREGOR Represenraave of General Public VIC E CHAIR DR. ALL.AN BERNSTEIN Counolmember City oft ust1n LISA BARTLETT SupeNisor 5"' Oisrrict TO: FROM: SUBJECT: Local Agency Formation Commission Executive Officer Orange County Employees Retirement System (OCERS) FY Contribution Rates and Prepayment Program CHERYL BROTHERS Councilmember Oty of Fountain Valley TODD SPITZER Supervisor 3 o oismct CHARLEY WILSON Director Santa Margarrta Water District JOHN WrrHERS Director INine Ranch Water District ALTERNATE WENDY BUCKNUM Counc1lmember City of Mission VieJO ALT ERNATE ANDREW DO 5upeNisor I" District ALTERNATE JAMES FISLER Director Mesa Water D1smct ALTERNATE KATHRYN FRESHLEY Representa[Ne of General Public CAROLYN EMERY Executive Officer BACKGROUND OC LAFCO has been an independent member of the Orange County Employee Retirement System ("OCERS") since July 1, Each year, the Commission adopts the employer contribution rates approved by the OCERS Board of Directors for the retirement plans available to OC LAFCO employees. FY OCERS CONTRIBUTION RATES On July 18, 2016, the OCERS Board of Directors adopted new employee and employer contribution rates for fiscal year The rates adopted are for three retirement plans that are available to current and future OC LAFCO employees. The employer contribution rates for all three plans include a slight increase to the current employer rates. The Commission's current employees participate in two of the retirement plans available, the 55 plan and the 65 "PEPRA" plan. There are currently no Commission employees enrolled in the third plan, which is the 65 "non-pepra" plan. The "PEPRA" and "non-pepra" retirement plans are a result of the enactment of the Public Employee Pension Reform Act ("PEPRA") in Depending on certain qualifications, employees hired subsequent to the PEPRA Act may enroll in one of two 1.62%@ 65 retirement plans. The FY employer contribution rate for the 1.62%@ 65 "non PEPRA" plan, which is available to new LAFCO employees that are not new members to the OCERS retirement system, is %. The FY employee contribution rate for the 65 "PEPRA" plan, which is available to new LAFCO employees that are new members to the OCERS retirement system, is %. The FY employer 2677 Noreh Main Srreet Suire J 050. Santa Ana. CA (7 14) FAX (7 J 4) htcp//

29 OCERS Contribution Rates and Prepayment Program October 12, 2016 Page2 of 2 contribution rate for the 55 plan is 33.82%. The rate increases for all three plans are approximately two percent more than the current employer rates. The contribution rates for each plan are included for the Commission's reference as Attachment A. Staff is recommending that the Commission adopt the attached resolution (Attachment B) approving the retirement rates for FY as adopted by OCERS. OCERS PREPAYMENT PROGRAM Since 2005, the Commission has participated in the OCERS Prepayment Program to realize savings in the agency's pension costs. The program allows members to prepay all or a portion of their retirement contribution at a discounted rate. The discount rate has historically been tied to the approved long-term rate of return on the retirement system's investments. To date, the Commission's participation in the prepayment program has resulted in a cumulative savings of approximately $80,000. On July 18, 2016, the OCERS board approved a current discount rate of 4.50% for early payment of employer contributions received by January 17, To continue savings in pension costs, staff will submit prepayment of retirement contributions prior to the OCERS deadline. RECOMMENDATION Staff recommends that the Commission: 1. Adopt the attached form of resolution (Attachment B) approving the retirement rates for FY as adopted by OCERS. Respectfully submitted, Attachments: A. OCERS Correspondence B. DRAFT LAFCO Form of Resolution Adopting FY Retirement Rates

30 ATIACHMENT A 1 1 ve CCJ\.NI~ CLE RS I,. 1 y',. F... rn:t..t.:l!\11 "' 1 y \r11-in111l1r.~n,,.,. and llr 11rrtl lfm1bt'n of: August 26, 2016 t rn ~\'J " ( '""'"',,., r ht.\' ' ( 'ot. 'l' Cl\11 llk) lll\irwi 11«\Mof ( <)1,,1\ I lfll llri ' 11. I \\Ill II ' ( ~. ''''ll'\10\; ON'"'' l"l>i '<T\ DI Hkl\l~'l 1* 0k\... hl ( Ill'" I \11'1 l \I " RI IWI \U!>.1 ll,~it\i "" ""' nu '11' 1 11<1 \I I\ ()ICA"ol ( H\ 'I\,,.lfm,lf '' 1 1 n11 t1\i S I Jl\'lr(S UI IC \I Ill< 11Un '>1-:"tt' <\11,n L-11" \tof"'' l<>k\l\tio' t I 1\t\U"-'"" I >l'"l I l 1~ -.n!'i Al IC I ~I\ I tnkar) lll<\'<11 l 'll '11\ 'M'll' rio' DI' 1 klc 1 I li<a 'VI ('01 'I\ l I<~'"" IRTAll " \I rll!irllv Ms. Carolyn Emery Orange County Local Agency Formation Commission 2677 N. Main Street, Suite 1050 Santa Ana, CA Re: New Employer/Employee Contribution Rates 2017/2018 Dear Ms. Emery: At the July 18, 2016 regular board meeting, the Board of Retirement adopted fiscal year 2017/2018 employer and employee contribution rates for the existing plans as part of the December 31, 2015 Actuarial Valuation Report. These new rates will go into effect beginning with pay period 15 in The attached schedules Include both the employer rates and a listing of the employee contribution rates for your various plans. Additional plan information including a detailed breakdown of the UAAL by rate group can be found in the Actuarial Valuation as of December 31, 2015 located on the OCERS website at: Finance page. tr you have any questions or require additional information. feel free to contact me at (714} or by at bshott@ocers.org. Regards. /11,. II}._ hf K/tAW- ~ Brenda Shott Assistant CEO of Finance and Internal Operations 'ii l'lkl"i-;( II\ kl ('4 cc: Benjamin Legbandt lltm,,1'(>(11 \II<>' l'onrull>r \ ul '<lt~ l ( l\ll1>1ca I ( f,ll:ra1'1! C '\ \U I "WI tjsi 0 11> "II \II \1111 R~) ORANvl COUNTY EM PL OYEES RETIREMENT SYSTl:M E. We/li11g1cm Aw1111<'. S1tit<: l<jo. Santa Ana, CA Tell'nlione (714) 558-6}()0 Fax f7 /4J

31 ATTACHMENT A l - Orange County Local Agency Formation Commission Employer I Employee Contribution Rates Effective Pay Period 15, July 7, 2017 Employer Contribution Rates Rate Group Plan Rate #2 I & J (Future Service).. Normal UAAL* Total 13.19% [o 33.82% #2 O&P Normal UAAL Total 5.46% 22.45% 27.91% #2 T-PEPRA Normal UAAL Total 6.56% 22.45% 29.01% *UAAL Rate Adjustment for Future Service Only: General employers with the 2.7% at 55, Rate Group #2 future service only benefit improvement, are subject to the UAAL rate adjustment of 1.82% for future service only. The UAAL rate is calculated as follows: 22.45% (original rate) % {future service adjustment) = 20.63%. **Reverse Pickups: LAFCO Bargaining Units under the 2. 7% at 55 plans are subject to an Employee-paid Reverse Pickup. which has not been accounted for in the Employer rate above. Any Reverse Pickup arrangements are between the Plan Sponsors and Employee Bargaining Units. The reverse pickup rates schedule is available online at: sponsor/reversepickups.pdf. Employee Contribution Rates Entry Age Entry Age PLAN I (2.7%@ 55) 9.66% 9.66% 9.83% 10.01% 10.18% 10.36% 10.54% 10.73% 10.92% 11.11% 11.31% 11.51% 11.71% 11.92% 12.13% 12.35% 12.57% 12.80% 13.03% 13.27% PLAN I (2.7%@55) PLAN J (2. 55) 9.20% 9.20% 9.37% 9.53% 9.70% 9.87% 10.04% 10.22% 10.40% 10.58% 10.77% 10.96% 11.15% 11.35% 11.55% 11.75% 11.96% 12.18% 12.40% 12.63% PLAN J (2.7%@ 55) PLANP 65) 5.97% 5.97% 6.07% 6.18% 6.29% 6.40% 6.51% 6.63% 6.75% 6.86% 6.98% 7.11% 7.23% 7.36% 7.49% 7.62% 7.75% 7.89% 8.03% 8.17% PLAN P PLANT (1.62%@65) PEPRA 4.64% 4.64% 4.72% 4.81% 4.89% 4.98% 5.07% 5.16% 5.25% 5.34% 5.43% 5.53% 5.63% 5.73% 5.83% 5.93% 6.03% 6.14% 6.25% 6.36% PLANT \ ic" OCEl{S 2015 Acluarial Valua1io11 on line 111: h 11 p : //""" 11t~n.orglp cfnfi n11n cc/:a r 1U ariallrnl1111ion l201 ~2.-ru;11 iahal11:11inn.pd f

32 ATIACHMENT A {1.62% {@ 65~ (1.62% I@ 65~ PEPRA % 12.86% 8.32% 6.48% % 13.11% 8.47% 6.59% % 13.34% 8.62% 6.71% % 13.55% 8.78% 6.84% % 13.76% 8.94% 6.96% % 13.97% 9.10% 7.10% % 14.19% 9.28% 7.23% % 14.42% 9.44% 7.36% % 14.67% 9.59% 7.48% % 14.92% 9.74% 7.60% % 15.15% 9.89% 7.72% % 15.36% 10.04% 7.85% % 15.52% 10.21% 7.98% % 15.61% 10.38% 8.12% % 15.62% 10.56% 8.26% % 15.54% 10.72% 8.40% % 15.34% 10.87% 8.52% % 14.94% 10.98% 8.62% % 15.44% 11.05% 8.69% % 15.97% 11.06% 8.71% % 15.97% 11.00% 8.69% % 15.97% 10.86% 8.61% % 15.97% 10.58% 8.44% % 15.97% 10.93% 8.73% % 15.97% 11.30% 9.02% % 15.97% 11.30% 9.02% % 15.97% 11.30% 9.02% % 15.97% 11.30% 9.02% % 15.97% 11.30% 9.02% % 15.97% 11.30% 9.02% % 15.97% 11.30% 9.02% 66 and thereafter 15.97% 15.97% 11 30% 9.02% Average entry age and discount percentages appocable to employee contributions paid under Section are: Rate Group #2 #2 #2 #2 #2 Plan Plan I (General) Plan J (General) Plan 0 (General) Plan P (General) Plan T (General) - PEPRA Di scount % 98.86% 97.38% NIA 96.21% 94.91% Average Entry Age NIA 33 33

33 ATTACHMENT B CP RESOLUTION OF THE LOCAL AGENCY FORMATION COMMISSION OF ORANGE COUNTY, CALIFORNIA ADOPTING RETIREMENT RATES FOR FY October 12, 2016 On motion of Commissioner, duly seconded by and carried, the following resolution was adopted: WHEREAS, the California State Legislature adopted AB 2838 in its legislative session, which, in part, required that Local Agency Formation Commissions throughout the State of California become independent public agencies effective January 1, 2001;and WHEREAS, the Orange County Local Agency Formation Commission ("OC LAFCO") applied and was accepted as an independent member agency under the Orange County Employees Retirement System ("OCERS") on or about January 1, 2001; and WHEREAS, as a result of OC LAFCO being an independent member agency under OCERS since 2001, OC LAFCO must annually adopt both the employee and employer rates as approved by OCERS; and WHEREAS, in August 2004, the County of Orange reached agreement with a number of General Member bargaining units and certain unrepresented employees to implement a 2.7% at 55 retirement formula for both past and future service; and WHEREAS, on February 9, 2005, OC LAFCO approved implementation of a 2. 7% at 55 retirement formula, for future service only, beginning July 1, 2005; and WHEREAS, the cost to migrate to the 2.7% at 55 retirement formula was paid for by OC LAFCO employees and did not result in additional cost to LAFCO except for an annual employer contribution of 0.51 percent and annual modifications made in the retirement rates as determined by OCERS; and WHEREAS, on December 12, 2012, OC LAFCO rescinded the 2.7% at 55 retirement formula for employees hired by OC LAFCO on or after December 12, 2012; and WHEREAS, the new 2.7% at 55 retirement formula only applies to active employees and new employees hired between July 1, 2005 and December 11, 2012; and Resolution CP Page 1 of3

34 ATTACHMENTB WHEREAS, on April 20, 2010, the County of Orange approved implementation of a 1.62% at 65 retirement formula for new County employee hires only effective on or after July 1, 2010;and WHEREAS, on June 9, 2010, OC LAFCO approved implementation ofa 1.62% at 65 retirement formula, for new OC LAFCO employee hires only, beginning July I, 2010; and WHEREAS, on February 9, 2011, OC LAFCO adopted a temporary resolution establishing that new employees enrolled in the 1.62% at 65 retirement formula are subject to pay the reverse pickup cost; and WHEREAS, on June 8, 2011, OC LAFCO adopted a revised resolution replacing the February 9, 2011 resolution. establishing OC LAFCO as responsible for the employee reverse pickup, the annual employer contribution of 0.51 percent and annual modifications made in the retirement rates for the 1.62% at 65 as determined by OCERS; and WHEREAS, the new employee who elects the 1.62% at 65 will be eligible to receive a contribution from OC LAFCO to a defined contribution plan, in which OC LAFCO will match one hundred percent (100%) of the employee's contribution up to two percent (2%) of the employee's salary during the first year of enrollment, and will match fifty percent ( 50%) of the employee's contribution up to two percent (2%) of the employee's salary in the following years; and WHEREAS, on September 12, 2012, the California Public Employees' Pension Reform Act (AB 340) was chaptered into law and became effective January 1, 2013; and WHEREAS, the California Public Employees' Pension Reform Act (AB 340) imposed certain limitations on public employee pension formulas for public employees considered new members, as that terrn is defined by Government Code Section (f) ("New Members"); and WHEREAS, the enactment of the California Public Employees' Pension Reform Act (AB 340) required OCERS to establish two versions ofth.e 1.62% at 65 retirement plan, one for new OC LAFCO employees that are not New Members ("non-pepra 1.62 Plan") and one for new OC LAFCO employees that are New Members ("PEPRA 1.62 Plan"); WHEREAS, the employer retirement rate for the l.62% at 65 retirement plan, as established by OCERS, for is percent for new LAFCO employees that are not New Members ("non-pepra" 1.62 Plan); and Resolution CP Page 2 of3