Authority of City Council to Refund Costs Paid by Members of the Department of Airports Who Previously Transferred to Tier 6 Pursuant to Section 1704.

Los Angeles City Charter § 1713

in effect

Sec. 1713. Authority of City Council to Refund Costs Paid by Members of the Department of Airports Who Previously Transferred to Tier 6 Pursuant to Section 1704. (a) Council Authority to Authorize Refunds to Tier 6 Members. The Council may, by ordinance adopted in accordance with the provisions of this section, and pursuant to applicable provisions of the Charter and the Los Angeles Administrative Code, authorize a refund to a person, actively employed as a Member of the Department of Airports on January 12, 2025, who previously transferred to Tier 6 pursuant to Section 1704, and purchased any portion of their prior City service or Tier 6 health benefits pursuant to any existing provisions of the Los Angeles Administrative Code. For purposes of this section, such Tier 6 Members shall be referred to as “Qualifying Tier 6 Member(s).” (b) Limitations on Authority to Provide Refunds. (1) Cost Neutrality for Plan. The City shall be required to issue payment to the Plan in an amount that covers the full cost of refunds that will be issued to Qualifying Tier 6 Members pursuant to any ordinance adopted pursuant to this section. The City shall make this payment in advance of the Plan’s issuing any refunds, and it may be made at the same time as the City’s first annual contribution to the Plan that immediately follows the effective date of the ordinance adopted pursuant to this section. (2) Payment Source and Method. Notwith-standing any language to the contrary in Section 1704(b)(3), the Plan shall refund to a Qualifying Tier 6 Member all monies paid to purchase any portion of City service or Tier 6 health benefits pursuant to any existing provisions of the Los Angeles Administrative Code, whether purchased by a lump sum or payment plan. All payments issued pursuant to this subsection shall be made prior to a Qualifying Tier 6 Member’s separation in a manner consistent with the Internal Revenue Code, either as a rollover, a trustee-to-trustee transfer, or a post-tax payment. Any personal tax consequences will be borne by the Qualifying Tier 6 Member. (3) No Interest. Notwithstanding any language to the contrary in Section 1714 or in any existing provisions of the Los Angeles Administrative Code, the Plan shall not pay interest on any refund issued pursuant to this section, other than interest calculated according to Section 1714(c) that is attributable to a refund authorized by this section. (4) Termination of Payment Plans. Effective January 12, 2025, any payment plan between the Plan and a Qualifying Tier 6 Member entered into pursuant to any existing provisions of the Los Angeles Administrative Code shall be terminated. The balance of any outstanding payments owed by a Qualifying Tier 6 Member to purchase prior City service pursuant to any existing provisions of the Los Angeles Administrative Code shall be forgiven and no longer owed. SECTION HISTORY Added by Charter Amendment FF, approved November 5, 2024, effective January 8, 2025.

Source: City of Los Angeles, Charter and Codes (American Legal Publishing, codelibrary.amlegal.com)URL: https://codelibrary.amlegal.com/codes/los_angeles/latest/laac/0-0-0-127498Fetched: 10/24/2026