The Plan has 2 tiers of benefits:
- Tier 1 members were contributing to the Plan prior to January 1, 2014. An exception applies for employees who were ineligible for Plan membership on December 31, 2013 due to employment in the Department as a Utility Pre-Craft Trainee, Construction Electrical Helper, or Construction Electrical Mechanic. Upon regular appointment in the Department, without a break in service, to a position that is eligible for Plan membership after January 1, 2014, these employees also become members of Tier 1.
- Tier 2 members started their employment with the Department on or after January 1, 2014, even if they transferred from the City, were previously employed by the Department and withdrew their contributions from the Plan, or had their funds transferred to the Los Angeles City Employees’ Retirement System (LACERS) prior to the suspension of the Reciprocal Agreement.
Suspension of Reciprocity
Reciprocity was an agreement between the Department and the City of Los Angeles to automatically transfer a member’s Department Service, accrued Service Credit, and contributions between the Plan and LACERS whenever a member transferred and/or promoted between the City and the Department without a break in service.
Reciprocity between the Plan and LACERS was suspended on January 1, 2014. If you transfer between the Department and City anytime on or after this date, your service and contributions and interest will stay on deposit with the pension system you left. If you have funds on deposit with both systems at your retirement, your Department Service with the Plan and your Department Service with LACERS will be combined to compute your Qualifying Service for the Plan. Your Qualifying Service will be used to determine your eligibility for retirement benefits. However, only Service Credit on deposit with the Plan will be used to calculate your monthly retirement allowance payable from the Plan.
Please contact LACERS directly to see how your Qualifying Service, Department Service, and Service Credit with the Plan will be treated under their provisions.
Glossary of Terms
Department Service: Employment history in the Department, including any leaves of absence (disability, Workers’ Compensation, military, maternity, personal, suspension, etc.), and purchased time for Other Governmental Services. Typically, employment history in the City is included if you transferred to the Department prior to the suspension of the reciprocal agreement. Department Service is used to qualify you for retirement.
Service Credit: Pay periods (or monthly periods prior to December 1980) in which contributions are made to the Plan, including any purchased time. Typically, contributions made to LACERS are included if you transferred to the Department prior to the suspension of the reciprocal agreement. Service Credit is used to determine how much you will receive for your retirement.
Qualifying Service: Department Service or Service Credit on deposit with LACERS. You may be eligible for a separate retirement allowance from LACERS if you have Qualifying Service.