On February 14, 2023, the California Public Employees’ Retirement
System’s (CalPERS) Board of Administration voted to submit the
final rulemaking package defining limited duration employment to
the Office of the Administrative Law (OAL). CalPERS began this
rulemaking action on June 17, 2022, and subsequently revised the
text of the proposed regulations on December 1, 2022.
As reported previously, CSAC
submitted written comments during the 15-day comment period
on December 16, 2022, requesting that CalPERS seek less
administratively burdensome options on counties utilizing retired
annuitants, reduce the reporting requirements for counties,
clarify the extension period timelines, improve the definition of
limited duration employment, and revise the certification
process. Regrettably, CalPERS is not proposing any
substantive amendments to the proposed regulations.
The next step in the rulemaking process is for CalPERS to submit
its final rulemaking package to the Office of Administrative Law
(OAL). CalPERS has indicated that it will submit the final
package to OAL in early March. As part of the process under the
Administrative Procedure Act, CalPERS must summarize and respond
on the record to all comments that are directed at the rulemaking
proposal. Upon CalPERS submitting the regulation to OAL for
review, OAL will then have 30 working days to review the proposed
regulations to determine if CalPERS followed the protocols
mandated under the Administrative Procedure Act. If CalPERS
followed all of the mandates under the Administrative Procedure
Act, CalPERS anticipates that the regulation will take effect on
either July 1 or October 1, 2023. This timeline could be delayed
depending on CalPERS’ interaction with OAL.
