A contracting agency with a non-pooled plan of less than 150 active members on any annual actuarial valuation date beginning on June 30, 2026, may, by amendment to its contract prior to the next annual actuarial valuation date, participate in a risk pool, effective on the June 30th following the amendment, provided that the actuary determines such participation will not be unfavorable to other agencies in the pool. In the event that such participation would be unfavorable, the matter may be referred to the CalPERS Board for a hearing. Notwithstanding the criteria for optional removal from a risk pool in Section 588.7, following optional participation in a risk pool by contract amendment, the affected pooled plan may not be removed from the pool unless removal is mandatory under the criteria in Section 588.7.

Note: Authority cited: Sections 20120, 20121 and 20840, Government Code. Reference: Section 20840, Government Code.

History

1. New section filed 9-23-2004; operative 9-23-2004 pursuant to Government Code section 11343.4 (Register 2004, No. 39).

2. Amendment filed 5-12-2026; operative 7-1-2026 (Register 2026, No. 20).