Public Employees' Retirement System: officers and directors: appointment and compensation.

The Public Employees' Retirement Law (PERL) vests the management and control of the Public Employees' Retirement System in the Board of Administration. PERL requires the board to appoint and fix the compensation of an executive officer, a general counsel, a chief actuary, a chief investment officer, a chief financial officer and other investment officers and portfolio managers, as specified. PERL requires that specified principles guide the board when fixing compensation, consistent with its fiduciary responsibility to recruit and retain highly qualified and effective employees for these positions. This bill would additionally require the board to appoint and fix the compensation of a chief operating officer and a chief health director. The bill would prohibit the annual percentage increase in salary paid to a person who served as chief health director or as chief operating officer on January 1, 2018, and who does not separate from service in the position prior to the date on which the increase is applied, from exceeding 10% for the 2018–19 fiscal year or 5% for any subsequent fiscal year.