CalPERS finance committee elects chair, approves member-at-large election notice; one abstention on voting rules

The Finance & Administration Committee of the California Public Employees Retirement System on March 17 elected Kevin Palki as chair and Melissa Willett as vice chair, approved routine actuarial and contribution-rate consent items and voted to release the 2025 member-at-large notice of election with one abstention.

The committee approved the action consent package covering actuarial valuation reports and employer and employee contribution rates for multiple retirement systems, and removed a contract extension (agenda 4f) from consent for separate handling. Michelle Nix, CalPERS staff, noted the agenda and highlighted the Social Security Fairness Act changes and an update on the California Employers Pension Prefunding Trust (SEP).

The committee then considered an action item to release a notice of election to start the nomination period for two member-at-large seats. Dallas Stone, CalPERS staff, said the notice would be distributed to retired and active eligible members and that nomination petitions with a minimum of 250 valid signatures must be submitted by 5 p.m. on May 15, 2025. After a brief public comment period, the committee voted to adopt the notice; the tally included one abstention by Director Jose Luis Pacheco.

Public comment before the vote raised two recurring concerns: whether the notice’s California residency requirement for candidates was supported by the public-employee retirement law and concerns about Internet and phone voting security and auditability. JJ Jelencik, director of health benefits at the Retired Public Employees Association (RPEA), urged adherence to the more specific statutory language and recommended rejecting Internet voting; Margaret Brown, RPEA president, also argued against Internet/phone voting because of audit-trail concerns.

Committee members asked staff to enhance communication to active members; Stone said the Board Election Team will distribute the notice via a circular letter to employers and a coordinated email marketing campaign to complement the mailing to retired members.

The committee recorded the following formal motions: a motion to elect Kevin Palki as chair (nominated and seconded, approved unanimously); a motion to elect Melissa Willett as vice chair (nominated and seconded, approved unanimously); a motion to approve the action consent package (motion and second recorded; vote carried); and a motion to adopt the 2025 member-at-large notice of election (motioned, seconded, passed with one abstention).

The committee scheduled its next meeting for April 14, 2025, with a packed agenda including semiannual contracting and financial reports and the 2025–26 budget proposal.

Votes at a glance: - Election of Kevin Palki as Finance & Administration Committee chair — outcome: approved (unanimous). Motion: nomination by President Taylor; second by Director Willett. - Election of Melissa Willett as Vice Chair — outcome: approved (unanimous). Motion: nomination and second recorded in meeting. - Action Consent (actuarial valuation reports and employer/employee contribution rates; judges, legislators, and related items) — outcome: approved (motion by Director Jose Luis Pacheco; second by David Miller). - 2025 Board of Administration member-at-large Notice of Election — outcome: approved (motion by Von Walker; second by Teresa Taylor). Vote: ayes majority; 1 abstention (Jose Luis Pacheco).

Clarifying details: staff removed agenda item 4f (contract extension of investment office total fund in capital markets) from the action consent agenda for separate consideration; nomination timelines and signature thresholds for the member-at-large election were specified as part of the approved notice.