Gov. Code, § 31616 · Article 5.5. Alternative Financial Provisions
Gov. Code, § 31616
Text — As published in the Legislative Counsel's database, tables dated October 18, 2026 (pubinfo_2025.zip)
After the semiannual application of Section 31615, earnings of the retirement fund in excess of the total interest credited to contributions and reserves shall remain in the fund as a reserve against deficiencies in interest earnings, losses on investments, or payments made pursuant to Section 31588.1 or 31589.1, if applicable.
These funds shall be placed in an account known hereafter as the Contingency Reserve Account. The size of this account shall be determined semiannually by the board but shall not exceed 3 percent of the total assets of the retirement fund.
If, at the end of any semiannual period, the balance of the Contingency Reserve Account falls below 1 percent of system assets, the board shall, by the end of the subsequent semiannual period, provide funds from earnings of fund assets from the subsequent semiannual period, to bring the level of the Contingency Reserve Account to at least 1 percent of system assets.
No funds in the Contingency Reserve Account shall be available for the payment of benefits.
Net earnings remaining after the application of this section shall be applied as provided in Sections 31617, 31618, and 31619.
Notes and commentary — not statutory text
History
Added by renumbering Section 31510.6 by Stats. 1984, Ch. 193, Sec. 60.
Source of truth
- Edition
- As published in the Legislative Counsel's database, tables dated October 18, 2026 (pubinfo_2025.zip)
- Official file
- https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=GOV§ionNum=31616.
- Text hash
- sha256 fcef997193da9112e1ac64a41daa9759ca8802d95705711016a24c26f43bbc9e
- Composed by
- compose_ca.py 2026-10-22: the Legislative Counsel's CAML content files read by a tokenizer (caml_readers.reader_a); an independent xml.etree reading (caml_readers.reader_b) agrees on every section
This section cites
Provisions in this library that the text above cites, as it prints each citation. A range cited as “ss. 61.13-61.16” links its first and last provisions.
Government Code
- Gov. Code, § 31588.1Printed as Section 31588.1 or 31589.1
- Gov. Code, § 31589.1Printed as Section 31588.1 or 31589.1
- Gov. Code, § 31615Printed as Section 31615
- Gov. Code, § 31617Printed as Sections 31617, 31618, and 31619
- Gov. Code, § 31618Printed as Sections 31617, 31618, and 31619
- Gov. Code, § 31619Printed as Sections 31617, 31618, and 31619
Cited by 6 provisions
Provisions in this library whose text cites Gov. Code, § 31616. Each shows the citation as that text prints it.
Government Code
- Gov. Code, § 31459Printed as Sections 31453, 31453.5, 31454, 31454.1, 31454.5, 31472, 31588.1, 31589.1, 31591, 31592.3, 31594, 31595.1, 31595.9, 31596, 31596.1, 31601.1, 31607, 31611, 31616, 31625, 31784, and 31872
- Gov. Code, § 31459.1Printed as Sections 31453, 31453.5, 31454, 31454.1, 31454.5, 31472, 31588.1, 31589.1, 31591, 31592.3, 31594, 31595.1, 31595.9, 31596, 31596.1, 31601.1, 31607, 31610, 31611, 31612, 31613, 31616, 31618, 31621.11,
- Gov. Code, § 31613Printed as Section 31616
- Gov. Code, § 31617Printed as Sections 31615 and 31616
- Gov. Code, § 31618Printed as Section 31616
- Gov. Code, § 31619Printed as Sections 31615 and 31616
Procedural information only. Not legal advice and not a substitute for the advice of an attorney. Confirm the current text with the official publisher before relying on it.