News & Events

CalPERS March 2022 Board Meeting Recap

The CalPERS Board met Monday, March 14, through Wednesday, March 16, in-person at our Sacramento Headquarters.

A recording of all the public meetings is now posted on the CalPERS YouTube channel. Here are some highlights from this month’s meetings.

Monday’s Meeting

Investing in Emerging Markets

Alex Christensen of Blackrock, Greg G. Olafson of Goldman Sachs, and Pramol Dhawan of PIMCO provided the Investment Committee answers to high-level questions about emerging markets and their role in asset classes in a diversified portfolio. This panel discussion was an information item for the committee to better understand the different methods of obtaining market exposure.

Adoption of Affiliate Fund Policy Portfolios

The committee voted to adopt new asset allocations for our affiliate funds. This includes the Health Care Fund, Legislators’ Retirement System Fund, Judges’ Retirement System Fund, Judges’ Retirement System II Fund, California Employers’ Retiree Benefit Trust Fund, and the California Employers’ Pension Prefunding Trust Fund. This is part of the Asset Liability Management (ALM) process that the board undertakes every four years. For more information, view the agenda item (PDF) or the recent webinar on the ALM for our prefunding programs.

Tuesday’s Meeting

Pharmacy Benefits Manager Contract Extension

The Pension and Health Benefits Committee approved the extension of the Pharmacy Benefit Manager (PBM) contract with OptumRx for two additional years. The extension continues the acquisition-based contract with stronger price guarantees and best in the market pricing. The extension is expected to save approximately $71 million in 2022, and roughly $130 million for 2023 and 2024. For more information, view the agenda item (PDF) or watch the presentation.

Update on Retiree Cost-of-Living Adjustment

The committee received an update on the retiree cost-of-living adjustment (COLA). The COLA increases by year of retirement and will be effective as of May 1. A chart and more information can be found in this CalPERS blog post.

Proposed Regulation for the Definition of Limited Duration Employment

The committee reviewed a draft regulation regarding limited duration employment. Generally, the term applies to retired members serving after retirement or employees working in an upgraded position. By proposing this regulation, CalPERS seeks to more clearly define what limited duration employment encompasses for our members and employers. The committee requested CalPERS team members bring back a revised draft of the proposed regulations to a future meeting. For more information, view the agenda item (PDF) and the draft regulation (PDF).

Next Board Meeting

The board will meet again April 18-19 in-person at our Sacramento Headquarters View the full schedule on our Board Meetings Calendar page.