FROM: Christina Cintron, Chief of Member Services
SUBJECT: Returning Retiree Certification: Ronald Ketcham
RECOMMENDATION:
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Deny the request to extend the employment of Ronald Ketcham from January 1, 2026, through July 1, 2027, in accordance with SBCERA Benefits Policy No. 032, “Retirees Returning to Work.” The request does not meet the policy criteria for extensions beyond the 18-month employment limit, as the employer has not demonstrated an extreme necessity or a time-limited operational need as required under the policy.
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BACKGROUND:
The California Public Employees’ Pension Reform Act of 2013 (PEPRA) establishes limitations for retirees returning to work in the same retirement system from which they receive a pension. Under SBCERA Benefits Policy No. 032, extensions beyond 18 consecutive months of re-employment must be approved by the Board of Retirement and are permitted only under conditions of extreme necessity and for a limited duration.
Ronald Ketcham retired from the South Coast Air Quality Management District (SCAQMD) on August 4, 2007, after 30.5 years of service, concluding his career as a Senior Public Information Specialist. His original returning retiree certification covered the period from July 1, 2024, through August 30, 2025, during which he served as a Board Member Consultant to Governing Board Member Larry McCallon. In accordance with SBCERA Benefits Policy No. 032, which permits staff approval of re-employment not exceeding 18 consecutive months, a staff-approved extension was granted through December 31, 2025, completing the maximum 18-month period permissible without Board approval.
In September 2024, SBCERA provided SCAQMD with written clarification regarding the employment status of Board Member Consultant positions. SCAQMD had previously identified and treated these positions as “Independent Contractors.” However, based on the independent contractor standards SBCERA applies when evaluating returning retiree requests, SBCERA clarified that Board Member Consultant positions do not meet the criteria for independent contractor status and therefore are not exempt from the returning retiree provisions in Benefits Policy No. 032. SCAQMD formally acknowledged receipt and understanding of this clarification through a signed acknowledgement dated September 12, 2024 (see Exhibit D).
CURRENT REQUEST:
SCAQMD requests approval to extend Mr. Ketcham’s employment from January 1, 2026, through July 1, 2027, continuing in the role of Board Member Consultant for Governing Board Member McCallon.
Extreme Necessity:
The employer reports that Mr. Ketcham provides direct advisory and analytical support to Governing Board Member Larry McCallon in his roles as Chair of the Stationary Source Committee and the Refinery Committee, both of which are central to SCAQMD’s regulatory planning, rule development, and policy implementation efforts. These committees address complex environmental and public health issues, including air quality standards, permitting considerations, and rulemaking processes affecting stationary sources and refinery operations throughout the region. Governing Board Member McCallon also serves on the Administrative, Mobile Source, and Technology committees, where decisions shape agency finance, clean energy programs, and mobile source emission strategies.
According to SCAQMD, Mr. Ketcham’s decades of institutional knowledge--developed over more than 30 years with the agency--provide the Governing Board Member with valuable historical context, continuity, and insight into highly technical subject matter. The employer emphasizes that losing access to this expertise would impact the Governing Board Member’s ability to prepare for committee discussions and evaluate complex regulatory issues. While the absence of a consultant would not halt SCAQMD operations, the employer contends it would create disruption in the continuity and preparedness needed for the Governing Board Member’s committee responsibilities.
The employer further explains that the Board Member Consultant role is unique within SCAQMD. Consultants are personally selected by Governing Board Members and are not interchangeable with internal team members or other Board Member Consultants. The employer notes that no other individuals within the organization possess the same combination of institutional knowledge and Governing Board Member-specific familiarity. As a result, redistributing Mr. Ketcham’s duties is not feasible, and the employer believes that essential preparatory and advisory work would be diminished during the transition to a new consultant.
Taken together, these factors illustrate that Mr. Ketcham is a highly valued resource whose extensive experience and institutional history are deeply appreciated by the Governing Board Member and the agency. However, while his contributions are significant, the circumstances described do not demonstrate the type of unavoidable or unforeseen operational conditions required to satisfy the Extreme Necessity standard under SBCERA Benefits Policy No. 032. For these reasons, the request does not meet the policy criteria for extending employment beyond the initial 18-month period.
Limited Duration / Completion of Work:
SCAQMD reports that Board Member Consultants serve under one-year contracts that run from July 1 through June 30, and that consultants may be reappointed without term limits. While the employer views this annual contract cycle as defining the duration of the assignment, the recurring nature of these one-year terms does not, by itself, demonstrate that the role is tied to a discrete project, special assignment, or time-limited operational need that must be completed by July 1, 2027.
The justification does not identify a specific task, defined project, or specialized assignment with an identifiable end point beyond the normal scope of a Board Member Consultant’s ongoing duties. Instead, the justification reflects a desire to preserve continuity in an ongoing advisory capacity, which aligns more closely with routine operational support rather than limited-duration work.
SBCERA Benefits Policy No. 032 also provides that re-employment “shall not be considered to be of limited duration if the re-employment is the functional equivalent of a permanent part-time position, or if the stated limit on the duration is such that the re-employment is effectively unlimited.” This provision reinforces that returning retiree employment must remain temporary and cannot operate as ongoing or indefinite support to the employer.
For these reasons, the justification does not meet the Limited Duration or Completion of Work requirements under Policy No. 032.
Recruitment Efforts:
SCAQMD reports that Board Member Consultants are not recruited through standard processes. Instead, each Governing Board Member selects a consultant individually, subject to review by the agency’s Administrative Committee. Consultants serve one-year terms with no term limits.
The employer states it will work with Governing Board Member McCallon to identify a replacement if the extension is denied.
LEGAL AND POLICY CONSIDERATIONS:
Pursuant to SBCERA Benefits Policy No. 032 and applicable PEPRA provisions, Board approval for re-employment beyond 18 consecutive months requires that the request satisfy both of the following conditions:
1. Extreme Necessity - The employer must demonstrate that the re-employment is essential to maintain effective operations due to genuinely unforeseen or unavoidable circumstances; and
2. Limited Duration / Completion of Work - The re-employment must relate to the completion of a specific, time-bound task or project, or meet one of the limited-duration conditions defined in Policy No. 032, which may include:
• Hard-to-Recruit Positions - Temporary placement in a classification requiring specialized skills, certifications, or qualifications that are difficult to recruit for in the labor market, supported by documented and ongoing recruitment efforts; or
• Stoppage of Public Business - Re-employment necessary to prevent interruption of essential government functions where such interruption would directly compromise public safety, security, welfare, or the effective administration of justice.
Based on the documentation and employer’s statements, staff finds that neither the Extreme Necessity requirement nor the Limited Duration conditions are satisfied in this case.
CONCLUSION:
Based on the information provided, the employer’s justification does not demonstrate that the request meets the requirements of SBCERA Benefits Policy No. 032 for extensions beyond 18 consecutive months. Accordingly, staff recommends denial of the request to extend Mr. Ketcham’s employment as a Board Member Consultant from January 1, 2026, through July 1, 2027.
BUDGET IMPACT:
None.
STRATEGIC PLANNING GOAL/OBJECTIVE:
Operational Excellence & Efficiency
STAFF CONTACT:
Christina Cintron
ATTACHMENTS:
Exhibit A: Board Summary Worksheet
Exhibit B: Certification Extension Request
Exhibit C: Prior Certification Form
Exhibit D: Returning Retiree Policy Clarification Acknowledgment Letter