Mun. Water Dist. of Orange Co. v. Bd. of Admin. of CalPERS
The Municipal Water District of Orange County (MWD-OC) appeals from the denial of its petition for a writ of mandate to correct an alleged error by the Board of Administration of the California Public Employees’ Retirement System (CalPERS). CalPERS permitted Hunter T. Cook, an individual who provided services to MWD-OC’s predecessor in interest, to purchase prior service credit for the period during which he was denoted by contract as an independent contractor, not an employee. Because independent contractors are excluded from membership in CalPERS, MWD-OC contends CalPERS’s action was prohibited.
In deciding whether an individual is eligible for membership, CalPERS has the authority by statute to determine the nature of an employment relationship and the right to receive benefits, subject to judicial review. In this case, CalPERS’s decision that Cook was an “employee” for some portion of his relationship with MWD-OC’s predecessor in interest and was therefore entitled to purchase prior service credit was supported by substantial evidence. Court therefore affirmed the trial court’s denial of the petition for a writ of mandate.
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