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The City Council shall be authorized to enter into a contract with the Board of Administration of the Public Employees’ Retirement System of California that shall include all employees of the City of San Luis Obispo. The City Council may terminate or amend its contract or negotiate another contract to provide improved or reduced employee benefits only in accordance with state law and as permitted by the Board of Administration of the Public Employees’ Retirement System. (Amended at election August 30, 2011)