Ordinance No. 58-13-35 v ORDINANCE NO. 58-13-35
AN ORDINANCE OF THE CITY OF ATLANTIC BEACH,
ESTABLISHING CHAPTER 2, ADMINISTRATION,
ARTICLE VI, EMPLOYEE BENEFITS, DIVISION 5, CITY
OF ATLANTIC BEACH DEFINED CONTRIBUTION PLAN,
SECTIONS 2-320 THROUGH 2-330, PROVIDING FOR
CODIFICATION; AND PROVIDING AN EFFECTIVE
DATE.
WHEREAS, the City of Atlantic Beach General Employees are presently provided
pension and certain other benefits under Ordinances of the City of Atlantic Beach and;
WHEREAS, the City Commission wishes to establish a Profit Sharing Plan. This Plan
shall be maintained as a governmental profit sharing plan under the provisions of Section 401 of
the United States Internal Revenue Code.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION ON
BEHALF OF THE PEOPLE OF THE CITY OF ATLANTIC BEACH, FLORIDA;
SECTION 1: That Chapter 2, Administration, Article VI, Employee Benefits, Division
5, City of Atlantic Beach Defined Contribution Plan, Sections 2-320 through 2-340, inclusive, of
the Code of Ordinances of the City of Atlantic Beach, is hereby established as set forth in the
document designated CITY OF ATLANTIC BEACH DEFINED CONTRIBUTION PLAN
attached hereto and made a part hereof.
SECTION 2: Specific authority is hereby granted to codify and incorporate this
Ordinance in the existing Code of Ordinances of the City of Atlantic Beach.
SECTION 3: All Ordinances or parts of Ordinances in conflict herewith and the same
are hereby repealed.
SECTION 4: If any section, subsection, sentence, clause, phrase of this ordinance, or
the particular application thereof shall be held invalid by any court, administrative agency, or
other body with appropriate jurisdiction, the remaining section, subsection, sentences, clauses, or
phrases under application shall not be affected thereby.
SECTION 5: That this Ordinance shall become effective upon its adoption.
PASSED ON FIRST READING,this 13th day of May 2013.
PASSED AND ADOPTED ON SECOND AND FINAL READING,this 10th day of
June 2013.
Ake, idifi.4,
MIKE BORNO
MAYOR
ATTEST:
akt 1 %1)64tee-
DONNA L. BARTLE, CMC
CITY CLERK
Approved as to form:
• • '. JENSEN, ESQUIRE
ATTORNEY
Ordinance No. 58-13-35 Page 2 of 5
CITY OF ATLANTIC BEACH DEFINED CONTRIBUTION PLAN
Sec. 2-320. Eligibility and Membership Requirements.
(a) Conditions of eligibility.
1. An employee is eligible to participate in the Defined Contribution Plan if they are
employed with the City on or after September 1, 2008; and
2. The employee specified above is in a full-time position with the City or is in the
classification of regular part-time employee who has a regular schedule of hours worked
each pay period.
(b) Conditions of ineligibility
1. An employee is ineligible to participate in the Defined Contribution Plan if employed by
the City prior to September 1, 2008 and is a member of the Defined Benefit Pension Plan
for the City of Atlantic Beach;or
2. If any city managerial or professional employee is employed pursuant to an individual
contract of employment with different terms and conditions for a defined contribution
plan is ineligible to participate in this Defined Contribution Plan;or
3. Any person whose service to the city is rendered on a contractual or fee basis is ineligible
to participate in the Defined Contribution Plan;or
4. Any person employed in a position classified as seasonal is ineligible to participate in the
Defined Contribution Plan;or
5. Any person covered by a bargaining agreement between the City and the City of Atlantic
Beach Police Department is ineligible to participate in the Defined Contribution Plan; or
6. Any participant of the Atlantic Beach Police Officers' Retirement System is not eligible
to participate in the Defined Contribution Plan; or
7. An elected official when serving in their capacity during their time in office is ineligible
to participate in the Defined Contribution Plan.
(c) Membership.
1. An eligible employee may enroll in the Defined Contribution Plan at any time during their
employment with the city.
2. All employees that meet the above conditions of eligibility will be enrolled in the City of
Atlantic Beach Defined Contribution Plan at 10 years of service if they have not already
become members before reaching 10 years of service.
Sec. 2-321. Plan Year.
(a) Plan Year. The Plan Year will be defined as the twelve(12)consecutive month period
commencing on October 1.
Ordinance No. 58-13-35 Page 3 of 5
Sec. 2-322. Normal Retirement Age.
(a) Retirement Age. Normal retirement age for the City of Atlantic Beach Defined Contribution Plan
shall be age sixty(60).
Sec. 2-323. Variable Employer Match of Voluntary Participant Contributions.
(a) Employer Contributions. During the first ten(10)years of service, the Employer shall contribute
matching contributions up to six (6)percent of earnings based on the Participants' percentage of
earnings contributed to the 457 Defined Contribution Plan.
(b) Employer contributions for a Plan Year shall be contributed to the Trust bi-weekly.
Sec. 2-324. Contribution Provisions.
(a) Employer Contributions The employer shall contribute a fixed contribution of four(4)percent of
earnings after the employee has obtained ten(10)years of service at the City. Mandatory
participant contributions are not required.
Sec. 2-325. Earnings.
(a) Earnings. Earnings, as defined under Sec. 2-323 shall not include overtime or bonuses.
(b) At Termination. Earnings will not include accrued unpaid personal leave and/or comp time that
would otherwise be paid to the employee in cash.
Sec. 2-326. Vesting Provisions.
(a) Vesting. The Employee will be fully vested at 5 (five)years of completed service. The date of
enrollment in the Plan does not affect the vesting period.
(b) Non-vested members of the City of Atlantic Beach Defined Benefit Plan who are transferred to the
Defined Contribution Plan will receive credit for their years of service towards vesting.
Sec. 2-327. Withdraws and Loans.
(a) Loans. Loans from the City of Atlantic Beach Defined Contribution Plan are not permitted.
(b) In-service distributions In-service distributions from the City of Atlantic Beach Defined
Contribution Plan are not permitted at any age.
Ordinance No. 58-13-35 Page 4 of 5
Sec.2-328. Spousal Protection.
(a) Spousal Protection. The Plan will provide Participant Directed Election. The normal form of
payment of benefits under the Plan is a lump sum. The Participant can name any person(s) as the
Beneficiary of the Plan, with no spousal consent required.
Sec. 2-329. Administrative Provisions.
(a) The City Commission shall adopt the terms and provisions for the administrative provisions of the
Defined Contribution Plan by resolution,provided that they shall not conflict with any of the
provisions of this ordinance.
Sec. 2-330 to 2-340. RESERVED
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