Loading...
Agenda Packet 02-23-04 CITY OF ATLANTIC BEACH ' COMMISSION MEETING FEBRUARY 23,2004 AGENDA Call to order Invocation and pledge to the flag U1. Approve minutes of the Regular Commission meeting of February 9, 2004 2. Courtesy of Floor to Visitors A. Recognition of Don Wolfson B. Audit Report by James Moore&Company 3. Unfinished Business from Previous Meetings ' A. City Manager's follow-up report B. Discussion and related action regarding traffic calming/speed bumps for 300 block of Plaza t4. Consent Agenda ALL MATTERS LISTED UNDER THE CONSENT AGENDA ARE CONSIDERED TO BE ROUTINE BY THE CITY COMMISSION AND WILL BE ENACTED BY ONE MOTION IN ' THE FORM LISTED BELOW. THERE WILL BE NO SEPARATE DISCUSSION OF THESE ITEMS. IF DISCUSSION IS DESIRED, THAT ITEM WILL BE REMOVED FROM THE CONSENT AGENDA AND WILL BE CONSIDERED SEPARATELY. SUPPORTING ' DOCUMENTATION AND STAFF RECOMMENDATIONS HAVE BEEN PREVIOUSLY SUBMITTED TO THE CITY COMMISSION ON THESE ITEMS A. Acknowledge receipt of January Utility Sales Report(City Manager) ' B. Authorize the Mayor to sign a letter authorizing the City of Jacksonville Mosquito Control Division to fly aircraft over and spray mosquito breeding areas within the city boundaries 5. Committee Reports ' A. Reports from the Police and General Employees Pension Boards 6. Action on Resolutions ' A. Resolution No. 04-04 (1) A RESOLUTION OF THE CITY OF ATLANTIC BEACH, FLORIDA, ESTABLISHING A DEFERRED RETIREMENT OPTION PROGRAM ' (Selecting the ICMA Retirement Corporation(RC) as the investment administrator for the City's DROP participants) (2) Authorize the City Manager to sign the Administrative Services 1 Agreement and other related documents (City Manager) 1 ' 7. Action on Ordinances A. Ordinance No. 5-04-43 Public Hearing and Final Reading AN ORDINANCE OF THE CITY OF ATLANTIC BEACH, FLORIDA, ' AMENDING CHAPTER 2, ADMINISTRATION, ARTICLE VI, EMPLOYEE BENEFITS, DIVISION 1, GENERALLY, TO DELETE SECTION 2-226, HOLIDAY SCHEDULE, PROVIDING FOR CODIFICATION, AND ' PROVIDING FOR AN EFFECTIVE DATE B. Ordinance No. 58-04-29 Public Hearing and Final Reading AN ORDINANCE OF THE CITY OF ATLANTIC BEACH, FLORIDA, AMENDING CHAPTER 2, ADMINISTRATION, ARTICLE VI, DIVISION 3, GENERAL EMPLOYEE RETIREMENT SYSTEM AND DIVISION 4, POLICE OFFICER RETIREMENT SYSTEM, TO PROVIDE A DEFERRED RETIREMENT OPTION PROGRAM FOR PARTICIPANTS; CHANGE PAYMENT OF PENSION BOARD EXPENSES; AND AMENDING CHAPTER ' 2, ADMINISTRATION, ARTICLE VI, DIVISION 4, POLICE OFFICER RETIREMENT SYSTEM, TO PROVIDE ADJUSTMENTS FOR NORMAL RETIREMENT BENEFITS; PROVIDING ADJUSTMENTS TO OPTIONAL ' FORMS OF PENSION PAYMENT; PROVIDING FOR EARLY RETIREMENT BENEFITS; PROVIDING ADJUSTMENTS FOR DEFERRED RETIREMENT BENEFITS; PROVIDING FOR DEATH BENEFITS; PROVIDING FOR ' CHANGE TO PAYMENT OF PENSION BOARD EXPENSES; PROVIDING FOR SEVERABILITY; PROVIDING FOR CODIFICATION; AND PROVIDING FOR AN EFFECTIVE DATE C. Ordinance No. 25-04-35 Introducuction and First Reading AN ORDINANCE OF THE CITY OF ATLANTIC BEACH, FLORIDA, AMENDING CHAPTER 6, ARTICLE 2, BUILDING CODES, TO ADD A NEW SEC. 6-18 CONSTRUCTION SITE MANAGEMENT, TO INCLUDE A ' CONSTRUCTION SITE MANAGEMENT PLAN 8. Miscellaneous Business t A. Annual Report from the Public Safety Department(City Manager) B. Health Insurance Renewal(City Manager) (1) Authorize staff to renew health insurance with Blue Cross/Blue Shield ' effective April 1, 2004 (2) Retain the current benefits and City/employee contribution amounts (3) Authorize a change in the effective date of health insurance coverage for ' new employees C. Schedule for first reading an ordinance to identify Selva Marina Units 10 and 12 as a tree canopy protection area(City Manager) ' D. Public Hearing and action to approve the use of the general reference to that area platted as Atlantic Beach Subdivision A, formerly called Core City, as Old Atlantic Beach (Comm. Simmons) ' E. Authorize the City Manager to execute contracts with ABET and Sandra Phillips for rental of City facilities(City Manager) F. Appointment to the Code Enforcement Board to fill an unexpired term 2 G. Authorize the City Manager to enter into a contract with Property Bureau.com, t Inc. to dispose of surplus property for the City (City Manager) H. Authorize staff to contract with TouchPoint to complete the radio site survey for lift stations at a cost of$13,692.84 (City Manager) 9. City Manager A. anr' report ' 10. Reports City and/oMr reagequestss from City Commissioners and City Attorney II Adjournment ' If any person decides to appeal any decision made by the City Commission with respect to any matter considered at any meeting, such person may need a record of the proceedings, and, for such purpose, may need to ensure that a verbatim record of the proceedings is made, which record shall include the testimony and evidence upon which the appeal is to be based. ' Any person wishing to speak to the City Commission on any matter at this meeting should submit a request to the City Clerk prior to the meeting. For your convenience, forms for this purpose are available at the entrance to the ' Commission Chambers. Every effort is made to indicate what action the City Commission is expected to take on each agenda item. However, the City Commission may act upon any agenda subject, regardless of how the matter is stated on the ' agenda. In accordance with the Americans with Disabilities Act and Section 286.26, Florida Statutes, persons with disabilities needing special accommodation to participate in this meeting should contact the City Clerk by 5:00 PM, ' Friday,February 20,2004. 1 1 3 MINUTES REGULAR CITY COMMISSION MEETING ' FEBRUARY 9, 2004 CITY HALL, 800 SEMINOLE ROAD Attendance IN ATTENDANCE: ' Mayor John Meserve City Manager Jim Hanson Mayor Pro Tern Richard Beaver City Clerk Maureen King Commissioner Paul B. Parsons City Attorney Alan C. Jensen ' Commissioner Sylvia N. Simmons Commissioner J. Dezmond Waters III 1 Call to Order/Pledge Mayor Meserve called the meeting to order at 7:15 p.m. The Invocation ' was given by Mayor Meserve and was followed by the Pledge of Allegiance to the Flag. Approval of Minutes 1. Approval of the Minutes of the Regular Meeting of January 26,2004 ' Commissioner Simmons requested that the minutes be amended to reflect the following: On Page 10 of the minutes, change the third item under her comments, to read as follows: "Stated that she was aware of some ' problems with rental properties in her area,but is not sure inspection is the solution, and requested further discussion on this issue by the City Commission." ' Motion: Approve Minutes of the Regular Meeting of January 26, 2004 as amended. Moved by Beaver,seconded by Parsons Votes: ' Aye: 5—Beaver, Parsons, Simmons,Waters,Meserve Nay: 0 MOTION CARRIED ' 2. Courtesy of the Floor to Visitors ' Donna Bagby of 1817 Selva Grande Drive spoke in favor of allowing dogs to run free on the beach in a designated area, during designated hours. It was suggested that the area abutting Hanna Park be considered. (Item ' 8B). 1 February 9,2004 REGULAR COMMISSION MEETING Page 2 ' Wayne Jones, President of the Northeast Florida Residential Property Managers Association, spoke in opposition to inspection of rental properties (Item 8A). Mr. Jones stated that the members of his organization were licensed,professional managers. He felt inspections would be duplications of current statutes that protect tenants and rental properties. ' Mr. Jones further stated that property managers account for all maintenance and termite inspection for their properties and city inspections were not required. ' Peter Sapia of 1655 Selva Marina Drive,who owns a property management business, echoed the sentiments of Mr. Jones. He disagreed with many of the comments made in the report presented by Code Enforcement Board Chair at the previous meeting. He noted that the Code Enforcement Board was created to enforce, not write ordinances. He felt ' tenant education, so they know their rights, and enforcement of existing codes,would resolve any apparent problems. ' Deane Brown of 349 3rd Street spoke in opposition to allowing dogs to run free dogs on the beach. Mrs. Brown recounted an incident where an unleased dog bit her grandson while he was playing on the beach. ' Clifford Dunlopof 338 Plaza requested that the speed bumps be q reinstalled on Plaza and that on-street parking be retained. ' Lynn Raiser of 359 Plaza also requested that the speed bumps be put back ' on her street. . Stephen Kuti of 1132 Linkside Drive spoke in favor of raising Police ' salaries to the level of the Jacksonville Sheriff's Office. He also spoke in opposition to allowing dogs to run loose on the beach. Betty Eilers of 369 3" Street expressed concern that the city's new ' drainage system was not being properly maintained. She stated that she had taken it upon herself to sweep leaves from the street by her house,which is ' located in a low spot, to keep them from accumulating in the drains. Ms. Eilers stated she was opposed to changing the animal control ordinance ' and reported that she was attacked on the beach by an unleased pit bull last week. She also opposed construction of a skate park in Russell Park. Hazel Brown of 1753 Seminole Road stated there were already unleased ' dogs running on the beach and stated she was afraid of what they might do. Ms. Brown favored enforcement of the current ordinance. ' J. P. Marchioli of 414 Sherry Drive reminded the Commissioners of a petition with seventy-eight signatures requesting speed control on Sherry 1 February 9,2004 REGULAR COMMISSION MEETING Pate 3 Drive. Mr. Marchioli also expressed opposition to allowing dogs to run free on the beach, opposition to inspection of rental properties and requested that ' a sidewalk be installed on the west side of Sherry Drive. Richard DeVane of 386 4th Street recounted two unpleasant experiences ' involving unleashed dogs on the beach and suggested that the Commissioners consider limiting the time that dogs would be allowed on the beach during June,July and August to before 8:00 a.m. and after 5:00 1 p.m. Gary Evans,the local Fraternal Order of Police(FOP) Representative, ' stated he did not understand the recommendation of the Public Safety Director for one-time pay adjustment for Police Officers and the pay proposal,which included items that were rejected at the impasse hearing. ' He suggested reopening negotiations. It was also confirmed that the"status quo"would be continued on impasse items until a new contract was negotiated. ' Bill Love of 265 3"1 Street opposed allowingdogs on the beach and stated PP that the current laws were difficult to enforce. ' Jeanell Wilson, owner of a rental property management company in Jacksonville Beach, felt the proposed inspection of rental properties ' discriminated against landlords and added another layer of bureaucracy. She felt existing laws should be enforced and pointed out that rental properties paid higher taxes because there were ineligible for the homestead exemption. ' Janet Lambert of 314 Plaza was upset by the delay in reinstalling the speed bumps on the 300 block of Plaza and requested that they be reinstalled immediately. She indicated that the residents living at the ' following addresses on Plaza supported reinstalling the speed bumps: 306, 310, 314, 338, 348, 350, 358, 336, 370, 374, 390, 309, 323, 327, 343, 383, 355, 359, 363, 369, and 371. ' Joan McLoud of 176 Magnolia Street supported allowing dogs to run free on the beach in a designated area or during designated times. She agreed ' that pet owners should be responsible for cleaning up after their pets and inquired if the city provided bags for that purpose. Ms. McLoud indicated that she would like to hear the Commissioners' thoughts on a dog park, and ' stated that she was speaking on behalf of Susie Sneed. Mayor Meserve stated that he would like to discuss Item 8B at this time. 1 • February 9,2004 REGULAR COMMISSION MEETING Page 4 ' B. Discussion and related action regarding possible amendment to the regulations pertaining to animals on the beach ' Animals on the Beach (Commissioner Beaver) Commissioner Beaver explained that he had requested that this item be placed on the agenda in response to numerous written requests from citizens requesting an amendment to the dog leash law to allow their pets to run free on the beach in designated areas and/or during designated hours. Commissioner Beaver assured those present that it was not the intention of the Commission to do away with the dog leash law,but to try to possibly redefine the law to allow for more effective enforcement. ' Commissioner Simmons believed it was the intent of Susan Sneed,the resident who initiated the letter campaign, to have a specific time for when ' dogs could run free on the entire beach,not just to play fetch in the water. Commissioner Simmons expressed her thoughts on the request, and ' indicated that in 1997 she served on the Committee formed to revise the Animal Ordinance, and the same issue and found no support from ocean front property owners. Commissioner Simmons stated that it was suggested that the less populated beach adjacent to Hanna Park be designated as an area where dogs could run free,but she questioned how the owners would get their to the beach,with limited parking at the Oceanwalk access. She ' felt the Oceanwalk residents would not support this suggestion, and the other alternative would be for the dog owners to walk their animals up the beach to the designated area. Commissioner Simmons believed that if dogs ' were allowed to run free over the two mile stretch of beach during designated hours, when it was time to leave the beach, the dogs would also ' be allowed to run off leash through neighborhoods to their cars or homes and cause public safety concerns. Commissioner Parsons stated that he had received requests for approval and ' denial of the request and he was still undecided about this issue. ' Mayor Meserve felt the existing law was very liberal and did not need to be amended. He stated that he did not favor banning dogs from the beach,but acknowledged dogs could be unpredictable and should be kept on their ' leashes. The Mayor supported better enforcement of the current animal controllaws,but noted that Animal Control Officers could not be on the beach eight hours a day, since there were problems with dogs running at ' large in other areas of the city. NO ACTION WAS TAKEN 1 February 9,2004 REGULAR COMMISSION MEETING • Pare 5 ' Mayor Meserve requested that Item 8A be taken out of sequence and acted on at this time. ' Inspection of Rental Properties A. Discussion and related action regarding inspection of rental properties (Commissioners Simmons and Waters) Commissioner Waters thanked Curt Sanders, Chair of the Code Enforcement Board, for his presentation concerning inspection of rental properties and then read a prepared statement supporting licensing of landlords. The statement is attached and made part of this official record as Attachment A. After reading the statement, Commissioner Waters made the following motion: Motion: With the full knowledge and confidence in the City Manager ' and his staff, that we have sufficient tools in the code and regulations of the code of Atlantic Beach, as well as the knowledgeable staff to enforce compliance of those regulations against landlords upon complaint,we ' charge the City Manager and City Clerk and pertinent staff to create an ordinance which provides for the licensing of all landlords doing business within the City of Atlantic Beach for the purpose of informing them about the current and future regulations of the city regarding renting, along with an appropriate fee schedule to cover increased costs in the Clerk's office and a fine schedule which will ensure compliances and a landlords pamphlet which outlines his responsibilities and obligations, and return these to the Commission at the April 8,2004 ' meeting. Moved by Waters, Second ' Votes: Aye: Nay MOTION WAS LOST FOR LACK OF A SECOND Commissioner Parsons believed there was not a sufficient problem for the ' city to enact the recommendations set forth by Commissioner Waters. He indicated that there were state laws in place to protect the rights of tenants. ' Commissioner Beaver also thanked Curt Sanders for his input. Commissioner Beaver believed there was no need to license landlords. He felt there might be a few landlords who abused tenants' rights,but they ' could be regulated by enforcement of current laws. He believed additional regulations would not prevent the unscrupulous landlords from conducting business. February 9,2004 REGULAR COMMISSION MEETING Page 6 ' 3. Unfinished Business from Previous Meeting City Manager's A. City Manager's Follow-Up Report Follow-Up Report City Manager Hanson commented on each item of his written report, which ' is attached and made part of this official record as Attachment B. Extension of the Town Center Streetscape on Ocean Avenue City Manager Hanson reported that since his report was written, the city had successfully hand dug and relocated the palm trees causing no delays for the ' project. B. Discussion and related action regarding sidewalk on 5th Street ' and Sherry Drive (Commissioner Parsons) Donna Kaluzniak displayed photographs of the property illustrating how the area would look if the city acquired the small piece of property and built the sidewalk and how it would look if designed without the property. Commissioner Parsons favored the original design and stated that the Mayor had met with the property owner several times to discuss purchase of the small piece of property, but could not come to any conclusion concerning the transaction. He pointed out that the city needed only about ' one foot of property, which would not require the property owner to move the fence, and had offered to help with drainage problems on the property. He felt the original design looked better and if required, the city should move ahead with condemnation proceedings to acquire the property. ' City Manager Hanson explained that it was staff's original position to condemn.the property if no agreement could be reached with the property owner. He expressed doubt that an agreement could be reached and the city ' should move forward as originally proposed and reconnect the sidewalk. Commissioner Waters agreed with Commissioner Parsons. Mayor Meserve ' stated it would be expensive to condemn the property, and if it went to court, the city would have to establish that the property was being taken for the public good. He then inquired of the City Attorney if it was possible to ' condemn private property when the corner would be safe with either design, and the drainage could be improved. City Attorney Jensen expressed concern about the size of the right-of-way, and stated that the problem was caused by the city placing the new road too close to the edge of the right-of-way on the south side. He indicated that the ' city would have to have a written appraisal and prove a valid public purpose forthe taking. City Attorney Jensen thought the court would look at alternatives to the city taking the property. He pointed out that if the city February 9,2004 REGULAR COMMISSION MEETING Page 7 was defeated in the taking, the city would have to pay the opponent's attorney fees. He felt the case would be difficult and expensive to prove. Discussion of the placement and design of the road ensued. Commissioner Parsons volunteered to talk to the property owner one more time to see if ' the issue could be resolved without going to court. No one objected to his suggestion. C. Extend annual contract with Tom's Asphalt Repairs, Inc. for asphalt repairs at the current contract prices (Bid No. 0102-9) ' Motion: Extend annual contract with Tom's Asphalt Repairs, Inc. for asphalt repairs at the current contract prices. ' Commissioner Parsons stated that he had spoken with the City Manager regarding this contract and the company's work seemed to be satisfactory. Moved by Beaver, seconded by Parsons Votes: Aye: 5 —Beaver, Parsons, Simmons, Waters, Meserve Nay: 0 MOTION CARRIED ' D. Discussion and related action regarding establishing guidelines for contractors to follow in managing construction sites ' (Commissioner Simmons) Commissioner Simmons distributed photographs illustrating problems at ' various construction sites in her area. She requested that the Commission move forward with an ordinance managing construction sites, but noted that there were some elements of the proposed guidelines that might be ' problematic, such as the requirement to fence the construction site if the lot is small and obstructs parking. t Discussion ensued and Commissioner Waters inquired concerning a fence height of 3' on construction sites abutting the water. Building Official Ford responded that the height of 3' did not obstruct people's view of the water. ' Commissioner Waters also commented that 7:00 a.m. was too early for construction to begin. ' City Manager Hanson explained that the guidelines would not solve all of the problems, but it would require contractors to submit site management plans for review by staff. I I February 9,2004 REGULAR COMMISSION MEETING Page 8 ' Commissioner Beaver felt mowing of grass and the delivery of roll-off dumpsters should also be addressed. He noted that in the past, dumpsters have damaged city streets and contractors should be responsible for repairs. Staff was directed to draft an ordinance to establish guidelines for ' contractors to follow for management of construction sites. Consent Agenda 4. Consent Agenda Commissioner Waters requested that Items B, C and D be removed from the Consent Agenda for discussion. Monthly Reports A. Acknowledge receipt of monthly reports: Building Department Activity Report, New Occupational Licenses Report, and Public ' Works and Utility Departments Project Status Report (City Manager) ' Extend Contract with E. Extend the contract with L. D. Bradley Land Surveyors for L.D. Bradley Land professional land surveying at the current contract prices (RFP Surveyors No. 0102-11 (City Manager) 1 Motion: Approve Consent Agenda Items A and E as presented. Moved by Beaver, seconded by Simmons Votes: 1 Aye: 5—Beaver, Parsons, Simmons, Waters, Meserve Nay: 0 MOTION CARRIED Police Union Contract B. Report regarding the status of the Police Union Contract (City Status Report Manager) 1 City Manager Hanson reported that the Police Union voted against ratifying the contract items approved by the Commission during the impasse hearing. 1 He further stated that this matter would have no impact on the current fiscal year. However, it was pointed out that the same issues would be brought up during current contract negotiations. ' Commissioner Waters confirmed that the impasse items would be continued past the fiscal year, if a new contract was not negotiated by October 1, ' 2004. THE REPORT WAS RECEIVED AND ACKNOWLEDGED. NO ACTION WAS TAKEN. i 1 February 9,2004 REGULAR COMMISSION MEETING Page 9 One-time Pay C. Report and recommendations regarding one-time pay adjust- Adjustment for Police ment for Police Officers (City Manager) ' Officers Commissioner Waters stated that he was surprised to read in the report it would take $232,524 to bring the Police Officers' salaries up to the level of the Jacksonville Sheriff's Office. Commissioner Waters suggested that the $41,370 "new money" be given to employees as a one-time Christmas bonus. ' Motion: Divide the"new money", resulting from an increased tax base of$28M from new construction, for a one time Christmas Bonus for all city employees. Moved by Waters ' THE MOTION WAS LOST FOR LACK OF A SECOND. ' Commissioner Beaver believed it would be better to discuss pay adjustments for police officers during strategic planning and upcoming budget workshops. ' THE REPORT WAS RECEIVED AND ACKNOWLEDGED. NO ACTION WAS TAKEN. ' RejectReject All Bids D. all bids received under Bid No. 0304-08 for Country Club ' Received Under Bid No. 0304-08 Lane stormwater replacement and authorize staff to rebid the project (City Manager) Commissioner Waters inquired concerning the need to rebid the project ' since there was only a $9,000 difference between what was budgeted and the low bid. He believed that frequently time and money was wasted when projects were rebid. Utility Director Kaluzniak explained that the bids were over budget. Five firms had pre-qualified and she hoped other bidders would qualify and, hopefully, bid the project within the budget. Motion: Reject all bids received under Bid No. 0304-08 for Country Club Lane stormwater replacement and authorize staff to rebid the ' project. Moved by Waters, seconded by Beaver Votes: Aye: 5—Beaver, Parsons, Simmons, Waters, Meserve Nay: 0 I I February 9,2004 REGULAR COMMISSION MEETING Page 10 Committee Reports 5. Committee Reports None. Resolutions 6. Action on Resolutions: A. Resolution No. 04-02 A RESOLUTION OF THE CITY OF ATLANTIC BEACH, FLORIDA, ESTABLISHING THE CITY COMMISSION INTENT TO PROVIDE FUTURE EMPLOYEE PAY ADJUSTMENTS Motion: Adopt Resolution 04-02. Mayor Meserve indicated that passage of the resolution committed the 1 Commission to meet standards and remain competitive for recruitment and retention of qualified employees. The Mayor reported that he attended two Police Department training sessions to express, on behalf of the Commission, that their service to the community was valued, as well as the service of all employees. Moved bySimmons, econded byWaters L Votes: Aye: 5—Beaver, Parsons, Simmons, Waters, Meserve Nay: 0 MOTION CARRIED Ordinances 7. Action on Ordinances A. Ordinance No. 05-04-43 Introduction & First Reading AN ORDINANCE OF THE CITY OF ATLANTIC Beach, FLORIDA,AMENDING CHAPTER 2, ADMINISTRATION, ARTICLE VI, EMPLOYEE BENEFITS, DIVISION 1, GENERALLY, TO DELETE SECTION 2-226, HOLIDAY SCHEDULE, PROVIDING CODIFICATION, AND PROVIDING AN EFFECTIVE DATE Motion: Approve Ordinance No. 05-04-43 on first reading. Commissioner Waters inquired as to why that particular section was being deleted from the Code of Ordinances. It was explained that Section 2-226 duplicated information found in the Union Contracts and Personnel Manual and was not required in the code. C O I February 9,2004 REGULAR COMMISSION MEETING Page 11 Moved by Beaver,seconded by Parsons Votes: ' Aye: 5—Beaver, Parsons,Simmons,Waters, Meserve Nay: 0 MOTION CARRIED ' B. Ordinance No. 58-04-29 Introduction & First Reading AN ORDINANCE OF THE CITY OF ATLANTIC BEACH, ' FLORIDA,AMENDING CHPTER 2,ADMINISTRATION, ARTICLE VI,DIVISION 3, GENERAL EMPLOYEE RETIREMENT SYSTEM AND DIVISION 4, POLICE OFFICER RETIREMENT ' SYSTEM,TO PROVIDE A DEFERRED RETIREMENT OPTION PROGRAM FOR PARTICIPANTS; CHANGE PAYMENT OF PENSION BOARD EXPENSES; AND AMENDING CHAPTER 2, ' ADMINISTRATION,ARTICLE VI,DIVISION 4, POLICE OFFICER RETIREMENT SYSTEM,TO PROVIDE ADJUSTMENTS FOR NORMAL RETIREMENT BENEFITS; PROVIDING ' ADJUSTMENTS TO OPTIONAL FORMS OF PENSION PAYMENT; PROVIDING FOR EARLY RETIREMENT BENEFITS; PROVIDING ADJUSTMENTS FOR DEFERRED RETIREMENT ' BENEFITS; PROVIDING FOR DEATH BENEFITS; PROVIDING CHANGE TO PAYMENT OF PENSION BOARD EXPENSES; PROVIDING FOR SEVERABILITY; PROVIDING FOR ' CODIFICATION; AND PROVIDING FOR AN EFFECTIVE DATE ' Motion: Approve Ordinance No. 58-04-29 on first reading. City Manager Hanson briefly explained how the Deferred Retirement ' Option Program(DROP)worked. Moved by Parsons,seconded by Waters ' Votes: Aye: 5—Beaver, Parsons, Simmons,Waters, Meserve Nay: 0 ' MOTION CARRIED Miscellaneous Business 8. Miscellaneous Business IInspection of Rental A. Discussion and related action regarding inspection of rental Properties properties (Commissioners Simmons and Waters) ' This item was taken out of sequence and discussed earlier in the meeting. I Animals on the Beach B. Discussion and related action regarding possible amendment to the regulations pertaining to animals on the beach (Commissioner Beaver) February 9,2004 REGULAR COMMISSION MEETING Page 12 This item was taken out of sequence and discussed earlier in the meeting. ' Local Law C. Authorize the Mayor to sign the Local Law Enforcement Block Enforcement Block Grant Agreement with the City of Jacksonville to receive Grant $17,600 for the Crime Suppression Unit(City Manager) Motion: Authorize the Mayor to sign the Local Law Enforcement ' Block Grant Agreement with the City of Jacksonville to receive$17,600 for the Crime Suppression Unit. ' There was no discussion. Moved by Beaver,seconded by Parsons ' Votes: Aye: 5—Beaver, Parsons, Simmons,Waters, Meserve Nay: 0 ' MOTION CARRIED PetSmart Corp. Grant D. Authorize staff to apply for a PetSmart Corporation grant to Authorization assist with the animal adoption program, and authorize the Mayor to sign the grant application and related documents (City Manager) ' Motion: Authorize staff to apply for a PetSmart Corporation grant to ' assist with the animal adoption program, and authorize the Mayor to sign the grant application and related documents. ' City Manager Hanson briefly explained the city's animal adoption program and indicated that an ordinance would be brought back to the Commission to set an adoption fee of$75.00. ' There was no discussion. Moved by Simmons, seconded by Parsons Votes: Aye: 5—Beaver, Parsons, Simmons,Waters,Meserve Nay: 0 ' MOTION CARRIED 9. City Manager II City Manager's Report A. City Manager's Report City Manager Hanson commented on the following items from his written II report: I February 9,2004 REGULAR COMMISSION MEETING Pate 13 ' o• Reported the city had a new web site address of coab.us, which should ♦ make e-mailing easier. ••• Reported the city had received the $50,000 check from the City of • Jacksonville committed by Council Member Jerry Holland for ' renovations to the Adele Grage Cultural Center. He thanked Council Member Art Graham for his efforts to make sure the City received this check. ' ❖ Reported that"Dancing in the Streets", a yearly Town Center event, would be held Saturday, May 15th. ' ❖ Reported that the city's proposal for privatization of the water and sewer services at the Navy base was unsuccessful. ' ••• Announced that the following events would take place at the Adele Grage Cultural Center: Laughter Workshop - February 12th at 7:00 p.m., Songwriter's Night in the Theater — February 17t at 7:00 p.m., and Acoustic Night—March 21St ❖ Reported that a meeting was held on January 29" with representatives from the Florida Department of Transportation (FDOT), the Metropolitan Planning Organization (MPO),the cities of Atlantic Beach ' and Jacksonville, and GAI Consultants to discuss coordination and timing between the groups to permit and construct the Mayport Road medians. He further reported that the FDOT wanted an additional traffic study of the possibility of reducing the number of lanes from six to four at the south end of Mayport Road, and an individual traffic analysis of each intersection before issuance of permits for the project. He also reported that in order to conform to the FDOT's resurfacing schedule, the project may not begin until 2007. It is hoped that the city's consultant for the project, GAI Consultants, will be chosen to do the design work for all of the governmental agencies involved. ' Strategic Planning Sessions In addition to the written report, City Manager Hanson announced that ' two Strategic Planning Sessions had been scheduled for Wednesday April 7th and Thursday April 8th from 5:00-9:00 p.m. at the Sea Turtle Inn. tReports/Requests 10. Reports and/or requests from City Commissioners and City City Commissioners Attorney City Attorney 1 February 9,2004 REGULAR COMMISSION MEETING Pate 14 ' Commissioner Beaver ' ❖ Stated he would send a letter Council Member Art Graham thanking him for his assistance in obtaining the $50,000 check for renovations to the Adele Grage Cultural Center. ' ••• Felt the dogs running free o n t he b each i ssue h ad n of ended and would be back on some future agenda. ' •'• Requested that the Plaza speed bumps be placed on the next agenda • for Commission discussion and action. ' Commissioner Simmons ' Stated the outfall drains at 7`h and 10`h Streets had become targets for graffiti and inquired if they could be removed. ❖ Commented on problems she had encountered at construction sites and stated that 7:00 a.m. was too early for work to begin in established neighborhoods. Commissioner Waters ' ❖ Reported he attended the Skate into the Future event held Saturday and complimented staff on the clean restroom in Jack Russell Park. ' ❖ Stated that local radio was talking about the beach cities as the place to be during next year's Superbowl and inquired if any events were being planned for the beach. ❖ Reminded the Commissioners that Atlantic Beach would be hosting the Northeast Florida League o f C ities meeting o n M arch 1 8th a t ' 6:00 p.m. at the Sea Turtle Inn. Mayor Meserve ❖ As the beaches representative to the Superbowl Committee, the ' Mayor reported there might be a modified one-day air show on Saturday during the Superbowl, but at this point no other events were planned. The Mayor stated more information was needed from the City of Jacksonville's Special Events Department. February 9,2004 REGULAR COMMISSION MEETING Pace 15 Adjournment There being no further discussion, the Mayor declared the meeting adjourned at 9:45 p.m. 1 . John Meserve,Mayor/Presiding Officer ATTEST: ' Maureen King Certified Municipal Clerk •I 1 AGENDA ITEM#3A FEBRUARY 23,2004 February 17, 2004 MEMORANDUM TO: The Honorable Mayor and Members of the City Commission ' FROM: Jim Hanso qty Manager 1 SUBJECT: Follow-up eport Ocean Outfall Lines at 7th and 10th Streets; A question was raised at the last commission ' meeting about what the City intended to do with the remaining storm water outfall structures on the beach at the 10th and 7th Street access points. These were originally designed to carry storm water out of Atlantic Beach to the ocean. The drainage that fed into these outfall lines was 1 redirected as part of the recently completed Core City Project so that these areas would now drain to the Selva Lagoon system and ultimately out to the intercoastal waterway. The redirection of drainage waters away from the beach areas has been encouraged by the state for ' several years. However,the outfall structures on the beach still remain. The designer of the project,Neil Aikenhead, specifically left these structures in place with the idea that they would be available for use in case of catastrophic rain events in the future. If such a rain event were to ' occur, and the Selva Lagoon system could not handle the storm water, it would be possible to temporarily unplug the old lines leading to the beach to help relieve those flooding conditions. ' Staff's recommendation is to leave these structures in place, although steps can be taken to make them less objectionable. The sand around these structures has eroded in the past because of the flow out of the structures to the beach. Since these lines were rerouted, much of the sand that was eroded has migrated back and the structures do not stick out as far as they did. If the sand is not completely returned to its normal level by the time of the expected 2005 Renourishment Project, then it can be filled in at that time. In the meantime, city staff will paint over the graffiti that was recently painted on some of the structures. State Law on Speed Bumps; One question raised during a recent discussion about possible ' installation of speed bumps/humps along Plaza Drive was whether or not any state law exists that would limit the city's authority to install speed bumps/humps along that street. This question has been researched by the Police Department which was unable to find any state laws that restrict the use of speed bumps/humps on city streets. There are numerous jurisdictions that implement traffic calming devices of various sorts, including speed bumps/humps. ' AGENDA ITEM#3A FEBRUARY 23,2004 Outstanding Items; Items that were previously discussed at commission meetings that are ' currently being studied include the following: • Water/Sewer Rate Restructuring; Revised estimates of the effect of the proposed water ' and sewer restructured rates are due from the consultants, Burton and Associates, during the week of February 17`h, although they are not available at the time of the writing of this report. • Roundabout Study; The city's consultant, GM, has reported that the work is approximately 80%complete. The initial target date set for the completion of the report is past and the engineer working on the project has committed for completion by the end of February. • Sidewalk Extension at 5th and Sherry Drive;Commissioner Parsons volunteered to meet with the owner to try to work out a mutual agreeable solution. No report is available has of the date of this follow-up. 1 1 ' AGENDA ITEM#3B FEBRUARY 23,2004 CITY OF ATLANTIC BEACH CITY COMMISSION MEETING 1 STAFF REPORT AGENDA ITEM: Traffic Calming on Plaza SUBMITTED BY: Donna Kaluzniak, Utility Direct. ", DATE: February 17, 2004 ' BACKGROUND: A study by the Public Safety Department determined there is a speeding problem on Plaza east of the 5-way intersection. At the January 26, 2004 Commission meeting, staff was asked to prepare a drawing showing a traffic calming method other than speed bumps 111 or humps, such as chicanes. Staff has prepared the attached drawing showing proposed locations for chicanes, a traffic 1 calming method that requires the driver to negotiate two or more curb extensions in an"S" configuration. The chicanes are proposed approximately halfway down the third median, which was determined the best location to avoid other conflicts with existing driveways and utilities. 1ncould be landscaped with flowerbeds or low shrubs,chicanes p however trees would not be 1 recommended as they could reduce visibility for citizens backing out of their driveway. It appears that a minimum of two parking spaces would be lost on each side of Plaza if the chicanes were installed. 1 BUDGET: The estimated cost for the chicanes is approximately$15,000. 1 RECOMMENDATION: Provide staff with direction on the desired traffic calming method to design and build. IATTACHMENTS: 1. Drawing of proposed chicanes on Plaza. REVIEWED BY CITY MANAGER: 1 I , 1 AGENDA ITEM#3B I I i FEBRUARY 23,2004 I i 1 11 1 w ' 1 1 I1 1 z Vii. I -;:. ,N4-3 i II 1 � 1 ti ,k - 0 A ' Tfl1\ y 0 > 'E7)1 1 s>> 1 rop ¢ • 0 _ W 1411° °' N lil 1 I CA CA b 1 m16 i. \ 113 r- 11%) o D • 2 N > D Z _ * * ti r N • D O - , N •O E 1 eC95+8t / ._1.9 0. I � m W -� ; __� v ; I N rsIt M.sy�t.90 110` i '1 J 1 1 - N1 I 1 D a1 •_ 1 N I ; 1 1 N, 0NOp I • co } +6l 1 O o 6S�95 6t ',11i' -- p '1 lilt = i c' '' ' \ tP i 1 415 r;1 0 \\ .•l 3 N > V �' 3 : 1 ' o ' E ''► NED; <m$= `"'A i s-id- - \ 1 owo 8 ! s N 0� t \ ,.,,,,o i.z. Ncii I V E EC) 0 > D I;'.1 > ii 111 .. rsijis> ; o� - _ 1 ; U O. 1 z N It ' Y_ c giii Z n 2 N Z I m it RI A 1. / v 3 � ti rJ,,i a T r. ?-1 SPS wir AGENDA ITEM#4A 1 FEBRUARY 23,2004 i City of Atlantic Beach, FL Utility Sales Report I Janua 2004 January 2003 r=te tr-mss,ra=rt:;-- gee Sas�. ... •,1r>:., Gallons Actual Revenue Gallons Actual Revenue • Water Sales Accounts (000) Revenue Per 1,000 gl Accounts (000) Revenue Per 1,000 gl '0 _ w II Atlantic Beach 5,429 44,555 $89,430 $2.01 5,308 45,345 $90,029 $1.99 Buccaneer 2,565 27,288 $60,563 $2.22 2,615 32,021 $71,831 $2.24 Total Water Sales 7,994 71,843 $149,992 $2.09 7,923 77,366 $161,860 $2.09 L I Water Plant Production Gallons Gallons (000) (000) Atlantic Beach 55,123 53,609 IBuccaneer 30,329 37,633 Total Production 85,452 91,242 ITotal Water Billed 71,843 77,366 Water Loss for month: 13,609 13,876 IPercentage Loss 15.93% 15.21% Total 12 mo.Avg. Loss 13.47% 15.53% Gallons Actual Revenue Gallons Actual Revenue ISewer Sales Accounts (000) Revenue Per 1,000 gl Accounts (000) Revenue Per 1,000 gl Atlantic Beach 4,840 34,076 $136,496 4.01 4,764 35,562 $140,049 3.94 Buccaneer 2,440 25,534 $121,195 4.75 2,510 30,380 $139,220 4.58 Total Sewer Sales 7,280 59,610 $257,691 $4.32 7,274 65,942 $279,269 $4.24 I Sewer Treatment I Millions of Gallons 70.15 Rev. • r 1,000 Gallons $3.67 iiiii AGENDA ITEM #4B I FEBRUARY 23,2004 •=7,0Uv� 1Nj 1. ---4-4� IOFFICE OF THE MAYOR JOHN S. MESERVE 800 SEMINOLE ROAD IMAYOR ATLANTIC BEACH, FLORIDA I I February 17, 2004 I James R. Brown, Ph. D. Chief, Mosquito Control Division I 1321 Eastport Road Jacksonville, FL 32218 I Dear Mr. Brown: IThis is to confirm that permission is granted to the City of Jacksonville,Florida, Environmental Resource Management Department, Mosquito Control Division, to fly aircraft within official City boundaries and I over mosquito breeding locations in the City of Atlantic Beach when engaged in mosquito control • spraying operations during the period of May 1, 2004 through April 30, 2005. I Sincerely, John S. Meserve I Mayor I I I IWork Phone: (904)246-9900 Ext. 101 Fax: (904)246-9447 * City Hall Phone: (904)247-5809 Fax:(904)247-5805 AGENDA ITEM#5A FEBRUARY 23,2004 i"" CITY OF ATLANTIC BEACH CITY COMMISSION MEETING STAFF REPORT NIS ' AGENDA ITEM: Police Employee's Pension Plan Board's Report. ' SUBMITTED BY: George Foster, Human Resource Manager DATE: February 17,2004 BACKGROUND: At the Commission meeting on August 26,2002,the Mayor requested that boards and committees make semi-annual reports to ' the City Commission. This report, and a verbal report to be provided to the Commissioners on February 23,2004, is hereby submitted by the Police Employee's Pension Board. 111 As of the last annual actuarial evaluation report dated 09/30/02, there were 26 active members, 7 regular retirees, 2 disability retirees, and 3 separated vested members. Today there are 25 active members, 8 regular retirees, 3 disability ' retirees,and 4 separated vested members. The City's October contribution rate changes each year based upon an actuarial evaluation and is based upon September 30th data from the preceding year. ' The current contribution rate,effective October 2003, is 13.31%of salary or$242,637. Contribution rates for the past five years were: ' October 2003 13.31% $242,637 October 2002 12.44% $225,991 October 2001 11.75% $224,812 October 2000 10.33% $183,091 October 1999 10.19% $180,019 RECOMMENDATION: None. This Staff Report is for information only. ATTACHMENTS: 1. Pension Board members and professional services ' 2. Merrill Lynch December 31, 2003 Summary Report, Page 2 and Page 6 ' CITY MANAGER: L AGENDA ITEM#5A FEBRUARY 23,2004 1 CITY OF ATLANTIC BEACH PENSION BOARDS GENERAL EMPLOYEE'S PENSION BOARD OF TRUSTEES: I Elected Timothy Townsend (Tim) Chair 01/01/06 Elected J. Tom Wells Chair Pro-Tem 08/08/04 Commissioner Tony F. Downing Secretary 12/31/07 I Commissioner Edward (Ed) L. Lipscomb Member 10/11/07 At Large Harry E. McNally Member 03/27/07 I POLICE EMPLOYEE'S PENSION BOARD OF TRUSTEES: IElected Henry Bartle Chair 11/09/04 Elected Dale Hatfield Chair Pro-Tern 08/06/05 ICommissioner Tony F. Downing Secretary 12/31/05 Commissioner Edward (Ed) L. Lipscomb Member 10/11/05 111 At Large Harry E. McNally Member 03/27/05 IPROFESSIONAL SERVICES - BOTH BOARDS: IConsultants & Actuaries I Gabriel, Roeder, Smith & Company Legal ISugarman & Susskind I Investment Managers TRUSCO Capital Management I EuroPacific I Investment Advisor Merrill Lynch Consulting Services I I AGENDA ITEM#5A FEBRUARY 23,2004 n 1 N CD co y a 3 rt- ,- � 1 L ] T 1J i N Q Ac L .3 1 � = ' �- '.+:? 'ti, (' CLQ i in mini T is L m.4- - 00.... , - 40 1 d !! t - 1 r. 7 V • im,-_ 'ti.gz II :ma 'y . c — to 1 C.) 11111114 'IS �. = - _ i) ` ` 9 ?Yr - 7 . — !o All m' F / 1 .Lu s" _ ... __� m — YO a o o co co do 2 N N N ' 3J .1 I s U N �i o 6 r _= -a z v •,-: r�trg , ��- 3 d r. _ c moi.:. O ( C ; t .F.. Ncu 0 'C 'CA ` �t n i — $ to co co U 1 Q .... _ . — U t ; w _ c w c3 s. ? I C co N c " � 2 aY jj I ka'�r L a W W y C 1 R fit. rr 1 �i! 7 U I t ) U o . 0 c ��£ w ~�1 3 — _ ;''_'>S,r.:?`. 0 I 1 - ' v \ �' -= o 0 0 0 0 0 ,a i U v N o CD 0 cCf "� v v v of co- c,- Nom CU S~ 0 00 int U4-0 Imo 03 2 +-, db 1 Q 4. AGENDA ITEM#5A I FEBRUARY 23,2004 v cn m Cr/ 0 _ Cl. cc) ui ri V. E a'J il.,k el cr >. "• .O O .O O .e; V= O ,Co C7 • . C7 C? C7T � I 4_, :l F4 7 ros i co v = = ftu r: - o o a o } ,o -0 .0i o r�r'' ,, r a: N :O LC) L,•'•`r ,^ S `C7 r t7 Kit 'CVI l �r a) i ca 141y ..rCO LS } ,o o �o 0 o :Ifu '.'ct CD co�O 0 Co(D Jam. 1. 'N _CV N - N r.= • Q w :. _ 0 4,• q4y" aCi O �d' N i. p 3 , E � -°3 v E i } o o. O Cc a0 ,c4 C,) co 0) tu N • '� CC) ar U �! „� _ V I ! .41'; f''' G N >O) to cc4 i L t Q) .. to ;.e - - d `. o t�a o o `o 0. I r Q) 'CO <D N p °N N o) t- VI r' ch + 7 >' < . ....„ : Q • W m P _ o CT) v m 603 CO ' r Ta. o 'o 0 0o� cr -C3 y N tn (C) 1 T Ln O c6 I -jf✓1 _ O c co O O) ca y • v a )) S N a- i .0 r' E. '4 . am r N m n _ t ) d cv V 7 COto N _ (O m i4.)° ° N 1 CL Vf'd `�cvr b • j�w14 �"ot3P c, .0 mi ,- v.- _^ r >•• C C• L v= ^++ -�1' ) Cl_ a) 0 o lk .52 +-+ v x a m '" 03 I � <I op -110.01 Ilmml = vCCI c mo o o) umas z • E° E it i W y 01 C03 CO m m H o eit W Fd - C ) U V C ` � i as m c F- O ~ W Q } d w v AGENDA ITEM#5A ' CITY OF ATLANTIC BEACH FEBRUARY 23,2004 CITY COMMISSION MEETING ' STAFF REPORT ' AGENDA ITEM: General Employee's Pension Plan Board's Report. ' SUBMITTED BY: George Foster, Human Resource Manager DATE: February 17, 2004 ' BACKGROUND: At the Commission meeting on August 26, 2002,the Mayor requested that boards and committees make semi-annual reports to the City Commission. This report, and a verbal report to be provided to the Commissioners on February 23, 2004, is hereby submitted by the General Employee's Pension Board. ' As of the last official evaluation report dated 09/30/02, there were 75 active members, 23 regular retirees, 2 beneficiaries, 2 disability retirees, and 13 separated vested members. Today there are 82 active members, 23 regular retirees,4 ' beneficiaries, 2 disability retirees, and 12 separated vested members. ' The City's October contribution rate changes each year based upon an actuarial evaluation and is based upon September 30th data from the preceding year. The current contribution rate, effective 10/01/03, is 12.71% of salary or$381,518. Contribution rates for the past five years were: October 2003 12.71% $381,518 October 2002 11.81% $315,106 ' October 2001 11.41% $288,070 October 2000 11.24% $266,148 October 1999 11.58% $259,414 RECOMMENDATION: None. This Staff Report for information only. ATTACHMENTS: 1. Pension Board members and professional services 2. Merrill Lynch December 31, 2003 Summary Report, Page 2 and Page 6 CITY MANAGER: I AGENDA ITEM#5A FEBRUARY 23,2004 I CITY OF ATLANTIC BEACH PENSION BOARDS I IGENERAL EMPLOYEE'S PENSION BOARD OF TRUSTEES: I Elected Timothy Townsend (Tim) Chair 01/01/06 Elected J. Tom Wells Chair Pro-Tern 08/08/04 Commissioner Tony F. Downing Secretary 12/31/07 I Commissioner Edward (Ed) L. Lipscomb Member Member 10/11/07 At Large Harry E. McNally 03/27/07 I POLICE EMPLOYEE'S PENSION BOARD OF TRUSTEES: IElected Henry Bartle Chair 11/09/04 Elected Dale Hatfield Chair Pro-Tern 08/06/05 ICommissioner Tony F. Downing Secretary 12/31/05 Commissioner Edward (Ed) L. Lipscomb Member 10/11/05 At Large Harry E. McNally Member 03/27/05 IPROFESSIONAL SERVICES - BOTH BOARDS: IConsultants & Actuaries IGabriel, Roeder, Smith & Company Legal ISugarman & Susskind IInvestment Managers TRUSCO Capital Management I I EuroPacific Investment Advisor IMerrill Lynch Consulting Services I AGENDA ITEM#5A IFEBRUARY 23,2004 • 111 ) m Lc?) cam) tom•) co ca) �. co m Q II m } o o o o ,00. CD nO) co t• to U) In to .cr -'.10 co co V i .0 co to a) o 0 0 0 0 N ('Si CO C') In I t7 M C'3 M nj �F. Ca mo 0 . o Ln CO z ' >_ ,- oV ;a) ton .,,• ce m ^s,-'t a.Vit' C •to) C) n co C) c To . m m m } o o 0 0 10 C,`C • N CO CO O CD CD co �N r• •N N 'O N "r n• i'' 0 I r u,, m co CO iq ('Si4. E CA 0 : } '0 0 co_ N III N N to 00 CV CO N v 0 0 • N M No rN p0 U t so"CO f0 iitt"1 y. '` J •r to oQ) Li) Of l i >7 I) .?:3- CCD 3iiC1 N e. e ,00 O ;r, N r }C7 CO r + j ` LL Lam= W m CI c �� .M_. 1,2 v nCD 't N O l9 0 0 0 0 g �- n M §it ter ¢icy 0 — ' _ m cn ao ren co Bei zio to m '^� N LL s V l ;` a r;.: c L—, c ;;,s • + 0 ca Y/ 1:-A —#4,' • to I ) 0 L fii � C7 03 Nt Qf CO 3 • cCts v a.a. al coEM r"Q O O O 'O O o co m �V O c. me T to e •jaa o. 0 N Q .Ca 00 !n CD bT T ZD �' p IE _ ` .. .17r _ �� m aa:' i -t f a3? m i:tii', ' Pi Q) W C C..' 3 1T� C y'" m �' U m a` m tins `,, mm MEd fp I al 3.14 Kg C m ;,- m ;o RI'4"."' Z m e it CO CU LL U N g73,,,:,7= ,L O OhR ,47 1— c CO W ;H N m;a w Cti co c"0 I— •0 F- c l 7 W .0 1 AGENDA ITEM#5A FEBRUARY 23,2004 I N CD 0 03 1 i 1 COCO 1CO 3 I! u-i i i "2 I ♦ — coo 1 d t�� It 1 . , > - - - , , — 00 0 i N 1 O .� = 1- t .,__; > L. _ �`' f. " ami — ,O c m � - I O a a rn 0co -cr co co co 69. 69 I .a) - tri 5=----..----. f i- — t `. e- +>' o Z ^N1 0is W1 , O u) I Off _ co ) }, E W03 t C� W c 3 0 OQ ill LU ..oci) - >. —01 .,_E c N to W p ri LL Cr 11 (.5 1L ° A 0 CU H _ 6b�d 0 C 0 0 0 0 0 0 0 0 a I .�... c� co N t1) co r N u7 NMI i 4J ui ori ui ui ui v v v .. 0 m •... CL u Ng is °' a a -4--7 , isillV AGENDA ITEM#6A FEBRUARY 23,2004 CITY OF ATLANTIC BEACH CITY COMMISSION MEETING STAFF REPORT AGENDA ITEM: Resolution selecting the ICMA Retirement Corporation (RC) as the investment company for the City's DROP and ICMA Administrative Services Agreement. SUBMITTED BY: George Foster, Human Resource Manager DATE: February 17, 2004 BACKGROUND: The City currently utilizes ICMA for a 401 retirement plan and for a 457 retirement plan and desires to utilize ICMA as the investment company for DROP participants. The retirement annuityreceived by the employees that participate within the DROP and remain working for the City will be directly deposited within this ICMA 401 plan and managed by each individual employee. After the DROP period (maximum of five ., years), the employee must cease their full time employment with the City. At that time, the cash value of their investment account may be withdrawn as a lump sum amount or as otherwise allowed by the ICMA plan. Additionally, the employee will begin to directly receive their retirement annuity from the City. FUNDING: Once the employee enters the DROP, their retirement annuity is determined and does not change upon additional service with the City or salary increases. Both the employee and City contributions to the City's pension plan are discontinued. Annual Account Maintenance Fees ($25.00), if required, shall be paid by the City. Other expenses and investments charges will be paid by DROP participants. RECOMMENDATIONS: 1. Approve the Resolution selecting the ICMA Retirement Corporation (RC) as the investment administrator for the City's DROP participants, and 2. Authorize the City Manager to sign the Administrative Services Agreement and other related documents. ATTACHMENT: 1. Resolution 2. Administrative Services Agreement CITY MANAGER: ` �— ' AGENDA ITEM#6A FEBRUARY 23, 2004 RESOLUTION No: 04-04 ' A RESOLUTION OF THE CITY OF ATLANTIC BEACH, FLORIDA ESTABLISHING A DEFERRED RETIREMENT OPTION PROGRAM (DROP) WHEREAS, the City of Atlantic Beach has employees rendering valuable services; and ' WHEREAS, the establishment of a DROP plan benefits employees by providing funds for retirement and funds for their beneficiaries in the event of death; and ' WHEREAS, the City of Atlantic Beach desires that it's DROP plan be administered by the ICMA Retirement Corporation and that the funds held by such plan be invested in the Vantage ' Trust Company, a trust established by public employers for the collective investment of funds held under their retirement and deferred compensation plans: NOW THEREFORE BE IT RESOLVED that the City of Atlantic Beach hereby establishes or has established a DROP plan (the "Plan") in the form of the Plan and Trust provided by the City of Atlantic Beach (executed copy attached hereto). The Plan shall be maintained for the exclusive benefit of eligible employees and their beneficiaries; and BE IT FURTHER RESOLVED that the City of Atlantic Beach hereby executes the Declaration of Trust of the Vantage Trust Company, and attached hereto, intending this execution to be operative with respect to any retirement or deferred compensation plan subsequently established by the City of Atlantic Beach, if the assets of the plan are to be invested in the Vantage Trust Company. BE IT FURTHER RESOLVED that the City of Atlantic Beach hereby agrees to serve as trustee under the Plan and to invest funds held under the Plan in the Vantage Trust Company; and BE IT FURTHER that the Human Resource Manager shall be the coordinator for the Plan; shall receive reports, notices, etc., from the ICMA Retirement Corporation or the Vantage Trust Company; shall cast, on behalf of the City of Atlantic Beach, any required votes under the Vantage Trust Company; may delegate any administrative duties relating to the Plan to appropriate departments; and ' AGENDA ITEM#6A FEBRUARY 23,2004 ' Resolution No. 04-04 Page 2 1 t BE IT FURTHER RESOLVED that the City of Atlantic Beach hereby authorizes the City Manager to execute all necessary agreements with the ICMA Retirement Corporation incidental to the administration of the Plan. ' ADOPTED by the City Commission of Atlantic Beach this day of February 2004. ATTEST: 1 John Meserve Mayor , Clerk of the City of Atlantic Beach, do hereby certify that the foregoing resolution proposed by the Human Resource Manager of the City of Atlantic Beach, was duly passed and adopted by the City Commission of the City of Atlantic Beach at a regular meeting thereof assembled this day of February, 2004, by the following vote: ' AYES: NAYS: 111ABSENT: ' Maureen King Clerk of the City of Atlantic Beach Approved as to form and correctness: r ' Alan C. Jenson, Esquire City Attorney 1 AGENDA ITEM#6A FEBRUARY 23,2004 r r ADMINISTRATIVE SERVICES AGREEMENT I 1 Type: 401 Account Number: 9494 I AGENDA ITEM#6A FEBRUARY 23,2004 Plan # 9494 C ADMINISTRATIVE SERVICES AGREEMENT This Agreement, made as of the day , 2004 (herein herein referred to as the "Inception Date"), between The International City Management Association Retirement Corporation ("RC"), a nonprofit corporation organized and existing under the laws of the State of Delaware; and the City of Atlantic Beach ("Employer") a City organized and existing under the laws of the State of Florida with an office at 800 Seminole Road,Atlantic Beach, Florida 32233. RECITALS Employer acts as a public plan sponsor for a retirement plan ("Plan")with responsibility to obtain investment alternatives and services for employees participating in that Plan; The VantageTrust (the "Trust") is a common law trust governed by an elected Board of Trustees for the commingled investment of retirement funds held by state and local governmental units for their employees; RC acts as investment adviser to the Trust; RC has designed, and the Trust offers, a series of separate funds (the "Funds") for the investment of plan assets as referenced in the Trust's principal disclosure document, "Making Sound Investment Decisions:A Retirement Investment Guide." The Funds are available only to public employers and only through the Trust and RC. In addition to serving as investment adviser to the Trust, RC provides a complete.offering . of services to public employers for the operation of employee retirement plans including, ,. but not limited to, communications concerning investment alternatives, account maintenance, account record-keeping, investment and tax reporting, form processing, benefit disbursement and asset management. AGREEMENTS 1. Appointment of RC Employer hereby designates RC as Administrator of the Plan to perform all non- discretionary functions necessary for the administration of the Plan with respect to assets in the Plan deposited with the Trust. The functions to be performed by RC include: (a) allocation in accordance with participant direction of individual accounts to investment Funds offered by the Trust; ' (b) maintenance of individual accounts for participants reflecting amounts deferred, ' income, gain, or loss credited, and amounts disbursed as benefits; (c) provision of periodic reports to the Employer and participants of the status of Plan investments and individual accounts; - 2 - AGENDA ITEM#6A FEBRUARY 23,2004 Plan # 9494 1 (d) communication to participants of information regarding their rights and elections under the Plan; and (e) disbursement of benefits as agent for the Employer in accordance with terms of the Plan. 2. Adoption of Trust Employer has adopted the Declaration of Trust of VantageTrust and agrees to the commingled investment of assets of the Plan within the Trust. Employer agrees that operation of the Plan and investment, management and disbursement of amounts deposited in the Trust shall be subject to the Declaration of Trust, as it may be amended from time to time and shall also be subject to terms and conditions set forth in disclosure documents (such as the Retirement Investment Guide or Employer Bulletins) as those terms and conditions may be adjusted from time to time. It is understood that the term "Employer Trust" as it is used in the Declaration of Trust shall mean this Administrative Services Agreement. 1 3. Employer Duty to Furnish Information Employer agrees to furnish to RC on a timely basis such information as is necessary for ' RC to carry out its responsibilities as Administrator of the Plan, including information needed to allocate individual participant accounts to Funds in the Trust, and information as 1 to the employment status of participants, and participant ages, addresses and other identifying information (including tax identification numbers). RC shall be entitled to rely upon the accuracy of any information that is furnished to it by a responsible official of the ' Employer or any information relating to an individual participant or beneficiary that is furnished by such participant or beneficiary, and RC shall not be responsible for any error arising from its reliance on such information. RC will provide account information in ' reports, statements or accountings. 4. Certain Representations, Warranties, and Covenants ' RC represents and warrants to Employer that: ' (a) RC is a non-profit corporation with full power and authority to enter into this Agreement and to perform its obligations under this Agreement. The ability of RC to serve as investment adviser to the Trust is dependent upon the continued ' willingness of the Trust for RC to serve in that capacity. (b) RC is an investment adviser registered as such with the Securities and Exchange ' Commission under the Investment Advisers Act of 1940, as amended. ICMA-RC Services, Inc. (a wholly owned subsidiary of RC) is registered as a broker-dealer with the Securities and Exchange Commission (SEC) and is a member in good - 3 - ' AGENDA ITEM#6A FEBRUARY 23,2004 Plan # 9494 standing of the National Association of Securities Dealers, Inc. ' RC covenants with employer that: ' (c) RC shall maintain and administer the Plan in compliance with the requirements for plans which satisfy the qualification requirements of Section 401 of the Internal Revenue Code; provided, however, RC shall not be responsible for the 1 qualified status of the Plan in the event that the Employer directs RC to administer the Plan or disburse assets in a manner inconsistent with the requirements of Section 401 or otherwise causes the Plan not to be carried out in accordance with its terms; provided, further, that if the plan document used by the Employer contains terms that differ from the terms of RC's standardized plan document, RC shall not be responsible for the qualified status of the Plan to the extent affected by the differing terms in the Employer's plan document. Employer represents and warrants to RC that: (d) Employer is organized in the form and manner recited in the opening paragraph of this Agreement with full power and authority to enter into and perform its obligations under this Agreement and to act for the Plan and participants in the manner contemplated in this Agreement. Execution, delivery, and performance of this Agreement will not conflict with any law, rule, regulation or contract by which the • . Employer is bound or to which it is a party. • • 5. • Participation in Certain Proceedings • The Employer hereby authorizes RC to act as agent, to appear on its behalf, and to join the • Employer as a necessary party in all legal proceedings involving the garnishment of benefits or the transfer of benefits pursuant to the divorce or separation of participants in the Employer Plan. Unless Employer notifies RC otherwise, Employer consents to the disbursement by RC of benefits that have been garnished or transferred to a former spouse, spouse or child pursuant to a domestic relations order. 6. Compensation and Payment (a) Plan Administration Fee. The amount to be paid for plan administration services under this Agreement shall be 0.55% per annum of the amount of Plan assets invested in the Trust. Such fee shall be computed based on average daily net Plan assets in the Trust. (b) Account Maintenance Fee. There shall be an annual account maintenance fee of $25.00. The account maintenance fee is payable in full on January 1st of each year on each account in existence on that date. For accounts established AFTER January 1st, the fee is payable on the first day of the calendar quarter following establishment and is prorated by reference to the number of calendar quarters - 4 - AGENDA ITEM#6A FEBRUARY 23,2004 Plan # 9494 remaining on the day of payment. See Appendix A for EZLink terms and conditions. ' (c) Compensation for Management Services to the Trust and Advisory and other Services to the Vantagepoint Funds. Employer acknowledges that in addition to famounts payable under this Agreement, RC receives fees from the Trust for investment management services furnished to the Trust. Employer further acknowledges that certain wholly-owned subsidiaries of RC receive compensation for advisory and other services furnished to the Vantagepoint Funds,which serve as the underlying portfolios of a number of Funds offered through the Trust. The fees referred to in this subsection are disclosed in the Retirement Investment Guide. These fees are not assessed against assets invested in the Trust's Mutual Fund Series. (d) Mutual Fund Services Fee. There is an annual charge of 0.15% assessed against average daily net Plan assets invested in the Trust's Mutual Fund Series. (e) Payment Procedures. All payments to RC pursuant to this Section 6 shall be paid out of the Plan assets held by the Trust and shall be paid by the Trust. The amount of Plan assets held in the Trust shall be adjusted by the Trust as required to reflect such payments. 7. Custody Employer understands that amounts invested in the Trust are to be remitted directly to the • Trust in accordance with instructions provided to Employer by RC and are not to be remitted to RC. In the event that any check or wire transfer is incorrectly labeled or transferred to RC, RC will return it to Employer with proper instructions. 8. Responsibility RC shall not be responsible for any acts or omissions of any person other than RC in connection with the administration or operation of the Plan. 9. Term This Agreement may be terminated without penalty by either party on sixty days advance notice in writing to the other. 10. Amendments and Adjustments ' (a) This Agreement may not be amended except by written instrument signed by the parties. ' (b) The parties agree that an adjustment to compensation or administrative and operational services under this Agreement may only be implemented by RC through ' - 5 - AGENDA ITEM 116A FEBRUARY 23,2004 Plan # 9494 I a proposal to the Employer via correspondence or the Employer Bulletin. The Employer will be given at least 60 days to review the proposal before the effective date of the adjustment. Such adjustment shall become effective unless, within the 60 day period before the effective date, the Employer notifies RC in writing that it does not accept such adjustment, in which event the parties will negotiate with respect to the adjustment. (c) No failure to exercise and no delay in exercising any right, remedy, power or privilege hereunder shall operate as a waiver of such right, remedy, power or privilege. 11. Notices All notices required to be delivered under Section 10 of this Agreement shall be delivered personally or by registered or certified mail, postage prepaid, return receipt requested, to(i) Legal Department, ICMA Retirement Corporation, 777 North Capitol Street, N.E., Suite 600, Washington, D.C, 20002-4240; (ii) Employer at the office set forth in the first paragraph hereof, or to any other address designated by the party to receive the same by written notice similarly given. 12. Complete Agreement This Agreement shall constitute the sole agreement between RC and Employer relating to - :the object of.this Agreement and correctly sets forth the complete rights, duties and • obligations of.each party to the other,.as of its date. Any prior agreements, promises, negotiations or representations, verbal or otherwise, not expressly set forth in this Agreement are of no force and effect. 13. Governing Law This agreement shall be governed by and construed in accordance with the laws of the State of Florida, applicable to contracts made in that jurisdiction without reference to its conflicts of laws provisions. L _ 6 - L AGENDA ITEM#6A 1 FEBRUARY 23,2004 Plan # 9494 1 In Witness Whereof, the parties hereto have executed this Agreement as of the Inception Date first above written. ' CITY OF ATLANTIC BEACH i by: • Signature/Date Jim Hanson, City Manager 1 Name and Title (Please Print) 1 INTERNATIONAL CITY MANAGEMENT 1 ASSOCIATION RETIREMENT CORPORATION by: Paul Gallagher I . Corporate.Secretary I • a 1 • 1 1 i 1 1 1 AGENDA ITEM#7A FEBRUARY 23,2004 CITY OF ATLANTIC BEACH CITY COMMISSION MEETING STAFF REPORT AGENDA ITEM: Public hearing, final reading, and adoption of Ordinance 5-04-43 deleting the Holiday schedule from the City's Code of Ordiance SUBMITTED BY: George Foster, Human Resource Manager DATE: February 17, 2004 BACKGROUND: On February 9, 2004, the City Commission conducted a first reading of proposed Ordinance 5-04-43 which deletes Chapter 2, Article VI, Sec. 2-226, Holiday schedule from the City's Code of Ordinance. All changes to the holiday schedule must be approved by the City Commission are then included within the City's Personnel Manual and, after negotiations with the City's three unions, included within each of the union contracts. To retain the holiday listing within the City Code duplicates the is above information and requires an ordinance to be prepared and processed to the Commission. RECOMMENDATION: Conduct public hearing, final reading, and adopt Ordinance 5-04- 43. BUDGET: This is an administrative action that duplicates decisions already made by the Commission and does not require funding. ATTACHMENTS: Proposed Ordinance 5-04-43 CITY MANAGER: I AGENDA ITEM#7A FEBRUARY 23,2004 IORDINANCE NO 5-04-43 AN ORDINANCE OF THE CITY OF ATLANTIC BEACH, FLORIDA, AMENDING CHAPTER 2, ADMINISTRATION, ARTICLE VI, EMPLOYEE CBENEFITS, DIVISION 1, GENERALLY, TO DELETE SECTION 2-226, HOLIDAY SCHEDULE, PROVIDING FOR CODIFICATION, AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City of Atlantic Beach, Florida maintains a employee benefits plan which Iincludes holidays, and WHEREAS, the City of Atlantic Beach Florida desires to provide all employees with benefits, I and, I WHEREAS, the City of Atlantic Beach, Florida maintains a Personnel Manual and Union contracts that cover holidays provided to City employees, and I WHEREAS, the City Commission has approved the change of the Employee's Birthday from a "floating" holiday to Personal Leave, and I WHEREAS, holidays are included within the City's Personnel Manual and, after negotiations, included within the City's three union contracts. II NOW THEREFORE, BE IT ENACTED BY THE CITY COMMISSION ON BEHALF OF THE PEOPLE OF THE CITY OF ATLANTIC BEACH, FLORIDA, AS FOLLOWS: • C Chapter 2, Article VI, Employee Benefits, Division 1, Generally, Section 2-226. Holiday Schedule is hereby deleted: 1 DIVISION 1. GENERALLY Sec. 2 226. Holiday schedule. I _ _ . •-_ --_ . - _ : : . ' .. .. . . . . :. . . . ' - :, .. . . .. _ . I January 1 New Years Day Third Monday in January Martin Luther King, Jr. Day Third Monday in February President's Day observed I Last Monday in May Memorial Day ly-4 ay First Monday in September Labor Day I Fourth Thursday in November Thanksgiving Day Fourth Friday in November Day after Thanksgiving December 21 Christmas Eve C December 25 Christmas Day Date applicable Employee's Birthday 1 AGENDA ITEM #7A FEBRUARY 23,2004 Ordinance 5-04-43 Page 2 I PASSED by the City Commission on first reading this day of 2004. ' PASSED by the City Commission on second and final reading this day of 2004. ATTEST: I Maureen King, City Clerk John Meserve, Mayor Approved as to form and correctness: 1 Alan Jensen, City Attorney 1 LEGEND: Underlining is new language Strikethrough is old language I 1 I I 1 2 AGENDA ITEM #7B FEBRUARY 23,2004 CITY OF ATLANTIC BEACH CITY COMMISSION MEETING STAFF REPORT AGENDA ITEM: Public hearing on Ordinance 58-04-29 amending the City's Code of Ordinances, Article VI, Division 3, General Employee Retirement System and Division 4, Police Officer Retirement System SUBMITTED BY: George Foster, Human Resource Manager DATE: February 17, 2004 BACKGROUND: On February 9, 2004, the City Commission conducted a first reading of proposed Ordinance 58-04-29 which adds a Deferred Retirement Option Plan (DROP), implements State mandated Section 185 Police pension changes, changes funding for administrative expenses of the pension plans, and makes other administrative changes and updates to the City's pension plans. Since this reading, changes to Ordinance 58-04-29,Section 2- 281(b), General Employees, page 10, and Section 2-310.11(6)(a), Police Officers, page 30, have been made to clarify the intent of the DROP for City employees COST IMPACT STATEMENT REQUIREMENT: The actuarial cost impact statement as required by the State of Florida for these changes and has not yet been received by the City. RECOMMENDATION: Conduct public hearing and delay adoption of Ordinance 58-04-29 until after receipt of required actuarial impact statement. ATTACHMENT: Proposed Ordinance 58-04-29 with above clarifications CITY MANAGER: AGENDA ITEM#7B FEBRUARY 23,2004 ORDINANCE NO. 58-04-29 AN ORDINANCE OF THE CITY OF ATLANTIC BEACH, FLORIDA, AMENDING CHAPTER 2, ADMINISTRATION, ARTICLE VI, DIVISION 3, GENERAL EMPLOYEE RETIREMENT SYSTEM AND DIVISION 4, POLICE OFFICER RETIREMENT SYSTEM, TO PROVIDE A DEFERRED RETIREMENT OPTION PROGRAM FOR PARTICIPANTS; CHANGE PAYMENT OF PENSION BOARD EXPENSES; AND AMENDING CHAPTER 2, ADMININSTRATION, ARTICLE VI, DIVISION 4, POLICE OFFICER RETIREMENT SYSTEM, TO PROVIDE ADJUSTMENTS FOR NORMAL RETIREMENT BENEFITS; PROVIDING ADJUSTMENTS TO OPTIONAL FORMS OF PENSION PAYMENT; PROVIDING FOR EARLY RETIREMENT BENEFITS;• PROVIDING ADJUSTMENTS FOR DEFERRED RETIREMENT BENEFITS; PROVIDING FOR DEATH BENEFITS; PROVIDING FOR CHANGE TO PAYMENT OF PENSION BOARD EXPENSES; PROVIDING FOR SEVERABILITY; PROVIDING FOR CODIFICATION; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS,the City of Atlantic Beach,Florida has an interest in the future retirement of its employees and wishes to improve the retirement systems whenever feasible; and WHEREAS, the City of Atlantic Beach,Florida recognizes the advantage of implementing a Deferred Retirement Option Program within its retirement systems, and . WHEREAS,the City of Atlantic Beach,Florida in order to attain compliance with Chapter 185 of the Florida Statutes;and WHEREAS, the City Council has received and reviewed an actuarial impact statement related to • this change; and WHEREAS,the City of Atlantic Beach,Florida hereby amends its retirement systems to provide such a benefit as follows by indicated deletions,stfiketeeg, and additions, underlines; NOW THEREFORE,BE IT ENACTED BY THE CITY COMIVIISSION OF THE CITY OF ATLANTIC BEACH,FLORIDA,AS FOLLOWS: • 1 AGENDA ITEM#7B FEBRUARY 23,2001 § 2-261 ATLANTIC BEACH CODE DIVISION 3. GENERAL EMPLOYEE RETIREMENT SYSTEM I Sec. 2-261. Created, purpose. The city employees' retirement system is hereby created and established for the purpose of providing pensions and death benefits for the employees of the city and their dependents.The effective date of the retirement system is December 22, 1975. (Ord. No. 58-75-4, § 1, 12-22-75) Sec. 2-262. Definitions. i The following words and phrases as used in this division shall have the following meanings unless a different meaning is clearly required by the context: Actuarial equivalent shall mean that any benefit payable under the terms of this plan in a form other than the standard form of benefit for members shall have the same actuarial present value on the date payment commences as such standard form of benefit. For the purpose of establishing the actuarial present value of any form of payment, all future payments shall be discounted for interest and mortality by using the 1983 Group Mortality Table, with ages set ahead five(5) years in the case of disability. Beneficiary shall mean any person who is being paid, or has entitlement to future payment, of a pension or other benefit by the retirement system for a reason other than the person's membership in the retirement system. i Board of trustees or board shall mean the board of trustees provided for in this division. City shall mean the City of Atlantic Beach, Florida, and shall include officers, boards, departments and ' instrumentalities. City employee shall mean any person in the employ of the city, other than police officers and firefighters. I Compensation shall mean the salary or wages paid a member for personal service rendered the city. Compensation shall include base salary or wages, longevity pay, overtime pay, cost of living payments, salary or wages while absent from work on account of vacation, holiday, or illness. Compensation shall not include redemptions or payments in consideration of unused vacation time or sick leave, the value of any fringe benefit, uniform allowances, equipment allowances,reimbursement of expenses, or any other item not specifically included. Credited service shall mean the service credited a member as provided in this division. Final average compensation shall mean one/sixtieth(1/60th) of the aggregate amount of compensation paid a member during the period of sixty(60) consecutive months of the member's credited service in which the aggregate amount of compensation paid is greatest.The sixty(60) consecutive months of credited service must be contained within the member's last one hundred twenty(120)months of credited service. If a member has less than sixty(60) consecutive months of credited service, final average compensation means the aggregate amount of compensation paid the member divided by the member's ' months of credited service. Member shall mean any person who is a member of the retirement system. , Pension shall mean a series of monthly payments by the retirement system throughout the future life of a retirant or beneficiary, or for a temporary period, as provided in this division. 2 1 AGENDA ITEM#7B FEBRUARY 23,2004 I ORDINANCE NO. 58-04-29 AN ORDINANCE OF THE CITY OF ATLANTIC BEACH, FLORIDA, AMENDING CHAPTER 2, ADMINISTRATION, ARTICLE VI, DIVISION 3, GENERAL EMPLOYEE RETIREMENT SYSTEM AND DIVISION 4, POLICE OFFICER RETIREMENT SYSTEM, TO PROVIDE A DEFERRED 1 RETIREMENT OPTION PROGRAM FOR PARTICIPANTS; CHANGE PAYMENT OF PENSION BOARD EXPENSES; AND AMENDING CHAPTER 2, ADMININSTRATION, ARTICLE VI, DIVISION 4, POLICE OFFICER RETIREMENT SYSTEM, TO PROVIDE ADJUSTMENTS FOR NORMAL RETIREMENT BENEFITS; PROVIDING ADJUSTMENTS TO OPTIONAL FORMS OF PENSION PAYMENT; PROVIDING FOR EARLY RETIREMENT BENEFITS; PROVIDING ADJUSTMENTS FOR DEFERRED RETIREMENT BENEFITS; PROVIDING FOR ' DEATH BENEFITS; PROVIDING FOR CHANGE TO PAYMENT OF PENSION BOARD EXPENSES; PROVIDING FOR SEVERABILITY; PROVIDING FOR CODIFICATION; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS,the City of Atlantic Beach,Florida has an interest in the future retirement of its employees and wishes to improve the retirement systems whenever feasible; and WHEREAS,the City of Atlantic Beach,Florida recognizes the advantage of implementing a Deferred Retirement Option Program within its retirement systems,and . WHEREAS,the City of Atlantic Beach,Florida in order to attain compliance with Chapter 185 of the Florida Statutes; and WHEREAS,the City Council has received and reviewed an actuarial impact statement related to this change; and WHEREAS,the City of Atlantic Beach, Florida hereby amends its retirement systems to provide such a benefit as follows by indicated deletions,stFikethr-eughc, and additions, underlines; NOW THEREFORE,BE IT ENACTED BY THE CITY COMMISSION OF THE CITY OF ATLANTIC BEACH,FLORIDA,AS FOLLOWS: 1 1 AGENDA ITEM#7B FEBRUARY 23,2004 Pension reserve shall mean the present value of all payments likely to be made on account of a pension. The present value shall be computed on the basis of such mortality and other tables of experience and regular annual compound interest as the actuary appointed by the board of trustees shall from time to time determine. Regular interest shall mean such rate or rates of interest per annum, compounded annually, as the board of trustees shall from time to time adopt. Retirai t shall mean any person who has satisfied the condition for receiving a benefit and is being paid a pension by the retirement system on account of the person's membership in the retirement system. Retirement shall mean an employee's separation from city employment as an employee with immediate eligibility for receipt of benefits under the retirement system. Retirement systems or system shall mean the city retirement system created and established by this division. Service shall mean personal service rendered to the city by a city employee. Workers'compensation benefits shall mean any amounts paid a retirant, beneficiary, spouse or child pursuant to any workers' compensation or similar law.Redemptions or settlements of a workers' compensation claim shall be considered workers'compensation benefits. Payments in consideration of medical expenses shall bedisregarded in the determination of workers'compensation benefits. (Ord. No. 58-75-4, § 2, 12-22-75; Ord.No. 58-88-13, § 1, 11-28-88; Ord. No. 58-91-15, § 1, 4-22-91; Ord. No. 58-98-25, § 1, 11-23-98; Ord.No. 58-99-27, § 1, 11-8-99; Ord. No. 58-99-26, § 1, 7-10-00) Cross references: Definitions and rules of construction generally, § 1-2. Sec. 2-263. Benefit groups. (a) - - - -_ . -- b .-. . -- - _ - -- -- --- - - _ --- - - • . - .- ----- - • • • • - - ' • -- • • - - - -- - •-•- - - : - - - - -- • .- : Benefit group general is hereby designated for the purpose of determining a retirement system member's applicable benefit eligibility conditions and benefit amount and shall include all employees not included in another City pension plan. (b) Benefit eligibility condition shall be based on the member's benefit group at the time of termination of city employment. Benefit amounts shall be based on the amount of credited service acquired in eae-li benefit group general. (Ord.No. 58-75-4, § 3, 12-22-75; Ord.No. 58-99-27, § 1, 11-8-99; Ord. No. 58-99-26, § 1, 7-10-00) Sec. 2-264. Board of trustees—Responsibilities and duties generally. The general administration, management, and responsibility for the proper operation of the retirement system, for construing, interpreting, and making effective the provisions of this division, and for making recommendations to the city commission on matters concerning this retirement system are vested in the board of trustees. (Ord. No. 58-75-4, § 4, 12-22-75; Ord.No. 58-98-25, § 2, 11-23-98) Cross references: Boards and commissions generally, § 2-131 et seq. Sec. 2-265. Same--Actuarial data; report to city commission. (a) The board shall keep or cause to be kept, in convenient form, such data as shall be recommended by the actuary as necessary for the operation of the retirement system on an actuarial basis. The board 3 AGENDA ITEM#7B FEBRUARY 23,2001 shall keep or cause to be kept, in convenient form, such additional data as is required to properly report the operations of the system. (b) The board shall render a report to the city commission on or before the first day of ApFil October of each year showing the fiscal transactions of the retirement system for the year ended the preceding thirtieth day of September, the assets of the retirement system as of the preceding thirtieth day of , September, and a copy of the most recent actuarial report. (Ord. No. 58-75-4, § 10, 12-22-75) Sec. 2-266. Same--Composition. I • The board of trustees shall consist of five (5) trustees as follows: (1) Two (2)residents of the city to be selected by the city commission and serve at the pleasure of the city commission, who may also serve as trustees of the police officer retirement system created in division 4 hereof; (2) Two (2) members of the this retirement system who are employees of the city,but not police officers or firefighters, to be elected by the members of the retirement system who are also similarly situated employees of the city; (3) One (1)resident of the city to be selected by the other four(4) members of the board of trustees, and whose appointment shall be confirmed by a vote of the city commission. The elections provided for in subsections (2) of this section shall be held in accordance with such rules as the board of trustees shall from time to time adopt. (Ord. No. 58-75-4, § 5, 12-22-75; Ord.No. 58-86-7, § 1, 1-12-87; Ord. No. 58-99-27, § 1, 11-8-99; Ord. No. 58-99-26, § 1, 7-10-00) 1 Sec. 2-267. Same--Term of office; oath of office. The regular term of office of a member of the board of trustees shall be four(4)years for civilian ' members, and four(4)years for employee representatives, unless they terminate employment, whereupon a new election will be held by the members of the plan to fill the unexpired term of their trustee representatives, and ene-(-I)four(4)years for the trustee selected by a majority the other four(4) members of the board. Each trustee shall,before assuming the duties of trustees, qualify by taking an oath of office to be administered by the city clerk, whereupon a trustee's term of office shall begin. ter, (Ord. No. 58-75-4, § 6; 12-22-75; Ord.No. 58-86-7, § 1, 1-12-87; Ord. No. 58-98-25, § 3, 11-23-98; Ord. No. 58-99-27, § 1, 11-8-99; Ord. No. 58-99-26, § 1, 7-10-00) Sec. 2-268. Same--Vacancy; filling of vacancy. (a) A vacancy shall occur on the board of trustees if any member shall resign or any employee representative ceases to be employed by the city. A vacancy shall occur on the board if any trustee fails to attend three (3) consecutive meetings of the board unless, in each case, excused for cause by the trustees attending the meeting. (b) If a vacancy occurs on the board of trustees, the vacancy shall be filled within ninety(90) days for the unexpired term, if applicable, in the same manner as the position was previously filled. (Ord. No. 58-75-4, § 7, 12-22-75; Ord. No. 58-86-7, § 1, 1-12-87; Ord. No. 58-98-25, § 4, 11-23-98) 1 4 AGENDA ITEM#7B FEBRUARY 23,2004 Pension reserve shall mean the present value of all payments likely to be made on account of a pension. The present value shall be computed on the basis of such mortality and other tables of experience and regular annual compound interest as the actuary appointed by the board of trustees shall from time to time determine. Regular interest shall mean such rate or rates of interest per annum, compounded annually, as the board of trustees shall from time to time adopt. ' Redraw shall mean any person who has satisfied the condition for receiving a benefit and is being paid a pension by the retirement system on account of the person's membership in the retirement system. Retirement shall mean an employee's separation from cityemployment as an employee with immediate eligibility for receipt of benefits under the retirement system. Retirement systems or system shall mean the city retirement system created and established by this division. Service shall mean personal service rendered to the city by a city employee. Workers'compensation benefits shall mean any amounts paid a retirant, beneficiary, spouse or child pursuant to any workers' compensation or similar law. Redemptions or settlements of a workers' compensation claim shall be considered workers'compensation benefits. Payments in consideration of medical expenses shall bedisregarded in the determination of workers'compensation benefits. (Ord. No. 58-75-4, § 2, 12-22-75; Ord. No. 58-88-13, § 1, 11-28-88; Ord. No. 58-91-15, § 1, 4-22-91; Ord. No. 58-98-25, § 1, 11-23-98; Ord. No. 58-99-27, § 1, 11-8-99; Ord. No. 58-99-26, § 1, 7-10-00) Cross references: Definitions and rules of construction generally, § 1-2. Sec. 2-263. Benefit groups. (a) .. .- ---- • -- - •_ - -- . - ' . .. •- - ---- _ - - • . . . Benefitgroup general is hereby- -- designated for the purpose of determining a retirement system member's applicable benefit eligibility conditions and benefit amount and shall include all employees not included in another City pension plan. (b) Benefit eligibility condition shall be based on the member's benefit group at the time of termination of city employment. Benefit amounts shall be based on the amount of credited service acquired in eac-li benefit group general. (Ord. No. 58-75-4, § 3, 12-22-75; Ord.No. 58-99-27, § 1, 11-8-99; Ord. No. 58-99-26, § 1, 7-10-00) Sec. 2-264. Board of trustees--Responsibilities and duties generally. The general administration, management, and responsibility for the proper operation of the retirement system, for construing, interpreting, and making effective the provisions of this division, and for making ' recommendations to the city commission on matters concerning this retirement system are vested in the board of trustees. (Ord. No. 58-75-4, § 4, 12-22-75; Ord.No. 58-98-25, § 2, 11-23-98) I I Cross references: Boards and commissions generally, § 2-131 et seq. Sec. 2-265. Same--Actuarial data; report to city commission. I (a) The board shall keep or cause to be kept, in convenient form, such data as shall be recommended by the actuary as necessary for the operation of the retirement system on an actuarial basis. The board 1 3 AGENDA ITEM #7I3 FEBRUARY 23,2004 Sec. 2-269. Same--Meetings; quorum; voting; compensation. The board of trustees shall hold meetings regularly, at least one (1) in each calendar quarter, and shall designate the time and place of each meeting. All meetings of the board shall be open to the public. Notice of such meetings shall be posted on employee bulletin boards so that employees will be aware of the meeting. The board shall adopt its own rules of procedure and shall keep a record of its proceedings. Three (3) trustees shall constitute a quorum at any meeting of the board, and at least three (3) concurring votes shall be necessary for a decision by the board. Each trustee shall be entitled to one (I) vote on each question before the board. Trustees shall serve without compensation for their services as trustees,but shall be entitled to their expenses actually and necessarily incurred in attending meetings of the board and in performing required duties as trustees. (Ord. No. 58-75-4, § 8, 12-22-75; Ord. No. 58-86-7, § 1, 1-12-87) Sec. 2-270. Officers and employed services. The officers and employed services of the retirement system shall be as follows: (1) Chairperson: The board shall annually elect a chairperson and a chairperson pro tern from its members. (2) Secretary: The board shall annually elect a secretary from its members who shall sign the minutes of each meeting and be the custodian of the retirement system's recorda. (3) - • . . . - be custodian of the assets of the retirement system except as to the assets as the board may from (') Legal advisor: The board is empowered to employ independent legal counsel but is authorized to utilize the services of the city attorney. (44J Actuary: The board shall appoint an independent actuary who shall be the technical advisor to the board regarding the operation of the retirement system on an actuarial basis, and who shall perform such services as are required in connection therewith.The term actuary as used in this division shall mean an "enrolled actuary" who is enrolled under Subtitle C of Title III of the Employee Retirement Income Security Act of 1974 and who is a member of the Society of Actuaries of the American Academy of Actuaries. A partnership or corporation may be appointed actuary if the duties of the actuary are performed by or under the direct supervision of an enrolled actuary and the enrolled actuary signs and is responsible for all final documents submitted by the partnership or corporation. (65) Administrative manager: The board may employ or contract for the services of an individual, firm or corporation, to be known as the "administrative manager", who shall under the direction of the board or any appropriate committee thereof, be ministerially responsible to: a. Administer the office or offices of the retirement system and of the board; b. Coordinate and administer the accounting, bookkeeping and clerical services; c. Provide for the coordination of actuarial services furnished by the actuary; d. Prepare (in cooperation or appropriate with the consulting actuary or other advisors) reports and other documents to be prepared, filed or disseminated by or on behalf of the retirement system in accordance with law; 5 AGENDA ITEM #7B FEBRUARY 23,2004 e. Perform such other duties and furnish such other services as may be assigned, delegated or directed or as may be contracted by or on behalf of the board. 111 ( 6) Services: The board is authorized and empowered to employ such professional, medical, technical or other advisors as are required for the proper administration of the retirement system. These services shall be obtained and the compensation for these services shall be determined in accordance with procedures established by the board. (Ord. No. 58-75-4, § 9, 12-22-75; Ord. No. 58-86-7, § 1, 1-12-87; Ord. No. 58-91-15, § 1, 4-22-91; Ord. No. 58-98-25, §§ 5--8, 11-23-98) ' Sec. 2-271. Membership. (a) All persons who are city employees, and all persons who become city employees, shall be i members of the retirement system, except as provided in subsection (b) of this section. (b) The membership of the retirement system shall not include: I (1) Any city employee who is employed in a position normally requiring less than one thousand (1,000) hours of work per annum; , (2) Any city managerial or professional employee who is employed pursuant to an individual contract of employment which does not provide for the employee's participation in this retirement I system; (3) Elected officials of the city; I (4) Positions which are compensated on a basis not subject to the withholding of federal income taxes or FICA taxes by the city; (5) Temporary employees; (6) Any person initially employed as or promoted to a position designated by the city as i executive or department head shall elect to participate or not participate in the retirement system. Such election shall be irrevocable for as long as the employee holds such executive or department head position. Should any such member elect to discontinue participation in the retirement111 system, the member's entitlement to benefits hereunder shall be governed by the system's provisions in effect at the time of such discontinuance. (c) An individual shall cease to be a member upon retirement, entry into DROP, termination of employment by the city, or upon ceasing to be employed in a position regularly requiring one thousand (1,000) or more hours of work in a year, or upon becoming employed in an excluded position. • , (d) Effective June 1, 1999, all firefighter employees of the City of Atlantic Beach are hereby consolidated into the City of Jacksonville Fire Department. On execution of this action, City of Atlantic Beach firefighter employees became members of the City of Jacksonville Police and Fire Pension Fund with full rights and benefits in accordance with Chapter 121, City of Jacksonville Ordinance Code, and with other applicable law. Such consolidation is in accordance with Resolutions 95-944-256 and 98-1006 of the City of Jacksonville, which provide for an interlocal agreement between the cities of Jacksonville and Atlantic Beach entered into by these cities effective on the 1st day of June 1999; and the City of Jacksonville's Ordinance 1999-472-E, which was enacted on the 25th day of May, 1999 and approved on the 1st day of June 1999. (Ord. No. 58-75-4, § 11, 12-22-75; Ord. No. 58-81-5, § 1, 9-28-81; Ord. No. 58-85-6, 1-13-86; Ord. No. 58-93-19, § 1, 9- 27-93; Ord. No. 58-98-25, § 9, 11-23-98; Ord. No. 58-99-26, § 1, 7-10-00) 6 1 1 AGENDA ITEM #7B FEBRUARY 23,2004 Sec. 2-269. Same--Meetings; quorum; voting; compensation. The board of trustees shall hold meetings regularly, at least one (1) in each calendar quarter, and shall designate the time and place of each meeting. All meetings of the board shall be open to the public. 1 Notice of such meetings shall be posted on employee bulletin boards so that employees will be aware of the meeting.The board shall adopt its own rules of procedure and shall keep a record of its proceedings. Three (3) trustees shall constitute a quorum at any meeting of the board, and at least three (3) concurring votes shall be necessary for a decision by the board. Each trustee shall be entitled to one (1) vote on each question before the board.Trustees shall serve without compensation for their services as trustees,but shall be entitled to their expenses actually and necessarily incurred in attending meetings of the board and ' in performing required duties as trustees. (Ord. No. 58-75-4, § 8, 12-22-75; Ord. No. 58-86-7, § 1, 1-12-87) Sec. 2-270. Officers and employed services. The officers and employed services of the retirement system shall be as follows: (1) Chairperson: The board shall annually elect a chairperson and a chairperson pro tern from its members. (2) Secretary: The board shall annually elect a secretary from its members who shall sign the minutes of each meeting and be the custodian of the retirement system's records. (1) Legal advisor: The board is empowered to employ independent legal counsel but is authorized to utilize the services of the city attorney. I (64) Actuary: The board shall appoint an independent actuary who shall be the technical advisor to the board regarding the operation of the retirement system on an actuarial basis, and who shall perform such services as are required in connection therewith. The term actuary as used in this ' division shall mean an "enrolled actuary" who is enrolled under Subtitle C of Title III of the Employee Retirement Income Security Act of 1974 and who is a member of the Society of Actuaries of the American Academy of Actuaries. A partnership or corporation may be appointed actuary if the duties of the actuary are performed by or under the direct supervision of an enrolled actuary and the enrolled actuary signs and is responsible for all final documents submitted by the partnership or corporation. (65) Administrative manager: The board may employ or contract for the services of an individual, firm or corporation, to be known as the "administrative manager", who shall under the direction of the board or any appropriate committee thereof,be ministerially responsible to: a. Administer the office or offices of the retirement system and of the board; b. Coordinate and administer the accounting,bookkeeping and clerical services; c. Provide for the coordination of actuarial services furnished by the actuary; d. Prepare (in cooperation or appropriate with the consulting actuary or other advisors) reports and other documents to be prepared, filed or disseminated by or on behalf of the retirement system in accordance with law; 5 AGENDA ITEM #7B FEBRUARY 23,2004 Sec. 2-272. Credited service. Service rendered by a member of the retirement system shall be credited to the member's individual credited service account in accordance with rules the board of trustees shall from time to time prescribe and in accordance with the applicable provisions of the Florida Statutes. In no case shall more than one (1) year of credited service be credited on account of all service rendered by a member in any one period of twelve (12) consecutive calendar months. Service shall be credited to the nearest one-twelfth of a year. Service shall be credited for the total number of years, and fractional parts of years, of service of the member. (Ord. No. 58-75-4, § 12, 12-22-75; Ord.No. 58-91-15, § 1, 4-22-91; Ord. No. 58-99-26, § 1, 7-10-00) Sec. 2-273. Loss of credited service. A retirement system member's credited service shall be forfeited and no longer in force if the member terminates city employment with less than five (5) years of credited service. Ord. No. 58-75-4, § 13, 12-22-75; Ord. No. 58-87-10, § 1, 11-23-87) Sec. 2-274. Reinstatement of credited service. A member's forfeited credited service shall be restored to his/her individual service account if re- employment by the city and membership in the retirement system occurs within five (5) years from and after the date of separation from city employment that caused the forfeiture, provided that the member repays to the retirement system the contributions refunded under subsection 2-298(d) hereof plus interest at the actuarially assumed rate in accordance with terms established by the board of trustees. (Ord. No. 58-75-4, § 14, 12-22-75; Ord. No. 58-98-25, § 10, 11-23-98) Sec. 2-275. Military service credit. (a) A member of the retirement system who leaves or left city employment voluntarily or non- voluntarily to enter any armed service of the United States during time of war, period of compulsory military service, or period of national emergency recognized by the city commission shall have required periods of active duty credited as city service subject to the following conditions: (1) The member is re-employed by the city as provided in the Uniformed Services Employment and Reemployment Rights Act(USERRA) after the date of termination of such active duty;. (2) In no case shall more than the years of service provided for in USERRA be credited on account of all military service. (3) Notwithstanding any provision of this article to the contrary, contributions,benefits, and service credit with respect to qualified military service will be provided in accordance with USERRA and Section 414(u) of the Internal Revenue Code. • (b) The board of trustees shall determine the amount of service to be credited a member under the provisions of this section and USERRA. (c) Employment after retirement: (1) Any person who has retired as a member of this retirement system may be reemployed by 7 AGENDA ITEM#7B FEBRUARY 23,2001 (2) Any person whe has retired as a member of this retirement system and is subsequently (Ord. No. 58-75-4, § 15, 12-22-75; Ord. No. 58-98-25, § 11, 11-23-98; Ord.No. 58-99-26, § 1, 7- 10-00) Sec. 2-276. Voluntary retirement conditions; employment after retirement. ' (a) A member of the retirement system may retire upon satisfaction of each of the following requirements: I (1) The member files written application for retirement with the board of trustees setting forth the date retirement is to be effective; (2) The member terminates all of his/her city employment normally requiring one thousand (1,000) hours of work or more per annum on or before the date retirement is to be effective; (3) The member has met the age and service requirements for retirement specified in subsection (b). Upon retirement, a member shall be paid a pension computed according to the applicable subsections of section 2-281 or section 2-282. (b) The age and service requirements for voluntary retirement are: . •• ' - :! . . . (1) Normal retirement: the member has attained age sixty(60) years or older,and has five !, (5)or more years of credited service in force. (2) Early retirement: the member has attained age fifty-five (55)years or older, and has five (5) or more years of credited service in force. (c) Employment after retirement: (1) Any person who has retired as a member of this retirement system may be reemployed by the city in a position normally requiring less than one thousand(1,000) hours of work per annum , or in a position not covered by this pension plan and receive retirement benefits from his/her previous employment and compensation from his/her reemployment. (2) Any person who has retired as a member of this retirement system and is subsequently reemployed by the city in any position normally requiring one thousand(1,000)hours or more of work per annum or in a position covered by this pension plan shall have his/her pension benefit suspended during the period of such reemployment and shall receive additional credited service from his/her reemployment. (Ord. No. 58-75-4, § 16, 12-22-75; Ord. No. 58-87-10, § 1, 11-23-87; Ord. No. 58-91-14, § 1, 4-8-91; Ord. No. 58-93-19A, § 1, 10-25-93; Ord. No. 58-98-25, §§ 12, 13, 11-23-98; Ord.No. 58-99-27, § 1, 11- 8-99; Ord. No. 58-99-26, § 1, 7-10-00) Sec. 2-277. Reserved:Normal retirement date and payment date. I (a) The normal retirement date of each member shall be the first day of the month following the effective retirement of the member as indicated in the member's retirement application and as approved by the board of trustees. 8 AGENDA ITEM #7B tol FEBRUARY 23,2004 Sec. 2-272. Credited service. Service rendered by a member of the retirement system shall be credited to the member's individual credited service account in accordance with rules the board of trustees shall from time to time prescribe and in accordance with the applicable provisions of the Florida Statutes. In no case shall more than one (1)year of credited service be credited on account of all service rendered by a member in any one period of twelve (12) consecutive calendar months. Service shall be credited to the nearest one-twelfth of a year. I Service shall be credited for the total number of years, and fractional parts of years, of service of the member. (Ord. No. 58-75-4, § 12, 12-22-75; Ord. No. 58-91-15, § 1,4-22-91; Ord. No. 58-99-26, § 1, 7-10-00) 111 Sec. 2-273. Loss of credited service. A retirement system member's credited service shall be forfeited and no longer in force if the member Iterminates city employment with less than five (5) years of credited service. Ord. No. 58-75-4, § 13, 12-22-75; Ord. No. 58-87-10, § 1, 11-23-87) I Sec. 2-274. Reinstatement of credited service. A member's forfeited credited service shall be restored to his/her individual service account if re- ' employment by the city and membership in the retirement system occurs within five (5)years from and after the date of separation from city employment that caused the forfeiture, provided that the member repays to the retirement system the contributions refunded under subsection 2-298(d) hereof plus interest I at the actuarially assumed rate in accordance with terms established by the board of trustees. (Ord. No. 58-75-4, § 14, 12-22-75; Ord. No. 58-98-25, § 10, 11-23-98) Sec. 2-275. Military service credit. (a) A member of the retirement system who leaves or left cityemployment voluntarily or non- voluntarily to enter any armed service of the United States during time of war, period of compulsory I military service, or period of national emergency recognized by the city commission shall have required periods of active duty credited as city service subject to the following conditions: 0 1 (1) The member is re-employed by the city as provided in the Uniformed Services Employment and Reemployment Rights Act(USERRA) after the date of termination of such active duty;_ 1 (2) In no case shall more than the years of service provided for in USERRA be credited on account of all military service. I (3) Notwithstanding any provision of this article to the contrary, contributions,benefits, and service credit with respect to qualified military service will be provided in accordance with USERRA and Section 414(u) of the Internal Revenue Code. I (b) The board of trustees shall determine the amount of service to be credited a member under the provisions of this section and USERRA. I (e) Employment after retirement: 1 (1) Any person who has retired as a member of this retirement system may be reemployed by - . - - • •- - - - - - - - - •: plan and r eceive r etirement benefits from h is/her 1 1 7 AGENDA ITEM #7B FEBRUARY 23,200.1 Lb,)) The early retirement date of each member shall be the first day of the month following the effective retirement of the member as indicated in the member's retirement application and as approved by the board of trustees. (c) The monthly retirement income payable in the event of normal or early retirement shall be payable on the first day of each month. (Ord. No. 58-99-26, § 2, 7-10-00) Editor's note: Ord. No. 58-98-25, § 14, adopted Nov. 23, 1998, repealed § 2-277 which pertained to compulsory separation from employment; extensions; retirement, and derived from Ord. No. 58-75-4, § 17, adopted Dec. 22, 1975 and Ord. No. 58-87-10, § 1, adopted Nov. 23, 1987. Sec. 2-278. Deferred retirement upon separation from employment (vesting). (a) A member of the retirement system who terminates city employment prior to satisfying the requirements for voluntary retirement under section 2-276 for a reason other than retirement or death, who has not received a refund of his or her member contributions, and who has the applicable period of' credited service specified in subsection (b) shall remain a member and be entitled to be paid a pension upon attaining the age and service requirements for voluntary retirement, as set forth in section 2-276. Upon attaining the age and service requirement for voluntary retirement, the member shall be paid a pension computed according to the applicable subsections of section 2-281 or section 2-282 as the subsections were in force at the time a member left city employment. (b) The credited service requirement for separation from city employment with entitlement to deferred retirement is five (5) years. (Ord.No. 58-75-4, § 18, 12-22-75; Ord. No. 58-87-10, § 1, 11-23-87; Ord. No. 58-98-25, § 15, 11-23-98; Ord. No. 58-99-27, § 1, 11-8-99; Ord. No. 58-99-26, § 1, 7-10-00) Sec. 2-279. Disability retirement--General conditions for eligibility. (a) A member having five (5) or more continuous years of credited service and having contributed to the retirement system for five (5) years or more may retire from the service of the city if he/she becomes totally and permanently disabled as defined in subsection (b) by reason of any cause other than a cause set out in subsection (c). Such retirement shall herein be referred to as "disability retirement." (b) A member will be considered disabled if, in the opinion of the board of trustees, the member is totally and permanently prevented from rendering useful and efficient service as a city employee. (c) A member will not be entitled to receive any disability retirement income if disability is as a result of: (1) Excessive and habitual use by the employee of drugs, intoxicants, or narcotics; (2) Injury or disease sustained by the employee while willfully and illegally participating in fights, riots, or civil insurrections or while committing a crime; (3) Injury or disease sustained by the employee while serving in any armed forces; or (4) Injury or disease sustained by the employee after his/her employment has terminated. (d) No member shall be permitted to retire under the provisions of this section until he/she is examined by a duly qualified physician or surgeon, to be selected by the board of trustees for that purpose, and is found to be disabled in the degree and in the manner specified in this section. Any member retiring under this section may be examined periodically by a duly qualified physician or surgeon or board of physicians and surgeons to be selected by the board of trustees for that purpose, to determine 9 AGENDA ITEM#7B FEBRUARY 23,2004 3 if such disability has ceased to exist. If a member refuses to submit to such an examination, the member's disability pension shall be suspended until such time as the member submits to the examination. (e) The benefits payable to a member who retires from the service of the city with a total and permanent disability as a direct result of a disability commencing prior to his normal retirement date is the monthly income computed according to the applicable subsections of section 2-281 or section 2-282. 1 (t) The monthly retirement income as computed in section 2-281 or section 2-282 to which a member is entitled in the event of his disability retirement shall be payable monthly after the board of trustees determine such entitlement retroactive to the date of application or the last day on payroll, whichever is later. If the member recovers from the disability prior to his normal retirement date, the last payment will be the payment due next preceding the date of such recovery. If the member dies without recovering from his disability or attains his normal retirement date while still disabled, the last payment will be the payment due next preceding his death. (g) If the board of trustees finds that a member who is receiving a disability retirement income is, at any time prior to his normal retirement date,no longer disabled, as provided herein, the board of trustees shall direct that the disability retirement income be discontinued. Recovery from disability as used herein means the ability of the member to render useful and efficient service as an employee of the city. ' (h) If the member recovers from disability and reenters the service of the city as an employee, his service will be deemed to have been continuous,but the period beginning with the first month for which ' he received disability retirement income payment and ending with the date he reentered the city service will not be considered as credited service for the purpose of the system. (Ord. No. 58-75-4, § 19, 12-22-75; Ord. No. 58-87-10, § 1, 11-23-87; Ord. No. 58-88-13, § 1, 11-28-88; Ord. No. 58-93-19A, § 1, 10-25-93; Ord.No. 58-95-20, § 1, 6-12-95; Ord. No. 58-96-21, § 1, 2-12-96; Ord.No. 58-98-25, § 16, 11-23-98; Ord. No. 58-99-27, § 1, 11-8-99; Ord. No. 58-99-26, § 1, 7-10-00) Sec. 2-280. Same--Continuation subject to re-examination; return to employment. (a) The board of trustees may require a disability retirant to undergo a periodic medical examination if the disability retirant has not attained age sixty(60) years. (b) If a disability retirant refuses to submit to a medical or psychological examination, payment of the disability pension may be suspended by the board of trustees until . . . . -- - . . the retirant submits to the examination. - .. - - . . - . - • c • A disabilityretirant who has been restored ( ) to employment with the city as provided in subsection (a)shall again become a member of the retirement system. (Ord. No. 58-75-4, § 20, 12-22-75; Ord. No. 58-98-25, § 17, 11-23-98; Ord. No. 58-99-27, § 1, 11-8-99; Ord.No. 58-99-26, § 1, 7-10-00) Sec. 2-281. Amount of level straight life pension. I (a) Benefit group general. Subject to section 2-285, the amount of level straight life pension shall be equal to the retiring member's benefit group general credited service multiplied by the sum of two and eighty-five hundredths (2.85)percent of the retiring member's final average compensation. 02) Early retirement benefit. The amount of an early retirement benefit shall be calculated as provided in subsection 2-281.(a) above taking into account credited service to the date of actual retirement and final monthly compensation as of such date. Such amount of retirement income shall be actuarially reduced to take into account the participant's younger age and earlier commencement of retirement income payments. ' 10 ' I AGENDA ITEM#7B FEBRUARY 23,2004 I (b) The early retirement date of each member shall be the first day of the month following the effective retirement of the member as indicated in the member's retirement application and as approved by the board of trustees. I (c) The monthly retirement income payable in the event of normal or early retirement shall be payable on the first day of each month. g (Ord. No. 58-99-26, § 2, 7-10-00) Editor's note: Ord. No. 58-98-25, § 14, adopted Nov. 23, 1998, repealed § 2-277 which pertained to compulsory separation from employment; extensions; retirement, and derived from Ord. No. 58-75-4, § 17, adopted Dec. 22, 1975 and Ord. No. 58-87-10, § 1, adopted Nov. 23, 1987. I Sec. 2-278. Deferred retirement upon separation from employment (vesting). I (a) A member of the retirement system who terminates city employment prior to satisfying the requirements for voluntary retirement under section 2-276 for a reason other than retirement or death, who has not received a refund of his or her member contributions, and who has the applicable period of I credited service specified in subsection (b) shall remain a member and be entitled to be paid a pension upon attaining the age and service requirements for voluntary retirement, as set forth in section 2-276. Upon attaining the age and service requirement for voluntary retirement, the member shall be paid a I pension computed according to the applicable subsections of section 2-281 or section 2-282 as the subsections were in force at the time a member left city employment. I (b) The credited service requirement for separation from city employment with entitlement to deferred retirement is five (5) years. (Ord.No. 58-75-4, § 18, 12-22-75; Ord. No. 58-87-10, § 1, 11-23-87; Ord. No. 58-98-25, § 15, 11-23-98; Ord.No. 58-99-27, § 1, 11-8-99; Ord.No. 58-99-26, § 1, 7-10-00) I Sec. 2-279. Disability retirement--General conditions for eligibility. I (a) A member having five (5) or more continuous years of credited service and having contributed to the retirement system for five (5)years or more may retire from the service of the city if he/she becomes totally and permanently disabled as defined in subsection (b)by reason of any cause other than a cause set ' out in subsection (c). Such retirement shall herein be referred to as "disability retirement." (b) A member will be considered disabled if, in the opinion of the board of trustees, the member is Itotally and permanently prevented from rendering useful and efficient service as a city employee. (c) A member will not be entitled to receive any disability retirement income if disability is as a Iresult of: (1) Excessive and habitual use by the employee of drugs, intoxicants, or narcotics; 1 (2) Injury or disease sustained by the employee while willfully and illegally participating in fights,riots, or civil insurrections or while committing a crime; 1 (3) Injury or disease sustained by the employee while serving in any armed forces; or (4) Injury or disease sustained by the employee after his/her employment has terminated. (d) No member shall be permitted to retire under the provisions of this section until he/she is examined by a duly qualified physician or surgeon, to be selected by the board of trustees for that L purpose, and is found to be disabled in the degree and in the manner specified in this section. Any member retiring under this section may be examined periodically by a duly qualified physician or surgeon or board of physicians and surgeons to be selected by the board of trustees for that purpose, to determine 9 AGENDA ITEM#7B FEBRUARY 23,2004 (bc) Cost-of-living adjustment. All retirement system members and beneficiaries who retired prior to January 1, 1997, shall receive a one-time cost-of-living adjustment, which shall be in an amount equal to three (3)percent of the benefits paid to such retired members and beneficiaries during the immediately preceding month. Effective October 2001, all retirement system members and beneficiaries who retired prior to January 1, 2001, shall receive a one-time cost-of-living adjustment, which shall be in an amount equal to five(5) percent of the benefits paid to such retired members and beneficiaries during the immediately preceding month. (Ord.No. 58-75-4, § 21, 12-22-75; Ord.No. 58-87-8, § 1, 10-26-87; Ord.No. 58-92-18, § 1, 9-28-92; Ord.No. 58-93-19A, § 1, 10-25-93; Ord.No. 58-97-23, § 1, 7-14-97; Ord.No. 58-99-27, § 1, 11-8-99; Ord. No. 58-99-26, § 1, 7-10-00; Ord.No. 58-01-28, § 1, 10-8-01) Sec.2-282. Optional forms of pension payment. A member of the retirement system may elect to be paid under one(1) of the following optional forms of payment in lieu of the level straight life form of payment.The election must be made in writing and filed with the board of trustees prior to the date retirement is effective. Payment will be made under the level straight life form of payment if a timely election of an optional form of payment is not made.The amount ' of pension under Option A and Option B shall be the actuarial equivalent of the amount of pension under the level straight life form of payment.In no event may a member's annual benefit exceed the lesser of: (1) Option A; one hundred(100)percent survivor pension: Under Option A, a retirant shall be paid a reduced pension for life with the provision that upon the retirant's death, the reduced pension shall be continued throughout the future lifetime of and paid to such person as the retirant shall have nominated by written designation duly executed and filed with the board of trustees at the time of election of the optional form of payment. (2) Option B; fifty(50)percent survivor pension: Under Option B, a retirant shall be paid a reduced pension for life with the provision that upon the retirant's death, one-half of the reduced pension shall be — continued throughout the future lifetime of and paid to such person - _ • - . : - . - - - retirant's life,as the retirant shall have nominated by written designation duly executed and filed with the board of trustees at the time of election of the optional form of payment. (3) Option C; social security coordinated pension: Under Option C, a retirant shall be paid an increased pension to attainment of the age when the retirant is eligible to receive regular social security retirement benefits, and a reduced pension thereafter.The increased pension paid to attainment of regular social security retirement age shall approximate the sum of the reduced pension payable thereafter plus the retirant's estimated social security primary insurance amount. (4) Other benefit form: Any other actuarially equivalent form of benefit requested by a member and approved, in their sole discretion,by the board of trustees. (Ord.No. 58-75-4, § 22, 12-22-75; Ord.No. 58-98-25, § 18, 11-23-98) (5) A Deferred Retirement Option Program (DROP),shall be established and administered by the Board of Trustees of the City of Atlantic Beach General Employees' Retirement System. Such DROP shall be a self-directed program. A General Employee may enter the DROP as set forth herein. (a) Eligibility. A participant of the City of Atlantic Beach General Employees' Retirement System may enter into the DROP on the first day of the month following the attainment of age fifty-five(55) and five(5) years of service with the City of Atlantic Beach. However, a participant entering the DROP prior to attaining age sixty(60)shall have their benefit actuarially reduced for each year under the age of sixty(60). 11 AGENDA ITEM#7B FEBRUARY 23,2004 ' Participants who attained eligibility prior to the enactment of the DROP shall be afforded the option of participating immediately. 021 Written election. A participant electing to participate in the DROP must complete and execute the proper forms, I which shall be supplied by the Board of Trustees. Election into the DROP is irrevocable once a participant enters the DROP. Limitation/disqualification for other benefits. A participant may participate in the DROP only once. After commencement of participation in the DROP the employee shall no longer earn or accrue additional vesting credits toward retirement benefits and shall not be eligible for disability or pre-retirement death benefits in the City of Atlantic Beach General Employees' Retirement System. (d) Cessation or reduction of contributions Upon the effective date of a participant's commencement of participation in the DROP, all ' contributions on behalf of the participant to the City of Atlantic Beach General Employees' Retirement System shall be discontinued. (e) Benefit calculation For all City of Atlantic Beach General Employees' Retirement System purposes, the service and vesting credits of a participant participating in the DROP shall remain as they existed on the effective date of commencement of participation in the DROP. The participant shall not earn or be credited with any additional vesting credits after beginning DROP participation. Service thereafter shall not be recognized by the City of Atlantic Beach General Employees' Retirement System or used for the calculation or determination of any benefits payable by such Retirement System. The average final compensation of the participant shall remain as it existed on the effective date of commencement of participation in the DROP. Payment for unused Compensatory Time shall be made when the participant enters the DROP and shall be utilized in determining the final average compensation. Payment for accrued unused leave (vacation, holiday, etc.) shall be made when the participant actually terminates employment with the City. Earnings thereafter shall not be recognized by the Retirement System or used for the calculation or determination of any benefits payable by the Retirement System. (f) Payments to DROP account. I The monthly retirement benefits, including any future cost of living increases, that would have been payable had the participant elected to cease employment and receive a normal retirement benefit shall be deposited into the participant's DROP account. f g) Drop account earnings. Earnings of each DROP account shall be in accordance with the self-directed options selected by the participant and shall continue for up to sixty (60) months at which time all deposits into the account shall cease. Neither the City, the Retirement System, nor the system's Board of Trustees shall have any responsibility or liability for any of the self-directed options selected by the participant. (h) Maximum participation. 12 1 AGENDA ITEM#7B FEBRUARY 23,2004 (bc) Cost-of-living adjustment. All retirement system members and beneficiaries who retired prior to January 1, 1997, shall receive a one-time cost-of-living adjustment, which shall be in an amount equal to three (3)percent of the benefits paid to such retired members and beneficiaries during the immediately preceding month. Effective October 2001, all retirement system members and beneficiaries who retired prior to January 1, 2001, shall receive a one-time cost-of-living adjustment,which shall be in an amount equal to five(5) percent of the benefits paid to such retired members and beneficiaries during the immediately preceding month. 1 (Ord.No. 58-75-4, § 21, 12-22-75; Ord.No. 58-87-8, § 1, 10-26-87; Ord.No. 58-92-18, § 1, 9-28-92; Ord.No. 58-93-19A, § 1, 10-25-93; Ord.No. 58-97-23, § 1, 7-14-97; Ord.No. 58-99-27, § 1, 11-8-99; Ord.No. 58-99-26, § 1, 7-10-00; Ord.No. 58-01-28, § 1, 10-8-01) Sec.2-282. Optional forms of pension payment. A member of the retirement system may elect to be paid under one(1)of the following optional forms of payment in lieu of the level straight life form of payment.The election must be made in writing and filed with the board of trustees prior to the date retirement is effective. Payment will be made under the level straight life form of payment if a timely election of an optional form of payment is not made.The amount of pension under Option A and Option B shall be the actuarial equivalent of the amount of pension under the level straight life form of payment.In no event may a member's annual benefit exceed the lesser of: (1) Option A; one hundred(100)percent survivor pension: Under Option A,a retirant shall be paid a reduced pension for life with the provision that upon the retirant's death, the reduced pension shall be continued throughout the future lifetime of and paid to such person as the retirant shall have nominated by ' written designation duly executed and filed with the board of trustees at the time of election of the optional form of payment. (2) Option B; fifty(50)percent survivor pension: Under Option B, a retirant shall be paid a reduced pension for life with the provision that upon the retirant's death, one-half of the reduced pension shall be continued throughout the future lifetime of and paid to such person -: •-_ . - - - retirant's life,as the retirant shall have nominated by written designation duly executed and filed with the board of trustees at the time of election of the optional form of payment. (3) Option C; social security coordinated pension:Under Option C, a retirant shall be paid an ' increased pension to attainment of the age when the retirant is eligible to receive regular social security retirement benefits, and a reduced pension thereafter.The increased pension paid to attainment of regular social security retirement age shall approximate the sum of the reduced pension payable thereafter plus the retirant's estimated social security primary insurance amount. (4) Other benefit form: Any other actuarially equivalent form of benefit requested by a member and approved,in their sole discretion,by the board of trustees. (Ord.No. 58-75-4, § 22, 12-22-75; Ord.No. 58-98-25, § 18, 11-23-98) (5) A Deferred Retirement Option Program(DROP),shall be established and administered by the Board of Trustees of the City of Atlantic Beach General Employees' Retirement System. Such DROP shall be a self-directed program. A General Employee may enter the DROP as set forth herein. (a) Eligibility. A participant of the City of Atlantic Beach General Employees' Retirement System may enter into the DROP on the first day of the month following the attainment of age fifty-five(55) and five(5) years of service with the City of Atlantic Beach. However, a participant entering the DROP prior ' to attaining age sixty (60)shall have their benefit actuarially reduced for each year under the age of sixty(60). 11 AGENDA ITEM#7B FEBRUARY 23,2004 A participant may participate in the DROP for a maximum of sixty (60) months. At the conclusion of the sixty (60) months, deposit's into the participant's DROP account shall cease. The participant may terminate DROP participation by terminating from covered city employment on a date prior to sixty (60) months from the date the participant entered the DROP. A participant that elects to participate in the DROP may participate for a maximum of sixty (60) months. At the conclusion of the maximum time period, the participant's covered city employment must terminate pursuant to the resignation submitted by the participant as part of the DROP application. The participant may terminate DROP participation by advancing their resignation from covered city employment to a date prior to that submitted by the participant as part of the DROP application. (i) Expenses. All administrative fees charged for the administration and operation of the participant's DROP account shall be in accordance with the self-directed options selected by the participant and shall be ' the responsibility of the participant. (j) Payout. (i) Upon the termination of a participant's covered City employment (for any reason, whether by retirement, resignation, discharge or death),the retirement benefits payable to the participant or to the participant's beneficiary(if the participant selected an optional form of retirement benefit which provides for payments to the beneficiary) shall be paid to the participant,the participant's beneficiary or the member's estate and shall no longer be deposited into the participant's DROP account. (ii) Within thirty days after the end of any calendar quarter following the termination of a participant's employment,the balance in the participant's DROP account shall be payable in accordance with the self-directed options selected by the participant. Regardless of the option selected by the participant,the Board of Trustees has the right to accelerate payments in order to comply with Section 401(A)(9)of the Internal Revenue Code and the right to defer payments to comply with Section 415.of the Internal Revenue Code. (k) Death. If a DROP participant dies before the account balance is paid out in full,the participant's designated beneficiary shall have the same rights as the participant to elect and receive the pay-out options set forth in paragraph i above. DROP payments to a beneficiary shall be in addition to any retirement benefits payable to the participant. Participants who are or have been DROP participants are not eligible for pre-retirement death or disability benefits. (1) Forms. The forms and notices shall be approved for use in administering the DROP by the Board of Trustees. (m) Amendment. The City Commission may amend the DROP at any time. Such amendments shall be consistent with the provisions covering deferred retirement option plans and shall be binding upon all future DROP participants and upon all DROP participant's who have balances in their accounts. Such 13 AGENDA ITEM#7B FEBRUARY 23,20041 amendments may increase the expense, decrease the account earnings, or limit or restrict the payout options. Sec. 2-283. Death while in city employment; elective survivor pension. (a) Each member may, on a form provided for that purpose, signed and filed with the board ' of trustees, designate a beneficiary (or beneficiaries) to receive the benefit, if any, which may be payable in the event of his/her death, and each designation may be revoked by such member by signing and filing with the board of trustees a new designation of beneficiary form. , (b) Upon the death of a member who has a valid nomination-of-beneficiary in force, the beneficiary, if living, shall be paid a level straight life pension computed according to section 2- 281 in the same manner in all respects as if the member had elected Option A provided in section 2-282 and retired the day preceding his/her death,notwithstanding that the member may not have satisfied the conditions for retirement. Upon a member's retirement, entry into DROP,resignation or termination as a city employee, eligibility for the death benefit payable under this section will automatically terminate. (c) If a member failed to name a beneficiary in the manner prescribed in subsection(a) , above, or if the beneficiary (or beneficiaries) named by a deceased member predeceases the member, the death benefit, if any, which may be payable under the plan with respect to such deceased member, may be paid in the discretion of the board of trustees either to: (i)Any one (1) or more of the persons comprising the group consisting of the member's spouse, the member's descendants, the member's parents, or the member's heirs at law, and the board of trustees may pay the entire benefit to any member of such group or portion such benefit among any two(2)or more of them in such shares as the board of trustees, in its sole discretion, shall determine; or(ii) The estate of such member, provided that in any of such cases the board of trustees, in its discretion, may direct that the commuted value of the remaining monthly income payments be paid in a lump sum. Any payment made to any person pursuant to the power and discretion conferred upon the board of trustees by the preceding sentence shall operate as a complete discharge of all obligations under the plan with regard to such deceased member and shall not be subject to a review by anyone, but shall be final, binding and conclusive on all persons ever interested hereunder. (Ord. No. 58-75-4, § 23, 12-22-75; Ord. No. 58-87-10, § 1, 11-23-87; Ord. No. 58-88-13, § 1, 11-28-88; Ord.No. 58-98-25, § 19, 11-23-98) Sec. 2-284. Alternate death while in city employment; pension to spouse and/or children. (a) The applicable benefits provided in subsections (b) and (c) of this section or, if the member designated the member's spouse or children, as set forth below, the benefits provided in section 2-283, whichever are greater,shall be paid if a member of the retirement system who has five (5) or more years ' of credited service and dies while in the employ of the city. The provisions of this section shall not apply in the case of death of a member who has a valid designation of beneficiary, other than the member's spouse or children as set forth below, in force pursuant to section 2-283. 1 (b) The person to whom the deceased member was married at the time of death shall be paid a pension equal to a seventy-five (75)percent of the amount of level straight life pension computed according to the applicable subsection of section 2-281, based on the deceased member's final average compensation and credited service. A surviving spouse's pension shall terminate upon death. I (c) The deceased member's unmarried children under the age of nineteen (19) years, or twenty-three (23) years if enrolled full-time as a student in an educational institution shall each be paid an equal share of a level straight life pension computed according to the applicable subsection of section 2-281,based on 14 1 AGENDA ITEM#7B FEBRUARY 23,2004 A participant may participate in the DROP for a maximum of sixty(60) months. At the conclusion of the sixty (60) months, deposit's into the participant's DROP account shall cease. The participant may terminate DROP participation by terminating from covered city employment on a date prior to sixty (60) months from the date the participant entered the DROP. A participant that elects to participate in the DROP may participate for a maximum of sixty (60) I months. At the conclusion of the maximum time period,the participant's covered city employment must terminate pursuant to the resignation submitted by the participant as part of the DROP application. The participant may terminate DROP participation by advancing their resignation I from covered city employment to a date prior to that submitted by the participant as part of the DROP application. (i) Expenses. I . All administrative fees charged for the administration and operation of the participant's DROP account shall be in accordance with the self-directed options selected by the participant and shall be IIIthe responsibility of the participant. (i) Payout. I (i) Upon the termination of a participant's covered City employment(for any reason,whether by retirement, resignation, discharge or death),the retirement benefits payable to the 111participant or to the participant's beneficiary(if the participant selected an optional form of retirement benefit which provides for payments to the beneficiary)shall be paid to the I participant,the participant's beneficiary or the member's estate and shall no longer be Ideposited into the participant's DROP account. (ii) Within thirty days after the end of any calendar quarter following the termination of a participant's employment,the balance in the participant's DROP account shall be payable in Iaccordance with the self-directed options selected by the participant. Regardless of the option selected by the participant,the Board of Trustees has the right to 1 accelerate payments in order to comply with Section 401(A)(9) of the Internal Revenue Code and the right to defer payments to comply with Section 415 of the Internal Revenue Code. (k) Death. If a DROP participant dies before the account balance is paid out in full,the participant's I designated beneficiary shall have the same rights as the participant to elect and receive the pay-out options set forth in paragraph j above. DROP payments to a beneficiary shall be in addition to any retirement benefits payable to the participant. Participants who are or have been DROP participants are not eligible for pre-retirement death or disability benefits. (1) Forms. IThe forms and notices shall be approved for use in administering the DROP by the Board of Trustees. 1 (m) Amendment. The City Commission may amend the DROP at any time. Such amendments shall be consistent I with the provisions covering deferred retirement option plans and shall be binding upon all future DROP participants and upon all DROP participant's who have balances in their accounts. Such 1 13 AGENDA ITEM#7B FEBRUARY 23, 2004 the deceased member's final average compensation and credited service. The percent shall be zero (0) percent during periods a pension is being paid in accordance with the provisions of subsection (b); and fifty (50) percent during periods a pension is not being paid in accordance with the provisions of subsection (b). A surviving child's pension shall terminate upon attainment of age nineteen (19) years or, if over nineteen (19), but less than twenty-three(23), upon no longer being enrolled as a fulltime student in an educational institution, marriage, or death, and the pension of each remaining eligible child shall be recomputed. (Ord. No. 58-75-4, § 24, 12-22-75; Ord. No. 58-87-10, § 1, 11-23-87; Ord. No. 58-98-25, § 20, 11-23-98; Ord. No. 58-99-27, § 1, 11-8-99; Ord. No. 58-99-26, § 1, 7-10-00) Sec. 2-285. Maximum amount of pension. (a) The normal retirement pension payable to a member of the retirement system and who has not previously participated in such system, on or after January 1, 1980, shall not exceed one hundred (100) percent of his final average compensation. However, nothing contained in this section shall apply to supplemental retirement benefits or to pension increases attributable to cost-of-living increases or adjustments. (b) No member of the system covered by this article who is not now a member of such system shall be allowed to receive a retirement pension which is, in part or in whole, based upon any service with respect to which the member is already receiving, or will receive in the future, a retirement pension from another retirement system or plan; provided that this restriction does not apply to social security benefits or federal benefits under Chapter 67,Title 10, U.S. Code. • (c) In no event may a member's annual benefit exceed the lesser of: (1) One hundred fifty thousand dollars ($150,000.00) (adjusted for cost of living in accordance with Section 415(d) of the Internal Revenue Code, but only for the year in which such adjustment is effective); or (2) Notwithstanding the provisions of paragraphs (a) and (b) above, the annual benefit payable to a member having at least fifteen (15) years of service shall not be less than the annually adjusted amount provided in the provisions of IRC Section 415(d). (3) Compensation in excess of limitations set forth in Section 401(a)(17) of the Internal Revenue Code shall be disregarded.The limitation on compensation for an "eligible employee" shall not be less than the amount which was allowed to be taken into account hereunder as in effect on July 1, 1993. "Eligible employee" is an individual who was a member before the first plan year beginning after December 31, 1995. (4) If the member has less than ten(10)years of service with the employer(as defined in Section 415(b)(5) of the Internal Revenue Code and as modified by Section 415(b)(6)(D) of the Internal; Revenue Code), the applicable limitation in subsection(1) or subsection(2) of this subsection shall be reduced by multiplying such limitation by a fraction, not to exceed one(1). The numerator of such fraction shall be the number of years, or part thereof, of service with the employer; the denominator shall be ten(10) years. For purposes of this subsection, annual benefit means a benefit payable annually in the form of a straight-line annuity with no ancillary or incidental benefits and with no member or rollover contributions.To the extent that ancillary benefits are provided, the limits set forth in subsections (1) and(2) of this subsection will be reduced actuarially, using an interest rate assumption equal to the greater of five (5) percent or the interest rate used in the most recent annual actuarial valuation, to reflect such ancillary benefits. If distribution of retirement benefits begins before age sixty-two (62), the dollar limitation as described in subsection (1) of this subsection shall be reduced actuarially using an interest rate assumption equal to the greater of five (5) percent or the interest rate used in the most recent 15 AGENDA ITEM#7B FEBRUARY 23,200 1 annual actuarial valuation; however, retirement benefits shall not be reduced below seventy-five thousand dollars ($75,000.00) if payment of benefits begins at or after age fifty-five (55). If retirement benefits begin after age sixty-five (65), the dollar limitation of subsection (1)of this subsection shall be increased actuarially using an interest assumption equal to the lesser of five (5) percent or the interest rate used in the most recent annual actuarial valuation. For purposes of this subsection, average annual compensation for a member's three (3) highest paid consecutive111 years means the member's greatest aggregate compensation during the period of three (3) consecutive years in which the individual was an active member of the plan. The special maximum retirement income limitation applicable to police officers at the normal retirement date shall be as set forth in Section 415(G) and(H) of the Internal Revenue Code of 1986 and amendments thereto and such amount shall be adjusted in accordance with regulations promulgated by the secretary of the treasury or his/her delegate. (Ord. No. 58-75-4, § 25, 12-22-75; Ord. No. 58-88-12, § 1, 8-8-88; Ord. No. 58-88-13, § 1, 11-28-88; Ord. No. 58-98-25, § 21, 11-23-98) State law references: Limitation of benefits, F.S. § 112.65. Sec. 2-286. Subrogation rights. If a member of the retirement system, retirant or beneficiary becomes entitled to a pension as the result of an accident or injury caused by the act of a third party, the retirement system shall be subrogated to the rights of such member, retirant or beneficiary against such third party to the extent of pensions which the retirement system pays or becomes liable to pay on account of such accident or injury. (Ord. No. 58-75-4, § 26, 12-22-75; Ord. No. 58-98-25, § 22, 11-23-98) Sec. 2-287. Reserved. I Editor's note: Ord. No. 58-98-25, § 23, adopted Nov. 23, 1998, repealed § 2-287 which pertained to reserve for retired benefit payments and derived from Ord. No. 58-75-4, § 27, adopted Dec. 22, 1975. 1 Sec. 2-288. City contribution. (a) The plan shall be funded by contributions from member contributions, as provided in section 2 111 - 298, contributions from the city and other income sources as authorized by law. (b) City contributions shall be made to the plan, on at least a quarterly basis, in an amount which, ' together with the member contributions provided for in section 2-298 and other income sources as authorized by law,sufficient to meet the normal cost of the plan and to fund the actuarial deficiency over a period of not more than forty (40) years, as determined by the Florida Statutes required actuarial valuation. Such contributions shall be computed as level percents of member payroll in accordance with generally 1 accepted actuarial principles on the basis of such rates of interest and tables of experience as the board of trustees shall from time to time adopt.The board shall annually certify to the city the contributions determined according to this section, and the city shall appropriate and pay to the retirement system, the 111 contributions so certified. (c) All benefits and expenses shall be paid in accordance with the provisions of this pension plan and consistent with Florida Statutes and the Internal Revenue Code. (Ord.No. 58-75-4, § 28, 12-22-75; Ord. No. 58-98-25, § 24, 11-23-98; Ord. No. 58-99-26, § 1, 7-10-00) Sec.2-289. Reserved. I Editor's note: Ord. No. 58-98-25, § 25, adopted Nov. 23, 1998, repealed § 2-289 which pertained to reserve for undistributed investment income and derived from Ord.No. 58-75-4, § 29, adopted Dec. 22, 1975. ' 16 1 AGENDA ITEM#7B 1 FEBRUARY 23,2004 the deceased member's final average compensation and credited service. The percent shall be zero (0) I percent during periods a pension is being paid in accordance with the provisions of subsection (b); and fifty (50) percent during periods a pension is not being paid in accordance with the provisions of subsection(b). IA surviving child's pension shall terminate upon attainment of age nineteen(19)years or, if over nineteen (19),but less than twenty-three(23), upon no longer being enrolled as a fulltime student in an educational I institution, marriage, or death, and the pension of each remaining eligible child shall be recomputed. (Ord.No. 58-75-4, § 24, 12-22-75; Ord. No. 58-87-10, § 1, 11-23-87; Ord. No. 58-98-25, § 20, 11-23-98; Ord.No. 58-99-27, § 1, 11-8-99; Ord.No. 58-99-26, § 1,7-10-00) Sec. 2-285. Maximum amount of pension. I (a) The normal retirement pension payable to a member of the retirement system and who has not previously participated in such system,on or after January 1, 1980,shall not exceed one hundred(100) percent of his final average compensation.However,nothing contained in this section shall apply to supplemental retirement benefits or to pension increases attributable to cost-of-living increases or Iadjustments. (b) No member of the system covered by this article who is not now a member of such system shall I be allowed to receive a retirement pension which is, in part or in whole,based upon any service with respect to which the member is already receiving, or will receive in the future, a retirement pension from another retirement system or plan; provided that this restriction does not apply to social security benefits Ior federal benefits under Chapter 67,Title 10,U.S. Code. (c) In no event may a member's annual benefit exceed the lesser of: I (1) One hundred fifty thousand dollars($150,000.00)(adjusted for cost of living in accordance with Section 415(d)of the Internal Revenue Code,but only for the year in which such adjustment is effective); or I (2) Notwithstanding the provisions of paragraphs(a)and(b)above,the annual benefit payable to a member having at least fifteen(15)years of service shall not be less than the 1 annually adjusted amount provided in the provisions of IRC Section 415(d). (3) Compensation in excess of limitations set forth in Section 401(a)(17)of the Internal I Revenue Code shall be disregarded.The limitation on compensation for an"eligible employee" shall not be less than the amount which was allowed to be taken into account hereunder as in effect on July 1, 1993. "Eligible employee" is an individual who was a member before the first Iplan year beginning after December 31, 1995. (4) If the member has less than ten(10)years of service with the employer(as defined in I Section 415(b)(5)of the Internal Revenue Code and as modified by Section 415(b)(6)(D)of the Internal;Revenue Code),the applicable limitation in subsection(1)or subsection(2)of this subsection shall be reduced by multiplying such limitation by a fraction,not to exceed one.(1). The numerator of such fraction shall be the number of years,or part thereof,of service with the Iemployer; the denominator shall be ten(10)years.For purposes of this subsection, annual benefit means a benefit payable annually in the form of a straight-line annuity with no ancillary or incidental benefits and with no member or rollover contributions.To the extent that ancillary I benefits are provided,the limits set forth in subsections(1)and(2)of this subsection will be reduced actuarially, using an interest rate assumption equal to the greater of five(5)percent or the interest rate used in the most recent annual actuarial valuation, to reflect such ancillary benefits. If I distribution of retirement benefits begins before age sixty-two(62),the dollar limitation as described in subsection(1)of this subsection shall be reduced actuarially using an interest rate assumption equal to the greater of five(5)percent or the interest rate used in the most recent 1 15 AGENDA ITEM#7B FEBRUARY 23, 2004 Sec. 2-290. Investment of retirement system assets. The board of trustees shall be the trustee of the monies and assets of the retirement system. The board shall have full power and authority, in their sole discretion, to invest and reinvest such funds as are not necessary for current expenditures or liquid reserves, as they may from time to time determine.The trustees may sell, exchange or otherwise dispose of such investments at any time. The trustees shall have the authority, in respect to any stocks, bonds or other property, real or personal, held by them as trustees, to exercise all such rights, powers and privileges as might be lawfully exercised by any person owning similar stocks, bonds or other property in his own right. The trustees are authorized to invest in those stocks,bonds and other securities permitted by the investment policies or guidelines adopted by the trustees. (a) Delegation and allocation of investment functions. (1) The Trustees shall have the power and authority to appoint one (1)or more investment managers who shall be responsible for the management, acquisition, disposition, investing and reinvesting of such of the assets of the Trust Fund as the Trustees shall specify. Any such appointment may be terminated by the Trustees upon written notice.The fees of such investment manager shall be paid out of the Trust Fund.The Trustees shall require that the investment manager acknowledge in writing that it is a named fiduciary with respect to the plan. (2) In connection with any allocation or delegation of investment functions under this section, the Trustees shall, from time to time, adopt appropriate investment policies or guidelines. (Ord. No. 58-75-4, § 30, 12-22-75; Ord. No. 58-85-5, § 1, 7-22-85; Ord. No. 58-92-17, § 1, 1-27- 92; Ord. No. 58-98-25, § 26, 11-23-98; Ord. No. 58-99-26, § 1, 7-10-00) Sec. 2-291. Reserved. Editor's note: Ord. No. 58-99-26, § 1, adopted July 10, 2000, deleted the former § 2-291, which pertained to divisions and derived from Ord. No. 58-75-4, § 31, adopted 12-22-75, and Ord. No. 58-99- 27, § 1, adopted 11-8-99. Sec.2-292. Expenses. The expenses of administering a retirement system, including the premiums for fiduciary liability and waiver of recourse insurance covering the board of trustees and the retirement system, shall be paid by the Plan city. (Ord. No. 58-75-4, § 32, 12-22-75; Ord.No. 58-98-25, § 27, 11-23-98) Sec. 2-293. Reserved. Editor's note: Ord. No. 58-98-25, § 28, adopted Nov. 23, 1998, repealed § 2-293 which pertained to insurance coverage for retirants and beneficiaries and derived from Ord. No. 58-75-4, § 33, adopted Dec. 22, 1975. Sec. 2-294. Method of making payments. All payments under this division shall be made according to the provisions of the City Charter and city ordinances governing the disbursement of city monies.No payment shall be made that has not been • authorized by . • - . -- -: - . . . the board of trustees. (Ord. No. 58-75-4, § 34, 12-22-75) Sec. 2-295. Assignments prohibited. • (a) Generally. The right of a person to a pension, disability, death or survivor benefit, and any other right accrued or accruing to any person under the provisions of this division, and any monies in assets belonging to the retirement system, shall not be subject to execution, garnishment, attachment,the 17 AGENDA ITEM#7B FEBRUARY 23,20041 operation of bankruptcy or insolvency law, or any other process of law whatsoever, and shall be unassignable except as is specifically provided in this division. If a member is covered under a group insurance or prepayment plan participated in by the city, and should the member or his/her beneficiary be111 permitted to and elect to continue the coverage as a retirant or beneficiary, the member or beneficiary may authorize the board of trustees to deduct required payments to continue coverage under the group insurance or prepayment plan. The city shall have the right of set off for any claim arising from embezzlement by or fraud of a member, retirant or beneficiary in addition to any other remedies, including forfeiture of benefits, provided by law. (b) Direct transfers of eligible rollover distributions. This subsection applies to distributions made on or after October 1, 1993. Notwithstanding any provision of the plan to the contrary that would otherwise limit a distributee's election under this section, a distributee may elect, at the time and in the manner prescribed by the board of trustees, to have any portion of an eligible rollover distribution paid directly to an eligible retirement plan specified by the distributee in a direct rollover. (1) "Eligible rollover distribution" means any distribution of all or any portion of the balance ' to the credit of the distributee, except that an eligible rollover distribution does not include any distribution that is one (1) of a series of substantially equal periodic payments (not less frequently than annually) made for the life(or life expectancy) of the distributee or the joint lives (or joint life expectancies) of the distributee and the distributee's designated beneficiary or for a specified period of ten (10) years or more; any distribution to the extent such distribution is required under Section 401(a)(9) of the Internal Revenue Code; and the portion of any distribution that is not includable in gross income (determined without regard to the exclusion for net unrealized appreciation with respect to employer securities). (2) "Eligible retirement" means an individual retirement account described in Section 408(a) of the Internal Revenue Code, an individual retirement annuity described in Section 408(b) of the Internal Revenue Code, an annuity plan described in Section 403(a) of the Internal Revenue Code, or a qualified trust described in Section 401(a) of the Internal Revenue Code, that accepts the distributee's eligible rollover distribution. However, in the case of an eligible rollover distribution to the surviving spouse, an eligible retirement plan is an individual retirement account or individual retirement annuity. (3) "Distributee" includes an employee or former employee. In addition, the employee's or former employee's surviving spouse, or the employee's or former employee's spouse or former spouse who is the alternate payee under an income deduction order, is a distributee with regard to the interest of the spouse or former spouse. (4) "Direct rollover" means a payment by the plan to the eligible retirementlan specified P P by the distributee. (Ord. No. 58-75-4, § 35, 12-22-75; Ord. No. 58-98-25, § 29, 11-23-98) ' Sec. 2-296. Errors. Should the board of trustees determine that any member, retirant or beneficiary is being paid from the retirement system more or less than is correct, the board of trustees shall correct the error and, as far as practicable, shall adjust the payment in such manner that the actuarial equivalent of the benefit to which the member,retirant or beneficiary was correctly entitled shall be paid. (Ord. No. 58-75-4, § 36, 12-22-75; Ord. No. 58-98-25, § 30, 11-23-98) Sec. 2-297. Protection against fraud. , Whoever with intent to deceive shall make any statements and/or reports required under this division which are untrue, or shall falsify or permit to be falsified any record or records of the retirement system, 18 1 • AGENDA ITEM#7B FEBRUARY 23,2004 Sec. 2-290. Investment of retirement system assets. The board of trustees shall be the trustee of the monies and assets of the retirement system. The board shall have full power and authority, in their sole discretion, to invest and reinvest such funds as are not necessary for current expenditures or liquid reserves, as they may from time to time determine.The trustees may sell, exchange or otherwise dispose of such investments at any time. The trustees shall have the authority, in respect to any stocks, bonds or other property, real or personal, held by them as trustees, ' to exercise all such rights, powers and privileges as might be lawfully exercised by any person owning similar stocks, bonds or other property in his own right. The trustees are authorized to invest in those stocks,bonds and other securities permitted by the investment policies or guidelines adopted by the trustees. (a) Delegation and allocation of investment functions. 1 (1) The Trustees shall have the power and authority to appoint one(1)or more investment managers who shall be responsible for the management, acquisition, disposition, investing and reinvesting of such of the assets of the Trust Fund as the Trustees shall specify. Any such ' appointment may be terminated by the Trustees upon written notice. The fees of such investment manager shall be paid out of the Trust Fund.The Trustees shall require that the investment manager acknowledge in writing that it is a named fiduciary with respect to the plan. (2) In connection with any allocation or delegation of investment functions under this section, the Trustees shall, from time to time, adopt appropriate investment policies or guidelines. (Ord. No. 58-75-4, § 30, 12-22-75; Ord. No. 58-85-5, § 1, 7-22-85; Ord. No. 58-92-17, § 1, 1-27- 92; Ord. No. 58-98-25, § 26, 11-23-98; Ord. No. 58-99-26, § 1, 7-10-00) Sec. 2-291. Reserved. Editor's note: Ord. No. 58-99-26, § 1, adopted July 10, 2000, deleted the former § 2-291, which pertained to divisions and derived from Ord. No. 58-75-4, § 31, adopted 12-22-75, and Ord.No. 58-99- , 27, § 1, adopted 11-8-99. Sec. 2-292. Expenses. The expenses of administering a retirement system, including the premiums for fiduciary liability and waiver of recourse insurance covering the board of trustees and the retirement system, shall be paid by the Plan city. (Ord. No. 58-75-4, § 32, 12-22-75; Ord.No. 58-98-25, § 27, 11-23-98) Sec. 2-293. Reserved. ' Editor's note: Ord. No. 58-98-25, § 28, adopted Nov. 23, 1998, repealed§ 2-293 which pertained to insurance coverage for retirants and beneficiaries and derived from Ord. No. 58-75-4, § 33, adopted Dec. 22, 1975. Sec. 2-294. Method of making payments. ' All payments under this division shall be made according to the provisions of the City Charter and city ordinances governing the disbursement of city monies. No payment shall be made that has not been authorized by . - . . -_ . . . : the board of trustees. (Ord. No. 58-75-4, § 34, 12-22-75) Sec. 2-295. Assignments prohibited. (a) Generally.The right of a person to a pension, disability, death or survivor benefit, and any other right accrued or accruing to any person under the provisions of this division, and any monies in assets belonging to the retirement system, shall not be subject to execution, garnishment, attachment, the 1 17 AGENDA ITEM#7B FEBRUARY 23,2004 or who shall otherwise violate,with intent to deceive, any of the terms or provisions of this division, shall be guilty of a city offense. Any member who is convicted as provided in F.S. § 112.3173 of a specified offense committed prior to retirement,or whose employment is terminated by reason of an admitted commission, aid or abatement of a specified offense, shall forfeit all rights and benefits under this pension plan,except for return of accumulated contributions as of his date of termination. (Ord.No. 58-75-4, § 37, 12-22-75; Ord.No. 58-98-25, § 31, 11-23-98) Sec. 2-298. Member contributions. (a) Member contributions for benefit group general shall be two (2)percent of salary and said contribution shall be deducted from the member's pay and paid over into the retirement system at least monthly. (b) • The City of Atlantic Beach shall assume and pay the member contributions set forth above in lieu of payroll deductions from such members'earnings. No member shall have the option of choosing to receive the contributed amounts directly instead of having them paid by the city directly to the retirement system. All such contributions by the city shall be deemed and considered as part of the member's contributions and subject to all provisions of this plan pertaining to contributions of members. Such contributions shall additionally be considered as part of the member's compensation for purposes of determining final average compensation and any other benefits hereunder and for determining the member's hourly wage rate for purposes of FICA contributions, worker's compensation, and overtime compensation.This city pick up of contributions is a result of a commensurate reduction of each member's pay and is intended to comply with Section 414(h)(2) of the Internal Revenue Code. (c) If an employee leaves the service of the city before accumulating aggregate time of five(5)years toward retirement and before being eligible to retire under the provisions of this article he/she shall be entitled to a refund of all of his or her contributions made to the city pension trust fund,plus any interest accumulated at a rate of interest determined annually by the board of trustees, less any disability benefits paid to him/her. If an employee who has been in the service of the city for at least five (5)years and has contributed to the pension trust fund as provided elects to leave his or her accrued contributions in the trust fund,such employee,upon attaining the age as required in section 2-278, may retire with the actuarial equivalent of the amount of such retirement income otherwise payable to him/her. (d) If a member who terminates employment elects a refund of contributions and: (1) Some or all of the refund is eligible for rollover treatment, as defined by the Internal Revenue Service; (2) Elects to have such eligible distribution paid directly to an eligible retirement plan or IRA; and (3) Specifies the eligible retirement plan or IRA to which such distribution is to be paid (in such form and at such time as the distributing plan administration may prescribe), the distribution will be made in the form of a direct trustee-to-trustee transfer to the specified eligible retirement plan. (Ord.No. 58-87-8, § 2, 10-26-87; Ord. No. 58-88-13, § 1, 11-28-88; Ord.No. 58-93-19A, § 1, 10-25-93; Ord.No. 58-96-21, § 1, 2-12-96; Ord.No. 58-97-22, § 1, 2-24-97; Ord.No. 58-97-23, § 2, 7-14-97; Ord. No. 58-97-24, § 1, 9-8-97; Ord.No. 58-98-25; § 32, 11-23-98; Ord.No. 58-99-27, § 1, 11-8-99; Ord.No. 58-99-26, § 1, 7-10-00) Sec. 2-299. Benefit limitations and required distributions. 19 AGENDA ITEM#7B FEBRUARY 23,2004 I (a) Benefits paid under the city employees retirement system shall not exceed the limitations of Internal Revenue Code Section 415,the provisions of which are hereby incorporated by reference. (b) Notwithstanding any provisions in this section to the contrary, the distribution of benefits shall be in accordance with the following requirements and otherwise comply with Internal Revenue Code Section 401(a)(9) and the regulations thereunder,the provisions of which are incorporated herein by reference: ' (1) A member's benefit shall be distributed to him/her not later than April 1 of the calendar year following the later of the calendar year in which the member attains age seventy and one- , half(70 1/2) or the calendar year in which the member retires. Alternatively, distributions to a member must begin no later than the applicable April 1, as determined under the preceding sentence, and must be made over the life of the member(or the life expectancies of the member and the member's designated beneficiary)in accordance with regulations. (2) Distributions to a member and his/her beneficiary shall only be made in accordance with the incidental death benefit requirements of[Internal Revenue] Code Section 401(a)(9)(G)and the regulations thereunder. (Ord.No. 58-96-21, § 1, 2-12-96) 1 • • • t 1 I i 1 I f 20 1 I AGENDA ITEM#7B FEBRUARY 23,2004 or who shall otherwise violate, with intent to deceive, any of the terms or provisions of this division, shall be guilty of a city offense. Any member who is convicted as provided in F.S. § 112.3173 of a specified offense committed prior to retirement, or whose employment is terminated by reason of an admitted commission, aid or abatement of a specified offense, shall forfeit all rights and benefits under this pension plan, except for return of accumulated contributions as of his date of termination. I (Ord. No. 58-75-4, § 37, 12-22-75; Ord. No. 58-98-25, § 31, 11-23-98) Sec. 2-298. Member contributions. k (a) Member contributions for benefit group general shall be two (2) percent of salary and said contribution shall be deducted from the member's pay and paid over into the retirement system at least I monthly. (b) The City of Atlantic Beach shall assume and pay the member contributions set forth above in lieu of payroll deductions from such members'earnings. No member shall have the option of choosing to ' receive the contributed amounts directly instead of having them paid by the city directly to the retirement system. All such contributions by the city shall be deemed and considered as part of the member's contributions and subject to all provisions of this plan pertaining to contributions of members. Such I contributions shall additionally be considered as part of the member's compensation for purposes of determining final average compensation and any other benefits hereunder and for determining the member's hourly wage rate for purposes of FICA contributions, worker's compensation, and overtime I compensation. This city pick up of contributions is a result of a commensurate reduction of each member's pay and is intended to comply with Section 414(h)(2) of the Internal Revenue Code. (c) If an employee leaves the service of the city before accumulating aggregate time of five (5) years toward retirement and before being eligible to retire under the provisions of this article he/she shall be entitled to a refund of all of his or her contributions made to the city pension trust fund, plus any interest ' accumulated at a rate of interest determined annually by the board of trustees, less any disability benefits paid to him/her. If an employee who has been in the service of the city for at least five (5) years and has contributed to the pension trust fund as provided elects to leave his or her accrued contributions in the trust fund, such employee, upon attaining the age as required in section 2-278, may retire with the I actuarial equivalent of the amount of such retirement income otherwise payable to him/her. (d) If a member who terminates employment elects a refund of contributions and: I (1) Some or all of the refund is eligible for rollover treatment, as defined bythe g Internal Revenue Service; 111: (2) Elects to have such eligible distribution paid directly to an eligible retirement plan or IRA; and (3) Specifies the eligible retirement plan or IRA to which such distribution is to be paid(in such form and at such time as the distributing plan administration may prescribe), the distribution will be made in the form of a direct trustee-to-trustee transfer to the specified eligible retirement plan. (Ord. No. 58-87-8, § 2, 10-26-87; Ord. No. 58-88-13, § 1, 11-28-88; Ord.No. 58-93-19A, § 1, 10-25-93; 111 Ord. No. 58-96-21, § 1, 2-12-96; Ord. No. 58-97-22, § 1, 2-24-97; Ord. No. 58-97-23, § 2, 7-14-97; Ord. No. 58-97-24, § 1, 9-8-97; Ord. No. 58-98-25; § 32, 11-23-98; Ord. No. 58-99-27, § 1, 11-8-99; Ord.No. 58-99-26, § 1, 7-10-00) ISec. 2-299. Benefit limitations and required distributions. II 19 AGENDA ITEM#7B FEBRUARY 23,2004 DIVISION 4. POLICE OFFICERS' RETIREMENT SYSTEM* Sec. 2-300. Created, purpose. The police officers'retirement system is hereby created and established for the purpose of providing pensions and death benefits for the police officers of the city and their dependents in accordance with Chapter 185 of the Florida Statutes.The effective date of the retirement system is on adoption of this division. However, all benefits in existence under all previous retirement systems or plans effective after December 22, 1975 shall remain in effect and be included as a part of this retirement system. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-301. Definitions. The following words and phrases as used in this division shall have the following meanings unless a different meaning is clearly required by the context: Actuarial equivalent shall mean that any benefit payable under the terms of this plan in a form other than ' the standard form of benefit for members shall have the same actuarial present value on the date payment commences as such standard form of benefit. For the purpose of establishing the actuarial present value of any form of payment, all future payments shall be discounted for interest and mortality by using the 1983 Group Mortality Table, with ages set ahead five (5) years in the case of disability. • Beneficiary shall mean any person who is being paid, or has entitlement to future payment, of a pension or other benefit by the retirement system for a reason other than the person's membership in the retirement system. Board of trustees or board shall mean the board of trustees provided for in this division. City shall mean the City of Atlantic Beach,Florida, and shall include officers, boards, departments and instrumentalities. Compensation shall mean the total cash remuneration paid a member for service rendered to the city. Compensation shall include base salary or wages, longevity pay, overtime pay, cost of living payments, salary or wages while absent from work on account of vacation, holiday, or illness, and will also include incentive pay as defined in Chapter 943.22 Florida Statutes. Compensation shall not include redemptions or payments in consideration of unused vacation time or sick leave, the value of any fringe benefit, uniform allowances, equipment allowances, reimbursement of expenses, or payments for extra duty or a special detail work performed on behalf of a second party employer or any other item not specifically included. Credited service shall mean the service credited a member as provided in this division. Final average compensation shall mean one-sixtieth (1/60th) of the aggregate amount of compensation paid a m ember during the period o f s ixty(60) months oft he m ember's credited service i n which the aggregate amount of compensation paid is greatest. The sixty (60) months of credited service must be contained within the member's last one hundred twenty (120) months of credited service. If a member has less than sixty (60) months of credited service, final average compensation means the aggregate amount of compensation paid the member divided by the member's months of credited service. Member shall mean any person who is a member of the retirement system. *Editor's note: Ord. No. 58-99-26, § 2, adopted July 10, 2000, set out provisions intended for use as Division 4, §§ 2-261A--2-310A. For purposes of clarity and at the editor's discretion, these provisions have been included herein as §§ 2-300--2-310.29. 21 AGENDA ITEM#7B FEBRUARY 23,2004 Pension shall mean a series of monthly payments by the retirement system throughout the future life of a retirant or beneficiary, or for a temporary period, as provided in this division. Pension reserve shall mean the present value of all payments likely to be made on account of a pension. The present value shall be computed on the basis of such mortality and other tables of experience and regular annual compound interest as the actuary appointed by the board of trustees shall from time to time determine. Police officer shall mean a city employee employed by the police department who is certified or required ' to be certified as a law enforcement officer in compliance with Sections 185.02(11) and 943.14 Florida Statutes,and who holds the rank of patrol officer or higher, including probationary patrol officer. The term police officer shall not include any civilian city employee employed in the police department, any person employed as a police officer for an emergency, or any person privately employed as a police officer. Regular interest shall mean such rate or rates of interest per annum, compounded annually, as the board , of trustees shall from time to time adopt. Retirant shall mean any person who has satisfied the condition for receiving a benefit and is being paid a pension by the retirement system on account of the person's membership in the retirement system. Retirement shall mean a police officer's separation from city employment as a police officer with , immediate eligibility for receipt of benefits under the retirement system. Retirement systems or system shall mean the city retirement plan created and established by this division. ' Service shall mean personal service rendered to the city by a police officer. Workers'compensation benefits shall mean any amounts paid a retirant,beneficiary, spouse, or child pursuant to any workers'compensation or similar law. Redemptions or settlements of workers' compensation claim shall be considered workers'compensation benefits.Payments in consideration of medical expenses shall be disregarded in the determination of workers'compensation benefits. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-302. Benefit groups. , (a) - - :- ' .:: - :- -- - •- .• • - -- ---- - - : Benefit group police is hereby designated for the purpose of determining a retirement system member's applicable benefit eligibility conditions and benefit amount and (1) Benefit group police shall consist of all members who are also full time sworn police officers. (b) Benefit eligibility conditions shall be based on the member's benefit group at the time of termination of city employment. Benefit amounts shall be based on the amount of credited service acquired in benefit group police. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-303. Board of trustees—Responsibilities and duties generally. The general administration,management, and responsibility for the proper operation of the retirement system, for construing, interpreting, and making effective the provisions of this division, and for making recommendations to the city commission on matters concerning this retirement system are vested in the board of trustees. Such responsibilities and duties shall be conducted in such manner as to comply with 22 1 AGENDA ITEM#7B FEBRUARY 23,2004 DIVISION 4. POLICE OFFICERS' RETIREMENT SYSTEM* Sec. 2-300. Created, purpose. The police officers'retirement system is hereby created and established for the purpose of providing pensions and death benefits for the police officers of the city and their dependents in accordance with Chapter 185 of the Florida Statutes. The effective date of the retirement system is on adoption of this ' division. However, all benefits in existence under all previous retirement systems or plans effective after December 22, 1975 shall remain in effect and be included as a part of this retirement system. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-301. Definitions. The following words and phrases as used in this division shall have the following meanings unless a different meaning is clearly required by the context: Actuarial equivalent shall mean that any benefit payable under the terms of this plan in a form other than ' the standard form of benefit for members shall have the same actuarial present value on the date payment commences as such standard form of benefit. For the purpose of establishing the actuarial present value of any form of payment, all future payments shall be discounted for interest and mortality by using the 1983 Group Mortality Table, with ages set ahead five (5) years in the case of disability. Beneficiary shall mean any person who is being paid, or has entitlement to future payment, of a pension or other benefit by the retirement system for a reason other than the person's membership in the retirement system. Board of trustees or board shall mean the board of trustees provided for in this division. City shall mean the City of Atlantic Beach,Florida, and shall include officers, boards, departments and instrumentalities. ' Compensation shall mean the total cash remunerationaid a member for service rendered to the city. ty. Compensation shall include base salary or wages, longevity pay, overtime pay, cost of living payments, l salary or wages while absent from work on account of vacation, holiday, or illness, and will also include incentive pay as defined in Chapter 943.22 Florida Statutes. Compensation shall not include redemptions or payments in consideration of unused vacation time or sick leave, the value of any fringe benefit, uniform allowances, equipment allowances, reimbursement of expenses, or payments for extra duty or a special detail work performed on behalf of a second party employer or any other item not specifically included. ' Credited service shall mean the service credited a member as provided in this division. Final average compensation shall mean one-sixtieth (1/60th) of the aggregate amount of compensation paid a m ember during the period o f sixty(60)months o f t he m ember's credited service i n which the aggregate amount of compensation paid is greatest. The sixty (60) months of credited service must be contained within the member's last one hundred twenty(120) months of credited service. If a member has ' less than sixty (60) months of credited service, final average compensation means the aggregate amount of compensation paid the member divided by the member's months of credited service. Member shall mean any person who is a member of the retirement system. *Editor's note: Ord. No. 58-99-26, § 2, adopted July 10, 2000, set out provisions intended for use as Division 4, §§ 2-261A--2-310A. For purposes of clarity and at the editor's discretion, these provisions have been included herein as §§ 2-300--2-310.29. 21 AGENDA ITEM#7B FEBRUARY 23,200.1 the requirements of Chapter 185 of the Florida Statutes, and shall specifically include compliance with section 185.06 therein. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-304. Same--Actuarial data; report to city commission. (a) The board shall keep or cause to be kept, in convenient form, such data as shall be recommended by its actuary and as required by state law(Chapters 112 & 185 F.S.) for the operation of the retirement system on a sound actuarial basis.The board shall keep or cause to be kept, in convenient form, such additional data as is required to properly report the operations of the system. (b) The board shall render all reports required by state (Chapter 185, F.S.) or federal law to appropriate agencies, with a copy to the city commission, on or before the first day of Affil October of each year showing the fiscal transactions of the retirement system for the year ended the preceding thirtieth day of September, the assets of the retirement system as of the preceding thirtieth day of September, and a copy of the most recent actuarial report. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-305. Same--Composition. The board of trustees shall consist of five (5) trustees as follows: (1) Two (2), unless otherwise prohibited by law, shall be legal residents of the city, appointed by the city commission, who may serve as trustees of other city boards including the general employees retirement system provided herein; (2) Two (2)police officers to be elected by the active police officers who are members of the retirement system; (3) One (1)trustee to be selected by the other four(4) members of the board of trustees, and appointed as a ministerial act by the city commission. The elections provided for in subsection (2) of this section shall be held in accordance with such rules, as the board of trustees shall from time to time adopt. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-306. Same--Term of office; oath of office. • The regular term of office of a member of the board of trustees shall be two (2)years for resident appointees, and two (2) years for elected representatives, unless they terminate employment, whereupon a new election will be held by the member of the plan to fill the unexpired term of their trustee representatives. The term of office for the trustee selected by the other four(4) members of the board shall be two(2) years. Each trustee shall, before assuming the duties of trustees, qualify by taking an oath of office to be administered by the city clerk, whereupon a trustee's term of office shall begin. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-307. Same--Vacancy; filling of vacancy. (a) A vacancy shall occur on the board of trustees if any member resigns or any employee representative ceases to be employed by the city. (b) If a vacancy occurs on the board of trustees, the vacancy shall be filled within ninety(90)days for the unexpired term, in the same manner as the position was previously filled. (Ord.No. 58-99-26, § 2, 7-10-00) 23 AGENDA ITEM#7B FEBRUARY 23,2004 I Sec. 2-308. Same--Meetings; quorum; voting; compensation. The board of trustees shall hold meetings regularly, at least one (1) in each calendar quarter, and shall i designate the time and place of each meeting. All meetings of the board shall be open to the public. Notice of such meetings shall be posted on employee bulletin boards so that all members will be aware of the meeting. The board shall adopt its own rules of procedure and shall keep a record of its proceedings. Three (3) trustees shall constitute a quorum at any meeting of the board, and at least three (3) concurring votes shall be necessary for a decision by the board. Each trustee shall be entitled to one (1) vote on each question before the board.Trustees shall serve without compensation for their services as trustees,but ' shall be entitled to their expenses actually and necessarily incurred in attending meetings of the board and in performing required duties as trustees in accordance with Florida Law. (Ord. No. 58-99-26, § 2, 7-10-00) , Sec. 2-309. Officers and employed services. The officers and employed services of the retirement system shall be as follows: ' (1) Chairperson: The board shall annually elect a chairperson from its members. (2) Secretary: The board shall annually elect a secretary of the board from its members, who shall sign the minutes of each meeting .-: :- -• -. :: .- : -- - ' - -- - ' - : : and shall perform such duties as required in Chapter 185 of the Florida Statutes. (3) Legal advisor: The board is empowered to employ independent legal counsel. (4) Actuary: The board is empowered to employ an independent actuary who shall be the technical advisor to the board regarding the operation of the retirement system on an actuarial basis, and who shall perform such services as are required in connection therewith.The term actuary as used in this division shall mean an "enrolled actuary" who is enrolled under Subtitle C of Title III of the Employee Retirement Income Security Act of 1974 and who is a member of the Society of Actuaries of the American Academy of Actuaries. A partnership or corporation may be appointed actuary if the duties of the actuary are performed by or under the direct supervision of an enrolled actuary and the enrolled actuary signs and is responsible for all final documents submitted by the partnership or corporation. (5) Administrative manager: The board is empowered to employ or contract for the services of an 111 individual, firm, or corporation, to be known as the "administrative manager", who shall, under the direction of the board or any appropriate committee thereof, be ministerially responsible to: (a) Administer the office or offices of the retirement system and of the board; (b) Coordinate and administer the accounting, bookkeeping, and clerical services; ' (c) Provide for the coordination of actuarial services furnished by the actuary; (d) Prepare(in cooperation or appropriate with the consulting actuary or other advisors) reports and other documents to be prepared, filed or disseminated by or on behalf of the retirement system in accordance with law; (e) Perform such other duties and furnish such other services as may be assigned, delegated, or directed or as may be contracted by or on behalf of the board. (6) Other services: The board is authorized and empowered to employ such professional, medical, technical, or other advisors as are required for the proper administration of the retirement system.These services shall be obtained and the compensation for these services shall be determined in accordance with procedures established by the board in accordance with Chapter 185 of the Florida Statutes. 24 1 ' AGENDA ITEM #7B FEBRUARY 23,2004 the requirements of Chapter 185 of the Florida Statutes, and shall specifically include compliance with section 185.06 therein. (Ord. No. 58-99-26, § 2, 7-10-00) . Sec. 2-304. Same--Actuarial data; report to city commission. (a) The board shall keep or cause to be kept, in convenient form, such data as shall be recommended ' by its actuary and as required by state law(Chapters 112 & 185 F.S.) for the operation of the retirement system on a sound actuarial basis.The board shall keep or cause to be kept, in convenient form, such additional data as is required to properly report the operations of the system. (b) The board shall render all reports required by state (Chapter 185, F.S.) or federal law to appropriate agencies, with a copy to the city commission, on or before the first day of mil October of each year showing the fiscal transactions of the retirement system for the year ended the preceding thirtieth day of September, the assets of the retirement system as of the preceding thirtieth day of September, and a copy of the most recent actuarial report. (Ord.No. 58-99-26, § 2, 7-10-00) Sec. 2-305. Same--Composition. The board of trustees shall consist of five (5) trustees as follows: (1) Two (2), unless otherwise prohibited by law, shall be legal residents of the city, appointed by the ' city commission, who may serve as trustees of other city boards including the general employees retirement system provided herein; (2) Two (2) police officers to be elected by the active police officers who are members of the retirement system; ' (3) One (1) trustee to be selected by the other four(4) members of the board of trustees, and appointed as a ministerial act by the city commission. The elections provided for in subsection(2)of this section shall be held in accordance with such rules, as the board of trustees shall from time to time adopt. (Ord.No. 58-99-26, § 2, 7-10-00) ' Sec. 2-306. Same--Term of office; oath of office. The regular term of office of a member of the board of trustees shall be two(2)years for resident ' appointees, and two (2)years for elected representatives, unless they terminate employment, whereupon a new election will be held by the member of the plan to fill the unexpired term of their trustee representatives. The term of office for the trustee selected by the other four(4) members of the board ' shall be two(2)years. Each trustee shall, before assuming the duties of trustees,qualify by taking an oath of office to be administered by the city clerk, whereupon a trustee's term of office shall begin. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-307. Same--Vacancy; filling of vacancy. (a) A vacancy shall occur on the board of trustees if any member resigns or any employee representative ceases to be employed by the city. (b) If a vacancy occurs on the board of trustees, the vacancy shall be filled within ninety(90)days for the unexpired term, in the same manner as the position was previously filled. (Ord.No. 58-99-26, § 2, 7-10-00) ' 23 AGENDA ITEM#7B FEBRUARY 23, 2004 (Ord. No. 58-99-26, § 2. 7-10-00) Sec. 2-310. Membership. (a) All persons who are city police officers, and all persons who become city police officers, shall be members of the retirement system, except as provided in subsection (b) of this section. (b) The membership of the retirement system shall not include: (1) Any police officer who is employed in a position normally requiring less than one thousand(1,000) hours of work per annum; (2) The chief of the police department may opt not to become a member of the retirement system. Such option shall be made within sixty (60) days of appointment as police chief and shall be irrevocable; • (3) Police officer positions which are compensated on a basis not subject to the withholding ' of federal income taxes or FICA taxes by the city; (4) Temporary police officers; (5) Elected officials of the city. (c) An individual shall cease to be a member upon retirement, entry into DROP, termination of employment by the city, or upon ceasing to be employed in a position regularly requiring one thousand (1,000) or more hours or work in a year, or upon becoming employed in an excluded position. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.1. Credited service. Service rendered by a member of the retirement system shall be credited to the member's individual credited service account in accordance with rules the board of trustees shall from time to time prescribe • and in accordance with the applicable provisions of Chapters 185, Florida Statutes. In no case shall more than one(1)year of credited service be credited on account of all service rendered by a member in any one(1)period of twelve (12) consecutive calendar months. Service shall be credited to the nearest one- twelfth(1/12)of a year. Service shall be credited for the total number of years, and fractional parts of years, of service of the member. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.2. Loss of credited service. A retirement system member's credited service shall be forfeited and no longer in force if the member terminates city employment with less than five (5) years of credited service. (Ord. No. 58-99-26, § 2, 7-10-00) • Sec.2-310.3. Reinstatement of credited service. A member's forfeited credited service shall be restored to his/her individual service account if re- employment by the city and membership in the retirement system occurs within five (5)years from and after the date of separation from city employment that caused the forfeiture,provided that the member repays to the retirement system the contributions refunded under section 2-310.25(c)hereof, plus interest at the actuarially assumed rate, in accordance with terms established by the board of trustees. (Ord.No. 58-99-26, § 2, 7-10-00) 25 AGENDA ITEM#7B FEBRUARY 23,2004 1 Sec. 2-310.4. Military service credit. (a) A member of the retirement system who leaves or left city employment voluntarily or non- , voluntarily to enter any armed service of the United States during time of war, period of compulsory military service, or period of national emergency recognized by the city commission shall have required periods of active duty credited as city service subject to the following conditions: ' (1) The member is re-employed by the city as provided in the Uniformed Services Employment and Reemployment Rights Act(USERRA) after the date of termination of such active duty-, (2) In no case shall more than the years of service provided for in USERRA or within FS 185 be credited on account of all military service. (3) Notwithstanding any provision of this article to the contrary, contributions,benefits, and service credit with respect to qualified military service will be provided in accordance with USERRA, FS 185, and section 414(u) of the Internal Revenue Code. (b) The board of trustees shall determine the amount of service to be credited a member under the ' provisions of this section and USERRA. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.5. Voluntary retirement conditions; employment after retirement. (a) A member of the retirement system may retire upon satisfaction of each of the following ' requirements: (1) The member files written application for retirement with the board of trustees setting forth the date retirement is to be effective. (2) The member terminates all his/her city employment normally requiring one thousand (1,000) hours of work per annum on or before the date retirement is to be effective. (3) The member has met the age and service requirements for retirement specified in subsection(b). Upon retirement, a member shall be paid a pension computed according to the applicable subsections of section 2-310.10 or section 2-310.11. (b) The age and service requirements for voluntary retirement are: (1) Normal retirement: the member has attained the age of fifty (50) or older and has twenty (20) years or more of credited service in force; or the member has obtained the age of fifty-five (55) years and has ten (10) or more years of credited service in force; or the member at any age has twenty-five (25) years of credited service in force; or the member has attained the age of sixty (60) years, and has five (5)years of credited service in force. (2) Early retirement: the member has attained the age of fifty (50) or older and has ten (10) of more years of credited service in force,shall be eligible for an early retirement. (c) Employment after retirement: I (1) Any person who has retired as a member of this retirement system may be reemployed by the city in a sworn Police Officer position normally requiring less than one thousand(1000)hours 26 1 AGENDA ITEM#7B FEBRUARY 23,2004 (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310. Membership. (a) All persons who are city police officers, and all persons who become city police officers, shall be members of the retirement system, except as provided in subsection (b) of this section. (b) The membership of the retirement system shall not include: (1) Any police officer who is employed in a position normally requiring less than one thousand(1,000) hours of work per annum; (2) The chief of the police department may opt not to become a member of the retirement system. Such option shall be made within sixty(60) days of appointment as police chief and shall be irrevocable; (3) Police officer positions which are compensated on a basis not subject to the withholding of federal income taxes or FICA taxes by the city; (4) Temporary police officers; ' (5) Elected officials of the city. (c) An individual shall cease to be a member upon retirement, entry into DROP, termination of employment by the city, or upon ceasing to be employed in a position regularly requiring one thousand (1,000) or more hours or work in a year, or upon becoming employed in an excluded position. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.1. Credited service. ' Service rendered by a member of the retirement system shall be credited to the member's individual credited service account in accordance with rules the board of trustees shall from time to time prescribe and in accordance with the applicable provisions of Chapters 185, Florida Statutes. In no case shall more than one (1) year of credited service be credited on account of all service rendered by a member in any one (1)period of twelve (12) consecutive calendar months. Service shall be credited to the nearest one- twelfth(1/12)of a year. Service shall be credited for the total number of years, and fractional parts of years, of service of the member. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.2. Loss of credited service. A retirement system member's credited service shall be forfeited and no longer in force if the member terminates city employment with less than five (5) years of credited service. (Ord. No. 58-99-26, § 2, 7-10-00) ' Sec. 2-310.3. Reinstatement of credited service. A member's forfeited credited service shall be restored to his/her individual service account if re- employment by the city and membership in the retirement system occurs within five (5)years from and after the date of separation from city employment that caused the forfeiture,provided that the member repays to the retirement system the contributions refunded under section 2-310.25(c) hereof,plus interest at the actuarially assumed rate, in accordance with terms established by the board of trustees. ' (Ord. No. 58-99-26, § 2, 7-10-00) 25 AGENDA ITEM#7B FEBRUARY 23,2004 of work per annum or in a position not covered by this pension plan and receive retirement benefits from his/her previous employment and compensation from his/her reemployment. (2) Any person who has retired as a member of this retirement system and is subsequently reemployed by the city in any position normally requiring one thousand(1000) hours or more of work per annum in a position covered by this pension plan shall have his/her pension benefit suspended during the period of such reemployment and shall receive additional credited service from his/her reemployment. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.6. Normal retirement date and payment date. (a) The normal retirement date of each member shall be the first day of the month following the effective retirement of the member as indicated in the member's retirement application and as approved by the board of trustees. (b) The early retirement date of each member shall be the first day of the month following the ' effective retirement of the member as indicated in the member's retirement application and as approved by the board of trustees. (lac) The monthly retirement income payable in the event of normal or early retirement shall be payable on the first day of each month . -: . : . - - . . . (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.7. Deferred retirement upon separation from employment (vesting). (a) A member of the retirement system who terminates city employment prior to satisfying the requirements for voluntary retirement under section 2-310.5 for a reason other than retirement or death, who has not received a refund of his/her member contributions, and who has the applicable period of credited service specified in subsection (b) shall remain a member and be entitled to be paid a pension upon attaining the age and service requirements for voluntary retirement, as set forth in section 2-310.5. Upon attaining the age and service requirement for v oluntary retirement, the member shall be paid a pension computed according to the applicable subsections of section 2-310.510 as those subsections were in force at the time a member left city employment. Such benefit shall be paid as a standard benefit form (ten(10) year certain and life thereafter) as provided in section 2-310.11. (b) The credited service requirement for separation from city employment with entitlement to deferred retirement is five (5) years. Provided, that any member who attained five (5) or more years of service with the city and elected to leave his or her accrued contributions in the plan shall be entitled to a benefit under the provisions as set out in section 2-310.7(a) upon attaining normal retirement age. (c) A member of the retirement system who terminates city employment prior to satisfying the five (5) year requirement for deferred retirement under section 2-310.5 is entitled to a full refund of his/her contributions,plus interest as determined by the board of trustees. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.8. Disability retirement--General conditions for eligibility. (a) If a member, prior to his normal retirement date, becomes totally and permanently disabled as defined in subsection (b) by reason of any cause other than a cause set out in subsection (c) the member shall be eligible for disability retirement.The minimum benefit for any member disabled in the line of duty shall be forty-two (42) percent of the final average salary, regardless of years of credited service. The minimum benefit for any member disabled not in the line of duty who has eight and one third(8 1/3) years of credited service shall be twenty-five (25) percent of the final average salary. 27 AGENDA ITEM #7B FEBRUARY 23,2004 I (1) A permanent disability which is the result of or caused by tuberculosis, hepatitis, meningococcal meningitis, hypertension, heart disease, or hardening of the arteries shall be presumed to have been incurred in the line of duty unless the contrary is shown by competent evidence or unless a physical examination of the member conducted upon initial hiring by the city revealed the existence of such condition at that time, and provided that a member claiming disability due to tuberculosis or meningococcal meningitis provides the affidavit required by F.S. section 112.181(2). (b) A member will be considered disabled if, in the opinion of the board of trustees, the member is totally and permanently prevented from rendering useful and efficient service as a city police officer and will be considered permanently disabled if, in the opinion of the board of trustees, he is likely to remain so disabled continuously and permanently from a cause other than as specified in subsection (c). ' (c) A member will not be entitled to receive any disability retirement income if disability is as a result of: i (1) Excessive and habitual use by the employee of drugs, intoxicants, or narcotics; (2) Injury or disease sustained by the employee while willfully and illegally participating in fights, riots, or civil insurrections or while committing a crime; (3) Injury or disease sustained by the employee while serving in any armed forces; or , (4) Injury or disease sustained by the employee after his/her employment has terminated. (5) Injury or disease sustained by the police officer while working for anyone other than the city and arising out of such employment. (d) No member shall be permitted to retire under the provisions of this section until he/she is • examined by a duly qualified physician, surgeon, or other medical or psychological professional to be selected by the board of trustees for that purpose, and is found to be disabled in the degree and in the manner specified in this section.Any member retiring under this section may be examined periodically by a duly qualified physician,surgeon, or other medical or psychological professionals or board of physicians, surgeons, and other medical or psychological professionals to be selected by the board of trustees for that purpose, to determine if such disability has ceased to exist. If a member refuses to submit to such an examination, the member's disability pension shall be suspended until such time as the member submits to the examination. (e) The benefits payable to a member who retires from the service of the city with a total and permanent disability as a direct result of a disability commencing prior to his/her normal retirement date, is the greater of the monthly income computed according to the applicable subsections of section 2- 310.10 or the minimums established in section 2-310.8(a). Provided, that such benefits shall be paid in the standard form, (ten (10)year certain and life thereafter). (f) The monthly retirement income as computed in Section 2-310.10 to which a member is entitled in the event of his/her disability retirement shall be payable monthly after the board of trustees determine such entitlement retroactive to the date of application or the last day on payroll, whichever is later. If the member recovers from the disability prior to his normal retirement date, the last payment will be the payment due next preceding the date of such recovery. If the member dies without recovering from his disability or attains his/her normal retirement date while still disabled, the last payment will be the payment due next preceding his/her death. (g) If the board of trustees finds that a member who is receiving a disability retirement income is, at any time prior to his normal retirement date,no longer disabled, as provided herein, the board of trustees ' shall direct that the disability retirement income be discontinued. Recovery from disability as used herein 28 AGENDA ITEM#7B 1 FEBRUARY 23,2004 of work per annum or in a position not covered by this pension plan and receive retirement benefits from his/her previous employment and compensation from his/her reemployment. (2) Any person who has retired as a member of this retirement system and is subsequently reemployed by the city in any position normally requiring one thousand(1000) hours or more of work per annum in a position covered by this pension plan shall have his/her pension benefit suspended during the period of such reemployment and shall receive additional credited service ' from his/her reemployment. (Ord. No. 58-99-26, § 2, 7-10-00) ' Sec. 2-310.6. Normal retirement date and payment date. (a) The normal retirement date of each member shall be the first day of the month following the effective retirement of the member as indicated in the member's retirement application and as approved by the board of trustees. The early retirement date of each member shall be the first day of the month following the effective retirement of the member as indicated in the member's retirement application and as approved by the board of trustees. ' (bc) The monthly retirement income payable inthe event of normal or early retirement shall be payable on the first day of each month . -: . - (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.7. Deferred retirement upon separation from employment (vesting). ' (a) A member of the retirement system who terminates city employment prior to satisfying the requirements for voluntary retirement under section 2-310.5 for a reason other than retirement or death, who has not received a refund of his/her member contributions, and who has the applicable period of credited service specified in subsection (b) shall remain a member and be entitled to be paid a pension ' upon attaining the age and service requirements for voluntary retirement, as set forth in section 2-310.5. Upon attaining the age and service requirement for voluntary retirement, the member shall be paid a pension computed according to the applicable subsections of section 2-310.510 as those subsections were in force at the time a member left city employment. Such benefit shall be paid as a standard benefit form (ten (10) year certain and life thereafter) as provided in section 2-310.11. (b) The credited service requirement for separation from city employment with entitlement to deferred retirement is five (5) years. Provided, that any member who attained five (5) or more years of service with the city and elected to leave his or her accrued contributions in the plan shall be entitled to a benefit under the provisions as set out in section 2-310.7(a)upon attaining normal retirement age. (c) A member of the retirement system who terminates city employment prior to satisfying the five (5)year requirement for deferred retirement under section 2-310.5 is entitled to a full refund of his/her contributions,plus interest as determined by the board of trustees. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.8. Disability retirement--General conditions for eligibility. (a) If a member, prior to his normal retirement date, becomes totally and permanently disabled as defined in subsection (b) by reason of any cause other than a cause set out in subsection (c) the member shall be eligible for disability retirement.The minimum benefit for any member disabled in the line of duty shall be forty-two (42) percent of the final average salary, regardless of years of credited service. The minimum benefit for any member disabled not in the line of duty who has eight and one third(8 1/3) years of credited service shall be twenty-five (25)percent of the final average salary. 27 AGENDA ITEM #7B FEBRUARY 23, 2004 means the ability of the member to render useful and efficient service as a police officer employee of the city, regardless of whether the member is re-employed by the city. (h) If the member recovers from disability and reenters the service of the city as a police officer employee, his/her service will be deemed to have been continuous, but the period beginning with the first month for which he/she received disability retirement income payment and ending with the date he/she reentered the city service will not be considered as credited service for the purpose of the system. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.9. Same--Continuation subject to re-examination; return to employment. (a) The board of trustees may require a disability retirant to undergo periodic medical or psychological examination if the disability retirant has not attained age sixty (60) his or her normal retirement eligibility date. (b) If a disability retirant refuses to submit to a medical or psychological examination, payment of the disability pension may be suspended by the board of trustees until the retirant submits to the examination. ' (c) A disability retirant who has been restored to employment with the city as provided in subsection 2 280.310.8(h) shall again become a member of the retirement system. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.10. Calculation of pension benefit. (a) Normal retirement benefit. Subject to section 2-310.14, the amount of level straight life pension shall be equal to the retiring member's credited service multiplied by three (3) percent of the retiring member's final average compensation. (b) Early retirement benefit. The amount of an early retirement benefit shall be calculated as provided in subsection 2-310.10(a) above taking into account credited service to the date of actual retirement and final average compensation as of such date. Such amount of retirement income shall be actuarially reduced to take into account the participant's younger age and earlier commencement of retirement income payments. In no event shall the early retirement reduction exceed three (3) percent for each year by which the member's age at retirement preceded the member's normal retirement age. (1)}(c) Cost-of-living adjustment. All retirement system members and beneficiaries who retired prior to January 1, 1997, shall receive a one-time cost-of-living adjustment, which shall be in an amount equal to three (3) percent of the benefits paid to such retired members and beneficiaries during the immediately preceding month. Effective October 2001, all retirement system members and beneficiaries who retired prior to January 1, 2001, shall receive a one-time cost-of-living adjustment, which shall be in an amount equal to five(5) percent of the benefits paid to such retired members and beneficiaries during the immediately preceding month. (Ord. No. 58-99-26, § 2, 7-10-00; Ord.No. 58-01-28, § 2, 10-8-01) Sec. 2-310.11. Optional forms of pension payment. A member of the retirement plan may elect to be paid under one (1) of the following optional forms of payment in lieu of the standard normal or early retirement benefit form of payment. The election must be made in writing and filed with the board of trustees prior to the date retirement is effective. Unless otherwise elected, the standard normal benefit form shall be "Option A" below. Payment will be made under the standard normal retirement benefit form if a timely election of an optional form of payment is not made. The amount of pension under any option shall be the actuarial equivalent of the amount of pension under the standard normal retirement benefit form payment. 29 AGENDA ITEM#7B FEBRUARY 23,201 (1) Option Ten (10) years certain and retirant's life thereafter: Under Option A, a retirant P A; P shall be paid a pension for life, however • -- - • . .•- . • - - -. --.---•- - - - - -. - . :; - - - - - -- - - - - - -- - in the event the retirant dies after retirement but before receiving retirement benefits for a period of ten (10) years,the same monthly b enefit w ill b e p aid for the balance o f such ten y ear p eriod.B enefit payments shall be made to the retirant's designated beneficiary or estate for such period. (2) Option B; Modified joint survivor pension: Under Option B, a retirant shall be paid a reduced pension for life with the provision that upon the retirant's death,a benefit as designated by the retirant of either, one hundred(100),seventy-five (75), sixty-six and two thirds(66 2/3)or fifty(50)percent of the reduced pension benefit shall be continued throughout the future lifetime of and paid to such person as the retirant shall have specified by written designation duly . II ' executed and field with the board of trustees at the time of election of the optional form of payment. (3) Option C; Retirant's life only: Under Option C, a retirant shall be paid a pension for his or her life only. All monthly payments shall cease on the death of the retirant. LeD Option GD; Social security coordinated pension: Under Option 62, a retirant shall be paid an increased.pension to attainment of the age when the retirant is eligible to receive regular social security retirement benefits, and a reduced pension thereafter. The increased pension paid to attainment of regular social security retirement age shall approximate the sum of the reduced pension payable thereafter plus the retirant's estimated social security primary insurance amount. (45) Other benefit form.Any other actuarially equivalent form of benefit requested by a member and approved, in their sole discretion,by the board of trustees. (Ord.No. 58-99-26, § 2, 7-10-00) (6) A Deferred-Retirement Option Program (DROP),shall be established and administered ' by the Board of Trustees of the City of Atlantic Beach Police Officers' Retirement System. Such DROP shall be a self-directed program. A Police Officer Employee may enter the DROP as set forth herein. (a) Eligibility. A participant of the City of Atlantic Beach Police Officers' Retirement System may enter into the DROP on the first day of the month following the attainment of age and service retirement requirements provided in the City of Atlantic Beach Code section 2-310.5(b). Participants who attained eligibility prior to the enactment of the DROP shall be afforded the option of participating immediately. (b) Written Election. A participant electing to participate in the DROP must complete and execute the proper forms,which shall be supplied by the Board of Trustees. Election into the DROP is irrevocable once a participant enters the DROP. (c) Limitation/Disqualification for Other Benefits. A participant may participate in the DROP only once. After commencement of ' participation in the DROP,the employee shall no longer earn or accrue additional vesting credits toward retirement benefits and shall not be eligible for disability or pre-retirement death benefits in the City of Atlantic Beach Police Officers' Retirement System. ' 30 AGENDA ITEM#7B FEBRUARY 23,2004 means the ability of the member to render useful and efficient service as a police officer employee of the city, regardless of whether the member is re-employed by the city. (h) If the member recovers from disability and reenters the service of the city as a police officer ' employee, his/her service will be deemed to have been continuous, but the period beginning with the first month for which he/she received disability retirement income payment and ending with the date he/she reentered the city service will not be considered as credited service for the purpose of the system. ' (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.9. Same--Continuation subject to re-examination; return to employment. (a) The board of trustees may require a disability retirant to undergo periodic medical or psychological examination if the disability retirant has not attained age sixty (60) his or her normal ' retirement eligibility date. (b) If a disability retirant refuses to submit to a medical or psychological examination, payment of the disability pension may be suspended by the board of trustees until the retirant submits to the examination. ' (c) A disability retirant who has been restored to employment with the city as provided in subsection 2 280.310.8(h) shall again become a member of the retirement system. ' (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.10. Calculation of pension benefit. (a) Normal retirement benefit. Subject to section 2-310.14, the amount of level straight life pension shall be equal to the retiring member's credited service multiplied by three (3) percent of the retiring ' member's final average compensation. (b) Early retirement benefit. The amount of an early retirement benefit shall be calculated as provided in subsection 2-310.10(a) above taking into account credited service to the date of actual retirement and final average compensation as of such date. Such amount of retirement income shall be actuarially reduced to take into account the participant's younger age and earlier commencement of retirement income payments. In no event shall the early retirement reduction exceed three (3)percent for ' each year by which the member's age at retirement preceded the member's normal retirement age. (b)(c) Cost-of-living adjustment. All retirement system members and beneficiaries who retired prior to January 1, 1997, shall receive a one-time cost-of-living adjustment, which shall be in an amount equal to three (3)percent of the benefits paid to such retired members and beneficiaries during the immediately preceding month. Effective October 2001, all retirement system members and beneficiaries who retired ' prior to January 1, 2001, shall receive a one-time cost-of-living adjustment, which shall be in an amount equal to five (5) percent of the benefits paid to such retired members and beneficiaries during the immediately preceding month. ' (Ord.No. 58-99-26, § 2, 7-10-00; Ord.No. 58-01-28, § 2, 10-8-01) Sec. 2-310.11. Optional forms of pension payment. A member of the retirement plan may elect to be paid under one (1) of the following optional forms of payment in lieu of the standard normal or early retirement benefit form of payment. The election must be made in writing and filed with the board of trustees prior to the date retirement is effective. Unless ' otherwise elected, the standard normal benefit form shall be "Option A" below. Payment will be made under the standard normal retirement benefit form if a timely election of an optional form of payment is not made. The amount of pension under any option shall be the actuarial equivalent of the amount of pension under the standard normal retirement benefit form payment. 29 AGENDA ITEM#7B FEBRUARY 23,2004 (d) Cessation or Reduction of Contributions. Upon the effective date of a participant's commencement of participation in the DROP.the participant's contributions to the City of Atlantic Beach Police Officers' Retirement System shall be discontinued. (e) Benefit Calculation. For all City of Atlantic Beach Police Officers' Retirement System purposes, the service and vesting credits of a participant participating in the DROP shall remain as they existed on the effective date of commencement of participation in the DROP. This shall include current and future Cost of Living Adjustments (COLA) as provided in the City of Atlantic Beach Code of Ordinances. The participant shall not earn or be credited with any additional vesting credits after beginning DROP participation. Service thereafter shall not be recognized by the City of Atlantic Beach Police Officers' Retirement System or used for the calculation or determination of any benefits payable by such Retirement System. The final average compensation of the participant shall remain as it existed on the effective date of commencement of participation in the DROP. Payment for unused Compensatory Time shall be made when the participant enters the DROP and shall be utilized in determining the final average compensation. Payment for accrued unused leave (vacation, holiday, etc.) shall be made when the participant actually terminates employment with the City. Earnings thereafter shall not be recognized by the Retirement System or used for the calculation or determination of any benefits payable by the Retirement System. (f) Payments to DROP Account. The monthly retirement benefits, including any future cost of living increases,that would have been payable had the participant elected to cease employment and receive a normal retirement benefit shall be deposited into the participant's DROP account. (g) DROP Account Earnings. Earnings of each DROP account shall be in accordance with the self-directed options selected by the participant and shall continue for up to sixty (60) months at which time all deposits to the participant's account shall cease. Neither the City, the Retirement System nor the system's Board of Trustees shall have any responsibility or liability for any of the self-directed options selected by the participant. (h) Maximum Participation. A participant may participate in the DROP for a maximum of sixty (60) months. At the conclusion of the sixty (60) months, the participant's DROP account deposits shall cease. The participant may terminate DROP participation by terminating from covered city employment on a date prior to sixty (60) months from the date the participant entered the DROP. A participant that elects to participate in the DROP may participate for a maximum of sixty (60) months. At the conclusion of the maximum time period,the participant's covered city employment must terminate pursuant to the resignation submitted by the participant as part of the DROP application.The participant may terminate DROP participation by terminating from covered city employment on a date prior to sixty(60) months from the date the participant entered the DROP. (i) Expenses. 31 AGENDA ITEM#7B FEBRUARY 23,2004 All administrative fees charged for the administration and operation of the participant's DROP account shall be in accordance with the self-directed options selected by the participant. ' (i) Payout. (i) Upon the termination of a participant's covered City employment(for any reason, whether by retirement, resignation, discharge or death),the retirement benefits payable to the participant or to the participant's designated beneficiary shall be paid to the participant, the participant's designated beneficiary or the participant's estate and shall no longer be deposited into the participant's DROP account. (ii) Within thirty days after the end of any calendar quarter following the termination of a participant's employment,the balance in the participant's DROP account shall be payable in accordance with the self-directed options selected by the participant. Regardless of the option selected by the participant,the Board of Trustees has the right to accelerate payments in order to comply with Section 401(A)(9)of the Internal Revenue Code and the right to defer payments to comply with Section 415 of the Internal Revenue Code. (k) Death. If a DROP participant dies before the account balance is paid out in full,the participant's designated beneficiary shall have the same rights as the participant to elect and receive the pay-out options set forth in paragraph i above.DROP payments to a beneficiary shall be in addition to any retirement death benefit payable to the participant.Participants who are or have been DROP participants are not eligible for pre-retirement death or disability benefits. (1) Forms. The forms and notices for use in administering the DROP shall he approved by the Board of trustees. (m) Amendments. The City Commission may amend the DROP at any time. Such amendments shall be consistent with the provisions covering deferred retirement option plans set forth in any applicable collective bargaining agreement and shall be binding upon all future DROP participants and upon all DROP participant's who have balances in their accounts.Such t amendments may increase the expense,decrease the account earnings,or limit or restrict the payout options. Sec.2-310.12. Death while in city employment; elective survivor pension. (a) Each member may,on a form provided for that purpose, signed and filed with the board of trustees,designate a beneficiary(or beneficiaries)to receive the benefit, if any,which may be payable in the event of his/her death,and each designation may be revoked by such member by signing and filing with the board of trustees a new designation of beneficiary form. (b) Upon the death of a member who has a valid designation-of-beneficiary in force, the beneficiary, if living,shall be paid a pension benefit computed according to section 2-310.10 in the same manner in all respects as if the member had elected Option B at the one hundred(100)percent level provided in Section 2-310.11 and retired the day preceding his/her death, notwithstanding that the m ember may not have 32 ' AGENDA ITEM#7B FEBRUARY 23,2004 (d) Cessation or Reduction of Contributions. SUpon the effective date of a participant's commencement of participation in the DROP,the participant's contributions to the City of Atlantic Beach Police Officers' Retirement System shall be discontinued. (e) Benefit Calculation. ' For all City of Atlantic Beach Police Officers' Retirement System purposes, the service and vesting credits of a participant participating in the DROP shall remain as they existed on ' the effective date of commencement of participation in the DROP. This shall include current and future Cost of Living Adjustments (COLA) as provided in the City of Atlantic Beach Code of Ordinances. The participant shall not earn or be credited with any 1 additional vesting credits after beginning DROP participation. Service thereafter shall not be recognized by the City of Atlantic Beach Police Officers' Retirement System or used for the calculation or determination of any benefits payable by such Retirement System. The final average compensation of the participant shall remain as it existed on the effective date ' of commencement of participation in the DROP. Payment for unused Compensatory Time shall be made when the participant enters the DROP and shall be utilized in determining the final average compensation. Payment for accrued unused leave (vacation, holiday, etc.) ' shall be made when the participant actually terminates employment with the City. Earnings thereafter shall not be recognized by the Retirement System or used for the calculation or determination of any benefits payable by the Retirement System. (f) Payments to DROP Account. The monthly retirement benefits,including any future ' cost of living increases,that would have been payable had the participant elected to cease employment and receive a normal retirement benefit shall be deposited into the participant's DROP account. ' (g) DROP Account Earnings. ' Earnings of each DROP account shall be in accordance with the self-directed options selected by the participant and shall continue for up to sixty (60) months at which time all deposits to the participant's account shall cease. Neither the City, the Retirement System nor the system's Board of Trustees shall have any responsibility or liability for any of the self-directed options selected by the participant. (h) Maximum Participation. ' A participant may participate in the DROP for a maximum of sixty (60) months. At the conclusion of the sixty (60) months, the participant's DROP account deposits shall cease. The participant may terminate DROP participation by terminating from covered city employment on a date prior to sixty (60) months from the date the participant entered the DROP. ' A participant that elects to participate in the DROP may participate for a maximum of sixty (60) months. At the conclusion of the maximum time period,the participant's covered city employment must terminate pursuant to the resignation submitted by the participant as ' part of the DROP application.The participant may terminate DROP participation by terminating from covered city employment on a date prior to sixty(60) months from the date the participant entered the DROP. ' (i) Expenses. ' 31 AGENDA ITEM#7B FEBRUARY 23,2004 satisfied the conditions for retirement. Provided, that if the member had at least five (5) years of credited service at the time of death, his or her beneficiary shall be entitled to all benefits otherwise payable to the member at early or normal retirement age paid in the standard benefit form (ten (10)year certain and life thereafter). Upon a member's retirement, entry into DROP, resignation, or termination as a city employee, eligibility for the death benefit payable under section 2-310.10 will automatically terminate. (c) If a member failed to name a beneficiary in the manner prescribed in subsection(a)above, or if the beneficiary(or beneficiaries) named by a deceased member predeceases the member, the death benefit, if any, which may be payable under the plan with respect to such deceased member, shall be paid by the board of trustees to the estate of such member, provided that in any of such cases the board of trustees, in its discretion,may direct that the commuted value of the remaining monthly income payments be paid in a lump sum. Any payment made to any person pursuant to this subsection shall operate as a complete discharge of all obligations under the plan with regard to such deceased member and shall not be subject to a review by anyone,but shall be final, binding, and conclusive on all persons ever interested hereunder. Notwithstanding any other provision of law to the contrary, the surviving spouse of any member killed in the line of duty shall not lose survivor retirement benefits if the spouse remarries. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.13. Alternate death while in city employment; pension to spouse and/or children. • (a) The applicable benefits provided in subsections(b) and(c)of this subsection or, if the member designated the member's spouse or children, as set forth below,the benefits provided in section 2-310.12, whichever are greater,shall be paid if a member of the retirement system has five(5) or more years of credited service and dies while in the employ of the city.The provisions of this section shall not apply in the case.of death of a member who has a valid designation of beneficiary, other than the member's spouse or children as set forth below, in force pursuant to section 2-310.132. (b) The person to whom the deceased member was married at the time of death shall be paid a pension equal to seventy-five(75)percent of the amount of Option AC-Retirant's life only pension computed according to the applicable subsection of section 2-310.11,based on the deceased member's fmal average compensation and credited service. A surviving spouse's pension shall terminate upon death. (c) The deceased member's unmarried children under the age of nineteen(19)years,or twenty-three (23)years if enrolled full-time as a student in an educational institution, shall each be paid an equal share of a retirant's life only pension benefit computed according to the applicable subsection of section 2- 310.11,based on the deceased member's final average compensation and credited service.The percent shall be zero(0)percent during periods a pension is being paid in accordance with the provisions of subsection(b); fifty(50)percent during periods a pension is not being paid in accordance with the provisions of subsection(b). A surviving child's pension shall terminate upon attainment of age nineteen(19)years or,if over nineteen (19)years but less than twenty-three(23)years,upon no longer being enrolled as a full-time student in an educational institution, marriage, or death,and the pension of each remaining eligible child shall be recomputed. • (Ord.No. 58-99-26, § 2, 7-10-00) Sec. 2-310.14. Maximum amount of pension. (a) The normal retirement pension payable to a member of the retirement plan who has not previously participated in such system, on or after January 1, 1980,shall not exceed one hundred(100) percent of his/her final average compensation. However,nothing contained in this section shall apply to supplemental retirement benefits or to pension increases attributable to cost-of-living increases or adjustments. 33 AGENDA ITEM#7B FEBRUARY 23,2001 (b) No member of the system covered by this article who is not now a member of such system shall be allowed to receive a retirement pension which is, in part or in whole, based upon any service with respect to which the member is already receiving, or will receive in the future, a retirement pension from another retirement system or plan; provided that this restriction does not apply to social security benefits or federal benefits under Chapter 67,Title 10, U.S. Code. ' (c) In no event may a member's annual benefit exceed the lesser of: (1) Any limits (adjusted for cost of living) in accordance with section 415(d) of the Internal Revenue Code, but only for the year in which such adjustment is effective); or (2) Notwithstanding the provisions of paragraph(a) and (b) above, the annual benefit payable to a member having at least fifteen (15) years of service shall not be less than the annually adjusted amount provided in the provisions of IRC Section 415(d). (3) Compensation in excess of limitations set forth in Section 401(a)(17) of the Internal Revenue Code shall be disregarded.The limitation on compensation for an "eligible employee" shall not be less than the amount, which was allowed to be taken into account hereunder as in effect on July 1, 1993. "Eligible employee" is an individual who was a member before the first plan year beginning after December 31, 1995. (4) If the member has less than ten (10)years of service with the employer(as defined in Section 415(b)(5) of the Internal Revenue Code and as modified by Section 415(b)(6)(D) of the Internal Revenue Code), the applicable limitation in subsection(1) or subsection (2) of this subsection shall be reduced by multiplying such limitation by a fraction, not to exceed one (1). The numerator of such fraction shall be the number of years, or part thereof, of service with the employer; the denominator shall be ten(10) years. For purposes of this subsection, annual benefit means a benefit payable annually in the form of a straight-line annuity with no ancillary or incidental benefits and with no member or rollover contributions.To the extent that ancillary benefits are provided, the limits set forth in subsections (1) and(2) of this subsection will be reduced actuarially, using an interest rate assumption equal to the greater of five (5)percent or the interest rate used in the most recent annual actuarial valuation, to reflect such ancillary benefits. If distribution of retirement benefits begins before age sixty-two (62), the dollar limitation as described in subsection(1)of this subsection shall be reduced actuarially using an interest rate assumption equal to the greater of five (5)percent or the interest rate used in the most recent annual actuarial valuation; however,retirement benefits shall not be reduced below seventy-five thousand dollars ($75,000.00) if payment of benefits begins at or after age fifty-five (55). If retirement benefits begin after age sixty-five (65), the dollar limitation of subsection (1)of this subsection shall be increased actuarially using an interest assumption equal to the lesser of five (5)percent or the interest rate used in the most recent annual actuarial valuation. For purposes of this subsection, average annual compensation for a member's three (3) highest paid consecutive years means the member's greatest aggregate compensation during the period of three(3) consecutive years in which the individual was an active member of the plan.The special maximum retirement income limitation applicable to police officers at the normal retirement date shall be as set forth in Section 415(g) and(h) of the Internal Revenue Code of 1986 and amendments thereto and such amount shall be adjusted in accordance with regulations promulgated by the secretary of the treasury or his/her delegate. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.15. Subrogation rights. ' If a member of the retirement system, retirant, or beneficiary becomes entitled to a pension as the result of an accident or injury caused by the act of a third party, the retirement system shall be subrogated to the I 34 ' AGENDA ITEM#7B ' FEBRUARY 23,2004 satisfied the conditions for retirement. Provided, that if the member had at least five (5)years of credited ' service at the time of death, his or her beneficiary shall be entitled to all benefits otherwise payable to the member at early or normal retirement age paid in the standard benefit form (ten(10)year certain and life thereafter). Upon a member's retirement, entry into DROP, resignation, or termination as a city employee, ' eligibility for the death benefit payable under section 2-310.10 will automatically terminate. (c) If a member failed to name a beneficiary in the manner prescribed in subsection(a)above, or if ' the beneficiary(or beneficiaries)named by a deceased member predeceases the member,the death benefit, if any, which may be payable under the plan with respect to such deceased member, shall be paid by the board of trustees to the estate of such member, provided that in any of such cases the board of ' trustees, in its discretion,may direct that the commuted value of the remaining monthly income payments be paid in a lump sum. Any payment made to any person pursuant to this subsection shall operate as a complete discharge of all obligations under the plan with regard to such deceased member and shall not be subject to a review by anyone,but shall be final,binding, and conclusive on all persons ever interested hereunder. Notwithstanding any other provision of law to the contrary, the surviving spouse of any member killed in the line of duty shall not lose survivor retirement benefits if the spouse remarries. (Ord.No. 58-99-26, § 2, 7-10-00) ' Sec. 2-310.13. Alternate death while in city employment; pension to spouse and/or children. ' (a) The applicable benefits provided in subsections(b)and(c)of this subsection or,if the member designated the member's spouse or children,as set forth below,the benefits provided in section 2-310.12, whichever are greater,shall be paid if a member of the retirement system has five(5)or more years of ' credited service and dies while in the employ of the city.The provisions of this section shall not apply in the case of death of a member who has a valid designation of beneficiary, other than the member's spouse or children as set forth below, in force pursuant to section 2-310.13.2. (b) The person to whom the deceased member was married at the time of death shall be paid a pension equal to seventy-five(75)percent of the amount of Option AC-Retirant's life only pension computed according to the applicable subsection of section 2-310.11,based on the deceased member's final average compensation and credited service. A surviving spouse's pension shall terminate upon death. t (c) The deceased member's unmarried children under the age of nineteen(19)years,or twenty-three (23)years if enrolled full-time as a student in an educational institution,shall each be paid an equal share ' of a retirant's life only pension benefit computed according to the applicable subsection of section 2- 310.11,based on the deceased member's final average compensation and credited service.The percent shall be zero(0)percent during periods a pension is being paid in accordance with the provisions of ' subsection(b); fifty(50)percent during periods a pension is not being paid in accordance with the provisions of subsection(b). A surviving child's pension shall terminate upon attainment of age nineteen(19)years or,if over nineteen ' (19)years but less than twenty-three(23)years,upon no longer being enrolled as a full-time student in an educational institution,marriage, or death,and the pension of each remaining eligible child shall be recomputed. ' (Ord.No. 58-99-26, § 2,7-10-00) Sec. 2-310.14. Maximum amount of pension. (a) The normal retirement pension payable to a member of the retirement plan who has not previously participated in such system, on or after January 1, 1980,shall not exceed one hundred(100) percent of his/her final average compensation.However,nothing contained in this section shall apply to supplemental retirement benefits or to pension increases attributable to cost-of-living increases or adjustments. ' 33 AGENDA ITEM #7B FEBRUARY 23, 2004 rights of such member, retirant or beneficiary against such third party to the extent of pensions which the retirement system pays or becomes liable to pay on account of such accident or injury. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.16. City contribution. (a) The plan shall be funded by contributions from member contributions, as provided in section 2- 310.27, state funding provided for in F.S. § 185.08, contributions from the city, and other income sources as authorized by law. (b) State funding shall be provided from premium taxes collected and disbursed pursuant to F.S. § 185.08, which moneys shall be deposited in the fund within five (5) calendar days of receipt be the city with the understanding that these premium tax revenues shall be deposited into and become an integral part of this fund and may not be used for any other purpose. (c) City contributions shall be made to the plan, on at least a quarterly basis, in an amount which, together with the member contributions provided for in section 2-310.27 and the state premium taxes funding provided for in subsection (b) and other income sources as authorized by law, sufficient to meet the normal cost of the plan and to fund the actuarial deficiency over a period of not more than thirty (30) years, as determined by the Florida Statutes required annual actuarial valuation. Such contributions shall be computed as level percents of member payroll in accordance with generally accepted actuarial principles on the basis of such rates of interest and tables of experience as the board of trustees.shall from time to time adopt.The board shall annually certify to the city the contributions determined according to this section, and the city shall appropriate and pay to the retirement system, the contributions so certified. (d) All benefits and expenses shall be paid in accordance with the provisions of this pension plan and consistent with Florida Statutes and the Internal Revenue Code. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.17. Investment of retirement system assets. The board of trustees shall be the trustee of the monies and assets of the retirement system.The board shall have full power and authority, in their sole discretion;to invest and reinvest such funds as are not necessary for current expenditures or liquid reserves, as they may from time to time determine.The trustees may sell, exchange or otherwise dispose of such investments at any time.The trustees shall have the authority, in respect to any stocks, bonds,or other property, real or personal,held by them as trustees, to exercise all such rights, powers and privileges as might be lawfully exercised by any person owning similar stocks, bonds, or other property in his own right.The trustees are authorized to invest in those stocks, bonds, and other securities permitted by the investment policies or guidelines adopted by the trustees in compliance with all requirements and limitations of Chapter 185, of the Florida Statutes. (a) Delegation and allocation of investment functions. (1) The trustees shall have the power and authority to appoint one (1) or more investment managers who shall be responsible for the management, acquisition, disposition, investing, and reinvesting of such of the assets of the trust fund as the trustees shall specify. Any such appointment may be terminated by the trustees upon written notice.The fees of such investment manager shall be paid out of the trust fund.The trustees shall require that the investment manager acknowledge in writing that it is a named fiduciary with respect to the plan. (2) In connection with any allocation or delegation of investment functions under this section, the trustees shall, from time to time, adopt appropriate investment policies or guidelines that comply with all requirements and limitations of Chapter 185 of the Florida Statutes. 35 AGENDA ITEM#7B FEBRUARY 23,2004 I (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.18. Expenses. The expenses of administering the retirement system, including the premiums for fiduciary liability and waiver of recourse insurance covering the board of trustees and the retirement system, shall be paid by the Plan city. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.19. Method of making payments. All payments under this division shall be made according to the provisions of the city charter and city ordinances governing the disbursement of city monies. No payment shall be made that has not been authorized by . • . - • -•-_ . • the board of trustees. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.20. Assignments prohibited. (a) Generally.The right of a person to a pension, disability, death, or survivor benefit, and any other right accrued or accruing to any person under the provisions of this division and any monies in assets belonging to the retirement system, shall not be subject to execution, garnishment, attachment, the operation of bankruptcy or insolvency law, or any other process of law whatsoever, and shall be , unassignable except as is specifically provided in this division. If a member is covered under a group insurance or prepayment plan participated in by the city, and should the member or his/her beneficiary be permitted to and elect to continue the coverage as a retirant or beneficiary, the member or beneficiary may authorize the board of trustees to deduct required payments to continue coverage under the group insurance or prepayment plan.The city shall have the right of set off for any claim arising from embezzlement by or fraud of a member, retirant, or beneficiary in addition to any other remedies, including forfeiture of benefits,provided by law. (b) Direct transfers of eligible rollover distributions.This subsection applies to distributions made on or after October 1, 1993. Notwithstanding any provision of the plan to the contrary that would otherwise limit a distributee's election under this section, a distributee may elect, at the time and in the manner prescribed by the board of trustees, to have any portion of an eligible rollover distribution paid directly to an eligible retirement plan specified by the distributee in a direct rollover. (1) "Eligible rollover distribution" means any distribution of all or.any portion of the balance to the credit of the distributee,except that an eligible rollover distribution does not include any distribution that is one (1) of a series of substantially equal periodic payments (not less frequently than annually)made for the life (or life expectancy) of the distributee or the joint lives (or joint life expectancies) of the distributee and the distributee's designated beneficiary or for a specified period of ten(10)years or more; any distribution to the extent such distribution is required under Section 401(a)(9) of the Internal Revenue Code; and the portion of any distribution that is not includable in gross income (determined without regard to the exclusion for net unrealized appreciation with respect to employer securities). , (2) "Eligible retirement" means an individual retirement account described in Section 408(a)of the Internal Revenue Code, an individual retirement annuity described in Section 408(b)of the Internal Revenue Code, an annuity plan described in Section 403(a) of the Internal Revenue Code, or a qualified trust described in Section 401(a) of the Internal Revenue Code, that accepts the distributee's eligible rollover distribution. However, in the case of an eligible rollover distribution to the surviving spouse, an eligible retirement plan is an individual retirement account or individual retirement annuity. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.21. Errors. 36 AGENDA ITEM #7B FEBRUARY 23,2004 rights of such member, retirant or beneficiary against such third party to the extent of pensions which the ' retirement system pays or becomes liable to pay on account of such accident or injury. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.16. City contribution. (a) The plan shall be funded by contributions from member contributions, as provided in section 2- 310.27, state funding provided for in F.S. § 185.08,contributions from the city, and other income sources as authorized by law. ' (b) State funding shall be provided from premium taxes collected and disbursed pursuant to F.S. § 185.08, which moneys shall be deposited in the fund within five (5) calendar days of receipt be the city with the understanding that these premium tax revenues shall be deposited into and become an integral part of this fund and may not be used for any other purpose. (c) City contributions shall be made to the plan, on at least a quarterly basis, in an amount which, together with the member contributions provided for in section 2-310.27 and the state premium taxes funding provided for in subsection (b) and other income sources as authorized by law, sufficient to meet the normal cost of the plan and to fund the actuarial deficiency over a period of not more than thirty (30) years, as determined by the Florida Statutes required aa-l-actuarial valuation. Such contributions shall be computed as level percents of member payroll in accordance with generally accepted actuarial principles on the basis of such rates of interest and tables of experience as the board of trustees shall from time to time adopt.The board shall annually certify to the city the contributions determined according to this section, and the city shall appropriate and pay to the retirement system, the contributions so certified. (d) All benefits and expenses shall be paid in accordance with the provisions of this pension plan and consistent with Florida Statutes and the Internal Revenue Code. I (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.17. Investment of retirement system assets. ' The board of trustees shall be the trustee of the monies and assets of the retirement system. The board shall have full power and authority, in their sole discretion, to invest and reinvest such funds as are not necessary for current expenditures or liquid reserves, as they may from time to time determine. The trustees may sell, exchange or otherwise dispose of such investments at any time. The trustees shall have the authority, in respect to any stocks,bonds,or other property, real or personal,held by them as trustees, to exercise all such rights,powers and privileges as might be lawfully exercised by any person owning similar stocks, bonds, or other property in his own right.The trustees are authorized to invest in those stocks,bonds, and other securities permitted by the investment policies or guidelines adopted by the trustees in compliance with all requirements and limitations of Chapter 185, of the Florida Statutes. (a) Delegation and allocation of investment functions. ' (1) The trustees shall have the power and authority to appoint one (1)or more investment managers who shall be responsible for the management, acquisition, disposition, investing, and reinvesting of such of the assets of the trust fund as the trustees shall specify. Any such appointment may be terminated by the trustees upon written notice.The fees of such investment I manager shall be paid out of the trust fund.The trustees shall require that the investment manager acknowledge in writing that it is a named fiduciary with respect to the plan. I I (2) In connection with any allocation or delegation of investment functions under this section, the trustees shall, from time to time, adopt appropriate investment policies or guidelines that comply with all requirements and limitations of Chapter 185 of the Florida Statutes. ' 35 AGENDA ITEM #7B FEBRUARY 23,2004 Should the board of trustees determine that any member, retirant, or beneficiary is being paid from the retirement system more or less than is correct, the board of trustees shall correct the error and, as far as practicable, shall adjust the payment in such manner that the actuarial equivalent of the benefit to which the member, retirant, or beneficiary was correctly entitled shall be paid. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.22. Protection against fraud; forfeiture. (a) Whoever willfully and knowingly makes, or causes to be made, or assists, conspires with, or urges another to make, or causes to be made, any false, fraudulent, or misleading oral or written statement, or withholds or conceals material information with the intent to obtain any benefit available under this retirement system shall be in violation of section 185.185 of the Florida Statutes. Any member convicted of such violation may, in the discretion of the board of trustees, be required to forfeit the right to receive any or all benefits he/she may be otherwise be entitled to under this retirement system. For purposes of this subsection, "conviction" shall mean a determination of guilt that is the result of a plea or trial,regardless of whether adjudication is withheld. (b) Any member who is convicted as provided in F.S. Section 112.3173 of a specified offense committed prior to retirement, or whose employment is terminated by reason of an admitted commission, aid, or abatement of a specified offense, shall forfeit all rights and benefits under this pension plan, except for return of accumulated contributions as of his/her date of termination. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.23. Response to claims and inquiries. All inquiries shall be answered promptly. The final decision for approval of benefits shall be made by the board of trustees. (Ord.No. 58-99-26, § 2, 7-10-00) Sec. 2-310.24. Denial of benefits. If any claim for benefits is denied, suspended or terminated, in whole or in part, then the claimant shall be furnished with a notice of denial, suspension, or termination no later than thirty(30) days after the final decision has been made.The notice shall be provided in writing, by certified mail, and shall set forth: (1) The specific reasons for the denial,suspension,, or termination of benefits; (2) The specific references to the pertinent provisions of the pension plan upon which the action is based and a copy of the pension plan provisions shall be furnished with this notice; (3) A description of any additional material or information necessary for the claimant to perfect the claim, along with an explanation of why such material or information is necessary; and (4) An explanation of the claims review procedure. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.25. Claim review procedure. (a) Requests for review. If a claim for benefits is denied, suspended or terminated, in whole or in part, then the claimant may appeal to the board of trustees for a full and fair review. In order to file an appeal, a written notice of appeal must be submitted within sixty (60) days after the notice of denial, suspension, or termination is received by the claimant (or such later time as the board of trustees deems reasonable).The notice of appeal shall briefly describe the grounds upon which the appeal is based on shall be signed by the claimant. The claimant shall be allowed to review all pertinent documents during 37 AGENDA ITEM#7B FEBRUARY 23,2004 normal business hours, and shall be permitted to submit comments and a statement of issues for consideration by the board of trustees. (b) Representation. A claimant may designate an attorney or any other duly authorized person to act as his or her representative at any stage of the claims review procedure. Any rights provided to the claimant during the claims review procedure shall automatically extend to the representative designated by the claimant. A designation of representative shall be signed by the claimant and the representative, and shall be submitted in writing. (c) Claims review board.The board of trustees shall rule on all appeals brought under this section. A decision to grant or deny an appeal shall be based solely on the record before the board of trustees, unless the board of trustees determines, in its sole discretion, that a hearing is necessary for the proper resolution of the appeal.The board of trustees shall decide, by majority vote, to grant or deny an appeal.The final decision shall be made by the board of trustees, in writing, and shall be made no later than sixty(60) days after receipt of the notice of appeal, unless special circumstances (such as the need for a hearing) require an extension of time. In no event, however, should the decision of the board of trustees be made later than one hundred twenty (120) days after receipt of the notice of appeal. If an appeal is denied, in whole or in part, then the decision shall set forth the specific reasons for the action, with specific references to those pension plan provisions upon which the decision is based.The claimant shall be promptly provided with a copy of this decision.The decision of the board of trustees shall be final and binding. (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.26. Exhaustion of claims review procedure. No action in law or in equity shall be brought to contest a denial, suspension, or termination of benefits until the claimant has complied with the procedures provided in section 2-310.25, unless the board of trustees fails to render a decision as provided in 2 298(c)310.27(c). In no case, however, shall any action be brought unless instituted within one(1)year from the time the claimant received the notice of denial, suspension or termination provided in section 2-310.24. (Ord.No. 58-99-26, § 2, 7-10-00) Sec. 2-310.27. Member contributions. ' (a) Member contributions for benefit group police bargaining unit members covered by the current collective bargaining unit collective bargaining agreement shall be one(1) percent of salary and for other benefit group police members shall be four and eight hundred fifteen thousandths(4.815) percent of salary, which said contribution shall be deducted from the member's pay and paid over into the retirement system each pay period. ' (b) The City of Atlantic Beach shall assume and pay the member contributions set forth above in lieu of payroll deductions from members'earnings.No member shall have the option of choosing to receive the contributed amounts directly instead of having them paid by the city directly to the retirement system. All such contributions by the city shall be deemed and considered as part of the member's contributions and subject to all provisions of this plan pertaining to contributions of members. Such contributions shall additionally be considered as part of the member's compensation for purposes of determining final average compensation and other benefits hereunder and for determining the member's hourly wage rate for purposes of FICA contributions, worker's compensation, and overtime compensation.This city pick up of contributions is a result of a commensurate reduction of each member's pay and is intended to comply with Section 414(h)(2) of the Internal Revenue Code. (c) If an employee leaves the service of the city before accumulating aggregate time of five (5)years ' towards retirement and before being eligible to retire under the provisions of this article he/she shall be entitled to a refund of all of his/her contributions made to the city pension trust fund, plus any interest accumulated at a rate of interest determined annually by the board of trustees, less any disability benefits ' paid to him/her. Any such member may voluntarily leave his or her contributions in the fund for a period 38 1 AGENDA ITEM #7B 1 FEBRUARY 23,2004 Should the board of trustees determine that any member, retirant, or beneficiary is being paid from the ' retirement system more or less than is correct, the board of trustees shall correct the error and, as far as practicable, shall adjust the payment in such manner that the actuarial equivalent of the benefit to which the member, retirant, or beneficiary was correctly entitled shall be paid. ' (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.22. Protection against fraud; forfeiture. (a) Whoever willfully and knowingly makes, or causes to be made, or assists, conspires with, or urges another to make, or causes to be made, any false, fraudulent, or misleading oral or written ' statement, or withholds or conceals material information with the intent to obtain any benefit available under this retirement system shall be in violation of section 185.185 of the Florida Statutes. Any member convicted of such violation may, in the discretion of the board of trustees, be required to forfeit the right to receive any or all benefits he/she may be otherwise be entitled to under this retirement system. For purposes of this subsection, "conviction" shall mean a determination of guilt that is the result of a plea or trial, regardless of whether adjudication is withheld. (b) Any member who is convicted as provided in F.S. Section 112.3173 of a specified offense committed prior to retirement, or whose employment is terminated by reason of an admitted commission, aid, or abatement of a specified offense, shall forfeit all rights and benefits under this pension plan, except ' for return of accumulated contributions as of his/her date of termination. (Ord. No. 58-99-26, § 2, 7-10-00) ' Sec. 2-310.23. Response to claims and inquiries. All inquiries shall be answered promptly. The final decision for approval of benefits shall be made by the ' board of trustees. (Ord.No. 58-99-26, § 2, 7-10-00) ' Sec. 2-310.24. Denial of benefits. If any claim for benefits is denied, suspended or terminated, in whole or in part, then the claimant shall be furnished with a notice of denial, suspension, or termination no later than thirty (30) days after the final ' decision has been made.The notice shall be provided in writing, by certified mail, and shall set forth: (1) The specific reasons for the denial, suspension, or termination of benefits; (2) The specific references to the pertinent provisions of the pension plan upon which the action is based and a copy of the pension plan provisions shall be furnished with this notice; ' (3) A description of any additional material or information necessary for the claimant to perfect the claim, along with an explanation of why such material or information is necessary; and (4) An explanation of the claims review procedure. (Ord. No. 58-99-26, § 2, 7-10-00) ' Sec. 2-310.25. Claim review procedure. (a) Requests for review. If a claim for benefits is denied, suspended or terminated, in whole or in 1 part, then the claimant may appeal to the board of trustees for a full and fair review. In order to file an appeal, a written notice of appeal must be submitted within sixty (60) days after the notice of denial, suspension, or termination is received by the claimant(or such later time as the board of trustees deems ' reasonable).The notice of appeal shall briefly describe the grounds upon which the appeal is based on shall be signed by the claimant.The claimant shall be allowed to review all pertinent documents during ' 37 AGENDA ITEM #7B FEBRUARY 23,200.1 of five (5) years after leaving the employ of the police department pending the possibility of his or her being rehired by the same department, without losing credit for the time he or she has participated actively as a police officer. If he or she is not reemployed as a police officer with the same department within five (5) years, his or her contributions shall be returned to him or her. (d) If an employee who has been in the service of the city for at least five (5) years and has contributed to the pension trust fund as provided, elects to leave his/her accrued contributions in the trust fund, such employee, upon attaining the age as required in section 2-310.75, may retire with the actuarial equivalent of the amount of such retirement income otherwise payable to him/her. (e) If a member who terminates employment elects a refund of contributions and: (1) Some or all of the refund is eligible for rollover treatment, as defined by the Internal Revenue Service; (2) Elects to have such eligible distribution paid directly to an eligible retirement plan or IRA, and (3) Specifies the eligible retirement plan or IRA to which such distribution is to be paid (in such form and at such time as the distributing plan administration may prescribe). The distribution will be made in the form of a direct trustee-to-trustee transfer to the specified eligible retirement plan. (Ord. No. 58-99-26, § 2, 7.-10-00) Sec. 2-310.28. Benefit limitations and required distributions. (a) Benefits paid under this city police officer employees retirement system shall not exceed the limitations of Internal Revenue Code Section 415, the provisions of which are hereby incorporated by reference. (b) Notwithstanding any provisions in this section to the contrary, the distribution of benefits shall be in accordance with the following requirements and otherwise comply with Internal Revenue Code Section 401(a)(9) and the regulations thereunder, the provisions of which are incorporated herein by reference: (1) A member's benefit shall be distributed to him/her not later than April 1 of the calendar year following the later of the calendar year in which the member attains age seventy and one- half(70 1/2) or the calendar year in which the member retires. Alternatively, distributions to a member must begin no later than the applicable April 1, as determined under the preceding sentence, and must be made over the life of the member(or the life expectancies of the member and the member's designated beneficiary) in accordance with regulations. (2) Distributions to a member and his/her beneficiary shall only be made in accordance with the incidental death benefit requirements of[Internal Revenue] Code Section 401(a)(9)(G) and the regulations thereunder. (Ord. No. 58-99-26, § 2, 7-10-00) 997 b. a., . . . .. . to 3 39 AGENDA ITEM#7B FEBRUARY 23,2004 . 1 • , . • . • • •kt&tkie-S• • • . . • • • . . 1 . . . r . . . . feEQi•tnb • •. • . •. . • • 1 • ' • •. . . • .•• I • �b 1 .1;• • . . . . . . . . . . . . . 3. . ; 1• ,•• • : .•• . . . • .•' •. . •, •: : •. • • • • • • • • : - • • • : •: • • •• • • . • • • • - •: , : • •: : : - • • •, , • : • : ,•: : • • : • • • - : • • , • •• : . • • . • • . •: :, : • • : : • • • • \ • •• • • • • .• • . . . • . •. . . • •. • . • •. • • ear a iT 3 . . . . . . . . . . . . . . . • . . .• • • • • • .. . . . . . . • . . .. 1 . ' • • .• �. . • • • . ••• • ' 1 . • •. I. • • .. . • 1 •• • . • • • •• 1 ' 3 3 3 I 40 I AGENDA ITEM #7B I FEBRUARY 23,2004 of five (5) years after leaving the employ of the police department pending the possibility of his or her I being rehired by the same department, without losing credit for the time he or she has participated actively as a police officer. If he or she is not reemployed as a police officer with the same department within five (5)years, his or her contributions shall be returned to him or her. I (d) If an employee who has been in the service of the city for at least five (5) years and has contributed to the pension trust fund as provided, elects to leave his/her accrued contributions in the trust I fund, such employee, upon attaining the age as required in section 2-310.15, may retire with the actuarial equivalent of the amount of such retirement income otherwise payable to him/her. I (e) If a member who terminates employment elects a refund of contributions and: (1) Some or all of the refund is eligible for rollover treatment, as defined by the Internal Revenue Service; I (2) Elects to have such eligible distribution paid directly to an eligible retirement plan or IRA, and 1 (3) Specifies the eligible retirement plan or IRA to which such distribution is to be paid(in such form and at such time as the distributing plan administration may prescribe). IThe distribution will be made in the form of a direct trustee-to-trustee transfer to the specified eligible retirement plan. I (Ord. No. 58-99-26, § 2, 7-10-00) Sec. 2-310.28. Benefit limitations and required distributions. I (a) Benefits paid under this city police officer employees retirement system shall not exceed the limitations of Internal Revenue Code Section 415, the provisions of which are hereby incorporated by reference. I (b) Notwithstanding any provisions in this section to the contrary, the distribution of benefits shall be in accordance with the following requirements and otherwise comply with Internal Revenue Code Section I401(a)(9) and the regulations thereunder, the provisions of which are incorporated herein by reference: (1) A member's benefit shall be distributed to him/her not later than April 1 of the calendar I year following the later of the calendar year in which the member attains age seventy and one- half(70 1/2) or the calendar year in which the member retires. Alternatively, distributions to a member must begin no later than the applicable April 1, as determined under the preceding I sentence, and must be made over the life of the member(or the life expectancies of the member and the member's designated beneficiary) in accordance with regulations. (2) Distributions to a member and his/her beneficiary shall only be made in accordance with I the incidental death benefit requirements of[Internal Revenue] Code Section 401(a)(9)(G) and the regulations thereunder. (Ord. No. 58-99-26, § 2, 7-10-00) 1 • I . . • . . .. . , . . • . . . • • . . . .• •• . •. I39 AGENDA ITEM#7B FEBRUARY 23,2004 Ordinance No. 58-04-29 PASSED by the City Commission on first reading this day of 2004. PASSED by the City Commission on second and final reading this day of 2004. ATTEST: Maureen King, City Clerk John Meserve,Mayor ' Approved as to form and correctness: 1 Alan Jensen, City Attorney LEGEND: Underlining is new language r I I I 1 41 ' AGENDA ITEM#7C FEBRUARY 23,2004 ' CITY OF ATLANTIC BEACH CITY COMMISSION MEETING STAFF REPORT ' AGENDA ITEM: Amendment to Chapter 6 Buildings and Building Regulations SUBMITTED BY: Don Ford ' DATE: 02/17/04 ' BACKGROUND: The Building and Code Enforcement offices have received several complaints pertaining to the control of trash, dumpster locations, portable toilet locations, parking on construction ' sites and general lack of site management. In response to these complaints we have developed a draft ordinance to better control these areas and give the contractor a set of guidelines to ' follow in managing construction sites. We have reviewed other cities ordinances to create an ordinance for Atlantic Beach. The city we found with the most comprehensive ordinance was Naples, FL. Additional information came from Boca Raton, Anna Maria, Jupiter Inlet, Margate and Key West. ' With the adoption of the proposed ordinance prior to being issued a permit, contractors will be required to submit a site management plan. This plan will include parking for construction traffic, fencing, portable toilets, portable buildings, traffic control on adjacent streets, hours of operation, material storage, signage, etc. BUDGET: N/A These inspections can be completed during regular scheduled inspections. ATTACHMENTS: Proposed Ordinance. RECOMMENDATION: Consider proposed ordinance and schedule for first reading. REVIEWED BY CITY ' MANAGER: ' AGENDA ITEM#7C FEBRUARY 23,2004 1 ORDINANCE NO: 25-04-35 AN ORDINANCE OF THE CITY OF ATLANTIC BEACH, FLORIDA, AMENDING CHAPTER 6, ARTICLE 2, BUILDING CODES, TO ADD A NEW SEC. 6-18 CONSTRUCTION SITE MANAGEMENT, TO INCLUDE A CONSTRUCTION SITE ' MANAGEMENT PLAN ' NOW THEREFORE, BE IT ENACTED BY THE CITY COMMISSION ON BEHALF OF THE PEOPLE OF THE CITY OF ATLANTIC BEACH, FLORIDA, AS FOLLOWS: Chapter 6, Article 2, is hereby amended to add a new Sec. 6-18 which shall read as follows: Sec. 6-18. Construction site management. ' (a) No building permit shall be issued unless a construction site management plan has been submitted and approved by the building official. Persons who intend to make any of the following improvements: lot clearing, ' grading, stockpiling of soil, demolition, building construction or reconstruction, building alteration or addition shall designate either a licensed contractor or owner-builder for the purposes of the construction site management requirements. These requirements set minimum standards for the operation of the project site to eliminate or minimize impacts to the site and to the neighborhood to include containment of ' sediment, surface water discharge, erosion of soil, vehicle parking and loading area, traffic control, fencing, placement of materials, safety, neatness and cleanliness. (b) Contractor shall submit a construction site management plan with a building permit application which includes the following submittal ' requirements unless waived by the building official: (1) Location of proposed demolition. (2) Grading and drainage surface water management plan for street and project site, Chapter 24, Article III, Division 3, Section 24-67 including: a. Drainage plan during construction in compliance with ' subsection (d). b. Final grading and drainage plan upon completion of construction for street and project site in compliance with Chapter 22, Utilities and approval by Public Works. AGENDA ITEM#7C FEBRUARY 23,2004 Ordinance 25-04-35 Page 2 (3) Parking plan, including: i. Location of onsite and abutting street parking area. ii. Offsite parking plan in compliance with subsection (e)(4) and the following: 1. A single access with dimensions; 2. Buffering for adjacent waterways and streets, as approved by the building official; 3. A temporary fence location, height and type of fence with screening; b. Fencing plan, showing location, height and type of fence with screening or evidence that proposed construction does not warrant a construction fence in compliance with subsection (g) (6) as determined by the building official. c. Location of construction trailer(s), loading/unloading area and material storage area. d. Location of chemical toilet(s). ' e. Location of dumpster. f. Traffic control plan, showing access with dimensions, area to be ' stabilized, narrative on phasing of construction with provision of adequate parking and delivery of materials. ' g. Other activities, where special conditions are identified by the building official. ' (4) Approval/waivers. The building official shall review, approve or deny the construction site management plan. The building official is hereby authorized to grant waivers from submittal requirements and ' corresponding standards: a. If the requirement is unrelated to proposed development, or ' b. If the impact of the proposed development is negligible in the that submittal requirement area. 1 AGENDA ITEM#7C FEBRUARY 23,2004 Ordinance 25-04-35 Page 3 (5) Parking during development of project. ' a. Parkingon-site. Contractor shallprovide for parkingon the project site and abutting right-of-way to the greatest degree Ipossible. Alternative parking sites may include adjacent vacant lot or offsite parking lots in the immediate area as approved in the construction site management plan. b. Access. Use of the public right-of-way for access to and from ' the project site as shown on the construction site management plan shall be strictly managed by the contractor. Contractor shall maintain the public street adjacent to the project site free ' of dirt, sand or any other debris resulting from construction activities. The public right-of-way adjacent to the project site shall be broom swept on a regular basis keeping it free of dirt, sand and other debris. Failure to remove said material on the day of occurrence is a violation. ' c. Temporary graveled or stabilized area for construction access and parking. Contractor shall provide a graveled or stabilized area as shown in the construction site management plan. The stabilized area shall be located at points where vehicles enter and exit the construction site and the parking location. When a right-of-way area is used for parking, the contractor shall provide a graveled or stabilized area on the right-of-way. Upon completion of the project, the contractor shall restore the right-of way to its original condition or better. The purpose of the graveled or stabilized area at the entrance to the project site is to eliminate and reduce tracking or flow of sand, mud, concrete wash or other related material onto the right-of-way. d. Offsite parking. If the construction site management plan illustrates proposed parking in the right-of-way, the application I shall be accompanied by a city right-of-way permit. The building official may temporarily permit offsite parking on vacant lots other than the project site with the written permission of the ' owner of the lot where the vehicles are to be parked and in compliance with the following standards: i. Compliance with the construction site management plan. ii. The lot shall be used for parking only. 1 AGENDA ITEM#7C FEBRUARY 23, 2004 Ordinance 25-04-35 Page 4 iii. There shall be no storage of materials, trailers or construction equipment. iv. There shall be no loading and unloading of materials or machinery. v. Parking within the right-of-way abutting the off-site parking lot may be approved by the building official. Sufficient ingress and egress to the vacant lot must be maintained. vi. A temporary six-foot fence with fabric or screen or other materials as approved by the building official shall be located at the front, side, and rear lot line of the temporary parking area except where a lot line is located on the water. Where a lot line is along the water, the fence shall be placed no closer to the water than the yard setback line and shall not exceed three feet in height. The fence gate shall remain locked during non-working hours. The fencing shall remain on-site until the off-site parking is no longer needed to complete the project site and shall be removed prior to issuance of a certificate of occupancy for the project site. vii. The offsite parking shall occur no earlier than 7:00 a.m. and no later than 6:30 p.m.. Loitering is prohibited. viii. The offsite parking lot shall be restored to its original condition prior to issuance of a certificate of occupancy for the project site and shall include proper grading, replacement of trees, planting of grass and other landscape material as approved by the property owner. (6) Material storage. Material associated with the project site including equipment shall be neatly stored on the site (within the fenced area when applicable). The storage of material shall not obstruct access to the structure under construction or create a public safety hazard. All loading or unloading of materials and/or equipment is limited to the construction site and adjacent right-of-way. (7) Construction fencing. A project site that meets the following standards is required to install a construction fence which means a temporary six- foot chain link fence with fabric, or other screening material. AGENDA ITEM #7C FEBRUARY 23,2004 Ordinance 25-04-35 ' Page 5 a. Clearing, grading or demolition. A construction fence is required where clearing, grading, stockpiling of soil or demolition is ' proposed as follows: i. A lot located in the residential or commercial zoning ' districts shall install a fence on the front, side, and rear lot lines prior to commencement of clearing, grading or demolition. Fencing may be removed upon final 1 electrical inspection. ii. All other lots shall install a fence on the side and rear lot ' lines. Fencing may be removed upon final electrical inspection. ' b. Major remodeling shall mean an increase in the building volume of 10,000 cubic feet or more; or an increase in the building footprint of 1,000 square feet or more; or new construction with ' a building footprint of 1,000 square feet or more. A construction fence is required for major remodeling as follows: ' i. A lot located in the residential or commercial zoning districts shall install a fence on the front, side and rear lot lines. Fencing may be removed upon final electrical inspection; ii. All other lots shall install a fence on the side and rear lot ' lines. Fencing may be removed upon final electrical inspection; I • c. Major alteration shall mean where 50 percent or more of the gross square footage of an existing structure is proposed for reconstruction, rehabilitation, removal of wall(s), alteration or ' other improvement excluding replacement of the roof: A construction fence is required for major alteration as follows: ri. A lot located in the residential or commercial zoning districts shall install a fence on the front, side and rear lot lines. Fencing may be removed upon final electrical ' inspection. ii. All other lots shall install a fence on the side and rear lot lines. Fencing may be removed upon final electrical inspection. 1 ' AGENDA ITEM#7C FEBRUARY 23,2004 Ordinance 25-04-35 Page 6 d. Exception from six-foot height requirement. i. Where a construction fence is required and the property line is located on the water in any zoning district, that ' portion of the construction fence along the water shall be located no closer than the yard setback line at a height no higher than three feet. ' ii. In a zoning on a waterfront facing the rear yard lot, the side lot line fence shall be lowered to three feet for that 1 portion which is the greater of: 1. 30 feet from the mean highwater line; or 2. 30 feet from the platted waterfront building line ' e. Alternative to fence. An existing hedge or visual barrier of at least six feet in height along any lot line may be considered an equivalent of the construction fence. The contractor shall make ' this request in writing to the building official. f. Exception to installation of construction fence. Where a ' construction fence would be required for a residential lot pursuant to subsection (1)b., (2)b, or (3)b. and contractor obtains a construction fence waiver from the adjacent property owner or tenant that abuts the project site, the building official may waive the requirement for all or a portion of the construction fence. ' g. Installation. Installation of a construction fence shall occur prior to any construction activity or material deliveries. The fence shall not be placed so as to create a public safety hazard. Where the project site is enclosed by a fence, the fence gate shall be locked during non-working hours. ' (8) Signs. A 12" X 18" sign shall beposted bythe contractor on the project site in the location approved on the construction site ' management plan which is readable from the street. The sign shall contain the street address of the property, phone number for the City of ' Atlantic Beach and the name and phone number of the general contractor. The sign is exempt from Chapter 17. This sign shall be maintained in a readable condition until completion of construction. AGENDA ITEM#7C FEBRUARY 23,2004 Ordinance 25-04-35 Page 7 (9) Site cleanliness. Contractor shall have the entire construction site cleaned by Friday of each week. Cleaning for purposes of this section means, without limitation, removal and placement into a dumpster of scrap lumber, concrete remnants and roof tile from the project site. ' The project site shall be free of all loose debris such as cans, metal, plastic and paper. (10) Temporary trailer. When a temporary trailer is proposed and a construction fence is required, it shall be located on the project site within the fence at the location shown on the construction site 111 management plan. ' (11) Chemical toilets. Chemical toilets shall be located inside the project fence and accessible for servicing. Where a fence is not required, the contractor shall locate the chemical toilet facing towards the rear of the ' project site and no further than 15 feet from the structure under construction except where another location has been authorized by the building official due to the size of the lot and ease of access to the ' chemical toilet. (12) Landscaping. Damage to any landscaping on an abutting or adjacent ' property as a result of the construction shall be replaced and restored at the contractors expense to its original condition. Failure to replace and repair is a violation. ' (13) Dumpster. Construction site dumpster shall be located inside the fence. Where a fence is not required, it shall be located on the project ' site. The dumpster shall be emptied in a timely fashion so there is no overflow of debris or litter. All dumpsters will have tarp covers or rigid covers during windy days. Prior to a certificate of occupancy being ' issued, the dumpster shall be removed from the site. (14) Limitation of certain construction activities. Pile driving and steel ' erection activity shall be limited to Monday through Friday, excluding federal holidays, during the hours between 7:00 8:00 a.m. in the morning until 4:0O 5:00 p.m. in the evening. Demolition activity shall ' be limited to Monday through Friday, excluding federal holidays, during scheduled work hours between 7:00 8:00 a.m. in the morning and 6:30 5:00 p.m. in the evening. (15) Construction related traffic control. A contractor, owner, vehicle operator or any persons associated with the project site who impedes or obstructs the public right-of-way shall be in violation of this Code. AGENDA ITEM#7C FEBRUARY 23,2004 Ordinance 25-04-35 ' Page 8 ' Parking, loading, unloading or any related activity on the public right- of-way is prohibited unless consistent with section. ' (16) Weather emergency. It is the responsibility of the contractor to remove construction materials from the project site or secure construction materials at the project site commencing with issuance of a tropical storm or hurricane warning announcement until the time set forth in Subsection (4). ' a. Declaration. When the National Weather Service, National Hurricane Center or appropriate weather agency declare a tropical storm warning or a hurricane warning for any portion of Duval ' County, Florida, all construction materials, including roof tiles, on all project sites within the city shall be secured and stored onsite in a safe manner or removed so that no material can become a Isafety hazard with hurricane or tropical storm force winds. b. Notice. Media broadcasts or notices issued by the National Weather Service or National Hurricane Center of a tropical storm warning or a hurricane warning is hereby deemed notice to the contractor. The contractor is responsible for the project site by securing onsite or removing from the site any construction ' materials or debris to protect against the effect of hurricane or tropical storm force winds. By holding a building permit during hurricane season, contractor shall monitor the National Weather Service and the National Hurricane Center for weather emergencies. c. Materials. Materials stockpiled on top of any structure under ' construction shall be handled as follows: i. Band construction materials together and fasten them to the ' top of the structure in such a manner to prevent the material from becoming airborne during a tropical storm or hurricane; or ' ii. Remove construction materials from the top of the structure and secure them to the ground; or ' iii. Remove construction materials from the jroector p site; ' iv. Store construction materials inside a structure if said structure is secure from tropical or hurricane force wind ' loads. AGENDA ITEM#7C FEBRUARY 23,2004 L Ordinance 25-04-35 Page 9 d. Construction materials, debris or any material capable of ' becoming airborne shall remain secured and stored on the project site or shall be removed from the project site until the National Weather Service or National Hurricane Center has removed all ' portions of Collier County from those areas included in a tropical storm warning or hurricane warning. ' (e) Nuisance. A nuisance maintained on a project site is a violation of this Code. PASSED by the City Commission on first reading this day of 2004. ' PASSED by the Commission on second and final reading this day of 2004. ATTEST: Maureen King, CityClerk John Meserve, Mayor Approved as to form and correctness: ' Alan Jensen, City Attorney LEGEND: Underlining-is new language - AGENDA ITEM #8B FEBRUARY 23,2004 CITY OF ATLANTIC BEACH CITY COMMISSION MEETING STAFF REPORT a AGENDA ITEM: Approve renewal of Health Insurance with BlueCross BlueShield (BC/BS) of Florida effective April 1, 2004 for a one year period, retain the current benefits and employee contribution rates, and change the effective date of coverage for new employees. SUBMITTED BY: George Foster, Human Resource Manager ' DATE: February 17, 2004 ' BACKGROUND: In April 2002, the City changed it's health insurance from AHL to BC/BS after a proposal was received from BC/BS and other health insurance providers declined to bid. ' BC/BS has advised that based upon the City's potential claim experience, that they are unable to reduce the City's premium rates; however, there will be no rate increases. In July, 2003, a Pension Committee provided a report to the ' Commission for changes to the City's benefit programs (see attached). One recommendation was to delay the effective date of health insurance coverage from "the first day of the month ' following the month of hire" to "the first day of the third month following the month that the employee is hired". This action was recommended to discourage individuals from seeking employment ' with the City for the primary reason of obtaining immediate health insurance coverage. The most opportune time to implement this change is upon renewal of our insurance April 1, 2004, FUNDING: Funds for these actions are currently within the approved budget. ' The implementation of a delay to health insurance coverage will result in an estimated savings of$35,000 annually. ' RECOMMENDATIONS: 1. That the City Commission authorize the City to renew health insurance with BC/BS effective April 1, 2004. ' 2. That the City Commission retain the current benefits and City/employee contribution amounts. 3. That the City Commission authorize a change to the effective date of health insurance coverage from "the first day of the month following the date of hire" to "the first day of the third month following the month that the employee is hired". ATTACHMENTS: 1. City/ Employee premium cost comparison 2. Pension Committee Report and Recommendations ' CITY MANAGER: I AGENDA ITEM#8B FEBRUARY 23,2004 BLUE CROSS / BLUE SHIELD 1 HEALTH INSURANCE PREMIUM APRIL 1, 2003 - MARCH 31, 2004 I IBC/BS HMO BlueCare#14 effective April 1, 2003 I Employee City Coverage Monthly Pays Pays Employee 497.82 00.00 497.82 IEmp/Children 958.29 107.28 851.01 Emp/Spouse 1,020.52 153.20 867.32 I Emp/Family 1,480.99 317.60 1,163.39 IBC/BS BlueChoice Plan #108 effective April 1, 2003 I Employee City Coverage Monthly Pays Pays Employee 547.60 00.00 547.60 I Emp/Children 1,054.13 195.34 858.79 Emp/Spouse 1,122.57 245.74 876.83 Emp/Family 1,629.10 509.28 1,119.82 I INote: The above rates are the same as the rates from April 1, 2002—March 2003. I I I I I I I H:\oldpc\MyFiles\02-Health Insurance\Health Cost For 04-01-2002.doc ' AGENDA ITEM#8B FEBRUARY 23,2004 ' PENSION COMMITTEE REPORT AND RECOMMENDATIONS ' JULY 14, 2003 BACKGROUND AND OBJECTIVES: On October 14, 2002, the City Commission established a Pension Review Committee ' consisting of Commissioner Mike Bomo and Pension Board Member Ed Lipscomb to review the benefits provided to City employees, specifically: Should the City add a 30 year, any age, retirement option to the current General Employee retirement eligibility of ' Age 60 with at least 5 years of service. The scope of the review was subsequently expanded to include a broader evaluation of the employee benefit packages as changes in any one benefit may have a direct, or indirect, affect on other benefits. ' The committee was not charged with recommending a means of reducing the current cost of the existing benefit plans. Therefore, the focus was on identifying opportunities to ' reallocate current costs to better achieve the objectives of the benefit plan (listed below). In evaluating the existing benefit plans, the following criteria were considered. These are not in priority sequence. ' 1. Employee Retention—How important are each of the benefitlan components to P P employees and what is the current degree of satisfaction of employees with the ' existing program. 2. New Employee Recruiting—Do the individual components of the benefits plan provide an effective tool for management to attract the level of talent needed and ' compete effectively against other employers. 3. Workforce Behavior—Do the existing benefit programs contribute toward aligning the economic interests of the city and its employees in order to encourage ' behavior which is in the best interest of both. 4. Current and anticipated changes or trends which will influence the future ability to deliver a current benefit. 1 The individual elements of the benefit plans for both general employees and police which were evaluated by the committee included the following. ' • 1. Pension 2. Employee Supplemental Investment ' 3. Health and Medical Insurance 4. Flexible Spending Accounts 5. Paid Time Off • ' 6. Holidays 7. Life Insurance 8. Short Term Disability 9. Long Term Disability 10. Overtime Policy I - 1 - AGENDA ITEM#8B FEBRUARY 23,2004 1 The above elements of the benefit package were evaluated with respect to the four criteria of employee retention, employee recruiting, workforce behavior, and anticipated future ' trends affecting the benefit. Recommendations proposed are based upon six meetings of the committee and after presentations of representative from Palmer & Cay consulting group and the Pension . Board attorney Bob Sugarman of Sugarman & Susskind. Recommendations bring Atlantic Beach's benefit package more in line with those of other area employers, to ' improve the City's ability to recruit and retain employees and better utilize funding available for employee benefits. It is not intended for there to be either a significant increase in the City's cost of benefits or an overall change in the amount of benefits ' provided, but rather a shift to reflect the local market. Phasing in these changes is recommended both to minimize any adverse effects on individual employees and to allow for identifying funding sources available to the City. ' PENSION PLANS: ' The general employee pension plan is a generous benefit and is very rich by virtually every measurement. It is a Defined Benefit plan which guarantees a certain payout. All actuarial and investment risk is born by the city. With a multiplier of 2.85%per year of ' service, an employee can, with 35 years and 1 month of service, retire with a city pension of 100% of his last 5 year average compensation. The benefit payable to an employee is capped at 100% of his last 5 year average compensation. Therefore, with a few long term ' employees, they continue to pay into the pension plan with little to no.increase in benefit • after 35 years. ' In addition, employees are entitled to a social security benefit (50% funded by the city) which provides a total retirement compensation potential well in excess of their final compensation at the time of retirement. The plan calls for the employee to complete 5 years service before being vested within the retirement plan. Employee Retention—The existing plan is highly valued by employees with significant ' years of service and those with the knowledge and sophistication to understand to value of the benefit provided ' Employee Recruiting— City management does not believe that the pension plan is a significant decision factor in the recruiting of new employees. The lack of portability in the plan requires a commitment exceeding that generally contemplated by new hires. The portability issues can be addressed in a defined contribution plan with a step vesting schedule. ' Workforce Behavior—The existing plan provides a strong incentive for an employee to plan a lengthy career with the city. This can provides a win/win for city and employee as ' it encourages continuity. It also can increase costs resulting from over-qualified individuals remaining in positions that could be filled by lower cost new hires. - 2 - AGENDA ITEM#8B FEBRUARY 23,2004 1 Anticipated Trends — Over the coming years, it is expected that the actuarial tables that determine in part the city's cost of the pension plan will be revised. This is to reflect the increased life expectancy of retirees. This will increase the cost to the City as it will anticipate a longer payment period for retirees. In addition to actuarial tables, investment assumptions also drive the cost of the pension plan. If, as a result of investment ' performance, there is a decrease in investment earnings assumptions, this could increase the cost of the plan. On the other hand, an improvement in investment earnings could reduce the cost of the plan. IPension Plan Recommendations a. General Employees: (1) Retain the current Age 60 with 5 Years of Service (YOS) criteria for retirement eligibility. (2) Discontinue employee contribution of two percent (2%) once an employee reaches their maximum accrual date (currently at 35 years and 1 month of ' service). (4) Establish a cost neutral 5 year Deferred Retirement Option Plan (DROP). (5) Establish a Defined Contribution (DC) plan for all new employees while ' retaining the Defined Benefit Plan for current employees. Note: A Defined Contribution (DC) plan is a plan where the contribution is defined ' and the benefit is based upon the individual employee's account balance. A Defined Benefit(DB) plan is a plan where the benefit is defined and the contribution depends on the variables in order to fund the"promised" benefit. • If a Defined Contribution Plan is not established for new employees: (1) Increase the contribution rate for all employees. (2) Decrease the multiplier for new employees to 2.5% (currently 2.85%). ' b. Police Employees: • ' (1) Add additional benefit items as required by FS185 based upon receipt of sufficient Section 185 funding. (1) Retain the Defined Benefit plan. The City would lose State Section 185 ' funding ($85,719 received for 2001) if changed to a Defined Contribution plan. (2) Establish a cost neutral 5 year Deferred Retirement Option Plan (DROP). ' (3) Increase the employee contribution rate for current employees by a one- time employee salary increase. (4) Increase the employee contribution rate for new employees. - 3 - ' AGENDA ITEM#8B FEBRUARY 23,2004 ' EMPLOYEE SUPPLEMENTAL INVESTMENT PLAN: ' The City provides an additional voluntary retirement planning vehicle for individuals interested in accumulating additional retirement savings. This is similar to a traditional 401K plan and includes no city contribution other than the administrative cost of the plan. ' Recommendation ' No changes to the current voluntary employee ICMA 457 plan. HEALTH AND MEDICAL INSURANCE: The city currently provides HMO and PPO medical insurance plans either of which may be selected at the option of the employee. The City currently pays 100% of the cost of ' the employee coverage and a portion of the cost of dependent coverage. The coverage is effective on the.first day of the month following the official hire date. The dependent coverage contribution by the employee is based on historical dollar amounts and is no ' longer commensurate with the total cost of the coverage. As a result of recent claims experience and relatively small size of the insured employee population, the premium rates are extremely high with the PPO exceeding the HMO in cost. ' Employee Retention—The existing plan is highly valued by existing employees and is believed to be a key reason for the retention of employees. Employee Recruiting—The current plan is a significant tool in attracting new employees to work for the City. Management believes that it is sometimes the primary reason for an employee seeking employment. The experience rating which has driven up the cost.of ' medical insurance to the City may well be evidence of that. Work Force Behavior—The medical insurance plan provides options that allow access to I medical care and prescription drugs at minimal cost. The interests of both the employees and City are served by maintaining a healthy workforce with minimal absenteeism. The current plan provides two options including an HMO and a PPO plan. While the cost of the PPO exceeds that of the HMO, the cost to the employee for employee only coverage is the same- Zero. ' Anticipated Trends—The annual escalation in medical insurance premiums has significantly affected the cost of the employee benefit plan. Management believes that ' there is a potential for cost reductions based on improved claims experience. However, it is prudent to anticipate the potential that costs may stabilize briefly at their current level and continue the trends seen over the past years. With no cost participation by the ' employee, there is no incentive for an employee with other available coverage to decline participation in the City funded plan in favor of another plan. If only healthy employees - 4 - AGENDA ITEDI#8B FEBRUARY 23,2004 Iopted out because of alternate coverage, some of the benefit of reduced premiums may be lost. Recommendation ' There is the potential that the City of Jacksonville may allow the City employees to join their plan. This has major implications and action on recommendations pertaining to health insurance and related employee benefits (flexible spending accounts, life, vision ' and dental insurance) should be delayed pending receipt of a decision from the City of Jacksonville on a proposal to allow the City to join Jacksonville's health and benefit plan(s). Recommendations are as follows: ' a. Change effective date from the first day of the month following the month in which an employee is hired to first day of the third month following the month ' that the employee is hired. b. During future premium rate increases/decreases, adjust the percentage that the City pays for employee only coverage with a goal of the City paying 90% of the HMO employee only premium. This would discontinue the current policy of the City paying more for an employee that selects the PPO plan over the ' HMO plan and would also result in a cost share between employees and the City for basic health insurance. c. Change the percentage that the City pays for employees that select additional insurance to be a standard percentage. Note: Currently the City pays 67.70% percent of the difference for Employee/Family coverage, 70.69% of the ' ' difference for Employee/Spouse coverage and 76.70% of the difference for Employee/Child(ren) coverage. FLEXIBLE SPENDING ACCOUNTS: ' The City provides the opportunity for employees to pay certain child care and health care expenses out of pre-tax earnings. This program is consistent with the benefits provided by many employers and is consistent with the objectives defined for the benefit plans in terms of enhancing employee retention and recruiting. It is cost neutral to the City. The City should publicize the benefits of the FSAs during the next open enrolment period ' and hold group meetings with employees. PAID TIME OFF: ' The City has a program for paid time off that combines sick leave, vacation time and personal leave. Twice a year, the City pays employees for all leave that exceeds the ' maximum accrual limit as established by the employee. AGENDA ITEM#8B FEBRUARY 23,2004 1 Employee Retention/Recruiting—The current plan provides flexibility to employees to utilize their paid time off as is appropriate for the individual circumstance. This is an important benefit to employees and is well received by new hires. Work Force Behavior— The current plan is beneficial to employees and the City in that it ' allows the appropriate allocation of personal leave time to be defined by the employee. The policy of paying employees for unused leave may have the result of discouraging employees from taking leave. This may not be a good thing as it increases payroll expense and reduces reliance on cross training to cover periods of leave time. Recommendation • ' Consider modifying buy back policy to require taking a certain amount of leave. This • reduces cost except where absence is required to be covered by overtime and encourages ' cross training. LIFE INSURANCE: The City's "one time annual salary" rounded upwith a maximum of$50 000 life , insurance is an average to below average benefit. Most employers offer a basic benefit of I V2 to 2 times annual salary. Employee Retention/Recruiting—While the current plan is somewhat below competing plans, it is unlikely to adversely affect either retention or recruiting of employees. ' Recommendation Consideration should be given to increasing basic life insurance to 1%2 to 2 times annual salary upon identification of a source of funding. SHORT TERM DISABILITY: The City currently provides no short-term disability coverage. Employees may utilize their personal time for this purpose or may receive contributed days off from other ' employees. Recommendation .1 An optional employee paid short-term disability insurance policy should be provided. ' LONG TERM DISABILITY: • The City currently provides no long-Term disability coverage. Employees may utilize I their personal time for this purpose or may receive contributed days off from other employees. Ii AGENDA ITEM #8B FEBRUARY 23,2004 Recommendation ' Long-term disability insurance is a valuable benefit, and should be provided upon identification of a source of funding. OVERTIME POLICY: (a) General Employees: (1) Overtime: Change the current policy of paying overtime for all hours worked that ' exceed the employee's normal scheduled workday to paying overtime in accordance with the.Fair Labor Standards Act for all hours worked that exceed 40 hours in any 7 calendar work period. ' (2) Hours Worked: • Change the current policy of considering all hours paid to the employee ' (including holidays, personal leave and compensatory time) as hours worked to considering only hours actually worked in determining overtime. (b) Police Employees: ' (1) Overtime: Change the current policy of paying overtime for all hours worked that exceed the employee's normal schedule workday to paying overtime►in accordance with the Fair Labor Standards Act for all hours worked that exceed 80 hours in any 14 calendar work period. ' (2) Hours Worked: Change the current policy of considering all hours paid to the employee (including holidays, personal leave and compensatory time) as hours • ' worked to considering only hours actually worked in determining overtime. • ' EMPLOYEE BENEFIT STATEMENTS: The City should enhance communication for benefits available, as well as their cost (on an individual basis), to all employees by use of an Employee Benefit Statement. Summarizing employee benefits and their related cost is considered a valuable method to ' provide employees with a summary of benefits, as many employees do not know the benefits that they receive or their related costs. 1 • - 7 - I ' AGENDA ITEM#8C FEBRUARY 23,2004 1 CITY OF ATLANTIC BEACH CITY COMMISSION MEETING STAFF REPORT AGENDA ITEM: 19th Street Tree Canopy Preservation Corridor Ordinance SUBMITTED BY: Don Ford DATE: 02/17/04 I BACKGROUND: The Tree Board has recognized the need for protection of the tree canopy in the Selva Marina area of 19th St. and adjacent streets. They have identified a trend toward removal of many I parts of the original canopy in this area. This was prompted by the removal of several trees in the area by developers of three lots last year. Several trees on Hickory Lane were I removed from the right of way by a homeowner in 2002. A few more trees were removed by the public works street improvement project in 2002. IThis subdivision was developed with tree preservation in mind. The original developer realized the value of the tree canopy. IThe streets were laid out with curves and islands to preserve trees whenever possible. The covenants and restrictions required the footprints of the houses to be built around large Itrees. There is no longer a home owners association for this subdivision therefore part of the protective element created by I the developer is no longer effective. I IBUDGET: Tree Survey to be submitted for approval. IATTACHMENTS: Map of Area. RECOMMENDATION: The board has created a suggested ordinance to develop a tree I canopy protection corridor for the area known of Selva Marina Units 10 through 12. Recommended for first reading. I REVIEWED BY CITY IMANAGER: �� AGENDA ITEM#8C FEBRUARY 23,2004 1 ORDINANCE NO. AN ORDINANCE OF THE CITY OF ATLANTIC BEACH AMENDING CHAPTER 23, VEGETATION: CREATING A ' TREE PRESERVATION PROGRAM; PROVIDING GEOGRAPHIC LIMITS OF THE PROGRAM; PROVIDING PRESERVATION INCENTIVES AND REQUIREMENTS; ' PROVIDING FOR SEVERABILITY; AND PROVIDING AN EFFECTIVE DATE: 1 WHEREAS, The City of Atlantic Beach has a number of tree lined streets ' which exhibit special scenic value to the citizens of the City, and WHEREAS, The City recognizes a duty to protect and enhance those 1 roadways which serve as scenic corridors in the City, and WHEREAS, To protect and enhance these roadways, the City Commission has determined that certain roadways or portions thereof, shall be designated as Tree Preserve Corridors. ' NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF ATLANTIC BEACH, FLORIDA: ' SECTION 1. Intent. It is the intent of the City Commission in designating Tree preserve corridors to protect significant tree coverage and landscaping from destruction and to enhance the aesthetic appearance of certain streets within the city. ' SECTION 2. Designation of Tree Preserve Corridors. The City Commission may from time to time designate, by ordinance, Tree Preserve Corridors. In so doing, the City Commission will specifically identify those streets, or portions ' thereof, which shall be so designated. In considering whether roadways or portions thereof shall be designated as Tree Preserve Corridors, the City Commission may consider the following criteria: (a) The presence of historically significant tree coverage or landscaping, as individual plants or in groupings. 1 (b) The presence of significant historic or architectural structures with associated tree coverage or landscaping. I I AGENDA ITEM#8C FEBRUARY 23,2004 1 (c) The presence of culturally significant tree coverage or landscaping. I (d) Request from private property owners that colonnades on their property shall be so designated. SECTION 3. Effect of Tree Preserve corridor designation. I (a) Trees or landscape groupings on streets, or portions thereof, which have been designated as Tree Preserve Corridors shall not be damaged, mutilated or removed from public or private I property by any entity, public or private, without prior approval of the Tree Conservation Board. Removal shall be permitted by the Board where the safety of the general public or adjacent ' residents is threatened by such historic trees or landscaping or where the overall value of the corridor will be enhanced by such removal. I (b) Trees, tree groups, or landscape groups designated by the City Commission as a part of the Tree Preserve Corridor shall be so 1 designated by signs or markers of a type to be determined by the City Commission. Said signs or markers shall contain the words "Tree Preserve Corridor" and shall denote the date of I designation and the historic significance of the tree, tree group or landscape group. ISECTION 4. Designated Corridors. Upon designation of corridors, professional tree surveys shall be obtained and placed in the public record. The City Commission hereby designates the following as a Tree Preserve gCorridor: • Saturiba Drive from Selva Grande westward to Selva Marina Drive to include Live Oak Lane, North Sherry Drive, Dale Lane and Hickory Lane; 1 • Selva Marina Drive from Saturiba Drive to 19th Street; • 19th Street to Sea Oats to include the five cul de sacs on the north Iside of 19th Street. II I 1 I AGENDA ITEM#8C FEBRUARY 23,2004 SECTION 5. Penalties for violation. Unauthorized damage, mutilation or removal of any tree, which is a part of any designated Tree Preserve Corridor, shall constitute a violation of this ordinance. Examples of unauthorized damage or mutilation shall include, but are not limited to, girdling of trunks with string trimmers or other lawn equipment, punctures, including those caused by tree climbing spikes, removal of live green leaves or fronds, and destruction of the root systems. Each violation shall be reviewed by the Tree Conservation Board who will recommend to the Code Enforcement Board an appropriate penalty not to exceed $500.00 per tree to full replacement of the damaged tree(s). SECTION 6. Severability. If any section, sentence, clause, word, or phrase of this Ordinance shall be held to be invalid or unconstitutional by a court of competent jurisdiction, then said holding shall in no way affect the validity of the remaining portions of this Ordinance. SECTION 7. This Ordinance shall become effective immediately upon adoption. PASSED BY THE CITY COMMISSION ON FIRST READING: PASSED BY THE CITY COMMISSION ON SECOND READING: John Meserve, Mayor ATTEST: Maureen King, City Clerk Approved as to Form and Correctness: Alan C. Jensen, Esquire City Attorney I f t -_—A..p :)•-'_ ___-p._-_-_.___— --".:2-in:,.r..o7`r-e-r1.j'C.1'-......."--_-..._-...-04.-'.:r,-.,.-"--_-1.-.7_.c-.7-,,r-ir1-,e.--1Zt.•:4-4.mi *...4-•°--. .-'-..:id t,...b..tt...,eA...';:2-."--4-.1-.1;,..6.''1'.7'...4r...„1.-'iF-..W:'.:ii.4,.3.._,—x•.-3.4.:-1•,..t4e4:)t-TA;...,0r.-..74..K..,445,,A,4i..1.m7..-.k...'..efA--J-k..,..,-.r-...e..-.,..,.-.---1/4„-•4-.-:.;..-.'•41 .1.7 0,4 , - A GE N D A ITEM . _ , __ z - 3, 2#080C4 -_-,44 .-,--W,144•B-ArZA-54r,..4.4r1"-. .e" -%.4•4:ri,,,.,. 0"Ici -•• - ---I i '-:„.441 ;-,0-77...---„.„,_r."4:1;Z:Fi‘,-v:.:4, -::-1,-,..rg..r...44,gr,: : ••.-F ,--4,41 --,1? ---'Az-, -5kr\r- 1 .7 's--J f.s.,..•,..,-*,,... ""4"*!-,,,,t44.-',0„.,4t., -r-J-4. 7-•-,.. tr.,•••••. .....-Pm-s044 !- -.-- --\ •Aptlre,,, ,...u.v; . _..).:!.. _.,....„ • • .. •-?. ..- • • .. .4,,, ,.. ^..,f.... ,=I.• it orr IL ;_ . 1, ,,_ -sr 17:., ".:. .,`"*•••90:4 .,,4,,,,.,...'4.-....s.. ....1*j.,.. ,•*3--..-t:., . . • i ,,., •,---./A7K-.1, - -.... .--„,::---firt7„,p, „„..: -..tr:k..,4k,„_,,...rks:;7.V-......V4. --.1.1..-':z . . 4 ----,.•-• ..Mi.,--v..-,-.--1?, ...p•rigsa• 41 S-r .Z.•2. ,,.......“VV.••••;f:',.'=.3tf.",f. • • 40 il lir., 1 f r • r...; tis...4 r y...6. ,..,-,„, .e,,,.....,,.. cg r.,..vr,t ze....r..„.„„,, !we 1 -.04-itl.:Ws.4.i•,- :••:".4,' -..- ..c...v..`A'4'•'•'•4&•'•=147 .'•••42A....1Z.4 t%.R1 i --:;•.';FA".!e•:&1-'41,47:;'F ,r.. TJ:„...„..----.,- -4 2 : -:34'..•-rw' ' - ----s*W- ' ....-rw. ..,0 ,-.„.4,,,,.%•:4.,. 1..,4„....,3.,..t. .... .___---, -'••••••.%,„: 1,...q=7.-:-__.m . l.i..-, --y4,4 • '7:1;1•••-...14-...i.'-fl „.-,..,---7--,aci: *c . -,„,"..4...716.44.-ii.,_,-,,,t,-_.•-•5,•--k..--;_.........44...... .7.7...;:k•,.:-K-- --,... •-•1-...4:g- -.. ..-=.. .-,..'... ..--.4r.. -• -civ----c.--.4.•!..;=-,•-....,"-v4•.r:•-?;,-:. .,., :„.-• ,....- . "2 43'_,..... ..w.,,,..00.- ,, -e.ss,, .• .4,.,mok,.....%/:4.44v.,-24.:_- ,48:::1%-l'.1..,'?.-7*-'''.'i' -... I - • - ---0., .... ..-3.,1.,-,..10,,,,,..,..4,14,.. .4,.....,,,, 1,‘,..,i ;..i.„..„,/,.... lb DDERv.--; ....e.:jc,4-5A. .. • - .._,; ,-.W"`z ,i, ..,- , -a.....).44 •• te.'4-• •,.,•%. •••••0`:Wlit•" 4, t -..---•••••,1 i Hanna-4, - -Iwz,s*zaw-itaVy..t.p .. ..:14twe...vils; -. . —1,4"4• 1,14,1V",..N1og ..k-ot.4..tE4.' : , , _ _._..L. . ,....„,,,,,,..•-4.7. 7.;,...r... ', ..,:trre""itet.‘:,:l l'",ted-ri. , Vi,..:1,..k.:.,),gariaili,•_.‘,.......0.... ....s. ....,:,....-•,10? --.7 Vis • r-1 ...-g- -or , ' ....,.._, ,...;,....s7.1.z..1r-•;741111.tri•fri: ( 2.• .. ' 1 • - ------ ' 4 .,,,,, 9•-,-,,,•ri,---tr:M.7:1=r...-7..t..•?.:11ret•r .II-. • - • . r ' . •• tr.' ' i w•••• 14 f C '; 1 t • V'- il, . . . a , ----4 I--• • • /. ..). -----...,;/-- . . . . , G ,.. _ ) ____.: • 11 i •-•-• ..---14• i • .ti ..,..•.. Ct t.'., ._ Jo • .,.., . I., .., f:. ; .., --.->r i ..."Ni •-1:-.-.•-..- ::: • . - . ..,--• -s. ,-, .9.... .,,, \‘• 4711; • .Z • '- I .: .....; ,,. „ ' S ( f...% • r.i t ,- r T •i•• • '... 1 11. IC). i .4,..,,,..„.__ ; ,.,-, ,;...„ , F.,.%., ' U.i IC) I ,---tio: • • • .4 ,• • \ :*•••V X f il 1 ,,•_,. .•,,. -1 iii -.-.::-.s D a t 1 0 ! 4.,,. •--- - 0 ,....,,...... ; < i iq ‘ ..y...... ;., 00 t , "C CO I g .... t "1..;..:,•T,;1..: -,\.:•,•Y--z.4,'Slr.Niil./%-....,,.....s.._s-tp7...:,,.*-C-.:,,!:.-:.4,-•;r-:.It ett*v,..:•, \,.._ • , ----ti14 l_ \ )-_L .' )__ _ _o 1 C.,......-..;) ..I.41..111,v 4,. .• _ i 4 , .• t P , Ii • - 6. i •-. ; .11-. .......• , ige. 1 I • ?or% 1 - .NS ,:.z. i I ( v./de_ TEr ..., •-•\ =.•:.--,•:---.4.-----.--..'-. t___ - .„..,,,,z.j. 1 , I ---.-C)-- . — _Ts 1 ; r- i e) ; • -.. L 1:.: s ..,..,,,,, ;e... „.„_...„,,.....v. ____,..) ;., • i i .. .1 G V-P-:. *.d,--...• I t (p , 1 „ AZ i -. . ' i a3 IP • -Ft.. • .,,, _, ,.: • ,.. .•••• '14010111°- ri 1 9T H sr 1 1 • • ,4 } Fn . • -. -- : . .. .. '-.: . 'N.., .. L -... ...0 • • - " • -4- . ..„ J,2,-i. N. ‹. 1,,.::' .::, • .' q : "V k i • „ ., ....r.-0-4,,,..-...,„:14,....4,,..• ,. .., ., .. ... I Ey ,,, , - .• ' '9 .. t 111.r i L.. .1',,.11.- / -....,,,j) , "4 '''‘',../. ,.. i ,,3 • ...:-• , : , i t Z\ ,..• 111,..... a -.. i i :..: : a 2,:, / .. I ( ',Ie...., :: , ,,,. "a.,., • .11f l' I __ ill_____....... • 4_, ., ......... it, ,, ----z4 .H , 1 _.... ... , .. s . ,o.i ..e......s ., 1 4..3 ..r.,r '• '..i 1 E.:- 'it; % 'C.'s,. ', t lite f Au:ATLI a, i I TI •-: .: -*, "s,.:•:. ii________I . .: • -,1:. . -* 4 • 111 I Pia 1 nlia `1 4 r: s Park ,,. a , .. .._. .k je -44,1;g1 ,, t---1 _ g -:! . a ' " \ NP- .. .-:,.• • .. . 0-.5 t_ ,... -----r---- -:•,, - ..r-: %.•-: •\ \ H....... iA .-.1 . . __....._.........____. h:,f,:is,:: 1 '.'.,--.,i-• v_,. AP V. ..: t''',1 .4 1 -ar_.3•,', Z-C)C1N- 1 ...,,rt_z_---- ly., -... ‘,1 ow ' • 1 , . IIV"-. . , . .• BLUE ,:„.,.. 7-. , . .. tt „. - ..,-..0.,'.r. •..".s••••,. •1.,0',•••• r...1‘•A.,,,:re ,',Zit','. I . -' • sZ VP' i S 1 , • . • .-- ,•••..,,,y,,: .•••• ',of': •.4.-k.,...,;re •• rAr Ae.'•"'• • •,..- :,_:.:,.,.7;s.s.- ,....-... --....`..* ,...:,:A,'"rr," • t lt,;-•. ^...- • +.') q;•tt-r.• . ;.• r . Vf t• ...ft.. - :....•A at "'.- 'el. -'•;'•'--VG °1,t1.1." ' .,'''..„7.- . ..... t. .. ___ i :.: i, t• . ' '(;• • P .., . , i••..r- -'' :i.:1 •\ 1 ...„,-. •-•.- , --. •-...;A:'„. :71:::,..,-..k`,.11,./,_'...- .,...;.F.,-;,....,.. .:,, .t lt;pet .•••:'..-',.$4,,:o.t.to_ilee:szky •:1*Z..t.tolas-.0.,:;,.. ., ...-, .. .. 1 I i A ir,A =I tift-e. . i_ .-'• - • -eigr-- 1U,IIIrr-in• ' •,, -• AGENDA ITEM#8D FEBRUARY 23,2004 1 ' CITY OF ATLANTIC BEACH CITY COMMISSION STAFF REPORT AGENDA ITEM: Changing the common reference of Atlantic Beach Subdivision "A" from "Core City"to "Old Atlantic Beach" SUBMITTED BY: Sonya Doerr, AICP j Community Development Director DATE: February 05, 2004 BACKGROUND: At the suggestion of the Commission, the attached general notice has been published to notify residents of the City's intention to cease using the name Core City when referring to the original, older part of the City and return to the general reference of this ' area as Old Atlantic Beach. The legal name of this area, as it appears on the official recorded plat will remain Atlantic Beach Subdivision"A." General references to this original portion of the City that do not require a legal description shall refer to the area as Old Atlantic Beach. BUDGET: No budget issues. RECOMMENDATION: Approve the use of the general reference of Old Atlantic Beach ' when referring to that area of the City formerly called the Core City and platted as Atlantic Beach Subdivision "A." (The legal name of this area, as it appears on the official recorded plat, will remain unchanged.) ATTACHMENTS: Copy of notice to residents. REVIEWED BY CITY MANAGER. ' February 23,2004 regular meeting AGENDA ITEM#8D FEBRUARY 23,2004 L I NOTICE TO RESIDENTS WITHIN THE CITY OF ATLANTIC BEACH NOTICE is hereby given that the City of Atlantic Beach proposes to change the common reference of that portion of the City, known in recent years as the "Core City" to its historic name of "Old Atlantic Beach." The legal name of this area, as it appears on the recorded plat shall remain Atlantic Beach Subdivision "A." General references to this original portion of the City that do not require a legal description shall refer to the area as "Old Atlantic Beach." Any citizen having comments regarding this matter may direct these by mail to: Atlantic Beach City Hall, 800 Seminole Road, Atlantic Beach, Florida 32233; by phone to (904) 247-5800, or by e-mail to the City Clerk at: mking@ci.atlantic-beach.fl.us C C I C a C C I C C CITY OF ATLANTIC BEACH AGENDA ITEM#8EFEBRUARY 23,2004 CITY COMMISSION MEETING STAFF REPORT • ' AGENDA ITEM: Authorize the City Manager to enter into a contract with the Tennis Instructor Sandra Phillips for use of tennis courts and Atlantic Beach Experimental Theatre for use of Adele Grage Cultural Center. SUBMITTED BY: Timmy Johnson, Recreation Director DATE: February 12,2004 BACKGROUND: For the past couple of years,the City entered into a contract with ABET and Tennis Instructor Sandra Phillips for use of City facilities to promote community sports programs,theatrical entertainment and offer tennis lessons to Atlantic Beach citizens. The programs are well organized, have great participation and are enjoyed by all. ABET is operated by George Maida and Tennis Lessons are provided by Sandra Phillips. Normally the contracts are approved in October,but because we have been waiting on the contracts, exclusive dates,proof of insurance, 501c3 forms, and fee schedule,the request to have the contracts approved is late. Currently we are still waiting on ' the proof of insurance from the Atlantic Beach Athletic Association. ABET is submitting a new request for use of the Adele Grage Cultural Center for a year-round ' Children's Theater program. As information,the YMCA has received authorization to use the building for after-school and summer programs, which would create a scheduling conflict. RECOMMENDATION: Authorize the City Manager to enter into contracts with Atlantic Beach Experimental Theatre, excluding the Children's Theater program,and Tennis Instructor Sandra Phillips for use of City 1 facilities. ATTACHMENTS: Contracts REVIEWED BY CITY MANAGER: 1 ' AGENDA ITEM#8E FEBRUARY 23,2004 To: Timmy Johnson and ' Atlantic Beach City Commission From: ABET ' Re: Contract addendum ABET requests the following provision to our contract, now pending renewal,to allow for the resumption of Children's theater; this provision has been in prior year contracts: The organization shall be permitted to operate educational and recreational theater ' camps and classes for children at times and dates indicated in the attached schedule. In the event that dates and times indicated conflict with those of groups which have prior permission to use the premises, the use for ABET Children's program activities ' will be contingent upon agreement with said group. Respectfully submitted - Vibtizt George N. Maida President, ABET Board of Directors I 1 1 I AGENDA ITEM #8E FEBRUARY 23,2004 1 I CITY OF A MANTIC BEACH RENTAL CON TRACT FOR PUBLIC FACILITIES LONG TERM IAGREEMENT made and entered into this I f II, day of /va✓-IM 6 At Atlantic Beach, Duval County, Florida, by and between CITY OF ATLANTIC IBEACH, a Florida municipal corporation, 800 Seminole Road, Atlantic Beach, Florida 32233 (hereinafter"City"), and Atlantic Beach Experimental Theater of 716 Ocean Blvd Atlantic Beach, Florida (904) 273-7418 (hereinafter"Renter"). I WHEREAS, Renter desires to use the followingpublic facility: Y Adele Grage Cultural Center Theater and Dressing Rooms and, I WHEREAS, Renter desires to use saidpublic facilityon a recurringbasis such as RE I daily, weekly, monthly, during a particular season, or the like, which is more than a one time use, and therefore a-long term use, and IWHEREAS, the parties are in complete agreement regarding the terms set forth herein. NOW THEREFORE, in consideration of the covenants and promises as set forth herein, I and any rental payment made hereunder, and other valuable consideration, the receipt and sufficiency of which is acknowledged by both parties, it is I AGREED AS FOLLOWS: 1. Length of Rental Term: This agreement shall run from 10/1/03 through 9/30/04. I2. Amount and Time of Payment: Renter, in exchange for use of the facility, shall pay to the City the annual fee of$200.00 at the time of signing this agreement. I Such fee may be waived at the discretion of the City Manager if Renter is a governmental agency or an organization that provides a public service available to all, is non-profit in nature, and charges no user or admission fees. Renter shall provide the City with a copy I of its tax exempt form or other proof or evidence satisfactory to the City Manager of Renter's non-profit status. I 3. Conditions: This agreement is made and entered into upon the following express covenants and conditions, all and everyone of which Renter hereby covenants and agrees, with the City, to deep and perform: Ia. No fees or admission costs shall be charged to the public unless approved in writing by the City Manager. Ib. No use of alcoholic beverages shall be permitted without the written permission of the City Manager. ( AGENDA ITEM #8E FEBRUARY 23,2004 L c. Renter shall provide to the City a copy of audited financial statements if requested. In the event audited financial statements are not available, renter shall provide all supporting documents with its own financial statements. d. Renter shall insure compliance with all city, state and federal laws, as well as any rules and regulations of the City for the government and management of the public facility, together with all rules and requirements of the police and fire departments of the City. e. Renter shall allow no discrimination based on race, sex, age, religion, national origin, disability or otherwise. f. Renter shall make no alterations to the facility of a permanent nature without the express written consent of the City Manager. g. Renter's use of the facility is not exclusive outside of the dates and time as set forth below. Renter shall leave the facility available for use by other parties if other activities are scheduled or upon the request of City Staff. This may include removal and storage of Renter's property. h. Renter shall be responsible for its own furnishings and equipment and shall maintain the facility in a clean and safe condition. i. Renter shall correct any discrepancies noted by the City. Should corrective action be required by the City, such action shall be the financial responsibility of the Renter. j. Any exclusive use shall be as set forth below. The use of the facility in addition to the exclusive use periods shall be requested through the Parks and Recreation Director under the general rules, i.e., a facility may be requested for short tem use by applying for such use after the 15th day of each month for a day or time period within the next month. For example, any organization requesting the short term use of a City facility in the month of February could apply for such use after the 15th day of January. k. Renter shall maintain at all times during the lease term at Renter's cost, a • comprehensive public liability insurance policy protecting the City against all claims or demands that may arise or be claimed on account of Renter's �j use of the premises, in an amount of at least $1,000000 for injuries to persons in one accident, $1,000,000 for injuries to any one person, and $1,000,000 for damages to property, the insurance shall be written by a company or companies acceptable to the City and authorized to engage in the business of general liability insurance in the State of Florida. Renter shall deliver to the City satisfactory proof or evidence of such insurance, and shall name the City as an additional insured under said policy. ' AGENDA ITEM#8E FEBRUARY 23,2004 1 1. Renter may apply to the City Commission of Atlantic Beach for a waiver of this insurance requirement. ' The City Commission shall consider such application for waiver on a case by case basis, taking into account the length of the lease term, use of the public facility, number of persons involved in said use, cost of the insurance, and any other factors submitted by Renter which unique and particular to the Renter. 1. Renter agrees indemnify to an d hold harmless the City from any and all ' liability, defense costs, including other fees, loss or damage which the City may suffer as a result of claims, demands, costs or judgment against it, arising from all activities engaged in by Renter in its use of the following public facility: Adele Grage Cultural Center Theater and Dressing Rooms 1 m. Additional provisions agreed upon by the City and Renter: n. Exclusive Use Dates and Times: See attached ' o. Delivery of Facility: The City shall deliver the facility to Renter in good working condition, with any necessary facilities and utilities, and in clean condition. ' p. Control of Building: In renting said facility to Renter, the City does not relinquish the right to control the management and operation of the ' facility, and the City Manager or his designee may enter the facility and all of the demised premises at any time and on any occasion. ' q. Assignment: Renter shall not assign this agreement nor suffer any use of the facility other than herein specified, nor sublet the facility or any part thereof, without the written consent of the City. r. Default: In case the Renter shall default in the performance of any covenant or agreement contained herein, and such default shall continue ' for ten (10) days after receipt by the Renter of written notice thereof given by the City, then the City, at its option, may declare this agreement ended. In that event, Renter shall immediately remove all persons and its property ' from the facility, and failing to do so, the City may cause such removal either with or without process of law, at Renter's expense. These expenses shall include, but not be limited to, reasonable attorney's fees incurred by the City, whether suit is filed or not. 1 AGENDA ITEM #8E FEBRUARY 23,2004 I 1 IN WITNESS WHEREOF, we have hereunto set our hands and official seals this day of CITY OF ATLANTIC BEACH By: Z7flA&J Its NTER" "CITY" 4 /3Arri Phi 1 i 1 1 1 1 1 1 1 . 1 1 1 1 . AGENDA ITEM #8E FEBRUARY 23,2004 I ' CITY OF ATLANTIC BEACH RENTAL CONTRACT FOR PUBLIC FACILITIES LONG TERM AGREEMENT made and entered into this day of At Atlantic Beach, Duval County, Florida, by and between CITY OF ATLANTIC BEACH, a Florida municipal corporation, 800 Seminole Road, Atlantic Beach, Florida 32233 (hereinafter"City"), and Sandra Phillips of 58 Jefferson Ave. Ponte Vedra Beach, Florida (904) 273-7418 (hereinafter"Renter"). WHEREAS, Renter desires to use the following public facility: Tennis Courts 5 and 6 at Russell Park and, a WHEREAS, Renter desires to use saidP ublic facilityon a recurring basis such as daily, weekly, monthly, during a particular season, or the like, which is more than a one time use, and therefore a long term use, and WHEREAS, the parties are in complete agreement regarding the terms set forth herein. a NOW THEREFORE, in consideration of the covenants and promises as set forth herein, and any rental payment made hereunder, and other valuable consideration, the receipt and sufficiency of which is acknowledged by both parties, it is AGREED AS FOLLOWS: hi 1. Length of Rental Term: This agreement shall run from 10/1/03 through 9/30/04. ' 2. Amount and Time of Payment: Renter, in exchange for use of the facility, shall pay to the City the annual fee of$200.00 at the time of signing this agreement. Such fee may be waived at the discretion of the City Manager if Renter is a governmental agency or an organization that provides a public service available to all, is non-profit in nature, and charges no user or admission fees. Renter shall provide the City with a copy ' of its tax exempt form or other proof or evidence satisfactory to the City Manager of Renter's non-profit status. 3. Conditions: This agreement is made and entered into upon the following express covenants and conditions, all and everyone of which Renter hereby covenants and agrees, with the City, to deep and perform: 1 a. No fees or admission costs shall be charged to the public unless approved in writing by the City Manager. ' b. No use of alcoholic beverages shall be permitted without the written permission of the City Manager. I AGENDA ITEM#8E FEBRUARY 23,2004 L c. Renter shall provide to the City a copy of audited financial statements if requested. In the event audited financial statements are not available, renter shall provide all supporting documents with its own financial statements. �j d. Renter shall insure compliance with all city, state and federal laws, as well as any rules and regulations of the City for the government and management of the public facility, together with all rules and requirements of the police and fire departments of the City. e. Renter shall allow no discrimination based on race, sex, age, religion, national origin, disability or otherwise. ' f. Renter shall make no alterations to the facility of a permanent nature without the express written consent of the City Manager. g. Renter's use of the facility is not exclusive outside of the dates and time as set forth below. Renter shall leave the facility available for use by other ' parties if other activities are scheduled or upon the request of City Staff. This may include removal and storage of Renter's property. ' h. Renter shall be responsible for its own furnishings and equipment and shall maintain the facility in a clean and safe condition. i. Renter shall correct any discrepancies noted by the City. Should corrective action be required by the City, such action shall be the financial ' responsibility of the Renter. j. Any exclusive use shall be as set forth below. The use of the facility in ' addition to the exclusive use periods shall be requested through the Parks and Recreation Director under the general rules, i.e., a facility may be requested for short tem use by applying for such use after the 15th day of ' each month for a day or time period within the next month. For example, any organization requesting the short term use of a City facility in the month of February could apply for such use after the 15th day of January. ' k. Renter shall maintain at all times during the lease term at Renter's cost, a comprehensive public liability insurance policy protecting the City against all claims or demands that may arise or be claimed on account of Renter's use of the premises, in an amount of at least $1,000,000 for injuries to persons in one accident, $1,000,000 for injuries to any one person, and for damages to property, the insurance shall be written by a I $1.000.000 company or companies acceptable to the City and authorized to engage in the business of general liability insurance in the State of Florida. Renter I shall deliver to the City satisfactory proof or evidence of such insurance, and shall name the City as an additional insured under said policy. I ' L AGENDA ITEM#8E FEBRUARY 23,2004 L 1. Renter may apply to the City Commission of Atlantic Beach for a waiver of this insurance requirement. The City Commission shall consider such application for jr waiver on a case by case basis, taking into account the length of the lease term, use of the public facility, number r of persons involved in said use, cost of the insurance, and any other factors submitted by Renter which unique and particular to the Renter. 1. Renter agrees to indemnify and hold harmless the City from any and all liability, defense costs, including other fees, loss or damage which the City f may suffer as a result of claims, demands, costs or judgment against it, arising from all activities engaged in by Renter in its use of the following public facility: Tennis Courts 5 and 6 at Russell Park I . m. Additional provisions agreed upon by the City and Renter: In. Exclusive Use Dates and Times: See attached I o. Delivery of Facility: The City shall deliver the facility to Renter in good working condition, with any necessary facilities and utilities, and in clean condition. Ip. Control of Building: In renting said facility to Renter, the City does not relinquish the right to control the management and operation of the I facility, and the City Manager or his designee may enter the facility and all of the demised premises at any time and on any occasion. q. Assignment: Renter shall not assign this agreement nor suffer any use of Ithe facility other than herein specified, nor sublet the facility or any part thereof, without the written consent of the City. Ir. Default: In case the Renter shall default in the performance of any covenant or agreement contained herein, and such default shall continue I for ten (10) days after receipt by the Renter of written notice thereof given by the City, then the City, at its option, may declare this agreement ended. In that event, Renter shall immediately remove all persons and its property ' from the facility, and failing to do so, the City may cause such removal either with or without process of law, at Renter's expense. These expenses shall include, but not be limited to, reasonable attorney's fees Iincurred by the City, whether suit is filed or not. I AGENDA ITEM#8E FEBRUARY 23,2004 IN WITNESS WHEREOF, we have hereunto set our hands and official seals this day of CITY OF ATLANTIC BEACH By: Its L/ "RENTER" "CITY" I I 1 1 I I I I C I L AGENDA ITEM #8G FEBRUARY 23,2004 L STAFF REPORT II City of Atlantic Beach Commission Meeting AGENDA ITEM: Property Disposition Agreement DATE: February 9,2004 ISUBMITTED BY: David E.Thompson,Chief of Police/DPS BACKGROUND: Last year,the City Commission changed Chapter 15 of the City Code so that I it allows for the disposition of property through on-line auction services. The purpose of this report is to recommend and seek the approval of an agreement with Property Bureau for the disposition of City Property. I Online Auction Services: There are private companies that specialize in the disposal of property through an on-line auction process. Property Bureau specializes in the disposal of property from police property rooms, and this is the intended purpose of this contractual agreement. However, Property Bureau is also Iwilling to dispose of other types of property. At some point in the future,if the City decides to utilize Property Bureau to dispose of surplus property,then a list of the surplus items will be brought to the City Commission for approval. Legally, the City is not Iallowed to dispose of surplus property without Commission approval. Property Bureau will pick up property from a governmental site,and they will barcode,digitally photograph I and upload detailed descriptions of all items to an auction site. At the conclusion of the action, funds are collected and the items are shipped to the buyer. 50%of the funds are sent to the governmental agency,and Property Bureau keeps 50% for their business. If the sale of an item exceeds $1,000, then the City will I receive 75% of the winning bid. This process will allow an item to be seen and marketed nationwide, and during the process,the property will not be taking up valuable space in city facilities. In addition,this site provides a valuable service to citizens. It is called"Steal-it-Back". This service assists Ithe rightful owner in identifying and claiming stolen,lost or abandoned property. Property Bureau tracks each and every item in detail, and they provide disposition information that can be verified. There are a number of cities and counties using Property Bureau for the disposition of property, Iincluding eight(8)local entities in the state of Florida. The agreement has been approved by City Attorney Alan Jensen. IBUDGET: No Costs: Possible increase in revenue generated by on-line auction. I RECOMMENDATIONS: Approval of contract with Property Bureau.com, Inc.to dispose of property for the City of Atlantic Beach. IATTACHMENTS: Contract IREVIEWED BY CITY MANAGER• GENDA ITEM NUMBER: AGENDA ITEM#8G r . FEBRUARY 23,2004 PROPERTY DISPOSITION SERVICES AGREEMENT ' PropertyBureau.com, Inc., an Arizona corporation ("PropertyBureau"), enters into this agreement (the "Agreement"), with the customer identified below (the "Owner") for the auction and disposition of personal property (the "Disposition Services"), in accordance with the Terms and Conditions and Addenda, if any, attached hereto and listed below. Beginning , (the "Start Date") Owner engages the Disposition Services of PropertyBureau. This Agreement will terminate on , (the "Termination Date"), or at such other time as provided herein. OWNER INFORMATION: SCHEDULES,SUPPLEMENTS AND OTHER ' ATTACHMENTS: (Mark only if included) [Owner Name] Terms and Conditions yes ' [Address] Addendum [Phone] ' THIS AGREEMENT INCLUDING ALL OF THE TERMS AND CONDITIONS SET FORTH ON THE ATTACHED TERMS AND CONDITIONS, AND ALL OTHER ATTACHMENTS INDICATED IN THE BOX ABOVE, IS THE PARTIES' ENTIRE AGREEMENT AND CANNOT BE MODIFIED EXCEPT IN WRITING BY THE DULY AUTHORIZED REPRESENTATIVES OF BOTH PARTIES. EXECUTED on the date(s)indicated below: PropertyBureau,Inc. [Legal Name of Owner] By: By: [Name and Title] Date: Date: PropertyBureau.com, Inc. 3551 Camino Mira Costa,Suite C San Clemente California 92672 Phone: 800-799-2440 Federal Tax ID 86-0962102 1, I Rev 6/12/02 Page 1 of 4 I AGENDA ITEM#8G FEBRUARY 23,2004 ITERMS AND CONDITIONS 1. Property to be Sold. From time to time, Owner will designate items of personal property (the Property") that it desires to provide to PropertyBureau for Disposition Services. PropertyBureau retains the right to accept or reject Icertain items in its sole discretion. 2. Title. Owner shall retain legal title to the Property until it is purchased by auction or otherwise disposed of in accordance with this Agreement at which time Owner will be deemed to have transferred title to the purchaser or other acquirer of the item of Property. Owner appoints PropertyBureau as its attorney-in-fact to sign any and all documents necessary to assign to purchasers of Property all of Owner's right, title and interest in and to Property sold or disposed. All cash receipts, accounts receivable, contract rights, notes, general intangibles, and other rights to payment of every I kind, arising out of the sales and dispositions of Property (collectively the "Proceeds") belong to Owner, subject to PropertyBureau's right to PropertyBureau's Net Proceeds and funds attributable to Credit Card Costs and other transaction costs. Owner's Property shall, at all times before sale or disposition, be subject to the direction and control of Owner. I 3. Method of Selling Property. PropertyBureau will, on Owner's behalf, list Property for sale by auction to the public on the World Wide Web of the Internet on one or more domain names selected by PropertyBureau. To the extent that any Property is not sold by auction, PropertyBureau may, in any commercially reasonable manner selected by I PropertyBureau, dispose of Property. PropertyBureau will determine all aspects, terms and conditions of auctions of Property and dispositions of Property not purchased at auction,subject to the ultimate control of Owner. PropertyBureau will be responsible for all phases of submitting the Property for auction, including, but not limited to, determining when Property will be auctioned, setting the opening and reserve prices of Property, if any; determining the selling price, I setting the length of time a Product will be auctioned; creating text and graphics to describe and depict Property submitted for auction; collecting all purchaser information (such as purchaser's name, billing address, shipping address, and credit card information); approving purchasers' credit card purchase transactions; and collecting auction proceeds for completed sales from purchasers. PropertyBureau shall use its best efforts in auctioning and selling the Property on I the Internet and disposing of Property that does not sell at auction. PropertyBureau shall sell and dispose of all Property "as is"without any liability to the Owner. PropertyBureau is solely responsible for identifying and resolving sales and use tax collection issues arising from Property sales,including the necessity of charging and collecting such taxes. I 4. Allocation of Sales Proceeds. a. The total amount paid by the purchaser shall be called the "Sales Price". The Sales Price shall include the winning bid amount(the"Winning Bid")and all costs, shipping and handling charges,taxes,and insurance costs I associated with the transaction and paid by the purchaser. . b. For each item of Property, Owner will be credited with 50% of the first $1,000 of the Winning Bid and 75% of the portion, if any, of the Winning Bid that exceeds$1,000. From this amount,the owner's pro rata share of transaction fees, if any, assessed by the credit card processor ("Credit Card Costs") will be Ideducted. d. Credit Card Costs will be borne by Owner and PropertyBureau in proportion to the percentage of the revenue I credited to the parties for each underlying transaction. d.Amounts received by the Owner will be called"Owner's Net Proceeds". The following example illustrates how proceeds of a sale are to be allocated. Assume an item of Property sells at I auction for a Winning Bid of$100; the buyer pays shipping and handling of$10, insurance of$2, and sales tax of$6. The buyer pays the Sales Price of$118.00 by credit card, and the Credit Card Costs are 2% of the Sales Price. The Credit Card Cost is therefore $2.36 ($118 x .02). The Owner and PropertyBureau each share 50% of the underlying Winning Bid, therefore Credit Card Costs are also shared equally ($1.18 each). The Owner's Net Proceeds are $48.82 ($50.00 less$1.18). 5. Payment Terms. Not later than the 15th of each month, PropertyBureau will pay to Owner the amount of Owner's Net Proceeds payable for completed sales during the preceding month. Sales are deemed completed when all items 11 I comprising a line item on the original manifest or other list of Property are sold. With each monthly payment, PropertyBureau will deliver to Owner a detailed report of completed sales activity for the preceding month showing PropertyBureau's calculation of the amount of Owner's Net Proceeds for the month. With each payment of Owner's Net Proceeds, PropertyBureau will deliver to Owner a written report setting forth the following information for the immediately I preceding month:(i)the completed sales during the prior month, including the total amount of related proceeds collected, the Owner's and PropertyBureau's share of Credit Card Costs, the Owner's Net Proceeds; (ii) other dispositions of Property during the month; (iii)the Property,if any, inventoried by PropertyBureau at the end of the month. Page 2 of 4 6/12/02 II I L AGENDA ITEM #8G FEBRUARY 23,2004 L 6. PropertyBureau's Obligations Concerning Property in Its Possession. With respect to Property in PropertyBureau's possession: (i) PropertyBureau will exercise due care in the handling and storage of any Property; (ii) PropertyBureau shall keep the Property free of liens, security interests, and encumbrances, and shall pay when due all I fees and charges with respect to the Property; (iii) PropertyBureau shall sign and deliver to Owner any UCC-1 financing statements or other documents reasonably requested by Owner; (iv)PropertyBureau shall obtain and maintain insurance in an amount (determined by PropertyBureau) not less than the replacement value of Property in its possession. The insurance will cover the Property against fire, theft, and extended coverage risks ordinarily included in similar policies. PropertyBureau shall give Owner an insurance certificate upon Owner's request; and (v) If PropertyBureau returns any Property to Owner, PropertyBureau shall pay all freight charges, insurance and related costs to return the Property to Owner's nearest warehouse. PropertyBureau, at PropertyBureau's expense, shall insure Property during shipping in an amount not less than the replacement value of any item of Property returned to Owner. I 7. Owner's Obligations. Owner will use its best efforts to provide to PropertyBureau such Property as becomes available for sale to the public. Owner will complete paperwork reasonably necessary to convey custodial possession of the item of property to PropertyBureau, including a written manifest or list that describes the item of Property in sufficient i detail for identification. 8. Restrictions on Bidding. PropertyBureau and its employees and agents may not directly or indirectly bid for or purchase auctioned Property on the Property Bureau web site. C 9. Representations and Warranties of Owner. Owner hereby represents, warrants and covenants as follows: (i) Property delivered to PropertyBureau is available for sale to the general public without any restrictions or conditions whatever; (ii) Owner will not knowingly deliver to PropertyBureau any Property of a counterfeit or illegal nature; and (iii) I Owner has taken all required actions under applicable law that are conditions precedent to Owner's right to transfer title to the Property to purchasers(the"Conditions Precedent"). 10. Books and Records. PropertyBureau will keep complete and accurate books of account, records, and other documents with respect to this Agreement (the "Books and Records") for at least three years following expiration or I termination of this Agreement. Upon reasonable notice, the Books and Records will be available for inspection by Owner, at Owner's expense, at the location where the Books and Records are regularly maintained, during normal business hours. I 11. Term and Termination. Unless terminated earlier, the term of this Agreement will begin on the Start Date and terminate on the Termination Date. This Agreement may be terminated if there is a breach by either party of any obligation, representation or warranty contained in this Agreement, upon thirty days prior written notice to the other party I unless the breach is cured within the thirty day period, provided, however, if the breach is not capable of being cured within thirty days, the breaching party will have a reasonable amount of time to cure the breach if it begins to cure during the thirty day period and proceeds diligently thereafter. The written notice will specify the precise nature of the breach. The rights of the parties to terminate this Agreement are not exclusive of any other rights and remedies available at law I or in equity, and such rights will be cumulative. The exercise of any such right or remedy will not preclude the exercise of any other rights and remedies. Notwithstanding any termination by either party of this Agreement, PropertyBureau will continue to remit amounts due to Owner under this Agreement in connection with any sales made before the effective date of the termination. At the time of termination, any unsold inventory shall continue to be auctioned by Property I Bureau or returned to Owner,at owner's election and cost. 12. Indemnification. Subject to the limitations specified in this Section 12, each party will indemnify, hold harmless and defend the other party and its agents and employees from and against any and all losses, claims, damages, liabilities, I whether joint or several, expenses(including reasonable legal fees and expenses),judgments, fines and other amounts paid in settlement, incurred or suffered by any such person or entity arising out of or in connection with(i)the inaccuracy of any representation or warranty made by the party hereunder, (ii)any breach of this Agreement by the party,or(iii)any negligent act or omission by the party or its employees or agents in connection with the performance by the party or its employees or agents of obligations hereunder, provided the negligent act or omission was not done or omitted at the I direction of the other party. 13. Limitations on Liability. UNDER NO CIRCUMSTANCES WILL EITHER PARTY BE LIABLE TO THE OTHER I PARTY FOR INDIRECT, INCIDENTAL, CONSEQUENTIAL, SPECIAL OR EXEMPLARY DAMAGES (EVEN IF THAT PARTY HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES), ARISING FROM BREACH OF THE AGREEMENT, THE SALE OF PROPERTY, OR ARISING FROM ANY OTHER PROVISION OF THIS AGREEMENT, SUCH AS, BUT NOT LIMITED TO, LOSS OF REVENUE OR ANTICIPATED PROFITS OR LOST BUSINESS I (COLLECTIVELY, "DISCLAIMED DAMAGES"); PROVIDED THAT EACH PARTY WILL REMAIN LIABLE TO THE OTHER PARTY TO THE EXTENT ANY DISCLAIMED DAMAGES ARE CLAIMED BY A THIRD PARTY AND ARE SUBJECT TO INDEMNIFICATION PURSUANT TO SECTION 12. LIABILITY ARISING UNDER THIS AGREEMENT WILL BE LIMITED TO DIRECT, OBJECTIVELY MEASURABLE DAMAGES. THE MAXIMUM LIABILITY OF ONE II I Rev 6/12/02 Page 3 of 4 AGENDA ITEM#8G I FEBRUARY 23,2004 I PARTY TO THE OTHER PARTY FOR ANY CLAIMS ARISING IN CONNECTION WITH THIS AGREEMENT WILL NOT EXCEED THE AGGREGATE AMOUNT OF PAYMENT OBLIGATIONS OWED TO THE OTHER PARTY HEREUNDER IN THE YEAR IN WHICH LIABILITY ACCRUES; PROVIDED THAT EACH PARTY WILL REMAIN LIABLE FOR THE I AGGREGATE AMOUNT OF ANY PAYMENT OBLIGATIONS OWED TO THE OTHER PARTY PURSUANT TO THE AGREEMENT. NOTWITHSTANDING ANYTHING HEREIN TO THE CONTRARY, OWNER'S LIABILITY IS NOT LIMITED UNDER THIS AGREEMENT WITH RESPECT TO LIABILITY ARISING FROM OWNER'S FAILURE TO SATISFY TIMELY ALL CONDITIONS PRECEDENT. I14. Notices. Any notice under this Agreement must be in writing. Initially the addresses of the parties will be as follows: (i) If to PropertyBureau: PropertyBureau, Attn: Tom Lane, President, 3551 Camino Mira Costa, Suite C, San Clemente California 92672; and (ii) If to Owner: At the address stated below Owner's Signature block on the first page I of this Agreement. The parties may, from time to time and at any time, change their respective addresses and each will have the right to specify as its address any other address by at least ten days'written notice to the other party. 15. Severability. Whenever possible, each provision of this Agreement will be interpreted in such a manner as to be I effective and valid under applicable law, but if any provision of this Agreement is held to be prohibited by or invalid under applicable law, such provision will be ineffective only to the extent of such prohibition or invalidity,without invalidating the remainder of such provision or the remaining provisions of this Agreement. I 16. Complete Agreement. This Agreement and any related documents delivered concurrently herewith, contain the complete agreement between the parties relating to the subject of this Agreement and supersede any prior understandings, agreements or representations by or between the parties, written or oral, which may be related to the subject matter hereof in any way. 17. Attorneys' Fees and Legal Expenses. If any proceeding or action is brought to recover any amount under this Agreement, or for or on account of any breach of, or to enforce or interpret any of the terms, covenants, or conditions of this Agreement,the prevailing party will be entitled to recover from the other party, as part of the prevailing party's costs, I reasonable attorneys' fees, the amount of which will be fixed by the court, and will be made a part of any judgment rendered. 18. Further Assurances. PropertyBureau and Owner will each sign such other documents and take such actions as I the other may reasonably request in order to effect the relationships, services and activities contemplated by this Agreement and to account for and document those activities. 19. Governing Law. The internal law, and not the law of conflicts, of the state in which the Owner is located will govern 111all questions concerning the construction, validity and interpretation of this Agreement and the performance of the obligations imposed by this Agreement. The proper venue for any proceeding at law or in equity will be the state and county in which the Owner is located, and the parties waive any right to object to the venue. 20. Relationship of the Parties. The relationship created hereunder between Owner and PropertyBureau will be solely I that of independent contractors entering into an agreement. No representations or assertions will be made or actions taken by either party that could imply or establish any agency,joint venture, partnership, employment or trust relationship between the parties with respect to the subject matter of this Agreement. Except as expressly provided in this Agreement, neither party will have any authority or power whatsoever to enter into any agreement, contract or I commitment on behalf of the other,or to create any liability or obligation whatsoever on behalf of the other,to any person or entity. Whenever PropertyBureau is given discretion in this Agreement, PropertyBureau may exercise that discretion solely in any manner PropertyBureau deems appropriate. I 21. Force Majeure. Neither party will be liable for any failure of or delay in the performance of this Agreement for the period that such failure or delay is due to acts of God, public enemy, war, strikes or labor disputes, or any other cause beyond the parties' reasonable control (each a "Force Majeure"), it being understood that lack of financial resources will ill I not to be deemed a cause beyond a party's control. Each party will notify the other party promptly of the occurrence of any Force Majeure and carry out this Agreement as promptly as practicable after such Force Majeure is terminated. The existence of any Force Majeure will not extend the term of this Agreement. 22. Counterparts. This Agreement may be signed in any number of counterparts. 1 i IRev 6/12/02 Page 4 of 4 AGENDA ITEM#8H FEBRUARY 23,2004 CITY OF ATLANTIC BEACH CITY COMMISSION MEETING STAFF REPORT AGENDA ITEM: Radio Survey for Lift Stations SUBMITTED BY: Donna Kaluzniak, Utility Directo4 DATE: February 17, 2004 BACKGROUND: The central SCADA system has been installed at treatment plants. Funds have been budgeted to add the City's 29 lift stations to the SCADA system in a phased-in manner. The SCADA system would allow for remote monitoring of lift station operation and alarms, allowing for improved record keeping and quicker response to lift station malfunctions. The existing SCADA system included the installation of 2.4 GHZ wireless radios, which are also used as part of the City's wireless network system. Additional 2.4 GHZ radios could be used as part of a future wireless canopy around the City. However, the 2.4 GHZ radios require the antennas to be mounted to maintain a"line of sight"with the central antenna at Water Plant#1 or with another antenna. This can result in the need for a very tall antenna, which may not be aesthetically pleasing in some of the neighborhoods. Shorter, less intrusive antennas can be used with 900 MHZ radios, however these will not be usable for the wireless network. In order to develop a request for proposal for contractors to bid on the system, a radio site survey must be completed to determine which of the 29 lift stations will be able to use the 2.4 GHZ ' radios without intrusive antennas and which will need to use 900 MHZ radios. ' Staff requested a proposal from TouchPoint, as they are the firm that performed the radio site survey for the treatment plants system, and are also the firm that installed the antennas for the wireless system. TouchPoints price for performing this work is $13,629.84. ' BUDGET: A total of$60,000 was budgeted for the first phase of the Lift Station SCADA project in the Sewer Fund under account no. 410-5506-535-6300. ' RECOMMENDATION: Authorize TouchPoint to complete the radio site survey for Lift Stations. ' ATTACHMENTS: 1. Proposal from TouchPoint ' REVIEWED BY CITY MANAGER: AGENDA ITEM#8H FEBRUARY 23,2004 10199 Southside Blvd. Suite 106 QUOTE Jacksonville, FL 32256 Quote: TP1Q8602 (TOU Phone: (904)519-9933 iPo!nt Fax(904)519-9988 Date 02/04/04 II Sales Rep. Peter Thornton Quote To: Ship To: City of Atlantic Beach City of Atlantic Beach Donna Kaluzniak Donna Kaluzniak 800 Seminole Rd. 800 Seminole Rd. Atlantic Beach, FL 32233 Atlantic Beach, FL 32233 Site Survey for Lift Stations Qty Part Number IG-SS-SPREAD INSTG-1 Description Unit Price $205.88 Ext. Price 28 Site Survey -Atlantic Beach Lift Stations $5,764.64 6 InstallGuy Daily Add Tech(1) $705.88 $4,235.28 28 IG-PD-SPREAD Path Design,documentation, BOM $52.94 $1,482.32 $535.29 I 7 IG-EX-HOTEL Expense Hotel, Lodging estimate $76.47 14 760 IG-EX-PER-DIEM Expense-Meals per diem $29.41 $0.38 $411.74 IG-EX-TRANS Expense Mileage incl.200m between sites $288.80 $235.30 2 IG-EX-TRAVEL Travel Day $117.65 1 TMZ-50/30 Towable Boom Lift $676.47 $676.47 SubTotal $13,629.84 Sales Tax $0.00 III Shipping $0.00 Total $13,629.84 I Thisquote maynot include all applicable shipping/handling and sales tax charges. PP ' CONSEQUENTIAL(includingdeath)to DAMAGES: anyperson,or TouchPointlossor shalldamage notto be liableproperty for any(including speciawil,thout incidental,limitation,exemplarypropertyor anyhandled otheror damage,processedby direct,theuse indireofct,said or equipment)consequentialor lossloss of or antiexpensecipated or for profits, savings,goodwill,reputation,business receipts or contracts,or losses resulting from third party claims even if TouchPoint has been notified of the possibility or likelihood of such damages occurring. LIMITATION OF LIABILITY:In no event will TouchPoint's liability in the aggregate for any damages to customer or,any customer entity,or third party ever exceed the price paid by I customer to TouchPoirrt hereunder for the individual product or service subject to such claim regardless of the form of action,whether based on contract,negligence,strict liability, products liability or otherwise repair or replacement of the product or refund of the purchase price shall be at TouchPoint's sole discretion.The foregoing shall be customer's sole and exclusive rights. WARRANTIES:TouchPoint does not make any express or implied warranties,conditions,or representations,whether oral or written,expressed,implied or statutory.To the customer or any other party with respect to the product(s)sold pursuant to this agreement.Without limiting the foregoing,any implied warranty or condition of the merchantability,including the implied warranty of merchantability or fitness for a particular purpose,are expressly excluded.Customer hereby disclaims same. MANUFACTURER WARRANTIES:TouchPoint makes no warranties,conditions,or representations concerning the adequacy or existence of any manufacturer or vendor warranties; However,Touchpoint agrees to assign to customer,to the extent assignable.any rights under such warranties solely for the purpose of making a warranty claim against the manufacturer and not otherwise in violation of any agreements and customer may enforce the same so long as the customer is not in default of this agreement. AGREEMENT AND CONDITIONS OF SALE:1.Returns are subject to a 15%restocking fee and require a retum authorization number provided by TouchPoint.2.Invoices not paid within terms specified on invoice are subject to finance charges of 1.5%of the unpaid balance each month.3.Customer shall be responsible for all legal and collection fees incurred in the ' collection of any past due balances.Venue for any collection litigation will be in Duval County,Florida.4.A minimum service fee of$25.00 will be charged for any returned checks. I .11, IPage 1 Ii