Exh 7D,,., 7D
,. ~ June 26, 2
. CITY OF ATLANTIC BEACH
CITY COMMISSIONER MEETING
STAFF REPORT
ITEM: Reintroduction of Ordinance 58-99-26, Change to Code of
Ordinances, Article VI, Employee Benefits, Division 3, Retirement
System, for First Reading. .
SUBMITTED BY: George Foster, Human Resource Manager
DATE• June 21, 2000
BACKGROUND: In October 1999, the City Commission conducted a first reading of
proposed Ordinance No. 58-99-26 to change the City's Pension
Plan and establish separate General Employee and Police Employee
pension plans, as mandated by the State.
In February 2000, the City Commission was advised that an
actuarial impact statement had been received indicating the cost of
the changes (enhancements) included within Ordinance 58-99-2b
would be approximately $12,528.00 annually or slightly over 1% of
the police payroll. As these enhancements were not mandatory
until additional State Sec 185 funding became available, the City
Commission advised staff that changes should be delayed until such
time as additional State Sec 185 funding became available.
Ordinance 58-99-26. has been rewritten to exclude these changes.
A new section (Sec 2-302A) has been added listing all changes
(enhancements) which must be considered for implementation by
the City Commission upon receipt of additional Sec 185 funds over
those received for the 1997 base year. Note:. Sec 185 funds
received in 1997 were $70,289 and in 1998 were $68,048.
RECOMMENDATION: City Commission conduct a first reading of proposed ordinance and
schedule a public hearing for June 26, 2000.
FUNDING: No funds are required for this action. Upon receipt of additional
Sec 185 funds, enhancements will be forwarded to the City
Commission for consideration of adoption.
CITY MANAGER:
Attachment: 1. Summary or Enhancements
2. Proposed Ordinance ~
3. Current City Retirement Code
. ~ COST OF BENEFIT ENHANCEMENTS: ~ ~ 7D
x - .,
. ~ ~ ~. ~ June 26, 2~UOC
. To the extent that additional premium (Sec. 185) tax dollars over those received for calendar
year 1997 become available to incrementally fund the cost of enhancements, the following
r ~ benefits, as required by FS 185, shall be considered by the City Commission.
___
... _ .
(a} Normal Retirement. A normal retirement benefit for members who have attained the age
of fifty-five (55) years and have ten. (10) or more years of creditable service shall be
established:
Annual recumng cost: .30% of salary or $3,056
(b) Normal Retirement - Terz (1 D} year period certain. A normal Retirement benefits will
be paid for a ten (10) year period certain and life. In the event the officer dies after
retirement but before receiving retirement benefits for a period often (10) years, the same
monthly benefit will be paid to the beneficiary for the balance of such ten (10} year
period, or if no beneficiary is designated, to the estate of the police officer.
Annual recurring cost: .45% of salary or $4,583
(c) Early Retirement. A member who has attained the age of fifty (50} years and has ten
years of credited service in force, shall be eligible for an early retirement. The amount
of an early retirement benefit shall be calculated as provided in Sec. 2-281A(a) 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
f'""'~~ ~ `into account the participant's younger age and earlier commencement of retirement
income payments. In no event shall the early retirement reduction exceed three percent
- (3%) for each year by which the member's age at retirement preceded the member's
normal retirement age.
Annual recurring cost: .22% of salary or $2,241
(d) Early Retirement -Ten (10) year period certain. An Early Retirement Benefit benefits
will be paid for a ten (10) year period certain and life. In the event the officer dies after
retirement but before receiving retirement benefits for a period often (10) years, the same
monthly benefit will be paid to the beneficiary for the balance of such ten (10) year
period, or if no beneficiary is designated, to the estate of the police officer.
Annual recurring cost: .14% of salary or $1,426
(e) Deferred Retirement upon Separation. Any police officer who has been in the service
of the city for at least ten (10) years elects to. leave his or her accrued contributions in the
.~ plan, such police officer upon attaining age fifty (50) years or more, may retire under the
provisions as set out for an Early Retirement.
Annual recurring cost: .OS% of salary or $509
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ATTACHMENT 1
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' (f) De, ferred Retirement -Ten (1 D) year period certain. Such benefits will be paid fora ene 26, 2
" (14) year period certam and life. In the event the officer dies after retirement but before
receiving retirement benefits for a period often (10) years, the same monthly benefit will
be paid to the beneficiary for the balance of such ten. (10) year period, or if no beneficiary
is designated, to the estate of the police officer. --- -
'Annual recurring cost: .03% of salary or $306
. ~(g) Disability Retirement -Ten (10) year period certain. Such benefits will be paid fora
- ten (10) year period certain and life. In the event the officer dies after retirement but
' before receiving retirement benefits fora period of ten (10) years, the same monthly
benefit will be paid to the beneficiary for the balance of such ten (10) year period, or if
- no beneficiary is designated, to the estate of the police officer. .
Annual recurring cost: .03% of salary or $306
(h} Employee death -Ten (1D) year period certain. If any police officer having at least-ten
(10) years of credited. service dies prior to retirement, his or her beneficiary is entitled to
the benefits otherwise payable to the police officer at early or normal retirement age.
Annual recurring cost:
.O1% of salary or $102
o, 7D
ORDINANCE NO 58-99-26 June 26, 2d
B
AN ORDINANCE OF THE CITY OF ATLANTIC BEACH,
FLORIDA, AMENDING CHAPTER 2, ADMINISTRATION,
ARTICLE VI, .EMPLOYEE BENEFITS, TO COMPLY _
_.
WITH RECENT AMENDMENTS TO THE FLORIDA
STATE STATUTES, .SEPARATING THE RETIREMENT
. - SYSTEM INTO A GENERAL EMPLOYEE PLAN AS
DIVISION 3, AND CREATING A POLICE OFFICER PLAN
AS DIVISION 4; PROVIDING IN DIVISION 3 OF THE
GENERAL PLAN FOR DELETION OF ALL REFERENCES
TO POLICE . OFFICER ~ OR FIREFIGHTER AND
CHAPTERS 175 AND 185 OF THE FLORIDA STATUTES;
PROVIDING FOR A SINGLE BENEFIT GROUP;
PROVIDING FOR THE MAKE UP OF BOARD OF
. TRUSTEES; PROVIDING FOR TRUSTEES' TERMS OF
OFFICE; PROVIDING FOR FILLING A BOARD
VACANCY; PROVIDING FOR THE CREATION OF
DIVISION 4, POLICE OFFICER RETREMENT PLAN;
PROVIDING FOR COMPLIANCE WITH THE
REQUIREMENTS OF CHAPTER 185 OF THE FLORIDA
STATUTES; PROVIDING FOR THE DEFINITION OF
SPECIFIC. TERMS; PROVIDING FOR A BENEFIT
' GROUP; PROVIDING FOR A BOARD OF TRUSTEES,
THEIR DUTIES, COMPOSITION, TERMS OF OFFICE,
FILLING. OF VACANCIES, AND ACTUARIAL
RESPONSIBILITIES; PROVIDING FOR MEETING
REQUIREMENTS, QUORUM, VOTING, AND
COMPENSATION; PRO VIDING FOR THE ELECTION OF
BOARD OFFICERS AND EMPLOYMENT OF
INDEPENDENT ADVISORS; PROVIDING FOR
. MEMBERSHIP REQUIREMENTS; PROVIDING FOR
CREDITED SERVICE, LOSS, AND REINSTATEMENT OF
SAME; PROVIDING FOR MILITARY SERVICE CREDIT;
PROVIDING FOR VOLUNTARY RETII2EMENT AND
. EMPLOYMENT AFTER RETREMENT; PROVIDING
FOR ~ DISABILITY RETIREMENT BENEFITS;
PROVIDING FOR PERIODIC REEXAMINATION OF
DISABILITY RECIPIENTS; PROVIDING FOR A
STANDARD PENSION BENEFIT AND OPTIONAL
PENSION BENEFITS; PROVIDING FOR' SURVIVOR
PENSION BENEFITS; PROVIDING FOR COMPLIANCE
. ~ WITH THE INTERNAL REVENUE CODE AS TO
_..
' ~ MAXIMUM BENEFITS; PROVIDING FOR
SUBROGATION; PROVIDING .FOR CITY AND
EMPLOYEE CONTRIBUTIONS; PROVIDING FOR THE
ATTAC.AM'FN'r 2
- -PROHIBITION OF ASSIGNN~NTS; PROVIDING FOR A
.~ SAVINGS CLAUSE; PROVIDING FOR SEVERABILITY; June 26, • 2004
. - PROVIDING FOR CODIFICATION AND PROVIDING
- - FOR AN EFFECTIVE DATE.
,' _ __ : ~ ~'VHEREAS, the City ofAtlantic'Beach, Florida has an interest in_the future retu-ement,ofits
employees and wishes to improve the retirement~system whenever feasible; and ~ • .
- WHEREAS, ~ the City of Atlantic Beach, Florida recognizes the requirement to ensure
compliance ofits pension ordinance and all sections thereofwith all State and Federal laws governing
governmental pension plans;'and ~ .
`WHEREAS, the Legislature of the State ofFlorida made significant amendments to Chapters
- 175 and 185 of the Florida statutes that require amending the Code of Ordinances of the City of
AtlanticBeach, and ~ - •
- - 'WHEREAS, Firefighters are no longer erriployed by the City of Atlantic Beach; and
~~HEREAS, Chapter 2, Administration, Article VI, Division 3, Retirement System, of the
Cdde of Ordinances ofthe City of Atlantic Beach, Florida, must comply with all State and Federal
laws governing pension plans it is hereby amended as follows:
NOW THEREFORE, BE IT ENACTED BY THE CITY COMIVHSSION OF THE CITY
OF ATLANTIC BEACH, FLORIDA, AS FOLLOWS:
Section 1. Chapter 2, Administration, Article VI, Division 3, Retirement System of the Code of
Ordinances is hereby amended as follows: ~ •
', 2
DIVISION 3. GENERAL EIVIPLOYEE RETIREMENT SYSTEM ']D
.~ _ ~, • ~ .
.Sec. 2-262. ~ Definitions. ~ ~ ~ June 26, 20
-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
....
- ~staridard form'of benefit. For-the purpose of establishingthe actuarial present value of~anv ~~
form of payment: all future payments shall be discounted for interest and mortalit~b using ,
the 1983 Group 1Vlortality Table, with ~a~es set ahead five f 5) wears in the case ~of disability `.
City enzployee~ shall mean any person in the employ of the city, other than Police Qfficers
and Firefi hg ters.
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.
. f e+~ irrtheJfire~ ~fred-frre-ftghter
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Retirement shall mean an emplo eey 's separation from city employment as an employee
with immediate eligibility for receipt of benefits under the retirements sY tesn
Sec 2-263. Benefit groups.
(a) The following benefit groups-are is hereby designated for the purpose of determining
a retirement system member's applicable'benefit eligibility conditions and benefit amount:
(-1-j Benefit group general shall consist of all members not included in one-ofthe-berreftt
,another citespension plan
,..,~
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• ' ~ ~ ne 26, 2000
(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 each benefit. group eneral. ~ - -
...:Sec. 2-266. Same - .Composition..
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 ofthe police officer
retirement system created in division 4 hereof;
. :. (2) ~Me-~1) Two 2 members of the retirement system who '
': af~rE,f ghtei`are employees of the city, but not olice
officers or firef ~hters, to be elected by the members of the retirement system who
'are also similarly situated employees of the city;
a
- ~~ One (I) resident of ttie 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) ~rrd-(3-}-of this section shall be held in
accordance with such rules as the board of trustees shall from time. to time adopt.
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 beheld by the members of the plan to fill the
unexpired term of their trustee representatives, and one (1) year for the trustee selected by
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. However, upon the expiration of the terms of the
civilian trustees and employee representative trustees in office at the time this article is
adopted, the term of the next succeeding-civilian member shall be for one {1) year and the
term for the next succeeding
- - employee
•representative shall be for three (3) years, with all civilian member and employee
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~ ne 26, 2000
•
(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 each benefit group eneral. - -
- .~ Sec.2-266., Same=.Composition. . ~ .
The board of trustees shall consist of five (5) trustees as follows:
(1) Two (2) residents of~he city~to be selected by the city commission and serve at the
pleasure of the city commission, who may also serve as trustees ofthe police officer
retirement system created in division 4 hereof;
. .. (2) @ne-~~) Two 2 members of the retirement system who
~. a#`irefrghter-are employees of the city, but not op lice
officers or firefi haters=to be elected by the members of the retirement system who
are also similarly situated employees of the city;
. ~
a
- {~}~. One (1) resident of ttie 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) arrd~-~~}-of this section shall be held in
accordance with such rules as the board of trustees shall from time to time adopt.
Sec. 2-257. 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 beheld by the members of the plan to fill the
unexpired term of their trustee representatives, and one {1) year for the trustee selected by
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 tie administered by the city clerk, whereupon
a trustee's term of office shall begin. However, upon the expiration of the terms of the
civilian trustees and employee representative trustees in office at the time this article is
adopted, the term of the next succeeding civilian member shall be for one (1) year and the
term for the next succeeding
_~ b - - employee
representative shall be for three (3) years, with all civilian member and employee
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_ ---- Ck~SE.~.T ?
~` , I representative trustees having four-year terms thereafter. ']D
Sec. 2-271. Membership. June 26, 2000
' ~d) 'Effective June 1. 1999, all firefighter emplovees of the Cit~of Atlantic Beach are
~,~ herebyconsolidated into the City of Jacksonville Fire Department. On execution of~this
- ~ _. -:_.;.. ~ action, City of Atlantic Beach firefighter emplovees became members of the City of
>-- _
'Jacksonville Police and Fire Pension Fund with full rights and benefits in accordance oath .
Chapter 121, City of Jacksonville Ordinance Code, and with other applicable-law. Such
:. ,
consolidation is iri accordance with Resolutions 95-944-256 and 98-1006 of the Ci
tY of .
. ~ Jacksonville, which~rovide 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 2S~' day of May,
1999 and approved on the 15` da~of June 1999.
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 E;lcapters-l-~3-arrd
the Florida Statutes. 1n 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.
Sec. 2-275A. Military service credit.
(a) A member of the retirement system who leaves or left city employment voluntarily
ornon-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 wit ' as provided
. ' in the Uniformed Services Employment and Reemployment Rights Act (I7SERRA}
after the date of termination of such active duty;
(2) In no case shall more thansix-(6-)-gears of service provided for in USERRA be
credited on account of alt military service.
(3) Notwithstanding any provision ofthis 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
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ATTACHMENT 2
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...
under the provisions of this section and USERRA.
(c) Employment after retirement:
7D
June ~26, 2000
(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 1000 hours of
work per annum or in a position not covered by this pension elan and receive _ __ __
_ _ _. .
retirement. benefits -from his/her previous employment and compensationfrom
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 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.
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: .
(3) The member has met IIne-o~f~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.
(b) The age and service requirements for voluntary retirement are-asfollotvs:
. ,
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• ,
semi-ce-inforce;
age sixty (60) years or older, and
has-five (5) or more years of credited service in force.
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ATTACHMENT 2
'~.• Sec. 2-2Z8. ~ Deferred retirement upon.separation from employment (vesting).
June ~6, 2000
. (b) The credited service requirement for separation from city employment wit
entitlement to deferred retirement is:
~.
five (5) years.
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 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".
SBrViCe:
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7
(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- ~ .
.~ ,
(3) Aas a city employee,
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ATTACHMENT 2
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(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, -
(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 '
Sec. 2-280. Same- Continuation subject to re-examination; return to employment.
(a) ~ The Board of Trustees may require a disability retirant to undergo periodic medical
~""~ ~ examination if the disability retirant has not attained the-fo}i-Qwirrg-a~p~piicab}e age sixt 60
. ears. .
(~j--~enef ~ ,
(c) A disability retirant who has been restored to employment with the city as provided
in subsection (a), shall again become a member of the retirement system. S~errrn~e-shall-b~e
errsiorr.
Sec. 2-281. Amount of level straight life pension.
- ,
ultiplied
.8
2000
ATTACHMENT 2
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,T~n . 6, 2000
(cJ Benefit group general. Subject to section 2-285, the amount of level straig t f~e _
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. .
(rlb) Cost-of-living adjustment.: All retirement system members and beneficiaries who
retired prior to January 1, 1997, shall receive aone-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.
~~ Sec. 2-284. Alternate death while iri city employment pension to spouse and/or
children.
(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 percent 75% 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. ~
- ,
f~ ~ -
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 iri 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 the deceased member's .final average
compensation and credited service. The percent shall be
P~~`
zero (0) percent during periods a pension is being paid in
accordance with the provisions of subsection (b)-; pfifty (50) percent during periods a pension
9
ATTACHMENT 2
. ~ is not being paid in accordance with the provisions of subsection (b). 7D
A surviving child's pension shall terminate. upon attainment of age nineteen (19} yea~~~~6' 2000
if over nineteen (19), but less than twenty three (23~, upon no longer being enrolled as a fi.rll-
time student in an educational institution, marriage, or death, and the pension of each
., remaining eligible child shall be recomputed.
Sec. 2-288. City contribution.
(a) The plan shall be funded by~contributions from member contributions, as provided
in Section 2-298, ,contributions
from the city and other income sources as authorized by law.
(b)
(cj 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 tire.
other income sources as
authorised 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 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.
(dc) 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.
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,
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ATTACHMENT Z
':: bonds, or other property in his own right.. The trustees are authorized to vary-fro~m~tlr'~D
~• ~ • . invest in those stocks bonds
and other securities permitted by the investment policies or guidelines adopted by the t~e?6, 2000
t~ ~ - •
(a) • Delegation and fillocation of Investment Functions.
_ . _ _ _. ~ ~ (1) The tTuustees shall have the power and authority to appoint one or more investment _ . __
managers.who shall be, responsible. for the management, acquisition, disposition, --
investing, and reinvesting of such of the assets of the tTrust £Eund as the tTrustees .
~. ~ shall specify. Any such appointment may be termiriated by the TTrustees upon
written notice. The fees of such investment manager shall be paid out of the tTrust
fFund. The tTrustees 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,
~}-~~8~.
Sec. 2-291: ~-ivismns Reserved.
ho-are
> >
.~ nrembers ~
Sec. 2-298. Member contributions.
. ~ (ba) 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
. n~tinemcmt~system. .
. (cb) The City ofAtlantic Beach shall assume and pay the member contributions set forth,
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ATTACHMENT 2
` , • above in lieu of .payroll deductions from members' earnings. No member shall have the']D
option of choosing to receive the contributed amounts directly instead of having them paid 6 2000
by the city directly to the retirement system. All such contributions. by the city sl~~~~'
f°~`°' deemed and considered as part ofthe 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 ofFICA coritributions,worker's compensation; and overtime compensation:
' This city pick up of contributions is a result of a commensurate reduction of each member's
~. pay which occurred on Tanuary l; 1997, and isintended to comply with Section 414(h){2) of
the Internal Revenue Code. ,
(dc) 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/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 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.
(ed) 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
iInternal rRevenue sService;
(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.
Section 2. Chapter 2, Administration, Article VI, Division 4, Police Officer Retirement
System of the Code of Ordinances is hereby created as follows:
12
ATTACHMENT 2
DIVISION 4. POLICE OF'FYCERS' RETIREMENT SYS'T'EM 7D
' June 26, 2000
" ~ Sec. 2-261A. 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 ordinance. 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. ~ ~.
Sec.2-262A. Definitions.
The following words and phrases as used in this division shall have the following meanings
unless a different meaning is clearlyrequired bathe context:
Actuarial equivalent shall mean that any benefit savable under the terms of this elan 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 ofestablishing the actuarial present value of any form ofpayment, all future payments
shall be discounted for interest and mortality b using the i 983 Group Mortality Table, with
ages set ahead five !5~ years in the case of disability.
Beneficiary shall mean andperson 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 tj•iistees 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 lon~evit~pay overtim~ay
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 2~ Florida
Statutes. Compensation shall not include redemptions or payments in consideration ofunused
vacation time or sick leave: the value of any fringe benefit3 uniform allowances equipment
allowances, reimbursement~of expenses, or payments for extra dut. oy r a special detail work
performed on behalf of a second party employer or any other item not s~ecificallXincluded.
Credited service shall mean the service credited a member as provided in this division
13
ATTACHMENT 2
Zooo
months of credited service must be contained within the member's last one hundred twenty
X120) months of credited service. If a member has less than sixty (60) months of credited
service, final avera eg compensation means the aggregate amount of compensation raid the
..member divided by the member's months of credited service.
.:Member shall mean andperson who is a member of the retirement system.
Pension shall mean a series ofmonthly 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 gresent 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 actuar~~pointed by the
board of trustees shall from time to time determine.
.~ Police officer shall mean a city emplo eY e employed bathe 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
includin~probationarypatrol officer. The term police officer shall not include any civiliancity
emplo ey e employed in the police department, any person employed as a police officer for an
emer ency, or andperson 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
Retirarit shall mean andperson who has satisfied the condition for receiving, a benefit and
is beingpaid a pension by the retirement system on account of the p_erson's membership in
the retirement system.
Retirement shall mean a police officer's separation from city em~loyment as a police
officer with immediate eli ibility for receipt of benefits under the retirement system
Retirement systems or systern shall mean the city retirement plan created and established
by this division.
Service shall mean personal service rendered to the city a police officer
. Workers' compensation benefits shall mean any amounts ,paid a retirant beneficiary
spouse, or child pursuant to any workers' compensation or sinular 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
14
ATTACHMENT 2
• ... ~ Sec. 2-263A. Benefit groups.
7D
e 26 2000
' ~ ~a,~ The following benefit group is hereby designated for the purpose of deterr~ig a'
retirement system member's applicable benefit eligibility conditions and benefit amount:
~, Benefit group police shall consist of all members who are also police officers. .
Benefit~eligibility conditions shall be based on the member's benefit group at thetime
of termination of city employment. Benefit amounts shall be based on the amount of credited
service acquired in benefit group police.
Sec. 2-264A. Board of trustees -Responsibilities and duties generally
The general administration, management, and responsibility for the prover operation of the
' : retirement system for construing, interpreting, and making, effective the provisions of this
division and for making recommendations tothe citycommission onmatters 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 the requirements of Chapter 185 of the
. ~ ~ Florida Statutes and shall specifically include .compliance with section 185.Ob therein.
.~ Sec. 2-265A. Same - Actuaria_i_data; report to city commission.
~. The board shall keep or cause to be kept, in convenient form, such data as shall be
recommended bits actuary and as required by state law !Chapters 112 & 185 F.S.) for the
,.,___~.__ .,rit.,...,.+:..,,...,,.«+ .,.,~+~........, ., ~",,.,.7 ., .,+,,.,,-...1 1...,,,.., TL, ., t,,..,..l1 .,L,.,11 L~,~., .,,-..n„tee
operations of the s s~ tem•
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 citescommission, on or before the first day of
April of each year showing the fiscal transactions ofthe retirement system for the year ended
the preceding thirtieth da~f September, the assets of the retirement system as of the
preceding thirtieth day of September, and a copy of the most recent actuarial report.
See. 2-266A. Same =Composition.
The board of trustees shall consist of five (5) trustees as follows`.
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;
~ Two ,2~ Police Officers to be elected by the active police officers who are members
of the retirement system;
15
ATTACHMENT 2
' . .. ~ One (1) trustee to be selected ~bv the other four (4) members of the board of7D
trustees, and appointed as a ministerial act by the city commission.
. June 26, 2000
• 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.
.-. _ ~ ..Sec. 2-267A. Same -Term of office; oath of office.
The regular term of office of a member of the board oftrustees shall be two (2) years for
. ~• resident appointees, and two (21 years for.elected 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. The term of office for the trustee selected
by the other four members of the board shall be two (22years Each trustee shall before
- assuming the duties of trustees, qualify t~kin~ an oath of office to be administered by .
•.. ~ the city clerk, whereupon a trustee's term of office shall begin.
Sec. 2-268A. Same - Vacanc ; filling of vacancy.
.. .~ ~ A vacancv shall occur on the board of trustees if anv member resins or anv
employee representative ceases to be employed by the cites
~b If a vacancv occurs on the board of trustees, the vacancv shall be filled within ninety
X90) days for the unexpired term, in the same manner as the position was previously filled
'~'' ~ Sec. 2-269A. Same-Meetings; quorum; votingj~compensation.
. ~ The board of trustees shall hold meetin s re ulariy 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 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 anv 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
- ~ ~ ~ ctuestion before the board. Trustees shall serve without compensation for their services as
trustees, but shall be ehtitled to their expenses actually and necessarily incurred in attending
. ~ meetings ofthe board and in performin required duties as trustees in accordance with Florida
Law.
Sec. 2-270A. Officers and employed services.
The officers and employed services of the retirement system shall be as folIows•
. ~ Chairerson: The board shall annually elect a chairperson from its members
. ~ -Secretary. The board shall annually elect a secretary of the board from its members
''+ ~ who shall sign the minutes of each meeting and be the custodian of the retirement
16
A TTA !-'I7MTi 1VT 7
. ~ ~ system's records and shall perform such duties as required in Chapter 185 of t~~
Florida Statutes.. ~ June 26, 2000
Leal Advisor: ~ the board is empowered to em~lov independent legal counsel.
Actuary: The board is empowered to employ an independent actuary who shall be
- -
-- .
the technical advisor to the board re a~ rdin~ the operation of the retirement svstem
_.
on any 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 co oration
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~artnership or corporation.
. ~ ~ Administrative Manager: The board is empowered to employ or contract for the
services of an individual, firm, or corporation, to be known as the "administrative
. ~ manager", who shall, under the direction ofthe board or any appropriate committee
- ~ thereof, be ministerially responsible to:
~ Administer the office or offices of the retirement system and of the board;
~, Coordinate and administer the accounting, bookkee~i, ng, and clerical services:
~ Provide for the coordination of actuarial services furnished by the actuary;
~, 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 svstem in accordance with law;
. ~ ~, Perform such other duties and furnish such other services as may be assigned
. delegated, or directed. or as maybe contracted by or on behalf of the board.
Other Services: The Board is authorized and empowered to em~lov such
professional medical, technical or other ~ advisors as are required for the proper
administration of the retirement svstem. 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.
Sec. Z-271A. Membership.
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.
17
A TT A l1TT'h ,TT7~TT A
~~ ~ • ~ ~ The membership of the retirement system shall not include: 7D
. ~ . ~ Any_police officer who is employed in a position normally requiring less than one 6, 2000
~. thousand 1,000) hours of work per annum;
~ The chief. of the police department ma~pt not to become a member of the
_.~:_ .. ~ ~ retirement system. Such option shall be made within sixt~(60) days of appointment
. - as police chief and shall be irrevocable;"
Police officer positions which are compensated on a basis not subieet to the
withholding of federal income taxes or FI__CA taxes by the city;
~4,~ TemQorar~police officers;
Elected officials of the city:
~ An individual shall cease to be a member upon termination of employment by the
city, or upon ceasing to be employed in a position re ularly requiring one thousand (1,000
. ~ ~ ~ or more hours or work in a year, or upon becoming employed in an excluded position.
Sec. 2-272A. Credited service.
Service rerdered 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 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. .
Sec. 2-273A. Loss of credited service.
A retirement system member's credited service shall be forfeited and no loner in force
if the member terminates city employment with less than five ~5) years of credited service.
Sec. 2-274A. Reinstatement of credited service.
A__member's_forfeited credited service_ shall be restored to his/her individual service
account if re-emplo my ent b ty he city and membership in the retirement system occurs within
five (S~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 2-298A(c hereof, plus interest at the actuarially assumed rate in
accordance with terms established ~by the board of trustees.
18
ATTAC'FiMFNT 2
~""'`,
Sec. 2-275A. Military service credit.
7D
~ A member of the retirement system who leaves or left city employment vol~~l~6, 2000
ornon-voluntarily to enter any armed service of the United States during time of war. period
of compulsorx 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: - -
~ The member is re-employed by the city as Qrovided in the Uniformed Services
Employment~ and Reemployment Rights Act (USERRA) after the date of
termination of such active duty:
In no case shall more than the nears of service provided for in USERRA or within
FS 185 be credited on account of all military service.
~, Notwithstanding anyprovision ofthisarticle tothe 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.
~, The board of trustees shall determine the amount of service to be credited a member
under the provisions of this section and USERRA.
Sec. 2-276A. Voluntary retirement conditions; employment after retirement.
~ A member of the retirement system may retire upon satisfaction of each of the
following requirements:
~, The member files written application for retirement with the board of trustees
setting forth the date retirement is to be effective.
~ The member terminates all his/her city employment normally requiring one thousand
~ 1,000) hours ofwork per annum on or before the date retirement is to be effective
~ The member has met the ale and service requirements for retirement. specified in
subsection (b).
Upon retirement a member shall be paid a tension computed according to the applicable
subsections of section 2-281A.
The aQe and service requirements for voluntary retirement a_re:
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 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 (Swears of credited service in force
19
ATTACHMENT 2
•' - ; ~ Employment after retirement: 7D
June 26, 2004
And, person who has retired as a member of this retirement system may be
•reemployed by the ci in a position normally requiring less than 1000 hours of
- work per annum or in a position not covered b~pension plan and receive
.: ~ ~ retirement benefits from his/her previous employment and compensation from
. _ _ . .: _ ~ ~ ..his/her reemployment. -
:' ~ Andperson who has retired as a member of this retirement system and is ' .
- subsequent) r~mploved by the cit i~ n andposition normally requiring 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.
Sec. 2-277A. Normal Retirement Date and Payment Date.
~ The normal retirement date of each member shall be the first day of the month
followingthe effective retirement of the member as indicated in the member's retirement
application and as approved by the Board of Trustees.
• ~ ~ The monthlyretirement income payable in the event of normal retirement shall be
payable on the first day of each month and as provided in Section 185.16(3).
.- Sec. 2-278A. Deferred retirement upon separation from employment (vesting).
.~ A member of the retirement system who terminates city em~loyment prior to
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 attainin the aye and service requirements
for voluntary retirement. as set forth in Section 2-276A. Upon attaining the aye and service
requirement for voluntary retirement, the member shall be paid a pension computed according
to the applicable subsections of Section 2-281 A as those subsections were in force at the time
a member left city em~loyment.
The credited service. requirement for separation from city employment with
entitlement to deferred retirement is five (5) years.
• ' ~ ~ ~ A member of the retirement system who terminates city employment rip ar to
satis in.a the five 5~ ey ar requirement for deferred retirement under Section 2-276A is
. entitled to a full refund of his/her contributions, plus interest as determined by the board of
trustees.
• Sec. 2-279A. Disability retirement -General conditions for eligibility
~ If a member, prior to his normal retirement date becomes totally and permanentlX
20
ATTA('NMFNT'
disabled as defined in subsection (bZ by reason of any cause other than a cause set out
subsection ~ the member shall be eligible~for disability retirement. The minimum ber;efit fQ~ 2000
any member disabled in the line of duty shall be forty-two (42Zpercent of the final average'
salary regardless of years of credited service The minimum benefit for any member disabled
not iri the line of duty who has eight and one third (8 1/31 years of credited service shall be
twenty-five~ercent (25%) of the final avera e.,g salary
~ A permanent disability which is the result of or caused by tuberculosis, hepatitis, .
..
meningococcal menin 'tom is hypertension heart disease or hardening of the arteries .
-shall be presumed to have been incurred in the line of duty unless the contrar~s
shown by competent evidence or unless a physical examination of the member
' conducted upon initial hiring b tie city revealed the existence of such condition at
that time and provided that a member claiming disability due to tuberculosis or
menin~ococcal meningitis provides the affidavit required by F.S. section
112.181 2 .~
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 efi'icient service as
.' ~ a citXpolice officer and will be considered,permanentlydisgbled if in the opinion ofthe board
oftrustees he is likely to remain so disabled continuous and permanently from a cause other
than as specified in subsection (cl.
~ A member will not be entitled to receive any disability retirement income if disability
is as a result of:
Excessive and habitual use by the employee of drugs, intoxicants, or narcotics;
Iniury or disease sustained by the employee while willfully and ilie~alIy participatini?
in fights, riots, or civil insurrections nor while committing a crime;
Iniurv or disease sustained by the employee while servin i~ n any armed forces; or
Iniury or disease sustained by the employee after his/her employment has
terminated.
~ Iniurv or disease sustained by the police officer while working for anyone other
than the city and arising out of such employment.
No member shall be Qermitted to retire under the provisions of this section until
he/she is examined by a dullqualified 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 retirin 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
21
ATTACHMENT 2
examination, the member's disability pension shall be suspended until such time as
member submits to the examination. ~ June 26, 2000
~~ 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 s?reater of the monthly income computed accordin to the
'~ .applicable subsections of Section 2-281A or the minimums established in Section 2-279A~a~,
~ The monthly retirement income as computed in Section 2-281 A to which a member
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 paYrnent 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. .
~, "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 loner 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 ofthe 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
(~ Ifthe member recovers from disability and reenters the service ofthe city as a olice
officer employee, his/her service will be deemed to have been continuous but the period
be~innin~ with the first month for which he/she received disability retirement income pa ent
and ending with the date he/she reentered the city service will not be considered as credited
service for the purpose of the system
Sec. 2-280A. Same-Continuation subiect to re-examination; return to employment
~ The Board of Trustees may require a disability retirant to undergo periodic medical
or psvcholo~ical examination if the disability retirant has not attained age sixty (60~
. ~ ~ If a disability retirant refuses to submit to a medical or psycholo~ical examination
Qayment of the disability pension ma be suspended by the board of trustees until the retirant
submits to the examination.
~ A disability retirant who has been restored to employment with the city as provided
. in subsection 2-280(h) shall main become a member of the retirement system
Sec. 2-281A. Calculation of pension benefit
_ ~ NormalRetiremejitBenefit. Subjectto section 2-285A, the amount oflevel straight
life pension shall be equal to the retiring member's credited service multiplied b. three percent
22
ATTACHMENT 2
~3%) of the retiring member's final avers eg compensation.
~D
!6, 2000
Sec. 2-282A. Optional forms of pension payment. .
A member of the retirement plan may elect to be paid under one (1) of the following optional
forms o~ayment in lieu of the Normal 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. Payment will be made under the Normal Retirement benefit form if a timely
election of an optional form of payment is not made. The amount of pension under any
motion shall be the actuarial equivalent of the amount of pension under the Normal Retirement
benefit form~ayment..
Option A; Ten (lOLyears certain and Retirant's life thereafter: Under Option Ay
.~ a retirant shall be paid a pension for life, however if the retirant dies prior to ten
. (l0~years immediately followin~~ retirement payments shall continue for one
hundred twenty (120Zpayments. Benefit payments shall be made to the retirant's~
des~nated beneficiary or estate for such period.
OptlO)I B; Modi ted joint s2rrvivor pension: Under Option B, a retirant shall be
paid a reduced pension for life with the provision thaf upon the retirant's death, a
benefit as designated by the retirant of either. one hundred (100), sevent -fy lvs (75).
sixty-six and two thirds (66-2/3 or fift~(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 executed and filed with the
board of trustees at the time of election of the optional form of payment.
Option C; Social security coordinated pef~sion: Under Option C, a retirant shall be
. paid an increased pension to attainment of the aye when the retirant is eli ibg_ le to
receive regular social security retirement benefits, and a reduced pension thereafter.
The increased pension paid to attainment of regular social security retirement aQe
. ~ shall approximate the sum of the reduced pension payable thereafter plus the
retirant's estimated social securityprimary insurance amount.
Other benef t orm. Any other actuarially equivalent form of benefit requested by
a member and approved, in their sole discretion, by the board of trustees.
Sec. 2-283A. Death while in ci employment; elective survivor pension.
~ Each member may, on a form provided for that purpose signed and filed with the
board oftrustees, designate a beneficiary (or beneficiaries) to receive the benefit if any which
may be payable in the event of his/her death, and each desi~nafion may be revoked b~such
23
ATTACHMENT 2
shall be in an amount equal to three (3~nercent of the benefits paid to such retired members
and beneficiaries during the immediately preceding month.
.' ~ member by signing and filing with the board of trustees a new designation of beneficiary for
Upon the death of a member who has a valid designation-of-beneficiary ml'force6' _2004
the beneficiary, if living, shall~be paid a pension benefit computed according to section 2-
281A iri the same manner in all respects as if the member had elected Option B at the one
hundred percent 100%) level rovided in Section 2-282A and retired the dampreceding
.his/her death, notwithstanding that the member may not .have satisfied the conditions for
__
_ _ ,.:
• ~ . . ' retirement. Upon a member's retirement, resignation or termination as a city employee
.. eli ibility for the death benefit savable under section 2-28 TA will automatically terminate
~. ~ ~If a member failed to name a beneficiary in the manner prescribed in subsection (a) .
. ~ above, or ifthe 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 .
commutedvalue of the remaining monthly income payments be~aid 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 subiect
.~ ~ 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.
Sec. 2-284A. Alternate death while in city employment; pension to spouse and/or
. children.
~ 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 2-283A whichever are greater shall be ,paid if a member of the
retirement system has five (5) or more years of credited seryice and dies while in the em~loy
. 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 2-283A.
The person to whom the deceased member was married at the time of death shall
be paid a pension equal to seventy-five percent X75%) of the amount of Option A - Retirant's
life onlypension computed according to the applicable subsection of Section 2-282A. based
on the deceased member's final average compensation and credited service
A surviving spouse's pension shall terminate upon death
~ . 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 onlypension benefit computed according to
• the applicable subsection of Section 2-282A based on the deceased member's final average
compensation and credited service. The percent shall be zero (0) percent durin}periods a
24
• ATTACHMENT 2
F ;.
pension is being paid in accordance with the~rovisions of subsection (b~~percent duri~isp
periods a pension is not being_paid in accordance with the Qrovisions of subsection trb).e 26, 2000
A surviving child's_penson__shall terminate upon attainment of aae nineteen (19) vears or, if
over nineteen (19) vears 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
remainin eligible child shall be recomputed.
Sec. 2-285A. Mazimum amount of pension.
~ The normal retirement pension payable to a member of the retirement plan who has
not previouslyparticipated in such system, on or after January 1, 1980, shall not exceed one
hundred (100Zpercent 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.
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.
,(~ In no event may a member's annual benefit exceed the lesser of:
~.I ~ Any limits (a~
or
,~~, Not withstanding the provisions of paragrap~a and b) above the annual benefit
payable to a member having at least fifteen (15) vears of service shall not be less
than the annually adiusted amount provided in the provisions of IRC Section
415 d .
Compensation in excess of limitations set forth in Section 401(a)(17) of the Internal
Revenue Code shall be disre~arded..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 be inning after December 31 1995
~, If the member has less than ten vears of service with the emplo, er as defined in
Section 415(b)(5) of the Internal Reyenue Code and as modified by Section
415(b)(6)(D) ofthe 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 vears, or part thereof of service with the em~loyer• the
25
ATTACHMENT 2
2000
___
below $75 000.00 if payment of benefits begins at or after aye 55. If retirement
benefits begin after aye 65, the dollar limitation of subsection (1) of this subsection
shall be increased actuarially using an interest assumption equal to the lesser of five
percent or the interest rate used in the most recent annual actuarial valuation. For
~pur~oses of.this subsection, average annual compensation for a member'sahree
highest paid consecutive years means the member's greates# a regate
compensation duringthe period of three consecutive wears in which the individual
was an active member of the plan. The ~ecial maximum retirement income
forth in Section ~ 4150,) 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.
. :Sec. 2=286A. Subrogation rig~hts•
If a member of the retirement_ system,_retirant, or beneficiary becomes entit_ledto _a
pension as the result of an accident or iniury caused by the act of a third party, the retirement
system shall be subro~ated 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
av on account of such accident or iniu
Sec.2-287A. Reserved.
Sec. 2-288A. City contribution.
~ The plan shall be funded by contributions from member contributions, as provided
in Section 2-300A, state funding provided for in F.S. § 185.08, contributions from the city,
.~ and other income sources as authorized by law.
. ~ 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 fv_e (5)
calendar days of receipt be the city with the understanding, that these premium tax revenues
shall be deposited into and become an inte rgmart of this fund and may not be used for any
. other purpose.
r
26
ATTACHMENT 2
subsection 1) of this subsection shall be reduced actuarially using an interest rater
assumption equal to the -eater of five percent or the interest rate used in the most
• _ • • • • • F. 1 11 1 1 1
' ~ City contributions shall be made to the plan on at least a quarterly basis in a~
......, .,...~i _..L: _L a_ ~_..L -- --"mot- .t_ - - t •~ .. _ - - - -
e 6, 2000
the state premium taxes finding provided for in subsection (b) and other income sou ~~
~ ~ ~ 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 thirt~(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 pn'ncinles 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
~, 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
Sec.2-2S9A. Reserved.
Sec. 2-290A. 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 dis ose 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
nghts powers and privileges as might be lawfully exercised by any person ownin 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 uidelines
adopted by the trustees in compliance with all requirements and limitations of Chapter 185
of the Florida Statutes.
.(~ Dele,~ation and Allocation of Investment Firnctions
~ 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 ofthe assets ofthe 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
m writing that it is a named fiduciary with respect to the lap
. ~ In connection with any allocation or delegation of investment functions under this
. section, the Trustees shallt from time~to time adopt appropriate investment policies
. or guidelines that comply with all requirements and limitations of Chapter 185 of
the Florida Statutes.
27
ATTACHMENT 2
' _ See.2-291A. Expenses. 7D
The expenses of administering the retirement system, including_the premiums for iic~ucia Y' 2000
. ~ liability and waiver of recourse insurance covering the board of trustees and the retirement
- system; shall be .paid by the city. ~ _ __ _
:::_ __ See. 2-292A. Method of making payments.
. Allpayments-under this division shall be made according to the provisions of the City.
Charter and city ordinances ~ovenun~ the disbursement of city monies. No payment shall be
made that has not been authorized by a specific or continuing resolution of the board of
trustees.
Sec. 2-293A. Assignments prohibited.
- ~, Generally. The ri h~ t of a person to a pension, disability. death, or survivor benefit,
. ~~ and any other right accrued or accruing to andperson under the provisions of this division,.
and any monies in assets belon~in~ to the retirement system, shall not be subject to execution,
.~ g_arnishment, attachment, the operation ofbankruptcy 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 $rou 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
trustees to deduct required payments to continue coveraeLe under the group insurance or
""1 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 and
remedies, including forfeiture of benefits, provided by law.
Direct transfers of eligible rollover distributions. This subsection applies to
distributions made on or after October 1, 1993. Notwithstanding; andprovision 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 andportion of an eligible rollover distribution paid directly to an eligible retirement plan
specified by the distributee in a direct rollover.
. ~ ~ "Eligible rollover distribution" means any distribution of all or andportion of the
balance to the credit of the distributee, except that an eligible rollover distribution
does not include any distribution that is one 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 fora specified period of
ten l Owears 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 and
distribution that is not includible in Gross income (determined without regard to the
exclusion for net unrealized appreciation with respect to employer securities).
28
ATTACHMENT 2
~2,~ "Eligible retirement" means an individual retirement account described in Sectic~r~
2000
403(a) of the Infernal Revenue Code or a aualified 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.
Sec.2-294A: 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 t~avment in such manner that the
.: - actuarial equivalent of the benefit to which the member retirant or beneficiary was correctly
entitled shall be laid. .
Sec. 2-29SA. Protection against fraud; forfeiture.
. ,~ 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 misleadin 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 18S 18S of
the Florida Statutes. Anv 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 m~ be
_ _ _
ccn~.,..:'.+:..,,.» X1....11 ........... ., a,..~,..-....:~,..:_~ _r~__i~~-lt_._ _.~.. ..~. ~.... ~ ._.
of whether adjudication is withheld.
Any member who is convicted as provided in F S Section 112 3173 of a specified
nse committed prior to retirement or whose employment is terminated by reason of an
.i++cr1 nom w.. ne..'... ..:.] .... ..l. ,.a...,.,. ,.~~ _r - -- - -'c - , 'iv. ... , .. .. .. .. ..
benefits under this pension plan except for return of accumulated contributions as of his/her
date of termination.
Sec. 2-296A. Response to claims and inquiries
All inquiries shall be answered promptly The final decision for approval of benefits shall
be made bythe board of trustees.
Sec. 2-297A. 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
. tlurtv (30) days after the final decision has been made The notice shall be provided in
wntm~, by certified mail, and shall set forth•
-
29
ATTACHMENT 2
• ~. ~ The specific reasons for the denial, suspension or termination of benefits- 7D
The specific references to the pertinent provisions of the pension plan upon w~uc~6, 2440
1 the action is based and a co v of the pension plan provisions shall be furnished with
. this notice.
~- ~ ~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
An explanation of the claims review procedure
Sec. 2 298A. Claim review procedure.
~ Renuests 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 normal business hours and
shall be permitted to submit comments and a statement of issues for consideration by the .
: board of trustees.
,, _ ~ ~ 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 And
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 .
~ 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 maiority vote to grant or den an a meal 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 oftime. In no event however should the decision ofthe board oftrustees 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 bindin
. Sec. 2-299A. Exhaustion of claims review procedure
30
ATTACHMENT 2
• ~ ~ No action in law or in equity shall be brought to contest a denial, suspension,'
...__.----- -- - -------- ------- ---- ------- - -- - - ---- --..~ .. ---- ---- - - - - ---- -- - - - - - 000
In no case. however, shall ariy 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 2-297A.
_.- --
___
' Sec. 2-300A. IVIember contributions.
Member contributions for~benefit roue police bargaining unit members covered by
' ~ the current collective bargaining unit collective bar ainin agtreement shall be one (1 percent
of salary and for other~benefit group police members shall be four and eight hundred fifteen
. thousandths l4.81S~percent of salary, which.said contribution shall be deducted from the
member's pay and paid over into the retirement system each pay period.
.. ~ ~ 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 havin tg_hem paid
.~ bathe 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 Hart 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 pickup of contributions is a result of a commensurate reduction of
each member's pay and is intended to compl with Section 414(,h)(2) of the Internal Revenue
Code.
~ If an employee leaves the service of the city before accumulating aQ~re~ate time of
fve S) 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 bX
the Board of Trustees, less any disability benefits paid to him/her. Anv such member maX
' ~ ~ voluntarily leave his or her contributions in the fund for a period of five (S) years after leaving
the employ of the police department pending the possibilit-y 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 (S) years, his or her contributions shall be returned to 'him or her
,~ If an employee who has been in the service of the city for at least five ~, years and
has contributed .to the pension trust fund as provided elects to leave his/her accrued
contributions in the trust fund, such emplo ey e_upon attaining the age as required in Section
2-278A, may retire with the actuarial equivalent of the amount of such retirement income
otherwise payable to him/her.
~ If a member who terminates employment elects a refund of contributions and'
_: ,
31
ATTACHMENT 2
~ Some or all oftherefund is eligible for rollover treatment as defined by the Interne
Revenue Service;
June 26, 2000
Elects to have such'eligible distribution paid directly to an eligible retirement plan
or IRA., and
Specifies the eligible retirement elan or IRA to which such distribution is to be ~ d .
_ _ :--
(in such -forme and at such time- as -the distributing plan administration • may
rescribe
The distribution will be made in the form ofa direct trustee-to-trustee transfer to the specified
eligible retirement plan.
Sec. 2-301A. Benefit limitations and required distributions
~ .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.
hereb i~ ncorporated by reference.
. ~ Notwithstanding any provisions in this section to the contrary the distribution of
benefits shall be in accordance with the fohowin re uirements and otherwise comply with.
Internal Revenue Code Section 401(a)(9) and the regulations thereunder the provisions of
which are incorporated herein by reference: `
~ 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 desi .nated
beneficiary) in accordance with re ulations
• ~ 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
Sec. 2-302A. Benefit Enhancements:
To the extent that additional premium (Sec 185) tax dollars over those received for calendar
year 1997 become available to incrementally fund the cost of enhancements the following
benefits, as required by FS 185 shall be considered by the City Commission
Via) Normal Retirement. A normal retirement benefit for members who have attained the
age of fifty-five (55) years and have ten (10) or more years of creditable service shall be
established.
,"'"""~
32
. ~ ATTACHMENT 2
2000
~'
~_ ~ (c) Eaf-Zy Retirement. A member who has attained the a e.~of fifty~50) years and has ten _ _
years of credited service in force, shall be eligible for an early retirement. The amount of an
early retirement benefit -shall be calculated as provided in Sec: 2-281 A(a taking into account
credited service to the date of actual retirement acid final monthly compensation as of such
date Such amount of retirement income shall be actuariallyreduced to take into account the
partic~ant'syounger aye and earlier commencement of retirement income payments. In nb
event shall the early retirement reduction exceed three percent 3% for each year b~ch
the member's ale at retirement preceded the member's normal retirement a~
(d) Early Retirement -Ten (1 D) year period certain.. An Early Retirement Benefit
benefits will be paid for a ten (lOZyear period. certain and life. In the event the officer dies
after retirement but before receiving retirement benefits for a period often (10) years, the
.~ same monthly benefit will be paid to the beneficiary for the balance of such ten (10)
. ~ ~ ~ period or if no beneficiary is designated, to the estate of the police officer
_ ~ fie) Deferred Retirement zrpori Separation. Anv police officer who has been in the
service of the city for al lest ten (102years elects to leave his or her accrued contributions in
the flan such police officer upon attaining aQe fifty~50Zyears or more, may retire under the
.. provisions as set out for an Early Retirement.
~fi Deferred Retirement -Teri (IO~year period certain. Such benefits will be paid for
a ten 10) year period certain and life. In the event the officer dies after retirementbut before
receiving retirement benefits for a period often (10) years, the same monthly benefit will be
paid to the beneficiary for the balance of such ten (10) year period, or if no beneficiary is
designated, to the estate of the police officer.
(gt) Disability Retirement -Ten (1 D) year period certaift. Such benefits will be paid for
a ten , l O~year period certain and life. In the event the officer dies after retirement but before
receiving retirement benefits for a period often (102vears, the same monthly benefit will be
paid to the beneficiary for the balance of such ten l102year~eriod, or if no beneficiary is
designated, to the estate of the police officer.
. l~ Employee death -Ten (10) year period certain. If andpolice officer having at least
ten ,l0~years of credited service dies prior to retirement. his or her beneficiary is entitled to
the benefits otherwise payable to the police officer at early or normal retirement ale.
Secs. 2-303A-2 310A. Reserved.
Section 3. The provisions adopted herein shall prevail over any existing sections
. 33
ATTA('.HMT;NT 2
monthly benefit will be,paid to the beneficiary for the balance of such ten (10) year period,
or if no beneficiary is designated, to the estate of the police officer.
. of the Atlantic Beach Code to the extent said existing sections are contrary or inconsistefjttt~
herewith: June 26, 2000
E~z .. ~ ~ .: " .
. ~ Section 4. Severability. If any section, sentence, clause, word, or phrase of this .
- ~ Ordinance is 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 5. 'Codification. Specific authority is hereby granted to codify this
ordinance,
Section 6. This Ordinance shall take effect December 31, 1999.
PASSED by the City Commission on first reading this day of
2000
PASSED by the City Commission ~on second and final reading this day of
2000.
ATTEST:
City Clerk .Mayor, Presiding Officer
Approved as to form and correctness:
City Attorney
LEGEND: Underlining is new language.
34
ATTACHMENT 2
.. - Chapter 2 ... . .
• ~ ~ ~ADM.INIST~tATION - . -
.~Axt. Y. In General, §§ 2-1-2•X5
~. II. City Commission, §§ 2-16-2.30
. Art. III. City Manager, §§ 2.31-2-40
.A.rt. IV. Departments, §§ 2.41-2-130
Div. 1. Generally, §§ 2-41-2-50 •
Div. 2. Police Department, §§ 2-51-2-60
Div. 3. Fire Department, §§ 2-61-2-70
Div. 4. Department of Finance, §§ 2-fit-2-78
Div. 5. Department of Public Works, §§ 2-fig-2-140
~• 'V. Boards and Commissions, §§ 2-X31.-.2.225
• Div. 1. Generally, §§ 2-131-2-140'
Div. 2. Code Enforcement Board, §§ 2-141-2-X60
Div. 3. Public Nuisance Control Board, §§ 2-161.-.2.225
Art. 'VI. Employer Benefits, §§ 2.226-2-2-3X0 .
Div. 1. Generally, §§ 2-226-2-240
Div. 2. OId Age and Survivors Insurance, §§ 2-241--2-260
Div. 3. Retirement System, §§ 2-261--2.310
~. `VII. Finance, §§ 2.311-2.366
Div. 1. Generally, §§ 2-311 2-330
. Div. 2. Purchasing, §§ 2-33I-2-355
. Div. 3. Uniform 3'ravel Policy and Procedure, §§ 2-356--2-866
Div. 4. Service and User Charges, §§ 2-367, 2-368
DIVISION 3. RETIREMENT SYSTEM
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. 0`he
effective date of the retirement system is December 22, 1975.
(Ord. No. 58-75-4, § 1, 12-22-75)
Supp. No. 22
173
ATTAf AMF1V'T '~
7.D
June 26, 2000
§ 2-262 ~ ' ATLANTIC BEACH CODE
Sec. 2-262. Definitions.
The following wards and phrases as-used in thisdivision shall Have the fohowing meanings .. '
.~ unless a different meaning is clearly•required by the context: ~ ~ •
• Actuarial equivalent shall mean of equal pension xeserve (present value).
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 offi_ cers, boards,
departments and instrumentalities. -
City employee shall mean any person in the employ of the city.
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, and full-time police officer's salary will also include incentive pay as defined in Chapter .
• 943.22 Florida Statutes. Compensation shall not include redemptions or payments in consid-
eration 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 specif-
ically included. .
Credited service shall mean the service credited a member as provided in this division
Final average compensation shall mean onelsixtieth of the aggregate amount of compensa-
tion 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.
.2Vfember shall mean any person Svho 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.
Pension reserue 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 cornpouncl interest as the actuary appointed by the
board of trustees shall from time to time determine.
~"1 - .~
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 943.13 and
943.14, Florida Statutes, and ~vho holds the rank of patrol officer or higher, including .
Supp. No. 22 174 ATTACHMENT • 3
7D
June 26, 2000
ADMINISTRATION
§ 2-264
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'privatelyemployed 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 why 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 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 be disregarded in the determination of workers'
compensation benefits..
(Ord. No. 58-75-4, § 2, 12-22-75; Ord. No. 58-88-13, § 1, 11-28-$8; 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)
Cross reference-Definitions and rules of construction generally, § 1-2.
Sec. 2-263. Benefit groups.
(a) The following benefit groups are hereby designated for the purpose of determining a
retirement system member's applicable benefit eligibility conditions and benefit amount:
(1) Benefit group general shall consist of all members not included in one of the benefit
groups which follow;
(2) Benefit group police shall consist of all members who are also police officers
(b) Benefit eligibility conditions shall be based on the member's benefit group at the time of
termination of city employment. ene i •amounts shall be based on the amount of credited
service acquired in each benefit group.
(Ord. No. 58-75-4, § 3, 12-22-75; Ord. No. 58-99-27, § 1, 11-8-99)
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 reference-Boards and commissions generally, § 2-131 et seq.
sUPp. ro. 2a 174.1 ATTACHMENT 3
7D
• .. - June 2b, 2000
§ 2-265 _ .ATLANTIC BEACH CODE•.. ,
Sec. 2-266. 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 ahe operation of .the retirement system on an
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 a report to the city commission on or before the first day ofApril
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.
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;
. (2) One (1) member of the retirement system who is a police officer, but not the chief of the
,~^~, ~ department, to be elected by the members of the retirement system who are also police
P' ~ •~ •. officers;
(3) One (I) member of the retirement system who is not a police officer to be elected by the
members of the retirement system who are not police officers;
(4) 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) and (3) 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. I~To. 58-99-27, § 1, 11-8-99)
Sec. 2-267. Same-Term of office; oath of office.
~"""""'j
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 one (1) year for the trustee selected by 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. However, upon the expiration of the terms of the civilian trustees and
employee representative trustees in office at the time this article is adopted, the term of the
next succeeding civilian member shall be for one (1) year, the term for the next succeeding
police officer representative shall be for two (2) years and the term for the next succeeding
nan-police officer employee representative shall be for three (3) years, with all civilian member
and employee representative trustees having four-year terms thereafter.
(Ord. No. 58-75-4, § 6; 12-22-75; Ord. No. 58-86-7, § l,1-12-87; Ord. No. 58-98-25, § 3,11-23-9$;
Ord. No. 58-99-27, § 1, 11-8-99)
Supp. No. 22
174.2
ATTAC'AMF,NT 3
7D
_.~
.., ~ ADMINISTRATION
June 26, 2000
§ 2-270
._ - Sec. 2-268. Same-Vacancy; filling of vacancy. ~ - _
' ~ ~(a) :A .vacancy shall occur on the board ~ of .trustees if ,any member shall xesigri or zany
employee representative ceases to be employed by the-city. Avacancy shall occur on the board ~'
if anytrustee 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 vacancyoccurs 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-?5-4, § 7,12-22-75; Ord. No. 58-86-?, § 1,1-12-87; Ord. No. 58-98-25, § 4,11-23-98)
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 xrieetings 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 quoxum 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 tem
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.
(3) 7~easurer: The director of •finance shall be treasurer of the retirement system. The
treasurer shall be custodian of the assets of the retirement system except as to the
assets as the board may from time to time place in the custody of a nationally chartered
bank or approved financial manager.
(4) Legal advisor: The board is empowered to employ independent legal counsel but is
authorized to utilize the services_of thecity attorney.
(5) Actuary: The board shall appoint an 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
Supp. No. 22 174.3 ATTACHMENT 3~.
7D
' ~ . •, 3une 26, 2000
§ 2-270 ~ ' ATLANTIC BEACH CODE
.: .
C of Title III of the Employee Retirement Income Security Act of 1974 and who is a
member ofahe.Society of Actuaries of the American Academy of Actuaries. A partner-.• • -•
. ship or corporation inay be appointed actuary if the duties of the actuary are performed •
• ~ by or under the direct supervision of ah enrolled actuary and the enrolled actuary signs
.._ and is xesponsible for all final documents submitted by the partnership or corporation.
•(6) 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;
e. Perform such other duties and furnish such other. services as may be assigned,
~. delegated or directed or as maybe contracted by or on behalf of the board.
:•
r
Supp. No. 22
174.4
ATTACHMENT 3
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- -' - ADMINISTRATION . • - June 2~i~ 0
--~~
... ,
(7) • 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 witli procedures..established by the board:
(Ord. No. 58=?'S-4, § 9,12-22-75; Ord. No. 58-86-7; § 1, 1-I2-87; Ord. No. 58=9I-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
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 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 partici-
- pation in this retirement system; ,
., (3) 'Elected officials of the city;
•.
(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;
(5) Any person initially employed as or promoted to a position designated by the city as
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 retirement 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 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.
(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)
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 Chapters 175 and
185, Florida Statutes. In no case shall more than one (1) year of credited service be credited on
Supp. No. 21
174.5
ATTACHMENT 3•
7D
• "•§ 2-272 ~ ~ ~ " ATLANTFC •BEAOH.CODE - June 26, 2000
.. .
: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-twe~h of a year. Service shall be
'.:- ..::: credited for the total number ofyears, and fractional parts of years; of~service of the member.
(Ord. No:'58-75-4,~~§~1~2, 12-22-75; Ord: No. 58-9.1-15, § 1, 4=22-9I) - . • .. ..
Seo. 2-273. ?Loss of credited service.
Axetirement system member's credited service shall be forfeited and no longer in force if the
member terminates city employment with less than.five (5).yeaxs of credited service.
Ord. No: ~58-?5=4, § 13, 12-22-75; Ord. No. 58-87-10, § 1, .11-23-87)
Sec. 2-274.Rein,statement 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,
pravided 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 boazd of trustees.
(Ord. No. 58=75=4, § 14, 12-22-75; Ord. No. 58-98-25, § 10, 11-23-98)
' Sec. 2-275. '3Vlilitary service credit.
(a) A member of the retirement system who leaves or left city employment 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 within one (1} year from and after the date of
termination of such active duty;
(2) ~ In• no case shall more than six (6) years of service be created on account of all .military
service.
(3) :Nottivithstanding any provision of this article to the contrary; contributions, benefits
' • acid :service ~ credit with respect to qualified =military service ••will . be :provided • in
:accordance with 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.
(Ord. No."58-75-4,'§ 15, 12-22-75; Ord. No. 58-98-25, § 11,21-2~3-98)
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:
-- r ... (1) .The. member files written application for retirement with the board of trustees setting
forth the date retirement is to be effective;
Supp. lv'o. 21 174.6
ATTACHMENT ~
--
7D
June 26, 2000
s"'~
• ADMIhTISTR.ATION
§ 2-278
(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 retireme'rIt is ~' +-
. to be. effective; ~ ...~
• ~ . (3j The member has xnet one of the age and service requirements for retirement specified
in subsection (b) applicable to the member's benefit group.
Upon retirement, a member shall be paid a pension computed according, to the applicable
subsections of section 2-281.
(b) The age and service requirements for voluntary retirement are as follows:
(1) Benefit group police. The member has attained age fifty (50) years or older and has
twenty (20) or more years of credited service in force; the member at any age has.
twenty-five (25) or more years of credited service in force; or, the member has attained
age sixty (60) years or older, and has five (5) or more years of credited service in force;
(2) Benefit group general. The member has attained age sixty (60) 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
vrork per annum 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 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. 55-75-4, § 16, 12-22-75; Ord. No. 58-8?-10, § 1, 11-23-87; Ord. No. 58-91-14, § 1,
d-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)
Sec. 2-277. Reserved.
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-X0, § 1, adopted Nov 23,
1987.
See. 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, tivho 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
Supp. A'o. 22 175
ATTACFTMFNT 3•
. 7D
' .. June 2b, 2000
^~; ~ § 2-278 ATLAhTTIC BEACH CODE '
• . ~ __. _._ _ 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 accoxding ,.: '
' to the. applicable subsections of section 2-281 as the subsections tivere 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: ~ '
' .
(1) Benefit group police: Five (5) years;
(2) Benefit group general: 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. Na. 58-99-27, § ~., 11-8-99)
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 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 xetirement shall herein .be
referred to as "disability retirement." The five ,(5) years of credited service requirement shall
not apply to police officers disabled (as defined herein) in the line of duty. The minimum benefit
for any police officer disabled in the line of duty shall be forty-two (42) percent of the final
average compensation, regardless of years of.credited service.
(1) For police group any permanent disability, as defined in subsection (a) of this section,
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. § 112.181(2). '
(b) A member .will be considered disabled if, in the opinion of the board of trustees, the
member is totally and_Qermanently prevented from rendering useful and efficient service:
(1) As a police officer, if a member of benefit group police; or
(2) As a city employee, if a member of benefit group general.
Xf a police officer is found by the board of trustees to have been disabled in the line of duty, total
. ' disability shall be determined on the basis of rendering useful and efficient service as a police
officer, as the case may be.
.
•
To the extent required by. Florida Statutes, any condition or impairment of the health of a
police officer resulting from conditions specified by Florida Statutes shall be presumed to have
been incurred in the line of duty unless shown to the contrary by competent evidence; provided,
Supp. No. 22 176 ..,,.., . „t-.-,. TT'I~TT ^f
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. ~ ' ~• ~ _ June 26, 2000
---.
''?~ ~ ~ ADNIINTSTR.A.TION § 2-279
__._-_..: .. the police officer shall have successfully passed a physical examination upon entering into
~~ ~ .. service with .the city as. a_ police officer and the -examination failed to reveal e_ vidence of a: --
,' ~ presumptive, condition.:. ~.
(c) A member will not be entitled to receive any disability retirement income if disability is
as a result of:
. ~ (1) --hxcessive 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 helshe
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 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, if a police officer, forty-two (42) percent of final average compensation,
whichever is greater.
(f) The monthly retirement income as computed in section 2-281 to which a member is
entitled in the event of his disability xetirement 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 ~vhile 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 within the benefit group to which the member
belonged at the time the disability benefit was granted, regardless of whether the member is
reemployed by the city.
Supp. No. 22 177
ATTAC'.FfMFNT • 3
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June 26, 2000
§ 2-279
ATLANTYC BEACH CODE
(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 beguiriing Frith
the first month far which he received disability retireiiient 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-?5; Ord. No. 58-87-10, § 1, 11-23-87; Ord. No. 58-$8-13, § 1,
11-28-88; Ord. No. 58-93=19A, § 1,1.0-25-93; Ord. No. 58-95-20, § 1, 6-12-95; Ord. No. 58-96-21,
§ 1, 2=12-96; Ord. Na. 58-98-25, § 16, 11-23-98; Ord.. No. 58-99-2?, § 1, 11-8-99)
Sec. 2-280. Same-Continuation subject to re-examination; retuxn to employment.
(a) The board of trustees may require a disability retirant to undergo periodic medical
examination if the disability retirant has not attained the following applicable age:
(1) Benefit group police: Age sixty {60) years; .
(2) Benefit group general: Age 'sixty (60) years.
(b} If a disability xetirant refuses to submit to a medical examination payment of the
disability pension maybe suspended by the board of trustees until withdrawal of the refusal.
.. Should refusal continue for one (1) year all the clisability retirant's rights in and to a disability
~' pension may be revoked by the board of trustees.
(c) A disability retirant who has been restored to employment with the city as provided in
subsection (a) shall again become a member of the retirement system. Service shall be credited
for the period the disability retirant was being paid a disability pension.
(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)
Sec. 2.281. Amount of level straight life pension.
(a) Benefit group police. Subject to section 2-285, the amount of level straight life pension
shall be equal to the retiring member's benefit group police credited service multiplied by three
' (3) percent of the retiring member's final average compensation.
(b) Benefit group general. Subject to section 2-285, the amount of level straight life pension
shall be equal to the xetiring 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.
(c) Cost-bf-lining adjustment. All retirement system members and beneficiaries who retired
prior to January 1, 1997, shall receive aone-time cost-of--living adjustment, which shall be in
an amount equal to three (3) percent of the benefits paid to such refixed 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. 58-93-7.9A; § 1, 10-25-93; Ord. No. 58-97-23, § 1, 7-14-97; Ord. No. 58-99-27,
§ 1, 11-8-99)
Supp. No. 22 178 ATTACHMENT .3 '
s .: r ! •L
.. June 26, 2000
• -, -
• : ~~ . ~ ADMINISTRATION § 2-283
,. -...-: -- -- Sec. 2-282. Optional forms of pension payment.
... _ _ .. .
• .._.. _
• - --.
• A member of the retirement system may .elect to be paid. under one (l) of the followuig
.' ~ 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 cf 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 teundred percent survivor pension: Under Option A, a retirant shall be
paid a reduced pension for life with the provision that upon the retu-ant'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 anal
filed with the board of trustees at the time of election of the optional form of payment.
(2) Option B; fifty 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 xeduced pension shall be continued throughout the future lifetime of and paid to
~~ such person having an insurable interest in the 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) Dption 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 xegular 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. 58-98-2~, § 18, 11-23-98)
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, resignation
or termination as a city employee, eligibility for the death benefit payable under this section
will automatically terminate.
Supp. No. 22 179
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ems, § 2-283
ATLANTIC BEACH CODE
.. ._. {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 maybe payable under the plan with respect to such ~.
. _ .deceased member, may be paid iri the discretion of the~board of trustees either to: (i) Any one
(].) 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 hoard of
trustees may pay the entire benefit to any member of such group or portion such benefit among
any t~vo (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 ar, 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.
(b) The person to whom the deceased member was married at the time of death shall be paid
a pension equal to a 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. The percent shall be equal to the applicable following
percent:
(1) Benefit group police: Seventy-five (75) percent;
(2) Benefit group general: Seventy-five (75) percent.
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 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. The percent shall be equal to the applicable following percent:
.. (1) Benefit group police. 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);
Supp. No, z2 180 ATTACHMENT 3
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''~ ~ .. ~ ' ADMINISTRATION § 2-285
- -- ---.. (2) Bene t ou eneral. Zero (0) percent durin
~ o°~' P g g 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), upon no longer being enxolled as a full-time student in an educational
institution, marriage, or death, and the pension of each xemaining eligible child shall be
recomputed. •
- • (Ord. No. 58-fi5-4, § 24, 12-22-fi5; 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) '
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 attribut-
able 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 0150,000.00) (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
zvas 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 Iimitation 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
suPp. No. 2a 181 ATTACHMENT• 3
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~.
§ 2-285 _ ATLANTIC BEACH CODE
form of a straight-line annuity with p.o ancillary or incidental benefits and with no
member or rollover contributions. To the,extent that ancillary,benefits are~provided, .
''the limits set forth iri~ subsections' ~(1) .and (2) of this subsection will, be.~reduced~_~ ~:
actuarially, using an interest xate assumption equal to the greater of five (5) percent or
the interest xate 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 (hI) of the Internal Revenue Code of 1986 and amendments
thereto and such amount shall b.e 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-$8-12, § 1, 5-8-88; Ord. No. 58-88-13, § :l,
11-28-88; Ord. No. 58-98-25, § 21, 11-23-98)
State law reference-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 nights 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.
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 Aec. 22, 1975. .
Sec. 2-288. City contribution.
,. (a) The plan shall be funded by contributions from member contributions, as provided in
section 2-298, state funding provided for in F.S. §§ 175.101 and 175.121, contributions from the
city and other income sources as authorized by law.
Supp. I~'o. 22 182 ATTACHMENT 3
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§ 2-290
..... -::.. .. {b) State funding shall be provided from premium taxes collected and disbursed pursuant
-- ,:~~ .
- - to F.S. §§ 175.101 and.185.121, which moneys shall be deposited into the fundwithin five (5) :_
.. .' , calendar days of receipt~by the city with the tuzderstanding 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 2-298 and the state
premium taxes funding provided for in subsection (b) and other income sources as authorized
bylaw, 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
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 city shall also contribute
the anticipated cost of any insurance coverage provided retirants and beneficiaries, to the
" extent such cost cannot be covered by the unencumbered balance in the plan. The board shall
' annually certify to the city the contributions determined according to this section, and the city
~°""'~ •• shallappropriate 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. 58-75-4, § 28, 12-22-75; Ord. No. 58-98-25, § 24, 11-23-98)
Sec. 2-289. Resex-ved.
Editor's note-Oxd. 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. .
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 vary from the investment
procedures outlined in F.S. Chs. 175 .and 185, and invest in those stocks, bonds and other
securities permitted by the investment policies or guidelines adopted by the trustees.
(a) Delegation and collocation 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,
supp. n*o. 22 183 ATTACHMENT -3
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'~ '' ~ June 26, 2440
§ 2-290 ~ • ATLANTIC BEACH CQDE
disposition; investing and reinvesting of such of the assets of the trust fund as the -~ -
._
.... _
• ~ trustees shall specify. Any~such:appointment maybe terminated.by.the•trustees `~
_.- ._ . _
---
. upon.~rritten notice. The fees of such investment rimanager'slzallbe paid out of the - •~
.trust fund:: The tilistees 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, which may vary from the investment procedures outlined in
. F.S. Chs. 175 and 185'.
(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, 1I-23-98)
Sec. 2-291. Divisions.
The retirement system shall consist of two (2) divisions, one (1) for members ~vho are police
officers, and one (1) for all other members. Separate accounting of the transactions of the
retirement system shall be maintained for each division and shall clearly indicate the equity
• ~ of each division in the assets of the retirement system. The account separation shall , be
~• effective as of June 1, 1976. Each division shall be •regarded as a separate trust fund. The
' ~ provisions .of this section refer only to the accounting records of the retirement system and
shall not be construed a requiring a physical segregation of the assets of the retirement system
between the divisions. •
• (Ord. No. 58-75-4, § 31, 12-22-?5; Ord. No. 58-99-27, § 1, 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 city.
(Ord. No. 58-75-4, § 32, I2-22-75; Ord. No. ~$-98-25, § 27, II-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 far 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 a specific or continuing resolution of the. board of
• trustees.
(Ord. No. 58-75-4, § 34, I2-22-?5)
Supp. A'o. 22
184 ATTACHMENT 3 •
M1 ~ a •,r
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ADMINISTRATION.. § 2-295
Sec. 2-295..A.ssignments 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,
garxushment, 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 hisllier beneficiary be permitted to and elect to continue the
coverage as a xetirant 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 bylaw.
(b) Direct transfers of eligible rollover distributions. This subsection applies to distributions
made on or after .October 1, 1993. Notti~-ithstanding 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 distzzbution 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 ariy 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 often (10) years or more;
any distizbution 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.
Supp. ~'o. 22 185 ATTACHMENT • 3
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' ~ June 26, 2000
§ 2-295 ATLANTIC BEACH CODE
(4) "Direct rollover" means a payment by the plan to the eligible retirement plan specified
.. . _ :. _ .. -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 xeports required under
this division which are untrue, or shall falsify or permit to~be falsified any record or records of
the retirement system, 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 k: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 by benefit group police bargaining unit members covered by the
current bargaining unit contract shall be one (1) percent of salary and by other benefit group
. police members shall be four and eight hundred fifteen thousandths (4.815} percent of salary
which shall be deducted from the member's pay and paid over into the retirement system at the
same time as city contributions are made. .
(b) Member contributions far 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 the same time as the city contribution is made to the retirement system.
. (c) 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
pant 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
supp. No. 2a 186 ATTACHMENT 3
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' ~• _ June 26, 2000
,_,
• ~ ~ ADMINISTR.A.TION • § 2-299.
_ : - purposes of FICA contributions, worker's compensation, and overtime compensation. This city
-:: ' • pick up~ of contributions is ~a result of a commens""orate xeduction of each member's pay and is _.
iritended'to comply with Section 414(h)(2j of the. InternalRevenue Code....
(d) 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 tohim/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.
(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 IRAto 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, ?-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,
Sec. 2-299. Benefit limitations and required distributions.
(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 tivith
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 bedistributed tohim/her not later than April l of the calendar
..~, ` '.. year following the later of the calendar year in which the member attains age seventy
and one-half (70~/z) or the calendar year in which the member retires. Alternatively,
distributions to a member must begin no later than the applicable April 1, as
Supp. No. 22 187 ATTACHMENT •3
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§ 2-299 ~ AT`LAhTTIC BEACH CODE
..
.: _ :.,: __ .determined., under the preceding sentence, ~ and must be made over`the life of •the :~
_ _.....
-:- : ~-: = iriember (or .thelife'expectancies of the xnexnber and the member's designated
_ .' benefieiary)~in:accoardaiice with regulations. ~ ~ • .. ' . .. • .. .. .-
•. ~ ~ . (2) Distributions to a member and hislher beneficiary shall only be made in accordance
with th'e incidental death benefit requirements of [internal Revenue] Code Section
. 401.(a)(9)(G} and the xegulations thereunder.
(Ord. No. 58-96-21, § ~., 2-X2-96)
• Secs.2-304-2-310.1:teserved.
.~. ... .
. - ~ ,.