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Exh 7A7A t - ;~ July 10, 2000 ~. CITY OF ATLANTIC BEACH CITY COMMISSIONER MEETING STAFF REPORT ITEM: Public hearing, final reading, and adoption of Ordinance 58-99-26, Change to Code of Ordinances, Article Vi, Employee Benefits, Division 3, Retirement System. SUBMITTED BY: George Foster, Human Resource Manager DATE• July 5, 2000 BACKGROUND: On June i9, 2000 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. On June 23, 2000, the City Commissioners were provided with a complete General Employee Pension Plan with changes indicated. RECOIVIlYIENDATiON: City Commission conduct a public hearing, final reading, and adopt Ordinance 58-99-26. 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. ~I d" CITY MANAGER: ~~~ ~~~ _ -~ •--- 3 Attachments: 1. Summary of Changes; 2. Cost of Benefit Enhancements 3. Ordinance 58-99-26 -, K > 7A July 10, 2000 SUMIIRARY OF CHAlvGES __. _. _. The General Employee` Pension ~ Plan is almost identical to the current Pension Plan - - - with the exception that all references to Police, Fire, Section 175 and Section 1$5 have been deleted. Some of the additional changes are: ~ Note: "*" indicates State mandated. - * Separation of General Employees Plan from Retirement System. - * Deletion of all references to Police Officer, Firefighter, and Chapters 185 and 175, F.S. - Definition of "Retirement" added. (Sec 2-262, page 3) - Information on the transfer of all Firefighters to Jacksonville added. (Sec 2-27 i {d), page 8) - Military Service credit clarified. (Sec 2-275, page lOj - Reemployment after retirement clarified. (Sec 2-276(c), page 11) - Credit for period of disability deleted. (Sec 2-280(c), page 15} - Maximum of age 23 for dependent child pension added. (Sec 2-284, page 19) - Section on cost of insurance deleted for clarification. (Sec 2-288(b), page 22) - * Deposit of member contributions changed to "at least monthly." (Sec 2-298(b), page 26) The Police Employee Pension Plan is almost identical to the current Pension Plan; however, some of the changes are: Note: "*" indicates State mandated. - Definition of "Retirement." added (Sec 2-262A, page 14) - * Term of Office. for Board Members changed to 2 years. (Sec 2-267A, page 16) - Reemployment after retirement clarified. (Sec 2-276(c), page 20) - * Disability retirement, item 5. (Sec 2-279A(c)(5) added, page 21) - * Added additional disqualification factor for disability retirement. (Sec 2-276A(c)(5), page 20) - Credit far period of disability deleted. (Sec 2-280A(c}, page 22} - * Added Option A for Ten (20) year certain payment. (Sec 2-282A(1}, page 23} - * Added within Option B a 75% and b62/a% payment option. (Sec 2-282A(2), page 23) - * Change period to fund actuarial deficiency from 40 years to 30 years. (Sec 2 288(c}, page 27) -- * Changes the depositing of employee contributions from monthly to each per pay period. (Sec 2-304A(a}, page 3~1) - * Provides for voluntary deferral of refund of employee contributions up to five years. (Sec 2-300A(c), page 31) - * List "benefit enhancements" that must be implemented upon receipt of additional State Sec 185 funding. (Sec 2-302A(a), -page 31) - Provide for voluntary deferral of refund of employee contributions up to five years. (Sect-300A, page 31) ATTACI3MENT 1 7A _ July l o, 2000 COST OF 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., (a) Normal Retirement A normal retirement benefit for members who have attained the age offifty-five (55) years and have ten (10) or more years of creditable service shall~be established. Annual recurring cost: .30% of salary or $3,056 (b) Normal Retirement -Ten (10) 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 into account the participant's younger age and earlier commencement oI'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 (14) 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 beer< 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. ATTACFIMENT 2 7A ' Duly la, 2aao Y Annual recumng cost: .OS% of salary or $S09 (fj Deferred Retire tent - 7'en (1 U) year period certain. Such 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 (l0} 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 (14} year peri©d certt~in. Such benefits will be paid for a ten (l0) year period certain and life. Yn 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 $30b (h) Employee death -Ten (1 D) 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: .Ol% of salary or $102 ATTACHMENT 2 r 7.~ J~ty ~o, 2ooa ORDTNAI~IGE NO 58T99-26 AN ORDINANCE OF THE CITY OF ATLANTIC BEACH, FLORIDA, AMENDING CAAPTE~t2, ADMINISTRATION, _... At~TIC~.-E .. 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; P~ZOVIDING 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 TkiE MAKE UP OF BOARD OF TRUSTEES; PROVIDING FOR TRUSTEES' TERMS OF OFFICE; PROVIDING FOR FILLING A $OARD VACANCY; PROVIDING FOR THE CREATION OF DIVISION 4, POLICE OFFICER RETIREMENT PLAN; PROVIDING FOR COMPLIANCE WITH THE REQUIREMENTS OF CHAPTER 185 OF THE FLQRTDA STATUTES; PROVIDING FQR THE DEFINITION OF SPECIFIC TERMS; PROVIDING FOR A BENEFIT GROUP; PROVIDING FORA BOARD OF TRUSTEES, 'THEIR DUTIES, COMPOSITION, TERMS OF OFFICE,. FILLING OF VACANCIES, AND ACTUARIAL RESPONSIBILITIES; PROVIDING FOR MEETING REQUIREMENTS, QUORUM, VOTING, AND COMPENSATION; f~ROVIDZNG FOR THE ELECTION OF 80ARD OFFICERS AND EMPLOYMENT OF INDEPENDENT ADVISORS; PROVIDING FOR MEMBERSHIP REQUIREMENTS; PROVIDING FOR CREDITED SERVICE, LOSS, AND REINSTATEMENT OF SAME; PROVIDING FOR MILITARY SERVICE CREDI'T`; FROVIDING FOR VOLUNTARY RETIREMENT AND EMPLOYMENT AFTER RETIREMENT; 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 ANB EMPLOYEE CONTRIBUTIONS; PROVIDYNG FOR THE PROHIBITION OF ASSIGNMENTS; PROVIDING FOR A SAVINGS. CL~.USE; PROVIDING FOR SEVERABILITY; PROVIDING ~'OR CODIFICATION AND PROVIDING-FOR AN EFFECTIVE DATE.. 7A 3uly ld, 200fl WHEREAS, the City.of Atlantic Beach, Florida has an interest in the future retirement of i,ts employees and wishes to improve the _. . _ retirement. system.. whenever.., feasible; ~.nd .WHEREAS, the City of Atlantic Beach, Florida.recogiiizes the requirement to ensure compliance of its pension ordinance and all sections thereof with all State and Federal laws .governing governmental. pension plans; and WHEREAS, the Legislature of the State of Florida made significant amendments to Chapters 175 and 1$5 of the Florida statutes that require amending the Code of Ordinances of the City of Atlantic Beach, and WHEREAS, Firefighters are no longer employed by the City of Atlantic Beach; and WHEREAS, Chapter 2, Administration, Article VI, Division 3, Retirement System, of the Code of Ordinances of the City of Atlantic Beach, Florida, must comply. with all State and Federal laws governing pension plans it is hereby aznEnded as follows: NOA THEREFORE, 8E IT ENACTED BY THE CITY CO1~+~ISSION bF THE CITY OF ATLANTIC BEACH, FLORIDA, AS FQLLQWS: Section 1. Chapter 2, Administration, Article VI, Division 3, Retirement System of the Code of Ordinances is hereby amended as follow: ORDINANCE NO 58-99-26 Page 2 i ,; Chapter 2 ADMINISTRATION. DIVISION 3. GENERAL EMPLOYEE RETIREMENT SYSTEM __ Sec. 2-261. Created, purpose. 7A July 10, 2000 The. city employees' retirement system i hereby created and established for the purpose of providing pensions end death benefits for the employees of the city and their dependents. The effective date of the retirement system is December 22, 1975. (Ord. No. 58.75-4, ~ 1, 12-22-75) Sec. 2-262. Definitions. The following words and phrases as used in this division shall. have the following meanings unless a different meaning is clearly required by the context: Actuarial equivalent shall mean ~tai-~xe-}- that anv benefit payable under the terms ref this plan in a form other than the standard form 'of benefit for members shall have the same actuarial resent value o the date a ent commences as such standard form .of benefit. For the purpose of establishing the actuarial present value of anv form of p~.yfignt, all future payments shall be di counted for 'nte s and mortalit b usin th 1.983 _GZQUp Mortality Table, with acres set ahead five (5) years in the case of disability. Beneficiary shall mean any person who is being paid, or has entitlement to future payment, of a pension or other benefit by the retirement system for a reason other than the person's membership Xn the retirement system. Board of trustees or board shall mean the board of trustees provided for in this division. City shall mean the City of Atlantic Beach, Florida, and shall include officers, boards, departments and instrumentalities. City employee shall mean any person in the employ of the city, other than-Poiice~Officers and Firefighters. 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 ORDINANCE NO 58-99-26 Page 3 ?A July 10, 2000 payments in consideration of unused vacation time or sick lea~re, the value of any fringe benefit, uniform allowances, equipment allowances, reimbursement of expenses, or any other item not specifically included. Credited ~ sexvice shall .nieari fhe service credited . a member. ~as ~~ provided in this division. Final average compensation shall. mean one/sixtieth of the aggregate amount of compensation paid a member during the period of sixty E60) 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 w~.thin 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. 1tilember shall mean any person who is a member of the retirement system. Pension shall mean a series of monthly payments by the retirement system throughout the future life of a retirant or beneficiary, or for a temporary period, as provided in this division. Pension reserve shall mean the present value of all payments likely to be made on account of a pension. The present value shall be computed on the basis of such mortality and other tables of experience and regular annual compound ~.nterest as the actuary appointed by the board of trustees shal]. from time to time determine. ORDINANCE NO ~8-99-2b Page 4 ~.~ ' Duty l o, zooo Regular interest shall mean such rate or rates of interest per annum, compounded annually, as the board of trustees shall. from - - --time . to _time_.adop~ •: ..... _ ._:. __..:._.. Retirant shall mean any person who has satisfied the condition for receiving a benefit and is being paid a pension 'by the retirement system on account of the person's membership in the retirement. system. benefits under the retirement system. Retirement systems or system shall mean the city retirement system created and established by this division. .Service shall mean personal service. rendered to the city by a city employee. Workers' compensation .benefits shall mean any amounts paid a retirant, beneficiary, spouse or child pursuant to any workers' compensation or similar law. Redemptions or settlements of a workers' compensation claim shall. be considered workers' compensation benefits,. Payments in consideration of medical expenses shall 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=28-88; Ord. No. 58-91-15, § 1, 4-22-91; Ord. No. 58-98-25, § 1, 11-23-98) .Cross references)--Definitions and rules of construction generally, § 1-2. 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: -{~-)- Benefit group general shall consist of all members not included in , another ciao. pension,plan. -(-B-~- ORDINANCE NO 58-99-26 Page 5 '7A July 10, 200() (b) Benefit benefit Benefit service (Ord. No. 58~ Sec. 2-264. generally. eligibility conditions shall. be based on the member's group at the time of termination of city employment. amounts shall be based. on the .amount of credited acquired in each benefit-group general.. -75-4, § 3, 12-22-75) .Board of trustees--Responsibilities and duties The general administration, management, and responsibility for the proper operation of the retirement .system, fvr construing, interpreting, and making effective the provisions o~ 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 (s) --Boards and commissions generally, § 2-131 et seq. ~"""`~ Sec. 2-265. Same--Actuarial data; report to city commission. (a) The board shall keep or cause to be kept, in convenient form, such data as shall be recommended by the actuary as necessary .for the operation of the retirement system on an actuarial basis. The board shall keep or cause to be kept, in convenient form, such additional data as is required to properly report the operations of the system. (b) The board shall render a report to the City commission on or before the first day of April 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 ORDINANCE NO 58-99-26 Page 6 ~.~ Jury ~ o, 2000 commission, ~aho may also serve as trustees of the po~.ice officer retiiemen t s ystem created in division 4 hg~ eof; ----.- (2) fjn~e---(-1-}- Two (2l member of the retirement system ,who ~s are employees of _. :._ . _ the city, .but not 'olive officers or firefighte,~s to be elected by the members- of the retirement system who are also sim~.lary situated employees of the city; , -(-~-}-~., 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 commiss~.on. The elections provided for in' subsections (2) -#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) SeC. 2-267. Same-Term of office; oath of office. The regular term of office of a member of the board of trustees shall be four {4) years for civilian members, and four (4) years for employee representatives, unless they terminate employment, whereupon a new election will be held by the members of the plan to fill the unexpired term of their trustee representatives, and 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 off' office to be administered by the city clerk, whereupon a trustee's term of o:~fice 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 fzre-f~-~krter 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, ~ 1, 1-12-87; Ord. No. 58-98-25, ~ 3, 11-23-98} ORDINANCE NQ 58-99-26 Page 7 ~~ July l0, 2000 SeG. 2-268. Same- Vec~ncy; filling of vacancy. (a) A vacancy shall occur on the board_of trustees if any member shall resign or any employee representative ceases to be employed by the city. A vacancy shall occur on the board if ariy trustee fails to attend three:(3) consecutive me.etrigs.of the. board unless; iri each case, excused fore cause by the txitstees attending the meeting. (b) If a vacancy occurs on the board of trustees, the vacancy shall be filled within. ninety (90} days for the unexpired term, i.f applicable, in the same manner as the position was previously filled. (Ord. No. 58-75-4, § 7, 12-22-75; Ord. No. 58-86-7, § 1, 1-12 -87; Ord. No. 58-98-25, § 4, 11-23-98) Sec. 2-269. Same--Meetings; quorum; voting; compensation. The board of trustees shall hold meetings regularly, at least one (1) in each calendar quarter, and shall designate the time and place of each meeting. All meetings of the board shall be open to the public. Notice of -such meetings shall be posted on employee bulletin boards so that employees will be aware of the meeting. The board shall adopt its own rules Qf procedure and shall keep .a record of its proceedings. Three (3) trustees shall constitute a. quorum at any meeting of the board, and at least three {3) concurring votes shall be necessary for a decision by the board. Each trustee shall be entitled to one (1) vote on each question before the board. Trustees shall serve. without compensation for their services as trustees, but shall be entitled to their expenses actually and necessarily incurred in attending meetings of the board and in performing xequired duties as trustees. (Ord. No. 58-75-4, § 8, 12-22-75; Ord. No. 58-86-7, § 1, 1-1287} 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) Treasurer: The director of finance shall be treasurer of ORDINANCE N0 58-99-26 Page 8 ~~ July 14, 2440 Y 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. ... _.. .. _... ____ {4j legal.advisor: The board is -empowered to employ independent legal counsel but is authorized to utilize the services of the City attorney. {S1 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 C of Title ITI of the Employee Retirement Income Security Act of 1974 and who is a member of the Society of Actuaries of the American Academy of Actuaries. A partnership or corporation may be appointed actuary if the duties of .the actuary are performed by or under the direct supervision of an enrolled actuary and the. enrolled actuary signs and is responsible for all final documents submitted by the partnership or corporation. (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 shal_i under .the direction of the board or any appropriate committee thereof, be ministerially responsible to: a. Administer the office or offices of the retirement system and of the board; b. Coordinate and administer the accounting, bookkeeping and clerical services; c. Provide for the coordination of actuarial services furnished by the actuary; d. Prepare. {in cooperation or appropriate with the consulting actuary or other advisors) reports and other documents to be prepared, filed or disseminated by or on behalf of the retirement system in accordance with law; e. Perform such other duties and furnish such other services as may be assigned, delegated or directed or as may be contracted by or on behalf of the board. {7) Other Services: The board is authorized and empowered to ORDINANCE NO 58-99-26 Page 9 y ~ - ~~ 3uly 10, 2000 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 fqr these services shall be determined in accordance with procedures established by the board. (Ord. No. 58-75-4, ~ 9, 12-22-75; Ord, No. 58-$6~7, § 1, 1-12-87; Ord: No. 58-91-15, § 1, 4-22-91; Ord.~No. 58-98-25, §§ 5--8, 11-23- 98) Sec. 2-271. Membership. (a) All persons who are city employees, and all persons who become city employees, shall be 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 participation 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; (6) 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 ORDINANCE NO 58°99-26 Page 10 T f ~~ 3uiy ~ o, 2000 ' _ excluded position. Effect3.ve June 1, 1999. all firefighter emplovees of the City of Atlantic Beach are. hereby consolidated into the City of and 98-1406 of the City of Jacksonville, which provide for an Interlocal Acrreement between the Cities of Jacksonville and ~ltlanti.c Beach entered into by these Cities effective on the. 1 ct- r3av n-F .Tuna 1 AC)g~ anri i-ha C"i'!-v r,~F .Tar•1r~.,r,tri 1 ~ / „ n-...,a~,...,........ 1999-472-E, which was enacted on the 25th approved off., the 1st day of June 1999 ,~- (Ord. No. 56-75-4, § 11, 12-22-75; Ord. No. 58-81-5, § 1, 9-2$-81; Ord. No. 5885-6, 1-13-8b; 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 the Florida Statutes. In no case shall more than one (1j year of credited service be credited an 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 far the total number of years, and fractional parts of years, of service of the member. {Ozd. No. 58-754, § 12, 12-22-75; Ord. No. 58-9115, ~ 1, 4-22-91) Sec. 2-273. Loss of credited service. A retirement system member's credited service shall be forfeited and no longer in force if the member terminates city employment with less than five (5) years of credited service. Ord. No. 58-75-4, § 13; 12-22-75; Ord. No. 58-87-i4, § 1, 11-23-87} Sec. 2-271. Reinstatement of Credited service. A member's forfeited.. credited service shall be restored to his/her individual service account if re-employment by the city and ORDINANCE NO 58-99-26 Page ll ~~ July 1 ~, 2000 membership in the retirement system occurs within five (5} years from and after the date of separation from city employment that caused the forfeiture, provided that the member repays to the retirement system the contributions refunded under subsection 2- 298(d} hereof plus interest at the actuarially assumed rate in -accordance with -terms establ~.shed by ~tlie .board of trustees. {Ord. No. 58-?5-4, § 14, 12-22-75; Ord. No. 58-98=25, ~ 10, 11-23- 98) Sec. 2-275. Military service credit. (a) A member of the retirement system who leaves or left city employment voluntarily or non-voluntarily to enter any armed service of the United States. during time of war, period of compulsory military service, or period of national emergency recognized by the city commission shall have required periods of active duty credited as-city service subject to the following conditions: (1) The member is re-employed by the city from-and as provided in the Uniformed Services Employment and Reem~loyment Rights Act (USERRA) after the date of termination of such active duty; (2) In no case shall more than stx-~-f-E-}- the years of service provided. for in USERRA be created on account of all military service. (3) Notwithstanding any provision of this article to the contrary, contributions, benefits and service credit with respect to qualified military serv~,ce wi11 be provided in accordance with USERRA and Section 414 (u) of the Internal Revenue Code. (b) The board of trustees shall determine the amount of service to be credited a member under the provisions of this section and SER (Ord. No. 58-75-4, § 15, 12-22-75; Ord. No. 58-98-25, ~ 11, 11--23- 98} Sec. 2-276. Voluntary retirement conditions; employment after retirement. fa} A member of the retirement system may retire upon satisfaction ~^, of each of the following requirements: (1) The member files written application for retirement with ORDLNANCE NO 58-99-26 Page 12 '7A Jury T o, 2000 the board of trustees setting forth the date retirement is to be effective; (2) The member terminates all of his/her city employment normally requiring one thousand (1,000) hours of work or -- -. --inore~ per ~~arinum on ~-dr `before: the date retirein~rit is ~to ~be effective: (3) The member has met o-rre--n-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 a~s-f-o-~-i ow~s r~- s~rrtr-~rc-e~ ---__,- ..- -...~ ........ .. _. ~...~~...r t.,ic iucuwct, ctL d r , ~.~'C i ~ age sixty (60) years or older, and ems 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) Sours of work per annum or in a position not covered by this pension plan and receive retirement benefits from _ his/her. .previous employment and compensation from his/her reemployment. (2) Any person who has retired as a member of this retirement system and is subsequently reemployed by the city in any ORDINANCE NQ 5$-99-25 Page 13 r ~ / rI. July 10, 2{)fl0 position normally requiring one thousand (1,00©) hours or more of work per annum in a posi~ign covered by phis pension plan shall have his/her pension benefit suspended during the period of such reemployment and shall receive .additional credited service from his/her reemployment. (Ord. No. 58-75-4, § 16, 12-22--75; Ord. No. 58-87-10, § 1, 3.I-23- 87; Ord. No. 58-91°14, § 1, 4-8-91.; Ord. No. 58-93-19A, § 1; 10-25- 93; Ord. No. 58-98-25, §§ 12, 13,11-23-98) 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. 58-87-10, § 1, adopted Nov. 23, 1987. SQC. 2-278. Deferred retirement upon separation from employment (vesting} , (a) A member of the retirement system who terminates city employment prior to satisfying the requirements for voluntary retirement .under .section: 2--276 for a reason. other than retirement or death, who has not received a refund of his or her member contributions, and who has the applicable period of credited service specified in subsection (b) shall remain a member and be entitled to be paid a pension upon attaining the age and service requirements for voluntary retirement, as set forth in section 2-276. `Upon attaining the age and service requirement for voluntary retirement, the member shall be paid a pension computed according to the applicable subsections of section 2-281 as the subsections were in force at the time a member left city employment. (b) The credited service requirement for separation from city employment with entitlement to deferred retirement is: -c~-r -c-rr- `f~~- 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, 12-23-98) Sec. 2-279. Disab~.ity retirement--General conditions for elig~,bility. ORDINANCE NO 58-99--26 Page 14 '""'"'' ' (a ) ~t~ July lo, zaaa 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 sYiall ~ herein . be referred to as "disability retirement." ~ , (b) A member will be considered disabled if, in the opinion of the board of trustees, the member is totally and permanently prevented from rendering useful and efficient service: -t~ r ~" - , a-r -(~- Aas a city employee, ` ORDINANCE NO 58-99-26 Page 15 7~. July 10, 2000 __ ___ (c) A member will not be entitled to receive any disability:. retirement income if~-disability is ~as ~a: result oft "- ~~ -- (1) Excessive and habitual use by the employee of drugs, intoxicants, or narcotics; (2) Injury or disease sustained by the employee while willfully and illegally participating in fights, riots, or civil insurrections ar while committing a crime; (3) Injury or disease sustained by the employee while serving in any armed forces; or (4} Injury or disease sustained by the employee after his/her employment has terminated. (d) No member shall be permitted to retire under the provisions of this section until he/she is examined by a duly qualified physician or surgeon, to be selected. by the board of trustees for that purpose, and is found to be disabled in the degree and in the manner specified in this section. Any member retiring under this section may be examined periodically by a duly qualified physician or surgeon or board of physicians and surgeons to be selected by the board of trustees for that purpose, to determine 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 2pplicable subsections of section 2-28~. , ' (f} The monthly retirement income as computed in section 2-28I. to which a member is entitled in the event of his disability retirement shall be payable monthly after the board of trustees determine such entitlement retroactive to the date of application or the last day on payroll, whichever is later. If the member recovers from the disability prior to his normal retirement date., the Last payment wi21 be the payment due next preceding the date of such recovery, If the member dies without recovering from his disability or attains his normal ORDINANCE NO 58-99-26 Page l6 7A July l o, zooo retirement date while still disabled, the last payment will be the payment due next preceding his death. {g) If the board of trustees finds that a member wha is receiving __ a disability retirement income is, at any time prior to his ~noraial retireanent~~ date; .~-no -~~ longer disabled, ~~ ~as provided ` -- herein, the board of trustees shall direct that the disability retirement income be discontinued. Recovexy from disability as used herein means the ability of the member to render useful and efficient service as an employee of the city vv~t~h;trr-tire (h) If the member recovers from disability and reenters the service of the city as an employee, his service wiil be deemed to have been continuous, but the period beginning with the first month for which he received disability retirement income payment and ending with the date he reentered the city service will not be considered as credited service for the purpose of the system. {Ord. No. 58-75-4, § 19, 12-22-75; Ord. No. 58-87-10, § 1,.11-23- ' 87; Ord. No. 58-88-13, § 1, 11-28-~88; Ord. No. 58-93-19A, § 1, 10- 25-93; Ord. No. 58-95-20, § 1, b-12-95; Ord. No. 58-96-21, § 1., 2-- 12-96; Ord. No. 58-98-25, § 16, 11-23-98) Sec. 2-280. Same--Continuation subject to re-examination; return to emplo~rment . {a) 'The board of trustees may require a disability retirant to undergo periodic medical examination if the disability retirant has not attained -c~-r -ram- , ~r Rage sixty (60} years. {b) If ~ disability retirant refuses to submit to a medical examination payment of the disability pension may be suspended by the board of trustees until. withdrawal of the refusal. Should refusal continue for one {1,) year all the disability 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 ORDINANCE NO 58-99-26 Page 17 ~~. 3uly 10, 2000 member of the retirement system...:.: , ~~~rs:iarr: ___ _ _ ___ (Ord. No. 58-75-4, § 20, 12-22-75; Ord. No. 58-98-25, § 17, 11-23- Bec. 2-281. A~r-ount of level straight l~.fe pension, ~ , (~ca) Benefit group generax . Subject to section 2-285, the amount of level straight life pension shall. be equal to the retiring e 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. (db) Cost-of-living adjustment. All retirement system members and beneficiaries who retired prior to January 1, 1997, shall receive a one-time cost-of-living adjustment, which shall be in an amount equal to three (3) percent of the benefits paid to such retired members and beneficiaries during the immediately preceding month. (Ord. No. 58-75-4, § 21, 12-22-75; Ord. No. 58-8'~~$, § 1, 10-26-87; Ord. No. 58-92-18, § 1, 928-92; Ord. No. 58-93-19A, § 1, 10-25-93; Ord. No. 58-97-23, § 1, 7-14-97) Sec. 2-282. Optional forms of pension payment. A membex of the retirement system may elect to be paid under one (1) of the following optional forms of payment in lieu of the level straight life form of .payment. The election .must be made in writing and filed with the board of trustees prior to the date retirement is effective. Payment will be made under the level straight life form of payment if a timely election of an optional form of payment is not made. The amount of pension under Option A and Option B u- 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 ORDINANCE NO 58-99-26 Page 18 ~~. July 10, 2000 annual benefit exceed. the lesser of: (1) Option A; one hundred percent survivor pension : Under __ __ Option A, a retirant shall be paid a reduced pension for life with the provision that upon the retirant's__death,-the reduced , _ .. :. pension sYiall be continued throughout the future lifetime of and paid to such person as the retirant shall have nozttinated by written designation duly executed and filed with the board of trustees at the time of election of the optional form of payment. (2) Option B; .fifty percent survivor pension: Under Option B, a retirant shall be paid a reduced pension for life with the provision that upon the retirant's death, one-half of the reduced pension shall be continued throughout the future lifetime of and paid to such person 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) Option C; socia.~ security coordinated pension: Under Option C, a retirant shall be paid an increased pension to .attainment of the age when the retirant is eligible to receive regular social security retirement benefits, and a reduced pension thereafter. The increased pension paid to attainment of regular socia], 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 benef.~t form: Any other actuarially equivalent form of benefit requested by a member and approved, in their sole discret~.on, by the board of trustees. (Ord. No. 58-75-4, § 22, 12-22-75; Ord. No. 58-9$-25, § 1$, 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- ORDINANCE NO 58-99-26 Page 19 ~~ July l o, 2aoa ~_ beneficiary ~n force, the beneficiary, if living, shall be paid a level straight life pension computed according to section 2-281 in the same manner in X11 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 imember "~inay: 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. {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, ~.f any, which may be payable under the plan with respect to such deceased member, may be paid in the discretion of the board of trustees either to: (i) Any one {1) or more of the persons comprising the group consisting of the member's spouse, the member's descendants, the member's parents, or the member's heirs. at law, and the board of trustees may pay the entire benefit to any member of such group or portion such benefit among any two (2) or more of them in such shares as the board of trustees, in its sole discretion, shall determine; or (ii) The estate of such member, provided that in any of such cases the board of trustees, in its discretion, may direct that the commuted value of the remaining monthly income payments be paid in a lump sum. Any payment made to any person pursuant to the power and discretion conferred upon the board of trustees by the preceding sentence shall operate as a complete discharge of all obligations under the plan with regard to such deceased member and shall not be subject to a review by anyone, but shall be final, binding and conclusive on all persons ever interested hereunder. (Ord. No. 58-75-4, § 23, 12-22--75; Ord, No. 58-87-10, § 1, 11-23- 87; Ord. No. 58-88-13, § 1, ~1-28-88; Ord. No. 58-98-25, § 19, 11- 23-98) Sec. 2-284. Alternate death while in City employment; pension to spouse and/or children. (a) The applicable benefits provided in. subsections (b) and (c) of this section or,~if the. member designated the member's spouse or chi~.dren, 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, ORDINANCE NO 58-99-26 Page 20 ~~, 3uly 10, 2Ud0 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 b_ e paid a pension equal. to a seventy-f~.ve g pe`iis.ori -.--- percent ~„75~} of ~ .the. aimouri~ of level. stray. ht l~.fe computed according to. the applicable subseCti,on,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: -Frr ~-r -r3-r A surviving spouse's pension shall terminate upon death. (c) The deceased member's unrc~arried 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 ~ --a r ~- r -~-3-3- ~,~ero ( 0 ) percent during periods a pension is being paid in accordance with the provisions of subsection (b):; fifty (50) percent during periods a pension is not being paid in accordance with the provisions of subsection (b). A surviving child's pension shall terminate upon attainment of age nineteen {19) years or, if over nineteen {19) but leis than twenty three {23) , upon na longer being enrolled as a full-time student in QRDTNANCE NO 58--99-26 Page 21 ~~ July 10, 2000 an educational institution, marriage, or death, acid the pension of each remaining eligible child shall be recomputed. (Ord. No. 58-75-4, ~ 24, 12-22-75; Ord. No, 58-87=10, ~ 1, 11--23- 87; Ord. No. 58-98--25, ~ 20, 11-23-98) Sec. 2-285. Maximum amount of pension. " (a) The normal retirement pension payable to a member of the retirement system and who has not previously participated in such system, on or after January 1, 1980, shall not exceed one hundred (100) percent of his final average compensation. However, nothing contained in this section shall apply to supplemental retirement benefits or to pension increases- attributable to cost-of-living increases or adjustments. (b) No member of the system covered by this article who is not now " a member of such system shall be allowed to receive a retirement pension which is, in part or in whole, based upon any service with respect to which the member is already receiving, or will receive in the future, a retirement pension from another retirement system or plan; provided that this restriction does not apply to social security benefits or federal benefits under Chapter 67, Title 10, U.S, Code. (c) In no event may a member's annual benefit exceed the lesser of: (1) One hundred fifty thousand dollars (5150,000.00) (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 df IRC Section 415(d). . (3} Compensation in excess of limitations set forth in Section 401(a)(17) of the Internal Revenue Code shall be disregarded. The limitation on compensation for an "eligible employee" shall not be less than the amount which was allowed to be taken into account hereunder as in effect on July 1, 1993. "Eligible employee" is an individual who was a member before the first plan year beginning after December 31, 1995. (4) If the member has less than ten (10) years of service with the employer {as defined in Section 415(b){5) of the ORDINANCE NO 58-99-26 Page 22 7A July i 0, 2n04 Internal Revenue Code and as modified by Section 415 (b) (6} {D) of the. Internal; Revenue Code) , the applicable limitation in subsection (1) qr subsection (2} of this subsection shall be reduced by multiplying such limitation _._ _ by a .fraction, not to exceed one {1) . The numerator of such . _ ..... _ faction shall- be .-thee 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 annua~.ly in the form of a straight- line annuity with no ancillary or incidental benefits and with no member or rollover contributions. To the extent that ancillary benefits are provided, the limits set forth in subsections (1) and (2) of this subsection will be reduced actuarially, using an interest rate assumption equal to the greater of five (5) percent or the interest rate used in the most recent annual actuarial valuation, to reflect such. ancillary benefits. If distribution of retirement benefits begins before age sixty-two (62), the dollar limitation as described in subsection (1) of this subsection shall be reduced actuarially using an interest rate assumption equal to the greater of five (5) percent or the interest. rate used in the most recent annual actuarial valuation; however, .retirement benefits shall not be reduced below seventy-five thousand dollars {$75,000.00) if payment of benefits begins at or after age fifty-five (55) . If retirement benefits begin after age sixty-five (65), the dollar limitation of subsection (1) of this subsection shall be increased actuarially using an interest assumption equal to the lesser of five {5) percent or the interest rate used in the most recent annual actuarial valuation. For purposes of this subsection, .average annual compensation for a member's three (3) highest paid consecutive years means the member's greatest aggregate compensat~.on 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 4~5(G) and (H) of the Internal Revenue Code of 1986 and amendments thereto and such amount shall be adjusted in accordance with regulations promulgated by the secretary of the treasury or his/her delegate. (Ord. No. 58-75-4, § 25, 12-22-75; Ord. No. 58-88-12, ~ 1, 8-8-88; Ord. No. 58-88-13, ~ 1, 11-28-88; Ord. No. 58-98-25, ~ 21, 13-23w 98) State law reference(s)--Limitation of benefits, F.S. § 112.65. Sec. 2 -286. Subrogation rights. ORDINANCE NO 5899-26 Page 23 7A July 14,.2000 If a member of the .retirement. system, retirant or beneficiary beGOmes entitled to 'a pension as the result of an accident or injury caused by the act of a thud party, the retirement system shall. be subrogated to the rights of such member, retirant or beneficiary against such. third party to the extent of pensions _ _._. ... which" ~ the retirement system:~~ ~pays~ - or-' becomes liable. ~to pay- on account of such accident,or injury: (Ord. No. 5875-4, § 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 Dec. 22, 1975.. Seca 2-28$. City contribution. (a} The plan shall be funded by contributions from member contributions, as provided in section 2-298, ~stat~~~xg . , contributions from the city and other income sources as authorized by law. (b) . , -fed- 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 t-h-e--state 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. ORDINANCE NO 58-99-26 Page 24 .. ~~- July 10, 2000 ~"""`~ ~, .. 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.. - - -- ---- -(ttc} All--~b.enefits and expenses-shall be paid in..accordance with the ~-, provzs~ons of this pension plan and consistent with Floxida Statutes and the Internal Revenue Code. (Ord. No. 58-75-4, § 28, 12-22w75; Ord. No. 58-98-25, § 24, 11-23- . 98) Sec. 2-289. Reserved. Editor's note--Ord. No. 58-98-25, § 25, adopted Nov. 23, 1998, repealed § 2-289 which pertained to reserve for undistributed investment income and derived from. Ord. No. 58-75-4, § 29, adopted Dec. 22, 1975. 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. ~'he 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 s~.milar stocks, bonds or other property in his own right. The trustees are authorized to • invest in those stocks, bonds and other securities permitted by the investment policies or guidelines adopted by the trustees. (a} Delegation and allocation of investment functions. (1) The tTrustees shall have the power and authority to appoint one (1) or more investment managers who shall be responsible for the management, acquisition, disposition, investing and reinvesting of such of the assets of the ~tTrust Fund as the tTrustees 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 tTrust ~E'und. The trustees shall require that the investment manager acknowledge in writing that it is a named fiduciary with respect to the ORDINANCE NO 58-99-26 Page 25 3 . ~.~ July 10, 2000 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 -~~gizidelines, . . {Ord. No. 58-75-9, § 30, 12-22-75; Ord. No. 58--85-5, § 1, 7-22-85; Ord. No. 58-92-17, § 1, 1-27-92; Ord. No. 58-98--25, § 26, 11-23~-98) S®c. 2-29I. 33ivisi.-c~rs-: eserved. .• 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, 12-22-75; Ord. No. 58-98-25, § 27, 11-23- 98) Sec. 2-293. ~teserired. Editor', note--Ord. No. 58-98-25, § 28, adopted Nov. 23, 1998, repealed § 2 -293 which pertained to insurance coverage for retirants and beneficiaries and derived from Ord. No. 58-75-4, § 33, adopted Dec. 22, 1975. Sec. 2-294. Method of making payments. All payments under this division shall be made according to the provisions of the City Charter and city ordinances governing the ORDINANCE NO 58-99-2b Page 26 7A rely ~ o, zooo disbursement of cit monies. No a y p ym~nt 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, 12--22-75) Sec. 2-295. Assignments prohibited. (a) Generally. The right of a person to a pension, disability, death or survivor. benefit, and any other right accrued or accruing to any person under the provisions of this division, and any monies in assets belonging to the retirement system, shall not be subject to execution, garnishment. attachment, the operation of bankruptcy or insolvency law, or any other process of law whatsoever, and shall be unassignable except as is specifically provided in this division. If a member is covered under a group insurance or prepayment plan participated in by the city, and should the member or his/her beneficiary be permitted to and elect to continue the coverage as a retirant or beneficiary, the member or beneficiary may authorize the board of trustees to deduct required payments to continue coverage under the group insurance or prepayment plan. The city shall have the right df set off for any claim °~ arising front embezzlement by or fraud of a member, retirant or beneficiary in addition to any other remedies, including forfeiture of benefits, provided by law. (b} Direct transfers of el.zgible rollover distributions. This subsection applies to distributions made on or after October 1, 1993. Notwithstanding any provision of the plan to the contrary that would otherwise limit a distributee's election under this section, a distributee may elect, at the time and in the manner prescribed by the board of trustees, to have any portion of an eligible rollover distribution paid directly to an. eligible retirement plan specified by the distributee in a direct rollover. (1) "Elzgik~le rollover distribution`' means any distribution of all or any portion. of the balance to the credit of the distributee, except that an eligible rollover distribution does not include any distribution that is one (1) of a series of .substantially equal periodic payments (not less frequently than annually) made for the ~ life (or Life expectancy) of the distributee or the joint lives (or joint life expectancies) of the distributee and the distributee's designated beneficiary or for a specified period of ten {10) years or more; any distribut~.on to the extent such distribution is required under Section 401(a)(9) of the Internal Revenue Code; and the portion of any distribut~.on ORDINANCE NO 58-99-26 Page 27 a ~ ~ 7A ~u~y io, zooo that is .not includable in gross income {determined without regard to the exclusion for net unrealized appreciation with respect to employer securit3.es). __ _. t2) "Eligible retirement" means an individual retirement 'account-~descrbed~in Section 408.{a)~~of the Internal ~Re~renue 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 emplayee. Tn addition, the employee's or former employee's surviving spouse, or the employee's or former employee's spouse or former spouse who is the alternate payee under an income deduction order, is a distributee with regard to the interest of the spouse or former spouse. (4) "Direct. rollover" means a payment by the plan to the eligible retirement plan specified by the distributee. {Ord. No. 58-75-4, § 35, 12-22-?5; Ord. No. 58-98-25, ~ 29, 11-23- 98) Sec. 2-29fi. Errors. Should the board of trustees determine that any member, retirant or beneficiary is being paid from the retirement system more or less than is correct, the board of trustees shall correct the error and, as far as practicable, shall adjust the payment in such manner that the actuarial equivalent of the benefit to which the member, retirant or beneficiary was correctly entitled shall be paid. (Ord. No. 58-75-4, § 36, 12-22-75; Ord. No. 58-98-25, § 30, 11-23- . 98) Sec. 2 -297. Protection against fraud. Whoever with intent to deceive shall make any statements and/or reports required under this division which are untrue, or shall falsify or permit to be falsified any record or records of the retirement system, 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. ORDINANCE NO 58-99-26 Page 28 7 i. . 3uly I fl, 2flflfl -.Any member who is convicted as provided in F.S. § 112.3173 of a specified offense committed prior to retirement, or whose employment is terminated by reason of an admitted comm~.ssion, .aid . - -- or abatement of a specified offense, shall forfeit all rights and benefits under this pension plan, except for return of accumulated __ . --- . - - -contributions -as- .gf his-..date of termination: . (Ord. No. 58-75-4, § 37, i2--22-75; Ord. No. 58-98-25, § 31, 11-23-~ 98) Sec. 2298. Member contributions. (a) -(fir}- 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. (~cb) The City of Atlantic Beach shall assume and pay the member contributions set forth above in lieu of payroll deductions from such members` earnings. No member shall have the option of choosing to receive the contributed amounts directly instead of having them paid by the city directly to the retirement system. All such contributions by the city shall be deemed and considered as part of the member's contributions and subject to all provisions of this plan pertaining to contributions of members. Such contributions shall additionally be considered as part of the member's compensation for purposes of determining final. average compensation and any other benefits hereunder and for determining the member's hourly wage rate for purposes of FICA contributions, worker's compensation, and overtime compensation. This city pick up of contributions is a result of a commensurate reduction of each. member's pay and is intended to comply with Section 414{h){2) of the Internal .Revenue Code. (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 ORDINANCE NO 58-99-26 Page 29 7A duly 10, 2000 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 ariy disability benefits paid to_him/her. ;If an employee who has. been in the service of the dity for at least five (5y 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.. (mod} 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 ~sInternal 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}, t: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, 11-2 888; Ord. No. 58-93-19A, § 1, 10-25-93; Ord. No. 58-96-21, § 1, 2-12-96; Ord. No. 58-97-22, § 1, 2-24-97; Ord. No. 58-97-23, § 2, 7-14-97; Ord. No. 58-97-24, § 1, 9-8-97; Ord. No. 58-98-25, § 32, 11-23--98} Sec. 2-299. Benefit 3.imitations 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 zequirements and otherwise comply with Internal Revenue Code Section 401(a)(9) and the regulations thereunder, the provisions of which are incorporated herein by reference: (1) A member's benefit shall, be distributed to him/her not later than April 1 of the calendar year following the later ORDINANCE NO 58--99-26 Page 30 7A . July i0, 2000 '` '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 determine_dunder the preceding sentence, and must be made over the. life , of the member (or~ the life e xpectancies of ~ - - - -~ 'the member and the member's. designated beneficiary} in accordance with regulations. .~ (2) Distributions to a membex and his/her beneficiary shall only be made in accordance with the incidental death benefit requirements of jInternal Revenue) Code Section 401 (a) (9) (G} and the regulations thereunder. (Ord. No. 5$-96-21, § 1, 2-12-96) ~. Secs. 2-300--2-310. Reserved. ~"""" 7A • July 10, 2000 ~"'",~ _ DIMS ON 4. PO ICE O ICE ~ TIREMENT SY M _ --- _ Sec. ~-263.A. Created, purpose. _ The__Police Officersi Re,~irement System is hereby created and es bli ed for th ur se o rovidin ensio s and death benefits for the Police Officers of the city and their dependen~ts_ ~.n accordance with Chanter 185 of the Florida Statutes The effective date of the retirement system is on adoption of this Qrd~.nance However, all benefits in ex~.stence under all previous retirement systems or plans effective after December 22,, 1975 shall remain In effect anal be included as a part of this retirement system. - $ec. 2-262A. Definitions. The followina words and phrases as used in phis division shall have the _followina meanings unless a different meaning is clearly rg_quirec~, b„y tie context Actuarial ecxuivalent shall mean that any benefit payable ln~ler Benef~:c Larv shall mean any person who is ~eina paid, or has in the retiresanent system. Board-of trustees or board shad mean the board of trustees provided for in this divis~n C.ZtV shall mean. the City of Atlantic Beach, Floridan and shall include officers, boards, departments and instrumentalities Compensation shah. mean the total cash remuneration paid a me~ber for service rendered to the city Compensation shall include base salar or wa lon evit a ov rti e a c st of 1'vi ents al r r wa es while absent fro ork n ac unt of vacation ho id r illness and will a so incl de in entive as define in Ch t r 943. 2 lorida St tutes. om ensati n shall not include redemptions or payments in consideration of unused vacation time or sick leave, the valz~e of any fringe benefit, ORDINANCE NO 58-99-26 Page 32 the purpose of establishincr the actuarial oresent val~xe of any form of ~avment, all future payments shall he di~~nunted for interest nd mort lit b usin the 1983 Gro Morta it T bl with a es set ahead five (5) ygars in the cafe of disability 7A July l0, 2U00 uni orm llow nc e i meat ailo nce reimburs ment of expenses, or payments for extra d~zty or a special detail work erf d on b h if of a seco d r m 1o er or an of er 'tem ____ --_ not specifically included ~redt tea .service shall 'mean the ~ service credted~mber as provide~in this division. Final average compensation shall mean one/sixtieth of_ the re ate amp t of om ensation id a tuber dur' the eriod of sixty {60) months of the member's credited service in which the aggregate amount of compensation paid is greatest The sixty {60) months of credited service must be contained within the member's last one hundred twenty {120) months o~ credited service If a member has less than sixty {60) months of credited service, fine] average compensation means the aaaregate amount of compensation maid the member divided by the member's months of credited service Member shall mean env person wha is a member of the retirement system. ~'ension shall mean a series of monthly payments by the retirement system throughout the future life of a re~irant or beneficiary, or for a temporary period, as provided in this division Pension reserve likely to be m~~ie c be co~puted on the experience and rep appointed by the determine. _sk~all mean the present value of all payments •n account of a pension The present value shall. ~__basis of such mortality and other tables of xular.annual compound interest as the actuary board of trustees shall from times to time Po.Iice officer shall mean a city employee employed by the t?o~.ice department who is certified or required to be certified as a law - enforcement officer in compliance with Sections 185 02{11) and 94 .1,4 lori a S tut and who Ids he r nk of at of offic Qr_higher, including probationary patrol officer The term police 2fficer shall not include env civilian city employee employed in the police department. env person employed as a police officer for ~an emergency, or env person privately employed as a police officer Regrular interest shall mean such rate or rates of interest per annum, comtaounded annually, as the board of trustees shall from t~.me to time adopt =Retirant shall mean env person who has satisfied the condition far receiving a benefit and is beincr paid a pension by.,,,the retirement system on account of the Le..,I'son' s membership in ~„he retirement sys em ORDINANCE NO 58-99-2b Page 33 '7A . July t o, zooo °'°°~ - Retirement shall mean a pglige„officqr's separation from city em to e t a o i e officer with imm di e eli i 'lit for receipt of benefits Linder the retirement, sygtem Retirements st m or s st a l th czt retire t lap c~eate~t and established by this division ~ ~ - ~- -~- ~ --- ~- Service shall mean nersona.I service rendered. to ~~e city by a police officer. om ensation or imil r 1 w. R dem Lions or set leme s of workers' compensation claim shall be considered workers' comx~ensation benefits Payments in consideration of medial expenses shall be c,~isregarded in the„determination of worl~ers' compensation benefits. $~c. 2-263A. Benefit clroups, ~., The following benefit crroup is hereby desiana~ed for the purpose of determininct a retirement system member's applicable benefit eligibility conditions ,~n~i~benefit amount• Benefit ctroup police shall consist of all members who are also police officers. Benefit elic~ibii,ity conditions shal„1 be based on the m is benefit rou t the time of t in tion f cit empiovment. Benefit amounts shall be based on ~~ amount of credited serv~.ce acquired in Y~enefit q^rou,~ police Sea. 2-264A. Bard of trustees - Respons}~ilities anti duties ~}erally. Th enera admi istration ma a ement and re on ilit for th proper operation of the retirement system, for cons~ruinct, lnterpretznct, and makincr effective the provisions of this division, and for kin recomm ndations t t e it c is ion on atters concernincr this retirement svstem are vested in the board of trustees Such responsibilities and duties shall be condu such manner as to com cted in piv with the requiremen~,s of Chapter 185 of the Florida Statutes; and shall specifically include compliance with section 285 06 therein T Sea. 2-265A. Same - Actuarial data• retort to cit ' y corcan3 s,.,.s a.on ~,Z The board shall keep or cause to be kept,~n convenient form, such data as shall be recommended by its actuary and as ORDINANCE NO 58-99-2b Page 34 ~~. s~~y ~o, zooo data as is required to properly report the pperations of the - --- system. 1,b) The board shall render all reports required by state each year showing the fiscal transactions of the retirement system for the year ended the preceding thirtieth day Qf September, the assets of the retirement system as of the preced~.nq thirtieth day of September, and a copy of the most recent actuarial report S,ee. 2-266A. Same - Composition. The board of trustees shall consist of five ~ 5) trustees as follows: S.~L Two i2~, unless otherwise prohibited by law, shall b~legal residents of the city, appointed by the city commissionL who may serve as trustees of other Citv Boards including the General Employees Retirement System provided herein; ~,b Z Two (2) Police Officers to be elected by the active police officers who are members of the retirement system; ~L Ore (2} trustee to be selected by the other four ~) members of the board of trustees and appointed ,as a ministerial act by the city commission. The elections .provided fo.r 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--Z67A. Same - Term of office; oath of office The regular term of office of a member of the board of trustees shall be two (2) years for resident appointees, end two (2) wears for elected representatives, unless they terminate employment, whereupon a new election will be held by the members of the plan tQ fill the unexpired term of their trustee representatives The term of office for tl~e trustee selected by the other four members of the board shall be two (2) years. Each trustee shall, before .~ trustee's term of offi ~shall beam , Sec. 2-268A. Sam e - Vacancy; filling of vacancy ORDINANCE NO 58-99-26 Page 35 fiA 3uly 10, 2000 '~ ~ A vacancy shall occur on the board of trt~s~ees if any ember resi n r n m to ere resentative ass to be em 1 d b,y the city. __ __ -_-_ .~ If a vacancy. occurs on the board of trustees, the vacancy -shall be filled wit in nin t g0 da. s for h- une fired t r in~- --~ the same manner a,~ the position was_,,p~,~uiously filled. Seo,, 2-269A. dame-Meetir~ s; quorum; vot~incr: compensation The board of trustees shall hold meetings recrularly, a~ least one 1 in e ch calendar arter d shall s nat he tim a d place of each meeting A11 meetings of the board shall be open to the ubiic. Noti f suc meeti s shall e ost d on em to e ulleti boards so that al members will w re of he me tin Th boar sh 11 g o t its own rul s of r e r and hall k e a r ord its rocs din s Thre 3 tru es shall. c nstitute a or t n m etin o the bard and at least t ree 3 oncurrin vot s shall a necessar for d cision b e boa d, E h tru tee shall be entitled to o e 1 vote on sac scion b ore the boar Trust es h 11 serve without c m ensa ion or th its rvic s as trust es but shall be entitl d o t ei ex uses tual and nece saril incurred in ttendin m et'n of the board a d in er ormin re it du 'es a trustees i accordance with Florida Law. Sec. 2--270A. Off'i.cers and empl~ed services . The officers and employed services of the retirement system shall be as follows• „~1~ chairperson: The board shall annually elect a chairberson from its members. '- 1~ Secretary. The board shall annually elect a se~„retarv of the board from its members, who shall sign the minutes of system's records and shall perform such duties as recsuired in Chapter 185 of the Florida Statutes Legal_ Advisor: the board is empowered to employ independent lecral counsel Actuary: The.board is empowered to em,~loy an independent actuary who shall be the technical advisor to the board rectardincr the operation of the retirement system on an actuarial basis and who Shall perform such services as, are rectuired in. connection therewith Thy t~ actuary as used in .this division shall mean an "enrolled actuary" who is enrolled under Subtitle C of Tile III of the Employee ORDINANCE NO 58-99-26 Page 36 7A July 10, 2000 Retirement Tncome Security 1~ct of 174 and Htho is a member of the Society of Actuaries Qf, the .~gr~c~n Academy of Actuaries A partnership Qr corpor~tiQn may be apooin_ ted actuary if the duties of the actuary are.~erformed by or -- enro.~iea acZUary signs ana ~.s respons~bl~ for ~ all-`final documents submitted by the partnership or corporation Adm.inistrati ve Manaoer• TI}e board is empowered to employ or contract for the services of an individual, firm,~or corporation, to be known as the "administrative manaQer~, who shall, under the direction of the board or any appropriate committee thereof, be ministerially responsible_ to: ..~.~_ Administer the office or offices of the retirement system and of th, e board; Coordinate and administer the accounting, ~ookkeepina, and clerical ~ervices~ ~, Provide for the coordination of actuarial services furnished by the actuary; .~ Prepare lin cooperation or appropriate with the consultincr actuary or other advisors} reports and other documents to_b_e prepared, filed or disseminated by or on behalf of the retirement system ~n accordance with law; ~. Perform such other duties and furnish. such other services as-may be assicrned, delegated, or directed or as may be contrac~.ed by or on behalf of the board ~_ Other Services: The Board is gut orized and empowered to employ such profess~.ona~, medical, ~echnicai or other advisors as are recruired for the proper ~.dministration of the retirement system. These services shall be obtained and the Compensation far these services sha11 be determined in accordance with procedures establ~.shed by the board in accordance with Chaptgr 185 of the Florida Statutes Sec. 2-27LA.. Membership ,~a.,1, Al. ..system, except as provided in subsection (b} of this section b The membership of the retirement. system shall n include of ORDINANCE NO 58-99-26 Page 37 7A July 10, 2000 ~_police officer who is emp]~Qyed in a_,position normally reczuirina less than one thousand (I,D00~ hours of work tier annumt ~_ Police officer positions which are compensated on a basis not subiect to the withholding of federal-income taxes or FICA taxes by the city, ~L Temporary police officers; Elected officials of the city; ~ An individual shall cease to be a member upon termination of employm ent by the city, or llpon cessing to be emp loyed in a position r egularly rectuirinq one tho~xsand (1,000) or m,Q re hours or work in a year, or upon becom ing employed in an exclude d position Sec. 2-272A. Credited service. r acGOrdance with rules the board of trustees shall from tide to tzme prescribe and in accordance wi~.h the applicable provisions 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 cif years, of service of the member. SeC. 2-273A. 3~oss of credited service. .A retirement system member's credited service shall be forfeited and no lonaer in force if the member terminates city employment w~.th less than five (5) years of credited service Sect-274A. Reinstatement of oredited service. A member's forfeited credited service ahall be restored to ..his/her individual service account if re-embloy~nent by the c~.ty and membersh~.p in the. retirement system occurs within five t5) years from and after the date of separation from city employment tha,~ caused the forfeiture, provided that the member repays to the ORDxNA~TCE N0 58-99-26 Page 38 snail. be irrevocable; .~,, ru~y ~a, ~aoa ''~ etir meat s tem he c ntribu ions r f nd nder S ctio 2- 298A c reof 1 s inter t t the ctu r"all sumed rate n accor ce i h t rms establi ed b he. rd of u t , _. Sec. 2-275A. Military service cue 1t ~ A me r of th retir merit s e wh le v s r left cit employment voluntarily or non-voluntarily to enter any armed service of the United States during time 4~ war, period of compulsory mii3tarv service, or period of national emeraenrv reco niz d b t e cit commis 'on she l have re fired er'ods f cove du r d't d a ci ervice sub'ect t he f lowin conditions• The member is re-employed by the city as provided in the Unformed Serv~.ces Employment and Reemployment Rights Act ..~?Z In__~o_ case shall more than the veers of service provided fox in USERRA or with.~n FS 185 be credited on account of all military serva.ce ~twithstanding env provision of this article to the contrary, contributions, benefits, and service credit w respect to aualifzed militar servico will be provided in accordance with USERRp, FS 185, an~..sectit~n 414 {u1 of the Internal. Revenue Code ~_ The board of trustees shall determ'ne th amount of servic to e credited a member under the r visions of is s io and USERRA. Sec. 2-276A. Voluntary retirement conditions; ernplo ent after retirement. ~ A member of the retirement system may retire uppn satisfaction of each of the following req~zremgnts ,51,E Thy member files written atiblication for x'etirem nt with the board of trustees setti~q forth the date retirement i~ ~o ~e effective. The member terminates X11 his/her cit mn y ~.~.._ oyment nox'mally re firing one thousand (1,000 hours of work per annum on or before the date retirement is to be ~ffectivg ~_ The member has met the age and service rectuirements for retirement soecif~.ed in subsection (~_ ORDINANCE NO 58-99--26 Page 39 ~~-. fey ia, 2004 uc.~uii ret~srem„gr~ ~b,~, The age and service recruirements for voluntary retirement . _ are: Normal Retirement: the member has attained the age of fifty _(50) or older and has twenty ~ (20) vears or more of credited service in force: or the member ,at any age has twenty-five (25}.vears of credited service in force; or the member has attained the age of sixty (60} vears, and has five (5) vears of credited service in force „~c,~ Employment after retirement• .Any person who has retired as a member of this retirement system may be reemployed by the city in a ,position normally reauir~.ng less than 1000 hours of work per annum or in a position not covered by this pension plan and receive retirement benefits from his/her previous employment and compensation from his~her reemployment .~?.L Any person who has retired as a member of this retirement system and is subsequently reemployed by the city in any position normally requiring 100p hours or more of work pe,~ annum in a position covered by this pension plan shall have hzs/her pension benefit suspe~.ded durina~the period of such reemployment and shall re,~eive additional credited s@rvi,~e from his/her reemploymen ...Sec. 2-277A. Normal Retirement Date and Payment Date ~ The normal retirement date of each member shall }fie the first day of the month following the effective retirement of the member as Indicated Zn the member's retirement application and as approved by the Board of ~'rustees ~b,Z The monthly retirement income payable in the event of normal retirement shall be payable on the firs day of each month and as t~rov~ded in Section 185 16(3) Sec. 2-278A. Deferred retirement upon separation from empl ent _(vesting) ~aZ A member of 'the retirement system who terminates city ~mployment prior to satisfying the requirements for voluntary retirement under Section 2-276A for a reason other--than retirement or death, who has not received a refund of his/her member contributions, and whn h~~ fha ~n„~;..~~,~o ..~.,,.a ..~ _-_~~~_~ service specified in subsection (b) shall remain a member and be ORDINANCE NO 58-99-26 Page 44 7A July 10, 2000 ~ nti led to b aid a en ion u on attainin th e and servi re 'rem nt for volun ar re ireme t s set forth n Sectio 2- t t a li abl s .sec ions o Sectio 2--281A a those -- - - : s coon...-~-were_ _ iri for - ---- a the -time - _ ineriibe~ eft ct . _ employment. . ,.~,~,. he credited serv'c re uir for se aration fro cit em o t with e titlement o def rred re i men i five vear~. ~ A member of the retirement system who terminates city em 1 en 'or to sat'sf in the five 5 ar e 'rem n f _deferred retirement under Section 2-276A is en~i~led to a full refund of his/her contributions,~lus interest as determined by the board of trustees. dec. 2-279A. D_ isability retirement -- Genera3 ,~COndi.tions for eligibility. S~ If a member, prior to his normal retirement date,z., be totall and ermanentl disabled as defin d in subsection b reason of an cause other hap a ca se set out in subsec 'o c the member shall be e i 'ble for isabilit re ireme t. The minimum ene it for an m tuber dis bled in the li e f dut shall e the m ers' accr ed benefit but in no event less than fort - w credited services The minimum benefit for any member dis~bl~d, not in the Line of duty who has eight and one third ~8 1/3~ years of credited service shall be twenty-five percent (25$~gf the final average salary. A permanent disability which is the result of or caused by tuberculosis, hepatitis, meninaococcal meningitis. hypertension, heart diseases or hardening of the arteries sha 1 be resumed o have b n in urred in t line of dut 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 c~aimina disability due to tuberculosis or meninaococcal meningitis provides. the affidavit recruired by ~` S section 212 181 {2) S~ A member will be considered disabled if in th ~ -q~opinion of ~e board of trusteest the member is totally and permanently the opinion of the board of trustees, he is likely to re,~nain so ORDINANCE NO 58-99-26 Page 41 7A 3uiy ~a, 2000 '^*~ i abled ont' uousl nd erm nentl ro cause o her than as sp.~cif.ed ~n su~se~~ic~n ~.c.L. ~ A m tuber w it of be titled to receive an disabi it retir~men~ incgme i;~ disability is as a result of: . ~ Excessive ar}d habitual ~ use. by; the emt~Ioyee of drugs, in~oxicants,~,Qr.narcotics; insurrections or while committing a crime, _~.L Injury or disease sustained bathe -employee while serving in any armed forces; or In'iurv or disease sustained by the employee after his/her employment has terminated. ,.~ Iniury or disease sustained by the police officer while workincr for anvone other than the city and arising out of such e~lovment. .~.. I3,~}~ember shall be .permitted to retire under 'the provisions to be selected by the board of trustees for that purpose, and is found to be disabled in the degree and in the manner s~oecified in this section. Any member retiring under this section max be ex in d eriodicall b a dul u lified h sician sur eon or other. medical or psvcholouical professionals or board of phvsicians, surcreons, and other medical or psvchological professionals to be selected by the board of trustees for that r ose to de ermi e if such isabilit has c se t exist. If a member refuses ~o submit to such ate. examination, the member's disability tension. shall be suspended until such time as the member ~u~~nit~ to the exami,}ation. ~ The benefits .aayable to a member who retires from the servile of the amity with a total and permanent disability as a dir c re ult of a disabilit Comm ncin r or to his her norm I ret'r me t dat ~is the reater of the monthl income c m ut d accordin to the 1"cable subsection of Section 2- 81A or the minimums established in Sectior~, 2-2'79Ata) ~.~.. retirement shall be savable monthly after th~_~oard ~of trustees determine such entitlement retroagtive to the date of atnlication or t e as da o a roll which2ve is later. f the me ORDINANCE NO 58-99-26 Page 42 ~~ July 1 U, 2000 ecovers from he disabilit for his no al r tirem n d to • - ~ h las a n wi 1 be h a ent ue n x r cedin the ate of su h recover If th m mb r es without cov rin fr m his disabilit or attains his h r n anal r tirement date whil till-- disa 1 d the last en wi 1 be the -a ent ue ex re edin ___ - . hisjhex death.. ._...... ..... -----.._ :: _.... .:... _ ._.__ .. _ .._ _ - .. - ..._ ~ If the board of trustees finds th,a~ a member who is re eivin a di abilit r tirement inco e is a an time ri r to income be discontinued. Recovery from disability as used herein means the ability of the member to render usef~}~. and efficient service as a police officer employee of the city, regardless of whether_ the member is r~-employed by the city. If the member recovers from disability and reenters the service of th cit s a olio of i er em to e his he servic will be deemed to have been continuous but the period beginning with the fist m nt for which h sh receive di abi it retirem nt inco e a ent a d endin with the da h her e t red the city service will not be considered as_credted service for the urpose of the svst~m. _Sec. 2-280A. Same-Continuation subject to re-examination,,return to employment. ~ The Board of Trustees may require a disability retirant to undergo periodic medical or psychological examination if the disability retirant has not attained age sixty (60) ~. I_f a disability retirant refuses to submit to a medic, l or s cholo ical examination a e t of the disabilit erasion ma be sus end d the boar of rus ees until the ret'~ant mit to the examination. ~, A disability retirant who has been;,,,restorgd to employment with the ci~v as provided in subsection 2-280 (h) shall ag_ai~ become a member of the retirement system. Sec. 2-28iA. Calculation of vension benefit. .~. _Nor_m_ a1 Retirement Benefit. ~ub-iect to section 2-285A, the amount of level straight life pension shall be equal to the retir'n me er's credited service m Iti lied b thr e ercent 3~ of the retiring member's final average compensation Cost--of-Zivina adjustment. All retirement system memb.~rs and beneficiaries who retired prior to Januar~r 1, 1997,E shall ORDTNANCE NO 58 99-26 Page 43 7A, _ ~ July 10, 2000 ..receive a one-tim o t- f-livin ad'ustment which hall be 'n an ount e al o th ee 3 er ant of the ben fits aid to s ch r tired members a d b neficiari du i the imm diatel race i month . _ __ __ _ _ _ ____ __ ~- - ... Sec. 2=262A:- ~fpt~.Qnal forms of -pension ~payinent:- A member of the retirement plan may elect to_be__pad_under one (1 the followin o tiona f s of a ant in lieu of he ivormal Retir ant b n 't form of a n The elec 'on must be ade ' writin and f' ed with the board of trus ees rior o the date retirement is f ctive. a ant w'1l mad and r the No al Retirement benefit form i a timel lection of an o Lion 1 form of a ant is n t m de. The ount f en ion under a o do shall b the act aria e uivalent of the ount of ension under the Nor,~na1 Retirement benefit .form ,payment . ion A• Ten ID ears certain an Re 'rant' Iif there f'ter: Unde O tion A r irant sha 1 be aid a pension for life, however if.the retirant dies prior to ten. t10~ years immediately following retirement navments shill ntinue for one hundre went 120 a en s. B ne it a ants shall be made to he retirant's desi nat beneficiary or estate for such period. ,~„ Option B; Modified -ioin~ sur~rivor z~ension: Under Option B, a retirant shall. be raid a reduced pension for life with the rov'sion hat u n the re ira t' death a b nefit as desicmated by the retirant of either, one hundred t 100 , seventy-five (75), sixty-six and two thirds (66-2 /3) or ~iftv_(501 percent of the reduced ,pension benefit shall be continued throu hout th f tare lifet'me f and id to such person as the retirant shall have s~ecifie~i by written designation duly execu,~ed and f,~led with the board of trustees at the time of election of the notional ford of Uayment ,.~ O io C• Soc'a1 curit coord'nated ension: Under O tion C~__a retirant shall be paid an increased pension to attainment of the age when the retirant is eligible to receive r_eaular social security re irement benefits, and ~ reduce ension the eafte The increa ed ension aid o tt inm n of re ul r soci 1 sec rit retirement a e shall a roxi at t e s of the re aced ension a ble hereafter lus he retirant's e tim tad s 'al s u it primary in,~urance amp .~ Other .benefit form. Anv other actuarially ectuival_ent form of enefit requested by a member and approved. in their ORDINANCE NO 58-99-26 Page 44 7~ 3uly 10, 2{)00 sole discretion, by the board of trustees. Sec. 2-283A. Death while in city ~loyment; effective survivor pension. .- - - --- - Each member may;~._ on a form prov~cied for that purpose, signed. ~r,ri ~F; l oA :.t; i-}, t-}to 1-~n~rri n~ t-r»ci-occ _ ~#aci rmafic a hpnafi r•i arv !nr new designation of beneficiary form. .~ Upon the death of a member who has a valid designation-of- beneficiary in force, the beneficiary, if living, shall be paid a pension benefit computed according to section 2-281A in the same ~ S~ If a member failed to name a beneficiary in the manner ..prescribed in subsection fa) above, or if the beneficiary (or beneficiaries named by a deceased member predeceases the member, the death benefit, if any, which may b~ payable under the plan with respect to such deceased member,. shall be paid by the bpard of trusties to the estate of such member, provided that in any of such cases the board of trustees, in its discretion, may direct that the commuted value of the remaining monthly income payments be paid in a lump sum. Any.payment made to any,_person pursuant to this subsection ~ha~.l operate as a co;nplete discharge of all obligations under the plan with regard to such deceased member and shall not b~ sub-iect 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,.for children. The applicable benefits provided in subsections Sb) and (c3 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 gaid if a member of the rezzremenz system ORDINANCE NO 58-99-26 gage 45 member may not have Satisfied the conditions for retirement, Upon a member's retirement, resignation, or termination as a city employee, eliq~bility for the death benefit payable under section 2-281A will automatically terminate 7A July 10, 2000 section shall not appply in the case of death o~ a member who has a valid designation osf beneficiary, other khan the member's spouse or ~hilc~ren as set forth below, in,~or~e pursuant to Section 2-283A - -- ~ The person to whom the decgased member wad married a~ -the --- time of death shall b~ paid a_pension -ectual~~ to seventy-five"percent--~ 7 $ of the amount f Lion A - Retirant's life on1 erasion computed :according to the applicable subsection of Section 2--282A, based on the deceased member's final average compensation and credi~,ed service. A_survivinct spouse's pension shall terminate ,upon death Sgt. The deceased member' s unmarried children under the age of nineteen (19) years, or twenty-three (23) Years if enrolled full- time as a~tudent in an educational institution, shall each bey.,paid an equal share of a Retirant's life only pension benefit computed according to the applicable subsection of Section 2-282A, based on the deceased member's final average Compensation and credited service The~ercent shall be zero (0) percent during,periods a pension is being paid in accordance with the provisions of subsection (b) ; fifty,.percent during periods a-pension is not being paid in accordance with the provisions of subsection (b) ~ survivinct child's pension shall terminate upon attainment of age nineteen (19) years or, if over nineteen (19) years but less than twenty three (23) years, upon no longer being enrolled as a full- tin~e student in an educational. institution, marri~ge_ or death, and the pension of each remaining eligib>_e child shall be recomputed Sec. 2-285A. Maximum amount of pension. ~ The normal retirement pension ~~vable to a member of the retirement plan who has not previously participated in such system, on or after January 1, 1980, shall not exceed one hundred_ L00) percent of his/her final average compensation However, nothing contained in this sec~,ion shill apps tQ supplemental retirement benefits or to pension increases attributable to cost-of-living increases or ad-iustmen~s Sb Z No member of the system covered by this article who is not __ __ 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 ~_ Tn no event may a member's annual benefit exceed the lesser. ORDINANCE NO 58-99-26 Page 46 7A July l0, 2UU0 of~ .~l,Z. Any limits (adjusted for cost of living) in accordap~e with . _ zne year in wnicn such aci ~ us~:inenL is ez zecza.ve ~ ; or - ~ Nat withs~andinct the provisio~.s of paragraph ~ and (b) least fifteen (15) years of service shall.no~ b,~ less than the annually adjusted amount provided in the provisions of IRC Section 415(d) Compensation in excess o,~ limitations set forth. in Section 401(a~(17l of, the Internal Revenue Code shall be disregarded. The limitation on compensation for an elzctible employee" shall not be less than the amount which was a~.lowed to be taken into account hereunder as in effect on Julv 1, 1.993 nEliaible employee" is an ~.ndividual who was a member before the first plan year, bec~inninQ after December 31, 1995 ~_ If the member has-less tshan ten years of service with the employer (as defined ir~Section 41~~b),~5) of the Internal Revenue Code and as modified by Section 415 (b) (6) ,fib}, ,Qf the '' - Internal Revenue Code), the applicable limitation in subsection (1) or subsection (2) of this subsection shell be reduced by muitiplyina such limitation by a fraction, not to exceed one. (1} The numerator o~ such fraction shall be the number of•years, or part thereof, of service with the_emplover; the denominator shall be ten Years. For purposes of this s bsection, annual benefit means a benefit payable annually in the form of a stractht-line annuity with no ancillary or incident~.l benefits and with no member or_,rallover contribut~.ons. To the extent that ancillary benefits are provided, the limits set forth in subsections ~1~ anc~_~2) of this subsection will be reduced actuarially, using an interest rate assumption equal to the crreat~r of _fiv_e percent or the .interest rate used in the most recent annual. actuarial valuation, tQ reflect such ancillary benefits. If distribution. of retirement benefits becrins before aye 621 the dollar limitation as described in subsection (1) of this subsection shall be reduced .actuarially usincr an interest rate assumt~tion equal to the ctreater of five percent or the interest mate used in the most recent annual actuarial valuation; howev~r~, retirement benefits shall not be reduced below $75,000 OO if payment of benefits becsins at or after aq_~ 55. If retirement benefits begin after age 65, the dollar limitation ofof F subsection _(],) of this subsection shall. be increased actuarially using an interest assumption ecrual to the ORDINANCE NO 58-99-26 Page 47 7A duly 10, 2000 - greatest agarecrate compensation durinct the .period of three conseeu~ive years in: which`the individual `was an 'active -~ member of the plan. -The special maximum retirement income ~~ limitation applicable to po,~ce officers at the normal retirement` date shall be as set forth in Section 415 (ct~ and (h) of the Internal Revenue Code of 1986 and amendments thereto and such amount shall be adjusted in accordance with x~gulations promulgated by the Secretary of the Treasury. or hisiher delegate Sec. 2-286A. Subrogation riczhts. shall be subroaated to the ricthts of such member, retiran~ or beneficiary actainst such third party to the extent of pensions which the retirement system pays or becomes liable to ,pay on account of such accident or in1ury. Sec. 2-287A. Reserved. Sec. 2-288A. City contribution. ,jam, The plan shall be funded by Contributions from member contributions, as provided in Section 2-300A, state fundinct provided for in F.S § 185 08, contributions from the city, and other income sources as authorized by law. ~1 State funding shall be provided from premium taxes collected and disbursed pursuant to F:S. § 185:08,, which mdneys shall be deposited in the fund immediately and in no event more than five (5~ calendar days of receipt by the city with the understanding that these_premium max revenues shall be deposited into and become art intectral part of thus fund and may not be us,~d for any other purpose. ~ City contributions shall be made to the x~ian, on at least a _~c~uarterly basis s in an amount which to4ether with the member pontributions provided for in section 2-300A and the state premium taxes funding provided for in subsection fib) and other income ORDINANCE NO 58-99-26 Page 48 ~~ July 2~, 2000 Such contributions small be com uted as Level er ents f member oll in accordance with e erall acce ted ctu.a ial ri c les on the basis of such rates of interest and tables Qf experience as 1-hA hnar~ of t-rtici-coc chill frnm f-imo +-.. +-~,,,., .,.7,.,..+- mt..,. t.._____, _ _ _ -~-~-~ shall anriiially certify to the city the contributions determined ~--.~ -' ac~ordina to this section, and the city shall appropriate and paw to the retirement system, the contributiops ~o certified mod, All benefits d.e enses shall be a'd in cord nce with the .provisions of this pension plan and consistent with Florida $tatutes and the Internal Revenue Code Sea. 2-289A. Reserved. See. 2-290A. Investment of retirement system assets 1 The board. of trustees shall be the tru~,~ee of the monies end assets of the retirement system. The board shall have fill dower and__authority, in their sole discretion to invest and reinvest such funds as are not necessary for current expenditures or liquid reserves, as they rnay 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 respec~t_o any stocks, bonds, or other property. real or personal, Y}eld by them as Trustees, to exercise all such rights, .powers and pra.vileges as might be lawfully exercised by any person owning similar stocks, bonds, or .other property in his qwn right The trustees are authorized to invest in those stocks, bonds, and~ther securities permitted by the investment policies or g~~idelines adopted by the trustees in complianQe with all requirements and limitations of Chapter 185, of the Florida Statutes ~ ^~~~ ,~, De3 e4ra ti on and A11oca ti on of Investment Functions .L.~, The Trustees shall have the Hower and authority to appoint one {1) or more investment managers who shall be responsible for the management, acquisition, dispos~„tion~ investing, and reinvesting of such of the assets of the Trust Fund as the Trustees shall specify Any such appointment may be terminated by the Trustees upon written notice. The fees of such investment manager shall be paid out of the Trust Fund. The Trustees shall rec,~ire that the investment manager acknowledge in writing that it is a .named fiduciary with respect to the_,.plan ~~ In_ connection with any allocation or delegation of ,. investment functions under this section~,_,~the Trustees shall, from time to time, adopt appropriate investment ORDINANCE NO 58--99-26 Page 49 ~.~ t ~~y ~o, zooo Y and limitations of Chapter 185 of the Florida Statutes. See. 2-291A. Expenses. __ _ _ - The expenses of administering tkie ~ retirement stem; - iricludnci - `~ 'the premiums for fiditciary liability and waiver of reco~zrse insurance covering the board of trustees and the retirement system, shall be paid by the ~,ity. See. 2 -292A. Method of makingpayments. All payments under this division shall be made accordinct to the provisions of the City Charter and city ordinances ctoverning the disbursement of city monies. No payment shall be made that has not been authorized by a specific or continuins resolution of the board of trustees. Sec. 2-293A. Assictnments prohibited. tea, General.Iy. The rictht of a person to a pension, disability, death, or survivor benefit, and anv other right accrued or accruintr to anv person under the provisions of this division, and any monies in assets belonctincr to the retirement system, shall not be subj eft to execution, varnishment, attachment, the operation of bankruptcy or insolvency law, or anv other process of law whatsoever, and shall be unassicrnable except as is specifically provided in this division. If a member is covered under a croup insurance or prepayment plan participated in by the city, and should the member or his/her beneficiary be p~x'mitted to and elect to continue the coverage as a retirant or beneficiary, the member or beneficiary may authorize the board of trustees to deduct required p~yments to embezzlement by or fraud of a member, retirant, or beneficiary in addition to anv other remedies, including forfeiturq of benefits, provided by law. SbZ Direct transfers of eligible rollover distributions This subsection applies to distributions made on or after October 1, 1993 No~withstan~iinct anv provision of the glary to the contrary that would otherwise limit a distribut~e's election under this section, a distributee may elect, at the time and in the manner prescribed by the board of trustees, to have anv portion of an elicible rollover distribution paid directly to an eligible retirement plan specified by the distributee in a direct rollover ~L ORDINAIQ'CE NO 58-99--26 Page 50 ~A 3uly 10, 2000 QlSL: a...::. designated bene~iciar~or for a specified period of ten (10) wears or more: any distribution to the extent such distribution ,is required under Section 401~a) (9) of the Internal Revenue Code; and the portion of any distribution that is not includible in cross income (determ~ed without regard .to the exclusion for net unrealized appreciation with respect to employer securities) °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 tilan described in Section 403 (a) of the Internal_,Reu'enue erode 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 „tease of an eligible rollover distribution to the suryivina spouse, an eligible retirement ~~.an is an in~.ividual retirement account or individual retirement annuity. Sea. 2-294A. Errors. Should the board of trustees determine that an~membert 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 ad-iust the payment in such tnanngr that the actuarial equivalent of the benefit to which the member, retirant, or beneficiary was correctly entitled shall be paid. Sec. 2-295A. Protection against fraud • forfeiture .ice Whoever willfully and knowingly makes, or causes to be made. or assists, conspires with, or urcres another to make.,,, or caused to be made, any fals_~ fraudulent, or IFtisleadinq oral or written statement, or withholds or conceals materia information with the intent to ohtain any benefit available under this retirement system shall be in violation of section 185 185 of the Florida Statutes Any member convicted of such violation may, in the discretion of the board of trustees, be required to forfeit the rictht to receive ORDINANCE NO 5$-99--26 Page 51 of substantially equal x~eriodic payments (not less 7A July Ip, 2pU4 ,, ~ Anv member who is convicted as provided in F.S Section ` 1,12.31'73 of a specified offense committed prior to retirement L, or whose employment is terminated by rgason of an admitted commission _ 4=emu ~./G11GilL~7 ulaucl. - t,t11a i/C11A1V11 U1Gtil, eXG;E3pL ~Or reuurn O~ accumulated contributions as of his/her date~of termination~~-' ~~~ Sec. 22-29~- ResP4r,~se to claims and inquiries All inc tuiries sh all be answered p rom ptly The final decision f o r approval of bene fit s shah. ~e made by the board _ _ of trustees Sec. 2-297A. genial of benefits. If an cl im for benefits is denied sus en ed terminated in whole or in part. then the claimant shah be furnished with a notice of denial, suspension, or termination no later than thirty 30 da s after he final cision has been made. The notic s all be provided in writing, by certified mail, aid shall set forth ..~ The specific reasons for the denial, suspension, or termination of }benefits; ~Z The specific references to the pertinent provisions of the pension plan upon which the action is based and a copy of the pension plan provisions shall be furnished with this not~.ce, ~_ A description of any additional material or information necessary for the claimant to perfect the claim, along with ~n explanation of why such material or information is necgssaryl and _ --- S.~_ An explanation of the claims review procedure Sec. 2--298A. Claim review .procedure ~a Recruests for review. If a claim for benefits is denied, susx~ended or terminated, in whole or in part,, then the claimant may appeal to the board of trustees far a full and fair review In order to file an appeal, a written notice of appeal must be submitted within sixty t60) days after the notice of denial suspension, or termination is received by the claimant (or much -later time as the board of trustees deems reasonable) The notice of appeal shall briefly describe the grounds upon which the appeal zs based on shall be sinned by the claimant Thee claimant sh_a_ll_be allowed to review all pertinent documents durinct normal business hours, and shall be permitted to submit comments and a statement of issues for consideration by the board of trustees ORDINANCE NO 58-99-26 Page S2 7A 3uly x 0, 2000 Representation. A claimant may de~ianate min attorney or any the claimant during t~.e claims review,procPdure shall automatically xtend to the re r sen ative desi at d b he cl imam. A the representative, and shall be submitted in writing ~ Claims reviera board. The board of trustees shall rile an an appeal sna.t~. be ba~e~t solely on the record before the board of trustees, unless the board of trusteed determines, in its sole discretion, that a hearing is necessary for the proper resolution of the appeal. The board of trustees shall decides by ma-iority vote, to errant or deny an appeal The final decision shall be made than sixty (60) days after receipt of the notice of appeal, unless s ecial circumstance s ch as the ee f r a hearin re ire a extension of time In no event, howeverL should the decision of the board of trustees be made later than one hundred twenty (120) days after receipt of the notice of appeal. If an appeal is denied, in whole or in part, then the decision shall set forth the specific reasons for the action}, with specific references to those pension plan provisions upon which the decision is based The claimant ~'`' - shall be nom tl rovided with a co of his d cision. Th Sec. 2-299A. Exhaustion of claims review procedure No action in law or in equity shall be brought to eon~est a has complied with the,_,procedures provided in section 2 298A, unless the board of trustees fails to render a decision as provided-in 2- 29$(c) In no case, however, shall any action be brought unless instituted within one (1) year-from the time the claimant received the notice of denial, suspension or termination,provided in section -297A. Sec. 2-300A. Member contributions. Member contributions for benefit group ,police baraainincr unit members covered by the current collective bargaining unit collective bargaining aare~ment shall be one (1} percent of salary and for other benefit group police members shall be foul ar}d Eight hundred fifteen thousandth~~} 815) percent of salary,_ which said contribution shall be deducted from the member's pay and_paid over ~.nto the retirement system each pay period ~_ The City of Atlantic Beach shall assume and pay the member ORDINANCE NO 58-99-26 Page 53 7A ru~y i a, zooo contributions set forth above in lieu of payroll deductions from members' earnin s. No member shall hay the o Lion f choos'n o receiv the contribute amour s ec~l instead of ha in them contributions is a result of a commensurate reduction of each members a and is intended to c m l -with Section 41 h 2 of the Internal revenue Code. ~ Zf an employee leaves the Service of the city before accuni Latin a re ate time of five 5 ar tow rds retir ent and of re bei el' 'ble to tine under t ro isions of this article he sh sh 11 be entitled t ref nd of all of his her c n ribu io s mad to he i ensi n trust .fund lus an interest accumulated at a rate of interest determined annually,by the Board of Trustees, less any disability benefits paid to him/her. Any such__member may voluntarily Nave his or hgr contr.ibution~ in the fund for ~ period of five (5) ,years after leavin th em to of the olic de artm nt endin the ossibilit of his or her being rehired by the same ~3epartment, without losing credit for the time he or she has participated actiyply a~, a police officer, Tf he or she is not reemployed as ~ police officer with the same department within five C5) 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 (5). years and has contributed to the pension trust fund, as provided, elects to leave his/her accrued contributions in the trust fund, such employee, upon attaining the acre as required in Section 2-278A, may retire with the actuarial ecruivalent of the amount of such retirement income otherwise,gayable to him/her 1~.. If a member who .terminates employment elects a refund of con~ri~utions and: S? 2. -~-~_ Some or all of the refund is eligible for rollover treatment, as defined by the Internal Revenue Service; Elects to have such eligible di~~ribution paid directly to an eligible retirement plan or BRA, and Specifies the el.icsible. retirement plan or IRA to which such distribution is to be paid lin such form and at such time ORDINANCE NO 5 8 99-26 Page 54 com ens tion for ur oses of determ'nin f'na1 aver e cam ensation nd oth r benefits here nder an fo to inin the memo is 3^~~iir7 cs •.r~rro r~i-o fnr r»irr~ncoc of T.'T!"'I1 nnr~+-ri1~t~~F-i ~r~o T.r.,~..~L..,~.I ~. _ {~ ~.~. July 10, 2400 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 e,~iQible retirement plan __ __ _ _ _ Sec. 2-301A. Benefit limitations anct required distributions ~ -- ~ Benefits paid under this city, police gfficer emglovees retirement system shall not exceed the limitations of Internal Revenue Code Section 415, the provisions of which are hereby incorporated by reference. Notwithstanding any provisions in this section to the contrary, the distribution of benefits shall be in accordance with the following x'equirements and otherwise comply with Internal Revenue Code Section 401(a)(9) and the regulations thereunder, the provisions of which ire incorporated herein by reference• .~ A member's benefit shall be distributed to himlher 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 Distributions to a member and his,~her beneficiary shall only be made in accordance with the.., incidental death benefit requirements of (Internal Revenuel Code Se_c_txon_ 401{a)(9}(G) and the regulations thereunder. r Sec. 2-302A. Benefit Enhancements: To the extent that additional premium {Sec 185) tax dollars ov~„r those received for calendar year 199? become availa_b_le to Incrementally fund the cost of enhancements; the following benefits, as required by FS 185 shall be considered by the Citv Commission. {a) Normal .Retirement A normal retirement benefit for members who have attained the' age of fifth five (55) years and have ten (10) or more years of creditable service shall be established 1b). Normal Retirement - Ten (101 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 ORDINANCE NO 58--99-26 Page 55 accordance with regulations. 7A ` 3uly 10, 2000 but before receivinq_rgtirement benefits for a period of ten (10) 1 vAaYC f-}iFa camr~ mnnt-hi cr hcr~cfz i- tti l l hn r» i r7 ;-r, t-he b,or,of;..; ~,~.. ~,..,,. the balance of, such ten (10) year geriod,~ or if no beneficiary ~.s desiQnated~, to the estate of the police officer _-_ .. _ (c) Ear1v Retirement.- A_-member` who has attained the-age~ of- fifty (50) years and has-ten vears off, credited service in foxce, shall be elicrible for an early retirement The mount of an early retirement benefit shall be calculated as providgd in Sec 2- 28IA(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 ~ take into account the partici,,,pant' s ~rouncrer age and P~rlier commencement of retirement income payments. In no event shale the early retirement reduction exceed three percent ,~3~) for each year by which the member's acre at retirement preceded the member's normal .retirement age . _Ld} Early Retirement - Ten l10) year period certain ~n Early Retirement Benefit benefits will be paid for a ten (10) year period certain and life In the event the officer digs after retirement but before receiving retirement benefits for a,..,period of ten !10) vears, the same monthly .benefit will be paid to the beneficiary for the balance of such ten X10) year period, or ~f no beneficiary is ~lesicrnated, to the estate of the police officer fie} Deferred Retirement ux~on Sebaration Any police officer who has been in the service of the city f,4fi al lest ten (10 ) vears elects to leave his or her accrued Contributions in the plan; such police officer upon attainincr aqe fifty (50) years or more;~av retire under the provisions as set out for an Ear1y Retirement monthly benefit will be paic~..to the beneficiary for the balance of much ten !IO) year period, or if no beneficiary is desicmated, to the estate of the police officer ~cr) D-isability Retirement - Ten (10) near z>er.iod certain balance of such ten !10) year period, or if no benefi~iarv is desicznated, to the estate gf the police officer _(h) Employee death - Ten (10~ year period certain If any ORDINANCE NO 58-99-26 Page 56 _ A ) 7A au~y ~o, zooo retirement ageage. __ Secs . 2~303A-2~3SOA. Reserved. -~- - -- - . _ . ~""~. ORDINANCE NO 58-99-26 Page 57 7A ,, 3'uly Y 0, 2000 Section 3. The provisions adopted herein shall preva~.l over any existing sections of the Atlantic Beach Code to the extent said existing sections are contrary or inconsistent herewith. Section 4 .- Severab~.lity. _ , .I_f : any section, sentence, clause, .. word,. or phrase of this Ordinance . is held to be intralid or ~- unconstitutional by a court of competent j urisdiction,. 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 June., 2000. PASSED by the City Commission on .second and final reading this day of July, 2000. ATTEST: City Clerk Mayor, Presiding Officer Approved as to form and correctness: City Attorney LEGEND: Underlining~is new language. ORDSNANCE N0 58--99--26 Page 58 _