Fort Walton Beach Ordinance — 472--Establish Firemens Retirement Fund — reading text

js? 2-42-66 awd 7.26-GG i x7? aot gy 9-68 ORDINANCE NO. AN ORDINANCE PROVIDING FOR THE ESTABLISHING OF A PENSION AND RETIREMENT SYSTEM FOR FIREMEN OF THE CITY OF FORT WALTON BEACH, FLORIDA, TO BE KNOWN AS "THE FIREMEN'S RETIREMENT FUND", CREATING A BOARD OF TRUSTEES FOR THE OPERATION OF SAID PENSION AND RETIREMENT SYSTEM AND THEIR POWERS; CREATION AND MAINTENANCE OF SAID FUND; KEEPING OF RECORDS, ACCOUNTS, RECEIPTS, DISBURSEMENTS, DEPOSITS: PROVIDING PENSIONS FOR RETIRED FIREMEN; PROVIDING DEATH BENEFITS FOR ACTIVE AND RETIRED FIREMEN, PROVIDING THE EFFECTIVE DATE HEREOF. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WALTON BEACH, FLORIDA: SECTION 1.1. DEFINITIONS: The following words and phrases as used herein shall have the following meanings, unless a different meaning is plainly required by the content: (1) FIREMAN means any duly employed Fireman in the regular full-time employ of the City as defined in Florida Statute 175.032(1). (2) AVERAGE SALARY means the average monthly salary of the Fireman for the period of the ten highest years of earnings of the fifteen years preceding his retire- ment. (3) CREDITED SERVICE means that period of continuous uninterrupted employment with the City as a Fireman from his date of employment and the earlier of his date of termination of employment and his Normal Retirement Date, as hereinafter described. Time spent in compulsory military service of the United States by the Fireman will be credited provided the fireman re-enters the service of the City as a Fireman within forty (40) days after date of release from such military service. Credited service after January 1, 1966 shall require firemen to contribute to the fund except as defined herein. (,) FIREMEN'S RETIREMENT FUND, herein called the Fund, -shall mean a special fund created exclusively for the purposes provided herein: SECTION 2.1 BOARD OF TRUSTEES; MEMBERS; TERMS OF OFFICE; There is hereby created a BOARD OF TRUSTEES of the Firemen's Retirement Fund. The Board of Trustees shall consist of the Mayor of the City of Fort Walton Beach, Florida, the Chief of the Fire Department of the City of Fort Walton Beach, Florida, two (2) regularly employed Firemen of the City of Fort Walton Beach, Florida, upon the recommendation of a majority of the regularly employed Firemen of the City of Fort Walton Beach, Florida, to be appointed by the City Council of the City of Fort Walton Beach, Florida, upon the recommendation of the four (4) members of the Board of Trustees, The Mayor and Fire Chief, shall serve as long as they continue to hold office as Mayor and Fire Chief, respectively, and upon a vacancy in the office of Mayor or Fire Chief, their respective successors shall succeed to the positions of Trustees. And each Fireman member of the Board of Trustees shall serve for a period of two (2) years, unless he sooner leaves the employment of the City of Fort Walton Beach, as a Fireman, whereupon the City Council of the City of Fort Walton Beach, Florida, upon a recommendation of a majority of the regularly employed Firemen thereof, shall choose his successor. The resident member shall serve for a period of two (2) years. The two (2) Firemen and the resident member may succeed themselves in office. The Mayor shall be Chairman of the Board of Trustees. The Board members shall elect any one (1) of its members as Secretary of the Board. The Secretary shall keep a complete minute book of the proceedings of the Board. The Trustees shall not receive any compensation as such. SECTION 2.2. POWERS OF THE BOARD OF TRUSTEES: The Board of Trustees may: (1) Invest and reinvest the assets of the Retirement Fund in annuity, group annuity and life insurance contracts of life insurance companies in amounts sufficient to provide, in whole or in part, the benefits to which all the participants in the Firemen's Retirement Fund shall be entitled in the provisions herein stated and pay the initial and subsequent premiums thereon: Invest and reinvest the assets of the Firemen's Retire- ment Fund in: (a) Time and savings accounts of a National Bank, a State Bank insured by the Federal Deposit Insurance Corporation, or a Savings and Loan Association insured by the Federal Savings and Loan Corporation. (b) Obligations of the United States or in obligations guaranteed as to principal and interest by the United States. (c) County bonds containing a pledge of the full faith and credit of the County or District involved, provided that such bonds are approved by the State Board of Administration as to legal and fiscal sufficiency by the State Board of Administration, or other State agency. (d) Obligations of any Municipal authority issued pursuant to the laws of this state, provided however, that for each of the five (5) years next preceding the date of investment the income of such authority available for fixed charges shall have been not less than one and one-half (1-1/2) times its average annual fixed charges requirement over the life of its obligations. (3) Issue drafts upon the Firemen's Retirement Fund pur- suant to the Rules and Regulations prescribed by the Board of Trustees. All such drafts shall be consecu- tively numbered and must be signed by the Chairman and Secretary and shall state upon their face the purpose for which the drafts were drawn. The City Treasurer or other Depository shall retain such drafts when paid, as permanent vouchers for disburse- ments made, and as money shall otherwise be drawn from the fund. (4) Any and all acts and decisions shall be by atleast three (3) members of the Board of Trustees; however, no Trustee shall take part in any action in connec- tion with his own participation in the fund, and no unfair discrimination shall be shown to any individual participating in the fund. (5) Finally decide all claims to relief under the Board's rules and regulations. (6) Convert into cash any securities of the Fund. (7) Keep a complete record of all receipts and disbursements and of the Board's acts and proceedings. (8) The general administration of, and the responsibilities for, the proper operation of the Firemen's Retirement Fund are vested in the Board of Trustees. SECTION 3.1. CREATION AND MAINTENANCE OF FIREMEN'S RETIRE- MENT FUND: The Firemen's Retirement Fund of the City of Fort Walton Beach, Florida, shall be created and maintained in the following manner: (1) By the net proceeds of one (1) per cent excise or license tax which is imposed by the City of Fort Walton Beach, Florida, upon certain property insur- ance companies on their gross receipts of premiums from holders of policies which policies cover property within the corporate limits of the City of Fort Walton Beach, Florida. (2) By five (5) per cent of the salary of each full time Fireman duly appointed and enrolled as a member of the Fire Department of the City of Fort Walton Beach, Florida, which shall be deducted by the City and paid over to the Board of Trustees of the Fund. (3) By payment by the City of Fort Walton Beach, Florida, to the Board of Trustees, annually, an amount which together with the contributions from the Firemen, the amount derived from the premium tax and all other income sources will be sufficient to cover the normal cost of the plan and to fund the actuarial deficiency over a period not longer than twenty (20) years. (4) By all gifts, bequests, and devises when donated for the Fund. (5) By all accretions to the Fund by way of interest on bank deposits or otherwise. (6) By all other sources of income now or hereafter authorized by law for the augmentation of the Firemen's Retirement Fund. SECTION 4.1. KEEPING OF RECORDS, ACCOUNTS, DISBURSEMENTS , DEPOSITS, CONTRIBUTIONS, ACTIONS: (1) The Board of Trustees shall keep and maintain a full and complete permanent record of all accounts, receipts disbursements, deposits, and all other official actions of the Board. These records shall be available to all members participating in the Fund. NON-PARTICIPANTS: Any person who enters the employment of the City of Fort Walton Beach, Florida, as a full- time Fireman, after the effective date of this plan, and who does not desire to accept the provisions of this plan, shall, within twelve (12) months after employment, notify the Board or office paying the salary of such Fireman, in writing, to that effect. Thereafterward, all Firemen who have given such notice shall be barred from the participating in the Firemen's Retirement Fund. A fireman shall not be eligible to participate in the plan until he has been employed full-time for a period of a year. SECTION 5.1. RETIREMENT: (1) NORMAL RETIREMENT: Any Fireman of the City of Fort Walton Beach, Florida, who has credited service for at least ten (10) years and contributing five (5) years or more to the Firements Retirement Fund of the City of Fort Walton Beach, Florida, and is eligible to benefits thereunder, and who has attained the age of sixty (60) years, is eligible for NORMAL retirement benefits. In such event, payment of retirement income will be governed by the following provisions of this section. (a) The Normal Retirement Date of each Fireman will be the first day of the month coincident with or next following the date on which he has attained the age of sixty (60) years. A Fireman who retires after his NORMAL retirement date will upon his actual retirement be entitled to receive the same amount of monthly retirement income he would have received had he retired on his NORMAL retirement date. (b) The amount of monthly retirement income payable to a Fireman who retires on or after his NORMAL retirement date shall be an amount equal to l 2/3 per cent of the Fireman's average monthly earnings multi- plied by his years of credited service. (c) The monthly retirement income payable in the event of NORMAL retirement will be payable on the first day of each month. The first payment will be made on the Fireman's NORMAL RETIREMENT DATE, or on the first day of the month coincident with or next following his actual retirement, if later, and the last payment will be the payment due next preceding the Fireman's death, except that in the event the Fireman dies after his retirement but before he has received retirement benefits for a period of ten (10) years, the same monthly benefit will be paid to the beneficiary, (or beneficiaries) as designated by the Fireman, for the balance of such ten (10) year period, or if no beneficiary is designated by the Fireman, to the surviving spouse, dependents, heirs at law, or estate of the Fireman. If a fireman continues in the service of the City of Fort Walton Beach, Florida, beyond his NORMAL retirement date and dies prior to his actual date of retirement, monthly retirement payments will be made to a beneficiary (or beneficiaries) designated by the Fireman, or if the Fireman had retired on the date on which his death occurred, or, if no beneficiary is designated, to his surviving spouse, descendents, heirs at law or estate of the Fireman. EARLY RETIREMENT: Early retirement is retirement as of the first day of any calendar month which is prior -7- to the Fireman's NORMAL retirement date but subsequent to the date as of which he has both attained the age of fifty (50) years and completed at least ten (10) years of credit service. In the event of early retire- ment the monthly amount of retirement income shall be an amount taking into account his credited service to his date of early retirement and his average monthly salary as of such date, such amount of retirement income to be actuarially revised to take into account the Fireman's younger age and earlier commencement of retirement income payments. (a) The payments of early retirement income shall be governed by the same provisions as SUB SECTION 5.1 (1) (c). (3) OPTIONAL FORMS OF RETIREMENT INCOME: In lieu of the amount and form of retirement income payable in the event of normal or early retirement as