Fort Walton Beach Council agenda — 10-08-02 regular Council agenda — reading text

the definition of " employer contributions. irrelevant language. Revises definition of " firefighter" to eliminate Adds definition of "fully vested". definition of " military service" for consistency Adds United States Merchant Marine to with Section 17- 14 and federal law. Adds a definition of "member. who receives benefits under the Simplifies definition of " retiree" as any former member plan. C. Deletes defmitions of " amendment and restatement date", " deferred retirement", normal retirement", " normal retirement age", effective date", " entry date", " gender", " are addressed in detail in other sections of the normal retirement benefit". These terms Plan. of plan Section 17- 11. 2 _ Administration of Fund; designation of trustees; designation administrator, adoption of rules and regulations. as trustees of the fund. Revises and clarifies the duties of City Council election; term; vacancy; Section 17- 11. 3 - Establishment of pension advisory committee; duties. committee. Revises and clarifies d1e duties of the advisory Section 17- 12 - Employee and employer contributions. of contributions upon termination of city Revises paragraph ( d) to provide for termination a normal benefit 40 years of credited service or electing employment, retirement, attaining that option. and attaining the maximum benefit under option per section 17- 15( 3)(b) of member contributions in pre- tax for payment Adds a new paragraph ( e) to provide Revenue Code. dollars, in accordance with the Internal monies and securities Section 17- 12. 1- Deposit and investment of in Ordinance 1255. to the investment criteria contained Incorporates the amendments Section 17- 13 - Participation in Fund in Ordinance 1301 and 1379. Incorporates revisions contained of Ordinance 1379, that the police chief shall be a member In accordance with provides c this plan. Page 2  o o Section 17- 14 - Credited Service, Military Service c Incorporates revisions contained in Ordinance 1301 Revises and clarifies current provisions concerning credited service. Section 17- 15 - Normal retirement, eligibility; calculation Revises section title Incorporates revisions contained in Ordinance 1379. Section 17- 15. 1- Early retirement; qualification; reduction of benefits Revises and clarifies early retirement provisions. vested Clarifies that early retirement is available to members who are age 52 and fully under this plan. Section 17- 15. 2 - Disability retirement; initial qualifications; continued qualifications; recovery Incorporates revisions contained in Ordinance 1301 and 1319. Revises and clarifies language. benefits, in accordance with Incorporates " safe harbor" rule on termination of disability death, or until age 65 if disability federal law ( disability benefits paid until recovery or occurs before age 60, or for 5 years if disability occurs after age 60). Provides that the advisory committee shall make disability determinations based upon competent substantial medical evidence. Section 17- 15- 3 - Deferred retirement, maximum age Deleted ( obsolete language) Section 17- 15. 4 - Normal retirement benefit; alternate forms of retirement income Incorporates revisions contained in Ordinance 1319. c Revises and clarifies language. Section 17- 15. 5 - Early Retirement Incentive Deleted ( obsolete language). Section 17- 16 - Cost of living adjustment Revises and clarifies language. Section 17- 16. 1 - Benefits to survivors because of death prior to retirement, right to name beneficiary Revises and clarifies language. Section 17- 16. 2 - Benefits to survivors because of death after retirement Revises and clarifies language. Section 17- 17 - Termination of employment; reemployment Revises and clarifies language. Provides that fully vested members, or members who are partially vested in accordance a refund with the vesting schedule in 17- 15. 2, who terminate city employment may receive interest, elect to defer receipt of retirement of their member contributions, plus or may such benefits until early or normal retirement. Clarifies that the retirement benefits of in vested terminated members are not subject to the cost of living adjustment provided in effect the section 17- 16, and are determined in accordance with the terms of the plan at time employment terminates. the city Provides that a member who terminates city employment and is reemployed by service under the for the period of pervious within one year may receive credited plan c employment by paying into the the amount refunded at the time of termination, plus plan Page 3  o 0 interest, within 30 days following reemployment. A reemployed member must complete c the required medical exam. Provides that if a former member is reemployed by the city after commencement of retirement benefits, the person' s benefits will be suspended for the period of reemployment, and he/ she will not become a member of the plan during such employment. Payment of benefits will resume upon termination of employment. Section 17- 17. 1- Termination of participation in retirement fund when member is convicted of a felony. Revises and clarifies language. Section 17- 17. 2 - Termination of retirement benefits upon reemployment with the city Deleted ( similar provision included in section17- 17). Section 17- 18 - Retirement benefits not assignable or subject to legal process No change Section 17. 19 - Participation in plan not a contract of employment Technical revisions. Section 17- 20 - Amendment or termination of plan Revises and clarifies language Provides for allocation of assets when plan is terminated. Section 17- 21- Maximum pension Incorporates revisions contained in Ordinance 1301, as well as more recent changes to the Intemal Revenue Code regarding benefit limitation and reduction in benefit limitations for c early retirements. Section 17- 22 Distributions of benefits Incorporates revisions contained in Ordinance 1301. Section 17- 23 - Direct transfers of eligible rollover distributions Incorporates revisions contained in Ordinance 1301. Provides for the rollover of distributions from the city plan to an IRA or other eligible retirement pan, including 457 plan, in accordance with recent changes in the Internal Revenue Code. to the surviving Applies the expanded rollover provisions to eligible rollover distributions with in the Internal Revenue Code spouse of a member, in accordance recent changes created this section, but misnumbered it in the text as 17- 24. The Pension Attorney has drafted Ordinance 1526 amending, restating, and adopting the