A.
The Board shall determine, from time to time, and the City shall
pay the amount which shall be contributed annually by the City as
the normal cost for current service credits, including credit for
intervening military service, of all members subsequent to the time
they are enrolled in the system and the additional amount which shall
be contributed annually by the City toward a reserve account for disability
allowances payable to all enrolled members, in order that all future
service liability may be fully funded on an actuarial basis, according
to the normal methods and procedures used by the Board. In the event
the City fails to make the payments due under this section, the benefit
which such payments are funding will be actuarially reduced.
B.
The City shall also pay an annual administration assessment fee of
$20 per member enrolled in the system and $20 per annuitant or beneficiary
receiving benefits administered by the Board. The cost of making the
valuations required by this section shall be part of the cost of the
administration of the system and shall be paid from these fees. The
City will not otherwise be directly charged for other services rendered
in administering this plan.
C.
Additionally, the City shall pay the amount calculated as due and owing by the Board pursuant to § 2-709.28 of this chapter.
D.
Additionally, until January 1, 1989, and such time after that until
the members' accounts have been made whole, the City will pay
monthly the amount of accumulated deductions the Board certifies as
transferable from the members' accounts to the annuity reserve account
or as payable as lump sum payments resulting from the death or withdrawal
of a member. This amount will include all contributions credited to
members' accounts as a result of service prior to enrollment
in the system and regular interest thereon. Such amount owed by the
City shall be reduced by the amount of contributions made by the member
subsequent to his or her enrollment in the system plus interest and
excess interest credited to the member's account for which actual
funding exists, plus payments made by the City representing contributions
credited to the member's account for service prior to enrollment
in the system but for which no funds or actual payments were turned
over to the system at the time of enrollment of the member. No funds
in excess of those received will be transferred to the annuity reserve
account or paid as a lump sum. In the event the City fails to make
the payments due under this section, the benefits which such payments
are funding will be actuarially reduced.
E.
Prior to January 1, 1989, the Board will certify to the City as due
and owing, for each annuitant who retired after enrollment in the
system, the proportional amount of his or her annuity payment that
is not funded by the member's accumulated deductions or municipal
contributions made on account of the member. Upon receipt from the
City of the amount so due, the Board will authorize the system to
pay that month's benefits. No payments will be made until the
full amount due that month has been received by the Board. Partial,
incomplete or late payments by the City will result in a delay or
reduction of benefits paid by the Board.
F.
On January 1, 1989, the Board shall determine the unfunded liability
of all benefits under this chapter, including but not limited to liability
for member contributions credited for service prior to enrollment
in the system for which funds have not actually been received and
the municipal liability for prior service and military service purchased
by the members. The City shall have the option to spread payment of
such unfunded liability over 25 consecutive uniform annual installments
paid quarterly. Payments made pursuant to this section shall be first
credited to fully fund the members' accounts. In the event the
City fails to make the payments due under this section, the benefits
which such payments are funding will be actuarially reduced.
G.
The Board reserves the right to consolidate some or all the various
liabilities imposed upon the City into one bill which can be expressed
as a percentage of member compensation or a sum definite or a combination
thereof. Partial payment of such a consolidated bill will be proportionally
allocated to the several liabilities composing that bill, except the
liability owed to members' accounts shall first be satisfied
fully.
The Board will establish an advanced payments account in the system for the City to make payments in excess or in advance of those due pursuant to § 2-709.45. Funds in the advanced payments account may be used by the City to satisfy any obligations it owes to the system up to the amount in the account. Advanced payments, once made, must be used to satisfy obligations of the City to the system. Upon the enrollment of former Plan B members and former Plan A members in the system, the City may place the assets of Plan B and Plan A (including member contributions made to Plan B and Plan A) in the advanced payment account. If the City wishes to so place Plan B and Plan A member contributions in the advanced payments account, it will be liable for fully funding member contributions accounts in the system pursuant to § 2-709.45. Payments, once earmarked and credited to a member's account in the system, may be used only to fund benefits due to that member.
Except for the accounts of vestees or when a member transfers
his or her membership due to portability, no interest or excess interest
shall be credited to a member's account after termination of
employment with the City that entitles him or her to membership in
the system under this chapter.
[Amended 4-27-2016 by Ord. No. 3-2016]
A.
Members shall receive no service credits for employment with the
City prior to September 1, 1984, except as provided in the sections
of this chapter pertaining to portability, return to service and purchase
of prior service or military service credit.
B.
Former Plan A members and Plan B members shall be credited with the
service and accumulated deductions to which they are properly entitled
under the terms of Plan A and Plan B as of the date of their enrolment
in the system, subject to the terms of this chapter.
For the purposes of the sections in this chapter requiring filing
of documents by the member with the Board, the date of filing will
be deemed to be the date postmarked if deposited and mailed by first-class
service or better by the United States Postal Service. If delivered
by any other means to the Board, the date filed shall be the date
received in the offices of the Board. A written or oral application
or communication made by a member to the City shall not be deemed
filed with the Board until it has been received in the office of the
Board.
A.
The amount due from a member for any purchase of service credit or
payment of debt will be certified by the Board in conformity with
methods of calculation approved by the actuary and may be paid in
a lump sum within 30 days after billing or through salary deductions
amortized with regular interest through a repayment period of one,
two, but not more than three years, with regular interest charged
through the repayment period chosen by the member and approved by
the Board.
B.
All retirement allowances and annuity payments due under this chapter
shall be paid in 12 uniform monthly installments, payable on the last
day of each calendar month. Benefits payable from Plan A administered
by the Board will be made on the last day of each month, beginning
the first full calendar month after or beginning with the day the
administration of those benefits is assumed by the Board.
A member eligible to receive a superannuation retirement allowance,
an early retirement allowance or a disability retirement allowance
shall file with the Board a written statement, duly attested, setting
forth on what date he or she desires to be retired. Said application
shall make the retirement allowance effective on the date so specified,
if such application was filed in the office of the Board before the
date specified in the application and before the death of the member,
but the date so specified in the application shall not be more than
90 days after the date of the filing. A member who files an annuity
application 90 days or less after terminating service shall have an
effective retirement date of the date service was terminated. When
a member files an annuity application more than 90 days after terminating
service, the effective retirement date shall be when the application
was filed.
Upon the enrollment of the former Plan A members and former
Plan B members, the City will certify to the Board their names, addresses,
social security numbers, sexes, birth dates, dates of enrollment,
service credits received, member contributions made, rates of contribution,
and any debts owed to Plan A or Plan B.
The retirement allowance and the contributions of members to
the fund and all contributions and interest, including excess interest,
returned to the members under this chapter shall not be subject to
attachment or execution and shall not be the subject of assignment
or transfer except to a duly designated beneficiary.
The Board retains the right to correct any errors in collection
of contributions or payment of benefits, and awarding of service credit
or amount credited to the accumulated deduction accounts, excess interest
accounts or other accounts, whether caused by mistakes of fact or
law, regardless of the fault or lack thereof of the members, the City
or Board, whether the errors were made under this chapter or Plan
A or Plan B prior to enrollment in the system.
Matters of procedure and substance not covered in this agreement
shall be as set forth in Act 15 of 1974, as it shall from time to
time be amended.[1] In all cases of conflict, Act 15 of 1974, as it may be
amended, and the regulations promulgated thereunder shall control
over the terms of this chapter. All references to the Pennsylvania
Municipal Retirement Law incorporate the regulations promulgated thereunder
and any amendments enacted subsequent to the execution of this chapter.
[1]
Editor's Note: See 53 P.S. § 881.101 et seq.
A.
The City agrees that all reports and documents relating to the fund
which it may prepare and deliver hereunder shall be confidential and
shall become the property of the Board and shall not be published,
circulated, or used in any manner by the City without the prior written
approval of the Board.
B.
The City shall preserve all financial and accounting records pertaining
or prepared pursuant to this chapter during the agreement period,
and any amendment thereof, for six years from the termination date
of the enrollment of the City in the system. During such period the
Board, or any other department or representative of the Commonwealth
of Pennsylvania, upon reasonable notice, shall have the right to audit
such books and records for the purpose of verifying all of the salary
and contribution payments, to the extent authorized and permitted
by law. The City shall have the right to preserve all records and
accounts in original form or on microfilm, magnetic tape, or any other
similar process.