[HISTORY: Adopted by the Borough Council of the Borough of
Paxtang as indicated in article histories. Amendments noted where
applicable.]
[Adopted 6-15-1999 by Ord. No. 566]
There is hereby adopted and established in the Borough of Paxtang
for the benefit of qualified and eligible nonuniformed employees of
the Borough a target benefit pension plan and trust to be known as
the "Borough of Paxtang Non-Uniformed Target Benefit Plan and Trust"
(hereinafter, the "plan and trust").
There is hereby adopted and established in the Borough of Paxtang
for the benefit of qualified and eligible nonuniformed employees of
the Borough a deferred compensation plan intended to qualify under
Section 457(b) of the Internal Revenue Code of 1986, as amended, to
be known as the "Borough of Paxtang 457(b) Deferred Compensation Plan"
(hereinafter, "deferred compensation plan").
The plan and trust and deferred compensation plan shall be created,
maintained, managed and administered in accordance with all of the
definitions, terms, conditions and provisions of the Adoption Agreement
for the Plan and Trust and the Deferrals Only Adoption Agreement for
Section 457(b) Deferred Compensation Plan together with accompanying
plan documents as set forth in the proposal prepared by Leonard J.
Ferrara Company, dated April 16, 1999, the same as if set forth herein
in full. The Borough of Paxtang shall be designated to serve as the
plan administrator and the Council of Borough of Paxtang shall be
designated and serve as plan trustees.
Passage and adoption of this article authorizes the engagement
and entry of an agreement by the Borough of Paxtang with the corporate
fiduciary to permit the fiduciary to manage, operate the plan and
trust and the deferred compensation plan, and to receive, hold, invest
and disburse any sum or sums as may be necessary to carry out the
plan and trust and deferred compensation plan.
The President of the Council of the Borough of Paxtang, or his
designee, is hereby appointed chief administrative officer for the
plan and trust and the deferred compensation plan created and authorized
hereunder.
Payment of any obligations established by the adoption of this
article, the plan and trust and deferred compensation plan shall be
made in accordance with the provisions of the plan and trust and the
Section 457(b) deferred compensation plan, and with the Municipal
Pension Plan Funding Standard and Recovery Act of December 18, 1984,
P.L. 1005, No. 205, 53 P.S. § 895.101 et seq.
The plan and trust and deferred compensation plan established
by this article may be discontinued, modified, alternated, terminated
or repealed according to law, by resolution.
The terms and conditions of this article shall be effective
as of the first day of January 1999.
[Adopted 3-21-2000 by Ord. No. 571]
Paxtang Borough, being a member municipality of the Pennsylvania
Municipal Retirement System, hereby elects to change its police pension
benefits in that system as authorized by the Pennsylvania Municipal
Retirement Law, Act 15 of 1974, as amended, and does hereby agree
to be bound by all the requirements and provisions of said law, and
to assume all obligation, financial and otherwise, placed upon member
municipalities. All references hereafter shall be based on benefits
negotiated between the Board and the municipality under the provisions
of Article IV of the Pennsylvania Municipal Retirement Law.[1]
[1]
Editor's Note: See 53 P.S. § 881.101 et seq.
Membership in the Pennsylvania Municipal Retirement System shall
be mandatory for all full-time officers of the Borough. Membership
for elected officials and employees hired on a temporary or seasonal
basis is prohibited, as is membership for individuals paid only on
a fee basis.
Credit for prior service for original members is granted for
each year or partial year thereof that the member was employed by
the Borough from original date of hire or the expiration of the member's
probationary period if one so existed. Benefits provided to members
in the agreement dated March 21, 2000, shall accrue based on all credited
service granted and earned in accordance with this section.
Payment for any obligation established by the adoption of this
article and the agreement between the System and Paxtang Borough shall
be made by the Borough in accordance with the Pennsylvania Municipal
Retirement Law and Act 205 of 1984, the Municipal Pension Plan Funding
Standard and Recovery Act.
As part of this article, the Borough agrees that the System
shall provide the benefits set forth in the agreement between the
Board and Paxtang Borough dated March 21, 2000. The passage and adoption
of this article by Paxtang Borough is an official acceptance of said
agreement and the financial obligations resulting from the administration
of said benefit package. Paxtang Borough hereby assumes all liability
for any unfundedness created or which may be created due to the acceptance
of the benefit structure outlined in the above-referenced agreement.
Paxtang Borough intends this article to be the complete authorization
of the Borough's police pension plan and it shall become effective
and specifically repeal Ordinance No. 546 either immediately or on
January 1, 2000, which is the effective date of the amended agreement
dated March 21, 2000 between the Pennsylvania Municipal Retirement
System and Paxtang Borough, whichever is later.
A duly certified copy of the ordinance and the referenced agreement
shall be filed with the Pennsylvania Municipal Retirement System of
the Commonwealth of Pennsylvania. Membership for the police pension
plan of Paxtang Borough in the Pennsylvania Municipal Retirement System
shall be effective the first day of January 1970, with the revised
plan structure reflected in the agreement dated March 21, 2000; effective
the first day of January 2000.
