[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.
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.