[Adopted as Articles 168 and 169 of the Codified Ordinances; amended in its entirety 8-18-1999 by Ord. No. 3-1999[1]]
[1]
Editor's Note: This article also superseded
former Art. IV, Firemens' Benefits, adopted as Art. 168 of the Codified
Ordinances.
The purpose of this article is to establish
certain benefits payable, to Fire Fighters or beneficiaries of Fire
Fighters under the direction of an organization consisting of City
officials and Fire Fighters. The purpose is also to establish a funding
policy for the Bureau of Firefighters' Relief for the City of Lancaster.
Whenever used herein, the following terms shall
have the following meanings unless a different meaning is clearly
required by the context or by the Third Class City Code:
Any Fire Fighter who is actively employed by or on a leave
approved by the Fire Bureau (sometimes referred to herein as an "approved
leave") and who has Civil Service status.
The Lancaster City Fire Fighter's Relief Association, a corporation
charted by the Court of Common Pleas of Lancaster County on September
8, 1897, in the Charter Book No. 2, page 50.
The benefits determined in accordance with Schedule A attached
to this article[1] based on the Member's Base Rate Compensation and Longevity
Pay (as set forth in Schedule A) as of the date of termination, retirement
or death, as applicable, except as otherwise provided in this article.
This definition shall apply to all members who retire after January
1, 1993.
[Amended 5-23-2000 by Ord. No. 2-2000]
The Member's basic monthly compensation plus Longevity pay
(as described in Schedule A), as an employee of the Fire Bureau excluding
overtime pay, educational incentive pay, acting officers' pay and
other compensation, provided that, irrespective of his/her actual
rank, a Member's Base Rate Compensation shall be based on the lowest
base salary for such rank as may from time to time be paid by the
City in accordance with the schedule attached as Schedule A to this
article. This definition shall apply to all Members who retire after
January 1, 1993.
The Bureau of Fire Fighter's Relief for the City of Lancaster.
The adopted and biological Child or Children of a Member.
The City of Lancaster, Pennsylvania.
The Optional Third Class City Charter Law as amended from
time to time. See 53 P. S. § 41101 et seq.
Without interruption or break in service for any cause whatsoever,
except service in the Armed Forces of the United States during any
period of armed conflict or as otherwise required by law.
[Amended 5-23-2000 by Ord. No. 2-2000]
Any Active Fire Fighter who has suffered Permanent and Total
Disability.
Any disease or ailment, including heart attack or disease
of the heart, that a Member is liable to, or experiences in performing
his/her duties in the fire house, on a fire run or on the fire grounds.
The Fire Bureau of the City of Lancaster, Pennsylvania.
Any person employed by the Fire Bureau.
The Lancaster Bureau of Fire Fighter's Relief Fund, as described in § 64-22 of this article.
As used in this article and the attached Schedule A,[2] an additional amount of income added to a Member's Base
Rate Compensation. Longevity pay may be calculated in accordance with
the provisions of the Collective Bargaining Agreement in effect at
the time of separation of service.
Any Active Fire Fighter, Retired Fire Fighter or Pensioner.
The list of Active Fire Fighters or Retired Fire Fighters
eligible to receive pension benefits.
Any former Active Fire fighter who is receiving pension benefits
under this article.
The twelve-consecutive month period ending each December
31.
Any former Active Firefighter who has qualified for the payment
of retirement benefits.
The husband or wife of any Active Fire Fighter, Disabled
Fire Fighter, Retired Fire Fighter or Pensioner.
The Lancaster Professional Firefighters Association Local
319 of the International Association of Fire Fighters.
Each period of 12 consecutive months during which an Active
Fire Fighter receives compensation for services performed for the
City as an Active Fire Fighter or while on approved leave, provided
that such Years of Service are Continuous.
For purposes of computing benefits, the number of Continuous
Years of Service.
[1]
Editor's Note: Schedule A is included at the end of this chapter.
[2]
Editor's Note: Schedule A is included at the end of this chapter.
[3]
Editor's Note: See 53 P.S. 39322.
There is hereby established a Fund to be administered
by the Bureau of Fire Fighters' Relief for the City of Lancaster.
The Bureau shall be composed of the Mayor, the City Treasurer, the
City Controller, the Chief of the Fire Bureau, one other officer of
the Fire Bureau, one Fire Fighter and one Pensioner; the latter three
to be elected by the Association.
The Bureau shall be the custodian of the Fund,
as at present or formerly constituted, and all moneys which may hereafter
be paid into the Fund. From the Fund, the Bureau shall maintain an
account which shall be kept invested and to which shall be added all
contributions, additions or income, from any source whatsoever, not
disbursed for benefits as hereinafter provided.
A.
Each Active Fire Fighter shall contribute to the Fund
each month an amount of money equal to a percentage of his/her monthly
Base Rate Compensation and Longevity pay as described in Schedule
A attached to this article[1] for such Active Fire Fighter's rank, to be used to provide
Funds for the payment of benefits described hereunder and in accordance
with Section 39322 of the Third Class City Code.[2]
[1]
Editor's Note: Schedule A is included at the end of this chapter.
[2]
Editor's Note: See 53 P.S. § 39322.
B.
Each Active Fire Fighter shall also contribute to
the Association each month an amount of money equal to 1% of the Base
Rate Compensation of a Firefighter in a Fire Fighter III classification
under the City's payroll system, which money shall be used to purchase
group life insurance for Members. The Members have designated the
Association as their separate agent to administer such group life
insurance.
A.
Any Active Fire Fighter in good standing who has attained
10 Years of Service shall be placed on the Pension List and shall
be entitled to receive from the Fund, for the remainder of his/her
life, benefits as provided in this article and subject to application
limitations set forth herein.
B.
Receipt of pension benefits.
(1)
A Member who terminates his/her employment as an Active
Fire Fighter before completing 25 Years of Service shall be entitled
to receive pension benefit as set forth in Schedule A attached to
this article, subject to the following requirements:
(a)
The Member must file with the Bureau a written
notice of his/her intention to terminate his/her employment as an
Active Fire Fighter or retire;
(b)
The Member must include in the notice the date
the Member intends to terminate his/her employment as an Active Fire
Fighter;
(c)
The termination or retirement date must be at
least 30 days after the date of such notice; and
(d)
Upon receiving such notice, the Bureau shall
notify the Member of the Base Rate Compensation and Longevity pay
of the Member as of the date of such notice.
All Active Firefighters shall resign from their employment with the Fire Bureau upon attaining the age of 60 years. The terms of this § 64-25 shall be self-executing without any action on the part of an Active Fire Fighter who attains the age of 60 years.
A.
A Member who retires or terminates his/her employment
as an Active Fire Fighter upon or after having completed 25 Years
of Service shall receive from the Fund for the rest of his/her life
his/her Base Pension Benefit commencing upon the Member's retirement
or termination.
B.
A Member who retires or terminates his/her employment as an Active Firefighter upon or after having completed at least 20 Years of Service, but less than 25 Years of Service, shall receive from the Fund his/her Base Pension Benefit commencing at such time as the Member would have achieved 25 Years of Service. Pension benefits under this Subsection B shall be based on the amount of Base Rate Compensation at the time of separation.
C.
A Member who retires or terminates his/her employment as an Active Fire Fighter upon or after having completed at least 10 Years of Service, but less than 20 Years of Service, shall receive from the Fund his/her Base Pension Benefit multiplied by a fraction, the numerator of which is the number of his/her Years of Service and the denominator of which is 25. Pension benefits under this Subsection C shall be based on the Member's Base Rate Compensation at the time of termination and shall commence at such time as the Member would have achieved 25 Years of Service.
D.
A Member who must retire under § 64-25 (pertaining to compulsory retirement) after having completed less than 25 Years of Service shall receive from the Fund for the rest of his/her life, commencing at the time of retirement, his/her Base Pension Benefit at the time of compulsory retirement, multiplied by a fraction, the numerator of which is the number of his/her Years of Service and the denominator of which shall be 25.
E.
If the employment of a Member with less than 10 Years
of Service is terminated for any cause other than death and such Member
or his/her Spouse or Children are not entitled to disability benefits
under the provisions of this article, there shall be refunded to such
Member (if he/she is then living) or his/her Spouse, if any, if the
Member is not living at the time of such termination, or if there
is no such Spouse, to his/her Children, or if there are no such Children,
to the Member's estate, the net amount of the Member's contributions
less the amount of all disability benefits theretofore paid to the
Member or his/her Spouse or Children. Such refund shall be made upon
termination of employment.
F.
Deferred retirement option program (DROP).
[Added 2-28-2006 by Ord. No. 2-2006]
(1)
DROP Election.
(a)
An Active Fire Fighter who has attained age
51 and completed 25 Years of Service may elect to participate in the
DROP, continue employment with the City, and defer receipt of the
retirement benefit under the Fund by filing a written application
with the City.
(b)
In addition to filing a written application
electing to participate in the DROP, an eligible Active Fire Fighter
must do the following:
[1]
Execute an irrevocable written election to participate in the DROP that states the date on which the Member's participation in the DROP will terminate [provided that such termination date must comply with § 64-26F(2)(b)] and that includes the following acknowledgments:
[a]
That, as of the date on which participation
in the DROP commences, the Member's pension calculation under the
other terms of the Fund will freeze and no service rendered nor compensation
received during the period of participation in the DROP will be considered
for pension benefit calculation purposes under the other provisions
of the Fund;
[b]
As of the date on which the Member's participation in the DROP commences, the Member will continue to make pension contributions to the Fund as provided in § 64-23A at the then-prevailing wage rate;
[c]
Participation in the DROP will in no way limit
or diminish the City's right to terminate or suspend a Member for
misconduct.
[2]
Complete all other retirement documents requested
by the City, Bureau or any other governing body.
(c)
A Member who chooses to terminate DROP participation prior to the DROP participation termination date given at the time of the DROP election, as provided in § 64-26F(1)(b)[i], shall provide the City with a minimum of 90 days written notice prior to the amended DROP participation termination date [provided that such amended termination date must comply with § 64-26F(2)(b)]. Failure to provide the City with written notice 90 days prior to the amended DROP participation termination date will result in the Member's DROP election being permanently revoked. In that event, the pension at retirement is calculated as if DROP had never been elected. If extenuating circumstances exist, the City maintains the discretion to waive this requirement. In all cases, the final decision of whether or not to waive this requirement rests with the City.
(2)
Benefit under DROP.
(a)
A Member's participation in the DROP shall commence on the first day of the month following the City's receipt of the documents required under § 64-26F(1). Effective with the Member's commencement in the DROP, the Member's Base Pension Benefit and Service Increment under the other terms of the Fund, effective date of retirement and effective date of participation in the DROP shall be fixed.
(b)
The Member's participation in the DROP shall
terminate not less than three years after commencement of participation,
but no more than five years after commencement of participation. Notwithstanding
the foregoing, a Member's participation in the DROP shall terminate
upon the attainment of age 60 regardless of the number of years of
participation.
(d)
The Member's participation in the DROP does
not guarantee his/her employment with the City during the participation
period specified in his/her election.
(3)
DROP account.
(a)
During the first three years of participation in the DROP, the Member's frozen monthly retirement benefit plus the Member's contributions under § 64-23A shall be credited to his/her DROP account on the last day of each month. Additionally, interest shall be credited to a Member's DROP account on the last day of each month at the rate of 5.0% per annum, provided that the balance of the Member's account on the first day of such month shall be used when determining the interest to be credited to the Member's account.
(b)
During each month of participation in the DROP after the first three years of participation, a Member's DROP account shall only be credited with the Member's contributions under § 64-23A on the last day of such month and shall no longer be credited with the Member's frozen monthly retirement benefit. Additionally, a Member's DROP account shall be increased or decreased each month by the amount determined by multiplying the balance of the Member's account as of the first day of the month by 1/3 the rate of return of the Fund for the quarter in which such month falls, provided that the monthly increase of a Member's account shall never exceed 0.708%.
(c)
The Member shall receive an annual statement
showing the accumulated balance in his/her DROP account.
(d)
No monthly retirement benefit (or any interest
or earnings) shall be credited to a Member's account after the Member's
disability, death or termination of participation in the DROP.
(e)
The Member may not draw from, anticipate, alienate
nor access his/her account during the period of participation in the
DROP.
(4)
Termination of participation in DROP.
(a)
A Member's participation in the DROP shall terminate on the date on which the Member elects to terminate participation in the DROP pursuant to § 64-26F(1)(b)[1] [provided that such termination date must comply with § 64-26F(2)(b)].
(b)
Upon termination of participation in the DROP:
[1]
The Member must terminate employment with the
City.
[2]
The Member shall receive distribution of the
balance in his/her DROP account in a lump sum within 90 days.
[3]
The frozen monthly retirement benefit determined
under the other terms of the Fund shall commence to the Member as
of the last day of the month following termination of participation
in the DROP.
[4]
The Member shall be ineligible to again participate
in the DROP.
(c)
Notwithstanding any other provisions herein,
except in the case of disability or death, if the Member's employment
as an Active Fire Fighter terminates prior to the third anniversary
of his/her participation date in the DROP (except for attainment of
age 60), the DROP election is permanently revoked and the retirement
benefit to which the Member is entitled under the Fund is calculated
as if the Member had never elected to participate in the DROP.
(5)
Disability benefits. Notwithstanding any other provision of this § 64-26F, if a Member suffers Total and Permanent Disability under §§ 64-28A or 64-28B during his/her participation in the DROP, the Member shall receive distribution of the balance in his/her DROP account in a lump sum, as determined at the time the Member suffers Total and Permanent Disability. Such lump sum shall be in addition to the monthly disability benefit payable under § 64-28, based upon the frozen retirement benefit determined under § 64-26F(2)(c).
(6)
Death benefits. Notwithstanding any other provision of this § 64-26F, if a Member dies during his/her participation in the DROP, the balance of the Member's DROP account will be distributed in a lump sum to the Member's designated beneficiary, or if no beneficiary exists, to the Member's estate. Such lump sum shall be in addition to the death benefits determined in accordance with § 64-32 based upon the frozen retirement benefit determined under § 64-26F(2)(c).
(7)
General Municipal Pension System State Aid.
(a)
In the event that Act 205 General Municipal
Pension Fund State Aid is reduced for Members participating in the
DROP, the amount credited to each Member's DROP account shall be reduced
as follows:
[1]
If the City loses $5,000 or more of estimated Act 205 General Municipal Pension Fund State Aid per DROP participant, the amount contributed to a Member's DROP account shall be reduced by 10% of the Member's frozen retirement benefit as calculated in § 64-26A.
[2]
If the City loses less than $5,000 of estimated Act 205 General Municipal Pension Fund State Aid per DROP participant, the amount contributed to a Member's DROP account shall be reduced by 10% of the Member's frozen retirement as calculated in § 64-26A times a fraction, the numerator of which is the lost estimated State Aid per DROP participant and the denominator of which is $5,000.
[Amended 5-23-2000 by Ord. No. 2-2000; 12-16-2003 by Ord. No. 19-2003]
Each Member entitled to any pension benefit
under this article after January 1, 2003, shall be entitled to receive
a Service Increment (in accordance with and subject to the terms described
in the Third Class City Code) to his/her monthly pension benefit equal
to 2.5% of the Member's monthly Base Pension Benefit (determined as
of the date of termination, retirement, death or disability, as applicable)
times the number of Years of Service of such Member in excess of 20,
provided that no Years of Service after the Member has reached age
60 shall be counted and provided, further, that the maximum Service
Increment payable hereunder shall be $300 per month. Each Member under
age 60 shall pay into the fund the sum of $3 per month as his/her
contribution towards the Service Increments of all Members.
A.
If a Member suffers Total and Permanent Disability
as a result of a mental or physical condition (determined on the basis
of written reports obtained from a physician designated by the Association)
which was not incurred in the line of duty, he/she shall be entitled
to a monthly disability benefit if he/she has completed five or more
Years of Service. Such disability benefits shall be determined and
paid as follows:
(1)
If the Member has completed at least 20 Years of Service,
such Member shall receive a monthly disability benefit equal to the
Base Pension Benefit at the time of the commencement of the disability.
Such disability benefits shall continue until the earliest of the
following events:
(2)
If the Member has completed at least five Years of
Service but less than 20 Years of Service, such Member shall receive
a monthly disability benefit equal to his/her base pension
benefit determined at the time of the commencement of the disability,
multiplied by a fraction, the numerator of which shall be the number
of the Member's Years of Service and the denominator of which shall
be 20. Such disability benefits shall continue until the earliest
of the following events:
B.
If a Member suffers Permanent and Total Disability
as a result of a mental or physical condition or Exposure which is
determined to have been incurred in the line of duty, no minimum period
of service shall be required for eligibility for disability benefits.
A Member entitled to disability benefits hereunder shall be entitled
to receive 100% of his/her Base Pension Benefit subject to any off-set
required by law, such as, for example, workers' compensation benefits.
Such disability benefits shall continue until the earliest of the
following events:
No Member shall be placed on the Pension List
as a result of Permanent and Total Disability nor shall any disability
benefits be paid to a Member where there are no external or visible
signs or symptoms of disease or bodily injury, or where the nature,
cause and name of the disability is unknown or incapable of direct
and positive proof, or where the disability arises directly or indirectly
from intemperate or immoral conduct; and the Bureau may at any reasonable
time, at the expense of the Bureau, require a physical examination
or examinations or other satisfactory proof or proofs of the beginning
or continuance of a disability as a prerequisite to making any payments
to any Member for disability, pension benefits or other benefits.
No Member shall receive any benefits under this
article by reason of Permanent and Total Disability except on the
written statement of at least two of three physicians to be named
by the Association, each of whom shall examine the Member.
A.
The Bureau shall pay such physician's for each such
service rendered.
[Amended 5-23-2000 by Ord. No. 2-2000]
B.
No Disabled Fire Fighter who is in the active employ
of any employer shall continue to receive disability benefits under
this article, except with the written permission of the Association,
which shall be granted unless the Association determines that the
Member's ability to perform the duties of such other employment indicate
an ability to perform the duties of an Active Fire Fighter.
C.
A Disabled Fire Fighter shall be subject to reexamination
for Fire Bureau service at all times until the commencement of pension
benefits.
No Member shall be entitled to receive from
the Bureau concurrently both disability benefits and pension benefits.
A.
Payment of benefits to surviving Spouse.
(1)
If an Active Fire Fighter or Disabled Fire Fighter
dies as a result of injuries or Exposure suffered in the line of duty,
a monthly pension benefit shall be paid to his/her surviving Spouse
as of the date of death until the death of such surviving Spouse,
which benefit shall be equal to the Base Pension Benefit such Member
would have received had he/she retired as of the date of his/her death,
but computed as if the Member had completed 20 Years of Service.
(2)
If an Active Fire Fighter or Disabled Fire Fighter
dies before retirement other than as a result of injuries or Exposure
suffered in the line of duty and has completed 20 Years of Service
as of the date of his/her death, such Member's surviving Spouse as
of the date of death shall be entitled to receive a monthly pension
benefit equal to the Base Pension Benefit the Member would have received
had he/she retired as of the date of his/her death. Such payments
shall commence immediately upon the death of the Member and continue
until such Spouse's death.
(3)
In the case of the death of any Active Fire Fighter
or Disabled Fire Fighter who has completed more than 10 Years of Service
but less than 20 Years of Service, other than as a result of injuries
or Exposure suffered in the line of duty, his/her surviving Spouse
as of the date of death shall receive a monthly pension equal to the
Base Pension Benefit of the Active Fire Fighters or Disabled Fire
Fighter multiplied by a fraction, the numerator of which shall be
the number of his/her Years of Service and the denominator of which
shall be 20, which benefits shall continue until such Spouse's death.
(4)
If a Retired Fire Fighter dies, his/her surviving
Spouse shall receive a pension benefit equal to the Base Pension Benefit
to which the Member was entitled, commencing immediately upon the
death of the Member, provided that such Spouse had been married to
the Member for one year prior to separation of service. Such benefits
shall continue until such Spouse's death.
(5)
If a Pensioner dies, his/her surviving Spouse shall
receive a pension benefit equal to the Base Pension Benefit which
the Pensioner was receiving, commencing immediately upon the death
of the Pensioner, provided that such Spouse had been married to the
Pensioner for one year prior to separation of service. Such benefits
shall continue until such Spouse's death.
B.
If a Member dies under circumstances described in Subsections A(1) through (5) of this § 64-32 and leaves no surviving Spouse or a surviving Spouse who is eligible for benefits under this § 64-32 but who later dies, then a monthly pension benefit shall be paid to the legal guardian of such Member's Children who are under the age of 18 years in equal shares, which payments shall commence upon the death of the Member or, if later, the death of such surviving Spouse, and shall continue until the youngest of such Children attains the age of 18 years, which benefits shall be equal to the Base Pension Benefit the surviving Spouse would have received.
C.
If a Member dies and leaves no survivors who are eligible
for pension benefits, the deceased Member's estate shall receive from
the Bureau an amount equal to that which the deceased Member has contributed
to the Fund, without interest, less the amount which the deceased
Member has actually received from the Fund.
D.
If a member dies under circumstances described in Subsections A(1) through (5) of this § 64-32 and leaves neither a surviving Spouse or a surviving Spouse who is eligible for benefits under this § 64-32 but who later dies, nor Children who are eligible for benefits under this § 64-32, then a monthly pension benefit shall be paid to the dependent parent(s) of the Member, if any, which payments shall commence upon the death of the Member and shall continue until the parent(s)' death, which benefits shall be equal to the Base Pension Benefit a surviving Spouse or Child would have received.
[Added 5-23-2000 by Ord. No. 2-2000]
The Bureau may require that:
A.
All applications for disability benefits or pension
benefits payable on account of death shall be made to the Secretary
of the Bureau in writing within 30 days after death or 12 months after
the commencement of Permanent and Total Disability.
B.
All applications for benefits shall be accompanied
by proof of disability or death and/or other information reasonably
necessary to enable the Bureau to make a determination as to the entitlement
to benefits under this article.
If at any time the funds available for the payment
of pension benefits, death benefits or disability benefits under this
article are insufficient to pay all beneficiaries in full, such funds
shall be divided among the beneficiaries pro rata on the relative
amounts of benefits to which each is entitled until such time, if
any, as available Funds are sufficient to pay all beneficiaries in
full.
All funds disbursed by the Bureau shall be paid
by check signed by the City Treasurer and the City Controller, on
orders drawn by any two of the Chairman, the Secretary or the Treasurer
of the Bureau.
The Funding policy for the Fund will at all
times be consistent with the Third Class City Code to the extent applicable
as amended by the Municipal Pension Plan Funding Standard and Recovery
Act, 53 P.S. § 895.101 et. seq.
All funds, assets and securities now and heretofore
held and administered by the Bureau known as the "Fire Fighters' Pension
and Benefits Fund" shall be held and administered by the Bureau (as
herein defined) as part of the Fund (as herein defined) in accordance
with the provisions of this article.[1]
