[HISTORY: Adopted by the Borough Council of the Borough of Shippensburg 9-13-1960 by Ord. No. 313, approved 9-13-1960. Amendments noted where applicable.]
[Added 8-19-2003 by Ord. No. 772, approved 8-19-2003]
The Borough of Shippensburg hereby recognizes that the members' assets and liabilities of the former Mid-Cumberland Valley Regional Police Pension Fund have been transferred to the plan document entitled the "Borough of Shippensburg Police Pension Plan" (the "plan") and the plan is considered an integral part of this chapter.
Editor's Note: Former § 47-1, eligibility for retirement and pension, was repealed 3-15-1994 by Ord. No. 631, approved 3-15-1994, which transferred all liability for pensions of officers and former officers to the Mid-Cumberland Valley Regional Police Commission.
Each police officer eligible to participate under the law as set forth by the Commonwealth of Pennsylvania may be provided for by contracts and agreements of pension and insurance benefits by an underwriting life insurance company.
The municipality shall create a Police Pension Death and Disability Trust Fund consisting of three Trustees, who shall be the President of the Council, the Secretary and the Treasurer. The duties of the Trustees shall be to receive and disburse all sums of money applicable to the purpose described in this chapter and Act 358 of the 1957 Legislature, as enacted or amended.
Editor's Note: See now 53 P.S. § 767 et seq.
The municipality shall make annual appropriations to the Police Pension Death and Disability Fund of the amounts necessary which, with other funds and benefits available to the municipality as described by law, shall be sufficient to provide the benefits as set forth by the laws of the commonwealth, with the amounts to be limited to those necessary to meet premiums and deposits required by such contracts of pension, insurance and disability nature issued by the insurance companies in order to fulfill the terms of such contracts.
[Amended 8-16-1977 by Ord. No. 467, approved 8-16-1977; 7-19-1983 by Ord. No. 521, approved 7-19-1983]
Each participating officer shall contribute, as may be decided by the Borough, not less than 5% to a maximum of 8% of his monthly wage to the Police Pension Death and Disability Fund with the provision that, upon termination of employment prior to retirement, such contributions shall be returned, together with interest.
In the event that social security is applicable and in effect for the police officer, the contributions to social security shall be considered as a portion of the deduction of 5% to 8%, but that the contribution on that part of the income applicable to social security should not be less than 2% of monthly income. Further, only that part of any contribution deducted but not paid to social security should be returned without interest in the event of termination of employment prior to retirement.
If an actuarial study shows that the condition of the Police Pension Fund is such that payments into the fund by members may be reduced below the minimum percentages hereinbefore prescribed, or eliminated, and that if such payments are reduced or eliminated, contributions by the Borough will not be required to keep the fund actuarially sound, the Borough Council of the Borough of Shippensburg may, pursuant to Pennsylvania statutes applicable thereto, by resolution, reduce or eliminate payments into the fund by members.
[Amended 12-30-1985 by Ord. No. 539, approved 12-30-1985]
The Manager of the municipality is hereby authorized to execute all forms and documents required to establish the contracts necessary to fulfill the required benefits under the law and to arrange for the payments of premiums and deposits as they may become due and payable from the Police Pension Death and Disability Fund.
Editor's Note: Former § 47-7, Ownership of contracts and deposits, was repealed 3-15-1994 by Ord. No. 631, approved 3-15-1994, which also transferred all funds or deposits to the Police Fund of the Mid-Cumberland Valley Regional Police Commission.
[Added 5-17-1988 by Ord. No. 561, approved 5-17-1988]
The Borough Council shall, from time to time, by resolution, designate an individual, corporation or partnership to serve as the Borough's representative in negotiating contracts of insurance and the like to fulfill its obligations under this chapter.
The Borough Council shall, from time to time, by resolution, adopt the pension plan for the police officers of the Borough of Shippensburg and amendments thereto as may be required by law or the collective bargaining agreement.