1996-28 G.E. Pension Member Contributions
ORDINANCE N0.28-96
AN ORDINANCE OF THE VILLAGE COUNCIL OF THE VILLAGE OF NORTH PALM BEACH,
FLORIDA, AMENDING SECTION 2-158 (d) RELATING TO MEMBER CONTRIBUTIONS OF
DIVISION 3, PENSION AND CERTAIN OTHER BENEFITS FOR GENERAL EMPLOYEES,
OF ARTICLE V, PENSIONS AND RETIREMENT SYSTEMS, OF CHAPTER 2 OF THE CODE
OF ORDINANCES OF THE VILLAGE; PROVIDING FOR SEVERABILITY; PROVIDING FOR
THE REPEAL OF ALL ORDINANCES OR PARTS OF ORDINANCES IN CONFLICT
HEREWITH; AND, PROVIDING FOR AN EFFECTIVE DATE.
BE IT ORDAINED BY THE VILLAGE COUNCIL OF NORTH PALM BEACH,
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FLORIDA:
Section 1. Section 2-158 (d), Member Contributions, of Division 3, Pension
and Certain Other Benefits for General Employees, of Article V, Pension and
Retirement Systems, of Chapter 2 of the Code of Ordinances of the Village is
hereby amended to read as follows:
"Member contributions.
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(1) Amount. Members of the plan shall make regular
contributions to the fund at a rate equal to two (2)
percent of their respective earnings.
(2) Duration. The Village shall pick-up, rather than deduct from
each member's pay, beginning with the date of employment,
two (2%) percent of the member's basic compensation. The
monies so picked-up shall be deposited in the Fund on a
monthly basis. An account record shall be maintained
continuously for each member. Pick-up contributions shall
continue until death, disability or termination of service,
wF~ichever shall occur first. Contributions shall remain in the
Fund unless withdrawn as provided in the Plan. No member
shall have the option to choose to receive the contributed
amounts directly instead of having them paid by the Village
directly to the Plan. All such pick-up contributions by the
Village shall be deemed and be considered as part of the
member's accumulated contributions and subject to all
provisions of the Plan pertaining to accumulated contributions
of members. The intent of this provision is to comply with
Section 414(h) (2) of the Internal Revenue Code. For paying
Social Security taxes, and for such other purposes except as
spec[fied In this Plan, the amount of employee contributions
"picked-up" or paid by the Village will be added to the
amount distributed on a current basis in order to determine
• total wages, salary, pay or compensation. In the event that
the employer agrees to assume and pay member contributions
in lieu of direct contributions by the member, such
contributions shall accordingly be paid into the plan on behalf
of the members. No member subject to such agreement shall
have the option of choosing to receive the contributed
amounts directly instead of having them paid by the employer
directly to the plan. All such contributions by the employer
shall be deemed and considered as part of the member's
accumulated contributions and subject to all provisions of this
plan pertaining to accumulated contributions of members. 1'he
intent of this language is to comply with section 414(h) (2) of
the Internal Revenue Code.
(3) Interest. Interest shall be credited to member
contributions as of September 30 of each year at a rate
equal to the change in the consumer price index,
published by the U.S. Bureau of Labor Statisttcs, over
the twelve-month period ending on the previous June
30. The maximum rate for any year shall be seven (7)
percent and the minimum rate shall be zero (0) percent.
(9) Guaranteed refund. All contributions made by
employees whose employment is terminated prior to
• vesting shall receive a refund of all amounts
contributed by the employee together with Interest at a
rate equal to the Consumer Price Index, published by
the U.S. Bureau of Labor Statistics in effect during the
year or years of employee contributions or seven (7)
percent per annum, whichever is less."
Section 2. If any section, paragraph, sentence, clause, phrase or word of
this Ordinance is for any reason held by a Court to be unconstitutional,
Inoperative or void, such holding shall not affect the remainder of this
Ordinance.
Section 3. All ordinances or parts of ordinances in conflict herewith are
hereby repealed.
Section 4. This Ordinance shall take effect immediately upon passage.
PLACED ON FIRST READING THIS _ 11th DAY OF JuIY .1996.
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I'LACEU ON SECOND, FINAL READING AND PASSED ON THIS 25th DAY OF
July, 1996.
• total wages, salary, pay or compensation. In the event that
the employer agrees to assume and pay member contributions
in lieu of direct contributions by the member, such
contributions shall accordingly be paid into the plan on behalf
of the members. No member subject to such agreement shall
have the option of choosing to receive the contributed
amounts directly instead of having them paid by the employer
directly to the plan. All such contributions by the employer
shall be deemed and considered as part of the member's
accumulated contributions and subject to all provisions of this
plan pertaining to accumulated contributions of members. 1'he
intent of this language is to comply with section 414(h) (2) of
the Internal Revenue Code.
(3) Interest. Interest shall be credited to member
contributions as of September 30 of each year at a rate
equal to the change in the consumer price index,
published by the U.S. Bureau of Labor Statisttcs, over
the twelve-month period ending on the previous June
30. The maximum rate for any year shall be seven (7)
percent and the minimum rate shall be zero (0) percent.
(9) Guaranteed refund. All contributions made by
employees whose employment is terminated prior to
• vesting shall receive a refund of all amounts
contributed by the employee together with Interest at a
rate equal to the Consumer Price Index, published by
the U.S. Bureau of Labor Statistics in effect during the
year or years of employee contributions or seven (7)
percent per annum, whichever is less."
Section 2. If any section, paragraph, sentence, clause, phrase or word of
this Ordinance is for any reason held by a Court to be unconstitutional,
Inoperative or void, such holding shall not affect the remainder of this
Ordinance.
Section 3. All ordinances or parts of ordinances in conflict herewith are
hereby repealed.
Section 4. This Ordinance shall take effect immediately upon passage.
PLACED ON FIRST READING THIS _ 11th DAY OF JuIY .1996.
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I'LACEU ON SECOND, FINAL READING AND PASSED ON THIS 25th DAY OF
July, 1996.
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MAYOR
(VILLAGE SEAL)
ATTEST:
VILLAGE CLERK ~~~
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