2003-35 Amends General Emplyees Pension Plan BenefitORDINANCE 35-2003
AN ORDINANCE OF THF, VILLAGE COUNCIL OF THE VILLAGE OF NORTII PALM
BEACH, FLORIDA. AMENDING SUBSECTION (a), RETIREMENT DATE. OF SECTION
2-148, BENEFIT AMOUNTS AND ELIGIBILITY. AND SUBSECTION (b), RETIREMENT
DATE, OF SECTION 2-158. OPTIONAL BENEFIT PLAN. OF DIVISION 3, PENSION AND
CERTAIN OTHER BENEFITS FOR GF_,NERAL EMPLOYEES, OF ARTICLE V, PENSIONS
AND RETIREMENT SYSTEMS, OF CHAPTER 2 OF THE CODE OF ORDINANCES OF
THE VILLAGE, TO PROVIDE THAT AN ACTIVE, VESTED AND ELIGIBLE-TO-RE"TIRE
EMPLOYEE OR THE EMPLOYEE'S BENEFICIARY SHALL IIAVE THE OPTION.
SHOULD THE EMPLOYEE DIE WHILE ACTIVELY EMPLOYED WITH THE VILLAGE,
TO BE CONSIDERED RETIRED ON THE DAY BF,FORE DEATH; AMENDING
SUBSECTION (c), RETIREMENT BENEFIT, OF SECTION 2-158, OP"I'IONAL BENEFIT
PLAN, TO MAKE PROVISIONS FOR MEMBER'S ANNUAL PENSION BENEFIT TO
EQUAL TWO AND ONE-HALF (2-I/2) PERCENT OF FINAL AVERAGE EARNINGS
MULTIPLIED BY THE MEMBER'S CREDITED SERVICE FOR THE FIRST TWENTY (20)
YEARS OF CREDITED SF.,RVICE AND TO PROVIDE THAT EMPLOYEES HIRF,D AFTER
THE EFFECTIVE DATE OF THIS SECTION SHALL CONTRIBUTE SIX (6) PERCENT OF
THEIR SALARY FOR THE PENSION BENEFIT; PROVIDING FOR SEVERABILITY;
PROVIDING FOR THE REPEAL OF ALL ORDINANCES OR PARTS OF ORDINANCES IN
CONFLICT HEREWITH; AND, PROVIDING FOR AN F_,FFECTIVE DA"I'E.
BE IT ORDAINED BY THE VILLAGE COUNCIL OF NORTH PALM BEACH, FLORIDA:
Section 1. Subsection (a), Retirement date, of Section 2-148, Benefit amounts and eligibility,
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, is hereby
amended to read as follows:
"Section 2-148, Benefit Amounts and eligibility.
(a) Retirement date. A member's normal retirement date shall be the first day of
the month coincident with, or next following, attainment of his or her sixty-fifth birthday
and the completion of nine (9) full years of service with the village. A member may
retire on his or her normal retirement date or on the first day of any month thereafter, and
each member shall become one hundred (100) percent vested in his or her accrued benefit
on his normal retirement date. The normal retirement date described above shall apply
only to members who are hired as general employees from and after the effective date of
this ordinance.
The normal retirement date for a member who was a general employee of the village
prior to the effective date of this ordinance shall be the first day of the month coincident
with, or next following, attainment of his or her sixty-fifth birthday.
Employees who are vested and eligible to retire shall have the right to file a written
election to be considered retired on the day before death if such employee should die
prior to retirement. If an employee who is vested and eligible to retire dies prior to
retirement without making the foregoing election, the election can be made by the
employee's beneficiary previously designated in the Village records.
Section 2. Subsection (b), Retirement date. of Section 2-158, Optional benefit plan, 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, is hereby amended
to read as follows:
"Section 2-158. Optional benefit plan.
(b) Retirement date. A member's normal retirement date shall be the first day of
the month coincident with, or next following, attainment of his or her sixtieth birthday
and the completion of nine (9) full years of service with the village. A member may
retire on his or her normal retirement date or on the first day of any month thereafter, and
each member shall become one hundred (100) percent vested in his or her accrued benefit
on his normal retirement date. The normal retirement date described above shall apply
only to members who are hired as general employees from and after the effective date of
the ordinance from which this section derives.
The normal retirement date for a member who was a general employee of the village prior
to the effective date of the ordinance from which this section derives shall be the first day
of the month coincident with, or next following, attainment of his or her sixtieth birthday.
Employees who are vested and eligible to retire shall have the right to file a written
election to be considered retired on the day before death if such employee should die
prior to retirement. If an employee who is vested and eligible to retire dies prior to
retirement without making the foregoing election, the election can be made by the
employee"s beneficiary previously designated in the Village records.
Section 3. Subsection (c). Retirement benefit, of Section 2-158, Optional benefit plan, 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, is hereby amended
to read as follows:
`Section 2-158. Optional benefit plan.
(c) Retirement benefit. A member retiring hereunder on or after his normal
retirement date shall receive a monthly benefit which shall commence on his retirement
date and be continued thereafter during his lifetime, ceasing upon death. "I'he member's
annual pension benefit shall either equal two and one quarter (2-1 /4) percent or two and
one-half (2-1/2) percent of final average earnings multiplied by the member's credited
service for the first twenty (20) years of credited service and one (I) percent for each year
of credited service thereafter as follows:
2
(1) All employees hired prior to the effective date of this Ordinance shall have a
one-time option for a period of thirty (30) days from the effective date of this Ordinance
to increase the pension benefit from two and one quarter (2-1/4) percent of final average
earnings to two and one-half (2-1/2) percent of final average earnings by thereafter
making regular contributions to the fund at a rate equal to two (2) percent of their
respective earnings. If an employee fails to make such election within said thirty (30)
day period from the effective date of Ordinance, the employee's pension benefit shall
remain at two and one-quarter (2-1/4) percent of final average earnings.
(2) All employees hired subsequent to the effective date of this Ordinance shall be
required to make regular contributions to the fund at a rate equal to six (6) percent
(including cost of living) of their respective earnings and the employee"s pension benefit
shall be two and one-half (2-1/2) percent of final average earnings."
Section 4. 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 5. All Ordinances or parts of Ordinances in conflict herewith are hereby repealed.
Section 6. This Ordinance shall take effect immediately upon passage.
PLACED ON FIRST READING THIS 13th DAY OF NOVEMBER, 2003.
PLACED ON SECOND, FINAL READING AND PASSED THIS 11th DAY OF DF,CEMBER. 2003.
(Village Se~11
--.~
~ a j,
a ~ .~ ~,.~. 1(
t ~ ~ ~~ ~ ~
,_ ....__....' a
~~ "~ r \
~.__
ATTEST: %'~ ~~i~
VILLAGE CLERK