HomeMy WebLinkAboutCity of Tamarac Ordinance O-2005-011Temp. Ord. #2086
June 1, 200S
Revised June 8, 2005
Page I of 34
CITY OF TAMARAC, FLORIDA
ORDINANCE NO. 0-2005-11
AN ORDINANCE AMENDING CHAPTER 16, OF
THE CODE OF THE CITY OF TAMARAC
ENACTING A NEW ARTICLE IX, CREATING A
PENSION PLAN AND TRUST FUND FOR ELECTED
AND APPOINTED OFFICIALS, EXECUTIVE,
MANAGERIAL/PROFESSIONAL, AND NON -
REPRESENTED ADMINISTRATIVE EMPLOYEES;
PROVIDING FOR SEVERABILITY; PROVIDING
FOR CONFLICT; PROVIDING FOR
CODIFICATION; PROVIDING AN EFFECTIVE
DATE.
IWHEREAS, the City of Tamarac is interested in attracting and
retaining qualified employees; and
WHEREAS, the City Commission desires to adopt a separate
pension plan for elected and appointed officials, executive,
managerial/professional, and non -represented, administrative
employees which is not impacted by collective bargaining issues
applicable to rank and file employees; and
WHEREAS, the City Commission has reviewed the actuarial
impact statement prepared to estimate the costs associated for
such a plan as proposed herein and has determined the costs of
I this plan as set forth in the actuarial impact statement attached
hereto as Exhibit "A" and incorporated herein by this reference
Temp. Ord. #2086
June 1, 2005
Revised June 8, 200S
Page 2 of 34
to be acceptable for the establishment and operation of this
plan; and
WHEREAS, the City Commission has determined that this plan
is in the best interests of the city, its residents and
employees;
NOW, THEREFORE, BE IT ORDAINED by the City Commission of the
City of Tamarac:
Section 1. A new retirement plan is hereby created to read
as follows:
ARTICLE IX. I
SECTION 16-900. RETIREMENT PLAN ESTABLISHED; NAME; OPERATIVE
T% R M"
A. A Retirement Plan is hereby established and placed under the
exclusive administration and management of a Board of
Trustees for the purpose of providing retirement benefits
pursuant to the provisions of this Ordinance and for
defraying the reasonable expenses of the Retirement Plan.
B. The Retirement Plan established by this Ordinance shall be
known as the City of Tamarac Elected and Appointed Officers
and Non -Represented Employees Retirement Plan.
SECTION 16-901. DEFINITIONS.
The following words and phrases as used in this Ordinance
shall have the following meanings: I
E
A. Accumulated Contributions
B. Active Membership
C. Actuarial Equivalent
I
E. Beneficiar
F . Benef it
G. Board or Board of Trustees
I
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June 1, 2005
Revised June 8, 2005
Page 3 of 34
shall mean the sum of all
amounts deducted from a
member's compensation or
picked up on behalf of a
member, together with
regular interest.
shall mean membership in
the Retirement Plan as an
employee.
shall mean a benefit
having the same present
value as the benefit it
replaces. The Board, in
consultation with the
actuary, shall adopt a
uniform policy.
shall have a conjunctive
meaning.
shall mean any person,
other than a retired
member, receiving a
retirement allowance or
other benefit from the
Retirement Plan. A
retired member shall be
referred to as a retiree.
shall mean a retirement
allowance or other
payment provided by the
Retirement Plan.
shall mean the Board of
Trustees of the
Retirement Plan.
H . C �t
I. Compensation
J. Credited Service
K. Deferred Vested member
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June 1, 200S
Revised June 8, 2005
Page 4of34
shall mean the City of
Tamarac, Florida.
shall mean a member's
total cash remuneration
for services rendered,
excluding bonuses,
employer contributions to
any health, dental,
disability or related
insurance program,
medical or child care
reimbursement, employer
contributions to a
deferred compensation
program under Section 457
of the Internal Revenue
Code, or cash payments of
unused, accumulated leave
payable upon separation
from the City.
shall mean membership
credit upon which a
member's eligibility to
receive benefits under
the Retirement Plan is
based or upon which the
amount of such benefits
is to be determined,
measured in years and
completed months. This
term shall be
interchangeable with
covered service and
covered employment.
shall mean an employee
separating service
with a vested interest,
but prior to eligibility
I
L. Early Service Retirement
M. Employee
I
N. Final Monthly_Compensation
I
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June 1, 2005
Revised June 8, 2005
Page 5 of 34
for a normal service or
early service retirement.
shall mean a member's
withdrawal from service
under circumstances
permitting the payment of
a I retirement benefit
before such member is
eligible for normal
service retirement under
the terms of this plan.
shall mean an elected
official of the City; or
an appointed official of
the city; or an
executive,
managerial/professional,
or non -represented
administrative employee
employed by the City in a
full-time capacity as
defined by City work
rules. This definition
excludes police officers,
firefighters, and all
other employees of the
City eligible by law to
be represented in a
collective bargaining
unit. service as an
employee in this Plan
shall also be referred to
as covered employment.
shall mean a member's
average monthly rate of
compensation from the
City during the sixty
(60) consecutive months
rom
UO
9
ffl
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June 1, 2005
Revised June 8, 2005
Page 6of34
of employment which is
greater than the total of
any other sixty (60)
consecutive months;
provided that if a member
has been employed for
fewer than sixty (60)
it months in a position
covered by this Plan,
such average shall be
taken over the period of
actual credited service.
Fund or Trust shall mean the City of
Tamarac Elected and
Appointed Officers and
Non -Represented Employees
Retirement Fund.
May shall mean a permissive
term.
member shall mean an elected
officer of the City; or
appointed officer of the
City; or an employee not
eligible to be
represented in a
collective bargaining
unit, who is actively
employed by the city on a
full-time basis, as
determined by City work
rules, for whom
contributions to the
Retirement Plan are made
as required by this
Ordinance.
option shall mean one of several
choices available to
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June 1, 200S
Revised June 8, 2005
Page 7of34
members with respect to
the manner in which a
retirement allowance may
be paid.
S. Pension shall mean a series of
periodic payments,
payable in monthly
installments for a period
of not less than the life
of the member.
T. Pick-UlD Amounts shall mean employer
contributions derived
from a member's
compensation through a
reduction in the member's
compensation.
U. Plan Year shall mean the period
from October 1 through
September 30 of the
following year.
V. Retirement shall mean a member's
withdrawal from active
employment with a
retirement benefit
granted to the member
pursuant to the
provisions of this
ordinance.
W. Retirement Allowance shall mean a pension
provided by the
Retirement Plan.
X. Retirement Plan shall mean the City of
Tamarac Elected and
Appointed Officers and
VA
Z.
Non -Represented employee
Service Retirement
AA. Trustee
BB. Vested Benefit
CC. Vestinq
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June 1, 2005
Revised June 8, 2005
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Non -represented Employees
Retirement Plan.
shall mean an executive,
professional/managerial,
or administrative
confidential employee of
the City who is not
eligible to be
represented in a
collective bargaining
unit. This definition
shall also include
elected and appointed
officers of the City.
shall mean a member's
retirement from active
employment under
circumstances permitting
payment of a retirement
allowance without
reduction because of age
or length of service.
Service retirement shall
be considered normal
retirement.
shall mean a member of
the Board of Trustees of
the Retirement Plan.
shall mean an immediate
or deferred benefit to
which a member has gained
a non -forfeitable right
under the provisions of
this Ordinance.
shall mean five (5) years
of credited service
I
I
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June 1, 2005
Revised June 8, 200S
Page 9 of 34
before the member is
entitled to full
retirement benefits.
Members shall vest at the
rate of twenty percent
(20%-) for each completed
year of service.
SECTION 16-902. ADMINISTRATION OF THE RETIREMENT PLAN
A. The sole and exclusive administration of, and the
responsibility for, the proper effective operation of the
Retirement Plan and for enforcing the provisions of this
Ordinance is vested in a Board of Trustees.
B. The Board of Trustees shall consist of five (S) persons, all
of whom shall be members of the Plan. Two (2) persons shall
be elected from among the membership of the Plan. Two (2)
persons shall be appointed by the City Manager. The fifth
person shall be appointed by the other four members of the
Board. Neither the City Manager nor a member of the City
Commission shall serve as a trustee.
C. All Trustees shall serve a term of two (2) years. If a
vacancy shall occur prior to the expiration of a member's
term, a replacement member shall be chosen in the same
manner as the person who has left office. A replacement
Trustee shall serve a full term measured from the date of
replacement. All Trustees shall serve until their
replacements are selected.
D. The Board of Trustees shall prescribe a uniform election
procedure for the selection of the active member Trustees.
The initial election shall be conducted by the City Clerk.
Subsequent elections shall be conducted by the City Clerk
under the direction of the Board.
E. All Trustees shall serve without compensation, but they may
be reimbursed from the Fund for all necessary expenses
authorized in advance by the Board. The Board shall be
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June 1, 2005
Revised June 8, 2005
Page 10 of 34
permitted to prescribe uniform rules for reimbursement for
travel expenditures.
F. The Board of Trustees shall annually select a chairman and a
secretary who shall execute all documents on behalf of the
Board.
G. A majority of the members of the Board shall constitute a
quorum for the transaction of business and shall have full
power to act under the terms of the Plan. Three (3)
concurring votes shall be required of the Board to take
action.
H. The Board shall keep minutes of all meetings and a record of
any action taken by the Board shall be kept in written form
and maintained by the Board.
I. The Board of Trustees shall have the authority to make such
uniform rules and regulations and to take such action as may
be necessary to carry out the provisions of the Plan and all
decisions of the Board of Trustees, made in good faith,
shall be final, binding and conclusive on all parties.
J. The Board of Trustees shall be deemed the named fiduciary of
the Plan and shall discharge its responsibilities solely in
the interest of the members and beneficiaries of the Plan
for the exclusive purpose of providing benefits to the
members and their beneficiaries and to defray the reasonable
expenses of the Plan. The Trustees shall exercise those
fiduciary responsibilities with the care, skill, prudence
and diligence under the circumstances then prevailing that a
prudent person acting in a like capacity and familiar with
such matters would use in the conduct of an enterprise of a
similar character and with similar aims.
K. The Board of Trustees shall have the following
administrative duties:
1. To maintain such records as are necessary for
calculating and distributing retirement benefits;
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June 1, 200S
Revised June 8, 200S
Page Ilof34
2. To maintain such records as are necessary for financial
accounting and reporting of Retirement Plan funds;
3. To maintain such records as are necessary for actuarial
evaluation of the Retirement Plan, including
investigations into the mortality, service and
compensation experience of its members and
beneficiaries;
4. To compile such other administrative or investment
information as is necessary for the management of the
Retirement Plan;
S. To process, certify and/or respond to all
correspondence, bills and statements received by the
Retirement Plan, as well as all applications submitted
to the Board for retirement benefits;
6. To establish and maintain communication with city
departments and other agencies of government as is
necessary for the management of the Retirement Plan,
including preparing, filing and distributing such
reports and information as are required by law to be
prepared, filed or distributed on behalf of the
Retirement Plan;
7. To determine all questions relating to and process all
applications for eligibility, participation and
benefits;
8. To distribute at regular intervals to employees, a
comprehensive Summary Plan Description and periodic
reports regarding the financial and actuarial status of
the Plan;
9. To retain and compensate such professional and
technical experience as is necessary to fulfill its
fiduciary responsibilities;
10. To make recommendations regarding changes in the
I provisions of the Plan;
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June 1, 2005
Revised June 8, 2005
Page 12 of 34
11. To assure the prompt deposit of all member
contributions, city contributions, and investment
earnings;
12. To establish a uniform set of rules and regulations for
the management of the Trust;
13. To take such other action as the Trustees shall deem,
in their sole and exclusive discretion, as being
necessary for the efficient management of the Plan.
L The Board shall have the authority to retain its own legal
counsel, accountants, actuaries and other professional
advisors to assist the Board in the performance of its
duties. The Board may act without independent investigation
upon the professional advice of the advisors so retained.
M. The Board is authorized to prosecute or defend actions,
claims or proceedings of any nature or kind for the
protection of the Fund assets or for the protection of the
Board in the performance of its duties.
N. Neither the Board nor any of its individual members shall
have any personal liability for any action taken in good
f aith. The Trustees individually and the Board as a whole
shall be entitled to the protections in Section 768.28, Fla.
Stat. The Trustees shall also be authorized to purchase
from the assets of the Fund, errors and omission insurance
to protect the Trustees in the performance of their duties.
Such insurance shall not provide protection against a
Trustee's fraud, intentional misrepresentation, willful
misconduct or gross negligence.
0. No Trustee shall be responsible at his or her own expense,
to take legal action to
correct the misconduct of any other
member of the Board of
Trustees. A Trustee shall have
an
affirmative obligation,
however, to publicly reveal
any
misfeasance, malfeasance
or nonfeasance by a co -Trustee,
and
upon making such revelation
in a public meeting, shall
be
Temp. Ord. #2086
June 1, 2005
Revised June 8, 200S
Page 13 of 34
relieved further individual responsibility of the actions of
that co -Trustee.
SECTION 16-903. MEMBERSHIP,; CONTRIBUTIONS.
A. , Membership shall be mandatory, except as provided in this
section. Employees eligible for membership in this Plan who
are members of any other city sponsored retirement plan may
elect to transfer to this Plan. All persons initially
elected, appointed, or employed in a covered position on or
after October 1. 2005 shall be members of this Plan, except
persons whose employment or appointment is governed by a
written agreement approved by the City Commission which
excludes them from this Plan. The effective date of
membership shall be the date of initial employment or
appointment to a position of covered employment, including
the dates of any purchased service credit. members eligible
to purchase prior service credit may purchase all, some or
none of the available credit, but no person shall be
credited for service not earned or purchased as provided for
in the Plan.
B. Effective with the first full pay period after commencement
of membership in the Plan, and continuing throughout covered
employment without regard to the maximum accrual of
benefits, the City shall pick-up, rather than deduct from
each member's pay, beginning with the date of covered
employment, ten (10%) percent of the member's 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 covered
service, whichever 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 City directly to the Plan. All such pick-up
contributions by the City shall be deemed and be considered
Temp. Ord. 42086
June 1, 2005
Revised June 8, 2005
Page 14 of 34
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.
C. All benefits payable under this Plan are in lieu of a refund
of accumulated contributions.
D The City shall contribute to the Retirement Plan an amount
which when combined with (i) member contributions and (ii)
investment return, will be sufficient to maintain the Plan
on a sound actuarial basis.
E. Expenses, charges and fees attributable to the management of
the Plan shall be paid from the Fund.
F. The City shall have no right, title or interest in the Fund
or in any part thereof, and no contribution made thereto
shall revert to the City, except such part of the Fund, if
any, which remains therein after the satisfaction of ail
liabilities to persons entitled to benefits under the Plan.
SECTION 16-904. FUND MANAGEMENT AND INVESTMENTS.
A. The Plan is hereby established, pursuant to authority
granted in the City Charter and Code, as an irrevocable
trust fund into which shall be deposited all of the assets
of the Plan of every kind and description.
B. The actual custody and supervision of the Fund shall be
vested in the Board. All assets of the Plan may be
commingled, provided that accurate records are maintained at
all times reflecting the financial composition of the Fund,
including accurate accounts regarding the following:
1. Current amounts of accumulated contributions of
members, both on an individual and aggregate basis;
2. Receipts and disbursements; I
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June 1, 2005
Revised June 8, 2005
Page 15of34
3. Benefits payments;
4. All contributions from the City;
5. All interest, dividends, gains and losses from
investment;
6. Such other entries as may be required for a clear,
complete financial report of the status of the Fund.
C. The Board shall establish a written investment policy, with
the advice and counsel of such advisors as the Board deems
necessary, and said investment policy shall set forth the
types of securities and other types of investments into
which shall be placed the assets of the Fund. The policy
shall further set forth appropriate limitations on those
investments, including, but not limited to, anticipated rate
of return, quality of investment, class of investment and
acceptable risk. The Board shall have the authority to
invest and reinvest the assets of the Plan in such
securities or property, real or personal, as the Board deems
appropriate, including, but not limited to:
1. Bonds, notes, or other obligations of the United States
or any of its agencies, or those guaranteed by the
United States or for which the credit of the United
States is pledged for the payment of the principal and
interest or dividends thereof;
2. Accounts or certificates of deposit in any bank or
other financial institution incorporated under the laws
of the State of Florida, or any national bank organized
under the laws of the United States, or authorized to
do business and situated in the State of Florida, to
the extent that such certificates of deposit are
secured by the deposits of securities of the United
States government;
3. Notes secured by first mortgages on real property
insured or guaranteed by the Federal Housing
Administration or the Veterans Administration;
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June 1, 2005
Revised June 8, 2005
Page 16of34
4. Interest -bearing obligations with a fixed maturity of
any corporation organized under the laws of the United
States, any state or organized territory of the United
States and the District of Columbia; provided that such
obligations are rated by at least two (2) nationally
recognized ratings services in any one of the four
highest classifications approved by the Comptroller of
the Currency for the investment of funds of national
banks or, if only one nationally recognized ratings
service shall rate such obligations, such ratings
service must have rated such obligation in any one of
the three highest rating classifications as set forth
in this subsection;
5. Bonds issued by the State of Israel;
6. Real estate, which may be in the form of commingled
ownership and financial institutional futures, listed
options, stock index futures, which may be used under
specific instruction of managers;
7. Common stock, preferred stock and interest -bearing
obligations of domestic and foreign corporations having
an option to convert into common stock issued by a
corporation.
8. Fixed income instruments of foreign corporations and
states.
9. Index funds and collective investment funds.
10. Any other investment permitted by law.
11. The Board may also contract with any other City
sponsored, defined benefit plan for a co -mingled
investment portfolio, provided, however, that a
separate accounting of the assets of each plan is
maintained.
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June 1, 2005
Revised June 8, 2005
Page 17 of 34
D. The Board may determine the percentage of each type of
investment to be held.
E The Board shall be authorized to retain one or more money
managers for the management of property held in the Plan,
and the Board shall convey property of the Plan to such
money managers for investment and reinvestment in accordance
with the terms of this ordinance and the investment policies
established by the Board. Any such money manager
contracting with the Board for the investment of its assets
shall be deemed a fiduciary of the Plan.
F. The Board shall have a continuing duty to observe and
evaluate the performance of any money manager retained by
the Board. The Board shall, in selecting a money manager or
other investment counsel, exercise all judgment and care in
the circumstances then prevailing which persons of prudence,
discretion and intelligence exercise in the management of
their own affairs.
G. The Board shall require that any money manager or other
agent who has custody or control of any property of the Plan
to keep accurate and detailed accounts of all investments,
receipts, disbursements and other transactions pertaining to
such Trust property, and the Board shall further require
that all accounts, books and records pertaining thereto be
open for inspecting and audit at all reasonable times by the
City, the Board or the designees.
H. The Board shall also keep accurate and detailed accounts of
all investments, receipts, disbursements or other
transactions pertaining to the Trust property and all
accounts, books and records pertaining thereto shall he open
to inspection and audit at all reasonable times by the City
or its designees.
SECTION 16-905. SERVICE RETIREMENT BENEFITS; COST OF LIVING
ADJUSTMENT; DISABILITY RETIREMENT.
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June 1, 2005
Revised June 8, 2005
Page 18of34
A. A member may retire on the first day of the month coincident
with or next following the earlier of: the date upon which
the member attains age fifty-five (SS) and completes twenty-
f ive (2S) years of credited service; or the date upon which
the member attains age fifty-seven (57) with twenty (20)
years of credited service; or the date upon which the member
attains age sixty (60) with five(5) years of credited
service. There shall be no mandatory retirement age.
B. The normal retirement benefit shall be determined based upon
the following percentages of final monthly compensation
multiplied by the applicable years and completed months of
credited service:
(1) For elected officials: Twenty percent (20%-) of final
monthly compensation for each completed three (3) year
term, with a pro-rata accrual for partial terms. The
maximum benefit accrual shall be eighty percent (80%-)
of final monthly compensation. I
(2) City manager and City Attorney: Four percent (496) of
final monthly compensation multiplied by credited
service. The maximum benefit accrual shall be eighty
percent (80%) of final monthly compensation. The City
Attorney shall refer to a full time, appointed city
officer and shall exclude any attorney hired on a
contractual basis.
(3) For all other participants: Three percent (3%-) of final
monthly compensation multiplied by credited service.
The maximum benefit accrual shall be eighty percent
(80%) of final monthly compensation.
In no instance shall the aggregate benefit payable from the
plan exceed eighty percent (80%) of final monthly
compensation. Tn no instance shall the benefit paid to a
member or the designated beneficiary be less than the
member's accumulated contributions, with simple interest at
the rate of four percent (4W) annually. once a participant
has reached the maximum benefit accrual, the participant's
contributions shall continue and the participant's increases
Temp. Ord. #2086
June 1, 200S
Revised June 8, 2005
Page 19of34
in compensation shall apply towards the participant's final
monthly compensation calculation.
C A service retirement benef it shall be payable on the f irst
day of each month. The benefit shall commence on the first
day of the month coincident with or next following the
member's actual retirement and shall continue as provided in
the optional form of payment chosen by the member. In the
event that a member shall retire in the middle of the month,
the retirement benefit shall commence on the first day of
the following month, but the member shall receive credit for
the partial month preceding the actual date that payment
commenced.
D. Early retirement shall be available to a member on the first
day of the month coincident with or next following
attainment of age fifty (50) and completion of five (5)
years of credited service.
E. A member electing early retirement may receive either a
deferred payment with no actuarial reduction or an immediate
actuarially reduced payment under the following formula:
1. A deferred payment shall commence on the first
available normal retirement date of the member as
provided in this Plan. This shall mean the date upon
which the member attains age fifty-five (55) with
twenty-five (25) years of service; age fifty-seven (57)
with twenty (20) years of service or age sixty (60)
with five (5) years of credited service. A deferred
payment shall be determined in the same manner as a
normal retirement, except that final monthly
compensation and credited service shall be based upon
the separation date. A deferred payment has no
actuarial reduction.
2. An immediate retirement benefit may commence on the
first day of the month coincident with or next
following the date of early retirement. The bene f it
shall be determined in the same manner as normal
retirement and then actuarially reduced for the number
Temp. Ord. #2086
June 1, 2005
Revised June 8, 2005
Page 20of34
of actual years and months at which the starting date
of the benefit precedes the normal retirement date.
The normal retirement date to be used in calculating
the actuarial reduction shall be the date upon which
the member would have attained the earliest of age
fifty-five (55) if a member had attained twenty-five
(25) years of service at separation; age fifty-seven
(57) if a member had attained twenty (20) years of
service at separation or age sixty(60) if a member had
attained five (5) years of credited service at
separation. The actuarial reduction factor applied to
the benefit shall be five percent (S%-) for each year,
or a pro-rata share of the reduction for each year or
partial year prior to the normal retirement date.
F. The payment of the early retirement income shall be subject
to the same conditions as normal retirement income.
G. In the event a member elects early retirement, the benefit
formula in effect on the early retirement date shall be
applicable to the member.
H. The normal form of retirement shall be a ten (10) year
certain and life thereafter benefit.
The optional forms of benefit shall be as follows:
1. Joint and Survivor Options.
A member may elect to receive a reduced benef it to be
calculated in accordance with applicable tax
regulations, for life and to have the benefit (or a
designated fraction of the benefit) continued after the
member's death and during the lifetime of a designated
survivor. A designated survivor may be any natural
person. In the event that the designated survivor dies
before the member's benefit payments begin, this option
shall be canceled automatically and a retirement income
shall be payable to the member as if the election had
never been made. A member may, at that time, elect a
life annuity, a ten (10) year certain and life
Temp. Ord. #2086
June 1, 2005
Revised June 8, 2005
Page 21of34
thereafter benefit, or appoint another survivor
beneficiary, on an actuarially equivalent basis. No
substitute survivor may be named unless the member has
elected the pop-up option set forth in this section.
2. Life Annuity
A member may elect an enhanced benefit payable for the
life of the member with no survivorship benefit, except
that the benef it shall not be less than the amount of
the member's contributions.
3. Pop -Up Option.
For any survivorship benefit, the member may elect to
purchase an option permitting the substitution of a new
survivor in the event of the death of the survivor or
dissolution of marriage. The Board, by uniform rule,
shall establish the cost and procedure for implementing
this option. The cost of this option shall be borne by
the member.
4. Benefit Actuarially Calculated Deferred Retirement
Option Plan - BACDROP. .
A member eligible for an unreduced, normal retirement
may elect BACDROP. A member electing this benefit shall
receive a partial lump sum distribution equal to not
more than three years accumulated retirement payments,
a refund of the member's contributions to the Plan
during the BACDROP term, plus interest at the rate of
four percent (45�) per year, simple interest. Future
retirement payments shall be reduced to the actuarial
equivalent. The BACDROP payment shall be calculated by
using the credited service and compensation which would
have been used had the member actually retired on the
date equal to the number of completed months, not to
exceed thirty-six (36), prior to the date BACDROP is
elected. No member may elect BACDROP if the length of
BACDROP chosen would bring the member below the age or
credited service required for an unreduced, normal
Temp. Ord. #2086
June 1, 200S
Revised June 8, 2005
Page 22 of 34
retirement. The Board of Trustees shall implement
uniform administrative rules for the administration of
BACDROP.
I. A cost of living adjustment (COLA) equal to two percent
(2W), compounded annually, shall be payable beginning on the
January 18t coincident with or next following the completion
of sixty (60) complete months after the commencement of
retirement benefits under the Plan. In the case of a
deferred vested member, the COLA shall not be payable until
the January 15t coincident with or next following the date
the member has been in receipt of benefits for sixty (60)
full months.
J. In the event that a member becomes permanently and totally
disabled and unable to perform the member's duties for the
City or a comparable position as provided by the City, the
member shall be deemed to have reached normal retirement
age. The member shall be entitled to the immediate receipt
of service retirement benefits, based on the compensation
and service then accrued. All questions of disability shall
be determined by the Board. The Board, by uniform
administrative rule, shall develop due process procedures
for the conduct of disability.
SECTION 16-906. VESTING AND TERMINATION; PURCHASE OF PRIOR
COVERED SERVICE; APPOINTMENT TO COVERED
POSITIONS FROM NON -COVERED POSITIONS
A. Except as otherwise provided in this section, all rights to
benefits under this Plan shall terminate when a member's
employment terminates for any reason
other than normal
service retirement, early service
retirement, disability
retirement, or death. Any member
who completes five (5)
years of credited service and whose
contributions remain in
the Plan has a vested right to accrued benefits from the
Plan. Members shall become vested
at the rate of twenty
percent (20%) per completed year of
service. A minimum of
one (1) completed year of service
is necessary for any
vested service.
Temp. Ord. #2086
June 1, 2005
Revised June 8, 2005
Page 23 of 34
A member who shall leave the service of the City prior to
eligibility for normal service retirement or early service
retirement, as set forth in Section 16-905(A), shall be
entitled to receive retirement benefits only upon the
attainment of age 60. Such benefits will be based on final
monthly compensation, vested percentage, and credited
service as of the date of termination. Members referred to
in this section shall also be referred to as deferred vested
members.
C. Every member shall have the right to elect to receive, in
lieu of all benefits under the Plan, a return of the
member's accumulated contributions, with interest, at the
rate of four (4%�) percent, simple interest.
D. A member who elects a lump sum return of contributions
releases and discharges the City of Tamarac and the
Retirement Plan from the right to any other benefits from
the Plan.
E. In no instance shall a member's benefits from the Plan be
less than the value of the employee's contributions, with
interest at the rate of four percent (4%) simple interest.
F. Full-time vested employees may only purchase up to four (4)
years of prior governmental or military service, provided
that such prior governmental service will not be used to
provide a retirement benefit from another publicly supported
system, except the military retirement system, when required
by law. Members purchasing prior governmental or military
service must pay the full actuarial cost of such service as
determined by the actuary for the Plan. Such service may be
purchased at any time prior to retirement or election of
BACDROP. No credited service will be granted under this
section until the purchase has been paid in full. The Plan
shall provide one cost estimate at the Plan's expense and
any additional actuarial estimates shall be at the expense
of the member purchasing the benefit and shall be paid in
full in advance. Purchased service may not be used to
establish a vested right to benefits from the Plan, but
Temp. Ord. 42086
June 1, 2005
Revised June 8, 200S
Page 24 of 34
shall count toward years of credited service for meeting
retirement eligibility and for benefit accrual purposes.
G. If an employee in a position covered by the General
Employees Pension Plan is promoted, re -categorized or
appointed to a position covered in this Plan, that person
shall become a new member of this Plan effective upon the
date of promotion, re- categorization or appointment. The
member may elect to be deemed vested in the General
Employees Pension Plan for all years of credited service in
that Plan as provided in Section 16-191(a) thereof and begin
membership in this Plan as a new member, or may elect to
purchase credit for all City service in this Plan by
transferring the employee contributions, plus interest, from
the General Employees Plan to this Plan as provided in
Section 16-198(c) and paying the full actuarial cost of the
difference in the value of the benefits transferred and the
benefits provided for under the terms of this Plan. In the
event the member elects to transfer contributions plus
interest, and purchase service in this Plan, the member
shall forfeit any credited service in the General Employees
Plan.
H. If an employee in a position covered by this Plan is
promoted, re -categorized or appointed to a position covered
in the General Employees Pension Plan, that person shall
become a new member of that Plan effective upon the date of
promotion, re- categorization or appointment. The member is
deemed vested in this Plan for all years of credited service
in this Plan.
SECTION 16-907. DEATH BENEFITS.
A. In the event of the death prior to retirement of a fully or
partially vested member, the participant's designated
beneficiary, or beneficiaries, in shares determined by the
participant not to exceed 100% of the eligible benefit in
the aggregate, shall receive a benefit payable in the form
of a fifty percent (50%-) joint and survivor benefit which
shall be immediately payable based on the benefit accrued
Temp. Ord. #2086
June 1, 200S
Revised June 8, 2005
Page 25of34
without regard to any early retirement reduction. The
survivor annuity shall pay benefits at least equal to the
member's accumulated contributions, with interest.
B. In the event of the death of a member for whom no
beneficiary has been designated, the accumulated
contributions plus interest shall be paid to the member's
estate.
C. In the event of the death of a retiree, death benefits, if
any, shall be paid in accordance with the optional form of
benefit chosen at the time of retirement.
SECTION 16-908. COMPLIANCE WITH THE INTERNAL REVENUE CODE;
EXCESS BENEFIT ARRANGEMENT.
A. It is the intention of the City and of the Board that the
Plan remain at all times a qualified plan, as that term is
defined under the Internal Revenue Code.
B. No member's annual benefit shall exceed the amounts
permitted in Section 41S of the Internal Revenue Code.
C. In no event may a member's retirement benefit be delayed
beyond the later of April ist following the calendar year in
which the member attains age seventy and one-half (70-1/2),
or April ist of the year following the calendar year in
which the member retires.
When a distribution of the participant's entire interest is
not made in a lump sum, the distribution will be made in one
or more of the following ways: over the life of the
participant; over the life of the participant and designated
beneficiary; over a period certain not extending beyond the
life expectancy of the participant; or over a period certain
not extending beyond the joint life and last survivor
expectancy of the participant and a designated beneficiary.
D. If the distribution has commenced before the participant's
Ideath, the remaining interest will be distributed at least
Temp. Ord. #2086
June 1, 2005
Revised June 8, 200S
Page 26of34
as rapidly as under the method of distribution being used as
of the date of the participant's death.
The method of distribution, if the participant dies before
distribution is commenced, must satisfy the following
requirements:
1. Any remaining portion of the participant's interest
that is not payable to a beneficiary designated by the
participant will be distributed within five (5) years
after the participant's death;
2. Any portion of the participant's interest that is
payable to a beneficiary designated by the participant
will be distributed either: (i) within five (S) years
after the participant's death; or (ii) over the life of
the beneficiary, or over a period certain not extending
beyond the life expectancy of the beneficiary,
commencing not later than the end of the calendar year
following the calendar year in which the participant
died (or, if a designated beneficiary is the
participant's surviving spouse, commencing not later
than the end of the calendar year following the
calendar year in which the participant would have
attained age seventy and one-half (70-1/2)).
Direct transfers of eligible distributions shall be made as
f ollows:
1. General.
This subsection applies to distributions made on or
after January 1, 1993. Notwithstanding any provision
of the Plan to the contrary that would otherwise limit
a distributee's election under this subsection, a
distributee may elect, at the time and in the manner
prescribed by the Board, to have any portion of an
eligible rollover distribution made directly to an
eligible retirement plan specified by the distributee
in a direct rollover.
L_
I
Temp. Ord. #2086
June 1, 2005
Revised June 8, 2005
Page 27of34
2. Definitions.
(a) Eligible Rollover Distribution. An Eligible
Rollover Distribution is any distribution of all
or any portion of the balance to the credit of a
distributee, except that an eligible rollover
distribution does not include: any distribution
that is one (1) of a series of a substantially
equal periodic payments (not less frequently
than annually) made for the life (or life
expectancy) of the distributee or the joint
lives (or joint life expectancies) of the
distributee and the distributee's designated
beneficiary, or for a specified period of ten
(10) years or more; any distribution to the
extent such distribution is required under
Section 401(a) (9) of the Internal Revenue Code;
and the portion of any distribution that is not
I includable in gross income.
(b) Eligible Retirement Plan. An Eligible
Retirement Plan is an individual retirement
account described in Section 408(a) of the
Internal Revenue Code, an Individual Retirement
Annuity described in Section 408(b) of the
Internal Revenue code, an Annuity Plan described
in Section 403(a) of the Internal Revenue Code,
or a Qualified Trust described in Section 401(a)
of the Internal Revenue Code that accepts a
distributee's eligible rollover distribution.
However, in the case of an eligible rollover
distribution to a surviving spouse, an eligible
retirement plan is an individual retirement
account or individual retirement annuity.
(c) Distributee. A Distributee includes an employee
or former employee. In addition, the employee's
or former employee's surviving spouse is a
distributee with regard to the interest of the
spouse.
Temp. Ord. #2086
June 1, 2005
Revised June 8, 2005
Page 28of34
(d) Direct Rollover. A Direct Rollover is a payment
by the Plan to the eligible retirement plan
specified by the distributee.
F. The Trustees shall be permitted to establish an unfunded,
excess benefit arrangement as provided in Section 415 of the
Internal Revenue Code to enable participants to receive the
full value vested benefits in the event that any
participant's accrued benefit or final monthly compensation,
or both, exceeds those limits permitted by the Internal
Revenue Code. The excess benefit arrangement shall be
unfunded and shall not utilize Plan assets. The Board of
Trustees, by administrative rule, shall establish the method
necessary for obtaining funding directly from the City and
to provide for the pass through of such payments to eligible
participants.
SECTION 16-909. AMENDMENT OR TERMINATION OF THE SYSTEM. I
A. It is the intention of the City and the Board that this
pension plan shall constitute an irrevocable trust and no
portion of the assets may revert to the employer until all
other obligations of the Plan, including the payment to the
last surviving member and beneficiary has been paid. No
amendment shall result in members receiving lower benefits
than those in effect on the date the member commenced
service with the City.
B. In the event of termination or partial termination of the
Plan, each participant's accrued pension benefit shall
become nonforfeitable (100 percent vested).
In the event that the Plan is terminated, the assets of the
Plan shall first be distributed to retired members and their
beneficiaries. If there is any asset value remaining after
the apportionment to retired members and their
beneficiaries, apportionment shall next be made to each
member in the service who has completed at least five (5)
years of credited service and has contributed to the Fund
for at least five (5) years and who is not otherwise
Temp. Ord. #2086
June 1, 2005
Revised June 8, 2005
Page 29of34
eligible to retire. If there is any asset value after the
apportionments to retirees and their beneficiaries and to
vested members of the Plan, apportionment shall lastly be
made in respect of each member in the service of the City in
an amount not to exceed the total value of the member's
contributions. In the event there is any asset value
remaining after full apportionment to all members and
beneficiaries of the Plan, the excess, if any, shall revert
to the City.
SECTION 16-910. NONALIENATION OF BENEFITS
The right any member or beneficiary to benefits under the
Plan or any other right accrued or accruing to any persons
under the provisions of the Article shall not be subject to
execution, garnishment, attachment, the operation of any
bankruptcy or insolvency law, legal or equitable process, or
any process of law whatsoever, and shall not be subject to
assignment, pledge, or hypothecation, unless expressly
authorized by this Article. Notwithstanding the provisions
of this section, the payment to a non -employee spouse or
child under an income deduction or child support order shall
be permissible as provided by law.
SECTION 16-911. DISTRIBUTION OF MARITAL INTERESTS IN THE PLAN.
A. In the event that the Board is served with a domestic
relations order or other legal process purporting to require
the payment of any portion of a member's benefit to another
person as a result of a dissolution of marriage, the Board
shall cause such order to be reviewed to determine
compliance with the provisions of the Plan.
B. The Board of Trustees shall be authorized to intervene in
any such dissolution of marriage proceeding to ensure that
such domestic relations order is otherwise consistent with
the distribution of an interest in a public employees
retirement plan under state law.
C, Any cost associated with the modification or correction of
such domestic relations orders shall be the responsibility
of the Plan member and payment of any such cost shall be a
Temp. Ord. #2086
June 1, 2005
Revised June 8, 2005
Page 30of34
condition precedent to the receipt of benefits from the
Plan.
SECTION 16-912. MISCELLANEOUS.
A. The Board shall have the power to examine the facts upon
which any pension has been granted under any prior or
existing law or which may be granted in the future or
obtained erroneously, fraudulently, or illegally for any
reason. The Board is empowered to purge the pension rolls
of any person who has been granted a pension under a prior
or existing law, or who is hereafter granted a benefit under
this ordinance if the granting of that pension is found to
be erroneous, fraudulent, or illegal for any reason; and to
reclassify any pensioner who has under any prior or existing
law or who may under this Ordinance be erroneously,
improperly or illegally classified.
B. Should any change or error in retirement system records be
discovered or result in any member or beneficiary receiving
from the Retirement Plan more or less than he or she would
have been entitled to receive had the records been correct,
the Board shall have the power to correct such error and, as
far as possible, adjust the payments in such a manner that
the actuarial equivalent of a benefit to which such member
or beneficiary was correctly entitled shall be paid.
C. If any member or beneficiary is a minor or is under any
other legal disability, the Board of Trustees shall have the
power to withhold payment of benefits until the Board is
presented with proof satisfactory to the Board of the
appointment of a guardian. If the Board becomes aware that
any member or beneficiary is incapable of personally
receiving and giving a valid receipt for any payment due
under the Plan, the Board shall cause notice to be given to
that participant or beneficiary of a hearing to determine
whether said benefits should continue to be paid until the
appointment of a guardian. During the pendency of any such
hearing, however, the Board may continue to pay benefits to
the member or beneficiary and that such payment shall be a
complete discharge of any liability under the Plan for such
payment.
Temp. Ord. #2086
June 1, 2005
Revised June 8, 200S
Page 31of34
SECTIONS 16-913 - 16-999. RESERVED.
Section 2. Transition of employees from the existing
def ined contribution plan and the existing def ined benef it plan
for general employees to this plan shall be accomplished as set
forth in this section. This section shall apply to persons
eligible for membership in this plan who were in any paid status
as of March 15, 200S, whether or not they remain in paid status
as of the effective date of this Plan.
Elected officials of the City shall be deemed to have been
members of this Plan since assuming office. Persons currently in
the City's defined contribution plan who elect to transfer to
this Plan on or before September 2, 2005, shall receive credited
service for all years of covered employment by contributing a sum
equal to fifty percent (5096') of the full actuarial cost. Persons
electing to transfer on or after September 3, 2005, shall be
required to pay the full actuarial cost of the prior credited
service. Persons electing to transfer from the City's defined
benefit plan for general employees to this Plan on or before
September 2, 2005 shall receive full prior credited service by
transferring accumulated contributions plus accrued interest
received by terminating membership in the City's defined benefit
plan for general employees. Persons electing to transfer on or
Temp. Ord. #2086
June 1, 2005
Revised June 8, 200S
Page 32 of 34
after September 3, 200S, shall be required to pay the full
actuarial cost of the prior credited service, less the value of
transferred contributions and accumulated interest received from
termination of membership in the prior plan. By transferring from
the General Employees Plan and terminating membership, the member
forfeits any benefits accrued in the General Employees Plan.
Payment of transfer cost may be made in a lump sum or by
rollover from another qualified retirement plan or, if permitted
by law, from an employee's deferred compensation plan or by
payment with post -tax dollars. I
Persons electing to transfer from any other City -sponsored
defined benefit or defined contribution plan to this Plan shall
not receive any additional contributions or benefit accrual in
the prior defined benefit or defined contribution plan.
In the case of a full-time employee with prior part-time
service., the portion of the benefit based on part-time service
shall be calculated by aggregating the total number of hours of
service and converting that total to completed months and years
as if the employee had worked the same number of hours on a full-
time basis. That converted number shall be the basis upon which
retirement eligibility and benefits are based. However, part -
time service will not be included in benefit calculations for any
Temp. Ord. #2086
June 1, 200S
Revised June 8, 2005
Page 33 of 34
persons electing to transfer to this Plan on or after September
3, 200S.
Persons separating from service with the City after the
effective date of this ordinance and later returning to the City
workforce shall become members of this Plan upon re-employment.
The Board of Trustees may promulgate uniform administrative
rules for the implementation of these provisions.
This Plan shall be deemed fully operational and the
transitions completed as of October 1, 200S.
Section 3. Should this ordinance or any part thereof be
declared invalid by a Court of competent jurisdiction, the
invalidity of any part of this ordinance shall not otherwise
affect the validity of the remaining provisions of this
ordinance, which shall be deemed to have been enacted without the
invalid provision.
Section 4. All ordinances or parts of ordinances in
conflict herewith are repealed to the extent of the conflict.
Section 5. It is the intention of the City Commission of
the City of Tamarac that the provisions of this ordinance shall
become and be made a part of the Code of the City of Tamarac, and
that the word "ordinance" may be changed to "section," "article,"
Temp. Ord. #2086
June 1, 200S
Revised June 8, 200S
Page 34 of 34
or such other appropriate word or phrase in order to accomplish
such intentions.
Section 6. This ordinance shall become effective
immediately upon its passage.
PASSED AND ADOPTED ON FIRST READING, this gih day of
'j L'n C —1 2005.
PASSED AND ADOPTED ON SECOND READING, this day of
,June 2005.
ATTEST:
MARION SWENSON, CMC
CITY CLERK
I HEREBY CERTIFY that
I have approved this
ORDINANCE as to form.
SAMUE-t�-§-'d—ORtIN
INTERIM CITY ATTORNEY
OE SCHREIBER, MAYOR
RECORD OF COMMISSION VOTE: Ist Reading
MAYOR SCHREIBER %I,-
DIST 1: COMM. PORTNER 4b,',er)t
DIST 2: V/M TALABISCO Ah -;,- n +-
DIST 3: COMM. SULTANOF 4,je
DIST 4: COMM. ROBERTS it-e-
RECORD OF COMMISSION VOTE: 2nd Reading
MAYOR SCHREIBER 41 e
DIST 1: COMM. PORTNER A I ip
DIST 2: V/M TALABISCO A
DIST 3: COMM. SULTANOF
DIST 4: COMM. ROBERTS
I
I
F-1
EXHIBIT A
7,
T.."�; 3CES
CITY OF TAMARAC ELECTED AND APPOINTED OFFICEW?
NON -REPRESENTED EMPLOYEES RETIREMENT PL I P11 3:47
IMPACT STATEMENT FOR O"INANCE 200$-
PART ONE: CERTIFICATtON OF THE PLAN ADMINISTRATOR
I have enclosed a copy of Ordinance 2005- of the City of Tamarac, which
ordinance establishes the City of Tamarac Elected and Appointed Officers and Non -Represented
Employees Retirement Plan as of October 1, 2005. The plan includes the following benefits,
rights, and features:
1. Monthly Accrued Benefit
For elected o& ials:
20.00% of Average Final Compensation for each completed three-year term, with a pro-
rata benefit accrual for a partial term and with the benefit limited to 80% of Average
Final Compensation
For CW mqagzgr_ and CkE attorney:
4.00% of Average Final Compensation multiplied by Credited Service, with the benefit
limited to 80% of Average Final Compensation
For all offiguiLrticipants:
3.00% of Average Final Compensation multiplied by Credited Service, with the benefit
limited to 80% of Average Final Compensation
2. Normal Retirement Age and Benefit
• Age
Age 60 with at least five years of Credited Service;
Age 57 with at least 20 years of Credited Service; or
Age 55 with at least 25 years of Credited Service
• Amount
Monthly Accrued Benefit
• Form of Payment
10-year certain and life annuity (normal form of payment); or
Other actuarially equivalent forms of payment as set forth in the ordinance
(optional)
OVote: All forms of payment guarantee at least the return of the participant's
Accumulated Contributions)
Page I
City of Tamarac Elected and Appointed Ojftcers and Non -Represented Employees Retirement Plan
Immet Statemcat for Ordinance 2005-
(continued)
I Early Retirement Age and Benefit
• Age
Age 50 with at least five years of Credited Service
• Amount
Monthly Accrued Benefit (payable at Normal Retirement Age); or
Monthly Accrued Benefit reduced by 5% for each year by which the participant's
Early Retirement Age precedes age 60 (payable at Early Retirement Age)
• Form of Payment
Same as for Normal Retirement
4. Disability Eligibility and Benefit
• Eligibility
All participants are eligible.
• Condition
The participant must be totally and permanently disabled such that he is unable to
perform his duties as a City employee.
• Amount
Monthly Accrued Benefit
• Form of Payment
Same as for Normal Retirement
5. Deferred Vested Benefit
• Age
Any age with at least one year of Credited Service
• Amount
Monthly Accrued Benefit multiplied by the Vested Percentage (payable at Normal
Retirement Age); or
Monthly Accrued Benefit multiplied by the Vested Percentage and reduced by 5%
for each year by which the participant's Early Retirement Age precedes
age 60 (payable at Early Retirement Age)
• Form of Payment
Same as for Normal Retirement
Page 2
City of Tamarac Elected and Appointed Officers and Non -Represented Employees Retirement Plan
LWact Stateme or Qrdinance 2005-
WL _ _
(continued)
6. Pre -Retirement Death Benefits
* Fully or Partially Vested Participant
Upon the death prior to retirement of a fully or partially vested participant, the
participant's beneficiary receives a Pre -Retirement Survivor Annuity equal to the
benefit that would have been payable to the participant in the form of a 50% joint
and contingent annuity had the participant survived to his earliest retirement age.
The Pre -Retirement Survivor Annuity guarantees at least the return of the
participant's Accumulated Contributions.
* Non -Vested Participant
In the case of the death of a non -vested participant prior to retirement, his
beneficiary will receive the participant's Accumulated Contributions.
7. Vested Percentage
Each participant earns a 20% vested interest in his Monthly Accrued Benefit for each
whole year of Credited Service up to five years of Credited Service
8. Average Final Compensation
Average compensation for the highest five consecutive years of service prior to the
determination, where compensation includes total cash remuneration paid for services
rendered to the City, but excludes bonuses, employer contributions to any health, dental,
disability, or related insurance program, medical or child care reimbursements, employer
contributions to a deferred compensation program under IRC section 457, and cash
payments of unused accumulated leave payable upon employment termination
9. Credited Service
The uninterrupted service, expressed in years and completed months, from the
participant's date of hire until his date of termination, retirement, or death. For purposes
of determining the Monthly Accrued Benefit, Credited Service earned prior to the
effective date of the plan is not included for participants other than elected officials
unless the participant purchases such credit by paying into the plan 50% of the full
actuarial cost thereof, In addition, participants may purchase up to four years of credit
for other prior governmental or military service by paying into the plan the full actuarial
cost thereof, provided that no other pension benefit is granted for such service by any
other governmental employer.
Page 3
City of Tamarac Elected and Appointed Officers and Non -Represented Employees Retirement Plan
Im
.Oct Statement lbr Ordinance 2005-
(continued)
10. Participation Requirement
All managerial and non -bargaining employees, as well as charter officers and elected
commissioners, of the City of Tamarac, Florida, may voluntarily participate in -the plan.
Subject to certain exceptions, those individuals who are hired on or after October 1, 2005
are required to participate in the plan.
11. Accumulated Contributions
The participant's Contributions accumulated with 4% simple interest per annum
12. Participant Contributions
10% of compensation per year; participant Contributions are deemed to be "picked -up"
by the City pursuant to Internal Revenue Code (IRC) §414(h)(2).
13. Automatic Cost -of -Living Adjustment
Effective each January 1, retirement, disability, and deferred vested benefits are
automatically increased by 2% compounded annually after the participant has been
receiving payments for at least five years.
14. Plan Effective Date
October 1, 2005
The plan's enrolled actuary, Charles T. Carr of Southern Actuarial Services Company, Inc., was
provided with a copy of the proposed ordinance. In addition, the described plan change meets
the requirements of Part VII, Chapter 112, Florida Statutes, and Section 14, Article X of the State
Constitution.
Chairman, Board of Trustees
Page 4
City of Tamarac Elected and Appointed Officers and Non -Represented Employees Retirement Plan
Impact Statement Lor OrdinanCC 2005-
(continued)
PART TWO: CERTIFICATION OF THE ENROLLED ACTUARY
Chap -ter 112 requires disclosure of the effect of changes in assumptions, methods, and plan
provisions on certain liabilities. I have determined the impact of Ordinance 2005-
as shown below.
The following table sets forth the required disclosures in connection with the plan changes which
have been described above:
Present value of future expected benefit
payments:
for active members
for terminated vested members
for retired members and
beneficiaries
total
Actuarial accrued liability
Actuarial value of assets
Unfunded actuarial accrued liability
Actuarial present value of accrued
benefits
Present value of active members':
Future salaries
Future contributions
Present value of future contributions
from the City
Total annual compensation
Minimum required contribution
(beginning of year):
Annual normal cost
Amortization payment
Total
As of
October 1, 2004
tial Valuation D
S 20,317,303
0
0
$ 20,317,303
$ 7,117,080
$ -(0)
$ 7,117,080
S Not calculated
$ 52,814,308
$ 5,281,431
$ 15,035,872
S 5,158,688
$ 714,045
$ 307,769
$ 1,021,814
Page 5
City of Tamarac Elected and Appointed Officers and Non -Represented Employees Retirement Plan
IM12rIct Statement for Qrdingnee 2005-
(continued)
This actuarial valuation and/or cost determination was prepared and completed by me or under
my direct supervision and I acknowledge responsibility for the results. To the best of my
knowledge, the results are complete and accurate and, in my opinion, the techniques and
assumptions used are reasonable and meet the requirements and intent of Part VII, Chapter 112,
Florida Statutes. There is no benefit or expense to be provided by the plan and/or paid from the
plan's assets for which liabilities or current costs have not been established or otherwise taken
into account in the valuation. All known events or trends which may require a material increase
in plan costs or required contribution rates have been taken into account in the valuation.
Respectfully submitted,
clv-,,� I,/ C-.—
Charles T. Carr, A.S.A.
Consulting Actuary
Enrolled Actuary No. 05-04927
Page 6