HomeMy WebLinkAboutCity of Tamarac Ordinance O-2017-003Temp. Ord. #2356
March 28, 2017
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CITY OF TAMARAC, FLORIDA
ORDINANCE NO. 0-17- J 3
AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF
TAMARAC, FLORIDA; AMENDING CHAPTER 16, PENSION AND
RETIREMENT, ARTICLE III, EMPLOYEES' PENSION PLAN,
PROVIDING FOR ELIGIBILITY OF DROP PARTICIPATION FOR
CERTAIN MEMBERS OF THE ELECTED AND APPOINTED OFFICERS
AND NON -REPRESENTED EMPLOYEES RETIREMENT PLAN;
PROVIDING FOR A SAVINGS CLAUSE; PROVIDING FOR
SEVERABILITY; PROVIDING FOR CODIFICATION AND PROVIDING
FOR AN EFFECTIVE DATE.
WHEREAS, the City of Tamarac recognizes the importance of retaining its most
qualified and exemplary employees; and
WHEREAS, the City of Tamarac wishes to allow its most tenured employees
who have dedicated their lives to public service and have successfully promoted
through the ranks the most favorable retirement benefits that they have earned and are
available;
WHEREAS, the trustees of the City of Tamarac General Employees' Pension
Trust Fund considered and are in agreement that such amendments are in the best
interests of the participants of the plan;
WHEREAS, the City has received a signed Memorandum of Understanding
(MOU) from the Federation of Public Employees (FPE) stating the Union has no
objection to the foregoing changes to the Pension Plans, attached hereto as Exhibit A;
and
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Temp. Ord. #2356
March 28, 2017
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WHEREAS, the City Commission has received, reviewed and considered an
actuarial impact statement stating that the amendments do not have an actuarial impact
on the Pension Plan, provided for herein and attached as Exhibit B.
NOW THEREFORE, BE IT ORDAINED by the City Commission of the City of
Tamarac, Florida:
Section 1: That the foregoing whereas clauses are hereby ratified and
confirmed as being true and correct and are hereby made a specific part of this
Ordinance upon adoption hereof.
Section 2: That Section 16-223 of Chapter 16, Article III, Division 4, of the City
of Tamarac Code of Ordinances, be and is hereby amended to read as follows:
Sec. 16-223. - Optional benefits.
(3) Deferred Retirement Option Plan (DROP). A DROP, as defined in this
plan, is established and shall be administered by the board of trustees of
the City of Tamarac Employees Pension Plan. Participation shall be
subject to the following terms and conditions:
a. Eligibility. An "eligible participant" of the City of Tamarac Employees'
Pension Plan, which is defined as an individual currently on full-time
work status, may elect to participate in the DROP on the first day of
any of the first twenty-four (24) consecutive months following first
attaining eligibility for an unreduced normal retirement benefit. Eligible
participants entering the DROP after the 24th month after first attaining
eligibility for an unreduced normal retirement benefit shall have DROP
eligibility reduced by one (1) month for each month in which entry is
delayed. Participants who, on the date this section takes effect, are
twenty-one (21) months or more past first attaining eligibility for an
unreduced normal retirement benefit must elect to participate in the
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Temp. Ord. #2356
March 28, 2017
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DROP within ninety (90) days of adoption of this section in order to
participate in the DROP for thirty-six (36) months; if they enter the
DROP thereafter, DROP participation shall be reduced by one (1)
month for each month by which entry is delayed.
Notwithstanding, an "eligible participant" shall also include certain
qualifying members of the Elected and Appointed Officers and Non -
Represented Employees Retirement Plan who make a one-time
irrevocable election in writing to opt out from such plan and enroll in
the Tamarac Employees' Pension Plan solely for purposes of
immediately entering the DROP. Such eligible participants shall
immediately cease to accrue any service credit in both pension plans
and their final benefit fixed as of the effective date of commencement
of DROP participation. Any such eligible participant shall be required
to satisfy the following conditions prior to transfer and acceptance in
the Tamarac Employees' Pension Plan DROP:
1) Eligible participant was previously a vested participant in the
Tamarac Employees' Pension Plan who was no longer eligible for
participation in such plan based on promotion or reclassification of
their respective employment position;
2) Eligible participant suffered no breaks in service between
participation in the Tamarac Employees' Pension Plan and
participation in the Elected and Appointed Officers and Non -
Represented Employees Retirement Plan:
3) Eligible participant is currently an active member of the Elected and
Appointed Officers and Non -Represented Employees Retirement
Plan;
4) Qualifying member has achieved Normal Retirement Age as
defined in Sec. 16-219;
Section 3: It is the intention of the City Commission and it is hereby ordained
that the provisions of this Ordinance shall become and be made part of the Code of
Ordinances of the City of Tamarac, Florida, and that the Sections of this Ordinance may
be renumbered or relettered, and the word "Ordinance" may be changed to "Section"
"Article" or such other word or phrase in order to accomplish such intention.
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March 28, 2017
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Section 4: All Ordinances or parts of Ordinances in conflict herewith are
hereby repealed to the extent of such conflict.
Section 5: If any provision of this Ordinance or the application thereof to any
person or circumstances is held invalid, such invalidity shall not affect other provisions
or applications of this Ordinance that can be given affect without the invalid provision or
application, and to this end the provisions of this Ordinance are declared to be
severable.
Section 6: This Ordinance shall become effective upon adoption, nunc pro
tunc to April 1, 2017, upon satisfaction of each of the three following requirements set
forth below having been achieved prior to second reading:
1) The City Commission received and has accepted a report establishing the
actuarial soundness of these amendments in a letter of opinion from the
Plan Actuary that the amendment has no actuarial impact; and
2) The Ordinance and impact statement have been sent to the State of
Florida Division of Retirement, and
3) The Federation of Public Employees has accepted the changes proposed
in this ordinance in writing.
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Temp. Ord. #2356
March 28, 2017
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�;
PASSED, FIRST READING this day of )2017.
PASSED, SECOND READING this day of , 2017.
/_IIIIIIIIrx•311111
XrPATRICIA TEUFEL, CMC
CITY CLERK
I HEREBY CERTIFY that
I have approved this
ORDINANCE as to form
SA EL S. GO
CITY ATTORNEY
H RR DRESSLER, MAYOR
RECORD OF COMMISSION VOTE: 1st Reading
MAYOR DRESSLER
DIST 1: COMM. BOLTON
DIST 2: COMM. GOMEZ
DIST 3: COMM. FISHMAN
DIST 4: VICE MAYOR PLACKO
.14
RECORD OF COMMISSION VOTE: 2nd Reading
MAYOR DRESSLER
DIST 1: COMM. BOLTON 611/0
DIST 2: COMM. GOMEZ
DIST 3: COMM. FISHMAN
DIST 4: VICE MAYOR PLACKO
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Words in underscored type are additions
_= SOUTHERN
_= AGUARIAL
SERVICES
March 29, 2017
(
_ `V`ED
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HUMAN IRFSOURCES
17 APR -5 PM 3: 49
Trustees of the City of Tamarac Employees' Pension Fund
c/o Ms. Maria Swanson
Director of Personnel
City of Tamarac
7525 N.W. 88t' Avenue
Tamarac, FL 33321-2401
Re: City of Tamarac Employees' Pension Plan
Ladies and Gentlemen:
POST OFFI(E Box 888W
ATLANTA, GEORGIA 30356-OW
TELEPHONE 110.39z.0980
IA(SIMILE 110.39z.2193
In response to your request, I have reviewed Temporary Ordinance No. 2356. This ordinance
changes the definition of eligible participant to include qualifying members of the Elected and
Appointed Officers and Non -Represented Employees Retirement Plan and allows them to
participate in the Deferred Retirement Option Plan (DROP). Because we already assume that
employees will choose to retire no later than their normal retirement age, by giving transferred
employees the opportunity to enter the DROP upon attainment of normal retirement age, the
ordinance does not change the cost of the plan. Therefore, we have determined that the
ordinance will have no actuarial impact on the plan.
If you have any questions, please do not hesitate to call me.
Sincerely,
Charles T. Carr
Consulting Actuary
OUR OFFICE IS 100TED AT 5zA JOPENA BOULEVARD, flOS(HTON, GEORGIA M0 8
MEMORANDUM OF UNDERSTANDING
BETWEEN THE CITY OF TAMARAC AND THE FEDERATION OF PUBLIC EMPLOYEES
This Memorandum of Understanding is entered into between the CITY OF TAMARAC (the
"CITY") and the FEDERATION OF PUBLIC EMPLOYEES (the "FPE") for the purpose of modifying an
existing Collective Bargaining Agreement between the CITY and the FPE:
WHEREAS, the CITY and the FPE have entered into a Collective Bargaining Agreement, the
term of which expires September 30, 2017 ("Agreement"); and
WHEREAS, the CITY and the FPE agree that it is necessary to modify the City of Tamarac's
General Employee Pension Plan ("the Plan") to incorporate language, which allows eligible participants a
one-time irrevocable option to opt out of the Non -Represented Employees Retirement Plan and enroll in
the Plan solely for the purpose of entering the Deferred Retirement Option Plan (DROP); and
WHEREAS, the CITY plans to adopt Temporary Ordinance 2356 on April 26, 2017 amending the
Pension Ordinance to provide eligible participants with the option to maintain retirement benefits earned
while a part of the Plan and enter DROP; and
WHEREAS, the CITY has an Actuarial Impact Statement from Southern Actuarial Services
indicating that the proposed language changes have no actuarial impact on the Plan, attached hereto as
Exhibit 1.
NOW THEREFORE, the parties agree as follows:
1. The foregoing whereas clauses are true and correct.
2. The CITY and the FPE agree that the language referencing a one-time irrevocable option
for eligible participants to remain in the Plan will be incorporated in the City's Pension Ordinance, and
The Memorandum of Understanding shall be effective April % , 2017.
4. All other terms of the Collective Bargaining Agreement expiring September 30, 2017, are
binding except where expressly modified herein or hereinafter by the CITY and the FPE.
Lt-3-I,:;,-
Date
ATTE
Patricia Teufel, CMC, City I k
APP OVED A TO L GAL FORM:\\\\X j.� AR��i���®
Offir of the tity Aft y
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ERATI OF PUBLIC EMPLOYEES
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Sil ernale, FPE Business Representative
Apx; L 3 z,01 7
Date
Alan Eichenbaum, FPE Attorney