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HomeMy WebLinkAboutO-11234J-95-230 3/24/95 11234 ORDINANCE NO. AN EMERGENCY ORDINANCE AMENDING SECTIONS 40-225, 40-238, AND 40-239 OF THE CODE OF THE CITY OF MIAMI, FLORIDA, AS AMENDED, BY ENHANCING BENEFITS ONLY FOR MEMBERS OF AFSCME BARGAINING UNIT WHO ARE MEMBERS OF CITY OF MIAMI GENERAL EMPLOYEES' AND SANITATION EMPLOYEES' RETIREMENT TRUST BY INCREASING THE RETIREMENT ALLOWANCE, ESTABLISHING RULE OF 64 RETIREMENT, AND BY ADDING A NEW DEFINITION; CONTAINING A REPEALER PROVISION AND A SEVERABILITY CLAUSE; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City of Miami's administration and its employee bargaining unit, the American Federation of State, County and Municipal Employees (AFSCME), Local 1907, have conducted discussions for the fiscal years 1995 and 1996 budgetary cycles related to the Pension and Retirement Plans of the City; and WHEREAS, the administration recommends modifications of Sections 40-225, 40-238, and 40-239 of the Code of the City of Miami, Florida, relating to General Employees' retirement concerning certain membership eligibility requirements and pension benefits; and WHEREAS, it is necessary that said modifications of Code Sections 40-225, 40-238, and 40-239, Pension and Retirement Plans of the Code of the City of Miami be effective prior to the commencement of Fiscal Year 1995 - 1996 for the City of Miami to 112.14 make the required and necessary payments to its employees and officers, the payment of debts, the necessary and required purchases of goods and supplies, and to generally carry on the functions and duties of its municipal affairs; NOW, THEREFORE, BE IT ORDAINED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. Sections 40-225, 40-238, and 40-239 of the Code of the City of Miami, Florida, as amended, are hereby amended in the following particulars:l/ "Sec. 40-225. Definitions. Unless a different meaning is plainly required by i the context, the following words and phrases as used in this division shall have the following meanings: Rule of 70 shall mean a computation consisting of the sum of a member's age and length of creditable service, which sum shall permit normal service retirement upon the member's combined age and creditable service equalling at least seventy (70). Rule of 64 shall mean a computation consisting of the sum of a member's age and length of creditable service, which sum shall permit normal service retirement upon the member's combined age and creditable service equalling at least sixty-four (64). This definition is applicable only to members of the City of Miami General Employees' and Sanitation Employees' Retirement Trust but not to members of the Trust who are members of the L.I.U.N.A. Bargaining Unit. "Sec. 40-238. Paybacks for membership credit. 1/ Words and/or figures stricken through shall be deleted. Underscored words and/or figures shall be added. Remaining provisions are now in effect and remain unchanged. Asterisks indicate omitted and unchanged material. 11234 -2- i Members shall have the right to receive membership credit in the retirement plan in accordance with the following provisions: (H) Upon retirement a member in service who has continuous service may purchase up to a maximum of three (3) whole creditable service years. A member in service who has continuous service may purchase up to a maximum of three (3) whole creditable service years based upon the present value as actuarialy determined. The purchase of service years will be purchased with the employee's available leave balance at time of retirement less required withholding taxes. Upon exhausting the value of the leave balances, employees may purchase the remainder of the three (3) years by lump sum payment in cash to the Pension Trust. Upon the employee's exercise of this option, the purchase value of the employee's leave balance shall be transferred by the City to the Trust. The purchase of the three (3) whole creditable service years shall be based upon the average final compensation as defined in Section 40-225. The hourly rate for calculation of the leave balances shall be as specified under the labor agreement and or leave payoff practices. The purchase of service years under this option may not be utilized for service Rule of 64 retirement eligibility. This subsection does not a ply to members represented by the L.I.U.N.A. Baraainina Unit." "Sec. 40-239. Benefits. (A) Service retirement. (4)(c)3. Any eligible member in service employed by the City who retires under the April 1995, "window" for the 1995 Incentive Retirement Program may elect to receive an additional one -tenth of one (1) percent of the member's average final compensation for each full calendar year after the sum of the member's age and service exceeds sixty- four (64), up to a maximum credit of three (3) percent per year of service. In calculating the member's age and service for the additional one - tenth of one (1) percent, the amount of service shall not exceed twenty (20) years in the computation. However, if the number of years of 11234 -3- service needed to total sixty-four (64) when added to the member's age is less than twenty (20), that number of years of service shall be the maximum years -of -service number used in the formula to provide the one -tenth of one (1) percent per year benefit. This subsection does not apply to members represented by the L.I.U.N.A. Bargaining Unit. (B) Rule of 75 retirement; rule of 70 retirement; rule of 64 retirement. j (1)(c) Any member in service who did not withdraw from active membership in the retirement plan and who elects to retire under the April, 1995, window period for the 1995 Incentive Retirement Program, may elect service retirement on the basis of his or her combined age and creditable service equalling sixty-four (64) or more provided that the member has reached minimum vesting requirements. Such election shall be made u on written application to the board setting forth not less than ten (10) days nor more than ninety (90) days subsequent to the execution and filing thereof, the date the member desires to be retired. A member in service who has continuous service may purchase up to a maximum of three (3) whole creditable service years based upon the present value as actuarialy determined The purchase of service years will be purchased with the employee's available leave balance at time of retirement less required withholding taxes. Upon exhausting the value of the leave balances, employees may purchase the remainder of the three (3) years by lump sum payment in cash to the Pension Trust The hourly rate for calculation of the leave balances shall be as specified under the labor agreement and or leave payoff practices. The Purchase of service years under this option may not be utilized for service retirement, rule of 70 or rule of 64 retirement eligibility. This subsection does not apply to members represented by the L._I.U.N.A. Bargaining Unit. 11234 -4- (1)(d) An employee not otherwise eligible under the Rule of 64 during the window period may participate under this Retirement Incentive Program provided that: 1) employee is eligible under the Rule of 64 prior to September 30, 1995; 2) employee executes an irrevocable election to retire upon attainment of the Rule of 64; and 3) that the irrevocable election to retire be executed during the one time window period. This subsection does not apply to members represented by the L.I.U.N.A. Baraainina Unit. (2)(c) Upon rule of 64 retirement, a member who elects to retire under the April 1995 window period for the 1995 Incentive Retirement Program, shall be entitled to receive a retirement allowance equal to two and one - quarter (2.25) percent of the member's average final compensation multiplied by years of creditable service, which amount shall be paid yearly in equal monthly installments. A member eligible for rule of 64 retirement shall also be entitled to receive longevity supplements pursuant to the provisions of section 40-239(A)(4). Rule of 64 retirement is only available for a member who retires during the April, 1995, window period for the 1995 Incentive Retirement Program. This subsection does not apply to members who are represented by the L.I.U.N.A. Baraainina Unit. (3) A member eligible for rule of 75 retirementL rule of 70 retirement or rule of 64 retirement may choose any of the optional allowances available to him or her on the date of retirement, as provided in section 40-239(L). (L) Optional allowances. (1) Any member may elect to receive in lieu of the retirement allowance otherwise payable to him or her, the actuarial equivalent at that time of his or her retirement allowance in a reduced retirement allowance payable as follows, provided that no election of an optional allowance shall be effective in case a beneficiary dies within ten (10) days after the I� 11234 -5- r" election of an option as provided in this section, and further provided that such a beneficiary shall be considered as a member in service at the time of death, until the first payment on account of any benefit becomes normally due: Option 6: Any member upon service, early serviceL or rule of 75 retirement, or rule of 70 retirement or rule of 64 retirement may elect to receive benefits in one (1) of the following three (3) forms, in lieu of the retirement allowance otherwise payable to the member. The Rule of 64 retirement does not apply to members of the L.I.U.N.A Baraainina Unit. Section 2. All ordinances, Code sections, or parts of ordinances thereof in conflict herewith, insofar as they are in conflict with the provisions of this Ordinance are hereby i repealed. Section 3. If any section, sentence, clause, phrase, or word of this Ordinance is for any reason held or declared to be unconstitutional, inoperative, or void, such holding or invalidity shall not be construed to have been the intent of the Commission of the City of Miami to pass this Ordinance without such unconstitutional, invalid, or inoperative part therein, and the remainder of this Ordinance after the exclusion of such part or parts shall be deemed and held to be valid as if such parts i had not been included therein. Section 4. This Ordinance is hereby declared to be an emergency measure on the grounds of urgent public need for the preservation of peace, health, safety, and property of the City of Miami, and upon the further grounds of the necessity for the 11234 City of Miami to make the required and necessary payments to its employees and officers, the payment of debts, the necessary and required purchases of goods and supplies, and to generally carry on the functions and duties of municipal affairs. Section 5. The requirement of reading this Ordinance on two separate days is hereby dispensed with by an affirmative vote of not less than four -fifths of the members of the Commission. Section 6. This Ordinance shall become effective immediately upon its adoption. PASSED AND ADOPTED this 27th day of March , 1995. S EPHEN P. CLA K, MAYOR ATTEST: PREPARED AND APPROVED BY: 11AMON IRI RRt' ASSISTAN CI ATTORNEY APPROV AS TO FORM AND CORRECTNESS: /z r) A. QUI N JO S, I CITY ATTORry RI:bf:M2130 11234 -7- TO : IOM CITY OF MIAMI, -ORIDA INTER -OFFICE MEMORANDUM 1 Honorable Mayor and Members of t City Commission 007 Cesar H. Odio City Manager DATE : W 201995 FILE : SUBJECT : Pension Ordinance Modification Sections 40-225, 40-238 and 40-239 REFERENCES: ENCLOSURES: It is recommended that the City Commission approve the attached Ordinance amending Sections 40-225, 40-238 and 40-239 of the Miami Code by establishing a "orq-time" retirement window and providing certain membership eligiz._lity requirements and pension benefits for members of the Miami General Employees American Federation of State, County, and Municipal Employees, Local 1907, AFL-CIO. The City of Miami and the Miami General Employees American Federation of State, County, and Municipal Employees, Local 1907, AFL-CIO (AFSCME) voluntarily entered into discussions in an effort_ to identify ways to streamline City government. As a result of these discussions, AFSCME, Local 1907 has agreed to a modification of their labor agreement to provide certain pension benefits and to offer a Retirement Incentive Program under a "one-time" retirement window to bargaining unit members. The AFSCME labor agreement provides under the "one-time" retirement window the ability for bargaining unit members to retire under a "Rule -of 64" retirement and a provision for the purchase of up to a me�zimum of three whole years of service at present value with after-tax dollars utilizing the employees' leave balances. Any employee reaching "Service" or "Rule of 64" eligibility after the retirement "window" but prior. to September 30, 1995 may also participate during the retirement "window" with an irrevocable election and must retire upon attainment of "Service" or "Rule of 64." Longevity supplements and optional allowances currently provided by ordinance would be available under the Retirement Incentive Program. The purchase of up to three whole years of service with leave balances upon retirement would become a permanent benefit. r i, � 111234 /e-I Mayor and City Commission Page 2 EMERWNCY ORDINANCE This legislation has been presented to the City Commission as an emergency ordinance on the grounds of the necessity of the City to immediately implement an effective cost reduction program for the FY195 and FY196 budgetary cycles. ;ICE 11234 CRIJ uf �tamt MATTY HIRAI City Clerk April 10, 1995 Mr. Louis Tomeo Court Operations Officer 1351 N.W. 12th Street, Rm. 7-701 Miami, FL 33125 Dear Mr. Tomeo: CESAR H. ODIO City Manager Enclosed herewith please find a copy of the following Ordinances which amend the Code of the City of Miami, Florida: 11232 11233 11234 11235 Please acknowledge receipt of same by affixing your signature to the enclosed copy of this letter and return it to this office for our files. Thank you. Very truly yours, MATTY HIRAI City Clerk BY:&Sau'l-Q DEPUTY CLERK RECEIVED BY: DATE: MH:vp Enc. a/s OFFICE OF THE CITY CLERK/ 3500 Pan American Drive/P.O. Box 330708/Miami, Florida 33233-0708/(305) 250-5360/FAX(305) 858-1610 01-14-figof ;ffitamt ;;;. , , MATTY HIRAI , <, �;, CESAR H. ODIO City Clerk ��City Manager It 0 IIRII 'I ` � .I II April 10, 1995 Office of the State Attorney Attention: Rosemary Ricotta 1350 N.W. 12th Avenue Miami, FL 33136-2111 Dear Ms. Ricotta: Enclosed herewith please find a copy of the following Ordinances which amend the Code of the City of Miami, Florida: 11232 11233 11234 11235 Please acknowledge receipt of same by affixing your signature to the enclosed copy of this letter and return it to this office for our files. Thank you. Very truly yours, MATTY HIRAI City Clerk BY: DEPUTY CLERK RECEIVED BY: DATE: MH:vp Enc. a/s OFFICE OF THE CITY CLERK/ 3500 Pan American Drive/P.O. Box 330708/Miami, Florida 33233-0708/(305) 250-5360/FAX(305) 858-1610 �ti MATTY HIRAI ���� ;. CESAR H. ODIO City Clerk' ;. City Manager April 10, 1995 Ms. Becky DeNeve Vice -President - Supplements Municipal Code Corp. P.O. Box 2235 Tallahassee, FL 32304 Dear Ms. DeNeve: Enclosed herewith please find a copy of the following Ordinances which amend the Code of the City of Miami, Florida: 11232 11233 11234 11235 If I can be of any further assistance, please do not hesitate to call. Very truly yours, Valerie Puyans� Deputy Clerk Enc. a/s OFFICE OF THE CITY CLERK/ 3500 Pan American Drive/P.O. Box 330708/Miami, Florida 33233-0708/(305) 250-5360/FAX(305) 858-1610 MIAMI DAILY BUSINESS REVIEW Published Daily except Saturday, Sunday and Legal Holidays Miami, Dade County, Florida. STATE OF FLORIDA COUNTY OF DADE: Before the undersigned authority personally appeared Sockte Williams, who on oath says that she Is the Vice President of Legal Advertising of the Miami Daily Business Review ilkia Miami Review, a daily (except Saturday, Sunday and Legal Holidays) newspaper, published at Miami In Dade County, Florida; that the attached copy of advertisement, being a Legal Advertisement of Notice In the matter of CITY OF MIAMI ORDINANCE NO. 11234 In the...........;KXX;KX..................... Court, was published In said newspaper in the Issues of Apr 10, 1995 Afflant further says that the said Miami Daily Business Review Is a newspaper published at Miami In said Dade County, Florida, and that the said newspaper has heretofore been continuously published In said Dade County, Florida, each day (except Saturday, Sunday and Legal Holidays) and has been entered as second class mail matter at the post office In Miami In said Dade County, Florida, for a period of one year next preceding the first publication of the attached copy of vertisement; and afllant further says that she has nelth pa nor promised any person, firm or corporation any Isco t, rebate commission or refund for the purpose of ecu g this a rtisement for publication In the said no p or. Swam to and subscribed before me this 10 April 95 .... day of ........................I A.D. 19 4R..� ....� �;O{r-y (SEAL) _ Sookle tWlllams personally known to me. •OF ...•••• 0MCIAL NOTARY SEAL CHRRYL H MARMER CEN.f!Ate, ON NO. CC191642 'dY: i),NMISSION KXR AAR. 12,1996 CI`iY- 0�'N!1 All Interested persons Will take 1995, the City Commission of Mil ordinances: ORblNA( AN EMERGENCY,ORDINANC 238,,AND 40-239 OF THE CODE AMENDEf), ,BY ENHANCING'.B, AFSCME BARGAINING't1NIT Wl- GENERAL;EMPLOYEES_AND'. MENT'TRUST By; "'I' I'' GCTAQI ICLJIIJf] QI II�C �`AC_`RA�QC AN EMERGENCY 211yAND 40.212 OF A,SEVERABILITY CLAUSE DATE. _ Said ordinances Clerk; 3500'Pan°Ai .excluding holidays; 9 R (#2292) 0 4l10 r ���M'T" oilD --�t W C,