HomeMy WebLinkAboutO-08864Rtik: is
9/7/78
ORDINANCE NO: $ 8 6 4
AN ORDINANCE AMENDING CERTAIN SUBSECTIONS
OF THE MIAMI CITY EMPLOYEES' GENERAL
RETIREMENT PLAN (ORDINANCE 56244 MAY 2,
19564 AS AMENDED), AS APPEARING IN CObtFIED
FORM AS A PART OP CHAPTER 2 OF THE CODE OF
THE CITY OF MIAMI, FLORIDA, AS AMENDED,
MORE PARTICULARLY AMENDING SECTION 109 OF
SAID CHAPTER BY ADDING AN ADDITIONAL PRO-
VISION THERETO PROVIDING THAT ANY PROBATION-
ARY, TEMPORARY OR PERMANENT EMPLOYEE OF THE
CITY OF MIAMI WHO HAS BEEN IN CONTINUOUS
SERVICE SINCE BECOMING A MEMBER OF THE CITY'S
WORK FORCE, MAY ELECT TO PAY BACK FOR SAID
PRIOR CONTINUOUS SERVICE UP TO A MAXIMUM OF
FOUR YEARS, PROVIDED THAT SAID PRIOR CON-
TINOUS SERVICE SHALL NOT BE APPLIED TOWARD
THE REQUIREMENTS FOR ORDINARY DISABILITY
BENEFITS, FURTHER PROVIDING THAT ANY IN LINE
OF DUTY INJURY SUCH AS WOULD BE REQUIRED TO
RECEIVE ACCIDENTAL DISABILITY BENEFITS MUST
OCCUR AFTER COMPLETION OF SAID PAYBACK AT
THE HEREIN PROVIDED RATE; FURTHER, PRO-
VtDING THAT SHOULD ANY PROBATIONARY, TEM-
PORARY OR PERMANENT EMPLOYEE DECIDE TO PAY
BACK UNDER THE HEREIN SECTION, SAID PAY BACK
SHALL BE MADE USING THE EMPLOYEE'S CURRENT
RATE OF COMPENSATION, EXCLUDING INTEREST, AS
THE BASIS FOR DETERMINING THE COSTS INVOLVED;
CONTAINING A REPEALER CLAUSE, A SEVERABILITY
PROVISION AND AN EFFECTIVE DATE.
WHEREAS, the Miami City General Employees' Retirement
Plan (Ordinance No. 5624, May 2, 1956, as amended), was not included
as a portion of the Code of the City of Miami, Florida, effective
September 1, 1967, as adopted by Ordinance No. 7585 (July 25,
1967); and
WHEREAS, said Plain now exists in codified form as it
appears in Chapter 2 of the Code of the City of Miami, Florida,
1967; and
WHEREAS, any addition or amendment to said Plan can
thus be made by reference to the section designations
appear in Chapter 2 of the Code of the City of Miami,
1957, as amended;
as they
Florida,
NOW, 1ttt tttl Ottt, Bg t't ottbAtt4t b By tttP COMMt55tON Oi' tttt
CttY d1 HART, t:t.oklbA:
Section 1. The Miami City General t tttplovees' ttetiremeft
Platt (Ordinance No. 5624, May 2, 1957, as atttended) as appeata in
codified forth as a part of Chapter 2 of the Code of the City of
tidthi, Florida, 1957, ds amended, is hereby further attended in
the follotaing particulars: 1/
Section 21109, Benefits;
* * * * * * * * * * * * * * *
Paybacks
(20) Any probationary, temporary or
permanent employee of "the City of Matti- ttho
is now a member of this Plan and who has been
in continuous service since becoming a member
of the City's work force, may elect to pay
back for said prior continuous service up to
a maximum of four years, Said prior continuous
service shall not be applied toward the re-
quirements for ordinary disability benefits.
Further, any in line of duty injury such as
would be required to receive accidental dis-
ability benefits must occur after the com-
pletion of said payback at the herein pro-
vided rate. Should any probationary, tempo-
rary or permanent employee decide to pay back
under the herein section, said pay back shall
be made using the employee's current rate of
compensation, excluding interest, as the
basis for determining the costs involved.
Section 2. All ordinances, code sections, or parts there-
of in conflict herewith, insofar as they are in conflict, are
hereby 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 unconsti-
tutional, 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 had not been
included therein.
I/ Underscored words constitute the amendment proposed, Remaining
provisions of Section 2-1.09 are now in effect and remain un-
changed,
8864
Sectidt 41 The OrdVisidftd of this ordinance shall
bac tie effective dt the 120,jdy of Novothee 1978 .
PASSED ON PtlIST REAbINO TIttt ONtY this 28tH day
of SEPTEM8Ek 19)8
PASSED AND ADOPTED ON SECOND AND VINAt IlEADINO tY TtTtE
ONtY this 12tH day of OCTOBEk 1978
PREPARED AND APPROVED B :
"/„._
- \---.
ROBERT D. KLAUSNER
AS ISTANT CITY ATTORNSAt>.
AP D AS TO FORM AN
G OR F. KNOX, JR.,
CITY TORNEY
MAUkICE A. PEkkE
MAYOR
TNESS:
8864
MIAMI PIVIEVOr
ANB OM, mean,
PuMisl haat MX gem* today rad
twit Holidays
Mitintif Cade Cent', 116tititi.
§tAte Ot FL6111DA
COUNti, 'Or BABE
DAMPS th• tifteifliffrid lothatlfy parsehally
Itia,s6 Sarah WiMOMS, Who bft oath says that ma
it the Dir., Legal Adi Of the Mlaml ReVISW Slid
Dilly fteeord, a ieUy (altellit Saturday Sunday 'fie
LI*el.Holldaya) nlavlabet, Oublithed lit %Mardi 16
Dade Cdunty, Florida; that the Attached tooy of 8807.
tititherit. belhg Legal Advertiserftent or NotIca
the Matta, bf
UTY OV MUM
Rd: Ordihande No, 8864
In the tc X k toot
was published In tald newspaper Ifl the issues bf
Oct, 1/, 1918
Affialit tutther telt that the said Miami Review
and Daily Record Is a.newspaper published at Math!,
In said Dade County, Florida, and that the said hews.
paper has heretofore been continuously published In
said bade County, Florida, each day (except Saturday,
Sunday and Legal Holidays) and has been entered es
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 advertisement; and affiant further Says that
she has neither paid nor promised any potion, firm
or cor allot, any discount, rebate, commission or
tefun r the purpose of securing this advertisement
for PLIJ cation in the jeP.
r AL)
y Commission expire
MR•38
city OP MIAMI;
bA15k ti9UN1t PLA
LkOAL Nertiet
All interestedwilt lake notice that On the 121h day of Dcfaiet. JOB the
City to fhenittioh of Miami, FlOtida addpted the f0110Yrifig tilled of.
difiance:
ORDINANCE NO.1164
AN okbINANCE AMENDIND tt RUIN tUBEttioNt Or
THE MIAMI CItY EMPLOYEES' DENERAL RttIREMENt
PLAN (ORDINANCE 1624, MAY 3, 1956, At AMENDED), At
APPEARING IN CODIFIED FORM AS A PART OF
tHAPttli 3 OF 1-1E CObE oF tHE CITY oft MIAMI,
FLORIDA, ,AS, AMENDED, MO,10. PARTICULARLY._
AMENDING SECTION tee OF SAID CHAPTER ADDING
AN AbDITIONAL PROVISION THERETO PROVIDING
THAT ANY PROBATIONARY, TEMPORARY OR PERMA.
NEN? EMPLOYEE or THE CITY OF MIAMI WHO HAS
BEEN IN CONTINUOUS SERYItt'SINtE BECOMING A
MEMBER OF THE CITY'S WORK FORCE, MAY ELECT TO
PAY BACK FOR SAID PRIOR CONTINUOUS SERVICE UP
to A MAXIMUM oP FOUR YEARS, PROVIDED tHAt SAID
PRIOR CONTINUOUS stkvicE SHALL NOT BE APPLIED ,
TOWARD THE REQUIREMENTS FOR. ORDINARY
DISABILITY BENEFITS, FURTHER PROVIDING THAT
ANY IN LINE oF DUTY INJURY SUCH AS WOULD BE Re.
cauiRtb TO RECEIVE ACCIDENTAL DISABILITY '
BENEFITS MUST OCCUR AFTER COMPLETION OF SAM
PAYBACK ATTHE HEREIN PROVIDED RATE; FURTHER,
PROVIDING THAT SHOULD ANY PROBATioNARY. TEM.
PORARY OR PERMANENT EMPLOYEE DECIDE TO PAY
BACK UNDER THE HEREIN SECTION, SAID PAY BACK
SHALL BE MADE USING THE EMPLOYEE'S CURRENT
RATE OF COMPENSATION, EXCLUDING INTEREST. AS .
THE BASIS FOR DETERMINING THE COSTS INVOLVED; •
CONTAINING A REPEALER CLAUSE, A SEVERABILITY
PROVISION AND AN EFFECTIVE DATE, , •
• RALPH G. ONGIE
CITY CLERK
CITY OF MIAMI, FLORIDA
Publication of this Notice on the 17 day 01 OCtober 1978.
10/11 r M 101/53
•
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•
ME
•
TO:
Joseph Rs Grassie
City Manager
ames E. Gunderson
Director of Finance
.rri•
�s� �i�•P.;: Ilr�'kl1.4.11!::.��
+I 116 R.;'
RJLC:
September 26i 1978
Payback for Retirement
Service Credit
The Retirement Plan Board has been giving consideration to two major facets
of its retirement program. These consist of doing equity to all employees
and lastly, to provide a cost framework to enable the City to remain within
the four mills provided by Charter for pension purposes.
The first phase of this comprehensive approach has been conducted over
many months and ha been concluded with the drafting of three ordinances
for presentation to the City Commission.
The ordinances presently governing the operation of the retirement program
provide that under certain circumstances employees may receive pension
credit for service previously excluded for benefit purposes.
These ordinances allowed some members to payback for service credit, while
others were precluded from doing so. To provide parity between members,
the Retirement Plan Board authorized their actuary to conduct a study to
determine the cost associated with permitting all members to receive
credit for the entire period that they were employed with the City. The
results were as follows:
Increases in Required
City Contribution
% of
Inclusion of Amount Payroll
1. About 40 employees who $108,400 0.34%
are not Plan members
2. Laborers' Service
3. Prior Service
4. CETA Service
5. Temporary Time
6. Probationary Time
90,100
47,200
4,400
23,100
0.28
0.15
Negligible
0.01
0.07
Increase in
Unfunded Accrued
Liability
$1,180,900
2,204,500
1,410,300
134,
CITY COMMISSION
620, MEETING OF
SEP2 8197.
4-9
PrAD, FAD/al.
:/tom.....
111. 8864 •
s •
Orr
:t4T R•c)FFIC» ;71 tit,loitAhl1;1.17.d
The Honorable Members of
the _y Commission
G-org
City
Knox,
torney
u,.re. September 20 s 19 18
FILE
n16t' Proposed Ordittattces Recommended
by Retirement Platt Board
C.;:CLOSU'l1:S
The attached ordinances were recommended for passage by the
Retirement Plan Board at its most recent meeting. A cost study
for these benefits was performed and promulgated in November,
1977 by the Finance Department.
These proposed ordinances will allow persons to payback or restore
prior service credits. A "payback" refers to an individual who has
been in continuous service, but was not a member of the Retirement
Plan for the entire period of service. By "paying back" the calcu-
lated contributions, a member then receives credit for those years
of service toward retirement.
* A "restoration of prior service credit" refers to a person who left
the service of the City and has since returned. By restoring the
amount of former contributions, that employee is placed in the posi-
tion vis-a-vis the pension as if he or she had never left.
These ordinances require that paybacks and restoration be made using
the current rate of compensation. That is, more money is actually
being contributed by the employee than would have been contributed
had that employee been continuously an employee of the Retirement
Plan.
GFK/ RDK/ rb
CC:
Joseph R. Grassie
City Manager
* NOTE: "Restoration of Prior Service Credit" ordinance was not
received in time for inclusion on the September 28, 1978
Agenda, but will be included on a future agenda.
Further clarification of these items of proposed legislation
will be forthcoming prior to the September 28 meeting.
11111111111111111111111mummiiiimmEm
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0
70:
Fi70M:
s
f c se ih R. Grassie
City Manager
ames E. Gunderson
Director of Finance
r,i4 Pii•
,t:,,„rr.1
St a SEp 28Am
•
Septeinbet 26, 1978
Payback for Retirement
Service Credit
The Retirement Plan Board has been giving consideration to two major facets
of its retirement program. These consist of doing equity to all employees
and lastly, to provide a cost framework to enable the City to remain within
the four mills provided by Charter for pension purposes.
The first phase of this comprehensive approach has been conducted over
many months and ha-3 been concluded with the drafting of three ordinances
for presentation to the City Commission.
The ordinances presently governing the operation of the retirement program
provide that under certain circumstances employees may receive pension
credit for service previously excluded for benefit purposes.
These ordinances allowed some members to payback for service credit, while
others were precluded from doing so. To provide parity between members,
the Retirement Plan Board authorized their actuary to conduct a study to
determine the cost associated with permitting all members to receive
credit for the entire period that they were employed with the City. The
results were as follows:
Inclusion of
1. About 40 employees who
are not Plan members
2. Laborers' Service
3. Prior Service
4. CETA Service
5. Temporary Time
6. Probationary Time
Increases in Required
City Contribution
% of
Amount Payroll
$108,400 0.34%
90,100
47,200
4,400
23,100
0.28
0.15
Negligible
0.01
0.07 620, MEETING OF
Increase in
Unfunded Accrued
Liability
$1,180,900
2,204,500
1,410,300
134,
CITY COMMISSION
SEP2 8197•
....................
2nd f:IAONG ; .� _
/I, 8864 •
1
—
0
MM
MM
The second ordinance, currently under consideration by the City Commission,
mm
covers items 4 and 5. Adoption of this ordinance would increase the
annual cost $27,500 and the unfunded liability $755,300. As previously
pointed out by Commissioner Rose Gordon, this represents the maximum
liability created if all employees elect to buyback.
mm
TO! ,Joseph R. Grassie, City Manager
feet Payback for Retirement Service Credit
September 26, 1978
Page 2
•
MEM
The three ordinances were drafted to implement these buybacks. The first
tAas recently adopted by the City Commission (Ordinance No. 8842). This
Ordinance covered laborer service prior to 1955. It included both con-
tinuous service and periods during which members had a break in service
(prior service). Due to the latter being included, a portion of the cost
reflected under item No. 3 was applicable. Since there was no break-
down in the study relating to prior service between laborers and other
general employees, a maximum cost exposure of $147,000 annually was
presented to the City Commission, a combination of items 2 and 3 above.
The third ordinance, to be considered at the next Commission meeting,
allows all general employees to buy back for prior service. The cost
of this ordinance was included in the laborer ordinance. Together, the
three ordinances increase the required City contribution by $164,800 and
the unfunded accrued liability by $4,370,100.
These ordinances do not cover item No. 1, pertaining to 40 employees who
are not plan members. These individuals had several opportunities to join
the pension program and each time waived their rights.
The second phase of the Board's program is now under way; that is, a cost
determination by the actuary to confine benefits and costs within the
framework of the four mill special tax levy. This study will be submitted
by the actuary to the Plan Board for its action during the first week in
October.
JEG:IM:jr
1
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SEE
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MEM
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MEM
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05
:NITER-OFFIC! MOHAND!1 •1
The Honorable Hembets of
the = y Commission
G-org- F. Knox,
City �torney
DATE.
Septembet 204 1978
Proposed Ordinances Recotntnended
by Retirement Plan Board
1194:0CMt.Ea'
E tt%LGSU'2t.5:
The attached ordinances were recommended for passage by the
Retirement Plan Board at its most recent meeting. A cost study
for these benefits was performed and promulgated in November,
1977 by the Finance Department.
These proposed ordinances will allow persons to payback or restore
prior service credits. A "payback" refers to an individual who has
been in continuous service, but was not a member of the Retirement
Plan for the entire period of service. By "paying back" the calcu-
lated contributions, a member then receives credit for those years
of service toward retirement.
* A "restoration of prior service credit" refers to a person who left
the service of the City and has since returned. By restoring the
amount of former contributions, that employee is placed in the posi-
tion vis-a-vis the pension as if he or she had never left.
These ordinances require that paybacks and restoration be made using
the current rate of compensation. That is, more money is actually
being contributed by the employee than would have been contributed
had that employee been continuously an employee of the Retirement
Plan.
GFK/RDK/rb
cc: Joseph R. Grassie
City Manager
* NOTE:
"Restoration of Prior Service Credit" ordinance was not
received in time for inclusion on the September 28, 1978
Agenda, but will be included on a future agenda.
Further clarification of these items of proposed legislation
will be forthcoming prior to the September 28 meeting.
R.C.Homan