HomeMy WebLinkAboutBack-Up from Law DeptSec. 40-265. - Excess benefit plan.
(a) The excess retirement benefits above the limits permitted by the Internal Revenue Code shall be as
follows:
(1) Funded from the City of Miami General Fund; and
(2) Paid annually concurrently with the city's annual contribution to normal pension costs, which shall
cause the city to realize a reduction in normal pension costs in the same amount; and
Be deposited in separate accounts for each respective plan to receive the city's excess retirement
benefit contributions, which accounts shall be separate and apart from the accounts established
to receive the city's normal pension contributions for each retirement trust;
(b) The board of trustees for General Employees' and Sanitation Employees' (GESE) is appointed as the
committee to administer the Excess Benefit for the GESE retirees.
(3)
(c) The actuaries for the GESE Board of Trustees shall calculate the amounts necessary to fund the
defined benefit plans giving effect to the reductions caused by implementation of Section 415 of the
Internal Revenue Code.
(d) The excess benefits shall be paid to each eligible member of the Plans on a monthly basis in an
amount equal to the difference between the allowable pension to be paid under the Internal Revenue
Code and the amount of the defined benefit granted eligible members pursuant to the provisions set
forth in the Code.
(e) Should additional retirements occur during the year where the eligible members retirement benefit
exceeds the Section 415 limits, the GESE Board of Trustees shall calculate the additional excess
benefit amount required for the remainder of the fiscal year and should such amount exceed the
amount available from the funds provided for the fiscal year, the GESE board of trustees shall notify
the city of the additional funds required.
Upon the city's receipt of notice of the additional funds required, the city shall forward the additional
funds required. The requirement for additional funds paid by the city to fund the Excess Benefit Plan
shall be reflected as a reduction in the city's annual contribution of normal pension costs for the
following year.
(f)
(Ord. No. 12111, § 1, 9-25-01)
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