2000-O-14
~
.........
'-'
..""
ORDINANCE NO. 2000-0-14
AN ORDINANCE OF THE CITY COUNCIL OF
EDGEW A TER, FLORIDA; AMENDING ORDINANCE 99-0-08
OF THE CITY OF EDGEWATER, FLORIDA, MODIFYING
THE POLICE RETIREMENT PLAN; BY AMENDING
ARTICLE I (FORMAT AND DEFINITIONS) SECTION 1.02
(DEFINITIONS); ARTICLE II (P ARTICIP ANT) SECTION 2.01
(ACTIVE P ARTICIP ANT); ARTICLE III (CONTRIBUTIONS)
SECTIONS 3.01A (REQUIRED CONTRIBUTIONS BY
P ARTICIP ANTS) AND 3.02 (INVESTMENT OF
CONTRIBUTIONS); ARTICLE IV (RETIREMENT
BENEFITS) SECTIONS 4.01 (ACCRUED BENEFIT), 4.02
(BENEFIT LIMIT A TION) AND 4.03 (AMOUNT OF BENEFIT
AT RETIREMENT); ARTICLE V (OTHER BENEFITS)
SECTIONS 5.01 (DEATH BENEFITS) AND SECTION 5.03
(DISABILITY BENEFITS); ARTICLE VI (WHEN BENEFITS
ST ART AND DISTRIBUTION OF BENEFITS) SECTION 6.03
(OPTIONAL FORMS OF DISTRIBUTION AND
DISTRIBUTION REQUIREMENTS); ARTICLE VII
(TERMINATION OF PLAN); ARTICLE VIII
(ADMINISTRATION OF PLAN) SECTION 8.01 (BOARD OF
TRUSTEES) AND ARTICLE IX (GENERAL PROVISIONS)
SECTION 9.10 (SMALL AMOUNTS); PROVIDING FOR THE
FILING WITH THE DIVISION OF RETIREMENT OF THE
FLORIDA DEPARTMENT OF MANAGEMENT SERVICES;
PROVIDING FOR CONFLICTING PROVISIONS,
SEVERABILITY AND APPLICABILITY; PROVIDING FOR
AN EFFECTIVE DATE AND FOR ADOPTION.
WHEREAS, the City Council of the City of Edgewater, Florida, has made the following
determinations:
1. On September 13, 1999, Council adopted Ordinance Number 99-0-08 which restated
and clarified the Police Officers' Pension Fund.
2. On adoption of Ordinance No. 99-0-08 the earlier restatement and clarification ofthe
Police Officer's Pension Fund contained in Ordinance No. 97-0-01 was repealed.
3. Florida Legislature passed Chapter 99-1 ofthe Florida Laws, which amended Chapter
Simek tluoogh passages are deleted.
Underlined passages are added.
2000-0-14
1
J'Cl..
~
..,.
...""
185, of the Florida Statutes creating minimum requirements for local Police Officer Pension Plans.
4. Chapter 99-1 of the Florida Laws requires that Specific State contributions be used
to comply with these minimum requirements and that the City of Edge water has received an amount
of$11,290.00 in these specific funds.
5. The Principal Financial Group has provided an actuarial cost estimate of the required
change, which indicates that the above amount is adequate to fund the required changes.
6. In an effort to comply with the current requirements contained in Chapter 185, Florida
Statutes, it is necessary to modify our Police Officers' Pension Fund accordingly.
NOW, THEREFORE, BE IT ENACTED by the People of the City of Edge water, Florida:
PART A.
AMENDMENT OF ORDINANCE NO. 99-0-08
Ordinance No. 99-0-08 is amended as follows:
ARTICLE I FORMAT AND DEFINITIONS
SECTION 1.02
DEFINITIONS.
ACCRUAL SERVICE means the total of an Employee's Continuous Service, expressed as whole
years and fractional parts of a year (to two decimal places) on the basis that 365 days equal one year.
Such total shall equal one year. Such total shall be equal to the period from his Employment
Commencement Date to the date of determination.
However, Accrual Service is modified as follows:
Period of Military Duty included:
A Period Military Duty shall be included as service with the Employer to the extent it has not
already been credited.
ACCRUED BENEFIT means the amount of monthly retirement benefit on the Normal Form accrued
by an Active Participant as of any date. See the ACCRUED BENEFIT SECTION of Article IV.
Stlnck tI.Jongh passages are deleted.
Underlined passages are added.
2000-0-14
2
" \
...,
....,
ACTIVE PARTICIPANT means an Eligible Employee who is actively participating in the Plan
according to the provisions in the ACTIVE PARTICIPANT SECTION of Article II.
ACTUARIAL EQUIVALENT means equality in the value ofthe aggregate amounts expected to be
received under different forms of payment based on the rates determined below. The amount of each
payment under an optional form shall be determined by multiplying the amount payable on the
Normal Form by the ration of (a) the purchase rate available under Group Contract GA 59448 for
the Normal Form, to (b) the purchase rate available under such Group Contract for the optional form
at the time benefits are determined. The benefit from a single sum on an optional form shall be the
Actuarial Equivalent of the benefit payable on the Normal Form based on the purchase rates
available under such Group Contract. This is a variable standard of actuarial equivalence which
precludes employer discretion except as provided in the AMENDMENTS SECTION of Article IX.
On and after March 1, 1992, these applicable rates will be determined using the rates of interest and
mortality (weighted .65 male and.35 female) used (as of the Annuity Starting Date) by the Pension
Benefit Guaranty Corporation for a trusteed single-employer plan to value a benefit upon termination
of an insufficient trusteed single-employer plan. In the event the basis for determining Actuarial
Equivalent is changed, Actuarial Equivalent of the Participant's Accrued Benefit on and after the
date of the change shall be determined as the greater of (a) the Actuarial Equivalent of the Accrued
Benefit as of the date of the change computed on the old basis, or (b) the Actuarial Equivalent of the
total Accrued Benefit computed on the new basis.
ANNUITY STARTING DATE means, for a Participant, the first day of the first period for which
an amount is paid as an annuity or any other form.
AVERAGE COMPENSATION means, on any given date, the average of an Employee's Monthly
Compensation for those three Compensation Years (all Compensation Years, if less than three)
which give the highest average out of the five latest Compensation Years (all Compensation Years,
if less than five) before the earlier of such given date, or his Normal Retirement Date.
In computing Average Compensation on any given date before the first Yearly Date in 1994, the Plan
will include only Compensation Years ending before such given date. In computing Average
Compensation on any given date on or after the first Yearly Date in 1994, the Plan will exclude
Compensation Years in which the Employee terminates employment with the Employer.
BENEFICIARY means the person or persons named by a Participant to receive any benefits under
this Plan upon the Participant's death. See the BENEFICIARY SECTION of Article IX.
CODE means the Internal Revenue Code of 1986, as amended.
COMPENSATION means, except as modified in this definition, the total earnings paid or made
available to an Employee by the Employer during any specified period.
StJ uck till Mgh passages are deleted.
Underlined passages are added.
2000-0-14
3
......
..."
"Earnings" in this definition means all wages as reported in the wages, tips and other compensation
box on form W-2 for Federal income tax withholding purposes, as defined under Code Section
3401(a) (for purposes of income tax withholding at the source), disregarding any rules limiting the
remuneration included as wages based on the nature or location of the employment or the services
performed. Earnings also include all other payments to an Employee in the course of the Employer's
trade or business, for which the Employer must furnish the Employee a written statement under Code
Section 6041(d) and 6051(a)(3).
Compensation shall also include elective contributions. Elective contributions are amounts
excludable from the Employee's gross income under Ceo de Sections 125, 402(a)(8), 402(h) or
403(b), and contributed by the Employer, at the Employee's election, to a Code Section 401(k)
arrangement, a simplified employee pension, cafeteria plan or tax-sheltered annuity. Elective
contributions also include Compensation deferred under a Code Section 457 plan maintained by the
Employer and Employee contributions "picked up" by a governmental entity and, pursuant to Code
Section 414(h)(2), treated as Employer contributions.
COMPENSATION YEAR mans a one-year period ending on June 30. Before the first Yearly Date
in 1994, Compensation Year means a one-year period ending on the June 30 immediately before an
Employee's Entry Date and ending on the same date of each following year on which he is an Active
Participant.
CONTINGENT ANNUITANT means an individual named by the Participant to receive a lifetime
benefit after the Participant's death according to a survivorship life annuity form of distribution.
CONTINUOUS SERVICE means, for a Participant, any period of uninterrupted service with the
Employer.
For purposes of this definitions, no interruption in service will occur because of approved periods
of absence from the Employer due to temporary lay-off; leave of absence (not to exceed one year),
of a temporary absence due to illness or injury.
CONTRIBUTIONS means
Employer Contributions
Required Contributions
State Contributions
Other Contributions
as set out in Article III, unless the context clearly indicates otherwise.
DIRECT ROLLOVER means a payment by the Plan to the Eligible Retirement Plan specified by the
Shock tluoogh passages are deleted.
Underlined passages are added.
2000-0-14
4
'-'
...,
Distributee.
DISTRIBUTEE means the Employee or former Employee. In addition, the Employee's or former
Employee's surviving spouse and the Employee's or former Employee's spouse of former spouse
who is the alternative payee under a qualified domestic relations order, as defined in Code Section
414(p), are Distributees with regard to the interest of the spouse or former spouse.
EARL Y RETIREMENT DATE. means the earliest first day of the month on or after the Participant
reaches the age of fifty (50) and attains five (5) years of service with the Employer.
ELIGIBLE RETIREMENT PLAN means an individual retirement account described in Code Section
408(a), an individual retirement annuity described in Code Section 408(b), an annuity plan described
in Code Section 403(a) or a qualified trust described in Code Section 401(a), that accepts the
Distributee's Eligible Rollover Distribution.
However, in the case of an Eligible Rollover Distribution to the surviving spouse, an Eligible
Retirement Plan is an individual retirement account or individual retirement annuity.
ELIGIBLE ROLLOVER DISTRIBUTION means any distribution of all or any portion of the balance
to the credit of the Distributee, except that an Eligible Rollover Distribution does not include:
(a) Any distribution that is one of a series of 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 years or more.
(b) Any distribution to the extent such distribution is required under Code Section 401 (a)(9).
(c) The portion of any distribution that is not includible in gross income (determined without
regard to the exclusion for net unrealized appreciate with respect to employer securities).
EMPLOYEE means an individual who is employed by the Employer.
EMPLOYER means the Primary Employer.
EMPLOYER CONTRIBUTIONS means contributions made by the Employer to fund this Plan. See
the EMPLOYER CONTRIBUTIONS SECTION of Article III.
ENTRY DATE means the date an Employee first enters the Plan as an Active Participant. See the
ACTIVE PARTICIPANT SECTION of Article II.
StltlGk t1l1ongh passages are deleted.
Underlined passages are added.
2000-0-14
5
..
.",.,
FISCAL YEAR means the Primary Employer's accounting year. The last day of the Fiscal Year is
September 30.
FUND means the Trust Fund established herein as part of the Plan.
GROUP CONTRACT means the group annuity contract or contracts into which the City of
Edgewater Police Retirement Plan Board of Trustees enters with the Insurer for the investment of
Contributions and the payment of benefits under this Plan. The term Group Contract as it is used
in this Plan is deemed to include the plural unless the context clearly indicates otherwise.
INACTIVE PARTICIPANT means a former Active Participant who has an Accrued Benefit. See
the INACTIVE P ARTICIP ANT SECTION of Article II.
INSURER means Principal Mutual Life Insurance Company and any other insurance company or
companies named by the Board of Trustees.
INVESTMENT MANAGER means any fiduciary (other than a trustee)
(a) who has the power to manage, acquire, or dispose of any assets of the Plan; and
(b) who (1) is registered as an investment adviser under the Investment Advisers Act of 1940,
or (2) is a bank, a s defined in the Investment Advisers Act of 1940, or (3) is an insurance
company qualified to perform services described in subparagraph (a) above under the laws
of more than one state.
LATE RETIREMENT DATE means the first day of any month which is after a Participant's Normal
Retirement Date and on which retirement benefits begin. If a Participant continues to work for the
Employer after his Normal Retirement Date, his Late Retirement Date shall be the earliest first day
of the month on or after he ceases to be an Employee. See the WHEN BENEFITS START
SECTION of Article VI.
MONTHLY COMPENSATION means, for any Compensation Year, 1I12th of an Employee's
Compensation for such year.
To determine Monthly Compensation if an Employee is an Employee for only part of a
Compensation Year, his Compensation for that Compensation Year shall be converted to an annual
basis as though he were employed for the full Compensation Year.
MONTHL Y DATE means each Yearly Date and the same day of each following month during the
Plan Year beginning on such Yearly Date.
Stltlck thlongh passages are deleted.
Underlined passages are added.
2000-0-14
6
......
..".,
NORMAL FORM means a straight (10) year certain and life annuity.
NORMAL RETIREMENT DATE means the earliest first day of the month on or after the date of
the Participant reaches the earlier of (i) age 55 and the date he completes 5 years of credited service
with the Employer or (ii) the date he completes 20 years of credited service with the Employer.
Unless otherwise provided in this Plan, a Participant's retirement benefits shall begin on his Normal
Retirement Date if he has ceased to be an Employee on such date. See the WHEN BENEFITS
START SECTION of Article VI.
OTHER CONTRIBUTIONS means contributions from persons or entities other than the State of
Florida, City of Edgewater, of Plan Participants.
PARTICIPANT means either an Active Participant or an Inactive Participant.
PARTICIPANT CONTRIBUTIONS means with Required Contributions as set out in Article III.
PERIOD OF MILITARY DUTY means, for an Employee.
(a) who served as a member of the armed forces of the United States, and
(b) who was reemployed by the Employer at the time when the Employee had a right to
reemployment in accordance with seniority rights as protected under Section 2021 tluough
202G of Title 38 of the U. S. Code, the Uniformed Services Employment and
Reemployement Act (USERRA) Section 4301 through 4333 of Title 38 of the U. S. Code
and Chapter 185 of the Florida Statutes,
the period oftime from the date the Employee was first absent from active work for the Employer
because of such military duty to the date the Employee was reemployed.
PLAN means the defined benefit retirement plan of the Employer set forth in this document,
including any later amendments to it.
PLAN ADMINISTRATOR means the person or persons who administer the Plan.
The Plan Administrator is the City of Edgewater Police Retirement Plan Board of Trustees. See the
BOARD OF TRUSTEES SECTION of Article VIII.
PLAN PARTICIPATION means the period oftime during which a Participant has been an Active
Participant.
PLAN YEAR means a period beginning on a Yearly Date and ending on the day before the next
Stltlck t1llotlgl. passages are deleted.
Underlined passages are added.
2000-0-14
7
'W'
.""
Yearly Date.
PRESENT VALUE means the current value of a benefit payable on a specified form and on a
specified date. The Present Value of any benefit under the terms of this Plan will be the actuarial
equivalent of the benefit payable on the Normal Form. Actuarial equivalence shall be determined
on the basis of the mortality rates specified in the definition of Actuarial Equivalent, and either the
interest rate(s) specified in the definition of Actuarial Equivalent or the Code Section 417 interest
rate(s), whichever produces the great benefit.
In addition, the amount of any distribution under the terms of this Plan will be determined in
accordance with the preceding paragraph.
The two preceding paragraphs shall not apply to the extent they would cause the Plan to fail to satisfy
the requirements of the BENEFIT LIMITATION SECTION of Article IV.
The Code Section 417 interest rate(s) are:
(a) the applicable interest rate if the Present Value of the benefit (using such rate(s)) is not in
excess of$25,000; or
(b) 120 percent of the applicable interest rate ifthe Present Value ofthe benefit exceeds $25,000
(as determined under (a) above). In no event shall the Present Value determined under this
(b) be less than $25,000.
The applicable interest rate is the interest rate(s) which would be used (as of the Annuity Starting
Date) by the Pension Benefit Guaranty Corporation for a trusteed single-employer plan to value a
benefit upon termination of an insufficient trusteed single-employer plan.
Before March 1, 1992, Present Value is determined in accordance with the provisions of the Plan
as in effect on September 30, 1989.
PRIMARY EMPLOYER means City of Edgewater, Florida.
QUALIFIED JOINT AND SURVIVOR FORM means, for a Participant who has a spouse
designated a beneficiary, an immediate survivorship life annuity, where the survivorship percentage
is 50% and the Contingent Annuitant is the Participant's spouse of the accrued benefit of the
Participant. If a Participant does not have a spouse designated beneficiary or a contingent
beneficiary, the Qualified Joint and Survivor Form means the Normal fOHn shall become part ofthe
Participant's estate.
This Qualified Joint and Survivor Form shall be at least the Actuarial Equivalent of any form of
Stltlck t1l1otl~h passages are deleted.
Underlined passages are added.
2000-0-14
8
.,
.",
benefit offered under the Plan.
QUALIFIED PRERETIREMENT SURVIVOR ANNUITY means a straight life annuity payable to
the surviving spons" beneficiary of a Participant who dies before his Annuity Starting Date. Benefits
shall be determined as if the Participant had ceased to be an Employee on the date of his death (date
he last ceased to be an Employee, if earlier) and survived to the date benefits become payable tot he
spouse and retired on that date. The monthly benefit payable to the SpOU5C beneficiary shall be
equal to the survivorship percentage of the retirement benefit that would have been payable to the
Participant if his Retirement Date had occurred on the date benefits start to the spOUSC beneficiary
and he had retired under the Qualified Joint and Survivor Form. If the Participant elects a
survivorship annuity (where the survivorship percentage is at least 50% and the Contingent
Annuitant is the Participant's 5POUSC beneficiary) and which is at least the Actuarial Equivalent of
the Qualified Joint and Survivor Form for purposes of determining the Qualified Preretirement
Survivor Annuity.
REENTRY DATE means the date a former Active Participant reenters the Plan. See the ACTIVE
PARTICIPANT SECTION of Article II.
REQUIRED CONTRIBUTIONS means nondeductible contributions required from a Participant in
order to participate in this Plan. See the REQUIRED CONTRIBUTIONS BY PARTICIPANTS
SECTION in Article III.
REQUIRED CONTRIBUTION ACCOUNT means, on any date, the total of a Participant's Required
Contributions. A Participant's Required Contribution Account shall be reduced by the amount of
any distribution of his Required Contribution Amount.
RETIREMENT DATE means the date a retirement benefit will begin and is a Participant's Early,
Normal or Late Retirement Date, as the case may be.
SOCIAL SECURITY RETIREMENT AGE means age 65 in the case of a Participant attaining age
62 before January 1,2000 (i.e., born before January 1, 1938), age 66 for a Participant attaining age
62 after December 31, 1991, and before January 1, 2017 (i.e., born after December 31, 2016 (i.e.,
born after December 31, 1954).
STATE CONTRIBUTIONS means the net proceeds of the one percent excise tax which may be
imposed by the City of Edge water, Florida upon certain casualty insurance companies on their gross
receipts of premiums from holders of policies, which policies cover property within the corporate
limits of the City of Edgewater, Florida.
TEFRA means the Tax Equity and Fiscal Responsibility Act of 1982.
StlUck tlllotl~h passages are deleted.
Underlined passages are added.
2000-0-14
9
...,
...,,;
TEFRA COMPLIANCE DATE means the date a plan is to comply with the provisions ofTEFRA.
The TEFRA Compliance Date as used in this Plan is,
(a) for purposes of benefit limitation, Code Section 415,
(I) if the plan was in effect on July I, 1982, the first day of the first limitation year which
begins after December 31, 1982, or
(2) if the plan was not in effect on July I, 1982, the first day of the first limitation year
which ends after December 31, 1982, or
(b) for all other purposes, the first Yearly Date after December 31, 1983.
TOT ALL Y AND PERMANENTLY DISABLED means a Police Officer is considered Disabled
when he or she becomes totally and permanently unable to perform usual and efficient service as a
Police Officer. A written application is made to the Board of Trustees for a Disability Pension and
the Board decides whether or not the pension is to be granted.
VESTING PERCENTAGE means the percentage used to determine that portion ofa Participant's
Accrued Benefit resulting from Employer Contributions which is nonforfeitable (cannot be lost since
it is vested).
A Participant's Vesting Percentage is shown in the following schedule opposite the number of whole
years of his Plan Participation.
PLAN PARTICIPATION
(whole years)
VESTING
PERCENTAGE
Less than 5
5 or more
o
lOa
However, the Vesting Percentage for a Participant who is an Employee on or after the earlier of (i)
the date he reaches his Normal Retirement Date or (ii) the date he meets the requirement(s) for an
Early Retirement Date, shall be 100% on such date.
VOLUNTARY DISCONTINUANCE DATE means the date a Participant fails or refuses to make
a Required Contribution.
YEARL Y DATE means February I, 1978, and each following October 1.
YEARS OF SERVICE means an Employee's Continuous Service disregarding any modifications
Stltlck thlotlgh passages are deleted.
Underlined passages are added.
2000-0- t 4
10
1lW'
..",;
which exclude service.
ARTICLE II PARTICIPATION
SECTION 2.01
ACTIVE PARTICIPANT.
(a) An Employee shall first become an Active Participant (begin active participation in the Plan)
on the earliest Monthly Date on or after October 1, 1989, on which he is an Eligible
Employee and has met the eligibility requirements below. This date is his Entry Date.
(1) He has been becomes an Employee for tmee months of the Citv.
Each Employee who was an Active Participant under the Plan on September 30, 1989, shall
continue to be an Active Participant ifhe is still an Eligible Employee on October 1, 1989,
and his Entry Date will not change.
(b) An Inactive Participant shall again become an Active Participant (resume active participation
in the Plan) on the date he again becomes an Eligible Employee. This date is his Reentry
Date.
Upon again becoming an Active Participant, he shall cease to be an Inactive Participant.
(c) A former Participant shall again become an Active Participant (resume active participation
in the Plan) on the date he again becomes an Eligible Employee. This date is his Reentry
Date.
There shall be no duplication of benefits for a Participant under this Plan because of more
than one period as an Active Participant.
ARTICLE III
CONTRIBUTIONS
SECTION 3.01A
REQUIRED CONTRIBUTIONS BY P ARTICIP ANTS.
Each Eligible Employee shall make Required Contributions as of the date he enters the Plan.
These Contributions shall be made for each pay period in which he is an Eligible Employee.
The amount of each Contribution will be equal to t% 6% of his Compensation for the pay
Stltlck tluotlgh passages are deleted.
Underlined passages are added.
2000-0-14
11
'W"
..,
period.
A Participant shall not make Required Contributions during any period he is receiving
disability payments under the DISABILITY BENEFITS SECTION of Article V or, on or after his
Normal Retirement Date.
The Participant's Required Contribution Account is fully (100%) vested and nonforfeitable
at all times.
SECTION 3.02
INVESTMENT OF CONTRIBUTIONS.
A. As part of the Plan, there is hereby established the Fund, into which shall be deposited all of
the contributions and assets whatsoever attributable to the Plan.
B. The actual custody and supervision of the Fund (and assets thereof) shall be vested in the
Board of Trustees. Payment of benefits and disbursements from the Fund shall be made by
the disbursing agent but only upon written authorization from the Board.
C. All funds and securities of the Plan may be deposited by the Board with the Finance Director
of the City of Edgewater , acting in a ministerial capacity only, who shall be liable in the same
manner and to the same extent as he is liable for the safekeeping of funds of the City.
However, any funds and securities so deposited with the Finance Director of the City shall
be clearly identified as such funds and securities of the Police Officer's Retirement Plan.
D. In order to fulfill its investment responsibilities as set forth herein, the Board may retain the
services of a custodian bank, an investment advisor registered under the Investment Advisors
Act of 1940 or otherwise exempt from such required registration, an insurance company, or
a combination of these, for the purpose of investment decisions and management. Such
investment manager shall have discretion, subject to any guidelines as prescribed by the
Board, in the investment of all Fund assets.
E. All funds and securities of the Plan may be commingled in the Fund, provided that accurate
records are maintained at all times reflecting the financial composition of the Fund, including
accurate current accounts and entries as regards the following:
1. Current amounts of Accumulated Contributions of Participants on both an individual
and aggregate account basis, and
2. Receipts and disbursements, and
3. Benefit payments, and
Stl tick t1u ongl. passages are deleted.
Underlined passages are added.
2000-0-14
12
~
.,
4. Current amounts clearly reflecting all monies, funds and assets whatsoever
attributable to contributions and deposits from the City, and
5. All interest, dividends and gains (or losses) whatsoever, and
6. Such other entries as may be properly required so as to reflect a clear and complete
financial report of the Fund.
F. The Board shall be vested with full legal title to said Fund, subject however, and in any event
to the authority and power of the City of Edgewater City Council to amend or terminate this
Fund, provided that no amendment or Fund termination shall ever result in the use of any
assets of this Fund except for the payment of regular expenses and benefits under this Plan,
except as otherwise provided herein. All contributions from time to time paid into the Fund,
and the income thereof, without distinction between principal and income, shall be held and
administered by the Board or its agent in the Fun and the Board shall not be required to
segregate or invest separately any portion of the Fund.
G. All monies paid into or held in the Fund shall be invested and reinvested by the Board in
accordance with the Board's duly adopted Investment Policy, which shall comply with the
provisions of Section 185.06 of the Florida Statutes, but the investment of all or any part of
such funds shall be limited to the following and those provisions of Section 185.06 of the
Florida Statutes:
1. Annuity and life insurance contract with life insurance companies in amounts
sufficient to provide, in whole or in part, the benefits to which all of the Participants
in the Fund shall be entitled under the provisions ofthis Plan and pay the initial and
subsequent premium thereon.
2. Time or savings accounts of a national bank, a state bank or a savings/building and
loan association insures by the Federal Deposit Insurance Corporation.
3. Obligations ofthe United States or obligations guaranteed as to principal and interest
by the government of the United States.
4. Bonds issued by the State ofIsrae1.
5. Bonds, stocks, commingled funds administered by National or State Banks or
evidence of indebtedness issued or guaranteed by a corporation organized under the
laws ofthe United States, any state or organized territory ofthe United States, or the
District of Columbia, provided that the security of the corporation is traded on a
StltlGk t1.lotlgl. passages are deleted.
Underlined passages are added.
2000-0-14
13
.....
...,;
nationally recognized exchange and holds a rating or ranking in one of the three
highest classifications by a major rating service.
6. Real Estate.
7. The Board of Trustees shall not invest more than five (5) percent of its assets in the
common stock or capital stock of anyone issuing company, nor shall the aggregate
investment in anyone issuing company exceed five (5) percent of the outstanding
capital stock of the company nor the aggregate of its investment under this
subparagraph at cost exceed thirty (30) percent of the Fund's assets.
H. The Board may retain in cash and keep unproductive of income such amount of the Fund as
it may deem advisable, having regard for the cash requirements of the Plan.
1. The Board may cause any investment in securities held by it to be registered in or transferred
into its name as Trustee or into the name of such nominee as it may direct, or it may retain
them unregistered and in a form permitting transferability, but the books and records shall
at all times show that all investments are part of the fund.
1. The Board is empowered to exercise any of the powers of an owner with respect to stocks,
bonds, or other investments comprising the Fund which it may deem to be to the best interest
of the Fund to exercise.
K. The Board shall not be required to make any inventory or appraisal or report to any court, nor
to secure any order of a court for the exercise of any power contained herein.
ARTICLE IV
RETIREMENT BENEFITS
SECTION 4.02
ACCRUED BENEFIT.
An Active Participant's monthly Accrued Benefit as of any date, subject to the modifications
below, will be equal to the product of (a) and (b) below:
(a) An amount equal to 2% of II is AvGrage Compensation
2% of average compensation multiplied by accrued service up to 10/01/1987.
(b) I lis Accrual Scr v iee on such date
3 % of average compensation multiplied by accrued service after 1 % 1/1987.
SECTION 4.02
BENEFIT LIMITATION.
Shuck ttHou~h passages are deleted.
Underlined passages are added.
2000-0-14
14
~
"'IfIII11
(a) To determine the benefit limitation set forth in this section, the following terms are defined:
Aggregate Annual Addition mean, for a Participant with respect to any Limitation Year, the sum of
his Annual Additions under all defined contribution plans of the employer, as defined in this section.
The nondeductible participant contributions which the Participant makes to a defined benefit plan
shall be treated as Annual Additions to a defined contribution plan. The Contributions the Employer,
as defined in this section, made for the Participant for a Plan Year beginning on or after March 31,
1984, to an individual medical benefit account, as defined in Code Section 415(1 )(2), under a
pension or annuity plan of the Employer, as defined in this section, shall be treated as Annual
Additions to a defined contribution plan. Also, amounts derived from contributions paid or accrued
after December 31, 1985, in Fiscal Years ending after such date, which are attributable to post-
retirement medical benefits allocated to the separate account of a key employee, as defined in Code
Section 419A(d)(3), under a welfare benefit fund, as defined in Ceode Section 419(3), maintained
by the Employer, as defined in this section, are treated as Annual Additions to a defined contribution
plan. The 25% of Compensation limit under Annual Addition does not apply to Annual Additions
resulting from contributions made to an individual medical account, as defined in Code Section
415(1 )(2), or to annual Additions resulting from contributions for medical benefits, within the
meaning of CeQde Section 419 A, after separation from service.
Annual Addition means the amount added to a Participant's account for any Limitation Year under
this Plan or another retirement plan maintained by the Employer, as defined in this section, which
may not exceed a maximum permissible amount of the lesser of (1) or (2) below:
(1) The greater of $30,000 or one-fourth of the maximum dollar limitation which applies to the
defined benefit plans. (Before the TEFRA Compliance Date, $25,000 multiplied by the cost
of living adjustment factor permitted by Federal regulations.)
(2) 25% of his Compensation, as defined in this section, for such Limitation Year.
The amount in (1) above shall not be adjusted before January 1, 1988.
The Annual Addition under any plan for a Participant with respect to any Limitation Year, shall be
equal to the sum of (3) and (4) below:
(3) Employer contributions and forfeitures credited to his account for the Limitation Year.
(4) Participant contributions made by him for the Limitation Year.
Before the first Limitation Year beginning after December 31, 1986, the amount under (4) above is
the lesser of (i) Y2 of his nondeductible participant contributions made for the Limitation Year, or (ii)
the amount, if any, of his nondeductible participant contributions made for the Limitation Year
Shtick tl.lotlgh passages are deleted.
Underlined passages are added.
2000-0-14
15
.---
~
which is in excess of six percent of his Compensation, as defined in this section, for such Limitation
Year.
Annual Benefit means a retirement benefit under the Plan payable annually in the form of a straight
ten (10) year certain and life annuity or a survivor annuity. Except as provided belo IN, where a
Participant's benefit that is payable in a form other than a straight ten (10) year certain and life
annuity shall be adjusted to the Actuarial Equivalent st1aight ten (10) year certain and life annuity
before applying the limitations of this section. The interest rate assumption used to determine the
Actuarial Equivalent shall not be less than five percent.
Compensation means compensation as defined in Article I.
F or purposes of applying the limitations of this section, Compensation for a Limitation Year is the
Compensation actually paid or made available during such Limitation Year.
Current Accrued Benefit means a Participant's Accrued Benefit under the Plan, determined as if the
Participant had separated from service as of the close of the last Limitation Year beginning before
January 1, 1987, when expressed as an annual benefit within the meaning of Code Section 415(b )(2).
In determining the amount of a Participant's Current Accrued Benefit, the following shall be
disregarded:
(1) any change in the terms and conditions of the plan after May 5, 1986; and
(2) any cost of living adjustments occurring after May 5, 1986.
Defined Benefit Dollar Limitation means $90,000 (before the TEFRA Compliance Date, $75,000
adjusted by the cost of living adjustment factor permitted by Federal regulations). Effective on
January 1, 1988, and each January 1 thereafter, the $90,000 limitation above will be automatically
adjusted by multiplying such limit by the cost ofliving adjustment factor prescribed by the Secretary
ofthe Treasury under Code Section 415( d) in such manner as the Secretary shall prescribe. The new
limitation shall apply to Limitation Years ending within the calendar year of the date of the
adjustment.
Defined Benefit Plan Fraction means, for a Participant with respect to a Limitation Year, the
quotient, expressed as a decimal, of
(1) the Participant's Project Annual Benefit as of the close of such Limitation Year under all
defined benefit plans ever maintained by the Employer, as defined in this section, divided by
(2) on and after the TEFRA Compliance Date, the lesser of (i) or (ii) below:
Stltlck tluotlgl. passages are deleted.
Underlined passages are added.
2000-0-14
16
...
.",."
(i) 1.25 multiplied by the dollar limitation determined for the Limitation Year under
Code Sections 415(b) and (d) and in accordance with (3) in the definition of
Maximum Permissible Amount, or
(ii) 1.4 multiplied by the Participant's Highest Average Compensation,
including any adjustments under Code Section 415(b).
Before the TEFRA Compliance Date this denominator is the Participant's Projected Annual
Benefit as of the close of the Limitation Year if the plane s) provided in the maximum benefit
allowable.
The Defined Benefit Plan Fraction shall be modified as follows:
If the Participant was a participant as of the first day of the first Limitation Year beginning after
December 31, 1986, in one or more defined benefit plans maintained by the Employer, as defined
in this section, which were in existence on May 6, 1986, the denominator of this fraction will not be
less than 125 percent of the sum of the Annual Benefit and the annual benefits from such planes)
which the Participant had accrued as of the close of the last Limitation Year beginning before
January 1, 1987, disregarding any changes in the terms and conditions of the plans after May 5, 1986.
The preceding sentence applies only if the defined benefit plans individually and in the aggregate
satisfied the requirements of Code Section 415 for all limitation years beginning before January 1,
1987.
Defined Contribution Plan Fraction means, with respect to a Limitation Year for a Participant who
is or has been a participant in a defined contribution plan ever maintained by the Employer, as
defined in this section, the quotient, expressed as a decimal, of
(1) the Participant's Aggregate Annual Additions for such Limitation Year and all prior
Limitation Years, under all defined contribution plans (including the Aggregate Annual
Additions attributable to nondeductible accounts under defined benefit plans and attributable
to all welfare benefit funds, as defined in Code Section 419( e)) and attributable to individual
medical accounts, as defined in Code Section 415(1)(2) ever maintained by the Employer,
as defined in this section, divided by
(2) on and after the TEFRA Compliance Date, the sum of the amount determined for the
Limitation Year under (i) or (ii) below, whichever is less, and the amounts determined in the
same manner for all prior Limitation Years during which he has been an Employee or an
employee of a predecessor employer:
(i) 1.25 multiplied by the greater of $30,000 or one-fourth of the maximum dollar
Shtick tluongh passages are deleted.
Underlined passages are added.
2000-0-14
17
.....
...."
limitation which applies for defined benefit plans determined under Code Sections
415(b) and (d), or
(ii) 1.4 multiplied by 25% ofthe Participant's Compensation, as defined in this section,
for each such Limitation Year.
Before the TEFRA Compliance Date, this denominator is the sum ofthe maximum allowable
amount of Annual Addition to his account(s) under all the planes) of the Employer, as
defined is this section, for each such Limitation Year.
The Defined Contribution Plan Faction shall be modified as follows:
If the Participant was a participant as of the first day of the first Limitation Year beginning after
December 31, 1986, in one or more defined contribution plans maintained by the Employer, as
defined in this section, which were in existence on May 6, 1986, the numerator of this fraction shall
be adjusted if the sum of the Defined Contribution Plan Fraction and Defined Benefit Plan Fraction
would otherwise exceed 1.0 under the terms of this Plan. Under the adjustment, the dollar amount
determined below shall be permanently subtracted from the numerator of this fraction. The dollar
amount is equal to the excess of the sum of the two fractions, before adjustment, over 1.0 multiplied
by the denominator of his Defined Contribution Plan Fraction. The adjustment is calculated using
his Defined Contribution Plan Fraction and Defined Benefit Plan Fraction as they would be
computed as of the end of the last Limitation Year beginning before January 1, 1987, and
disregarding any changes in the terms and conditions ofthe plans made after May 5, 1986, but using
the Code Section 415 limitation applicable to the first Limitation Year beginning on and after
January 1, 1987.
The annual addition for any Limitation Year beginning before January 1, 1987, shall not be
recomputed to treat all employee contributions as Annual Additions.
For a plan that was in existence on July 1, 1982, for purposes of determining the Defined
Contribution Plan Fraction for any Limitation Year ending after December 31, 1982, the Plan
Administrator may elect in accordance with the provisions of Code Section 415 that the denominator
for each Participant, for all Limitation Years ending before January 1, 1983, will be equal to
(1) the Defined Contribution Plan Fraction denominator which would apply for the last
Limitation Year ending in 1982 if an election under this paragraph were not made, multiplied
by
(2) a fraction, equal to (i) over (ii) below:
(i) the lesser of (A) $51,875, or (B) 1.4, multiplied by 25% of the Participant's
Stlnc,k t\llongh passages are deleted.
Underlined passages are added.
2000-0-14
18
'-"
....,
Compensation, as defined in this section, for the Limitation Year ending in 1981;
(ii) the lesser of (A) $41,500, or (B) 25% of the Participant's Compensation, as defined
in this section, for the Limitation Year ending in 1981.
The election described above is applicable only if the plan administrators under all defined
contribution plans of the Employer also elect to use the modified fraction.
Employer means any employer that adopts this Plan.
Highest Average Compensation means 100% of the average of a Participant's Compensation, as
defined in this section, during those three consecutive Limitation Years while he was an Employee,
{if employed less than three years) which give the highest average.
Limitation Year means the consecutive 12-month period within which it is determined whether or
not the limitations of Code Section 415 are exceeded. Limitation Year means each 12-consecutive
month period ending on June 30. If the Limitation Year is other than the calendar year, execution
ofthis Plan (or any amendment to this Plan changing the Limitation Y ear) constitutes the Employer's
adoption of written resolution electing the Limitation Year. If the Limitation Year is changed, the
new Limitation Year shall begin within the current Limitation Year.
Maximum Permissible Amount means, for a Participant with respect to any Limitation Year, the
lesser of
(1) the Defined Benefit Dollar Limitation, or
(2) his Highest Average Compensation for such Limitation Year.
The Maximum Permissible Amount shall be adjusted as follows:
(3) If the Participant has less than ten Years of Participation, the Defined Benefit Dollar
Limitation is reduced by one-tenth for each Year of Participation (or part thereof) less than
ten. If the Participant has less than ten Years of Service, the compensation limitation is
reduce by one-tenth for each Year of Service (or part thereof) less than ten. The adjustments
of this (3) shall be applied in the denominator of the Defined Benefit Plan Fraction based on
Years of Service. Years of Service shall include future years occurring before the
Participant's Normal Retirement Age. Such future years shall include the year which
contains the date the Participant reaches Normal Retirement Age, only if it can be reasonably
anticipated that the Participant will receive a Year of Service for such year.
(4) If the Annual Benefit of the Participant commences before the Participant's Social Security
Stmek tJ.Jongh passages are deleted.
Underlined passages are added.
2000-0-14
19
~
....,
Retirement Age, but on or after age 62, the Defined Benefit Dollar Limitation as reduced
above, shall be determined as follows:
(i) If a Participant's Social Security Retirement Age is 65, the dollar limitation for
benefits commencing on or after age 62 is determined by reducing the Defined
Benefit Dollar Limitation by 5/9 of one percent for each month by which benefits
commence before the month in which the Participant attains age 65.
(ii) If a Participant's Social Security Retirement Age is greater than 65, the dollar
limitation for benefits commencing on or after age 62 is determined by reducing the
Defined Benefit Dollar Limitation by 5/9 of one percent for each of the first 36
months and 5/12 of one percent for each of the additional months (up to 24 months)
by which benefits commence before the months of the Participant's Social Security
Retirement Age.
(5) If the Annual Benefit of a Participant commences prior to age 62, the Defined Benefit Dollar
Limitation shall be the actuarial equivalent of an Annual Benefit beginning at age 62, as
determined above, reduced for each month by which benefits commence before the month
in which the Participant attains age 62. To determine actuarial equivalence, the interest rate
assumption is five percent. Any decrease in the defined benefit Dollar Limitation determined
in accordance with this provision (5) shall not reflect the mortality decrement to the extent
that benefits will not be forfeited upon the death of the Participant.
(6) If the Annual Benefit of a Participant commences after the Participant's Social Security
Retirement Age, the Defined Benefit Dollar Limitation as reduced in (3) above, if necessary,
shall be adjusted so that it is the actuarial equivalent of an Annual Benefit of such dollar
limitation beginning at the Participant's Social Security Retirement Age. To determine
actuarial equivalence, the interest rate assumption used is five percent.
(7) The provisions of this definition shall be modified as provided in:
(i) Code Section 415(b )(2)(F) for governmental plans (within the meaning of Section
414(d)), plans maintained by organizations (other than governmental units) exempt
from tax under Subtitle A of the Code, and qualified merchant marine plans; and
(ii) Section 415(b )(2)(G) and 415(b )(2)(H) of the Code for Plan Participants who are
qualified police or firefighters; and
(iii) Code Section 415(b )(9) for Plan Participants who are commercial airline pilots.
Proiected Annual Benefit means a Participant's expected Annual Benefit under any defined benefit
StJtI\~k tIuongh passages are deleted.
Underlined passages are added.
2000-0-14
20
. '
.....
....,
planes) ever maintained by the Employer, as defined in this section. The Projected Annual Benefit
shall be determined assuming that the Participant will continue employment until the later of current
age or normal retirement age under such planes), and that the Participant's compensation for the
Limitation Year and all other relevant factors used to determine benefits under such plane s) will
remain constant for all future Limitation Years.
Year of Participation means one year (computed to fractional parts of a year) for each Plan Year for
which the following conditions are met:
(1) The Participant earns Credited Service for benefit accrual purposes, and
(2) tlhe Participant is included as a Participant under the eligibility provisions of the Plan for
at least one day ofthe Plan Year.
If these two conditions are met, the portion of a Year of Participation credited to the
Participant shall equal the amount of Accrual Service credited to the Participant for such Plan
Year. A Participant who is totally and permanently disabled within the meaning of Code
Section 415(c)(3)(C)(i) for a Plan Year shall receive a Year of Participation with respect to
that period. In addition, for a Participant to receive a Year of Participation (or part thereof)
for a Plan Year, the Plan must be established no later than the last day of such Plan Year.
In no event will more than one Year of Participation be credited for any 12-month period.
(b) The Annual Benefit otherwise payable to a Participant at any time will not exceed the
Maximum Permissible Amount.
If the benefit a Participant would otherwise accrue in a Limitation Year would produce an
Annual Benefit in excess of the Limits above, the rate of accrual will be reduced so that the
Annual Benefit equals those limits.
(c) If a Participant is, or has ever been, covered under more than one defined benefit plan
maintained by the Employer, as defined in this section, the sum ofthe Participant's Annual
Benefit and the annual benefit(s) from such other planes) shall not exceed the Maximum
Permissible Amount. If such plans do not otherwise limit the annual benefits, the rate of
accrual in the plan most recently established shall be reduced to the extent necessary so that
the total of the annual benefits payable at any time under such planes) does not exceed the
Maximum Permissible Amount.
In the case of an individual who was a participant in one or more defined benefit plans of the
Employer, as defined in this section, as of the first day of the first limitation year beginning
after December 31, 1986, the application of the limitations of this section shall not cause the
Maximum Permissible Amount for such individual under all such defined benefit plans to
Shtick t1uotlgh passages are deleted.
Underlined passages are added.
2000-0-14
21
.....
...,;
be less than the individual's Current Accrued Benefit. The preceding sentence applies only
if such defined benefit plans met the requirements of Code Section 415, for all limitation
years beginning before January 1, 1987.
If some of the Employer's defined benefit plans were not in existence on July 1, 1982, and
some were in existence on that date, the Maximum Permissible Amount which is based on
a dollar amount may differ for a Limitation Year. The sum of the Participant's Annual
Benefits from all such plans for the Limitation Year in which the dollar limit differs shall not
exceed the lesser of (1) his Highest Average Compensation, (2) $136,425, or (3) the greater
of$90,000 or the sum of the annual benefit(s) for such Limitation Year under the planes) to
which the $136,425 dollar amount applies.
(d) The limitations imposed by subsections (b) and (c) above shall not apply if, for the current
or any prior Limitation Year, the sum of the Annual Benefit payable to a Participant under
this Plan and the annual benefit(s) under all other defined benefit plans ever maintained by
the Employer, as defined in this section, does not exceed the product of (1) and (2) below:
(1) $1,000.
(2) The Participant's Years of Service or parts thereof (not to exceed ten years).
The provisions of this subsection (d) do not apply if the Employer, as defined in this section,
ever maintained a defined contribution plan (other than nondeductible employee
contributions under a defined benefit plan), a welfare benefit plan as defined in Code Section
419( e), or an individual medical account as defined in Code Section 415( 1 )(2) in which the
Participant participated.
(e) If a Participant is or has been a participant in both defined benefit and defined contribution
plans (including a welfare benefit fund, as defined in Code Section 419( e)), or an individual
medical account, as defined in Code Section 415(1)(2), ever maintained by the Employer,
as defined in this section, the sum of the Defined Benefit Plan Fraction and the Defined
Contribution Plan Fraction for any Limitation Year shall not exceed 1.0 (1.4 before the
TEFRA Compliance Date).
After all other limitations set out in the plans and funds have been applied, the following
limitations shall apply so that the sum of the Participant's Defined Benefit Plan Fraction and
Defined Contribution Plan Fraction shall not exceed 1.0 (1.4 before the TEFRA Compliance
Date). The Projected Annual Benefit shall be limited first. If the Participant's annual
benefit(s) equal his Projected Annual Benefit, as limited, then Annual Additions to the
defined contribution planes) shall be limited to amounts that will reduce the sum to 1.0 (1 A).
First, the voluntary contributions the Participant may make for the Limitation year shall be
Stltl.:.k thlOtlgh passages are deleted.
Underlined passages are added.
2000-0-14
22
'-"
~
limited. Next, in the case of a profit sharing plan, any forfeitures allocated to the Participant
shall be reallocated to remaining participants to the extent necessary to reduce the decimal
to 1.0 (104). Last, to the extent necessary, employer contributions shall be reallocated or
limited for the Limitation Year. If employer contributions are reallocated or limited, then
required and optional employee contributions to which such employer contributions were
geared shall be reduced in proportion.
If, for the Limitation Year, the Participant has an Annual Addition under more than one
defined contribution plan or welfare benefit fund or individual medical account maintained
by the Employer, as defined in this section, and such plans and welfare benefit funds and
individual medical accounts do not limit the aggregate Annual Addition to the maximum
permissible amount, any reduction above shall be made first to the profit sharing plans, then
to all other such plans and welfare benefit funds and individual medical accounts and, if
necessary, by reducing first those that were most recently allocated. However, elective
deferral contributions shall be the last contributions reduced before the welfare benefit fund
or individual medical account is reduced. The annual addition to the welfare benefit fund
and individual medical accounts shall be limited last.
(1) If a Participant's annual amount of retirement benefit is reduced because he received an
earlier distribution under the Plan which is derived from the Employer Contributions, his
benefit limitation on the date the benefit is payable shall be reduced by the excess of (1) over
(2) below:
(1) The Annual Benefit that would have been payable if he had not received an earlier
distribution provided by Employer Contributions.
(2) The reduced Annual Benefit payable.
(g) If, for the Limitation Year, a Participant has an Annual Addition, the Participant's Aggregate
Annual Addition may not exceed the maximum permissible amount.
Contributions and forfeitures which would otherwise be credited to the Participant's accounts
shall be limited to the extent necessary to meet the maximum permissible amount of
Aggregate Annual Addition. Any nondeductible voluntary contributions under this Plan and
any other retirement plans shall be limited first. Next, contributions and forfeitures under
the oth~r retirement planes) shall be limited or reduced according to the provisions of such
planes).
If, due to (Ii) an error in estimating the Participant's Compensation as defined in this section,
(ii) because forfeitures cannot be reallocated to remaining participants due to the contribution
limitations under such plans(s), (iii) because the amount of the forfeitures to be used to offset
Stltlck tluongl. passages are deleted.
Underlined passages are added.
2000-0-14
23
'-"
..""",
employer contributions under such planes) is greater than the amount of the employer
contributions due for the remaining participants, or (iv) other limited facts or circumstances,
a Participant's Aggregate Annual Addition is greater than the maximum permissible amount,
such excess amount shall be applied as follows. Nondeductible voluntary contributions will
be returned to the Participant. If after the return of nondeductible voluntary contributions an
excess amount still exists, and the Participant is an active participant under the other planes)
as of the end of the Limitation Year, the excess amount shall be used to offset employer
contributions under such planes) for him in the next Limitation Year. If after the return of
nondeductible voluntary contributions an excess amount still exists, and the Participant is not
an active participant under the planes) as of the end of the Limitation Year, the excess
amount will be held in a suspense account under the other retirement plans which will be
used to offset employer contributions for all participants in the next Limitation Year. No
employer contributions or participant contributions that would be included in the next
Limitation Year's annual addition may be made before the total that would be included in
the next Limitation y Year's Annual Addition may be made before the total suspense account
has been used or reallocated.
SECTION 4.03
AMOUNT OF BENEFIT AT RETIREMENT.
The amount of retirement benefit to be provided on the Normal Form for an Active
Participant on his Retirement Date shall be determined according to the provisions of this section.
The monthly retirement benefit shall not decrease after the Participant's Retirement Date due to any
increase in social security benefits that occur after he ceases to be an Employee.
An Active Participant's retirement benefit on his Early Retirement Date shall be equal to his
Accrued Benefit on his Early Retirement Date. actuarially reduced by no more than three percent
(3%) each year prior to his NORMAL RETIREMENT DATE.
An Active Participant's retirement benefit on his Normal Retirement Date will be equal to
his Accrued Benefit on such date.
An Active Participant's retirement benefit on his Retirement Date shall be equal to his
Accrued Benefit on such specified date.
An Active Participant's retirement benefit on his Late Retirement Date shall be equal to the
greater of (a) or (b) below:
(a) His Accrued Benefit on his Late Retirement Date.
(b) His Accrued Benefit on his Normal Retirement Date, multiplied by the factor shown
below corresponding to the number of years his Late Retirement Date follows his
Stltlck tldOtl/5h passages are deleted.
Underlined passages are added.
2000-0-14
24
'-'
.."""
Normal Retirement Date.
NUMBER OF YEARS
LATE RETIREMENT DATE
PRECEDES NORMAL
RETIREMENT DATE
FACTOR
1
2
3
4
5
6
7
8
9
10
1.0600
1.1200
1. 1900
1.2600
1.3400
1.4200
1.5000
1.5900
1.6900
1.7900
The above factors shall be prorated for a partial year (counting a partial month as a complete
month). Factors for numbers of years beyond ten shall be determined using a consistently applied
reasonable actuarially equivalent method.
An Active Participant's retirement benefit on the Normal Form shall not be less than the
greatest amount of benefit that would have been provided for him had he retired on any earlier
Retirement Date.
In any event, an Active Participant's retirement benefit on the Normal Form on his
Retirement Date will not be less that the monthly benefit on the Normal Form which is the Actuarial
Equivalent of his Required Contribution Account on such date.
The Participant's retirement benefits shall be distributed to the Participant according to the
distribution of benefits provisions of Article VI and the small amounts provision of the SMALL
AMOUNTS SECTION of Article IX. The amount of payment under any form (other than the
Normal Form) shall be determined as provided under the OPTIONAL FORMS OF DISTRIBUTION
AND DISTRIBUTION REQUIREMENTS SECTION of Article VI.
ARTICLE V OTHER BENEFITS
SECTION 5.01
DEATH BENEFITS.
If a Participant dies before his Annuity Starting Date, death benefits shall be determined
StltlGk tl.lott2,l. passages are deleted.
Underlined passages are added.
2000-0-14
25
.....,
..""",
under subsections (a) and (b) below.
(a) Qualified Preretirement Survivor Annuity;
A qualified Preretirement Survivor Annuity shall be payable if the following requirements
are met:
(1) The Participant is survived by a spouse to \lVhom he \lVa5 eontinuousl, mauicd
throughout the ollc-yeM period ending designated beneficiary on the date he dies.
(2) The Participant's Vesting Percentage or Required Contribution Account on the date
of his death was greater than zero.
Ifthe requirements above are met on the date the Participant dies, a Qualified Preretirement
Survivor Annuity shall be payable. The spouse designated beneficiary may elect to start
benefits on any first day of the month on or after the earliest date retirement benefits could
have been paid to the Participant ifhe had ceased to be an Employee on the date of his death
and survived to retire. Benefits must start by the date the Participant would have been age
70 lIz. If the spouse designated beneficiary dies before the Qualified Preretirement Survivor
Annuity starts, the only death benefit payable from his Accrued Benefit is that provided in
(b) below.
If a single-sum death benefit would otherwise be payable in (b) below, the monthly benefit
payable to the spouse designated beneficiary under the Qualified Preretirement Survivor
Annuity shall not be less than the monthly benefit which is the Actuarial Equivalent of the
single-sum death benefit at the date benefits start.
If the Participant elects to have the single-sum death benefit in (b) below paid to his
Designated Beneficiary after the requirements above are met or if the spouse designated
beneficiary waives the Qualified Preretirement Survivor Annuity by electing to have the
single-sum death benefit in (b) below paid to himself as Beneficiary after the requirements
above are met, the Qualified Preretirement Survivor Annuity shall be reduced. The amount
of the reduction shall be equal to the monthly benefit which is the Actuarial Equivalent of
what would have been the single-sum death benefit at the date benefits start.
(b) Single sum death benefit:
If the requirements of subsection (a) above have not been met on the date a Participant dies,
a single-sum death benefit equal to his Required Contribution Account on the date he died
shall be payable to the Participant's Designated Beneficiary. If the requirements of
subsection (a) above have been met on the date such Participant dies and the Qualified
Stl tick till otl!\h passages are deleted.
Underlined passages are added.
2000-0-14
26
'-'
....",
Preretirement Survivor Annuity has not been waived, but the Participant's 5pouse designated
beneficiary dies before the Qualified Preretirement Survivor Annuity starts, this single-sum
death benefit, determined as ofthe date of the 5pou5e's designated beneficiary's death, shall
be paid to the spouse's Designated Beneficiary.
Before a single-sum death benefit will be paid on account of the death of a Participant who
would have met all the requirements in (a) above if he had had a 5pou5e designated
beneficiary on the date of his death, it must be established to the satisfaction of a plan
representative that there is no 5pouse designated beneficiary.
If a Participant dies on or after his Normal Retirement Date and before his Annuity Starting
Date and such Participant is survived by a 5pou5e to \'\Ihom he \'\1M continuously malIied tmoughout
the onc-'Yea1 period ending designated beneficiary on the date of his death, the death benefit shall be
payable in like manner as provided under (a) and (b) above.
If a Participant dies on or after his Normal Retirement Date and before his Annuity Starting
Date and such Participant is not survived by a spou5e to whom he \'\1M continuously manied
th10 ughotrt the onc-, car period ending designated beneficiary on the date of his death, the provisions
of subsections (a) and (b) shall not apply. Instead, the death benefit shall be the preservation of
retirement option death benefit. This death benefit is the death benefit which would have been
payable to the Participant's Beneficiary or Contingent Annuitant ifthe Participant's Retirement Date
had occurred on the date he died. The optional form of distribution elected according to the
provisions of the ELECTION PROCEDURES SECTION of Article VI before the Participant's death
is the form in effect for determining the death benefit. For purposes of this death benefit only, an
election of an optional form of distribution shall be a qualified election even if it is not made within
90 days of the date retirement benefits would have begun if it means all of the other requirements
for a qualified election. The automatic form of distribution for retirement benefits under the
AUTOMATIC FORMS OF DISTRIBUTION SECTION of Article VI shall be in effect if an election
has not been made or an election is revoked without a subsequent election according to the
provisions of the ELECTION PROCEDURES SECTION of Article VI. Any death benefit payable
shall be subject to the distribution limitations of the OPTIONAL FORMS OF DISTRIBUTION
AND DISTRIBUTION REQUIREMENTS SECTION of Article VI.
If, after any death benefit above is distributed in a single sum, the Present Value of the
remaining Qualified Preretirement Survivor Annuity payable under (a) above is $3,500 or less, the
spouse designated beneficiary may receive such Present Value in a single-sum payment in lieu of
the Qualified Preretirement Survivor Annuity. It will be distributed only if the spouse designated
beneficiary so elects.
Any death benefit after Annuity Starting Date will be determined by the form of retirement
benefit in effect on a Participant's Annuity Starting Date.
Shtick tltlotlgh passages are deleted.
Underlined passages are added.
2000-0-14
27
.......
...",
SECTION 5.03
DISABILITY BENEFITS.
A Police Officer is considered Disabled when he or she becomes totally and permanently
unable to perform useful and efficient service as a Police Officer. Members are covered for service
incurred Disability from date of hire. Members are covered for non-service incurred disability
following the completion of five (5) years of service.
A written application is made to the Board of Trustees for a Disability Pension and the Board
decides whether or not the pension is to be granted. The Board of Trustees shall required Petitioner
to submit to an evaluation by a medical doctor, all expenses being paid by the Board of Trustees.
If the Pension is granted and it is determined the Disability is Service Incurred, the benefit
amount will be the Accrued Benefit as of the Date of Determination, but not less than 42% of the
Police Officer's average final compensation. for ten (0) years certain and life thereafter. If it is
determined the Disability is non-service incurred, the benefit will be the Accrued Benefit as of the
Date of Determination, but not less than 25% of the Police Officer's average final compensation. for
ten (10) years certain and life thereafter. This bcnefit will be supplemcnted by a disability insuranee
paid for by the City which will inst11e the individual no less than 60% ofthGir compensation.
Any condition or impairment of a Police Officer caused by Heart Disease resulting in death
or Total Disability is presumed to have been suffered in the line of duty unless the contrary is shown
by competent evidence.
Each Police Officer who is claiming disability benefits will establish, to the satisfaction of
the Board, that such disability was not the result of:
A. Excessive or habitual use of drugs, intoxicants, alcohol, or tobacco products~
B. Injury or disease sustained while willfully and illegally participating in fights, riots
or civil insurrections;
C. Injury or disease while committing a crime;
D. Injury or disease while serving in the Armed Forces;
E. Injury or disease after his employment as a Police Officer with the City of Edge water
has terminated or while working for an employer other than the City of Edgewater;
F. Failure to maintain minimum physical standard conditions.
A Retired Disabled Police Officer is subject to periodic medical examinations as directed by
the Board to determine whether a disability continues.
ARTICLE VI
WHEN BENEFITS START AND DISTRIBUTION OF BENEFITS
SECTION 6.03
OPTIONAL FORMS OF DISTRIBUTION AND DISTRIBUTION
Stltlck thlotlgh passages are deleted.
Underlined passages are added.
2000-0-14
28
.......
..""",
REQUIREMENTS.
(a) For purposes of this section, the following terms are defined:
Designated Beneficiary means the individual who is designated as the beneficiary under the
Plan in accordance with Code Section 40l(a)(9) and the proposed regulations thereunder.
Distribution Calendar Year means a calendar year for which a minimum distribution is
required. For distributions beginning before the Participant's death, the first Distribution
Calendar Year is the calendar year immediately preceding the calendar year which contains
the Participant's Required Beginning Date. For distributions beginning after the
Participant's death, the first Distribution Calendar Year is the calendar year in which
distributions are required to begin pursuant to (h) below.
Joint and Last Survivor Expectancy means the joint and last survivor expectancy calculated
using the attained age ofthe Participant (or Designated Beneficiary) as ofthe Participant's
(or Designated Beneficiary's) birthday in the applicable calendar year. The applicable
calendar year shall be the Distribution Calendar Year. If annuity payments commence before
the Required Beginning Date, the applicable calendar year is the year such payments
commence. Joint and Last Survivor Expectancy is computed by use of the expected return
multiples in Table VI of section 1.72-9 of the Income Tax Regulations.
Life Expectancy means the life expectancy calculated using the attained age of the
Participant (or Designated Beneficiary) as of the Participant's (or Designated Beneficiary's)
birthday in the applicable calendar year. The applicable calendar year shall be the
Distribution Calendar Year. If annuity payments commence before the Required Beginning
Date, the applicable calendar year is the year such payments commence. Life Expectancy
is computed by use of the expected return multiples in Table V of section 1.72-9 of the
Income Tax Regulations.
Required Beginning Date means, for a Participant, the later of the April 1 following the
calendar year in which a Participant attains age 70 12 or the Aprill ofthe year following the
calendar year in which retirement occurs.
(b) The optional forms of retirement benefit shall be the following: a straight life annuity; single
life annuities with certain periods of five, ten or fifteen years; and survivorship life annuities
with survivorship percentages of 50,662/3. 75 or 100. The benefit payable on any optional
annuity form available above (other than the Normal Form) shall be the Actuarial Equivalent
of the benefit that would otherwise be payable on the Normal Form.
Election of an optional form is subject to the qualified election provisions of Article VI.
Stlnck thlongh passages are deleted.
Underlined passages are added.
2000-0-14
29
,.,
..".,
Any annuity contract distributed shall be nontransferable. The terms of any annuity contract
purchased and distributed by the Plan to a Participant or spouse shall comply with the
requirements of this Plan.
(c) The optional forms of death benefit are any annuity that is an optional form of retirement
benefit.
(d) Subject to the AUTOMATIC FORMS OF DISTRIBUTION SECTION of Article VI, joint
and survivor annuity requirements, the requirements of this section shall apply to any
distribution of a Participant's interest and will take precedence over any inconsistent
provisions of this Plan. Unless otherwise specified, the provisions of this section apply to
calendar years beginning after December 31, 1984.
All distributions required under this section shall be determined and made in accordance with
the proposed regulations under Code Section 401 (a)(9), including the minimum distribution
incidental benefit requirement of section 1.401(a)(9)-2 of the proposed regulations.
(e) Required Beginning Date. The entire interest of a Participant must be distributed or begin
to be distributed no later than the Participant's Required Beginning Date.
(f) Limits on Distribution Periods. As of the first Distribution Calendar Year, distributions, if
not made in a single sum, may only be made over one of the following periods (or
combination thereof):
(1) the life of the Participant,
(2) the life of the Participant and a Designated Beneficiary,
(3) a period certain not extending beyond the Life Expectancy of the Participant, or
(4) a period certain not extending beyond the Joint and Last Survivor Expectancy of the
Participant and a Designated Beneficiary.
(g) Determination of amount to be distributed each year.
(1) If the Participant's interest is to be paid in the form of annuity distributions under the
Plan, payment under the annuity shall satisfy the following requirements:
(i) the annuity distributions must be paid in periodic payments made at intervals
not longer than one year;
Stltlck tluough passages are deleted.
Underlined passages are added.
2000-0-14
30
,..,
"""'"
(ii) the distribution period must be over a life (or lives) or over a period certain
not longer than a Life Expectancy (or Joint and Last Survivor Expectancy)
described in Code Section 401 (a)(9)(A)(ii) or Code Section 40 1 (a)(9)(B)(iii),
whichever is applicable;
(iii) the Life Expectancy (or Joint and Last Survivor Expectancy) for purposes of
determining the period certain shall be determined without recalculation of
Life Expectancy;
(iv) once payments have begun over a period certain, the period certain may not
be lengthened even if the period certain is shorter than the maximum
permitted;
(v) payments must eighter be nonincreasing or increase only as follows:
(a) with any percentage increase in a specified and generally recognized
cost-of-living index;
(b) to the extent of the reduction to the amount of the Participant's
payments to provide for a survivor benefit upon death, but only if the
Beneficiary whose life was being used to determine the distribution
period described in (f) above dies and the payments continue
otherwise in accordance with (f) above over the life of the Participant;
(c) to provide cash refunds of employees contributions upon the
Participant's death; or
(d) because of an increase in benefits under the Plan.
(vi) if the annuity is a life annuity (or a life annuity with a period certain not
exceeding 20 years), the amount which must be distributed on or before the
Participant's Required Beginning Date (or, in the case of distributions after
the death of the Participant, the date distributions are required to begin
pursuant to (h) below) shall be the payment which is required for one
payment interval. The second payment need not be made until the end ofthe
next payment interval even if that payment interval ends in the next calendar
year. Payment intervals are the period for which payments are received. E.g.,
bimonthly, monthly, semi-annually, or annually.
If the annuity is a period certain annuity without a life contingency (or is a
life annuity with a period certain exceeding 20 years) periodic payments for
Stltl.:k t1l1otlgh passages are deleted.
Underlined passages are added.
2000-0-14
31
~
..."
each Distribution Calendar Year shall be combined and treated as an annual
amount. The amount which must be distributed by the Participant's Required
Beginning Date (or, in the case of distributions after the death of the
Participant, the date distributions are required to begin pursuant to (h) below)
is the annual amount for the first Distribution Calendar Year. The annual
amount for other Distribution Calendar Years, including the annual amount
for the calendar year in which the Participant's Required Beginning Date (or
the date distributions are required to begin pursuant to (h) below) occurs,
must be distributed on or before December 31 of the calendar year for which
the distribution is required.
(2) Annuities purchased after December 31, 1988, are subject to the following additional
conditions:
(i) Unless the Participant's spouse is the Designated Beneficiary, if the
Participant's interest is being distributed in the form of a period certain
annuity without a life contingency, the period certain as of the beginning of
the first Distribution Calendar Year may not exceed the applicable period
determined using the table set forth in Q&A A-5 of section 1.401(a)(9)-2 of
the proposed regulations.
(ii) If the Participant's interest is being distributed in the form of a joint and
survivor annuity for the joint lives of the Participant and a nonspouse
Beneficiary, annuity payments to be made on or after the Participant's
Required Beginning Date to the Designated Beneficiary after the Participant's
death must not at any time exceed the applicable percentage of the annuity
payment for such period that would have been payable to the Participant
using the table set forth in Q&A A-6 of section 4.01(a)(9)-2 of the proposed
regulations.
(iii) Transitional rule. If payment under an annuity which complies with (1)
above begins prior to January 1, 1989, the minimum distribution
requirements in effect as of July 27, 1987, shall apply to distributions from
this Plan, regardless of whether the annuity form of payment is irrevocable.
This transitional rule also applies to deferred annuity contracts distributed to
or owned by the employee prior to January 1, 1989, unless additional
contributions are made under the Plan by the Employer with respect to such
contract.
(iv) Ifthe form of distribution is an annuity made in accordance with this (g), any
additional benefits accruing to the Participant after his Required Beginning
Stll1ck till ol1gh passages are deleted.
Underlined passages are added.
2000-0-14
32
.,..
...,
Date shall be distributed as a separate and identifiable component of the
annuity beginning with the first payment interval ending in the calendar year
in which such amount accrues.
(v) Any part of the Participant's interest which is in the form of an individual
account shall be distributed in a manner satisfying the requirements of Code
Section 401(a)(9) and the proposed regulations thereunder.
(h) Death Distribution Provisions.
(1) Distribution beginning before death. If the Participant dies after distribution of his
interest has begun, the remaining portion of such interest will continue to be
distributed at least as rapidly as under the method of distribution being used prior to
the Participant's death.
(2) Distribution beginning after death. If the Participant dies before the distribution of
his interest begins, distribution of the Participant's entire interest shall be completed
by December 31 of the calendar year containing the fifth anniversary of the
Participant's death except to the extent that an election is made to receive
distributions in accordance with (i) or (ii) below:
(i) If any portion of the Participant's interest is payable to a Designated
Beneficiary, distributions may be made over the life or over a period certain
not greater than the Life Expectancy of the Designated Beneficiary
commencing on or before December 31 of the calendar year immediately
following the calendar year in which the Participant died;
(ii) If the Designated Beneficiary is the Participant's surviving spouse, the date
distributions are required to begin in accordance with (i) above shall not be
earlier than the later of (a) December 31 of the calendar year immediately
following the calendar year in which the Participant died and (b) December
31 ofthe calendar year in which the Participant would have attained age 70
K
If the Participant has not made an election pursuant to this (2) by the time of his
death, the Participant's Designated Beneficiary must elect the method of distribution
no later than the earlier of (a) December 31 of the calendar year in which
distributions would be required to begin under this (h), or (b) December 31 of the
calendar year which contains the fifth anniversary of the date of death of the
Participant. If the Participant has no Designated Beneficiary, or if the Designated
Beneficiary does not elect a method of distribution, distribution of the Participant's
Stltlck tluongh passages are deleted.
Underlined passages are added.
2000-0-14
33
...,
,.."
entire interest must be completed by December 31 of the calendar year containing the
fifth anniversary ofthe Participant's death.
(3) For purposes of (2) above, if the surviving spouse dies after the Participant, but
before payments to such spouse begin, the provisions of(2) above, with the exception
of (ii) therein, shall be applied as if the surviving spouse were the Participant.
(4) For purposes of this (h), any amount paid to a child of the Participant will be treated
as if it had been paid to the surviving spouse if the amount becomes payable to the
surviving spouse when the child reaches the age of majority.
(5) For the purpose of this (h), distribution Qf a Participant's interest is considered to
begin on the Participant's Required Beginning Date (or, if (3) above is applicable, the
date distribution is required to begin to the surviving spouse pursuant to (2) above).
If distribution in the form of an annuity described in (g) above irrevocably
commences to the Participant before the Required Beginning Date, the date
distribution is considered to begin is the date distribution actually commences.
ARTICLE VII
TERMINATION OF PLAN
The Employer expects to continue the Plan indefinitely but reserves the right to terminate the
Plan in whole or in part at any time upon giving written notice to all parties concerned and in
compliance with the requirement of Section 185.361 of the Florida Statutes.
A Participant shall be fully (100%) vested in his Accrued Benefit upon termination of the
Plan. Upon complete termination of Plan, no further Employees shall become Participants, and no
further Contributions shall be made except as may be required by any governmental agency to which
the Plan's termination is subject.
This Plan is not subject to Title IV of the Employee Retirement Income Security Act of 1974
(ERISA), benefits are not insured by the Pension Benefit Guaranty Corporation, and the Participant's
recourse will be limited to plan assets. However, the assets of the Plan that are available to provide
benefits shall be allocated and applied as of the effective date oftermination of Plan according to any
rules, regulations, interpretations, or opinions implementing said Title IV or any other equitable
method as determined by the Plan Administrator and agreed upon by the Insurer.
No part of the Plan assets shall be paid to the employer at any time, except that, after the
satisfaction of all liabilities under the Plan, any assets remaining will be paid to the Employer. The
payment may not be made if it would contravene any provision of law.
ARTICLE VIII
ADMINISTRATION OF PLAN
StltlGk tl.lot1~h passages are deleted.
Underlined passages are added.
2000-0-14
34
..,
~
SECTION 8.01
BOARD OF TRUSTEES.
A. The sole and exclusive administration of and the responsibility for the proper operation of
the Plan and for making effective the provisions of this resolution are hereby vested in a
Board of Trustees. The Board of Trustees is hereby designated as the Plan Administrator.
B. The Board of Trustees shall consist of five (5) Trustees, two of whom, unless otherwise
prohibited by law, shall be legal residents of the City, who shall be appointed by the City of
Edgewater City Council and two of whom shall be Members of the City of Edgewater Police
Department who shall be elected by a majority of the Police Officers who are Members of
the Plan. The fifth Trustee, who shall also be a legal resident of the City of Edge water, shall
be chosen by a majority of the previous four Trustees as provided for herein and such
person's name shall be submitted to the City of Edge water City Council. Upon receipt of the
fifth person's name, the City of Edge water City Council shall, as a ministerial duty, appoint
such person to the Board of Trustees as its fifth Trustee. The fifth Trustee shall have the
same rights as each of the other four Trustees appointed or elected as herein provided and
shall serve a two (2) year term unless he sooner vacates the office. Each City Council
appointed Trustee shall serve as Trustee for a period of two (2) years unless he sooner
vacates the office or is sooner replaced by the City of Edgewater City Council at whose
pleasure he shall serve. Each Police Officer Trustee shall serve as Trustee for a period oftwo
(2) years, unless he sooner leaves the employment of the City as a Police Officer or otherwise
vacates his office as Trustee, whereupon a successor shall be chosen in the same manner as
the departing Police Officer Trustee. Each Trustee may succeed himself in office. The
Board shall establish and administer the nominating and election procedures for electing the
fifth Trustee and Officers of the Board of Trustees.
C. The Board shall meet at least quarterly each year.
D. The Board shall be a legal entity with, in addition to other powers and responsibilities
contained herein, the power to bring and defend lawsuits of every kind, nature, and
description.
E. The City Attorney shall give advise to said Board of Trustees in all matters pertaining to their
duties in the administration of the Plan whenever requested; and shall represent and defend
said board as its attorney in all suits and actions at law or in equity that may be brought
against it and bring all suits and actions in its behalf that may be required or determined upon
by said Board. However, if the Board of Trustees so elects, it may employ independent legal
counsel at the pension fund's expense for the purposes contained herein, together with such
other professional, technical, or other advisers as the Board deems necessary.
F. The Trustees shall annually, by a majority vote, elect a Chairman and a Secretary from
Stltlck tl.1otlgh passages are deleted.
Underlined passages are added.
2000-0-14
35
.....
...."
among: their members. The Secretary of the Board shall keep a complete minute book of the
actions, proceedings, or hearings of the Board and shall comply with all Secretary duties
provided in Section 185.06(3) of the Florida Statutes.
G. The Trustees shall not receive any compensation as such, but may receive expenses and per
diem as provided by Florida law.
H. Each Trustee shall be entitled to one vote on the Board. Three (3) affirmative votes shall be
necessary for any decision by the Trustees at any meeting of the Board. A Trustee shall have
the right to abstain from voting as the result of a conflict of interest provided that Trustee
complies with the provisions of Section 112.3143, Florida Statutes.
I. The Board of Trustees shall engage such actuarial, accounting, legal, and other services as
shall be required to transact the business of the Plan. The compensation of all persons
engaged by the Board and all other expenses of the Board necessary for the operation of the
Plan shall be paid from the Pension Fund at such rates and in such amounts as the Board
shall agree.
J. The duties and responsibilities of the Board shall include, but not necessarily be limited to
the following:
1. To construe the provisions ofthe Plan and determine all questions arising thereunder.
2. To determine all questions relating to eligibility and participation.
3. To determine and certify the amount of all retirement allowances or other benefits
hereunder.
4. To establish uniform rules and procedures to be followed for administrative purposes,
benefit applications and all matters required to administer the Plan.
5. To distribute to Participants, at regular intervals, information concerning the Plan.
6. To receive and process all applications for benefits.
7. To authorize all payments whatsoever from the Plan, and to notify the disbursing
agent, in writing, of approved benefit payments and other expenditures arising
through operation of the Plan.
8. To have performed actuarial duties. independent consultant duties (as found in
Section 195.06 of the Florida Statutes) and valuations, at least as often as required
StI tick till otlgh passages are deleted.
Underlined passages are added.
2000-0-14
36
..,.
.",.,
by law, and make recommendations regarding any and all changes in the provisions
of the Plan.
9. Annually on or before March 15th the Trustees must submit the following information
on the State of Florida Division of Retirement:
(a) A certified copy of each and every instrument constituting or evidencing the
Plan.
(b) An independent audit by a Certified Public Accountant for the most recent
fiscal year of the City of Edgewater showing a detailed listing of the assets
and a statement of all income and disbursements during the year. Such
income and disbursements must be reconciled with the assets at the beginning
and end ofthe year.
(c) A certified statement listing the investments of the plan and a description of
the methods used in valuing the investments.
(d) A statistical exhibit showing the total number of policemen, the number
included in the plan, and the number ineligible classified according to the
reasons for their being ineligible.
(e) A statement of the amount the municipality and other income sources have
contributed toward the plan or will contribute toward the plan for the current
calendar year.
When any of these items would be identical with the corresponding item submitted
for a previous year, it is not necessary for the Trustees to submit duplicate
information ifthey make reference to the item in such previous year's report.
These duties and responsibilities shall not be interpreted to authorize the Board to
amend the Plan. The Plan shall only be amended upon approval of the City Council
K. Where any action which the Board is required to take or any duty or function which it is
required to perform either under the terms herein or under the general law applicable to it as
Trustee under this resolution can reasonably be taken or performed only after receipt by it
from a Participant, the City, or any other entity, of specific information, certification,
direction or instructions, the Board shall be free of liability in failing to take such action or
perform such duty or function until such information, certification, direction or instruction
has been received by it.
Stltlck tIll (',t1gh passages are deleted.
Underlined passages are added.
2000-0-14
37
...,
.."
L. The Board shall sustain no liability whatsoever for the sufficiency of the Fund to meet the
payments and benefits herein provided for.
M. In any application to or proceeding or action in the courts, only the Board shall be a
necessary party, and no Participant or other person having an interest in the Efund shall be
entitled to any notice or service of process. Any judgment entered in such a proceeding or
action shall be conclusive upon all persons.
bN. Any of the foregoing powers and functions reposed in the Board may be performed or carried
out by the Board through duly authorized agents provided that the Board at all times
maintains continuous supervision over the acts of any such agent; provided further, that legal
title to said Fund shall always remain in the Board.
ARTICLE IX
GENERAL PROVISIONS
SECTION 9.10
SMALL AMOUNTS.
If the monthly retirement income payable to a Participant is less than $100.00 or if the
Present Value of the Participant's vested Accrued Benefit is less than hM ncvCl cxceedcd $J,500
$5,000.00, such Present Value shall be payable in a single sum as of the Participant's Retirement
Date or the date he ceases to be an Employee for any reason other than death. If the Participant's
vested Accrued Benefit is zero on the date he ceases to be an Employee for any reason other than
death, he shall be deemed to have received a single-sum payment of the Present Value of his vested
Accrued Benefit on such date. This is a small amounts payment. Such small amount payment shall
be made to the Participant or the Participant's designated beneficiary. Such small amounts payment
shall result in all of a Participant's Accrued Benefit being disregarded and is in full settlement of all
benefits otherwise payable. If the Present Value of the Qualified Preretirement Survivor Annuity
derived from the Participant's Accrued Benefit and the Participant's Account has never exceeded
$3,500 $5,000.00, the Present Value of any death benefit shall be payable in a single sum as of the
date the Participant dies if such Present Value is not more than $J,500 $5,000.00. This is a small
amounts payment. Such small amounts payment shall be made to the Participant's Beneficiary
(spouse if the death benefit is payable to the spouse). Such small amounts payment is in full
settlement of the death benefit otherwise payable.
No other small amounts payments shall be made.
PART B.
FILING WITH THE DIVISION OF RETIREMENT.
Upon adoption, a copy of this Ordinance shall be filed with the Division of Retirement ofthe
Stltlck tldotlgh passages are deleted.
Underlined passages are added.
2000-0-14
38
'W'
...,
Florida Department of Management Services.
PART C. CONFLICTING PROVISIONS.
All conflicting ordinances and resolutions, or parts thereof in conflict with this ordinance,
are hereby superseded by this ordinance to the extent of such conflict.
PART D. SEVERABILITY AND APPLICABILITY.
If any portion of this ordinance is for any reason held or declared to be unconstitutional,
inoperative, or void, such holding shall not affect the remaining portions of this ordinance. If this
ordinance or any provisions thereof shall be held to be inapplicable to any person, property, or
circumstance, such holding shall not affect its applicability to any other person, property, or
circumstance.
PART E. EFFECTIVE DATE.
This ordinance shall take effect upon adoption.
PART F. ADOPTION.
After Motion by Councilwoman Rhodes and Second by Councilman Vincenzi, the vote on
the first reading of this ordinance held on August 21,2000, is as follows:
AYE NAY
Mayor Donald A. Schmidt
~
Councilman James P. Brown
~
Councilman Dennis A. Vincenzi
-1L
Councilwoman Harriet E. Rhodes
-1L
Councilwoman Judy Lichter
-1L
StJtlGk thlotlgh passages are deleted.
Underlined passages are added.
2000-0-14
39
E
After Motion by and Second by 4 .4, �--u&*LL,�, the vote on the
second reading of this ordinance was as follows:
AYE NAY
Mayor Donald A. Schmidt
Councilman James P. Brown
Councilman Dennis A. Vincenzi
Councilwoman Harriet E. Rhodes
_ (�
Councilwoman Judy Lichter
X
PASSED AND DULY ADOPTED this I I' day of September, 2000.
ATTEST:
ShackMietTl passagesare deleted.
Underlined passages are added.
2000-0-14
T
CITY COUNCIL OF THE
CITY OF EEDGEoWATTE�R, FLORIDA
Ry:.///-O��"/
Donald A. Schmidt
Mayor
Robin L. Matusick
Legal Assistant