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05-03-1999m Agenda/Pension 5-3-99 ooo(c,-) ACTION AGENDA Board of Trustees of the Employees' Pension Fund May 3, 1999 1. Call to Order - 9:02 a.m. 2. Approval of Minutes: 4/12/99 & 3/26/99 joint meeting with PAC - Approved as submitted. 3. Request for acceptance into membership: Vince Kirkland, Marianna Chmiei, Nicholas Fritz, Thomas Lulek, Kenneth Euler, David Goldberg, Thomas Dawe, Melissa Harris & Steven Carrao - Approved. 4. Regular Pensions to be granted: David H. Main, Zerry Littles, Richard Helphinstine, Kenneth Donagan & Robert G. Jones - Approved. 5. Pensions to be vested: Rhett Morgan & John Tucker - Approved. 6. Request to buy back previous pension service credit: Leonard Marotta - Continued to 6/1/99. 7. Request to buy back previous pension service credit: David Krieger - Continued to 6/ 1 /99. 8. Other Business - None. 9. Adjourn - 9:25 a.m. Meeting Date: Approved by Trustees CITY OF CLEARWATER EMPLOYEES' PENSION PLAN PENSION ADVISORY COMMITTEE TO: Pension Trustees FROM: Pension Advisory Committee SUBJECT: Recommendation for Acceptance into Pension Plan DATE: April 8, 1999 As Trustees of the City of Clearwater Employees' Pension Fund, you are hereby notified that the employee(s) listed below have been duly examined by a local physician and each has been designated as a "first class risk". The employment of these individuals brings the number of FTE's as of this date to 1659.2 out of 1750.0 budgeted positions (including the City Commission). These employees are eligible for pension membership as noted in the Pension Eligibility Date column below, and it is the recommendation of the Pension Advisory Committee that they be accepted into membership. Pension Elig. Name,Job. Class, & Dept./Div. Hire Date Date Vince Kirkland, Custodial Worker/General Support Services 12/21 /98 2/15/99 Marianna Chmiel, Custodial Worker/Marine 8/17/98 2/27/99 Nicholas Fritz, Maintenance Worker I/Solid Waste 3/15/99 3/15/99 Thomas Lulek, Police Recruit/Police 3/15/99 3/15/99 Kenneth Euler, Police Recruit/Police 3/15/99 3/15/99 David Goldberg, Police Recruit/Police 3/15/99 3/15/99 Thomas Dawe, Police Recruit/Police 3/15/99 3/15/99 Melissa Harris, Police Recruit/Police 3/15/99 3/15/99 Steven Carrao, Police Recruit/Police 3/15/99 3/15/99 * originally hired 12/21 /98 as part-time; transferred to full-time and eligible for pension as of 2/1 5/99 * * originally hired 8/17/98 as part-time; transferred to full-time and eligible for pension as of 2/27/99 C-t .00 Tension Havisory 1-7itteem;nairv r Nil a fi Trustees of the Employees' Pension Plan Agenda Cover Memorandum +i-n4 ,Agenda Item # Meeting Date: 5/3/99 SUBJECT/RECOMMENDATION: David H. Main, Solid Waste Equipment Operator, Solid Waste Department; Zerry Littles, Public Services Technician 11, Public Works Department; Richard L. Helphinstine, Mechanic II, General Support Services Department; Kenneth H. Donagan, Police Sergeant, Police Department; and Robert G. )ones, Firefighter/Driver Operator, Fire Department, be granted regular pensions under Section(s) 2.393 and 2.397 of the Employees' Pension Plan as approved by the Pension Advisory Committee. 19 and that the appropriate officials be authorized to execute same. SUMMARY: David H. Main, Solid Waste Equipment Operator, Solid Waste Department, was employed by the City on October 7, 1974, and his pension service credit is effective on that date. His pension will be effective July 1, 1999. Based on an average salary of approximately $35,107 per year over the past five years, the formula for computing regular pensions, and Mr. Main's selection of the Life Annuity, this pension will approximate $25,377 annually. Zerry Littles, Public Services Technician II, Public Works Department, was employed by the City on August 2, 1976, and his pension service credit is effective on that date. His pension will be effective May 1, 1999. Based on an average salary of approximately $29,248 per year over the past five years, the formula for computing regular pensions, and Mr. Littles' selection of the joint & Survivor Annuity, this pension will approximate $18,229 annually. Richard L. Helphinstine, Mechanic 11, General Support Services Department, was employed by the City on April 9, 1979, and his pension service credit is effective on that date. His pension will be effective May 1, 1999. Based on an average salary of approximately $35,132 per year over the past five years, the formula for computing regular pensions, and Mr. Helphinstine's selection of the 75% Joint & Survivor Annuity, this pension will approximate $19,566 annually. Reviewed by: Originating Department: Costs: Commission Action: Legal NA HUMAN RESOIJR ES $ ? Approved Budget NA 6- Tota.' ? Approved w/Conditions Purchasing NA User Department: ? Denied Risk Mgmt. NA Current Fiscal Year ? Continued to: Is NA Funding Source: ACM ? Capital Improvement: Other NA Advertised: ? Operating: Date: ? Other: Attachments: Pension Paper: Submitted by: ? Not Required Appropriation Code Affected Parties: 646-07410-514100-585-000 ? Notified ? None City Manager ? Not Required 0 Printed on recycled paper A Regular Pensions Page 2 May 3, 1999 Kenneth H. Donagan, Police Sergeant, Police Department, was employed by the City on September 11, 1974, and his pension service credit is effective on that date. His pension will be effective April 1, 1999. Based on an average salary of approximately $55,752 per year over the past five years, the formula for computing regular pensions, and Mr. Donagan's selection of the joint & Survivor Annuity, this pension will approximate $37,631 annually. Robert G. Jones, Firefighter/Driver Operator, Fire Department, was employed by the City on August 28, 1978, and his pension service credit is effective on that date. His pension will be effective April 1, 1999. Based on an average salary of approximately $40,335 per year over the past five years, the formula for computing regular pensions, and Mr. Jones' selection of the 50% Joint & Survivor Annuity, this pension will approximate $23,426 annually. Section 2.393 (p) provides for normal retirement eligibility when a participant has reached age 55 and completed twenty years of credited service or has completed 30 years of credited service. Mr. Main, Mr. Littles, and Mr. Helphinstine qualify under the age 55 and 20 years of service criteria. Section 2.393 (p) also provides for normal retirement eligibility when a participant has completed twenty years of credited service in a type of employment described as "hazardous duty" and further specifically defines service as a Police Sergeant and Firefighter/Driver-Operator as meeting the hazardous duty criteria. Mr. Donagan and Mr. Jones qualify under the hazardous duty criteria. S " 9 =' per' SATE ?? Trustees of the Employees' Pension Plan Agenda, Cover Memorandum Benda Item # Meeting Date: 5/3/99 SUBJECT/RECOMMENDATION: Rhett Morgan, Police Department, and John B. Tucker, Parks & Recreation Department, be allowed to vest their pensions under Section(s) 2.397 and 2.398 of the Employees' Pension Plan as approved by the Pension Advisory Committee. 19 and that the appropriate officials be authorized to execute same. SUMMARY: Rhett Morgan, Police Officer, Police Department, was employed by the City on April 3, 1989, and his pension service credit is effective on that date. John B. Tucker, Groundskeeper I, Parks & Recreation Department, was employed by the City on March 3, 1975, and his pension service credit is effective on that date. The Employees' Pension Plan provides that should an employee cease to be an employee of the City of Clearwater after completing ten or more years of creditable service (pension participation), then such employee shall acquire a vested interest in the retirement benefits. Vested pension payments commence on the first of the month following the month in which the employee normally would have been eligible for retirement. Section 2.393 (p) provides for normal retirement eligibility when a participant has completed twenty years of credited service in a type of employment described as "hazardous duty" and further specifically defines service as a Police Officer as meeting the hazardous duty criteria. Section 2.393 (p) also provides for normal retirement eligibility when a participant has reached age 55 and completed twenty years of credited service or has completed 30 years of credited service. Mr. Morgan would have completed at least twenty years of service as a Police Officer on April 3, 2009. His pension will be effective on May 1, 2009. Mr. Tucker would have completed at least thirty years of service on March 3, 2005. His pension will be effective on April 1, 2005. These requests to vest pensions were approved by the Pension Advisory Committee on April 8, 1999. Reviewed by: Originating Department: Costs: Commission Action: Legal NA HUMAN RESOURCES $ ? Approved Budget NA Total ? Approved w/Conditions Purchasing NA User Department: ? Denied Risk Mgmt. NA Current Fiscal Year ? Continued to: Is NA Funding Source: ACM ? Capital Improvement: Other NA Advertised: ? Operating: Date: ? other: Attachments: Pension Paper: Submitted by: ? Not Required Appropriation Code Affected Parties: 646-07410-514100-585-000 ? Notified ? None City Manager ? Not Required 0 Printed on recycled paper Mf r SUBJECT/RECOMMENDATION: Trustees of the Employees' Pension Plan Agenda Cover Memorandum rs firrt Agenda Item # Meeting Date: Leonard Marotta, Police Officer, Police Department, be allowed to buy back his previous pension service credit as approved by the Pension Advisory Committee 0 and that the appropriate officials be authorized to execute same. SUMMARY: Leonard Marotta, Police Officer, Police Department, was originally employed by the City of Clearwater as a Police Officer on August 26, 1979. Mr. Marotta resigned from the City on August 26, 1982, after 3 years of service and withdrew his pension contributions in the amount of $3,890.97. Mr. Marotta formally requested a withdrawal of his resignation under the appropriate Civil Service Rule. Although his request was made 19 days past the six-month deadline, he was granted approval by the City Manager at that time to withdraw the resignation. He returned to work as a Police Officer on April 25, 1983. Upon his return, Mr. Marotta's seniority date was adjusted by 241 days, the number of days he was actually gone, as is done in any case where an employee withdraws a resignation. Additionally, Mr. Marotta was credited with all his benefits, including sick leave and vacation. At that time, Mr. Marotta made a request to pay back the monies he had withdrawn from the Pension Plan. Mr. Marotta was advised by the Police Chief that this request was denied. In 1996 Mr. Marotta made another request to buy back his pension service credit. He was advised that the amount he would have to pay back at that time was in excess of $65,000.00. At the Pension Advisory Committee meeting on March 11, 1999, Mr. Marotta again asked the Committee to allow him to buy back these three years. After some discussion, a motion was duly made and seconded that Mr. Marotta be allowed to buy back his previous years of service with interest on the $3890.97 in the amount of 5% per year from the date he left in 1982 until the present time. The reason for this action is to correct an inequity caused by an arbitrary decision. This matter is now being forwarded to the Pension Trustees for consideration. Reviewed by: Originating Department: Costs: Commission Action: Legal NA HUMAN RESOURCES $ ? Approved Budget NA Total ? Approved w/Conditions Purchasing NA User Depa ment: ? Denied Risk Mgmt. NA Current Fiscal Year ? Continued to: IS NA ' (I Funding Source: ACM ? Capital Improvement: Other NA Advertised: ? Operating: Date: ? Other: Attachments: Pension i' Paper: Submitted by: -? ? Not Required Appropriation Code Affected Parties: 646-07410-514100-585-000 ? Notified ? None City Manager ? Not Required 0 Printed on recycled paper M? Trustees of the Employees' Pension Plan Agenda Cover Memorandum Firrftl-Agenda Item # Meeting Date: ?:7 - SUBJECT/RECOMMENDATION: 5/399 David Krieger, Police Officer, Police Department, be allowed to buy back his previous pension service credit as approved by the Pension Advisory Committee. 9 and that the appropriate officials be authorized to execute same. SUMMARY: David Krieger, Police Officer, Police Department, was originally employed by the City of Clearwater as a Police Officer on September 3, 1968. Mr. Krieger resigned from the City on August 11, 1972, to attend school after being denied a leave of absence for this purpose. He withdrew his pension contributions in the amount of $1,292.62, which equaled his contributions of $1,615.78 less the 20% administrative fee charged at the time. Mr. Krieger made several requests to return to the City upon completion of his education but was denied due to a hiring freeze at the time. On March 28, 1977, he returned to work as a Police Officer and was admitted to the Pension Plan effective on that date. Upon his return, Mr. Krieger asked to buy back his pension service for his previous period of employment; but his request was denied. Over the years Mr. Krieger has inquired on several occasions about buying back his time and was denied. In 1996 when an opportunity was given to all employees in similar situations to make a request to buy back time, Mr. Krieger did so and was advised that in order to get credit he would have to pay in excess of $76,000. As a result of several recent decisions by the Pension Advisory Committee and Pension Trustees to allow employees to buy back time in a more affordable manner, Mr. Krieger again requested that he be allowed to buy back this time. At it's meeting of April 8, 1999, the Pension Advisory Committee approved Mr. Krieger's request to buy back his time at the rate of 5% interest per year since the date of withdrawal of the monies. As of April 12, 1999, the amount to be repaid to the Pension Fund by Mr. Krieger would be $4,927.91. This matter is now being forwarded to the Pension Trustees for consideration. Reviewed by. Originating Department: Costs: Commission Action: Legal NA HUMAN RESOURCES $ ? Approved Budget NA Total ? Approved w/Conditions Purchasing NA User Department: ? Denied Risk Mgmt. NA Current Fiscal Year ? Continued to: Is NA Funding Source: ACM ? Capital Improvement: Other NA Advertised: ? Operating: Date: ? Other: Attachments: Pension Paper: Submitted by: ? Not Required Appropriation Code Affected Parties: 646-07410-514100-585-000 ? Notified ? None City Manager ? Not Required 0 Printed on recycled paper