8244-11ORDINANCE NO. 8244-11
AN ORDINANCE OF THE CITY OF CLEARWATER,
FLORIDA, RELATING TO THE CITY OF CLEARWATER
FIREFIGHTERS' SUPPLEMENTARY TRUST FUND;
AMENDING THE DEFINITIONS IN SECTION 2.441 TO
COMPLY WITH CHANGES TO THE UNIFORMED
SERVICES EMPLOYMENT AND REEMPLOYMENT
RIGHTS ACT (USERRA); AMENDING SECTION 2.443 TO
INCREASE THE TERMS OF OFFICE OF THE BOARD OF
TRUSTEES; AMENDING SECTION 2.444 RELATING TO
THE AUTHORITY OF THE BOARD TO INVEST AND
REINVEST THE ASSESTS OF THE FUND; AMENDING
SECTION 2.447 RELATING TO THE ALLOCATIONS OF
CONTRIBUTIONS TO COMPLY WITH INTERNAL
REVENUE CODE (IRC) CHANGES; AMENDING SECTION
2.448 TO CLARIFY THE REQUIRED DISTRIBUTION
DATE; AMENDING SECTION 2.451 RELATING TO THE
DIRECT TRANSFER OF ELIGIBLE ROLLOVER
DISTRIBUTIONS TO COMPLY WITH IRC CHANGES;
AMENDING SECTION 2.452 TO UPDATE THE
FORFEITURE-OF-PENSION PROVISIONS TO INCLUDE
THE AMENDMENTS TO SECTION 112.3173, FLORIDA
STATUTES; AMENDING SECTION 2.453
"QUALIFICATION OF SYSTEM" TO INCLUDE THE
CHANGES TO THE IRC, USERRA, AND FLORIDA
STATUTORY GENERAL COMPLIANCE LANGUAGE;
AMENDING SECTION 2.454 RELATING TO DOMESTIC
RELATIONS ORDERS; PROVIDING AN EFFECTIVE
DATE.
WHEREAS, the City of Clearwater Firefighters are presently provided pension
and certain other benefits under Ordinances of the City of Clearwater; and
WHEREAS, the City Council desires to clarify and restate the provisions of the
Firefighters' Retirement Plan to consolidate all prior ordinances and Code provisions
and to incorporate Federal law and the applicable provisions of Chapter 175, Florida
Statutes;
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL
OF THE CITY OF CLEARWATER, FLORIDA;
Section 1. Chapter 2, Administration; Article V, Employee Benefits; Division 4,
Firefighters Pension Plans; Subdivision III, Supplementary Pension and Retirement
Plan is hereby amended and restated as set forth in the document designated CITY OF
CLEARWATER FIREFIGHTERS' SUPPLEMENTAL TRUST FUND, attached hereto as
Exhibit A and made a part hereof.
Section 2. Specific authority is hereby granted to codify and incorporate this
Ordinance in the existing Code of Ordinances of the City of Clearwater.
Section 3. All Ordinances or parts of Ordinances in conflict herewith are hereby
repealed.
Ordinance No. 8244-11
Section 4. If any section, subsection, sentence, clause, phrase of this ordinance,
or the particular application thereof shall be held invalid by any court, administrative
agency, or other body with appropriate jurisdiction, the remaining section, subsection,
sentences, clauses, or phrases under application shall not be affected thereby.
Section 5. This Ordinance shall become effective upon its adoption.
PASSED ON FIRST READING
PASSED ON SECOND AND FINAL
READING AND ADOPTED
April 20, 2011
May 5, 2011
Frank Hibbard
Mayor
Approved as to form:
IZAA, -?A.*--
Ro ert J. re e
Assistant ity Attorney
Attest:
n( U V1410 6W
RdsE(marie Call
EK.City Clerk
wX TTHE 0 6.
.'
1AW
2 Ordinance No. 8244-11
CITY OF CLEARWATER
FIREFIGHTERS' SUPPLEMENTAL TRUST FUND
Sec. 2.441. Definitions.
(1) The following words, terms and phrases, when used in this subdivision,
shall have the meanings ascribed to them in this section, except where the context
clearly indicates a different meaning:
Account or accounts shall mean a participant's state contribution account,
employee contribution account, voluntary contribution account, transfer account and/or
such other accounts as may be established by the plan administrator.
Administrator shall mean the plan administrator.
Anniversary date shall mean September 30 of each plan year.
Annu I additions shall mean for any limitation yeaF, the sum of:
M
ernpleye4:L,
(24 The a?ea ? ant„? `+ o, f the ea}yleY vee's v nnnFo,?,nribUtionnS ( rvE)ther than rE)llrwer
? ,-„?----on---„,„?--
if aRY) to any GontFibutoFy defined GontFibution plan
GOn#ibm
e
maintained by the employer;
s
plan m-aintained by the ernpleyeF; OF
Amounts aliGGated to an individual Fnedieal aGGOunt, as defined on seGtien
City means the City of Clearwater.
Code means the Internal Revenue Code of 1986, as amended from time to time.
Exhibit A
"annual n
addition" under seGtiep 415(l)(1) of the Code-.
Compensation shall mean the reciular salaries and wages, bonuses and overti
1 VUV11 11 1 W--. v..• •.v.... ?.... ., ...?.-.-....?,
i
amounts paid by the employer to a plaR deGGFibed
payments, but not limited to disability
M
Credited service means, for purposes of participation, that period of continuous
uninterrupted employment with the city for those firefighters whose employment
commenced on July 1, 1963, or later, measured from the effective date of the ordinance
creating the fund (September 9, 1968) or the second October 1st following the date of
employment, whichever is later, except for the years beginning September 1, 1987 and
September 1, 1988, to date of termination of service, actual retirement, death or
disability, whichever occurs earlier. Any period of unpaid leave in any calendar year
shall not count as credited service. As to a participant who terminated employment, for
purposes of determining the participant's benefit under the plan subsequent to
reemployment, credited service shall mean years of credited service beginning on the
participant's date of reemployment.
The years or fractional parts of a year that a member seare6 in the rnilitaQ?
)f the Affned Fc)Foe6 of the United States, the United States MeFGhant OF
the United States Coast GuaFd, voluntaFily OF involuntaFil performs "Qualified Military
Service" consisting of voluntary or involuntary "service in the uniformed services" as
defined in the Uniformed Services Employment and Reemployment Rights Act
(USERRA) (P.L.103-353), after separation from employment as a firefighter with the city
to perform training or service, and reemployment on or after December 12, 1994, shall
be added to his years of credited service for all purposes, including vesting, provided
that:
M The member is entitled to reemployment under the provisions of
USERRA.
{?} (2) The member eat returns to his employment as a firefighter within one
year from the earlier of the date of his military discharge or his release
from service unless otherwise required by USERRA.
4 Ordinance No. 8244-11
1 ine
GGFnpensatiGR limit will be multiplied by a 1
1 and the deneminateF of which +is
4-2-.
(24 (3) The member deposits into the fund the share of insurance tax rebate
money that would otherwise have been allocated to his account. The
member must deposit all missed contributions within a period equal to
three times the period of military service, but not more than five years or
he will forfeit the right to receive credited service for his military service
pursuant to this section.
k34 (4) The maximum credit for military service pursuant to this section shall be
five years.
(4) (5) The member must have been discharged or released from service under
honorable conditions.
(-5) ? This section is intended to satisfy the minimum requirements of the
Uniformed Services Employment and Reemployment Rights Act
(USERRA), (P.L. 103-353). To the extent that this section does not meet
the minimum standards of USERRA, as it may be amended from time to
time, the minimum standards shall apply.
the event a member dies on or after January 1, Luu t, wniie perrormin
Qualified Military Service the beneficiaries of the member are entitled to any
other than benefit accruals relating to the period of qualified military service) as
nber had resumed employment and then died while employed.
Fective date of this plan shall mean October 1, 1968, except as may otherwise
be noted herein.
Employee shall mean any certified firefighter as defined in Section 175.032,
Florida Statutes, employed by the employer on a permanent, full-time basis and whose
employment commenced on or after July 1, 1963. The plan administrator shall have the
right to determine from time to time which persons are employed on a permanent full-
time basis for the purposes of this plan.
Employer shall mean the City of Clearwater, Florida and shall include the State of
Florida to the extent state monies are used to fund plan contributions.
Employer contributions shall mean insurance premium tax rebate monies
received from the State of Florida pursuant to Chapter 175, Florida Statutes.
Employer contribution account shall mean an account established in which
employer contributions are deposited and maintained as provided for herein.
Firefighter shall have the meaning
amended from time to time. The term inclu
personnel whose duties include, in whole o
and management responsibilities of full.
auxiliarv firefiahters but does not include pa
set forth in F.S. § 175.032, as may be
es all certified. suaervisorv. and command
ters
or aux
5 Ordinance No. 8244-11
Fund means the trust fund established herein as part of the system.
M W
{
in deteRnining who is a highly Gempepsated employee, employees who
aFe nre6eden+ lions and whn renelye no eaFHed iReervme (within the
(3)
Cer purposes of d ininn ..hetheF anremployee is a highly
(om) /
T
Gempensated employee, if any employee is a family member of a high4y
Limitation year shall mean the plan year.
Man days means the sum of the total number of employees for the complete
calendar year multiplied by the actual number of days in such calendar year plus the
total number of days actually worked by employees and separated participants not
employed for such entire calendar year.
6 Ordinance No. 8244-11
Member means an actively employed employee who fulfills the prescribed
membership requirements as set forth in section 2.446. Benefit improvements which, in
the past, have been provided for by amendments to the system adopted by city
ordinance, and any benefit improvements which might be made in the future shall apply
prospectively and shall not apply to members who terminate employment or who retire
prior to the effective date of any ordinance adopting such benefit improvements, unless
such ordinance specifically provides to the contrary.
Normal retirement date means the first day of the month coincident with, or the
next following attainment of 20 years of credited service, regardless of age. Normal
retirement under the plan is retirement from employment as a firefighter with the city on
or after the normal retirement date.
Participant shall mean any eligible employee of the employer who has become a
member under the plan and who has an account balance. Participant shall include any
former employee of the employer who became a participant under the plan and who still
has a balance in an account under the plan.
Plan shall mean the defined contribution plan as herein set forth, as it may be
amended from time to time.
Plan administrator shall mean the board of trustees of the City of Clearwater
Firefighters' Supplemental Trust Fund.
Plan year shall mean the period beginning October 1 and ending September 30
of the following calendar year except that September 1, 1987 to August 31, 1988 and
September 1, 1988 to September 30, 1989 are the plan years for those periods.
Section 415 compensation shall mean all compensation as described in section
1.415-2(d)(2) and section 1.415-2(d)(3) of the Income Tax Regulations.
System means the City of Clearwater Firefighters' Supplemental Trust Fund and
rules adopted by the board.
Trust or trust fund shall mean the fund established hereunder, known as the City
of Clearwater Firefighters' Supplemental Trust Fund.
Trustee shall mean the individual or individuals named herein.
Valuation date shall mean October 1 of each year and each day securities are
traded on a national stock exchange, except regularly scheduled holidays of the
employer, or such other date as may be selected by the plan administrator.
Vesting means attainment of ten years of employment with the city as a
firefighter and membership in the plan.
(2) Masculine gender. The masculine gender, where used herein, unless the
context specifically requires otherwise, shall include both the feminine and
masculine genders.
Sec. 2.442. Benefits supplemental to other plans.
This subdivision shall provide additional and supplemental retirement,
termination, death and disability benefits for participants whose employment
commenced on or after July 1, 1963, and shall not supersede or modify the existing
7 Ordinance No. 8244-11
pension, disability or retirement system of the city as provided by the charter, the laws
of the state or existing ordinances of the city.
Sec. 2.443. Board of trustees--Creation, members.
(1) The sole and exclusive administration of and responsibility for the proper
operation of the system and for making effective the provisions of this division are
hereby vested in a board of trustees. The board of trustees is hereby designated as the
plan administrator. The board of trustees shall consist of five trustees, two of whom,
unless otherwise prohibited by law, shall be legal residents of the city who shall be
appointed by the city commission, and two of whom shall be members of the system,
who shall be elected by a majority of the firefighters who are members of the system.
The fifth trustee 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 commission. Upon
receipt of the fifth person's name, the city commission shall, as a ministerial duty,
appoint such person to the board of trustees as the board's 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 hve-yea four-year term unless he sooner vacates the
office. Each resident trustee shall serve as trustee for a period of tWG four years, unless
he sooner vacates the office or is sooner replaced by the city commission, at whose
pleasure he will serve. Each member trustee shall serve as trustee for a period of twe
four years, unless he sooner leaves the employment of the city as a firefighter, or
otherwise vacates his office as trustee, whereupon a successor shall be chosen in the
same manner as the departing trustee. Each trustee may succeed himself in office. The
board shall establish and administer the nominating and election procedures for each
election.
(2) The board of trustees shall meet at least quarterly each year.
(3) The board of trustees shall be a legal entity with the power to bring and
defend lawsuits of every kind, nature and description, in addition to the other powers
and duties contained in this subdivision.
(4) The trustees shall, by majority vote, elect from its members a chairperson
and a secretary. The secretary of the board shall keep a complete minute book of the
actions, proceedings, and hearings of the board.
(5) The trustees shall not receive any compensation as such, but may receive
expenses and per diem as provided by law.
(6) Each trustee shall be entitled to one vote on the board. Three 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.
Sec. 2.444. Same--Powers and duties.
The duties and responsibilities of the board of trustees created pursuant to this
subdivision shall include, but not necessarily be limited to the following:
(a) Invest and reinvest the assets of the fund in annuity and life insurance
contracts of insurance companies or any combination thereof, in amounts
sufficient to provide, in whole or in part, the benefits to which all of the
Ordinance No. 8244-11
members in the system shall be entitled under the provisions stated in this
subdivision, and pay the initial and subsequent premiums thereon;
(b) Invest and reinvest the assets of the fund in:
1. Time or savings accounts of a national bank, a state bank or a
savings and loan association insured by the Federal Deposit
Insurance Corporation;
2. Obligations of the United States or in obligations guaranteed as to
principal and interest by the United States;
3. Stocks, commingled funds administered by national eF state ,
mutual funds and bonds or other evidences of indebtedness. All
individually held equity and debt securities and all equity and debt
securities in a commingled or mutual fund must be issued or
guaranteed by a corporation organized under the laws of the United
States, any state or organized territory of the United States, or the
District of Columbia, and each equity and debt security must be
traded on a nationally recognized exchange. Ali debt seo Fides
fund,
then
the FatiRg of eac;h issue iR the pooled fund shall held a Fating
"131313"
The average rating of the entire debt securities portfolio shall be "A"
or higher as rated by a major rating service. No foreign
investments shall be permitted whether owned individually or in a
commingled or mutual fund, except to the extent permitted by
Florida Statutes Chapter 175, as amended from time to time. Up to
twentv-five (25) percent of the assets of the fund at market value
4. The board of trustees shall not invest more than five percent of its
assets in the common stock or capital stock of any one issuing
company, the aggregate investment in any one issuing company
shall not exceed five percent of the outstanding capital stock of that
company, and the aggregate of its investments at sort market shall
not exceed 69 65 percent of the fund's assets.
5. Real estate through commingled or mutual funds and REITs traded
6. Any other investments permitted under the applicable provisions of
Chapter 175, Florida Statutes, as amended from time to time.
(c) Issue drafts or authorization for payments upon the fund pursuant to the
rules and regulations prescribed by the board of trustees. All such drafts
or authorizations shall be signed by the chairperson and the secretary and
shall state upon their face the purpose for which the drafts were drawn.
The depository shall retain such drafts or authorizations when paid, as
permanent vouchers for disbursements made, and no money shall
otherwise be drawn from the fund;
9 Ordinance No. 8244-11
(d) Convert into cash any securities of the fund;
(e) Keep a complete record of all receipts and disbursements and of the
board's acts and proceedings;
(f) Seek, obtain and engage independent professional services, including
attorneys, certified public accountants, investment advisors, custodians,
and any other consultants necessary for the prudent administration of the
fund, and to pay reasonable charges for such services. The sole and
exclusive administration of and the responsibilities for the proper operation
of the system are vested in the board of trustees.
(g) The board shall not invest more than ten percent at eGst market of its
assets in real property or real estate and there shall be no investment in a
limited partnership or trust.
(h) To construe the provisions of the system and determine all questions
arising thereunder.
(i) To determine all questions relating to eligibility and membership.
(j) To determine and certify the amount of all retirement allowances or other
benefits hereunder.
(k) To establish uniform rules and procedures to be followed for
administrative purposes, benefit applications and all matters required to
administer the system.
(1) To distribute to members, at regular intervals, information concerning the
system.
(m) To receive and process all applications for benefits.
(n) To make recommendations regarding any and all changes in the
provisions of the system.
(o) To perform such other duties as are required to prudently administer the
system.
Sec. 2.445. Creation, maintenance of funds.
(1) Name of plan. A defined contribution plan has been established in
accordance with the terms hereof and shall be known as the City of Clearwater
Firefighters' Supplemental Trust Fund.
(2) Exclusive benefit. This plan is created for the sole purpose of providing
benefits to the participants. Except as otherwise permitted by law, in no event shall any
part of the principal or income of the trust be paid to or reinvested in the employer or be
used for or diverted to any purpose whatsoever other than for the exclusive benefit of
the participants and their beneficiaries.
(3) Mistake of fact. Notwithstanding the foregoing provisions of paragraph (2),
any contribution made by the employer to this plan by a mistake of fact may be returned
to the employer within one year after the payment of the contribution.
10 Ordinance No. 8244-11
(4) Participants' rights. The establishment of this plan shall not be considered
as giving any employee, or any other person, any legal or equitable right against the
employer, the trustee or the principal or the income of the trust, except to the extent
otherwise provided by law. The establishment of this plan shall not be considered as
giving any employee, or any other person, the right to be retained in the employ of the
employer.
(5) Qualified plan. This plan and the trust are intended to qualify under the
code as a tax-qualified employees' plan and trust, and the provisions of this plan and
the trust are to be interpreted accordingly.
(6) Source of contributions. Subject to the right reserved by the city, with the
unanimous approval of the board, to alter, amend, or terminate this plan, the city shall
transfer the following funds to the trustees of this plan:
(a) The proportionate share of the net proceeds of the excise or license tax
which is imposed upon certain fire and tornado loss insurance companies
on their gross receipts of premiums from holders of policies;
(b) All gifts, bequests, and devises when donated to the fund;
(c) All accretions to the assets of the fund by way of interest on bank
deposits, dividends, interest or otherwise;
(d) All other sources of income now or hereafter authorized by law for the
augmentation of the fund.
(7) No reversion to employer. In no event and under no circumstances shall
any contributions to this fund by the city, nor any of the fund assets or income
therefrom, revert to or be paid to the city. All amounts paid by the city to the trustees
shall be used and applied for the sole and exclusive benefit of the participants under
this fund or their beneficiaries or estates.
(8) Plan expenses. The entire cost of administering this system, and all
expenses incident thereto, shall be paid by the trustees from the fund.
Sec. 2.446. Membership.
(1) All current members of the system shall continue to be members and all
future firefighters as a condition of employment, shall become members of the system
beginning on the second October 1st following his date of employment as a firefighter
by the City of Clearwater.
(2) An employee who ceases to be a member, terminates employment and is
reemployed by the employer, shall be eligible again to become a member as provided
for in subsection (1) above.
Sec. 2.447. Allocations of contributions.
(1) Maintenance of accounts. The trustee shall create and maintain
appropriate books and records showing the respective interest of each participant,
terminated vested participant, and beneficiary hereunder. Each participant shall have an
employer contribution account for his share of employer contributions, forfeitures, and
11 Ordinance No. 8244-11
income adjustments relating thereto. The trustee shall maintain a separate account for
each participant, terminated participant, and beneficiary. The maintenance of separate
accounts, however, is for accounting purposes only, and a segregation of the assets of
the trust fund to each account shall not be required.
(2) Allocations of contributions. The contributions of the employer shall be
allocated on the first day of each plan year to and among those participants that are
entitled to a contribution allocation for the immediately preceding plan year. For
example, the employer contribution that was made on October 1, 1990, was allocated
among those participants that were entitled to a contribution allocation for the plan year
that commenced on October 1, 1989, and terminated on September 30, 1990. For
purposes of this subsection (2) those participants that are entitled to a contribution
allocation for a particular plan year shall mean those participants that performed
services for the employer for the entire prior calendar year, or for a portion of such prior
calendar year for which such participant is granted partial credit under subsection (4)
hereunder. Except as otherwise provided under subsection (4) with respect to
participants that perform a partial prior calendar year of service, such contributions shall
be allocated equally among such participants' accounts; that is each participant account
shall receive an equal allocation of such contributions.
(3) Allocation of income. The trust fund income shall be allocated monthly
during the plan year among the participants' accounts based on the ratio between the
account balance of each participant at the time of allocation and the sum of the account
balances of all participants at the time of allocation. Income shall be allocated to the
accounts before the amount of any forfeiture is determined.
(4) Partial allocation of contributions. Upon the date that the participant's
service with the employer is terminated for any reason, including, but not limited to,
retirement, death, or disability, then the following rules shall apply to determine the
amount, if any, of the employers contributions that will be allocated to such participant's
employer contribution account. For purposes of this subsection (4), the date upon which
a participant's service with the employer is deemed terminated (the "termination date")
shall be the last day of the calendar month that he officially separates from employment.
The amount of any employer contributions that will be allocated to a participant depends
on when the termination date occurs. As stated in subsection (2) above, for each
complete calendar year of service performed by the participant, such participant shall be
entitled to a full, equal share of the employer contribution on the applicable allocation
date. If the termination date results in the performance of a partial calendar year of
service, then pro rata credit shall be granted for each day of service performed during
the period that commences on January 1 and terminates on December 31. The portion
of the employer's contribution that will be allocated to such participant's account on the
applicable allocation date as a result of such pro rata credit shall equal the product of: (i)
an amount equal to the allocation made under subsection (2) on behalf of a participant
that performed a full year of service for such plan year, multiplied by (ii) that certain
fraction the numerator of which is the number of days for which pro rata credit is granted
to such participant, and the denominator of which is 365.
(5) No right to allocation. The fact of allocation or credit of an allocation for an
employer contribution by the trustees to a participant's employer contribution account
shall not vest in any participant, any right, title, or interest in the assets of the trust or in
the contributions of the employer except at the time or times, to the extent, and subject
to the terms and conditions provided in this plan.
12 Ordinance No. 8244-11
Maximum additions.
--..-1 -J-]:L:---11 L-
f
tFustee will multiply the f
f ac-tm an :
The term "annual addition6" means the amount oGated to a nnrti g
/a\ Th?yeehle share of the employer onntrihl Minn fur the limltatiOR dear,
The IIGGa le share of-ffVReit I es ferr the he llirrnitatiO yeaF;
/n\ 011 employee nnntributions made dl,Finn the lirnitation year
if the annual additions eXGeed the limit above
ation deSGribed
the an
,
1
additions to the
in the f. IIE)Winn order Of preoedenee•
w
(b"/ the extent th?F rnaains an ame nt that Gannet he allocated unider
6ubpaFagFaph `7 1 1) above, 11suspense fwfeitwe and shall irvG-field tneFein unto! the nevi
GUG/?pding date or dates , dates that foeFwert?r? eo a? ai+sEat Suspense
TUGGri ?-? -??ed 1- -??
annul bete shall not share in trl lot innome under of bsentinn (Q)In the event
n ticved an cind
eatien of the plan, the suspense-aECount shall be all a
n-v-TrvCt-v
the fZorm Ilap7a provided s IAseGCieen (2)1 Tbut s fapll revert to the Gem pl.J7VIeGTITT
the e event v vcnr that crrc?r it Gannet he fully alIGGated to the plover nontribution
- -??
(a) Notwithstanding any other provision of the System, the annual addition
that may be contributed or allocated to a Member's account for anv
not
13 Ordinance No. 8244-11
seGtinn do not apply for the limitation dear but only to the extent that S Inh
nartinipant'o annul Into to evoeed the limitations of this oentinn
1. $40,000, as adjusted for increases in the cost-of-living prescribed
by the Secretary of the Treasury under Code Section 415(d), or
2. 100 percent of the Member's compensation for the limitation year
(limitation year means the calendar year).
Annual Addition Definition:
The term "annual additions" means the amount allocated to a
Member's account during the limitation year that is composed of:
1. The allocable share of the employer contributions (Chapter 175) for
the limitation year.
2. The allocable share of forfeitures for the limitation year: and
3. Any post-tax employee contributions made during the limitation
year.
(c) Compensation Definition:
the annual limit under Code Section 401(a)(17) (increased bursuant to
34w (a) Tor the purposes OT income tax wannoiging at the source, but
determined without regard to any rules that limit the remuneration included
in waaes based on the nature or location of the emplovment or the
se
erection .54y-i (a)(z)): proviaea, nowever, compensation snail also rncwae
the amount of any elective deferrals, as defined in Code Section
402(g)(3), and any amount contributed or deferred by the Employer at the
election of the Member and which is not includible in the gross income of
the Member by reason of Code Sections 125, 132(f) (as of January 1,
2001). or 457. Compensation shall not include contributions nicked-un
Generallv, compensation is the compensation durina the abblic<
limitation year. However, solely for purposes of this 415(c) limit, payments made wi
2Y2 months after termination, or, if later, the end of the limitation year during which
termination occurred will be taken into account in determining compensation
allocations if they are payments that, absent a termination, would have been paid to
Member while the Member continued in employment with the Employer and are:
1. regular compensation for services during the Member's reg
working hours, or compensation for services outside the Memb
regular work hours (such as overtime or shift different
commissions, bonuses, or other similar payments, and
compensation would have been paid to the Member prior t
termination if the Member had continued employment with
Emblover: or
14 Ordinance No. 8244-11
2.
3. payments pursuant to a nonqualified un
compensation plan, but only if the payments wou
to the Member at the same time if the Memb
employment with the Employer and only to th
payment is includible in the Member's aross incon
payments not described above are
termination, even if thev are paid within 2'
iermination, or, IT later, the ena of tne_Man Year during which the termination occurred.
except Tor payments to the iviemper wno goes not currently perform services for the
Employer by reason of qualified military service (within the meaning of Code Section
414(u)(1)) to the extent these payments do not exceed the amounts the individual would
have received if the individual had continued to perform services for the Employer rather
than entering qualified military service.
?aFtiGipa , r, . both .-l?j CTCFii7Tr, /?
T?[rP"? F r•. utiAh and defined benefits Plans. in
f
th
e
f
The surn of the
FojeGted annual ben
fit
f th
ti
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. r .. . .. ,. .. .. -- - _ _
s 1982, the denorniR
I EIIIS 11-G.1011 110
15 Ordinance No. 8244-11
duly -1,
e the defined GentFibution plan ftac-tien .
The sum of the annual additions (deteFmined as of the olose of the limitatk?A
The teFrn 11 11 1
and fees for
wages, 1
ernpleymeRt with the empleyeF maintaining the
plan,
but eXGludung the follow' _
W GmPnleyer GentFihl IFions to a plan of defeRed nmmpenc Finn ?ihinh re ne
J v Vl1l'
employee, 1
(b) o:he. amounts .. h?..h a speGial x benefits, ova
16 Ordinance No. 8244-11
- 1
plaRS); OF, (11) 6b peFGent et the .
1 the following teFFnS S
have the meanings shown hel.,m
hf .?...v.... n...`.w lly rrll v?.lv
The teFFn I"defined benefit plan"
shall mean a FetiFement plan that does not
d 0 efined benefit plans (whetheF oF not teFminated) maintained by the employer as a
s ngle plan and the tFustees shall tFeat all defined GentFibution plans (whetheF OF not
teRninated) maintained by the empleyeF a single plan.
The tern; "ffejeoted annual benefit" shall mean a partioffipant'6 annual benefitt
The term "knitation yeaF ef seFV*Ge" shall mean a plan yeaF dWing whiGh--a
paFtiripan+ nem VVII It./nletes a GOMplete plan yeaF of senrine
?r ..n. .. V.NMIII Il'IVG- •
Sec. 2.448. Benefits under the plan.
(1) Retirement benefit.
a. A participant shall be entitled to a normal retirement benefit upon
attainment of the normal retirement date.
b. Until a participant actually terminates employment with the
employer, he shall not receive a distribution and he shall continue
to be treated as a participant.
C. Such benefit shall be paid as provided for in section 2.449.
d. Required distribution date. The member's benefit under this section
must begin to be distributed to the member no later than April 1 of
the calendar year following the later of the calendar year in which
the member attains age seventy and one-half (70'/2) or the calendar
vear in which the member terminates emnlovment with the r:ity
(2) Termination benefit.
a. In the event that a participant's employment with employer is
terminated by reason other than retirement, death or disability, he
shall be entitled to receive an amount equal to his vested benefit, if
any, which shall be paid as provided for in section 2.449.
(3) Disability benefit.
a. In the event that a participant is determined to be disabled by the
board of trustees of the City of Clearwater Employees' Pension
Plan, and such disability was incurred in the line of duty, he shall be
paid a benefit as provided for in section 2.449.
b. In the event that a participant is determined to be disabled by the
board of trustees of the City of Clearwater Employees' Pension
Plan, and such disability was not incurred in the line of duty, he
shall be entitled to his vested benefit, if any, which shall be paid as
provided for in section 2.449.
17 Ordinance No. 8244-11
C. If the event that a disability retiree is recalled to employment,
membership in the system shall be pursuant to the provisions of
section 2.446.
(4) Death benefit.
a. In the event that a participant dies and such death is determined by
the plan administrator to have been incurred in the line of duty, he
shall be paid a benefit as provided for in section 2.449, to his
designated beneficiary, or if none, to his estate.
b. In the event that a participant dies and such death is determined by
the plan administrator to have not been incurred in the line of duty,
he shall be entitled to his vested benefit, if any, which shall be paid
as provided for in section 2.449, to his designated beneficiary, or if
none, to his estate.
Sec. 2.449. Vesting and distributions.
Except for an in-line of duty incurred disability or death, a member must be
employed with the city as a firefighter and a member of the plan for ten or more years to
become vested and earn any benefit (account value) from the plan. A member or
participant who is not vested shall not receive any benefit from the plan. A vested
member who becomes eligible for payment of benefits as provided for in section 2.448
shall receive the value of his account as follows:
(1) Initial distribution. Upon entitlement to a benefit, the participant's account
value, as determined by the plan administrator, as of the last day of the month in which
there was official separation from employment shall be paid.
(2) Second distribution. A separated participant shall receive a full share of
employer contributions (state insurance premium tax rebate) at the end of the first plan
year following the separation from employment as a participant. No earnings or losses
shall be credited to or debited from the account. The second distribution may be
combined with the initial distribution if previous calendar year employer contributions
(SIPTR) have been allocated and credited to the participant's account at the time the
initial distribution is made.
(3) Final distribution. A separated participant shall receive a pro-rated share
of employer contributions (state insurance premium tax rebate) at the end of the second
plan year (or first plan year if a combined initial and second distribution was made)
following the separation from employment as a participant. The pro-rated share shall be
determined by dividing the total number of man days for the prior calendar year into the
total amount of the state insurance premium tax rebate monies received from such prior
calendar year, then multiplying such quotient by the total number of calendar days that
the separated participant actually worked as a member in such prior calendar year. No
earnings or losses shall be credited to or debited from the account.
Sec. 2.450. Termination of system.
(1) Upon termination of the system for any reason, the fund shall be
apportioned and distributed in accordance with section 2.449 to the extent permitted by
the state insurance premium tax rebate monies. The board of trustees shall determine
18 Ordinance No. 8244-11
the date of distribution and the asset value to be distributed upon termination of the
system.
Sec. 2.451. Direct transfer of eligible rollover distributions.
(1) Rollover distributions.
(a) General. This section applies to distributions made on or after January 1,
2002. Notwithstanding any provision of the system to the contrary that
would otherwise limit a distributee's election under this section, a
distributee may elect, at the time and in the manner prescribed by the
board, to have any portion of an eligible rollover distribution paid directly to
an eligible retirement plan specified by the distributee in a direct rollover.
(b) Definitions.
(1) Eligible rollover distribution: An eligible rollover distribution is 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 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; any distribution to the extent such distribution is required
under section 401(a)(9) of the Code; and the portion of any distribution
that is not includable in gross income. Effective January 1, 2002, any
portion of any distribution which would be includable in gross income as
after-tax employee contributions will be an eligible rollover distribution if
the distribution is made to an individual retirement account described in
section 408(a), to an individual retirement annuity described in section
408(b), or to a qualified defined contribution plan described in section
401(a) or 403(a) that agrees to separately account for amounts so
transferred (and earnings thereon), including separately accounting for the
portion of such distribution which is includable in gross income and the
portion of such distribution which is not so includable ; or on or after
January 1, 2007, to a qualified defined benefit plan described in Code
Section 401(a) or to an annuity contract described in Code Section 403(b),
that agrees to separately account for amounts so transferred (and
earnings thereon), including separately accounting for the portion of the
distribution that is includible in gross income and the portion of the
distribution that is not so includible-
(2) Eligible retirement plan: An eligible retirement plan is an individual
retirement account described in section 408(a) of the Code, an individual
retirement annuity described in section 408(b) of the Code, an annuity
plan described in section 403(a) of the Code, an eligible deferred
compensation plan described in section 457(b) of the Code which is
maintained by an eligible employer described in section 457(e)(1)(A) of
the Code and which agrees to separately account for amounts transferred
into such plan from this plan; effective January 1, 2002, an annuity
contract described in section 403(b) of the Code, of a qualified trust
described in section 401(a) of the Code; or effective January 1, 2008, a
19 Ordinance No. 8244-11
Roth IRA described in Section 408A of the Code, that accepts the
distributee's eligible rollover distribution. This definition shall apply in the
case of an eligible rollover distribution to the surviving spouse.
(3)
Distributee: A distributee includes an employee or former employee. to
addit+e+ It also includes the employee's or former employee's surviving
spouse i tFib tee with Fegard to the the inRke? st of the spo Leo
is - ? d+s?? and the
(4) Direct rollover. A direct rollover is a payment by the plan to the eligible
retirement plan specified by the Distributee.
(c) Elimination of mandatory distributions.
Notwithstandina anv other
m the Plan not
otherwise reauired by law. for an amount in excess of one-thousand dollars ($1.000.00).
and completion by the Member of a written election on forms desianated by the Board.
ump sum or to rollover the I
Sec. 2.452. Forfeiture of pension.
(1) Any member who is convicted of the following offenses committed prior to
retirement, or whose employment is terminated by reason of his admitted commission,
aid or abetment of the following specified offenses, shall forfeit all rights and benefits
under this system as of the date of termination. Specified offenses are as follows:
(a) The committing, aiding or abetting of an embezzlement of public funds;
(b) The committing, aiding or abetting of any theft by a public officer or
employee from employer;
(c) Bribery in connection with the employment of a public officer or employee;
(d) Any felony specified in Chapter 838, Florida Statutes;
(e) The committing of an impeachable offense;
(f) The committing of any felony by a public officer or employee who willfully
and with intent to defraud the public or the public agency, for which he
acts or in which he is employed, of the right to receive the faithful
performance of his duty as a public officer or employee, realizes or obtains
or attempts to obtain a profit, gain, or advantage for himself or for some
other person through the use or attempted use of the power, rights,
privileges, duties or position of his public office or employment position
L(II The committing on or after October 1, 2008, of any felony defined in
Section 800.04, Florida Statutes, against a victim younger than sixteen
(6) years of age, or any felony defined in Chapter 794, Florida Statutes
against a victim younger than eighteen (18) years of age by a public
officer or employee through the use or attempted use of power, rights
privileges, duties, or position of his or her public office or employment
position.
20 Ordinance No. 8244-11
(2) Conviction shall be defined as an adjudication of guilt by a court of
competent jurisdiction; a plea of guilty or a nolo contendere; a jury verdict of guilty when
adjudication of guilt is withheld and the accused is placed on probation; or a conviction
by the Senate of an impeachable offense.
(3) Court shall be defined as any state or federal court of competent
jurisdiction which is exercising its jurisdiction to consider a proceeding involving the
alleged commission of a specified offense. Prior to forfeiture, the board shall hold a
hearing on which notice shall be given to the member whose benefits are being
considered for forfeiture. Said member shall be afforded the right to have an attorney
present. No formal rules of evidence shall apply, but the member shall be afforded a full
opportunity to present his case against forfeiture.
(4) Any member who has received benefits from the system after member's
rights were forfeited shall be required to pay back to the fund the amount of the benefits
received. The board may implement all legal action necessary to recover such funds.
Sec. 2.453. QualifiGation of system Miscellaneous provisions.
a) Interest
n
fund are held in
retirees ana_members and their spouses or beneticianes. shall anv part of the corpus or
income
benefit.
system. It is intended that the system will constitute a
under the applicable provisions of the code for a qualified
a) and a qovernmental plan under code section 414(d). as
nt of the
be made retroactively, if necessarv or aDDrobriate. to aualifv or maintain the svstem as
ui
effect or hereafter amended, or anv other apDlicable provisions of the U.S. federal tax
laws, as now in effect or hereafter amended or adopted, and the reaulations issued
LCI Pr(
in a tran
USERRA. Effective December 12. 1994, n
ision of this svstem. contributions. benefits and servii
milita
a board
it
extent that the definition of "credited service" sets forth contribution reauirements that
21 Ordinance No. 8244-11
p ews?e s et the tedeFal tax law6, ^-T,o effect aF hereaft°eF amended o
and the Fegulations 066ued .
are more favorable to the member than the minimum compliance requirements, the
more favorable provisions shall apply.
Electronic forms. In those circumstances where a written election or
lieu of or in addition to a written form may be prescribed by the board. However. where
Sec. 2.454. Domestic relations orders; Exemption from execution, non-
assignability.
(a) Domestic relations orders.
benefits of a retiree. the member or retiree shall submit the proposed
onor the oraer.
LQ
L?J Exemption from execution, non-assignability. Except as otherwise
provided by law, the pensions, annuities, or any other benefits accrued or accruing to
any person under the provisions of this ordinance and the accumulated contributions
and the cash securities in the fund created under this ordinance are hereby exempted
from any state, county or municipal tax and shall not be subject to execution,
attachment, garnishment or any legal process whatsoever and shall be unassignable.
Sec. 2.455. Beneficiaries.
(1) Each member or retiree may, on a form provided for that purpose, signed
and filed with the board, designate a beneficiary (or beneficiaries) to receive the benefit,
if any, which may be payable in the event of his death. Each designation may be
revoked or changed by such member or retiree by signing and filing with the board a
new designation-of-beneficiary form. Upon such change, the rights of all previously
designated beneficiaries to receive any benefits under the system shall cease.
(2) If a deceased member or retiree failed to name a beneficiary in the
manner prescribed in subsection (1), or if the beneficiary (or beneficiaries) named by a
deceased member or retiree predeceased the member or retiree, the death benefit, if
any, which may be payable under the system with respect to such deceased member or
retiree, shall be paid to the estate of the member or retiree.
22 Ordinance No. 8244-11