8607-14ORDINANCE NO. 8607-14
AN ORDINANCE OF THE CITY OF CLEARWATER,
FLORIDA, AMENDING THE PROVISIONS OF
CHAPTER 2, ARTICLE V., DIVISION 3., OF THE CITY
OF CLEARWATER CODE OF ORDINANCES TO
COMPLY WITH SECTION 401(a)(31)(B) OF THE
INTERNAL REVENUE CODE; PROVIDING AN
EFFECTIVE DATE.
WHEREAS, the City is authorized and empowered to amend the Plan to comply
with changes to Internal Revenue code, NOW THEREFORE,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
CLEARWATER, FLORIDA;
Section 1: Section 2.393 as restated in Section 2.412, Division 3 of Article V. of
Chapter 2, is hereby amended to read:
Compensation:
(2)d. For limitation years beginning on or after July 1, 2007, and for the purposes of
applying the limits of Section 415 of the Internal Revenue Code, compensation shall
mean the participant's wages, salaries, and other amount received for personal services
actually rendered in the course of employment with the employer to the extent the
amounts are includable in gross income, and other such amounts that are included in
the definition of compensation under Treasury Regulation Section 1.415(c) -2(a). This
definition of compensation shall include any amounts paid by the later of: (1) 2 1/2
months after severance from employment or (2) the end of the limitation year that
includes the date of severance from employment if; (a) absent a severance from
employment, such payments would have been paid to the employee while the employee
continued in employment with the employer and was for regular compensation for
services rendered during the employee's regular working hours; or (b) compensation
was paid for services outside the employee's regular working hours (such as overtime
or shift differential), bonuses or other similar compensation.
Section 2.398 as restated in Section 2.424, Division 3 of Article V. of Chapter 2,
is hereby amended to read:
Ordinance No. 8607 -14
c. Lump sum payment. Notwithstanding anything contained in this plan to the contrary,
any benefit payable under the plan on or after March 28, 2005, the actuarial lump sum
present value of which is not more than $3500.005,000.00, shall be paid in a lump sum
as soon as practicable following the participant's termination of employment. Should
the actuarial lump sum value of such payment be greater than $1000.00, and if the
distributee has not elected to have such distribution paid directly to a specified eligible
retirement plan, the plan administrator shall make such payment to an individual
retirement plan of a designated trustee or issuer and shall notify the distributee in writing
(either separately or as part of the notice under section 402(f) of the Code) that the
distribution may be transferred to another individual retirement plan.
*
Section 2. This ordinance shall take effect immediately upon adoption.
PASSED ON FIRST READING
PASSED ON SECOND AND FINAL
READING AND ADOPTED
Approved as b form:
Ma w M. S
Assistant City Attorney
2
OCT 0 2 2014
OCT 1 5 2014
— cteorttrwrk. \ktos
George N. Cretekos
Mayor
Attest:
L4 t /iL V tt: C'&i
Rosemarie Call
City Clerk
Ordinance No. 8607 -14