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9620-22 DocuSign Envelope ID:7060F762-2ABB-4739-99F2-DE26DA20F7A1 ORDINANCE NO. 9620-22 AN ORDINANCE OF THE CITY OF CLEARWATER, FLORIDA, AMENDING CODE OF ORDINANCES CHAPTER 2, ARTICLE V, DIVISION 3, EMPLOYEES' PENSION PLAN, TO IMPLEMENT NEGOTIATED BENEFITS FOR NON-HAZARDOUS EMPLOYEES; AMENDING SECTION 2.412 TO REVISE THE DEFINITIONS OF NORMAL RETIREMENT DATE AND VESTING; AMENDING SECTION 2.416 TO PROVIDE FOR FIVE YEAR VESTING AND A 2.5% MULTIPLIER FOR SERVICE EARNED ON OR AFTER OCTOBER 1, 2022; AMENDING SECTION 2.419 TO PROVIDE FOR FIVE YEAR VESTING; PROVIDING FOR INCLUSION IN THE CODE; PROVIDING FOR SEVERABILITY; PROVIDING FOR A REPEALER; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City of Clearwater Employees' Pension Plan (the "Plan") governs the payment of retirement benefits for City employees; WHEREAS, the City, CWA, and FOP recently negotiated to revise the Plan for non-hazardous duty employees; WHEREAS, the Plan's actuary has studied the cost of this amendment; WHEREAS, the Board of Trustees of the City of Clearwater Employees' Pension Fund has prepared this ordinance in consultation with labor and management. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CLEARWATER, FLORIDA, THAT: Section 1: Section 2.412 of the Code of Ordinances of the City of Clearwater is hereby amended as follows: Section 2.412. Definitions. Normal retirement date shall mean (1) For non-hazardous duty employees hired prior to the effective date of this restatement, the earlier of: a. The date on which a participant has reached the age of 55 years and completed 20 years of credited service, or b. The date on which a participant has completed 30 years of credited service regardless of age, or 1 DocuSign Envelope ID:7060F762-2ABB-4739-99F2-DE26DA20F7A1 c. The date on which a participant has reached the age of 65 years and completed ten years of credited service. (2) For non-hazardous duty employees hired on or after the effective date of this restatement, the earlier of: a. The date on which a participant has reached the age of 60 years and completed 25 years of credited service, or b. The date on which a participant has reached the age of 65 years and completed ten years of credited service. Effective October 1, 2022, for non-hazardous duty employees, normal retirement date shall mean the earlier of: c. The date on which a participant has reached the age of 60 years and completed 25 years of credited service, or d. The date on which a participant has reached the age of 65 years and completed five years of credited service. (3) For hazardous duty employees, the date on which a participant has completed 20 years of credited service, or reached the age of 55 years and completed ten years of credited service, which service is of a character or type of employment that is described herein as "hazardous duty" or that the trustees have designated as hazardous duty. (4) For this purpose, a participant's service shall be deemed "hazardous duty" if the participant is a full-time sworn police officer certified in accordance with F.S. § 943.1395, or a full-time sworn firefighter certified in accordance with F.S. § 633.35, and he is employed in police or fire positions as established by the employer. Vesting shall mean the attainment of ten years of creditable service, at which time the member is entitled to service retirement benefits and non-service disability under the terms of the plan. Effective October 1, 2022, vesting for non-hazardous duty employees shall mean the attainment of five (5) years of creditable service. Section 2: Section 2.416 of the Code of Ordinances of the City of Clearwater is hereby amended as follows: Section 2.416. Normal retirement benefit. (a) For non-hazardous duty employees hired prior to the effective date of this 2 DocuSign Envelope ID:7060F762-2ABB-4739-99F2-DE26DA20F7A1 restatement, a member shall be eligible for retirement following the earlier of the date on which a participant has reached the age of 55 years and completed 20 years of credited service; the date on which a participant has reached the age of 65 years and completed ten years of credited service; or the date on which a member has completed 30 years of service regardless of age. For non-hazardous duty employees hired on or after the effective date of this restatement, a member shall be eligible for retirement following the earlier of the date on which a participant has reached the age of 60 years and completed 25 years of credited service; or the date on which a participant has reached the age of 65 years and completed ten years of credited service. Effective October 1, 2022, vesting for non-hazardous duty employees shall mean the attainment of five (5) years of creditable service. For hazardous duty employees, a member shall be eligible for retirement following the earlier of the date on which the participant has completed 20 years of credited service regardless of age, which service is of a character or type of employment that is described herein as "hazardous duty" or that the trustees have designated as hazardous duty; or the date on which the participant has reached the age of 55 years and completed ten years of credited service, which service is of a character or type of employment that is described herein as "hazardous duty" or that the trustees have designated as hazardous duty. (b) For non-hazardous duty employees hired prior to the effective date of this restatement, the normal retirement benefit shall be determined by multiplying two and three quarter percent of final average monthly compensation by the number of years of credited service. For non-hazardous duty employees hired on or after the effective date of this restatement, the normal retirement benefit for all credited service shall be determined by multiplying two percent of final average monthly compensation by the number of years of credited service. Effective October 1, 2022 for non-hazardous duty employees, the normal retirement benefit multiplier for all credited service earned after October 1, 2022 shall be two and one half percent (2.5%). For hazardous duty employees, the normal retirement benefit for all credited service, which service is of a character or type of employment that is described herein as "hazardous duty" or that the trustees have designated as hazardous duty, shall be determined by multiplying two and three quarter percent of final average monthly compensation by the number of years of credited service. Section I Section 2.419 of the Code of Ordinances of the City of Clearwater is hereby amended as follows- 3 DocuSign Envelope ID:7060F762-2ABB-4739-99F2-DE26DA20F7A1 Section 2.419. Termination of employment benefit. (1) In the event a participant's employment with his employer is terminated for reasons other than retirement, disability or death, such participant shall be entitled to receive a termination of employment benefit that is equal to the participant's vested interest in his accrued benefit as of the date of his termination of employment. (2) a. A participant's vested interest in his accrued benefit shall be the following percentage of his accrued benefit, based upon such participant's full years of credited service as of the date of his termination of employment: TOTAL NUMBER OF FULL YEARS VESTED OF CREDITED SERVICE FOR HAZARDOUS DUTY INTEREST EMPLOYEES Less than 10 Years of Credited Service 0% 10 years or more 100% TOTAL NUMBER OF FULL YEARS VESTED OF CREDITED SERVICE FOR NON-HAZARDOUS DUTY INTEREST EMPLOYEES Less than 5 Years of Credited Service 0% 5 years or more 100% Section 4: It is the intention of the City Council, and it is hereby ordained that the provisions of this Ordinance shall become and be made a part of the Code of Ordinances of the City Clearwater, that the sections of the Ordinance may be renumbered or relettered to accomplish such intentions; and that the word "Ordinance" shall be changed to "Section" or other appropriate word. Section 5: If any clause, section, or other part or application of this Ordinance shall be held in any court of competent jurisdiction to be unconstitutional or invalid, such unconstitutional or invalid part or application shall be considered as eliminated and shall not affect the validity of the remaining portions or applications which shall remain in full force and effect. Section 6: All ordinances or parts of ordinances, resolutions, or parts of resolutions in conflict herewith are hereby repealed to the extent of such conflict. 4 DocuSign Envelope ID:7060F762-2ABB-4739-99F2-DE26DA20F7A1 Section 7: This Ordinance shall become effective immediately upon adoption, unless otherwise provided. November 3, 2022 PASSED ON FIRST READING November 17, 2022 PASSED ON SECOND AND FINAL READING AND ADOPTED DacuSigned by: RRRRRIRF4.07dFR Frank Hibbard Mayor DS Approved as to form: Attest: DocuSignedhy; uSigned by: EE � ��ttn�n�N��P.W1.G/�A,C� L.CG1'X. 62�DDSFEDFFE4CF... Owen Kohler Rosemarie Call Lead Assistant City Attorney City Clerk Coding: Words in strikeout type are deletions from existing text. Words in underline type are additions. 5