AGREEMENT FOR CONDUCTING IN CONJUNCTION MUNICIPAL ELECTION - NOVEMBER 6, 2012 AGREEMENT FOR CONDUCTING
NOVEMBER 6, 2012 IN CONJUNCTION MUNICIPAL ELECTION
CITY/TOWN OF CLEARWATER GENERAL ELECTION—NOVEMBER 6,2012
WHEREAS,the City/Town of Clearwater has requested the assistance of the Office of the
County Supervisor of Elections(Supervisor) in conducting its General Election; and
WHEREAS,the Supervisor is agreeable to providing such assistance to the City/Town
subject to the following conditions, considerations and agreements arrived at between the
parties;
IT IS HEREBY AGREED AS FOLLOWS:
GENERAL PROVISIONS
The election is to be conducted under any applicable ordinances of the City/Town and all
sections of Chapters 97-106, Florida Statutes(the State Election Code). It is understood that the
Supervisor is in charge of the election,and that the County Canvassine Board is responsible for
canvassing the election (no cost to the City/Town). The City/Town may have a designated
representative in the canvassing board room. This designee may only serve in an "observer"
capacity and may not participate in the canvassing of the election. The County Canvassing
Board will determine whether a recount is required and advise the City/Town. The County
Canvassing Board will certify the election results and will provide a certificate of election and a
conduct of election report to the City/Town (ONE certificate of election and conduct of election
report will include all elections held on the same day). These documents will be provided to the
City/Town after the County Canvassing Board certifies the official election results.
The Post-Election Audit may not begin until the canvassing board has certified the official
election results.The City/Town is responsible for the costs associated with conducting an
annexation election (mapping annexation areas, reassigning addresses,and mailing new voter
registration cards).
The City/Town is responsible for the costs associated with any legal action or contest of election
arising from its election.The City/Town,the Supervisor of Elections and the County Canvassing
Board agree that the County Attorney's Office will represent the Supervisor of Elections and
County Canvassing Board in any legal action concerning the canvass or certification of the
election.
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AGREEMENT FOR CONDUCTING
NOVEMBER 6 2012 IN CONJUNCTION MUNICIPAL ELECTION
It is understood that the provisions of this contract are based on current state law,and if any
changes in election law should occur during the period of this agreement,those changes will
supersede the terms of this contract where applicable.
The City/Town will provide the Supervisor with the current City/Town definition/boundaries
(which includes ALL current annexations)no later than 5:00 p.m.,August 3,2012. It is the
responsibility of the City/Town to ensure the Supervisor has the current definition/boundary
information so all eligible voters can participate in the City/Town's election. The City/Town
agrees that NO changes to the City/Town definition/boundaries will be made effective
between 5:00 p.m.,August 3,2012,and Midnight, November 6,2012.
This contract must be signed by the City/Town and received by the Supervisor no later than the
ballot language deadline of 5 p.m.,August 3,2012.
The Supervisor will certify to the City/Town the number of registered voters for this election
approximately 10 days prior to the election.
SPECIFIC PROVISIONS(City of Clearwater)
CITY/TOWN CLERK: Rosemarie Call
OFFICE PHONE: (727)562-4092
FAX: (727)562-4086
ELECTION DAY CELL PHONE: (727) 224-2351
ADDRESS: 112 S. Osceola Avenue
P.O. Box 4748
Clearwater, FL 33758-4748
ELECTION TITLE: General Election
ELECTION DATE: November 6,2012
VOTER REGISTRATION DEADLINE: October 9, 2012
(The City/Town Clerk MUST be available from 6 a.m.to 7:30 p.m.on Election Day)
BALLOT INFORMATION (Kim Walker 464-6641)
• Final Ballot Language is due no later than 5:00 a.m..August 3.2012 and must include all
opposed candidate oaths and resolutions and/or ordinances with ballot questions.
• All ballot language must comply with Florida Statutes [101.161(1)] and the Uniform Ballot
Rule (1S-2.032).
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AGREEMENT FOR CONDUCTING
NOVEMBER 6,2012 IN CONJUNCTION MUNICIPAL ELECTION
o Using the Ballot Language Submittal Forms—Complete required information. Include
information and Candidate Oaths for ONLY qualified opposed candidates in ballot order,
and all Charter Amendments/Referendum Questions with SIGNED/APPROVED
Ordinances/Resolutions including numbering for ballot order.
o Scan and Email ballot language to Kim Walker at kwalker @votepinellas.com by the final
ballot language deadline.
BALLOT LAYOUT/PRINTING(Marc Gillette 464-4958)
• The Supervisor is responsible for creating the ballot(ballot layout will comply with Florida
Statutes and the Uniform Ballot Rule).
• The City/Town is responsible for approving the City/Town's portion of ballot.
o Precinct ballots will be printed by the Supervisor.The Supervisor will bill the City/Town 22
cents per ballot card (includes shipping charges) if the City/Town's portion of the ballot
creates an additional ballot card.
• Provisional Ballots(minimum of 25 ballots per precinct)will be printed by the Supervisor.
The Supervisor will bill the City/Town 22 cents per ballot card if the City/Town's portion of
the ballot creates an additional ballot card.
• If the City/Town requires a ballot change after ballots are printed,the City/Town is
responsible for additional costs.
CANDIDATE AUDIO RECORDING (Kim Walker 464-6641)
o The deadline for candidates to record their names and office titles for the audio ballot is
5:00 p.m.,August 10,2012. It is the responsibility of the City/Town to notify City/Town
candidates of this deadline. Candidates must call (727)453-3293; a voice message will
prompt the candidate to record his/her name as indicated on the Candidate Oath and the
office for which the candidate is running.
MAIL/ABSENTEE BALLOTS(Martin Munro 464-67881
• The Supervisor will bill the City/Town 22 cents per ballot card, if the City/Town's portion of
the ballot creates an additional ballot card,used in the initial mailing.
• The Supervisor will bill the City/Town 40 cents per ballot card, if the City/Town's portion of
the ballot creates an additional ballot card,used in daily mailings.
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AGREEMENT FOR CONDUCTING
NOVEMBER 6.2012 IN CONJUNCTION MUNICIPAL ELECTION
• The City/Town will be billed for additional postage if City/Town's portion of the ballot creates
an additional ballot card.
• The deadline for mailing military/overseas mail/absentee ballots is September 22, 2012.
[F.S. 101.62(4)(a)].Tentative Mailing Schedule for military/overseas ballots:The week of
September 17.2012,no later than September 22,2012.
o Domestic ballots must be mailed no earlier than October 2,2012 and no later than
October 9.2012(F.S. 101.62(4)(b)l.
• After the initial mailings, ballots will be mailed daily as requests are received up to the
fourth day prior to the election.
• Duplicate and Test Ballots will be printed by the Supervisor;the Supervisor will bill the
City/Town 40 cents per ballot card if the City/Town's portion of the ballot creates an
additional ballot card.
LEGAL NOTICES(Nancy Whitlock 464-7493)
• The Supervisor is responsible for publishing the canvassing board meeting schedule.
• The Supervisor is responsible for creating the Sample Ballot and publishing it in a
newspaper of general circulation.The City/Town is responsible for the advertising costs
associated with publishing their portion of the sample ballot ad.The Supervisor will bill the
City/Town for the City/Town's portion of the sample ballot ad.
• The Supervisor is responsible for mailing any necessary polling place change notices,one
per household, and publishing the list in a newspaper of general circulation.
• If the City/Town is conducting a special election or special referendum election,the
City/Town is responsible for any additional notices required by Florida law.The City/Town
is responsible for any notices required in its charter or by ordinance.
TESTING BALLOT COUNTING EQUIPMENT(Marc Gillette 464-4958)
o The canvassing board will certify test results of the ballot counting equipment and the
Supervisor will file the election parameters with the Division of Elections.The Supervisor
will publish the canvassing board meeting schedule.The canvassing board meeting
schedule is:
DATE MEETING TIME ACTIVITY
October 17,2012 9:00 a.m. Pre-election test of precinct and early voting ballot scanning
equipment and absentee/provisional ballot scanning equipment[F.S.
101.5612
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AGREEMENT FOR CONDUCTING
NOVEMBER 6 2012 IN CONJUNCTION MUNICIPAL ELECTION
October 22,2012 9:00 a.m. Second test of mail/absentee and provisional ballot scanning
equipment[F.S. 101.5612];Canvass mail/absentee ballots(no earlier
than 15 days prior to election)[F.S. 101.68(2)1
October 23— 900 a.m. Canvass mail/absentee ballots[F.S. 101.68(2)]
November 4 2012 (Meetings If Necessa
November 5,2012 9:00 a.m. Canvass mail/absentee ballots[F.S. 101.68(2)]; Early Voting
processing
November 6,2012 9:00 a.m. Canvass mail/absentee ballots F.S. 10 1.68 2
7:00 p.m. Process election day results
Release unofficial results(does not include provisional ballots or 10-
day overseas mail/absentee ballots
7.30 p.m. Deadline to begin reporting early voting and mail/absentee ballots
results to State F.S. 102.141
November 7—9,2012 9:00 a.m. Canvass provisional ballots F.S. 101.048 (Meetings If Necessary)
November 10,2012 9:00 a.m. Deadline to file Unofficial Election Returns with State (does not
include 10-day overseas mail/absentee ballots)[F.S. 102.141] (No
later than Noon of the 4th day after election (Meeting If Necessary)
November 11 —14,2012 9:00 a.m. (Meetings If Necessary)
November 15,2012 9:00 a.m. Deadline to file 2 Unofficial Election Returns with Statethif
necessary) [F.S. 102.141] (No later than 3 p.m.of the 9 day after
election (Meeting If Necessary)
November 16,2012 9:00 a.m. Deadline for Receipt of 10-Day Overseas Absentee Ballots
[Rule 1 S-2.013] (No later than 10 days from the date of the election)
(Meeting If Necessary)
November 17,2012 9:00 a.m. (Meetiag If Necessa
November 18, 2012 9:00 a.m. Deadline to file Official Election Returns and Conduct of Election
Report with State[F.S. 102.112] (Noon on the 12th day after election)
F.S. 102.141 (Meeting If Necessary)
November 19—21,2012 9:00 a.m. (Meetings/f Necessa
0 All Canvassing Board Meetings will take place at: Election Service Center, 13001 Starkey
Road, Largo
EARLY VOTING(Martin Munro 464-6788)
o Early Voting will be October 27, 2012—November 3, 2012
Early Voting Locations
Election Office-County Courthouse
315 Court St., Room 117
Clearwater, FL 33756-5190
Election Service Center
13001 Starkey Rd.
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AGREEMENT FOR CONDUCTING
NOVEMBER 6, 2012 IN CONJUNCTION MUNICIPAL ELECTION
Largo, FL 33773-1416
Election Office—County Building
501 First Ave. N.
St. Petersburg, FL 33701-3726
Days/Times of Operation
Monday-Friday: 7 a.m.—7 p.m.
Saturday and Sunday:7 a.m.—7—p.m.
o Early Voting ballots will be printed by the Supervisor;the Supervisor will bill the City/Town
40 cents per ballot card if the City/Town's portion of the ballot creates an additional ballot
card.
MAIL/ABSENTEE BALLOT DROPOFF LOCATIONS(Julie Marcus 464-5710)
o The Supervisor will provide mail/absentee ballot dropoff locations. For locations, dates
and times please refer to Exhibit A.
POLL WATCHERS(Kim Walker 464-6641)
• Early Voting poll watcher designations must be submitted to the Supervisor PRIOR TO
NOON October 13,2012 [F.S. 101.131(2)].
• Precinct poll watcher designations for Election Day must be submitted to the Supervisor
PRIOR TO NOON October 23,2012 [F.S. 101.131(2)]).
• The Supervisor shall provide to each designated poll watcher, no later than 7 days prior to
the beginning of early voting and Election Day, a poll watcher identification badge that
identifies the poll watcher by name. Each poll watcher must wear his or her identification
badge while in the early voting area or polling room. [FS 101.131(5)].
OVER-THE-COUNTER BALLOT PICKUP(Martin Munro 464-6788)
o In-office ballot pickup will be available in each of the Supervisor of Elections locations
during the following dates and times:
• September 24—October 26:8 a.m.—5 p.m. (closed weekends and holidays)
• October 27—November 3: 7 a.m.—7 a.m. (Saturdays and Sunday 7 a.m.—7 p.m.)
• November 4—Closed; November 5—8 a.m.—5 p.m.; November 6-7 a.m.—7 p.m.
• The Supervisor will bill the City/Town 40 cents per ballot card if the City/Town's portion
of the ballot creates an additional ballot card.
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AGREEMENT FOR CONDUCTING
NOVEMBER 6, 2012 IN CONJUNCTION MUNICIPAL ELECTION
VOTING EQUIPMENT AND SUPPLIES(Ken Lanphar 464-6788)
• The Supervisor will contract with a moving company to transport the voting equipment and
supplies to and from polling locations.
• Supplies not transported by the moving company will be picked up by the precinct clerks
after Clerks'Class at the Election Service Center.
POLLING PLACES(Karen Key 464-6110)
o The Supervisor will select,contract with and compensate polling places.
POLL WORKERS(Wendy Grimes 464-6110)
o The Supervisor will recruit,assign,train, and compensate ALL poll workers. A Deputy
Sheriff will deputize the poll deputies.
CANVASSING MAIL/ABSENTEE BALLOTS(Martin Munro 464-6788)
o The Supervisor, in the presence of the County Canvassing Board will open and prepare
mail/absentee ballots for tabulation at the Election Service Center.Questionable ballots
will be presented to the County Canvassing Board for decision. Florida Statute 101.68(2)
allows for the canvassing of mail/absentee ballots to begin 15 days prior to the election.
The Canvassing Board/testing schedule reflects ALL possible meeting days.
The Canvassing Board will modify the schedule as needed based on the number of
mail/absentee ballots received. Updates to the canvassing board schedule will be posted
to the Supervisor's Web site.
PROVISIONAL BALLOTS(Martin Munro 464-6788)
o The Supervisor will research each provisional ballot to determine the voter's eligibility and
will present the provisional ballots to the County Canvassing Board for decision.Voters
casting a provisional ballot have two days after Election Day to provide written proof of
eligibility to the County Canvassing Board. The deadline for this election is November 8,
2012 at 5 p.m. [Florida Statute 101.048].All provisional ballots will be canvassed at the
Election Service Center.
ELECTION NIGHT PROCEDURE(Julie Marcus 464-57101
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AGREEMENT FOR CONDUCTING
NOVEMBER 6, 2012 IN CONJUNCTION MUNICIPAL ELECTION
• The Supervisor will have unofficial election results modemed from the polling places to the
Election Service Center.
• The Supervisor will have the Precinct Scanner Memory Sticks,voted precinct and
provisional ballots,and Election Supplies transported to the Election Service Center.
• Results will be released throughout the night and posted to the Supervisor's Web site
(www.votepinellas.com).The Supervisor will provide unofficial results on election night.
AFTER ELECTION DAY(Nancy Whitlock 464-74931
o Provisional ballots will be canvassed. All ballots accepted by the County Canvassing Board
will be processed and added to the election night results to produce Official Election
Results. Provisional ballots cannot be rejected until after the deadline for provisional
voters to provide written proof of eligibility[F.S. 101.048].
• The County Canvassing Board will certify the election results and will provide a certificate
of election and a conduct of election report to the City/Town (ONE certificate of election
and conduct of election report will include all elections held on the same day). These
documents will be provided to the City/Town via email after the County Canvassing Board
certifies the official election results.
• The County Canvassing Board will conduct a post-election audit in accordance with F.S.
101.591 and Division of Elections administrative rule 1S-5.026. The Supervisor will post the
required post-election audit notices to the Supervisor's Web site and at each elections
office. The Supervisor will provide a copy of the notices via email to the City/Town to post
at City/Town Hall (and Web site, if applicable). The Supervisor will post the final post-
election audit report to the Supervisor's Web site and will provide to the City/Town a copy
of the report,via email,to post to City/Town Web site, if applicable, after the County
Canvassing Board completes the audit.
o Election materials will remain sealed at the Election Service Center for the
duration of the public records retention period.
o The Supervisor of Elections in accordance with Florida Statute 98.0981(2)will
report precinct-level results to the Department of State within 30 days following
the election.
DATA PROCESSING ORDERS(Nicole Foelio 464-4958)
o City/Town to place orders directly with the Data Center staff.
Page 8 kw 6/26/12
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AGREEMENT FOR CONDUCTING
NOVEMBER 6. 2012 IN CONJUNCTION MUNICIPAL ELECTIO � ��C`�
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o City/Town has requested and will be billed for the voter list on CD-ROIV� ' in �6'�lays
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VOTER HISTORY: ��p����O,f,�
o When voter history is completed, the City/Town will be provided with the names of those
who voted. Information to be provided on CD Rom.
ELECTION COSTS (Lori Sullivan 464-6108)
o There will be a 10-cent election administration fee per registered voter.
By affixing their signatures hereto, the parties acknowledge each to the other that they have full
authority to enter into this Contract.
APPROV : , APPROVED:
aUQ:P.�,�-� �--�.
DEBORAH C Print name (������-m 4. N��^e-��L
Supervisor of Elections City Manager
Pinellas County, Florida
DATED: L� 3� DATED: � I� Il�
APPROVED AS TO FORM: APPROVED AS TO FORM:
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JEWE ITE Print name i�4vv� e.l �4 k• 1� ��ni
Sr. As ' nt County Attorney City/Town Attorney
DATED: g z V� DATED: � 3D I�
ATTEST TO:
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Print name ��s�r
Municipal Clerk
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BALLOT LANGUAGE FORM
MUNICIPALITY: (TOWN OR CITY): CLEARWATER
SUBMITTED BY: ROSEMARIE CALL
DATE OF ELECTION: NOVEMBER 6, 2012
QUESTION
Number of referenda(um): 2
NO. 1
REFERENDUM QUESTION
City of Clearwater amended and restated General Employees Pension Plan
Shall the Employee Pension Plan adopted by Ordinance No. 8333-12, meeting requirements of
IRS-qualified plan; extending normal retirement date, decreasing multiplier, and changing
beneficiary options for nonhazardous duty new hires; addressing reemployment; increasing
employee contributions and changing overtime inclusion calculation for certain hazardous duty
employees; delaying cost-of-living pension increase and changing beneficiary options for
employees not eligible to retire; making changes to disability retirement provisions; making other
changes; providing for applicability; be approved?
NO. 2
REFERENDUM QUESTION
Providing City Council with the authority to grant Economic Development Ad Valorem
Tax Exemptions
Shall the City Council of the City of Clearwater be authorized to grant, pursuant to s. 3, Art. VII
of the State Constitution, ad valorem tax exemptions to new businesses and expansions of
existing businesses that are expected to create new, full-time jobs in the City of Clearwater?
ATTACHED: ORDINANCES 8333-12 AND 8338-12 AS ADOPTED
ORDINANCE NO. 8333-12
AN ORDINANCE OF THE CITY OF CLEARWATER, FLORIDA
AMENDING AND RESTATING THE PROVISIONS OF
CHAPTER 2, ARTICLE V., DIVISION 3., OF THE CITY OF
CLEARWATER CODE OF ORDINANCES; MAKING FINDINGS;
ADOPTING A REVISED EMPLOYEES' PENSION PLAN;
PROVIDING FOR SEVERABILITY; PROVIDING FOR A
REFERENDUM ELECTION RELATING TO THE PENSION
PLAN; PROVIDING FOR A REFERENDUM QUESTION TO
APPEAR ON THE BALLOT FOR SAID REFERENDUM;
PROVIDING AN EFFECTIVE DATE.
WHEREAS, the City of Clearwater has previously adopted the City of Clearwater
Employees' Pension Plan, which has been amended from time to time and codified as
Division 3 of Article V. of Chapter 2 of the Clearwater Code of Ordinances: and
WHEREAS, the City is authorized and empowered to amend the Plan and
subsequently submit the same to the voters of the City of Clearwater for approval at a
Referendum; and
WHEREAS, the City negotiated Plan changes in concept with employee unions,
which changes were ratified by vote of the applicable bargaining units, and the City now
finds and deems that it is necessary and in the best interest of the Plan participants and the
City to adopt an amended and restated Plan; now therefore,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
CLEARWATER, FLORIDA:
Section 1. Division 3 of Article V. of Chapter 2 of the City of Clearwater Code of
Ordinances is hereby amended, revised and restated by adopting Sections 2.391
through 2.428 effective as of January 1, 2013, to read as follows:
Section 1: Part II, Subpart A, Chapter 2, Article V, Division 3 of the Code of Ordinances of the City
of Clearwater is hereby restated as follows:
Sec. 2.391 Amendment and restatement and name of the plan.
A pension plan is hereby amended and restated in accordance with the terms hereof
and shall be known as the "City of Clearwater Employees' Pension Fund." This
restatement (Sections 2.391 through 2.401) shall apply only to those participants of the
Plan who have attained a vested benefit and terminated their employment with the City
of Clearwater prior to the effective date of the restatement provided for in Sections 2.410
through 2.428 of the Code of Ordinances of the City of Clearwater as described
hereafter.
1
r
Sec. 2.392. -Purpose of the plan and the trust.
(a) Exclusive benebt.
(1) This plan is created for the sole purpose of providing benefits to the
participants. Except as otherwise permitted by law (including payment of
expenses as set forth in paragraph (i) of section 2.399), in no event shall
any part of the principal or income of the pension fund 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.
(2) Notwithstanding the foregoing provisions of subparagraph (1), 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. The circumstances as to whether a mistake of fact has
occurred shall be reviewed by the committee, which shall submit a written
recommendation to the trustees. Notwithstanding the committee's
recommendation, the trustees shall have final authority as to the
determination of a mistake of fact.
(b) 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 trustees, the committee or the principal or the income of the
pension fund, 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.
(c) Qualified plan. This plan and the assets comprising the pension fund are
intended to qualify under the Internal Revenue Code as a tax-free employees'
plan and trust, and the provisions of this plan should be interpreted accordingly.
Sec. 2.393. -Definitions.
[For the purposes of this division, certain terms shall have the meanings ascribed to
them in this section, unless the context clearly indicates otherwise.]
Accrued benefit shall mean, as of a specked time, the normal retirement benefit as set
forth in section 2.397.
Actuarial equivalent shall mean a benefit of equivalent current value to the benefit that
would otherwise have been provided to the participant, determined in accordance with
the rules established by the employer and on the basis of appropriate actuarial methods
and the following actuarial assumptions:
(1) Mortality. 1983 Group Annuity Mortality Table (Unisex).
(2) Interest.Seven percent per annum, compounded annually.
2
Annual additions shall mean for limitation years beginning on or after December 31,
1986, the sum of:
(1) The amount of employer contributions allocated to the participant during
any limitation year under any defined contribution plan maintained by an
employer;
(2) The amount of the employee's contributions (other than rollover
contributions, if any) to any contributory defined contribution plan
maintained by an employer or an affiliate;
(3) Any forfeitures allocated to the participant under any defined contribution
plan maintained by an employer or an affiliate; or
(4) Amounts allocated to an individual medical account, as defined in Section
415(1)(2) of the Internal Revenue Code that is part of a pension or annuity
plan maintained by an employer and amounts derived from contributions
that are attributable to post-retirement medical benefits allocated to the
separate account of a key employee (as defined in Section 419A(d)(3) of
the Internal Revenue Code) under a welfare benefit plan (as defined in
Section 419(e) of the Internal Revenue Code) maintained by an employer
or an affiliate; provided, however, the percentage limitation set forth in
Section 415 (c)(1)(B) of the Internal Revenue Code shall not apply to: (A)
any contribution for medical benefits (within the meaning of Section
419A(f)(2) of the Internal Revenue Code) after separation from service
which is otherwise treated as an "annual addition," or (2) any amount
otherwise treated as an "annual addition" under Section 415(1)(1) of the
Internal Revenue Code.
Average monthly compensation shall mean one-twelfth of the average compensation of
the five best years of the last ten years of credited service prior to retirement,
termination, or death, or the career average as a full-time participant, whichever is
greater.A year shall be 12 consecutive months.
Committee shall mean the pension advisory committee described in section 2.394.
Compensation:
(1) Compensation shall mean the total compensation for services rendered to
the city as a participant reportable on the participant's W-2 form, including
indemnity benefits received pursuant to the workers' compensation law,
plus all tax deferred, tax sheltered, or tax exempt items of income derived
from elective employee payroll deductions or salary reductions, but
excluding lump sum leave pay paid upon retirement, lump sum payments
of accrued sick leave paid upon retirement, pay for off-duty employment,
clothing, car, or meal allowances, relocation expense payments, benefits
under this plan, any amount contributed to any pension, employee
welfare, life insurance or health insurance plan or arrangement, or any
3
other fringe benefits, welfare benefits, or employer paid deferred
compensation. Compensation in excess of the limitations set forth in
Section 401(a)(17) of the Code shall be disregarded. The limitation on
compensation for an "eligible employee" shall not be less than the
amount which was allowed to be taken into account hereunder as in
effect on July 1, 1993. "Eligible employee" is an individual who was a
participant before the first plan year beginning after December 31, 1995.
(2) a. In addition to other applicable limitations set forth in the plan, and
notwithstanding any other provision of the plan to the contrary, for
plan years beginning on or after January 1, 1996, the annual
compensation of each employee taken into account under the
plan shall not exceed the OBRA '93 annual compensation limit.
The OBRA '93 annual compensation limit is $200,000.00, as
adjusted by the commissioner for increases in the cost of living in
accordance with Section 401(a)(17)(B) of the Internal Revenue
Code. The cost-of-living adjustment in effect for a calendar year
applies to any period, not exceeding 12 months, over which
compensation is determined (determination period) beginning in
such calendar year. If a determination period consists of fewer
than 12 months, the OBRA '93 annual compensation limit will be
multiplied by a fraction, the numerator of which is the number of
months in the determination period, and the denominator of which
is 12.
b. For plan years beginning on or after January 1, 1996, any
reference in this plan to the limitation under Section 401(a)(17) of
the Internal Revenue Code shall mean the OBRA '93 annual
compensation limit set forth in this provision.
C. The limitation on compensation for an"eligible"employee shall not
be less than the amount which was allowed to be taken into
account hereunder as in effect on July 1, 1993. "Eligible
employee" is an individual who was a participant before the first
plan year beginning December 31, 1995.
(3) For purposes of determining whether compensation exceeds the dollar
limit under Section 401(a)(17) of the Internal Revenue Code, if any
employee is a family member of a highly compensated employee who is
one of the ten highly compensated employees paid the greatest amount
of compensation during the plan year, then such family member shall not
be considered as a separate employee and any compensation paid to
such family member shall be treated as if it were paid to or on behalf of
the related highly compensated employee.
Early retirement date shall mean the date on which a police officer or firefighter
participant has reached the age of 50 years and completed ten years of credited service.
Effective date of this amendment and restatement shall mean January 1, 1996.
4
Employee:
(1) Employee shall mean any person employed by the employer as a full-
time permanent employee other than:
a. Individuals who have failed a comprehensive physical exam and
by reason of such fact have not been recommended for
acceptance into the plan by the committee or approved by the
trustees,
b. Persons hired on a contractual basis, and
C. Employees exempt from the employer's civil service classified
service system (unclassified employees)for whom an employment
agreement letter establishes conditions of employment; provided,
however, if a person was a participant in the plan prior to being
employed in a position described in this subparagraph c., he shall
continue to participate in the plan.
(2) The trustees shall have the right to determine from time to time which
persons are full-time permanent employees for purposes of the plan;
provided, however, that all persons covered by the civil service ordinance
of the employer who are employed on a full-time basis shall be
considered full-time permanent employees for purposes of the plan.
(3) Permanent part-time, emergency, seasonal and provisional employees
shall not be"employees"eligible to participate in the plan.
Employer shall mean the City of Clearwater.
Family member of a highly compensated employee shall mean such employee's spouse,
lineal descendant or ascendant, or the spouse of his lineal descendant or ascendant;
provided, however, that for purposes of determining the limit on a highly compensated
employee's compensation under Section 401(a)(17) of the Internal Revenue Code, the
term "family member' shall include only the employee's spouse and his lineal
descendants who have not attained age 19 before the close of the plan year.
Firefighter shall mean an actively employed full-time person employed by the city
including his initial probationary employment period, who is certified as a firefighter as a
condition of employment in accordance with the provisions of§ 633.35, Florida Statutes,
and whose duty it is to extinguish fires,to protect life and to protect property.
5
Highly compensated employee shall mean any employee during the plan year or the
immediately preceding plan year:
(1) Whose Section 415 Compensation was more than $75,000.00 (adjusted
under such regulations as may be issued by the secretary of the
treasury); or
(2) Whose Section 415 Compensation was more than $50,000.00 (adjusted
under such regulations as may be issued by the secretary of the
treasury), and who was a member of the "top paid group'; provided, that
as used herein, "top paid group" shall mean all employees who are in the
top 20 percent of the employer's work force on the basis of Section 415
Compensation paid during the year; provided,further, that for purposes of
determining the number of employees in the top paid group, employees
described in Section 414(q)(8) of the Internal Revenue Code shall be
excluded.
(3) In determining who is a highly compensated employee, employees who
are nonresident aliens and who receive no earned income (within the
meaning of Section 911(d)(2) of the Internal Revenue Code) from the
employer constituting United States source income (within the meaning of
Section 861(a)(3) of the Internal Revenue Code) shall not be treated as
employees.
(4) For purposes of this paragraph, the determination of Section 415
Compensation shall be based only on section 415 Compensation that is
actually paid and shall be made by including elective or salary reduction
contributions to a plan described in Section 125 of the Internal Revenue
Code, a plan described in Section 401(k) of the Internal Revenue Code or
a plan described in Section 403(b) of the Internal Revenue Code.
(5) The term "highly compensated employee" shall also mean any former
employee who separated from service (or was deemed to have separated
from service) prior to the plan year, performs no service for the employer
during the plan year, and was an actively employed highly compensated
employee in the separation year or any plan year ending on or after the
date the employee attained age 55.
(6) For purposes of determining whether an employee is a highly
compensated employee, if any employee is a family member of a highly
compensated employee who is one of the ten highly compensated
employees paid the greatest amount of compensation during the plan
year, then such family member shall not be considered as a separate
employee and any compensation paid to such family member (and any
applicable benefit or contribution on behalf of such family member) shall
be treated as if it were paid to or on behalf of the related highly
compensated employee.
6
Internal Revenue Code shall mean the Internal Revenue Code of 1986 as amended or
any successor statute. Reference to a specific section of the Internal Revenue Code
shall include a reference to any successor provision.
Limitation year shall mean the plan year.
Normal retirement benefit shall mean the monthly income payable to a retired participant
pursuant to the provisions of section 2.397 of this plan.
Normal retirement date shall mean
(1) The earlier of:
a. The date on which a participant has reached the age of 55 years
and completed 20 years of credited service,
b. The date on which a participant has completed 30 years of
credited service regardless of age, or
C. The date on which a participant has reached the age of 65 years
and completed ten years of credited service, or
d. The date on which a participant has completed 20 years of
credited service, or reached the age of 55 and completed ten
years of credited service, which service is of a character or type of
employment that is described below as "hazardous duty" or that
the trustees have designated as hazardous duty.
(2) 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 firefighter certified in
accordance with F.S. § 633.35, and he is employed in police or fire
positions as established by the employer.
Participant shall mean any eligible employee of the employer who has commenced
participation and is contributing under the plan.
Pension fund shall mean the pension fund established pursuant to section 2.399.
Plan shall mean the pension plan as herein set forth and as it may be amended from
time to time.
Plan year shall mean the 12-month period ending on December 31.
7
Police officer shall mean an actively employed full-time person, employed by the city,
including employment during his initial probationary employment period, who is certified
as a police officer as a condition of employment in accordance with the provisions of
F.S. §943.1395,who is vested with authority to bear arms and make arrests, and whose
primary responsibility is the prevention and detection of crime or the enforcement of the
penal, traffic or highway laws of the state.
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.
Trustee or trustees shall mean the individual or individuals, as the context requires,
designated as trustee pursuant to section 2.394.
Years of credited service shall mean the total number of years and fractional parts of
years of service credited as an employee of the employer during periods of participation
in the plan, omitting intervening years or fractional parts of years when an employee is
not employed by the employer or not participating in the plan (except as may otherwise
be provided in rules established by the committee and approved by the trustees).
Sec. 2.394. -Plan administration.
(a) Administration of the plan. The trustees, in conjunction with the committee, shall
control and manage, the operation and administration of the plan as provided in
this division.
(b) Trustees.
(1) The members of the city commission of the employer, whether elected or
appointed, shall serve as the trustees. The term of office of each trustee
shall be consistent with his term of office as a member of the city
commission.
(2) The finance director of the employer shall be the treasurer for the trustees
and shall provide such bond as may be prescribed by the trustees.
(3) Each trustee shall be entitled to one vote. Three affirmative votes shall be
necessary for any decision by the trustees at a meeting of the trustees. A
trustee shall have the right to recuse himself from voting as the result of a
conflict of interest provided that the trustee states in writing the nature of
the conflict.
(4) The trustees shall not receive any compensation for service as a trustee,
but may be reimbursed expenses as provided by law; provided, however,
that the trustees may receive compensation for services as a member of
the city commission.
8
(c) Powers and duties of trustees. The trustees shall have final authority and control
over the administration of the plan herein embodied, with all powers necessary to
enable them to carry out their duties in that respect. Not in limitation, but in
amplification of the foregoing, the trustees shall have the power and discretion to
interpret or construe this plan and to determine all questions that may arise as to
the status and rights of the participants and others hereunder.
(d) Pension advisory committee.
(1) a. There shall be a pension advisory committee comprised of seven
persons. Three members of the committee shall be employees
who are active employees and participants in the plan; three
members shall be city commissioners or appointees of the city
commission; and the seventh member, who shall be a resident of
the City of Clearwater, shall be appointed by the other six
members.
b. Except as provided in subparagraph (3) below, terms of members
shall be for two years.
(2) Committee members representing the employees shall be elected by a
majority of the active employees who are participants in the plan.
Committee members representing the city commission shall be appointed
by a majority vote of the city commission. The seventh member shall be
appointed by a majority vote of the other six members of the committee.
(3) Terms of office of employee elected committee members shall overlap,
with two of the members to be initially elected for two years and the third
member to be initially elected for one year. Terms of office of city
commission appointed members shall overlap, with two of the members
to be initially appointed for two years and the third member to be initially
appointed for one year.
(4) a. Members of the committee last elected by employees on the date
of adoption of this amended and restated plan shall continue to
serve as the employee elected committee members for the
remainder of their respective terms.
b. Not less than 60 days before each election to be scheduled for an
employee elected committee member, the existing employee
elected committee members, shall select and appoint a nominee
group composed of five persons from employees participating in
the plan to conduct the election process. The department of the
city clerk shall provide necessary assistance to the employees for
the administration of elections.
(5) Any vacancy on the committee, whether employee elected, city
commission appointed, or the committee appointed seventh member,
shall be filled for the remainder of the term and in the same manner as
the original committee member who vacated the position.
9
(6) Members of the committee shall serve without compensation additional to
that earned in their respective capacities as regular employees or elected
city commissioners.
(7) Each committee member shall be entitled to one vote. Four affirmative
votes shall be necessary for any decision by the committee at any
meeting. A committee member shall have the right to recuse himseff from
voting as a result of a conflict of interest provided that the committee
member states in writing the nature of the conflict.
(e) Powers and duties of committee.
(1) The committee shall have authority to:
a. Arrange for the necessary physicians to pass upon all medical
examinations required under this plan. Such physicians shall
report in writing to the committee their conclusions and
recommendations. The committee shall review such physicians'
reports and prepare its recommendations as to the acceptance or
denial of employees as participants and forward same to the
trustees.
b. In conjunction with the employer and medical consultants,
establish the scope of the medical examinations to be used for
benefit eligibility and medical standards to be used for benefit
eligibility and to guide the examining physicians in reaching their
conclusions and recommendations. Such medical standards shall
give due consideration to the nature of the job classification in
which participants are to be placed.
C. Investigate and recommend to the trustees, in conjunction with the
actuaries, such mortality/service and other tables as shall be
deemed necessary for the operation of the plan.
d. Make recommendations to the trustees for improvements or
changes in the plan.
e. Receive all applications for benefits under this plan and determine
all facts that are necessary to establish the right of an applicant to
benefits under the plan.
f. Prepare and distribute to the participants information relating to
the plan.
g. Investigate and determine the eligibility of participants for disability
pension as provided in section 2.397, paragraph (c).
(2) The committee shall, from time to time as it deems appropriate, submit
recommendations to the trustees as to rules, procedures, forms and
general administrative procedures relating to the responsibilities of the
committee.
10
(3) No benefits or relief shall be provided to any participant under the plan
unless the same has been reviewed by the committee and a
recommendation provided to the trustees.
(f) Conflict in terms. In the event of any conflict between the terms of this plan and
any explanatory booklet, this plan shall control.
(g) Nondiscrimination. The trustees and the committee shall not take any action
whatsoever that would result in unfairly benefiting one participant or group of
participants at the expense of another or in discriminating between participants
similarly situated or in the application of different rules to substantially similar sets
of facts.
(h) Procedures and records.
(1) The trustees and, subject to the approval of the trustees, the committee,
may establish rules and procedures as are necessary to administer the
plan, which rules and procedures shall be applied in a uniform and
nondiscriminatory manner.
(2) The trustees and the committee shall keep a complete record of all their
proceedings and all data necessary for the administration of the plan. All
of the foregoing records and data shall be located at the principal office of
the employer.
(i) Final authority. Except to the extent otherwise required by law or by this plan, the
decision of the trustees in matters within their jurisdiction shall be final, binding
and conclusive upon the employer, the committee, each employee and
beneficiary, and every other interested or concerned person or party.
(j) Appointment of advisors. The trustees may appoint such actuaries, accountants,
professional investment counsel, legal counsel, specialists, third party pension
administrators, and other persons that they deem necessary and desirable in
connection with the administration of this plan or to assist them in the
performance of their duties as trustees. The trustees are authorized to pay for
such services from the pension fund.
Sec. 2.395. -Participation.
(a) Participation.
(1) Unless otherwise provided herein, all employees of the employer shall be
required to make the contributions specified in section 2.396 and shall be
required to participate in the plan.
(2) Any employee who is a participant and who by reason of appointment has
or may become an official of the employer shall be eligible to continue
participation in the plan in the same manner as any other employee.
11
(b) Reemployment.
(1) If a participant terminates employment with the employer and is
subsequently reemployed within the five-year period following his
termination of employment, the former participant shall again be eligible
to participate in the plan and his credited service shall be based on all
periods of employment, provided he:
a. Again satisfies the definition of "employee" set forth in section
2.393 (including passing the comprehensive physical
examination), and
b. Repays the amount of any employee contributions he received in
accordance with paragraph (d)(4)of section 2.397
(2) Notwithstanding the foregoing, an employee who is reemployed after his
benefits have commenced under the plan (other than disability benefits
pursuant to paragraph (c) of section 2.397) shall not be eligible to
participate in the plan upon his subsequent reemployment.
(c) Separation from employment for military service.
(1) The years or fractional parts of a year that a participant serves in the
military service of the Armed Forces of the United States, the United
States Merchant Marine or the United States Coast Guard, voluntarily or
involuntarily, after separation from employment as an employee 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:
a. The participant must return to his employment as an employee
within one year from the earlier of the date of his military
discharge or his release from service.
b. The participant deposits into the plan the same sum that the
participant would have contributed if he had remained an
employee during his absence. The participant must deposit all
missed contributions within a period equal to three times the
period of military service, but not more than five years from the
date of reemployment or he will forfeit the right to receive credited
service for his military service pursuant to this section, except that
a police officer or firefighter participant shall not be required to
deposit contributions to receive credited service.
C. The maximum credit for military service pursuant to this section
shall be five years.
d. The participant must have been discharged or released from
service under honorable conditions.
12
e. 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.
Sec. 2.396. -Contributions to the plan.
(a) Employee contributions.
(1) For each plan year, an employee required to participate in the plan shall
make regular contributions to the plan in the amount of eight percent of
his compensation. Employee contributions withheld by the employer on
behalf of the employee shall be deposited with the trustees at least
monthly, except that such contributions shall be deposited immediately
after each pay period for police officer and firefighter participants.
(2) The contributions made by each employee under the plan shall be
designated as employer contributions pursuant to Section 414(h) of the
Internal Revenue Code. Such designation is contingent upon the
contributions being excluded from the employees' gross income for
federal income tax purposes. For all other purposes of the plan, such
contributions shall be considered employee contributions.
(b) Employer contributions.
(1) For each plan year, the employer shall make contributions to the plan in
an amount equal to
a. Seven percent of the compensation of all employees participating
in the plan; provided, however, that for the plan year beginning
January 1, 1996, the employer contribution to the plan may be
less than seven percent (but in no event less than six percent) of
the compensation of all employees participating in the plan; plus
b. Such additional amounts as may be required to satisfy the plan's
funding requirements for the plan year and the cost of
administering the plan, as determined by the actuary employed by
the trustees.
(2) The amount described in subparagraph (a)(2) above may be reduced by
any available credit balance in accordance with applicable Florida
Statutes.
(c) Form and timing of contributions. Payments on account of the contributions due
from the employer for any plan year shall be made in cash. Such payments may
be made by the employer in accordance with the requirements of applicable
Florida Statutes.
13
(d) Forfeitures. Any amount forfeited pursuant to the provisions of this plan shall be
used in accordance with Section 1.401-7(a)of the Income Tax Regulations.
Sec. 2.397. -Benefits under the plan.
(a) Normal retirement benefit.
(1) A participant shall be entitled to retire from the employ of his employer
upon such participant's normal retirement date.
(2) Upon reaching his normal retirement date, a participant shall be fully
vested in his accrued benefit and shall be entitled to receive, at the time
and in the manner described in section 2.398, his normal retirement
benefit. Subject to the provisions of paragraph (e)of this section 2.397
a. The normal retirement benefit shall be a monthly income, paid in
accordance with the normal form of benefit described below, that
is equal to the product of:
1. Two and one-half percent of the participant's average
monthly compensation, multiplied by
2. The participant's years of credited service.
b. Effective for plan years beginning on or after January 1, 1996, in
the case of employees who are performing active service on
behalf of the employer on January 1, 1996, "two and three-
quarters percent" shall be substituted for 'two and one-half
percent" in subparagraph a. above. An employee will be deemed
to be performing active service if he is actively employed by the
employer (working on a continuous basis), inclusive of light duty
assignments made by the employer and the use of sick leave,
vacation leave, military leave, family medical leave, or other
approved leaves of absence from which the employee is
anticipated to return to regular duty. This subparagraph b. shall
not apply to employees who, as of January 1, 1996, no longer
perform active service for the employer but who remain on the
employer's payroll and are compensated for a given period on the
basis of vacation time, sick leave, severance benefits or any other
type of leave of absence and whose employment with the
employer is expected to terminate following such compensated
period.
14
(3) a. The normal form of benefit shall be an annuity paid monthly for the
life of the participant, with a 100 percent survivor annuity paid
monthly for a period of five years following the death of the
participant to the beneficiary or beneficiaries described in
paragraph (e) of this section 2.397; provided, further, that
following such five year period the survivor annuity shall be
reduced to 50 percent of the original survivor annuity amount,
except that, if greater for police officers and firefighters, the normal
form of benefit shall be an annuity paid monthly for the life of the
participant with 120 payments guaranteed.
b. The survivor annuity paid to the participant's beneficiary or
beneficiaries in accordance with subparagraph (3)a. above shall
cease following
1. The last day of the month in which occurs the designated
beneficiary's death or remarriage, if such designated
beneficiary is the participant's spouse, or
2. The last day of the month in which occurs the designated
beneficiary's death or attainment of age 18, if the
designated beneficiary is the participant's child or children.
(4) In the event that a participant does not begin to receive his normal
retirement benefit at his normal retirement date, such participant shall be
entitled to the benefit he was entitled to receive at his normal retirement
date, adjusted to take into account his average monthly compensation
and years of credited service as of his actual retirement date.
(b) Early retirement benefiit.
(1) A participant shall be entitled to retire from the employ of his employer
upon such participant's early retirement date.
(2) Upon reaching his early retirement date, the participant shall be fully
vested in his accrued benefit and shall be entitled to receive, at the time
and in the manner described in section 2.398, his early retirement benefit.
(3) A participant's early retirement benefit for police officer and firefighter
participants shall be determined in accordance with the provisions of
paragraph (a) above, and the amount of such benefit otherwise payable
under paragraph (a)shall be reduced by three percent per year.
(4) If a participant separates from service before satisfying the age
requirement for early retirement, but has satisfied the service
requirement, the participant will be entitled to an early retirement benefit
upon satisfaction of such age requirement.
15
(c) Disability benefit.
(1) a. A participant who is vested in his accrued benefit and who
terminates employment by reason of his disability shall be entitled
to receive, at the time and in the manner described in section
2.398, a disability benefit equal to his accrued benefit as of the
date of termination of his employment.
b. A participant who is deemed by the committee to be disabled by
reason of an injury suffered or an illness contracted in the line of
duty need not satisfy the vesting requirement set forth in
subparagraph (1)a. above; provided, further, that the monthly
amount of the disability benefit payable to a participant described
in this subparagraph (1)b. shall not be less than 662/3 percent of
such participant's average monthly compensation.
C. The provisions of this paragraph c. shall apply to participants who
are determined by the committee to be disabled on or after
January 1, 1996.
(2) A participant shall be considered disabled for purposes of the plan if, in
the opinion of the committee, the participant is disabled due to sickness
or injury, such disability is likely to be continuous and permanent from a
cause other than specified in subparagraph (3) below, and such disability
renders the participant unable to perform any useful, meaningful and
necessary work for the employer in an available position for which the
participant is reasonably qualified or for which the participant may be
reasonably trained to perform, subject to the limitations below.
a. Any police officer or firefighter participant who shall become totally
and permanently disabled to the extent that he is unable, by reason
of a medically determinable physical or mental impairment, to
render useful and efficient service as a police officer or firefighter,
shall, upon establishing the same to the satisfaction of the board,
be entitled to a monthly pension provided for in subparagraph
(c)(1). Terminated persons, either vested or non-vested, are not
eligible for disability benefits, except that those terminated by the
city for medical reasons may apply for a disability within 30 days
after termination.
b. If a participant employed in a position other than as a sworn and
state certified police officer or a state certified firefighter is
disabled to the extent that he can not reasonably continue to
perform the functions of his speck position, but remains capable
of performing useful, meaningful and necessary work, he may be
assigned to an alternate position with the employer in lieu of
receiving disability benefits under the plan. For this purpose, the
participant may be assigned to any other position with the
employer that is available for which the participant has the skill
and knowledge to perform or for which the participant can
reasonably be trained to perform, such assignment to be with no
16
loss of base pay regardless of whether the assignment to such
position is at an equal or lower level.
C. For purposes of this paragraph (c)(2), the term "base pay" shall be
defined as compensation at the rate prescribed for the particular
job class in the employer's pay schedule.
d. The trustees of the plan shall make the determination in each
instance if a participant who has been found disabled pursuant to
paragraph (c)(2) above may be assigned to an alternate position
with the employer as provided in (c)(2)a. and b. hereof.
(3) a. Each participant who is not a police officer or firefighter who is
claiming disability benefits shall establish, to the satisfaction of the
committee, that such disability was not occasioned primarily by:
1. Excessive or habitual use of any drugs intoxicants, or
alcohol;
2. Injury or disease sustained while willfully and illegally
participating in fights, riots or civil insurrections;
3. Injury or disease sustained while committing a crime;
4. Injury or disease sustained while serving in any branch of
the Armed Forces;
5. Injury or disease sustained after his employment as an
employee with the employer shall have terminated;
6. Willful,wanton or gross negligence of the participant; or
7. Injury or disease sustained by the participant while working
for anyone other than the employer and arising out of such
employment.
8. A condition pre-existing the participant's participation in the
plan. No participant shall be entitled to a disability pension,
whether in line of duty or not in line of duty, because of or
due to the aggravation of a speck injury, impairment or
other medical condition pre-existing at the time of
participation in the plan, provided that such pre-existing
condition and its relationship to a later injury, impairment or
other medical condition be established by competent
substantial evidence. Nothing herein shall be construed to
preclude a disability pension to a participant who, after
membership in the plan, suffers an injury, impairment or
other medical condition different from some other injury,
impairment, or other medical condition existing at or prior
to said participation.
17
b. Each police officer or firefighter participant, who is claiming
disability benefits, shall establish to the satisfaction of the
committee, that such disability was not occasioned primarily by,
(except that paragraph 5 is only applicable to police officers):
1. Excessive or habitual use of any drugs, intoxicants or
narcotics.
2. Injury or disease sustained while willfully and illegally
participating in fights, riots or civil insurrections or while
committing a crime.
3. Injury or disease sustained while serving in any branch of
the Armed Forces.
4. Injury or disease sustained by the participant after his
employment as a police officer or firefighter with the City of
Clearwater shall have terminated.
5. For police officer participants, injury or disease sustained
by the participant while working for anyone other than the
city and arising out of such employment.
(4) a. A participant shall not become eligible for disability benefits until
and unless he undergoes a physical examination by a qualified
physician or physicians, who shall be selected by the committee
for that purpose.
b. 1. Any former participant receiving disability benefits under
provisions of this plan may be periodically re-examined by
a qualified physician or physicians who shall be selected
by the committee to determine if such disability has ceased
to exist or if the former participant may be employed in an
available position for which the participant is reasonably
qualified in accordance with the provisions in paragraph
(c)(2) above. If the committee finds that the former
participant is no longer disabled or is capable of performing
service for the employer in accordance with the provisions
of subparagraph (2) above,the committee may request the
former participant to return to the employ of the employer.
If the former participant returns to the performance of duty
as an employee, he shall again be eligible to participate in
the plan. In the event a former participant is no longer
disabled or is deemed capable of returning to employment
with the employer in accordance with the provisions of
subparagraph (2) above, and he does not return to
employment with the employer pursuant to the committee's
request, he shall forfeit the right to his disability benefit;
provided further, that if an employee accepts employment
with another employer in an occupation or line of work
similar to the occupation or line of work that resulted in the
18
employee being eligible for a disability benefit hereunder,
he shall forfeit the right to his disability benefit.
2. A participant who returns to employment with the employer
and recommences participation in the plan shall not
receive credited service for the period during which he
received disability benefits under the plan.
C. The cost of the physical examination and/or re-examination of the
employee claiming and/or receiving disability benefits shall be
borne by the plan. All other reasonable costs as determined by the
committee incident to the physical examination, such as, but not
limited to,transportation and meals, shall be borne by the plan.
d. The committee may establish such other rules and procedures as
it deems necessary to implement the provisions of this paragraph
C.
(5) A participant whose employment is terminated by reason of his death in
the line of duty shall, for purposes of the plan, be deemed to have been
disabled in the line of duty, and the participant's beneficiary shall be
entitled to receive a disability benefit as described in paragraph (c)(1)
above.
(6) If a participant receives a disability benefit under the plan and workers'
compensation benefits pursuant to F.S. Ch. 440 for the same disability,
and the total monthly benefits received from both exceed 100 percent of
the participant's average monthly wage, as defined in F.S. Ch. 440,
excluding overtime, the disability benefit shall be reduced so that the total
monthly amount received by the participant does not exceed 100 percent
of such wage. The amount of any lump sum workers' compensation
payment shall be converted to an equivalent monthly benefit payable for
ten years certain by dividing the lump sum amount by [section) 83.9692.
Notwithstanding the foregoing, in no event shall the disability pension
benefit of a police officer or firefighter participant be reduced below the
greater of 42 percent of average final compensation or two percent of
average final compensation times years of credited service.
(7) In-Line of Duty Presumptions.
a. Presumption. Any condition or impairment of health of a police
officer or firefighter participant caused by hypertension or heart
disease shall be presumed to have been suffered in line of duty
unless the contrary is shown by competent evidence, provided
that such participant shall have successfully passed a physical
examination upon entering into such service, including cardiogram
for police officer participants, which examination failed to reveal
any evidence of such condition; and provided further, that such
presumption shall not apply to benefits payable or granted in a
policy of life insurance or disability insurance.
19
b. Additional presumption. The presumption provided for in this
paragraph b. shall apply only to those conditions described in this
paragraph b.that are diagnosed on or after January 1, 1996.
1. Definitions. As used in this subsection 7.b., the following
definitions apply:
(i) "Body fluids" means blood and body fluids
containing visible blood and other body fluids to
which universal precautions for prevention of
occupational transmission of blood-borne
pathogens, as established by the Centers for
Disease Control, apply. For purposes of potential
transmission of meningococcal meningitis or
tuberculosis, the term "body fluids" includes
respiratory, salivary, and sinus fluids, including
droplets, sputum, and saliva, mucous, and other
fluids through which infectious airborne organisms
can be transmitted between persons.
(ii) "Emergency rescue or public safety member"
means any participant employed full time by the city
as a firefighter, paramedic, emergency medical
technician, law enforcement officer, or correctional
officer who, in the course of employment, runs a
high risk of occupational exposure to hepatitis,
meningococcal meningitis, or tuberculosis and who
is not employed elsewhere in a similar capacity.
However, the term "emergency rescue or public
safety member" does not include any person
employed by a public hospital licensed under
Chapter 395, Florida Statutes, or any person
employed by a subsidiary thereof.
(iii) "Hepatitis"means hepatitis A, hepatitis B, hepatitis
non-A, hepatitis non-B, hepatitis C, or any other
strain of hepatitis generally recognized by the
medical community.
(iv) "High risk of occupational exposure" means that
risk that is incurred because a person subject to the
provisions of this subsection, in performing the
basic duties associated with his employment:
a) Provides emergency medical treatment in a
non-health-care setting where there is a
potential for transfer of body fluids between
persons;
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b) At the site of an accident, fire, or other
rescue or public safety operation, or in an
emergency rescue or public safety vehicle,
handles body fluids in or out of containers or
works with or otherwise handles needles or
other sharp instruments exposed to body
fluids;
C) Engages in the pursuit, apprehension, and
arrest of law violators or suspected law
violators and, in performing such duties,
may be exposed to body fluids; or
d) Is responsible for the custody, and physical
restraint when necessary, of prisoners or
inmates within a prison, jail, or other
criminal detention facility, while on work
detail outside the facility, or while being
transported and, in performing such duties,
may be exposed to body fluids.
(v) "Occupational exposure," in the case of hepatitis,
meningococcal meningitis, or tuberculosis, means
an exposure that occurs during the performance of
job duties that may place a worker at risk of
infection.
2. Presumption. Any emergency rescue or public safety
participant who suffers a condition or impairment of health
that is caused by hepatitis, meningococcal meningitis, or
tuberculosis, that requires medical treatment, and that
results in total or partial disability or death shall be
presumed to have a disability suffered in the line of duty,
unless the contrary is shown by competent evidence;
however, in order to be entitled to the presumption, the
participant must, by written affidavit as provided in § 92.50,
Florida Statutes, verify by written declaration that, to the
best of his knowledge and belief:
(i) In the case of a medical condition caused by or
derived from hepatitis, he has not:
a) Been exposed, through transfer of bodily
fluids, to any person known to have
sickness or medical conditions derived from
hepatitis, outside the scope of his
employment;
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b) Had a transfusion of blood or blood
components, other than a transfusion
arising out of an accident or injury
happening in connection with his present
employment, or received any blood
products for the treatment of a coagulation
disorder since last undergoing medical tests
for hepatitis, which tests failed to indicate
the presence of hepatitis;
c) Engaged in unsafe sexual practices or other
high-risk behavior, as identified by the
Centers for Disease Control or the Surgeon
General of the United States or had sexual
relations with a person known to him to
have engaged in such unsafe sexual
practices or other high-risk behavior; or
d) Used intravenous drugs not prescribed by a
physician.
(ii) In the case of meningococcal meningitis, in the ten
days immediately preceding diagnosis he was not
exposed, outside the scope of his employment, to
any person known to have meningococcal
meningitis or known to be an asymptomatic carrier
of the disease.
(iii) In the case of tuberculosis, in the period of time
since the participant's last negative tuberculosis
skin test, he has not been exposed, outside the
scope of his employment, to any person known by
him to have tuberculosis.
3. Immunization. Whenever any standard, medically
recognized vaccine or other form of immunization or
prophylaxis exists for the prevention of a communicable
disease for which a presumption is granted under this
section, if medically indicated in the given circumstances
pursuant to immunization policies established by the
Advisory Committee on Immunization Practices of the U.S.
Public Health Service, an emergency rescue or public
safety participant may be required by the city to undergo
the immunization or prophylaxis unless the participant's
physician determines in writing that the immunization or
other prophylaxis would pose a significant risk to the
participant's health.Absent such written declaration, failure
or refusal by an emergency rescue or public safety
participant to undergo such immunization or prophylaxis
disqualifies the participant from the benefits of the
presumption.
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4. Record of exposures. The city shall maintain a record of
any known or reasonably suspected exposure of an
emergency rescue or public safety participant in its employ
to the disease described in this section and shall
immediately notify the participant of such exposure. An
emergency rescue or public safety participant shall file an
incident or accident report with the city of each instance of
known or suspected occupational exposure to hepatitis
infection, meningococcal meningitis, or tuberculosis.
5. Required medical tests, preemployment physical. In order
to be entitled to the presumption provided by this section:
(i) An emergency rescue or public safety participant
must, prior to diagnosis, have undergone standard,
medically acceptable tests for evidence of the
communicable disease for which the presumption is
sought, or evidence of medical conditions derived
therefrom, which tests fail to indicate the presence
of infection. This paragraph does not apply in the
case of meningococcal meningitis.
(ii) On or after June 15, 1995, an emergency rescue or
public safety participant may be required to
undergo a preemployment physical examination
that tests for and fails to reveal any evidence of
hepatitis or tuberculosis.
(d) 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, at the time and in the manner described in
section 2.398, 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 INTEREST
Less than 10 Years of Credited Service 0%
10 years or more 100%
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b. Notwithstanding the foregoing schedule, a participant shall be fully
vested in his accrued benefit upon attaining his early retirement
date or his normal retirement date.
(3) A participant who terminates employment with the employer prior to his
early retirement date or his normal retirement date may elect to receive
the total contributions he has made to the plan, together with five percent
simple interest on such contributions. Upon making such election, the
participant's interest in his accrued benefit shall be forfeited.
(4) If a participant terminates employment prior to his early retirement date or
his normal retirement date and receives a distribution of his contributions
(plus interest thereon) and is subsequently reemployed and again
becomes a participant in this plan, his credited service for purposes of
vesting and benefit accruals shall not include any periods of employment
prior to his reemployment date unless he repays to the pension fund the
greater of (i) the full amount previously distributed to him plus interest at
the rate of five percent per annum from the date of distribution to the date
of repayment or (ii) the actuarial present value of the accrued benefit
previously forfeited. Such repayment must be made no later than the
second anniversary of the participant's reemployment, except that if it is
made by a police officer or firefighter participant no later than 90 days
after reemployment, such repayment shall be the full amount previously
distributed to him plus interest at a rate determined by the trustees. If a
participant repays the foregoing amount to the pension fund within the
prescribed time period, the interest of the participant in his accrued
benefit previously forfeited under subparagraph (3) above shall be
restored in full and the participant's credited service shall be based on all
periods of employment.
(e) Death benefit.
(1) a. 1. In the event of the death of a participant who is vested in
his accrued benefit prior to his termination of employment,
his beneficiary (as described below) shall be entitled to
receive a death benefit at the time and in the manner
described in section 2.398. Said death benefit shall be in
an amount equal to the accrued benefit of such participant
as of the date of his death.
2. The participant's beneficiary may elect to receive, in lieu of
the death benefit under the plan, the total contributions
made by the participant to the plan, together with five
percent simple interest on such contributions. Upon
making such election, the participant's beneficiary shall
forfeit any right to a death benefit under the plan.
3. If the participant does not have a beneficiary, the total
contributions made by the participant to the plan, together
with five percent simple interest on such contributions,
shall be paid to the participant's estate.
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b. In the event of the death of a participant who is not vested in his
accrued benefit prior to his termination of employment, his
beneficiary (or, if there is no beneficiary, his estate) shall be
entitled to receive the total contributions made by the participant to
the plan, together with five percent simple interest on such
contributions.
(2) A participant whose employment is terminated by reason of his death in
the line of duty shall be deemed, for purposes of the plan, to have been
disabled in the line of duty and his benefit shall be determined in
accordance with paragraph (c)(5) of this section 2.397
(3) The participant's surviving spouse shall be deemed to be the beneficiary
designated to receive the death benefit payable under the plan, and if
none, his children under the age of 18 who are the participant's
dependents (within the meaning of Section 152 of the Internal Revenue
Code) at the time of his death.
(4) If the total contributions made by the participant to the plan, together with
five percent simple interest on such contributions, exceed the value of the
death benefit paid under the plan, the amount by which such contributions
(including interest thereon) exceed the value of the death benefit paid
under the plan shall be paid to the participant's estate.
(f) Cost-of-living adjustment. Commencing on April 1, 2000, the monthly amount
payable to all participants, beneficiaries and survivors who have received at least
six monthly benefit payments as of each April 1, shall receive an annual cost-of-
living adjustment on each April equal to one and one-half percent.
(g) Limitations on amount of benefits.
(1) Basic limitation. Subject to the adjustments hereinafter set forth, the
maximum amount of annual retirement income payable with respect to a
participant under this plan shall not exceed $160,000.00.
For purposes of applying the above limitation, benefits payable in any
form other than a straight life annuity with no ancillary benefits shall be
adjusted, as provided by treasury regulations, so that such benefits are
the actuarial equivalent of a straight life annuity. For purposes of this
section,the following benefits shall not be taken into account:
a. Any ancillary benefit which is not directly related to retirement
income benefits;
b. Any other benefit not required under § 415(b)(2) of the code and
regulations thereunder to be taken into account for purposes of
the limitation of§415(b)(1) of the code.
25
(2) Participation in other defined benefit plans. The limitation of this section
with respect to any participant who at any time has been a participant in
any other defined benefit plan (as defined in § 4140) of the code)
maintained by the city shall apply as if the total benefits payable under all
defined benefit plans in which the participant has been a participant were
payable from one plan.
(3) Adjustments in limitations.
a. In the event the participant's retirement benefits become payable
before age 62, the $160,000.00 limitation prescribed by this
section shall be reduced in accordance with regulations issued by
the secretary of the treasury pursuant to the provisions of§415(b)
of the Code, so that such limitation (as so reduced) equals an
annual benefit (beginning when such retirement income benefit
begins) which is equivalent to a $160,000.00 annual benefit
beginning at age 62.
b. In the event a police officer or firefighter participant's benefit is
based on at least 15 years of credited service, the adjustments
provided for in a. above shall not apply.
C. The reductions provided for in a. above shall not be applicable to
disability benefits paid pursuant to Section 2.397(c), or pre-
retirement death benefits paid pursuant to section 2.397(e).
d. In the event the participant's retirement benefit becomes payable
after age 65, for purposes of determining whether this benefit
meets the limitation set forth in subsection (1) herein, such benefit
shall be adjusted so that it is actuarially equivalent to the benefit
beginning at age 65. This adjustment shall be made in accordance
with regulations promulgated by the Secretary of the Treasury or
his delegate.
(4) Less than ten years of service. The maximum retirement benefits payable
under this section to any participant who has completed less than ten
years of credited service with the city shall be the amount determined
under subsection (1) of this section multiplied by a fraction, the numerator
of which is the number of the participant's years of credited service and
the denominator of which is ten. The reduction provided for in this
subsection shall not be applicable to disability benefits paid pursuant to
section 2.397(c), or pre-retirement death benefits paid pursuant to section
2.397(e).
26
(5) Ten thousand dollar limit. Notwithstanding the foregoing, the retirement
benefit payable with respect to a participant shall be deemed not to
exceed the limitations set forth in this section if the benefits payable, with
respect to such participant under this plan and under all other qualified
defined benefit pension plans to which the city contributes, do not exceed
$10,000.00 for the applicable plan year and for any prior plan year and
the city has not at any time maintained a qualified defined contribution
plan in which the participant participated.
(6) [Reserved.]
(7) Reduction of benefits. Reduction of benefits and/or contributions to all
plans, where required, shall be accomplished by first reducing the
participant's benefit under any defined benefit plans in which participant
participated, such reduction to be made first with respect to the plan in
which participant most recently accrued benefits and thereafter in such
priority as shall be determined by the board and the plan administrator of
such other plans, and next, by reducing or allocating excess forfeitures for
defined contribution plans in which the participant participated, such
reduction to be made first with respect to the plan in which participant
most recently accrued benefits and thereafter in such priority as shall be
established by the board and the plan administrator for such other plans
provided, however, that necessary reductions may be made in a different
manner and priority pursuant to the agreement of the board and the plan
administrator of all other plans covering such participant.
(8) Cost-of-living adjustments. The limitations as stated in subsections (1),
(2),(3) and (6) herein shall be adjusted to the time payment of a benefit
begins in accordance with any cost-of-living adjustments prescribed by
the secretary of the treasury pursuant to§415(d) of the code.
(9) This subparagraph (9) shall apply to the amount of benefit (as such term
is described below) under this plan for any participant who is considered
a restricted participant (as such term is described below). Such benefit
shall be limited to an amount equal to the payments that would have been
made on behalf of the restricted participant under a life annuity form of
payment that is the actuarial equivalent of the restricted participant's
accrued benefit under the plan.
a. For purposes of this subparagraph (9), the term "benefit" shall
include retirement income provided by the plan, plus loans in
excess of the amounts set forth in § 72(p)(2)(A) of the Internal
Revenue Code, any periodic income, any withdrawal values
payable to a living participant and any death benefits not provided
for by insurance on the participant's life.
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b. For purposes of this subparagraph (9), the term "restricted
participant" shall mean all highly compensated employees. In any
one plan year, the total number of participants whose benefits are
subject to restriction under this subparagraph (9) shall be limited
by the plan to a group of not less than 25 highly compensated
employees with the greatest compensation.
C. Notwithstanding the foregoing, the limitations set forth in this
subparagraph (9) shall not restrict the current payment of the full
amount of retirement income provided by the plan if:
1. After payment to a restricted participant of all of the benefit
described above, the value of plan assets equals or
exceeds 100 percent of the value of current liabilities, as
defined in§412(1)(7)of the Internal Revenue Code, or
2. The value of the benefit described above for a restricted
participant is less than one percent of the value of current
liabilities, as defined in § 412(1)(7) of the Internal Revenue
Code.
(h) Forfeiture of pension.
(1) Any participant 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 plan, except for the return of
his accumulated contributions as of the date of termination. Specked
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 specked 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.
28
(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 specked offense. Prior to forfeiture,
the board shall hold a hearing on which notice shall be given to the
participant whose benefits are being considered for forfeiture. Said
participant shall be afforded the right to have an attorney present. No
formal rules of evidence shall apply, but the participant shall be afforded a
full opportunity to present his case against forfeiture.
(4) Any participant who has received benefits from the plan in excess of his
accumulated contributions after participant's rights were forfeited shall be
required to pay back to the plan the amount of the benefits received in
excess of his accumulated contributions. The board may implement all
legal action necessary to recover such funds.
(5) Conviction and forfeiture; false, misleading or fraudulent statements for
police officer and firefighter participants.
a. It is unlawful for a person to willfully and knowingly make, or cause
to be made, or to assist, conspire with, or urge another to make,
or cause to be made, any false, fraudulent, or misleading oral or
written statement or withhold or conceal material information to
obtain any benefit from the plan.
b. A person who violates subsection a. commits a misdemeanor of
the first degree, punishable as provided in § 775.082 or §
775.083, Florida Statutes.
C. In addition to any applicable criminal penalty, upon conviction for a
violation described in subsection a., a police officer or firefighter
participant or beneficiary of the plan may, in the discretion of the
board, be required to forfeit the right to receive any or all benefits
to which the person would otherwise be entitled under the plan.
For purposes of this subsection, "conviction" means a
determination of guilt that is the result of a plea or trial, regardless
of whether adjudication is withheld.
29
Sec. 2.398.-Time and manner of benefit payments.
(a) Time for distribution of benefits.
(1) Except as otherwise provided under this section 2.398
a. 1. The amount of the normal retirement benefit to which a
participant is entitled under paragraph (a) of section 2.397
shall commence as of the end of the month that next
follows the month in which the participant terminates
employment on or after his normal retirement date,
continuing as of the last day of each month thereafter
during his lifetime and the lifetime of his beneficiary, if any;
2. No payment shall be made with respect to the month in
which participant terminates employment on or after his
normal retirement date; provided, however, that a full
monthly payment will be made for the month in which the
participant or his beneficiary dies.
b. 1. The amount of the early retirement benefit to which a
participant is entitled under paragraph (b) of section 2.397
shall commence as of the end of the month that next
follows the month in which the participant terminates
employment on or after his early retirement date and elects
to receive an early retirement benefit, continuing as of the
last day of each month thereafter during his lifetime and
the lifetime of his beneficiary, if any;
2. No payment shall be made with respect to the month in
which the participant terminates employment on or after
has early retirement date; provided, however, that a full
monthly payment will be made for the month in which the
participant or his beneficiary dies.
C. 1. The amount of the disability benefit to which a participant is
entitled under paragraph (c) of section 2.397 shall
commence as of the end of the month that next follows the
later of(1) the month in which a determination is made as
to the participant's disability or (2) the month in which the
participant terminates employment, continuing as of the
last day of each month thereafter during his lifetime and
the lifetime of his beneficiary, if any. With respect to police
officer and firefighter participants, 120 payments shall be
guaranteed in any event;
30
2. No payment shall be made with respect to the month in
which a determination is made as to the participant's
disability or the month in which the participant terminates
employment; provided, however, that a full monthly
payment will be made for the month in which the
participant or his beneficiary dies.
3. Provided, however, the disability retiree may select, at any
time prior to the date on which benefit payments begin, an
optional form of benefit payment as described in section
2.398 (b)(2)1. or 3., which shall be the actuarial equivalent
of the normal form of benefit.
d. 1. The amount of the termination of employment benefit to
which a participant is entitled under paragraph (d) of
section 2.397 shall commence as of the earlier of (1) the
end of the month that next follows the month in which the
participant attains his early retirement date (or would have
attained his early retirement date if he had continued in the
employ of the employer until his early retirement date) or
(2) the end of the month that next follows the month in
which the participant attains his normal retirement date (or
would have attained his normal retirement date if he had
continued in the employ of the employer until his normal
retirement date), continuing as of the last day of each
month thereafter during his lifetime and the lifetime of his
beneficiary, if any;
2. No payment shall be made with respect to the month in
which the participant attains his early retirement (or would
have attained his early retirement date if he had continued
in the employ of the employer until his early retirement
date) or his normal retirement date (or would have attained
his normal retirement date if he had continued in the
employ of the employer until his normal retirement date);
provided, however, that a full monthly payment will be
made for the month in which the participant or his
beneficiary dies.
e. 1. The death benefit payable to a participant's beneficiary
under paragraph (e) of section 2.397 shall commence as of
the end of the month that next follows the month in which
the participant dies, continuing as of the last day of each
month thereafter during the lifetime of his beneficiary;
2. No payment shall be made with respect to the month in
which the participant dies; provided, however, that a full
monthly payment will be made for the month in which the
beneficiary dies.
31
(2) Notwithstanding anything contained herein to the contrary, any
distribution paid to a participant (or, in the case of a death benefit, to his
beneficiary or beneficiaries) pursuant to subparagraph (1) shall
commence not later than the last to occur of:
a. April 1 of the year following the calendar year in which the
participant retires on or after his early retirement date or his
normal retirement date; or
b. April 1 of the year immediately following the calendar year in
which the participant reaches age 70'2.
(b) Manner of payment.
(1) a. The manner of payment of a participant's retirement, disability or
termination of employment benefit shall be the normal form of
payment described in paragraph (a)(3)of section 2:397
b. The manner of payment of a participants death benefit shall be
the normal form of survivor annuity payment described in
paragraph (a)(3)of section 2.397
(2) a. In lieu of the normal form of payment described in subparagraph
(1)a. above, a participant's retirement, disability or termination of
employment benefit may be paid in one of the following optional
forms as elected by the participant. The optional forms, which
shall be the actuarial equivalent of the benefit that would
otherwise be paid to the participant, are as follows:
1. Monthly income payments for the life of the participant.
2. Monthly income payments for a ten years certain and life
thereafter, under which the participant receives payments
during his lifetime and, if he dies after he has begun to
receive payments but before he has received 120
payments, the remaining payments shall be made to his
designated beneficiary; provided, further, that if the
designated beneficiary predeceases the participant, the
participant may designate a new beneficiary to receive any
payments due after his death. If the participant does not
designate a new beneficiary, the payments required under
this option following the participant's death shall be paid to
the participant's estate. If the designated beneficiary
begins to receive payments under this option and such
designated beneficiary dies before the end of the ten-year
period, the remaining payments shall be paid to the
designated beneficiary's estate.
32
3. Monthly income payments for the life of the participant and,
after his death, a survivor annuity payable for the life of the
participant's designated beneficiary equal to 100 percent,
75 percent, 662/3 percent (for police officer and firefighter
participants only) or 50 percent of the amount payable to
the participant. Police officer and firefighter participants
shall be permitted to change his joint annuitant as provided
for in 175.171, 175.333, 185.161 and 185.341.
b. Each participant shall have the right to designate a beneficiary for
purposes of the optional forms of benefit payment described in
this paragraph and to revoke any such designation. Each
designation or revocation shall be evidenced by written instrument
filed with the committee and shall be effective upon filing with the
committee.
(3) In the case of a retirement, disability or termination of employment
benefit, in no event shall payment extend beyond the life or life
expectancy of the participant or the joint lives or life expectancies of the
participant and his designated beneficiary. If the participant dies before
receiving the entire amount payable to him, the balance shall be
distributed to his designated beneficiary at least as rapidly as under the
method being used prior to the participant's death.
(4) In the case of a death benefit, payment
a. To the designated beneficiary shall begin within one year following
the participant's death (unless the designated beneficiary is the
participant's spouse, in which case such benefit shall begin no
later than the date the participant would have reached 70%) and
shall not, in any event, extend beyond the life or life expectancy of
the designated beneficiary; or
b. To any other beneficiary shall be totally distributed within five
years from the date of the participant's death.
(5) The participant (or his spouse) shall not be permitted to elect whether life
expectancies will be recalculated for purposes of distributions hereunder.
(6) Notwithstanding the foregoing, payments under any of the options
described in this paragraph shall satisfy the incidental death benefit
requirements and all other applicable provisions of Section 401(a)(9) of
the Internal Revenue Code, the regulations issued thereunder (including
Prop. Reg. Section 1.401(a)(9)(2), and such other rules thereunder as
may be prescribed by the secretary of the treasury.
(7) The committee may purchase and distribute a nontransferable and
nonrefundable annuity contract to provide any benefit under the plan paid
in the form of an annuity.
33
(c) Lump sum payment. Notwithstanding anything contained in this plan to the
contrary, any benefit payable under the plan, the actuarial lump sum present
value of which is not more than $3,500.00, shall be paid in a lump sum as soon
as practicable following the participant's termination of employment.
(d) No payment unless sufficient funds. No benefits shall be paid under this plan
unless at the time of such benefit payment the pension fund has sufficient assets
to pay such benefits; provided, that in the event the assets in the pension fund
are not sufficient to pay the benefit amounts due under the plan, the employer
shall make additional contributions to the plan pursuant to paragraph (b) of
section 2.396
(e) Direct transfers of eligible rollovers distributions.
(1) Rollover distributions. This section applies to distributions made on or
after January 1, 2002. Notwithstanding any provisions of the plan to the
contrary that would otherwise limit a distributee's (as defined below)
election under this paragraph, a distributee may elect, at the time and in
the manner prescribed by the committee, to have any portion of an
eligible rollover distribution (as defined below) paid directly to an eligible
retirement plan (as defined below) specified by the distributee in a direct
rollover(as defined below).
(2) For purposes of this paragraph, the following terms shall have the
following meanings:
a. 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
Internal Revenue Code Section 401(a)(9), and the portion of any
distribution that is not includable in gross income (determined
without regard to the exclusion for net unrealized appreciation with
respect to employer securities). Any portion of any distribution
which would be includable in gross income will be an eligible
rollover distribution if the distribution is made to an individual
retirement account described in Internal Revenue Code Section
408(a), to an individual retirement annuity described in Internal
Revenue Code Section 408(b) or to a qualified defined
contribution plan described in Internal Revenue Code Section
401(a) or 403(a)that agrees to separately account for amounts so
transferred, 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.
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b. An "eligible retirement plan" is an individual retirement account
described in Code Section 408(a), an individual retirement annuity
described in Internal Revenue Code Section 408(b), an annuity
plan described in Internal Revenue Code Section 403(a), an
eligible deferred compensation plan described in Internal Revenue
Code Section 457(b) which is maintained by an eligible employer
described in Internal Revenue Code Section 457(e)(1)(A) and
which agrees to separately account for amounts transferred into
such plan from this plan, an annuity contract described in Internal
Revenue Code Section 403(b), or a qualified trust described in
Internal Revenue Code Section 401(a), that accepts the
distributees eligible rollover distribution. This definition shall apply
in the case of an eligible rollover distribution to the surviving
spouse.
C. A "distributee" includes an employee or former employee. In
addition, the employee's or former employee's surviving spouse
and the employee's or former employee's spouse or former
spouse who is the alternate payee under a qualified domestic
relations order, as defined in Internal Revenue Code Section
414(p), are distributees with regard to the interest of the spouse or
former spouse.
d. A "direct rollover" is a payment by the plan to the eligible
retirement plan specked by the distributee.
Sec. 2.399. - Establishment and operation of pension fund.
(a) Establishment of fund.
(1) As part of the plan, there is hereby established the pension fund, into
which shall be deposited all of the contributions and assets whatsoever
attributable to the plan.
(2) The pension fund shall be held in trust by the trustees and the trustees
shall be vested with full legal title to the pension fund; provided, further,
that the actual custody and supervision of the pension fund shall be
vested in the trustees.
(3) The assets of the pension fund may be deposited by the trustees with an
official designated by the employer, 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 for the employer. However, any assets
so deposited with the designated official of the employer shall be kept in a
separate fund or clearly identified as assets of the pension fund. In lieu
thereof, the trustees may deposit the funds of the pension fund in a
qualified public depository as defined in F.S. § 280.02, which depository
with regard to such assets shall conform to and be bound by all of the
provisions of F.S. Ch. 280.
35
(b) Records. All assets attributable to the plan may be commingled in the pension
fund, provided that accurate records are maintained at all times reflecting the
financial composition of the pension fund, including accurate current accounts
and entries as regards the following:
(1) Current amounts of accumulated contributions of employees on an
individual account basis;
(2) Receipts and disbursements;
(3) Benefit payments;
(4) All interest, dividends and gains (or losses); and
(5) Such other entries as may be properly required so as to reflect a clear
and complete financial report of the pension fund.
(c). Powers and duties of trustees.The trustees may:
(1) Invest and reinvest the assets of the pension fund in annuity (including
group annuity contracts of the pension investment type) and life insurance
contracts of legal reserve life insurance companies licensed to do
business in the State of Florida, in amounts sufficient to provide, in whole
or in part, benefits to which all of the participants shall be or become
entitled under the provisions of the plan, and pay the initial and
subsequent premiums thereon.
(2) Invest and reinvest the assets of the pension fund in:
a. Time deposits, savings accounts, money market accounts, funds,
certificates of deposits, or money market certificates of a national
bank, a state bank, or a savings, building and loan association
insured by the Federal Deposit Insurance Corporation or
collateralized by United States Government of Agency securities.
b. Negotiable direct obligations of, or obligations the principal and
interest of which are unconditionally guaranteed by, and which
carry the full faith and credit of the United States Government and
its agencies. Investments in this category would include but not be
limited to the following: United States Treasury Bills, Notes and
Bonds, and securities issued by the Small Business
Administration, Government National Mortgage Association
(Ginnie Mae), Veterans Administration, and Federal Housing
Administration.
36
i
C. Fully collateralized United States Agency obligations which carry
an implied guarantee and the implied full faith and credit of the
United States government. Investments in this category would
include but not be limited to the following: obligations of the
Federal Home Loan Banks System (FHLB) or its distinct banks
and Financing Corporation (FICO).
d. Other United States Agency obligations which carry an implied
guarantee and the implied full faith and credit of the United States
Government. Investments in this category would include but not
be limited to the following: obligations of the Federal Farm Credit
Bank, Federal National Mortgage Association (Fannie Mae),
Federal Home Loan Mortgage Corporation (Freddie Mac), Student
Loan Marketing Association (Sallie Mae), Financial Assistance
Corporation and Federal Agriculture Mortgage Corporation
(Farmer Mac).
e. Collateralized Mortgage Obligations (CMO) and/or Real Estate
Mortgage Investment Conduits (REMIC), rated investment grade
or equivalent by Standard and Poor's, Moody's Fitch, or other
recognized national rating agencies which are backed by
securities otherwise authorized in this ordinance and which are
guaranteed as to the timely payment of principal and interest by
the U.S. Government or its agencies.
f. County bonds containing a pledge of the full faith and credit of the
county involved, bonds of the Florida development commission, or
of any other state agency, which have been approved as to legal
and fiscal sufficiency by the state board of administration.
g. Obligations of any municipal authority issued pursuant to the laws
of this state; provided, however, that for each of the five years
next preceding the date of investment, the income of such
authority available for fixed charges shall have been not less than
one and one-half times its average annual fixed charge
requirements over the life of its obligations.
h. Common stocks, preferred stocks and bonds and other evidence
of indebtedness 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 or any
non-U.S. corporation, provided:
1. The corporation is listed on any one or more of the
recognized national or international stock exchanges
and/or in the case of bonds and mortgage backed
securities, traded among dealers and investors in a
recognized and agreed upon conventional format;
37
2. All corporate bonds shall carry an investment grade rating
as established either by Standard & Poor's, Moody's,
Fitch or other recognized rating agencies; and
3. Not more than five percent of the assets of the pension
fund shall be invested in the common stock or capital stock
of any one issuing company nor shall the aggregate
investment any one issuing company exceed five percent
of the outstanding capital stock of that company; nor shall
the non-U.S. investments exceed ten percent of the
pension fund's assets at cost; nor shall the aggregate of
the investments under this subparagraph at cost exceed
sixty-five percent of the pension fund's assets at cost.
(i) Notwithstanding any limitations to the contrary
contained in this section, trustees shall have the
authority to diversify the fund by investing pension
assets to the full extent permitted by Florida law
under F.S. §§ 112.661, 175.071, 185.06, and
215.47.
(ii) Notwithstanding any provision to the contrary,
direct investments, including real estate
investments, in businesses or property located
within the City of Clearwater shall be prohibited
(3) Cause any pension fund investment in securities 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 form permitting
transferability, but the books and records shall at all times show that all
investments are part of the pension fund.
(4) Vote upon any stocks, bonds, or securities of any corporation,
association, or trust and give general or speck proxies or powers of
attorney with or without power of substitution; participate in mergers,
reorganizations, recapitalizations, consolidations, and similar transactions
with respect to such securities; deposit such stock or other securities in
any voting trust or any protective or like committee with the trustees or
with depositories designated thereby; amortize or fail to amortize any part
or all of the premium or discount resulting from the acquisition or
disposition of assets; and generally exercise any of the powers of an
owner with respect to stocks, bonds, or other investments comprising the
pension fund which it may deem to be to the best interest of the pension
fund to exercise.
(5) Retain in cash and keep unproductive of income such amount of the
pension fund as it may deem advisable, having regard for the cash
requirements of the plan.
38
(6) Retain the services of a custodian bank, an investment advisor registered
under Investment Advisors Act of 1940 or otherwise exempt from such
required registration, an insurance company, trust company or a.
combination of these, for the purposes of investment decisions and
management. Such investment manager shall have discretion, subject to
any guidelines as prescribed by the trustees, in the investment of all
pension fund assets.
(d) Prudent man rule. The committee and the trustees of this plan and all other
persons occupying a fiduciary position under this plan in the administration of this
plan and in investing and reinvesting assets of the pension fund shall utilize and
be governed by the prudent man rule.
(e) Receipt of information. Where any action which the committee and/or the
trustees are required to take or any duty or function which they are required to
perform either under the terms herein or under the general law applicable to the
committee and/or the trustees under this plan can reasonably be taken or
performed only after receipt from a participant, the employer, or any other entity,
of speck information, certification, direction or instructions, the committee
and/or the trustees 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.
(f) Overpayments and underpayments. Any overpayments or underpayments from
the pension fund to a participant or beneficiary caused by errors of computation
shall be adjusted with interest at a rate per annum approved by the trustees.
Overpayment shall be charged against payments next succeeding the correction.
Underpayments shall be made up from the pension fund.
(g) Appointment of agents. Any of the foregoing powers and functions reposed in the
trustees may be performed or carried out by the trustees through duly authorized
agents, provided that the trustees at all times maintain continuous supervision
over the acts of any such agent; provided further, that legal title to the pension
fund shall always remain in the trustees.
(h) Independent audit. An independent audit shall be performed annually by a
certified public accountant for the most recent fiscal year of the employer. Such
report shall reflect items normally included in a certified audit.
(i) Expenses of administration.
(1) a. The assets of the pension fund may be used to pay all expenses
of the administration of the plan and the pension fund, including
the compensation of any investment manager, the expense
incurred by the trustees or the committee in discharging its duties,
all income or other taxes of any kind whatsoever that may be
levied or assessed under existing or future laws upon or in respect
of the pension fund, and any interest that may be payable on
money borrowed by the trustees for the purpose of the pension
fund, as well as any settlements or judgments entered with
respect to the plan.
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b. The employer may pay the expenses of the plan and the pension
fund. Any such payment by the employer shall not be deemed a
contribution to this plan.
(2) Notwithstanding anything contained herein to the contrary, no excise tax
or other liability imposed upon the trustees or any other person for failure
to comply with the provisions of any federal law shall be subject to
payment or reimbursement from the assets of the pension fund.
(3) No individual trustee or committee member shall be entitled to
compensation from the trust (except for the reimbursement of expenses
properly and actually incurred).
Sec. 2.400. -Amendment and termination.
(a) Amendment of plan. The city commission of the employer shall have continuous
power to amend this plan in whole or in part; provided, however, that no such
amendment, except as permitted by law:
(1) Shall become effective until and unless it is ratified by a majority of the
qualified electors of the City of Clearwater voting either in a general
election or in a special election called and held for the purpose of
ratification or rejection of the amendment; provided, however, that such
ratification shall not be required if the amendment is necessary to comply
with applicable state or federal law.
(2) Shall have the effect of vesting in the employer, directly or indirectly any
interest, ownership or control in any of the present or subsequent assets
held in the pension fund;
(3) Shall cause or permit any property held subject to the terms of the
pension fund to be diverted for purposes other than the exclusive benefit
of the participants and their beneficiaries; or
(4) Shall reduce the then vested accrued benefit of any participant.
(5) Reduce or eliminate any benefit in pay status prior to the effective date of
the plan, except as otherwise provided under the terms of the plan, prior
to the effective date of this amendment and restatement.
(b) Termination of plan, discontinuance of contributions.
(1) This plan may be terminated in whole or in part at any time by the
employer, provided, however, that termination shall not become effective
yntil and unless the decision to terminate is ratified by a majority of the
qualified electors of the City of Clearwater voting either in a general or a
special election called and held for the purpose of ratification or rejection
of plan termination.
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(2) If this plan is terminated, or if contributions to the plan are discontinued,
the committee and the trustees shall continue to administer the plan in
accordance with the provisions of the plan, for the sole benefit of the
participants and their beneficiaries. In the event of termination, or if
contributions to the plan are discontinued, there shall be full vesting of
benefits accrued to the date of termination and the assets of the plan
shall be allocated in an equitable manner to provide benefits on a
proportionate basis to the persons so entitled in accordance with the
provisions thereof.
(3) The following shall be the order of priority for purposes of allocating the
assets of the plan as of the date of termination or the discontinuance of
contributions, with the date of such discontinuance being determined by
the trustees.
a. Apportionment shall first be made with respect to each employee
receiving a benefit hereunder on such date, each person receiving
a benefit on such date on account of a deceased employee, and
each employee who has, by such date, become eligible for a
normal retirement benefit but has not yet retired, in an amount
which is the actuarial equivalent of such benefit, based upon the
actuarial assumptions in use for purposes of the most recent
actuarial valuation, provided that, if such asset value is less than
the aggregate of such amounts, such amounts shall be
proportionately reduced so that the aggregate of such reduced
amounts will be equal to such asset value.
b. If there is any asset value remaining after the apportionment
under subparagraph (3)a., apportionment shall next be made with
respect to each employee in the service of the employer on such
date who has completed at least ten years of credited service and
who is not entitled to an apportionment under subparagraph (3)a.,
in the amount required to provide the actuarial equivalent, as
described in subparagraph (3)a. above, of the accrued normal
retirement benefit, based on the credited service and average
monthly compensation as of such date, and each vested former
participant then entitled to a deferred benefit who has not, by such
date, begun receiving benefit payments, in the amount required to
provide said actuarial equivalent of the accrued normal retirement
benefit, provided that, if such remaining asset value is less than
the aggregate of the amounts apportioned hereunder, such latter
amounts shall be proportionately reduced so that the aggregate of
such reduced amounts will be equal to such remaining asset
value.
41
c. If there is any asset value after the apportionments under
subparagraphs (3)a. and (3)b., apportionment shall be made with
respect to each employee in the service of the employer on such
date who is not entitled to an apportionment under subparagraphs
(3)a. and (3)b. in an amount equal to participant's accumulated
contributions, provided that, if such remaining asset value is less
than the aggregate of the amounts apportioned hereunder such
latter amount shall be proportionately reduced so that the
aggregate of such reduced amounts will be equal to such
remaining asset value.
d. If there is any asset value remaining after the apportionments
under subparagraphs (3)a., (3)b., and (3)c., apportionment shall
lastly be made with respect of each employee included in
subparagraph (3)c. above to the extent of the actuarial equivalent,
as described in subparagraph (3)a. above, of the accrued normal
retirement benefit, less the amount apportioned in subparagraph
(3)c., based on the credited service and average monthly
compensation as of such date, provided that, if such remaining
asset value is less than the aggregate of the amounts apportioned
hereunder, such amounts shall be reduced so that the aggregate
of such reduced amounts will be equal to such remaining asset
value.
e. In the event there is asset value remaining after the full
apportionment specified in subparagraphs (3)a., (3)b., (3)c. and
(3)d., such excess shall be returned to the employer.
(4) The allocation provided in subparagraph (3) above may, as decided by
the trustees, be carried out through the purchase of insurance company
contracts to provide the benefits determined in accordance with this
subparagraph (3). The pension fund may be distributed in one sum to the
persons entitled to said benefits or the distribution may be carried out in
such other equitable manner as the trustees may direct. The pension fund
may be continued in existence for purposes of subsequent distributions.
(5) After all the vested accrued benefits provided hereunder have been paid
and after all other liabilities have been satisfied, then and only then shall
any remaining amounts of the pension fund revert to the employer.
Sec. 2.401. -Miscellaneous.
(a) Alienation. No participant or beneficiary of a participant shall have any right to
assign, transfer, appropriate, encumber, commute, anticipate or otherwise
alienate his interest in this plan or the pension fund or any payments to be made
thereunder; no benefits, payments, rights or interests of a participant or
beneficiary of a participant of any kind or nature shall be in any way subject to
legal process to levy upon, garnish or attach the same for payment of any claim
against the participant or beneficiary; and no participant or beneficiary of a
participant shall have any right of any kind whatsoever with respect to the
42
pension fund, or any estate or interest therein, or with respect to any other
property or right, other than the right to receive such distributions as are lawfully
made out of the pension fund, as and when the same respectively are due and
payable under the terms of this plan.
(b) Effect on other plans. Nothing in this plan shall be construed so as to abridge,
alter or in any way affect any of the rights or liabilities of an employee of the
employer under any other retirement plan in effect as of the effective date of this
plan.
(c) Forfeiture of benefits for certain offenses.
(1) Any employee who is convicted of any of the following specked offenses
committed prior to retirement, or whose employment is terminated by
reason of his admitted commission, aid or abetment of any of the
following specked offenses, shall forfeit all rights and benefits under this
pension fund, except for the return of his accumulated contributions as of
the date of termination.
(2) The 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 the employer,
C. Bribery in connection with the employment of a public officer or
employee;
d. Any felony specified in F.S. Ch. 838 (except § 838.15 and §
838.16);
e. The committing of an impeachable offense; and
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.
(3) For purposes of this paragraph, "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. For this purpose, "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.
43
(4) Prior to forfeiture, the trustees shall hold a hearing in accordance with
F.S. Ch. 120 on which notice shall be given to the participant whose
benefits are being considered for forfeiture.
(5) If a participant whose benefits are forfeited pursuant to this paragraph has
received benefits from the plan in excess of his contributions without
interest, such participant shall be required to pay back to the pension fund
the amount of the benefits received in excess of his contributions without
interest. The trustees may implement all legal action necessary to recover
such funds.
(d) Indemnification.
(1) To the extent not covered by insurance contracts in force from time to
time, the employer shall indemnify and hold harmless the trustees and the
members of the committee from all personal liability for damages and
costs, including court costs and attorneys' fees, arising out of claims,
suits, litigation, or threat of same, herein referred to as "claims," against
these individuals because of acts or circumstances connected with or
arising out of their official duty as trustees or members of the committee.
The employer reserves the right, in its sole discretion, to settle or not
settle the claim at any time, and to appeal or to not appeal from any
adverse judgment or ruling, and in either event will indemnify and hold
harmless any trustees or members of the committee from the judgment,
execution, or levy thereon.
(2) This paragraph shall not be construed so as to relieve any insurance
company or other entity liable to defend the claim or liable for payment of
the judgment or claim, from any liability, nor does this paragraph waive
any provision of law affording the employer immunity from any suit in
whole or part, or waive any other substantive or procedural rights the
employer may have.
(3) This paragraph shall not apply nor shall the employer be responsible in
any manner to defend or pay for claims arising out of acts or omissions of
the trustees or members of the committee which constitute felonies or
gross malfeasance or gross misfeasance in office.
(e) Uniformed service.
(1) An employee shall be credited with service for purposes of vesting and
benefit accruals for his service in the uniformed service (as defined in the
Uniformed Services Employment and Reemployment Rights Act of 1994
[the "Act']) upon being granted leave by the employer for such uniformed
service and termination from employment as an employee with the
employer, provided that:
44
a. The participant must return to his employment as an employee
with the employer within the time periods prescribed by the Act;
and
b. The employee complies with the employee contribution
requirements prescribed by the Act.
(2) The maximum service credit for uniformed service shall be five years or
such other time period as may be prescribed by the Act.
[Sections 2.402 through 2.409. Reserved.)
Sec. 2.410. Restatement of the plan.
A pension plan is hereby restated in accordance with the terms hereof and shall be
known as the"City of Clearwater Employees' Pension Fund of 2011." The pension plan
has been established and placed under the exclusive administration and management of
a board of trustees for the purpose of providing retirement benefits pursuant to the
provision of this Code for all participants of the plan who are actively employed by the
City of Clearwater as of or after the effective date of this restatement and for the
payment of reasonable expenses of the pension plan. The effective date of this
restatement (Sections 2.410 through 2.428) shall be as set forth in Ordinance No. 8333-
12.
Sec. 2.411. Purpose of the plan and the trust.
(a) Exclusive benefit.
(1) 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 pension fund 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.
(2) Notwithstanding the foregoing provisions of subparagraph (1), 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. The circumstances as to whether a mistake of fact has
occurred shall be reviewed by the pension advisory committee, which
shall submit a written recommendation to the trustees. Notwithstanding
the committee's recommendation, the trustees shall have final authority
as to the determination of a mistake of fact.
(b) 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 trustees, the committee or the principal or the income of the
pension fund, 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.
45
(c) Qualified plan. This plan and the assets comprising the pension fund are
intended to qualify under the Internal Revenue Code as a tax-free employees'
plan and trust, and the provisions of this plan should be interpreted accordingly.
46
Sec. 2.412. Definitions.
Accrued benefit shall mean, as of a specified time, the normal retirement benefit as set
forth in section 2.416.
Accumulated employee contributions shall mean the sum of all amounts deducted from
a member's compensation or picked up by the employer on behalf of a member,
together with regular interest as provided in this division. Accumulated employee
contributions shall also mean any amounts paid by a member for the purchase of military
service credits or other paybacks permitted in this plan.
Actuarial equivalent shall mean a benefit of equivalent current value to the benefit that
would otherwise have been provided to the participant, determined in accordance with
the rules established by the employer and on the basis of appropriate actuarial methods
and the following actuarial assumptions:
(1) Mortality. Mortality Table as recommended by the actuary and approved
by the trustees.
(2) Interest. Seven and one-half percent (7.5%) per annum, compounded
annually.
And shall have a conjunctive meaning.
Average monthly compensation shall mean one-twelfth of the average compensation of
the five highest compensated years during the last ten years of credited service prior to
retirement, termination, or death, or one-twelfth of the career average compensation of
all years as a full-time participant, whichever is greater. A year shall be 12 consecutive
months.
Beneficiary shall mean any person receiving a retirement allowance or other benefit from
the retirement plan.
Benerit shall mean a retirement allowance or other payment provided by the retirement
plan and made to a member, retiree or beneficiary.
Board or Board of Trustees shall mean the Board of Trustees of the retirement plan.
Child shall mean the natural or adopted child of a member, but shall not include foster
children or step-children.
City shall mean the City of Clearwater, Florida.
47
Committee shall mean the pension advisory committee described in section 2.413.
Compensation shall mean the total compensation for services rendered to the city as a
participant reportable on the participant's W-2 form, including indemnity benefits
received pursuant to the workers' compensation law, plus all tax deferred, tax sheltered,
or tax exempt items of income derived from elective employee payroll deductions or
salary reductions, but excluding overtime pay in excess of 300 hours annually for
pensionable earnings accrued on or after the effective date by hazardous duty
employees who are not eligible to retire as of the effective date, overtime pay and any
additional pay or pay differential over and above the base rate of pay for pensionable
earnings accrued on or after the effective date by non-hazardous duty employees who
are not eligible to retire as of the effective date, lump sum leave pay paid upon
retirement, lump sum payments of accrued sick leave paid upon retirement, pay for off-
duty employment, clothing, car, or meal allowances, relocation expense payments,
benefits under this plan, any amount contributed to any pension, employee welfare, life
insurance or health insurance plan or arrangement, or any other fringe benefits, welfare
benefits, or employer paid deferred compensation. Compensation in excess of the
limitations set forth in Section 401(a)(17) of the Code shall be disregarded. The limitation
on compensation for an "eligible employee"shall not be less than the amount which was
allowed to be taken into account hereunder as in effect on July 1, 1993. "Eligible
employee" is an individual who was a participant before the first plan year beginning
after December 31, 1995.
Creditable or credited service shall mean credit for service toward which required
contributions have been made to the plan and upon which a member's eligibility to
receive benefits under the retirement plan is based, or upon which the amount of such
benefits is to be determined.
Early retirement date shall mean the date on which a police officer or firefighter
participant has reached the age of 50 years and completed ten years of credited service.
Effective date of this amendment and restatement shall mean that date set forth in
Ordinance No. 8333-12.
Employee:
(1) Employee shall mean any person employed by the employer as a full-
time regular employee other than:
a. Persons hired on a contractual basis, and
b. Employees hired directly into non-hazardous duty positions
exempt from the employer's civil service classified service system
(unclassified employees) for whom an employment agreement
letter establishes conditions of employment; provided, however, if
a person was a participant in the plan prior to being employed in a
48
position described in this subparagraph b., he shall continue to
participate in the plan.
49
(2) The trustees shall have the right to determine from time to time which
persons are full-time regular employees for purposes of the plan; provided,
however, that all persons covered by the civil service ordinance of the employer
who are employed on a full-time basis shall be considered full-time regular
employees for purposes of the plan.
(3) Regular part-time, emergency, seasonal and temporary employees shall
not be"employees"eligible to participate in the plan.
Employer shall mean the City of Clearwater.
Firefighter shall mean a person actively employed by the city on a full-time basis,
including employment during his initial probationary employment period,whose assigned
job classification requires that he be certified as a firefighter as a condition of
employment in accordance with the provisions of§ 633.35, Florida Statutes, and whose
duty it is to extinguish fires, to protect life and to protect property.
Fund shall mean the City of Clearwater Employees' Pension Fund of 2011.
Hazardous duty shall mean service in a job classification as established by the employer
wherein the participant is required to be a full-time sworn firefighter certified in
accordance with F.S. §633.35, or a full-time sworn police officer certified in accordance
with F.S. §943.1395, consistent with the definition of firefighter or police officer herein.
Internal Revenue Code shall mean the Internal Revenue Code of 1986 as amended or
any successor statute. Reference to a speck section of the Internal Revenue Code
shall include a reference to any successor provision.
May shall mean a permissive term.
Member shall mean an employee for whom contributions to the retirement plan are
picked up by the employer or otherwise made as required by this plan.
Normal retirement benefit shall mean the monthly income payable to a retired participant
pursuant to the provisions of section 2.416 of this plan.
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 fifty five
(55)years and completed twenty (20)years of credited service, or
b. The date on which a participant has completed 30 years of
credited service regardless of age, or
C. The date on which a participant has reached the age of sixty five
(65)years and completed ten(10)years of credited service.
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(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 sixty (60)
years and completed twenty five (25)years of credited service, or
b. The date on which a participant has reached the age of sixty five
(65)years and completed ten (10)years of credited service.
(3) For hazardous duty employees, the date on which a participant has
completed twenty (20) years of credited service, or reached the age of
fifty-five (55) years and completed ten (10) 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.
Option shall mean one of several choices available to members with respect to the
manner in which a retirement benefit may be paid.
Participant shall mean any eligible employee of the employer who has commenced
participation and for whom contributions to the retirement plan are being picked up by
the employer or otherwise made as required by this plan.
Pension fund shall mean the City of Clearwater Employees' Pension Fund of 2011.
Pick-up amounts shall mean employer contributions to the plan derived from a member's
compensation through a reduction in the member's compensation. For the purposes of
this plan, amounts picked-up shall be considered for state law purposes as employee
contributions.
Plan shall mean the City of Clearwater Employees' Pension Fund of 2011.
Plan year shall mean the 12-month period beginning on January 1 and ending on
December 31.
Police officer shall mean a person actively employed by the city on a full-time basis,
including employment during his initial probationary employment period,whose assigned
job classification requires that he be certified as a police officer as a condition of
employment in accordance with the provisions of F.S. § 943.1395, who is vested with
authority to bear arms and make arrests, and whose primary responsibility is the
prevention and detection of crime or the enforcement of the penal, traffic or highway
laws of the state.
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Pre-existing condition shall mean a condition of health which pre-dated any period of
City employment.
Regular contributions shall mean amounts picked-up by the City from the compensation
of a member.
Retiree shall mean a former member who is in receipt of benefits from the plan.
Retirement shall mean a member's separation from the service of the employer upon
meeting the requirements to receive a benefit granted to the member pursuant to the
provisions of this plan.
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.
Service shall mean active employment as an employee of the City.
Service retirement shall mean a member's retirement from service under circumstances
permitting payment of a retirement benefit without reduction because of age, length of
service, or both, and without special qualifications such as disability.
Spouse shall mean the lawful husband or wife of a member or retiree. This definition
shall be interpreted under Florida choice of law rules.
Surviving spouse means the spouse of the member or retiree at the time the member or
retiree passes away, unless a new designation of beneficiary has been made in writing
to the board in accordance with the provisions of this Plan. This definition shall be
interpreted under Florida choice of law rules.
Trustee or trustees shall mean member(s) of the board of trustees of the plan.
Useful and efficient service shall mean the performance of the regular duties of the
position to which the employee is assigned by the City, or of another established full-
time position within the employ of the City. The Board shall determine from the facts of
each disability application whether the member is performing in accordance with this
definition.
Vested benefit shall mean an immediate or deferred benefit to which a member has
gained a non-forfeitable right under the provisions of this plan, without the need for
additional creditable service.
Vesting shall mean the attainment of ten (10) 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.
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Years of credited service shall mean the total number of years and fractional parts of
years of service credited as an employee of the employer during periods of participation
in the plan, omitting intervening years or fractional parts of years when an employee is
not employed by the employer or not participating in the plan (except as may otherwise
be provided in rules established by the committee and approved by the trustees).
Sec. 2.413. Plan administration.
(a) Administration of the plan. The trustees, in conjunction with the committee, shall
control and manage the operation and administration of the plan as provided in
this Section.
(b) Trustees.
(1) The members of the city council of the employer, whether elected or
appointed, shall serve as the trustees. The term of office of each trustee
shall be consistent with his term of office as a member of the city council.
(2) The finance director of the employer shall be the treasurer for the trustees
and shall provide such bond as may be prescribed by the trustees.
(3) Each trustee shall be entitled to one vote. Three affirmative votes shall be
necessary for any decision by the trustees at a meeting of the trustees. A
trustee shall have the right to recuse himself from voting as the result of a
conflict of interest provided that the trustee states in writing the nature of
the conflict.
(4) The trustees shall not receive any compensation for service as a trustee,
but may be reimbursed expenses as provided by law; provided, however,
that the trustees may receive compensation for services as a member of
the city council.
(c) Powers and duties of trustees. The trustees shall have final authority and control
over the administration of the plan herein embodied, with all powers necessary to
enable them to carry out their duties in that respect. Not in limitation, but in
amplification of the foregoing, the trustees shall have the power and discretion to
interpret or construe this plan and to determine all questions that may arise as to
the status and rights of the participants and others hereunder. The trustees shall
be deemed the named fiduciary of the plan and shall discharge their
responsibilities solely in the interest of the members and beneficiaries of the plan
for the exclusive purpose of providing benefits to the members and their
beneficiaries and to defray the reasonable expenses of the plan. The trustees
shall exercise those fiduciary responsibilities with the care, skill, prudence and
diligence that a prudent person acting in a like capacity and familiar with such
matters would use in the conduct of an enterprise of a similar character and with
similar aims under the circumstances then prevailing.
The trustees may:
(1) Invest and reinvest the assets of the pension fund to the extent permitted
by Florida law. Notwithstanding any provision to the contrary, direct
investments, including real estate investments, in businesses or property
located within the City of Clearwater shall be prohibited;
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(2) Maintain such records as are necessary for calculating and distributing
retirement benefits;
(3) Maintain such records as are necessary for financial accounting and
reporting of retirement plan funds;
(4) Maintain such records as are necessary for actuarial evaluation of the
retirement plan, including investigations into the mortality, service and
compensation experience of its members and beneficiaries;
(5) Compile such other administrative or investment information as is
necessary for the management of the retirement plan;
(6) Process, certify and respond to all correspondence, bills and statements
received by the retirement plan, as well as all applications submitted to
the board for retirement benefits;
(7) Establish and maintain communication with city departments and other
agencies of government as is necessary for the management of the
retirement plan, including preparing, filing and distributing such reports
and information as are required by law to be prepared, filed or distributed
on behalf of the retirement plan;
(8) Determine all questions relating to, and process all applications for,
eligibility, participation and benefits;
(9) Distribute at regular intervals to employees a comprehensive summary
plan description and periodic reports, not less than biennially, regarding
the financial and actuarial status of the plan;
(10) Retain and compensate such professional and technical expertise as is
necessary to fulfill its fiduciary responsibilities;
(11) Make recommendations regarding changes in the provisions of the plan;
(12) Assure the prompt deposit of all member contributions, city contributions, and
investment earnings;
(13) Establish a uniform set of rules and regulations for the management of the trust;
(14) Take such other action as the trustees shall deem, in their sole and exclusive
discretion, as being necessary for the efficient management of the plan;
(15) Cause any pension fund investment in securities 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 form permitting transferability,
but the books and records shall at all times show that all investments are part of
the pension fund;
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(16) Vote upon any stocks, bonds, or securities of any corporation, association, or
trust comprising the pension fund, and give general or speck proxies or powers
of attorney with or without power of substitution; participate in mergers,
reorganizations, recapitalizations, consolidations, and similar transactions with
respect to such securities; deposit such stock or other securities in any voting
trust or any protective or like committee with the trustees or with depositories
designated thereby; amortize or fail to amortize any part or all of the premium or
discount resulting from the acquisition or disposition of assets; and generally
exercise any of the powers of an owner with respect to stocks, bonds, or other
investments comprising the pension fund which it may deem to be in the best
interest of the pension fund to exercise;
(17) Retain in cash and keep unproductive of income such amount of the pension
fund as it may deem advisable, having regard for the cash requirements of the
plan; and
(18) Retain the services of a custodian bank, an investment advisor registered under
Investment Advisors Act of 1940 or otherwise exempt from such required
registration, an insurance company, trust company or a combination of these, for
the purposes of investment decisions and management. Such investment
manager shall have discretion, subject to any guidelines as prescribed by the
trustees, in the investment of all pension fund assets.
(d) Pension advisory committee.
(1) a. There shall be a pension advisory committee comprised of seven
persons. Three members of the committee shall be employees who are
active employees and participants in the plan; three members shall be
city council members or appointees of the city council; and the seventh
member, who shall be a resident of the City of Clearwater, shall be
appointed by the other six members.
b. Except as provided in subparagraph (3) below, terms of members shall
be for two years.
(2) Committee members representing the employees shall be elected by a majority
of the active employees who are participants in the plan. Committee members
representing the city council shall be appointed by a majority vote of the city
council. The seventh member shall be appointed by a majority vote of the other
six members of the committee.
(3) Terms of office of employee elected committee members shall overlap, with two
of the members to be initially elected for two years and the third member to be
initially elected for one year. Terms of office of city council appointed members
shall overlap, with two of the members to be initially appointed for two years and
the third member to be initially appointed for one year.
(4) a. Members of the committee last elected by employees on the date of
adoption of this amended and restated plan shall continue to serve as the
employee elected committee members for the remainder of their
respective terms.
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b. Not less than 60 days before each election to be scheduled for an
employee elected committee member, the existing employee elected
committee members shall select and appoint a nomination group
composed of five persons from employees participating in the plan to
conduct the election process. The department of the city clerk shall
provide necessary assistance to the employees for the administration of
elections.
(5) Any vacancy on the committee, whether employee elected, city council
appointed, or the committee appointed seventh member, shall be filled for the
remainder of the term and in the same manner as the original committee member
who vacated the position.
(6) Members of the committee shall serve without compensation additional to that
earned in their respective capacities as regular employees or elected city council
members.
(7) Each committee member shall be entitled to one vote. Four affirmative votes
shall be necessary for any decision by the committee at any meeting. A
committee member shall have the right to recuse himself from voting as a result
of a conflict of interest provided that the committee member states in writing the
nature of the conflict.
(e) Powers and duties of committee.
(1) The committee shall have authority to:
a. Arrange for the necessary physicians to pass upon all medical
examinations required under this plan. Such physicians shall report in
writing to the committee their conclusions and recommendations.
b. Investigate and recommend to the trustees, in conjunction with the
actuaries, such mortality/service and other tables as shall be deemed
necessary for the operation of the plan.
C. Make recommendations to the trustees for improvements or changes in
the plan.
d. Receive all applications for benefits under this plan and determine all
facts that are necessary to establish the right of an applicant to benefits
under the plan.
e. Prepare and distribute to the participants information relating to the Plan.
f. Investigate and determine the eligibility of participants for disability
pension as provided in section 2.418.
(2) The committee shall, from time to time as it deems appropriate, submit
recommendations to the trustees as to rules, procedures, forms and general
administrative procedures relating to the responsibilities of the committee.
(3) No benefits or relief shall be provided to any participant under the plan unless the
same has been reviewed by the committee and a recommendation provided to
the trustees.
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(4) The pension advisory committee members shall discharge their responsibilities
solely in the interest of the members and beneficiaries of the plan and, in so
doing, shall exercise their fiduciary responsibilities with the care, skill, prudence
and diligence that a prudent person acting in a like capacity and familiar with
such matters would use in the conduct of an enterprise of a similar character and
with similar aims under the circumstances then prevailing.
(f) Conflict in terms. In the event of any conflict between the terms of this plan and any
explanatory booklet or other material, this plan shall control.
(g) Final authority. Except to the extent otherwise required by law or by this plan, the
decision of the trustees in matters within their jurisdiction shall be final, binding and
conclusive upon the employer, the committee, each employee and beneficiary, and
every other interested or concerned person or party.
(h) Appointment of advisors. The trustees may appoint such actuaries, accountants,
professional investment counsel, legal counsel, specialists, third party pension
administrators, and other persons that they deem necessary and desirable in connection
with the administration of this plan or to assist them in the performance of their duties as
trustees. The trustees are authorized to pay for such services from the pension fund.
(i) Actuarial valuation; actuarial standards.
(1) At least once in each six (6) year period, the trustees shall cause an actuarial
investigation to be made into the mortality, service and compensation experience
of the members of the retirement plan. Taking into account the result of such
investigation, the trustees shall adopt for the retirement plan such mortality,
service and other tables as are necessary and proper. On the basis of these
tables, an annual actuarial valuation of the assets and liabilities of the retirement
plan shall be made.
(2) Actuarial assumptions based on the six (6) year experience analysis may be
modified by the trustees at such times as they deem appropriate.
Q) Defense of actions; trustee liability, Indemnification.
(1) The board is authorized to prosecute or defend actions, claims or proceedings of
any nature or kind for the protection of the fund assets or for the protection of the
board in the performance of its duties.
(2) Neither the board nor any of its individual members shall have any personal
liability for any action taken in good faith. The trustees individually and the board
as a whole shall be entitled to the protections in Section 768.28, Florida Statutes.
The trustees shall also be authorized to purchase from the assets of the fund,
errors and omission insurance to protect the trustees and staff in the
performance of their duties. Such insurance shall not provide the individual
trustees and staff with protection against a fiduciary's fraud, intentional
misrepresentation,willful misconduct or gross negligence.
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(3) To the extent not covered by insurance contracts in force from time to time, the
employer shall indemnify and hold harmless the trustees and the members of the
committee from all personal liability for damages and costs, including court costs
and attorneys' fees, arising out of claims, suits, litigation, or threat of same,
herein referred to as "claims," against these individuals because of acts or
circumstances connected with or arising out of their official duty as trustees or
members of the committee. The employer reserves the right, in its sole
discretion, to settle or not settle the claim at any time, and to appeal or to not
appeal from any adverse judgment or ruling, and in either event will indemnify
and hold harmless any trustees or members of the committee from the judgment,
execution, or levy thereon.
(4) This section shall not be construed so as to relieve from liability any insurance
company or other entity liable to defend the claim or liable for payment of the
judgment or claim, nor does this paragraph waive any provision of law affording
the employer immunity from any suit in whole or part, or waive any other
substantive or procedural rights the employer may have.
(5) This section shall not apply to, nor shall the employer be responsible in any
manner to defend or pay for claims arising out of, acts or omissions of the
trustees or members of the committee which constitute felonies or gross
malfeasance or gross misfeasance in office.
Sec. 2.414. Participation.
(a) Participation.
(1) Unless otherwise provided herein, all employees of the employer shall be
required to make the contributions specked in section 2.415 and shall be
required to participate in the plan.
(2) Any employee who is a participant and who has been or may be appointed to a
regular full-time position exempt from the civil service classified service system of
the employer shall be eligible to continue participation in the plan in the same
manner as any other employee.
(b) Reemployment.
(1) If a participant terminates employment with the employer and receives a return of
employee contributions and is subsequently reemployed within the five-year
period following his termination of employment, the former participant shall again
be eligible to participate in the plan and his credited service shall be based on all
periods of employment, provided he
a. Again satisfies the definition of"employee"set forth in section 2.412, and
b. Reimburses the plan in accordance with subparagraph (4) of Section
2.419.
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(2) Notwithstanding the foregoing, an employee who is reemployed in a regular full-
time position other than that of a firefighter or police officer after his benefits have
commenced under the plan (other than disability benefits pursuant to section
2.418) shall not be eligible to participate in the plan upon his subsequent
reemployment. Reemployment may not commence until at least thirty (30) days
after the initial separation from employment with the City. Upon reemployment,
the employee will be required to participate in the federal social security program.
(3) In the event that a retiree is reemployed as a full time police officer or firefighter,
he shall be required to become a member in the Fund. Receipt of benefits shall
be suspended for the period of reemployment. Upon ending the period of
reemployment, benefits shall be recalculated, taking into account any additional
credited service or change in final monthly compensation.
(c) Separation from employment for military service.
(1) After commencement of employment as an employee with the city, the years or
fractional parts of a year that a participant voluntarily or involuntarily serves in
training or in the military service of the Armed Forces of the United States, the
United States Merchant Marine or the United States Coast Guard shall be added
to his years of credited service for all purposes, including vesting, upon the
participant's return to employment provided that:
a. The participant must return to his employment as an employee within one
year from the earlier of the date of his military discharge or his release
from service;
b. The participant deposits into the plan the same sum that the participant
would have contributed if he had remained an employee during his
absence. The participant must deposit all missed contributions within a
period no greater than three times the period of military service, but not
more than five years from the date of reemployment, or he will forfeit the
right to receive credited service for his military service pursuant to this
section, except that a police officer or firefighter participant shall not be
required to deposit contributions to receive credited service;
C. The maximum credit for military service pursuant to this section shall be
five years; and
d. The participant must have been discharged or released from service
under honorable conditions.
(2) 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.
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Sec.2.415. Contributions to the plan.
(a) Employee contributions.
(1) For each plan year, an employee required to participate in the plan shall make
regular contributions to the plan in the amount of eight percent of his
compensation, except that a hazardous duty employee who is required to
participate in the plan and who is not eligible to retire as of the effective date shall
make regular contributions to the plan in the amount of ten percent of his
compensation. Employee contributions withheld by the employer on behalf of the
employee shall be deposited with the trustees at least monthly, except that such
contributions shall be deposited immediately after each pay period for police
officer and firefighter participants.
(2) The contributions made by each employee under the plan shall be designated as
employer pick up contributions pursuant to Section 414(h) of the Internal
Revenue Code. Such designation is contingent upon the contributions being
excluded from the employees' gross income for federal income tax purposes. For
all other purposes of the plan, such contributions shall be considered employee
contributions.
(b) Employer contributions.
(1) For each plan year, the employer shall make contributions to the plan in an
amount equal to
a. Seven percent of the compensation of all employees participating in the
plan; plus
b. Such additional amounts as may be required to satisfy the plan's funding
requirements for the plan year and the cost of administering the plan, as
determined by the actuary employed by the trustees.
(2) The amount described in subparagraph (b)(1)b. above may be reduced by any
available credit balance in accordance with applicable Florida Statutes.
(c) Form and timing of contributions. Payments on account of the contributions due from the
employer for any plan year shall be made in cash. Such payments may be made by the
employer in accordance with the requirements of applicable Florida Statutes.
Sec.2.416. Normal Retirement Benefit
(a) For non-hazardous duty employees hired prior to 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 fifty five (55) years and completed twenty (20) years
of credited service; the date on which a participant has reached the age of sixty five (65)
years and completed ten (10) years of credited service; or the date on which a member
has completed thirty (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 sixty (60) years and completed twenty five (25) years of credited service; or
the date on which a participant has reached the age of sixty five (65) years and
completed ten (10)years of credited service.
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For hazardous duty employees, a member shall be eligible for retirement following the
earlier of the date on which the participant has completed twenty (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 fifty five(55)years and
completed ten (10) 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 (2.75%) 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 (2%) of final average monthly compensation by
the number of years of credited service. 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 (2.75%) of final average monthly compensation by the number of years of
credited service.
(c) A service retirement benefit shall commence on the first day of the month following the
member's actual retirement. The benefit shall be payable on the last day of each month
thereafter. For non-hazardous duty participants who are not eligible to retire as of the
effective date of this restatement, the normal form of benefit shall be an annuity paid
monthly for the life of the participant. For all hazardous duty participants and for non-
hazardous duty participants who are eligible to retire as of the effective date of this
restatement,the normal form of benefit shall be an annuity paid monthly for the life of the
participant; with a 100 percent survivor annuity paid monthly for a period of five years
following the death of the participant to the beneficiary or beneficiaries described in
Section 2.420 below; provided, further, that following such five year period the survivor
annuity shall be reduced to 50 percent of the original survivor annuity amount, except
that, if greater, the normal form of benefit for all hazardous duty participants shall be an
annuity paid monthly for the life of the participant with 120 payments guaranteed. The
survivor annuity paid to the participant's beneficiary or beneficiaries shall cease following
the last day of the month in which occurs the designated beneficiary's death or
remarriage if such designated beneficiary is the participant's spouse, or the last day of
the month in which occurs the designated beneficiary's death or attainment of age 18 if
the designated beneficiary is the participant's child or children. However, the surviving
spouse of a hazardous duty participant killed in the line of duty shall not have his/her
survivor annuity cease upon his/her remarriage in accordance with Florida Statute
175.181(3) and 185.162(3).
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Sec. 2.417 Early Retirement Benefit
(a) Early retirement benefit.
(1) A police officer or firefighter participant shall be entitled to retire from the employ
of his employer upon such participant's early retirement date.
(2) Upon reaching his early retirement date,the participant shall be fully vested in his
accrued benefit and shall be entitled to receive, at the time and in the manner
described in section 2.424, his early retirement benefit.
(3) A participant's early retirement benefit for police officer and firefighter participants
shall be determined in accordance with the provisions of Section 2.416 above,
and the amount of such benefit otherwise payable under paragraph (b) shall be
reduced by three percent per year for each year or portion thereof under the age
of fifty-five (55) upon retirement.
(4) If a participant separates from service before satisfying the age requirement for
early retirement, but has satisfied the service requirement, the participant will be
entitled to an early retirement benefit upon satisfaction of such age requirement.
Sec. 2.418 Disability benefits.
(1) a. A participant who is vested in his accrued benefit and who terminates
employment by reason of his disability shall be entitled to receive, at the
time and in the manner described in section 2.424, a disability benefit
equal to his accrued benefit as of the date of termination of his
employment. A disability application must be filed while the individual is
still a participant in the plan.
b. A participant who is deemed by the committee to be disabled by reason
of an injury suffered or an illness contracted in the line of duty need not
satisfy the vesting requirement set forth in subparagraph (1)a. above;
provided, further, that the monthly amount of the disability benefit payable
to a participant described in this subparagraph (1)b. shall be 42 percent of
such participant's average monthly compensation for a non-hazardous
duty participant who is not eligible to retire as of the effective date of this
restatement, and the monthly amount of the disability benefit payable to a
participant described in this subparagraph (1)b. shall be 66 2/3 percent of
such participant's average monthly compensation for all hazardous duty
participants and for non-hazardous duty participants who are eligible to
retire as of the effective date of this restatement.
(2) A participant shall be considered disabled for purposes of the plan if, in the
opinion of the committee, the participant is disabled due to sickness or injury,
such disability is likely to be continuous and permanent from a cause other than
specified in subparagraph (3) below, and such disability renders the participant
unable to perform any useful, meaningful and necessary work for the employer in
an available position for which the participant is reasonably qualified or for which
the participant may be reasonably trained to perform, subject to the limitations
below.
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a. Any police officer or firefighter participant who shall become totally and
permanently disabled to the extent that he is unable, by reason of a
medically determinable physical or mental impairment, to render useful
and 'efficient service as a police officer or firefighter, shall, upon
establishing the same to the satisfaction of the board, be entitled to a
monthly pension provided for in subparagraph (1) above. Terminated
persons, either vested or non-vested, are not eligible for disability
benefits, except that those terminated by the city for medical reasons may
apply for a disability pension within 30 days after termination.
b. If a participant employed in a position other than as a sworn and state
certified police officer or a sworn and state certified firefighter is disabled
to the extent that he can not reasonably continue to perform the functions
of his speck position, but remains capable of performing useful,
meaningful and necessary work, he may be assigned to an alternate
position with the employer in lieu of receiving disability benefits under the
plan. For this purpose, the participant may be assigned to any other
position with the employer that is available for which the participant has
the skill and knowledge to perform or for which the participant can
reasonably be trained to perform, such assignment to be with no loss of
base pay regardless of whether the assignment to such position is at an
equal or lower level.
C. A line-of-duty disability based upon a mental injury shall not be granted
unless it is proven by clear and convincing evidence that the injury was
the result of sudden, unexpected and extraordinary stress directly related
to the participant's employment. Extra duty assignments for police
officers and firefighters shall be considered to be in the line of duty for
disability benefit purposes.
d. The trustees of the plan shall make the determination in each instance if a
participant who has been found disabled may be assigned to an alternate
position with the employer.
(3) a. Each participant who is not a police officer or firefighter who is claiming
disability benefits shall establish,to the satisfaction of the committee, that
such disability was not occasioned primarily by:
1. Excessive or habitual use of any drugs, intoxicants, or alcohol;
2. Injury or disease sustained while willfully and illegally participating
in fights, riots or civil insurrections;
3. Injury or disease sustained while committing a crime;
4. Injury or disease sustained while serving in any branch of the
Armed Forces;
5. Injury or disease sustained after his employment as an employee
with the employer shall have terminated;
6. Willful, wanton or gross negligence of the participant;
7. Injury or disease sustained by the participant while working for
anyone other than the employer and arising out of such
employment; or
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B. A condition pre-existing the participant's participation in the plan.
No participant shall be entitled to a disability pension, whether in
line of duty or not in line of duty, because of or due to the
aggravation of a speck injury, impairment or other medical
condition pre-existing at the time of participation in the plan,
provided that such pre-existing condition and its relationship to a
later injury, impairment or other medical condition be established
by competent substantial evidence.
b. Each police officer or firefighter participant who is claiming disability
benefits shall establish, to the satisfaction of the committee, that such
disability was not occasioned primarily by-(except that paragraph 5 is only
applicable to police officers):
1. Excessive or habitual use of any drugs, intoxicants or narcotics.
2. Injury or disease sustained while willfully and illegally participating
in fights, riots or civil insurrections or while committing a crime.
3. Injury or disease sustained while serving in any branch of the
Armed Forces.
4. Injury or disease sustained by the participant after his employment
as a police officer or firefighter with the City of Clearwater shall
have terminated.
5. For police officer participants, injury or disease sustained by the
participant while working for anyone other than the city and arising
out of such employment.
(4) a. A participant shall not become eligible for disability benefits until and
unless he undergoes an examination by a qualified physician or
physicians,who shall be selected by the committee for that purpose.
b. 1. Any former participant receiving disability benefits under
provisions of this plan may be periodically re-examined by a
qualified physician or physicians who shall be selected by the
committee to determine if such disability has ceased to exist or if
the former participant may be employed in an available position
for which the participant is reasonably qualified. If the committee
finds that the former participant is no longer disabled or is capable
of performing service for the employer, the committee may
request the former participant to return to the employ of the
employer. If the former participant returns to the performance of
duty as an employee, he shall again be eligible to participate in
the plan. In the event a former participant is no longer disabled or
is deemed capable of returning to employment with the employer
and he does not return to employment with the employer pursuant
to the committee's request, he shall forfeit the right to his disability
benefit; provided further, that if an employee accepts employment
with another employer in an occupation or line of work similar to
the occupation or line of work that resulted in the employee being
eligible for a disability benefit hereunder, he shall forfeit the right to
his disability benefit.
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2. A participant who returns to employment with the employer and
recommences participation in the plan shall not receive credited
service for the period during which he received disability benefits
under the plan.
C. The cost of the medical examination and/or re-examination of the
employee claiming and/or receiving disability benefits shall be bome by
the plan.
(5) A participant whose employment is terminated by reason of his death in the line
of duty shall, for purposes of the plan, be deemed to have been disabled in the
line of duty, and the participant's beneficiary shall be entitled to receive a
disability benefit as described in paragraph (1)above.
(6) If a participant receives a disability benefit under the plan and workers'
compensation benefits pursuant to F.S. Ch. 440 for the same disability, and the
total monthly benefits received from both exceed 100 percent of the participant's
average monthly wage as defined in F.S. Ch. 440, excluding overtime, the
disability benefit shall be reduced so that the total monthly amount received by
the participant does not exceed 100 percent of such wage. The amount of any
lump sum workers' compensation payment shall be converted to an equivalent
monthly benefit payable for ten years certain by dividing the lump sum amount by
83.9692. Notwithstanding the foregoing, in no event shall the disability pension
benefit of a police officer or firefighter participant be reduced below the greater of
42 percent of average final compensation or two percent of average final
compensation times years of credited service.
(7) In-Line of Duty Presumptions.
a. Presumption. Any condition or impairment of health of a police officer or
firefighter participant caused by hypertension or heart disease shall be
presumed to have been suffered in line of duty unless the contrary is
shown by competent evidence, provided that such participant shall have
successfully passed a physical examination upon entering into such
service, including cardiogram for police officer or firefighter participants,
which examination failed to reveal any evidence of such condition; and
provided further, that such presumption shall not apply to benefits
payable or granted in a policy of life insurance or disability insurance.
b. Additional presumption. The presumption provided for in this paragraph
b. shall apply only to those conditions described in this paragraph b. that
are diagnosed on or after January 1, 1996.
1. Definitions.As used in this subsection(7)b., the following
definitions apply:
(i) "Body fluids" means blood and body fluids containing
visible blood and other body fluids to which universal
precautions for prevention of occupational transmission of
blood-borne pathogens, as established by the Centers for
Disease Control, apply. For purposes of potential
transmission of meningococcal meningitis or tuberculosis,
the term "body fluids" includes respiratory, salivary, and
sinus fluids, including droplets, sputum, and saliva,
mucous, and other fluids through which infectious airbome
organisms can be transmitted between persons.
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"Emergency rescue or public safety member" means any
participant employed full time by the city as a firefighter,
paramedic, emergency medical technician, law
enforcement officer, or correctional officer who, in the
course of employment, runs a high risk of occupational
exposure to hepatitis, meningococcal meningitis, or
tuberculosis and who is not employed elsewhere in a
similar capacity. However, the term "emergency rescue or
public safety member" does not include any person
employed by a public hospital licensed under Chapter 395,
Florida Statutes, or any person employed by a subsidiary
thereof.
"Hepatitis" means hepatitis A, hepatitis B, hepatitis non-A,
hepatitis non-B, hepatitis C, or any other strain of hepatitis
generally recognized by the medical community.
(iv) "High risk of occupational exposure"means that risk that is
incurred because a person subject to the provisions of this
subsection, in performing the basic duties associated with
his employment:
a) Provides emergency medical treatment in a non-
health-care setting where there is a potential for
transfer of body fluids between persons;
b) At the site of an accident, fire, or other rescue or
public safety operation, or in an emergency rescue
or public safety vehicle, handles body fluids in or
out of containers or works with or otherwise
handles needles or other sharp instruments
exposed to body fluids;
c) Engages in the pursuit, apprehension, and arrest of
law violators or suspected law violators and, in
performing such duties, may be exposed to body
fluids; or
d) Is responsible for the custody, and physical
restraint when necessary, of prisoners or inmates
within a prison, jail, or other criminal detention
facility, while on work detail outside the facility, or
while being transported and, in performing such
duties, may be exposed to body fluids.
(v) "Occupational exposure," in the case of hepatitis,
meningococcal meningitis, or tuberculosis, means an
exposure that occurs during the performance of job duties
that may place a worker at risk of infection.
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2. Presumption. Any emergency rescue or public safety participant
who suffers a condition or impairment of health that is caused by
hepatitis, meningococcal meningitis, or tuberculosis, that requires
medical treatment and that results in total or partial disability or
death, shall be presumed to have a disability suffered in the line of
duty, unless the contrary is shown by competent evidence;
however, in order to be entitled to the presumption, the participant
must, by written affidavit as provided in § 92.50, Florida Statutes,
verify by written declaration that, to the best of his knowledge and
belief:
(i) In the case of a medical condition caused by or derived
from hepatitis, he has not:
a) Been exposed, through transfer of bodily fluids, to
any person known to have sickness or medical
conditions derived from hepatitis, outside the scope
of his employment;
b) Had a transfusion of blood or blood components,
other than a transfusion arising out of an accident
or injury happening in connection with his present
employment, or received any blood products for the
treatment of a coagulation disorder since last
undergoing medical tests for hepatitis, which tests
failed to indicate the presence of hepatitis;
C) Engaged in unsafe sexual practices or other high-
risk behavior, as identified by the Centers for
Disease Control or the Surgeon General of the
United States or had sexual relations with a person
known to him to have engaged in such unsafe
sexual practices or other high-risk behavior; or
d) Used intravenous drugs not prescribed by a
physician.
(ii) In the case of meningococcal meningitis, in the ten days
immediately preceding diagnosis he was not exposed,
outside the scope of his employment, to any person known
to have meningococcal meningitis or known to be an
asymptomatic carrier of the disease.
(iii) In the case of tuberculosis, in the period of time since the
participant's last negative tuberculosis skin test, he has not
been exposed, outside the scope of his employment, to
any person known by him to have tuberculosis.
3. Immunization. Whenever any standard, medically recognized
vaccine or other form of immunization or prophylaxis exists for the
prevention of a communicable disease for which a presumption is
granted under this section, if medically indicated in the given
circumstances pursuant to immunization policies established by
the Advisory Committee on Immunization Practices of the U.S.
Public Health Service, an emergency rescue or public safety
participant may be required by the city to undergo the
immunization or prophylaxis unless the participant's physician
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determines in writing that the immunization or other prophylaxis
would pose a significant risk to the participant's health. Absent
such written declaration, failure or refusal by an emergency
rescue or public safety participant to undergo such immunization
or prophylaxis disqualifies the participant from the benefits of the
presumption.
4. Record of exposures. The city shall maintain a record of any
known or reasonably suspected exposure of an emergency
rescue or public safety participant in its employ to the disease
described in this section and shall immediately notify the
participant of such exposure. An emergency rescue or public
safety participant shall file an incident or accident report with the
city of each instance of known or suspected occupational
exposure to hepatitis infection, meningococcal meningitis, or
tuberculosis.
5. Required medical tests; preemployment physical. In order to be
entitled to the presumption provided by this section:
(i) An emergency rescue or public safety participant must,
prior to diagnosis, have undergone standard, medically
acceptable tests for evidence of the communicable disease
for which the presumption is sought, or evidence of
medical conditions derived therefrom, which tests fail to
indicate the presence of infection. This paragraph does not
apply in the case of meningococcal meningitis.
(ii) An emergency rescue or public safety participant may be
required to undergo a preemployment physical
examination that tests for and fails to reveal any evidence
of hepatitis or tuberculosis.
Sec. 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 INTEREST
Less than 10 Years of Credited Service 0%
10 years or more 100%
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b. Notwithstanding the foregoing schedule, a participant shall be fully vested
in his accrued benefit upon attaining his early retirement date or his
normal retirement date.
(3) A participant who terminates employment with the employer prior to his early
retirement date or his normal retirement date may elect to receive the total
contributions he has made to the plan, together with five percent simple interest
on such contributions. Upon making such election, the participant's interest in his
accrued benefit shall be forfeited.
(4) If a participant terminates employment prior to his early retirement date or his
normal retirement date and receives a distribution of his contributions (plus
interest thereon) and is subsequently reemployed and again becomes a
participant in this plan, his credited service for purposes of vesting and benefit
accruals shall not include any periods of employment prior to his reemployment
date unless he repays to the pension fund the greater of (i) the full amount
previously distributed to him plus interest at the rate equal to the assumed rate of
return under the plan or (ii) the actuarial present value of the accrued benefit
previously forfeited. Such repayment must be made no later than the second
anniversary of the participant's reemployment. If a participant repays the
foregoing amount to the pension fund within the prescribed time period, the
interest of the participant in his accrued benefit previously forfeited under
subparagraph (3) above shall be restored in full and the participant's credited
service shall be based on all periods of employment.
Sec. 2.420 Death benefit
(1) a. In the event of the death of a participant who is vested in his accrued
benefit prior to his termination of employment, his beneficiary (as
described below) shall be entitled to receive a death benefit. Said death
benefit shall be in an amount equal to the accrued benefit of such
participant as of the date of his death.
1. The participant's beneficiary may elect to receive, in lieu of the
death benefit under the plan, the total contributions made by the
participant to the plan, together with five percent simple interest on
such contributions. Upon making such election, the participant's
beneficiary shall forfeit any right to a death benefit under the plan.
2. If the participant does not have a beneficiary, the total
contributions made by the participant to the plan,together with five
percent simple interest on such contributions, shall be paid to the
participant's estate.
b. In the event of the death of a participant who is not vested in his accrued
benefit prior to his termination of employment, his beneficiary (or, if there
is no beneficiary, his estate) shall be entitled to receive the total
contributions made by the participant to the plan, together with five
percent simple interest on such contributions.
(2) A participant whose employment is terminated by reason of his death in the line
of duty shall be deemed, for purposes of the plan, to have been disabled in the
line of duty and his benefit shall be determined in accordance with paragraph (5)
of section 2.418.
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(3) The participant's surviving spouse shall be deemed to be the beneficiary
designated to receive the death benefit payable under the plan, and if none, his
children under the age of 18 who are the participant's dependents (within the
meaning of Section 152 of the Internal Revenue Code) at the time of his death.
(4) If the total contributions made by the participant to the plan, together with five
percent simple interest on such contributions, exceed the value of the death
benefit paid under the plan, the amount by which such contributions (including
interest thereon) exceed the value of the death benefit paid under the plan shall
be paid to the participant's beneficiary, or if none,to the participant's estate.
Sec. 2.421 Cost-of-living adjustment.
(1) As to the retirement benefit for creditable service earned prior to the effective
date of this restatement, the monthly amount payable to all participants,
beneficiaries and survivors who have received at least six monthly benefit
payments as of each April 1 shall be increased by an annual cost-of-living
adjustment equal to one and one-half percent on each April thereafter.
(2) As to the retirement benefit for creditable service earned on or after the effective
date of this restatement, for which such service is of a character or type of
employment that is not described herein as "hazardous duty" or that the trustees
have not designated as hazardous duty, the monthly amount payable to all
participants who are eligible to retire as of the effective date of this restatement,
their beneficiaries, and their survivors, who have received at least six monthly
benefit payments as of each April 1 shall be increased by an annual cost-of-living
adjustment equal to one and one-half percent on each April thereafter, and the
monthly amount payable to all participants who are not eligible to retire as of the
effective date of this restatement, their beneficiaries, and their survivors, who
have received at least sixty monthly benefit payments as of each April 1 shall be
increased by an annual cost-of-living adjustment equal to one and one-half
percent on each April thereafter.
(3) As to the retirement benefit for creditable service earned on or after the effective
date of this restatement for which such 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, the monthly amount payable to all
participants who are eligible to retire as of the effective date of this restatement,
their beneficiaries, and their survivors, who have received at least six monthly
benefit payments as of each April 1 shall be increased by an annual cost-of-living
adjustment equal to one and one-half percent on each April thereafter, and the
monthly amount payable to all participants who are not eligible to retire as of the
effective date of this restatement, their beneficiaries, and their survivors shall not
be increased by any cost-of-living adjustment.
Sec. 2.422 Limitations on amount of beneffts.
(1) Basic limitation. Subject to the adjustments hereinafter set forth, the maximum
amount of annual retirement income payable with respect to a participant under
this plan shall not exceed the limits set forth in §415 of the Internal Revenue
Code.
70
For purposes of applying the above limitation, benefits payable in any form other
than a straight life annuity with no ancillary benefits shall be adjusted, as
provided by treasury regulations, so that such benefits are the actuarial
equivalent of a straight life annuity. For purposes of this section, the following
benefits shall not be taken into account:
a. Any ancillary benefit which is not directly related to retirement income
benefits;
b. Any other benefit not required under § 415(b)(2) of the Code and
regulations thereunder to be taken into account for purposes of the
limitation of§415(b)(1)of the Code.
(2) Participation in other defined benefit plans. The limitation of this section with
respect to any participant who at any time has been a participant in any other
defined benefit plan (as defined in § 4140) of the Code) maintained by the city
shall apply as if the total benefits payable under all defined benefit plans in which
the participant has been a participant were payable from one plan.
(3) Adjustments in limitations.
a. In the event the participant's retirement benefits become payable before
age 82, the §415 limitation prescribed by this section shall be reduced in
accordance with regulations issued by the secretary of the treasury
pursuant to the provisions of§415(b) of the Code, so that such limitation
(as so reduced) equals an annual benefit (beginning when such
retirement income benefit begins) which is equivalent to the §415
limitation.
b. In the event a police officer or firefighter participant's benefit is based on
at least 15 years of credited service, the adjustments provided for in a.
above shall not apply.
C. The reductions provided for in a. above shall not be applicable to
disability benefits paid pursuant to Section 2.418, or pre-retirement death
benefits paid pursuant to section 2.420.
d. In the event the participant's retirement benefit becomes payable after
age 85, for purposes of determining whether this benefit meets the
limitation set forth in subsection (1) herein, such benefit shall be adjusted
so that it is actuarially equivalent to the benefit beginning at age 85. This
adjustment shall be made in accordance with regulations promulgated by
the Secretary of the Treasury or his delegate.
(4) Less than ten years of service. The maximum retirement benefits payable under
this section to any participant who has completed less than ten years of credited
service with the city shall be the amount determined under subsection (1) of this
section multiplied by a fraction, the numerator of which is the number of the
participant's years of credited service and the denominator of which is ten (10).
The reduction provided for in this subsection shall not be applicable to disability
benefits paid pursuant to section 2.418, or pre-retirement death benefits paid
pursuant to section 2.420.
71
(5) Ten thousand dollar limit. Notwithstanding the foregoing, the retirement benefit
payable with respect to a participant shall be deemed not to exceed the
limitations set forth in this section if the benefits payable, with respect to such
participant under this plan and under all other qualified defined benefit pension
plans to which the city contributes, do not exceed $10,000.00 for the applicable
plan year and for any prior plan year and the city has not at any time maintained
a qualified defined contribution plan in which the participant participated.
(6) Reduction of benefits. Reduction of benefits and/or contributions to all plans,
where required, shall be accomplished by first reducing the participant's benefit
under any defined benefit plans in which participant participated, such reduction
to be made first with respect to the plan in which participant most recently
accrued benefits and thereafter in such priority as shall be determined by the
board and the plan administrator of such other plans, and next, by reducing or
allocating excess forfeitures for defined contribution plans in which the participant
participated, such reduction to be made first with respect to the plan in which
participant most recently accrued benefits and thereafter in such priority as shall
be established by the board and the plan administrator for such other plans
provided, however, that necessary reductions may be made in a different manner
and priority pursuant to the agreement of the board and the plan administrator of
all other plans covering such participant.
(7) Cost-of-living adjustments. The limitations as stated in subsections (1), (2), and
(3) herein shall be adjusted to the time payment of a benefit begins in
accordance with any/cost-of-living adjustments prescribed by the secretary of the
treasury pursuant to§415(d) of the code.
(8) This subparagraph (8) shall apply to the amount of benefit (as such term is
described below) under this plan for any participant who is considered a
restricted participant (as such term is described below). Such benefit shall be
limited to an amount equal to the payments that would have been made on
behalf of the restricted participant under a life annuity form of payment that is the
actuarial equivalent of the restricted participant's accrued benefit under the plan.
a. For purposes of this subparagraph (8), the term "benefit" shall include
retirement income provided by the plan, plus loans in excess of the
amounts set forth in § 72(p)(2)(A) of the Internal Revenue Code, any
periodic income, any withdrawal values payable to a living participant and
any death benefits not provided for by insurance on the participant's life.
b. For purposes of this subparagraph (8), the term "restricted participant"
shall mean all highly compensated employees. In any one plan year, the
total number of participants whose benefits are subject to restriction
under this subparagraph (8) shall be limited by the plan to a group of not
less than 25 highly compensated employees with the greatest
compensation.
C. Notwithstanding the foregoing, the limitations set forth in this
subparagraph (8) shall not restrict the current payment of the full amount
of retirement income provided by the plan if:
72
I. After payment to a restricted participant of all of the benefit
described above, the value of plan assets equals or exceeds 100
percent of the value of current liabilities, as defined in § 412(1)(7)
of the Internal Revenue Code, or
2. The value of the benefit described above for a restricted
participant is less than one percent of the value of current
liabilities, as defined in§412(1)(7) of the Internal Revenue Code.
Sec. 2.423 Forfeiture of pension.
(1) Florida Statute§112.3173 is applicable to all participants and retirees of the plan.
Sec. 2.424. Time and manner of benefit payments.
(a) Time for distribution of benefits.
(1) Except as otherwise provided under this section 2.424;
a. 1. The amount of the normal or early retirement benefit to which a
participant is entitled shall commence as of the end of the month
that next follows the month in which the participant terminates
employment on or after his normal retirement date, continuing as
of the last day of each month thereafter during his lifetime and the
lifetime of his beneficiary, if any.
2. No payment shall be made with respect to the month in which
participant terminates employment on or after his normal or early
retirement date; provided, however, that a full monthly payment
will be made for the month in which the participant or his
beneficiary dies.
b. 1. The amount of the disability benefit to which a participant is
entitled shall commence as of the end of the month that next
follows the later of(1)the month in which a determination is made
as to the participant's disability or (2) the month in which the
participant terminates employment, continuing as of the last day of
each month thereafter during his lifetime and the lifetime of his
beneficiary, if any. With respect to police officer and firefighter
participants, 120 payments shall be guaranteed in any event.
2. No payment shall be made with respect to the month in which a
determination is made as to the participant's disability or the
month in which the participant terminates employment; provided,
however,that a full monthly payment will be made for the month in
which the participant or his beneficiary dies.
3. Provided, however, the disability retiree may select, at any time
prior to the date on which benefit payments begin, an optional
form of benefit payment as described in section 2.424(b)(2)a., 1.
or 3., which shall be the actuarial equivalent of the normal form of
benefit.
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C. 1. The amount of the termination of employment benefit to which a
participant is entitled shall commence as of the earlier of (1) the
end of the month that next follows the month in which the
participant attains his early retirement date (or would have
attained his early retirement date if he had continued in the
employ of the employer until his early retirement date) or (2) the
end of the month that next follows the month in which the
participant attains his normal retirement date (or would have
attained his normal retirement date if he had continued in the
employ of the employer until his normal retirement date),
continuing as of the last day of each month thereafter during his
lifetime and the lifetime of his beneficiary, if any.
2. No payment shall be made with respect to the month in which the
participant attains his early retirement date (or would have
attained his early retirement date if he had continued in the
employ of the employer until his early retirement date) or his
normal retirement date (or would have attained his normal
retirement date if he had continued in the employ of the employer
until his normal retirement date); provided, however, that a full
monthly payment will be made for the month in which the
participant or his beneficiary dies.
d. 1. The death benefit payable to a participant's beneficiary shall
commence as of the end of the month that next follows the month
in which the participant dies, continuing as of the last day of each
month thereafter during the lifetime of his beneficiary.
2. No payment shall be made with respect to the month in which the
participant dies; provided, however, that a full monthly payment
will be made for the month in which the beneficiary dies.
(2) Notwithstanding anything contained herein to the contrary, any distribution paid
to a participant (or, in the case of a death benefit, to his beneficiary or
beneficiaries) pursuant to subparagraph (1) shall commence not later than the
last to occur of.
a. April 1 of the year following the calendar year in which the participant
retires on or after his early retirement date or his normal retirement date;
or
b. April 1 of the year immediately following the calendar year in which the
participant reaches age 70
(b) Manner of payment.
(1) a. The manner of payment of a participant's retirement, disability or
termination of employment benefit shall be the normal form of payment
described in Section 2.416.
b. The manner of payment of a participant's death benefit shall be the
actuarial equivalent of the normal form of survivor annuity payment
described in Section 2.416.
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(2) a. Options
In lieu of the normal form of payment, a participant may elect at any time
after becoming a participant of the Plan to be paid his—retirement,
disability, death or termination of employment benefit in one of the
following optional forms. Should a participant fail to select a payment
option prior to death, a named beneficiary shall be entitled to select the
payment option. The optional forms, which shall be the actuarial
equivalent of the benefit that would otherwise be paid to the participant,
are as follows:
1. Monthly income payments for the life of the participant.
2. Monthly income payments for a ten years certain and life
thereafter, under which the participant receives payments during
his lifetime and, if he dies after he has begun to receive payments
but before he has received 120 payments, the remaining
payments shall be made to his designated beneficiary; provided,
further, that if the designated beneficiary predeceases the
participant, the participant may designate a new beneficiary to
receive any payments due after his death. If the participant does
not designate a new beneficiary, the payments required under this
option following the participant's death shall be paid to the
participant's estate. If the designated beneficiary begins to
receive payments under this option and such designated
beneficiary dies before the end of the ten-year period, the
remaining payments shall be paid to the designated beneficiary's
estate.
3. Monthly income payments for the fife of the participant and, after
his death, a survivor annuity payable for the life of the participant's
designated beneficiary equal to 100 percent, 75 percent, 66 213
percent or 50 percent of the amount payable to the participant.
Each participant shall be permitted to change the joint annuitant in
a manner consistent with the provisions of §175.171, 175.333,
185.161, and 185.341, Florida Statutes. Each designated change
shall be evidenced by written instrument filed with the board and
shall be effective upon filing with the board.
4. A partial lump sum payment equal to either ten percent (10%),
twenty percent (20%), or thirty percent (30%) of the actuarially
determined value of the normal retirement benefit due the
member. If a member selects such a partial lump sum
distribution, then the monthly retirement benefit shall be reduced
accordingly.
b. Each participant shall have the right to designate a beneficiary for
purposes of the optional forms of benefit payment described in this
paragraph and to revoke any such designation. Each designation or
revocation shall be evidenced by written instrument filed with the board
and shall be effective upon filing with the board.
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(3) In the case of a retirement, disability or termination of employment benefit, in no
event shall payment extend beyond the life or life expectancy of the participant or
the joint lives or life expectancies of the participant and his designated
beneficiary. If the participant dies before receiving the entire amount payable to
him, the balance shall be distributed to his designated beneficiary at least as
rapidly as under the method being used prior to the participant's death.
(4) In the case of a death benefit;
a. Payment to the designated beneficiary shall begin within one year
following the participant's death (unless the designated beneficiary is the
participant's spouse, in which case such benefit shall begin no later than
the date the participant would have reached 70 '/z) and shall not, in any
event, extend beyond the life or life expectancy of the designated
beneficiary; or
b. Payment to any other beneficiary shall be totally distributed within five
years from the date of the participant's death.
(5) The participant (or his spouse) shall not be permitted to elect whether life
expectancies will be recalculated for purposes of distributions hereunder.
(6) The committee may purchase and distribute a nontransferable and
nonrefundable annuity contract to provide any benefit under the plan paid in the
form of an annuity.
(c) Lump sum payment. Notwithstanding anything contained in this plan to the contrary, any
benefit payable under the plan, the actuarial lump sum present value of which is not
more than $3,500.00, shall be paid in a lump sum as soon as practicable following the
participant's termination of employment.
(d) No payment unless sufficient funds. No benefits shall be paid under this plan unless at
the time of such benefit payment the pension fund has sufficient assets to pay such
benefits; provided, that in the event the assets in the pension fund are not sufficient to
pay the benefit amounts due under the plan, the employer shall make additional
contributions to the plan pursuant to paragraph(b) of section 2.415.
(e) Direct transfers of eligible rollover distributions.
(1) Rollover distributions. Notwithstanding any provisions of the plan to the contrary
that would otherwise limit a distributee's (as defined below) election under this
paragraph, a distributee may elect, at the time and in the manner prescribed by
the committee, to have any portion of an eligible rollover distribution (as defined
below) paid directly to an eligible retirement plan (as defined below) specified by
the distributee in a direct rollover(as defined below).
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(2) For purposes of this paragraph, the following terms shall have the following
meanings:
a. 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 specked period of ten years or more; any distribution
to the extent such distribution is required under Internal Revenue Code
Section 401(x)(9), and the portion of any distribution that is not includable
in gross income (determined without regard to the exclusion for net
unrealized appreciation with respect to employer securities). Any portion
of any distribution which would be includable in gross income will be an
eligible rollover distribution if the distribution is made to an individual
retirement account described in Internal Revenue Code Section 408(a), to
an individual retirement annuity described in Internal Revenue Code
Section 408(b) or to a qualified defined contribution plan described in
Internal Revenue Code Section 401(a)or 403(a)that agrees to separately
account for amounts so transferred, 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.
b. An "eligible retirement plan" is an individual retirement account described
in Internal Revenue Code Section 408(a), an individual retirement annuity
described in Internal Revenue Code Section 408(b), an annuity plan
described in Internal Revenue Code Section 403(a), an eligible deferred
compensation plan described in Internal Revenue Code Section 457(b)
which is maintained by an eligible employer described in Internal
Revenue Code Section 457(e)(1)(A) and which agrees to separately
account for amounts transferred into such plan from this plan, an annuity
contract described in Internal Revenue Code Section 403(b), or a
qualified trust described in Internal Revenue Code Section 401(a), that
accepts the distributee's eligible rollover distribution. This definition shall
apply in the case of an eligible rollover distribution to the surviving
spouse.
C. A "distributee" includes an employee or former employee. In addition, the
employee's or former employee's surviving spouse and the employee's or
former employee's spouse or former spouse who is the alternate payee
under a qualified domestic relations order, as defined in Internal Revenue
Code Section 414(p), are distributees with regard to the interest of the
spouse or former spouse.
d. A "direct rollover" is a payment by the plan to the eligible retirement plan
specified by the distributee.
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Sec. 2.425 Pension Fund Records.
The trustees and the pension advisory committee shall keep a record of all of their proceedings
which shall be maintained and open to public inspection in accordance with Chapters 119, and
286, Florida Statutes. Such records shall reflect a complete and comprehensive account of the
discussions and actions taken by the trustees and the pension advisory committee.
Sec. 2.426. Amendment and termination.
(a) Amendment of plan. The city council of the employer shall have continuous power to
amend this plan in whole or in part; provided, however, that no such amendment, except
as permitted by law:
(1) Shall become effective until and unless it is ratified by a majority of the qualified
electors of the City of Clearwater voting either in a general election or in a special
election called and held for the purpose of ratification or rejection of the
amendment; provided, however, that such ratification shall not be required if the
amendment is necessary to comply with applicable state or federal law.
(2) Shall have the effect of vesting in the employer, directly or indirectly any interest,
ownership or control in any of the present or subsequent assets held in the
pension fund;
(3) Shall cause or permit any property held subject to the terms of the pension fund
to be diverted for purposes other than the exclusive benefit of the participants
and their beneficiaries; or
(4) Shall reduce the then vested accrued benefit of any participant.
(5) Shall reduce or eliminate any benefit in pay status prior to the effective date of
the plan, except as otherwise provided under the terms of the plan, prior to the
effective date of this amendment and restatement.
(b) Termination of plan, discontinuance of contributions.
(1) This plan may be terminated in whole or in part at any time by the employer,
provided, however, that termination shall not become effective until and unless
the decision to terminate is ratified by a majority of the qualified electors of the
City of Clearwater voting either in a general or a special election called and held
for the purpose of ratification or rejection of plan termination. Upon termination of
the plan by the municipality for any reason, or because of a transfer, merger, or
consolidation of governmental units, services, or functions as provided in chapter
121, or upon written notice to the board of trustees by the municipality that
contributions under the plan are being permanently discontinued, the rights of all
employees to benefits accrued to the date of such termination or discontinuance
and the amounts credited to the employees' accounts are nonforfeitable. The
fund shall be distributed in accordance with the following procedures:
a. The board of trustees shall determine the date of distribution and the
asset value required to fund all the nonforfeitable benefits, after taking
into account the expenses of such distribution. The board shall inform the
municipality if additional assets are required, in which event the
municipality shall continue to financially support the plan until all
nonforfeitable benefits have been funded.
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b. The board of trustees shall determine the method of distribution of the
asset value, whether distribution shall be by payment in cash, by the
maintenance of another or substituted trust fund, by the purchase of
insured annuities, or otherwise, for each police officer entitled to benefits
under the plan, as specked in subsection c. below.
C. The board of trustees shall distribute the asset value as of the date of
termination in the manner set forth in this subsection, on the basis that
the amount required to provide any given retirement income is the
actuarially computed single-sum value of such retirement income, except
that if the method of distribution determined under subsection b. above
involves the purchase of an insured annuity, the amount required to
provide the given retirement income is the single premium payable for
such annuity. The actuarial single-sum value may not be less than the
employee's accumulated contributions to the plan, with interest if provided
by the plan, less the value of any plan benefits previously paid to the
employee.
d. If there is asset value remaining after the full distribution specified in
subsection c. above, and after payment of any expenses incurred with
such distribution, such excess shall be returned to the municipality, less
return to the state of the state's contributions, provided that, if the excess
is less than the total contributions made by the municipality and the state
to date of termination of the plan, such excess shall be divided
proportionately to the total contributions made by the municipality and the
state.
e. The board of trustees shall distribute, in accordance with the manner of
distribution determined under subsection b. above, the amounts
determined under subsection c. above.
If, after 24 months after the date the plan terminated or the date the board
received written notice that the contributions thereunder were being
permanently discontinued, the municipality or the board of trustees of the
municipal police officers' retirement trust fund affected has not complied
with all of the provisions of this section, the Department of Management
Services shall effect the termination of the fund in accordance with this
section.
Sec. 2.427. Miscellaneous.
(a) Alienation. No participant or beneficiary of a participant shall have any right to assign,
transfer, appropriate, encumber, commute, anticipate or otherwise alienate his interest in
this plan or the pension fund or any payments to be made thereunder; no benefits,
payments, rights or interests of a participant or beneficiary of a participant of any kind or
nature shall be in any way subject to legal process to levy upon, garnish or attach the
same for payment of any claim against the participant or beneficiary; and no participant
or beneficiary of a participant shall have any right of any kind whatsoever with respect to
the pension fund, or any estate or interest therein, or with respect to any other property
or right, other than the right to receive such distributions as are lawfully made out of the
pension fund, as and when the same respectively are due and payable under the terms
of this plan.
79
(b) Effect on other plans. Nothing in this plan shall be construed so as to abridge, alter or in
any way affect any of the rights or liabilities of an employee of the employer under any
other retirement plan in effect as of the effective date of this plan.
(c) Receipt of information. Where any action which the committee and/or the trustees are
required to take or any duty or function which they are required to perform either under
the terms herein or under the general law applicable to the committee and/or the
trustees under this plan can reasonably be taken or performed only after receipt from a
participant, the employer, or any other entity, of speck information, certification,
direction or instructions, the committee and/or the trustees 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.
(d) Overpayments and underpayments. Any overpayments or underpayments from the
pension fund to a participant or beneficiary caused by errors of computation shall be
adjusted with interest at a rate equal to the assumed rate of return under the plan.
Overpayment shall be charged against payments next succeeding the correction.
Underpayments shall be made up from the pension fund.
(e) Appointment of agents. Any of the foregoing powers and functions reposed in the
trustees may be performed or carried out by the trustees through duly authorized agents,
provided that the trustees at all times maintain continuous supervision over the acts of
any such agent; provided further, that legal title to the pension fund shall always remain
in the trustees.
(f) Independent audit. An independent audit shall be performed annually by a certified
public accountant for the most recent fiscal year of the employer. Such report shall
reflect items normally included in a certified audit.
(g) Expenses of administration.
(1) a. The assets of the pension fund may be used to pay all expenses of the
administration of the plan and the pension fund, including the
compensation of any investment manager, the expense incurred by the
trustees or the committee in discharging its duties, all income or other
taxes of any kind whatsoever that may be levied or assessed under
existing or future laws upon or in respect of the pension fund, and any
interest that may be payable on money borrowed by the trustees for the
purpose of the pension fund, as well as any settlements or judgments
entered with respect to the plan.
b. The employer may pay the expenses of the plan and the pension fund.
Any such payment by the employer shall not be deemed a contribution to
this plan.
(2) Notwithstanding anything contained herein to the contrary, no excise tax or other
liability imposed upon the trustees or any other person for failure to comply with
the provisions of any federal law shall be subject to payment or reimbursement
from the assets of the pension fund.
(3) No individual trustee or committee member shall be entitled to compensation
from the trust (except for the reimbursement of expenses properly and actually
incurred).
80
r
Sec. 2.428. Physical examination;effect of pre-employment conditions.
(a) All employees, as a condition of entry into the retirement plan, shall submit to a uniform
physical examination, as may be required by the trustees,for the purpose of determining
the existence of pre-existing medical conditions. In lieu of undergoing a pension plan
physical examination, an employee shall be required to consent to the trustees' access
for the purposes of this section to any physical examination performed by the City. No
persons shall be denied entry into the plan on the basis of any pre-existing medical
condition.
(c) In the event that the physical examination described in this section shall determine the
presence of a pre-existing medical condition, said condition shall be reported to the
employee and recorded in the records of the trustees. Such employee shall
acknowledge the receipt of the medical report and execute a form, as prescribed by the
board, indicating knowledge of the pre-existing condition and an agreement that said
condition cannot form the basis of a service-incurred disability retirement unless it can
be shown that the member would have been entitled to a service-incurred disability
retirement allowance on the basis of aggravation of the pre-existing condition.
(d) In the event that the member believes the medical report is in error, the member may
request a review by the pension advisory committee within thirty (30) days of receipt of
notice of the physical examination results. If the initial review does not satisfactorily
resolve the question of the pre-existing condition, the member may request a hearing
before the pension advisory committee. Failure to request such a review will not
preclude a later challenge on this issue. The board shall prescribe uniform rules for the
conduct of such hearings.
Section 2. If any provision of this ordinance or any policy or order thereunder of the
application of such provision to any person or circumstances shall be held invalid, the remainder
of this ordinance and the application of such provision of this ordinance or of such policy or
order to persons or circumstances other than those to which it is held invalid shall not be
affected thereby.
Section 3. A special election for the purpose of voting on the Amended and Restated
General Employees Pension Plan as set forth in this ordinance shall be conducted on
November 6, 2012.
81
t
Section 4. The question to appear on the Referendum Ballot shall be as follows:
CITY OF CLEARWATER AMENDED AND RESTATED GENERAL EMPLOYEES
PENSION PLAN
Shall the Employee Pension Plan adopted by Ordinance No. 8333-12, meeting requirements of
IRS-qualified plan; extending normal retirement date, decreasing multiplier, and changing
beneficiary options for nonhazardous duty new hires; addressing reemployment; increasing
employee contributions and changing overtime inclusion calculation for certain hazardous duty
employees; delaying cost-of-living pension increase and changing beneficiary options for
employees not eligible to retire; making changes to disability retirement provisions; making other
changes; providing for applicability; be approved?
YES NO
Section 5. This ordinance shall become effective on January 1, 2013, provided that
such Amended and Restated General Employees Pension Plan is approved by the majority of
electors voting in the Referendum on the issue at a ballot special election called for such
purposes provided herein to be conducted in the City of Clearwater, Florida, and upon the filing
of this ordinance with the Secretary of State to the extent either in whole or in part that is
approved.
PASSED ON FIRST READING June 20, 2012
PASSED ON SECOND AND FINAL July 19, 2012
READING AND ADOPTED
- C(Wrtt A CPC 60S
George N. Cretekos
Mayor
Approved as to form: Attest:
Leslie K. Doug I- ides Rosemarie Call
Assistant City A o ney City Clerk c7 Q
gTER
82
ORDINANCE NO. 8338-12
AN ORDINANCE OF THE CITY OF CLEARWATER, FLORIDA;
PROVIDING FOR A REFERENDUM AT A SPECIAL CITY
ELECTION TO BE HELD IN CONJUNCTION WITH THE
GENERAL FEDERAL, STATE, AND COUNTY ELECTION TO BE
HELD ON NOVEMBER 6, 2012; PROVIDING FOR
AUTHORIZATION FOR CITY COUNCIL TO GRANT ECONOMIC
DEVELOPMENT AD VALOREM TAX EXEMPTIONS IF THE
BALLOT QUESTION CONTAINED IN THIS ORDINANCE IS
APPROVED BY A MAJORITY OF THE VOTERS; PROVIDING
AN EFFECTIVE DATE.
WHEREAS, a recognized function of the City is to promote economic development
within its jurisdiction by providing financial incentives that will encourage new businesses to
relocate within its jurisdiction and existing businesses to expand creating employment
opportunities that will benefit the entire community; and
WHEREAS, the current economic climate has resulted in a high unemployment rate
in the City of Clearwater, impacting the quality of life for its citizens and the sustainability of
local businesses; and
WHEREAS, many of the surrounding Florida counties and cities including but not
limited to Tampa, Hillsborough County, City of Sarasota, Sarasota County and the City of
St. Petersburg have already implemented ad valorem tax exemption programs potentially
putting the City of Clearwater at a competitive disadvantage in the recruitment of new
businesses and the retention of existing and expanding businesses; and
WHEREAS, the City desires to offer an Economic Development Ad Valorem Tax
Exemption for new businesses relocating to the City of Clearwater and to businesses
already situated in the City of Clearwater that are expanding in order to foster economic
growth and increase employment as allowed by state law; and
WHEREAS, the City Council supports this concept and is placing it before the voters
to determine if the voters support the granting of economic ad valorem tax exemptions to
new and expanding businesses within the City; and
WHEREAS, Section 196.1995, Florida Statutes, requires a referendum procedure to
determine whether a municipality may grant economic ad valorem tax exemptions under
s.3, Art. VII of the State Constitution; now, therefore;
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
CLEARWATER, FLORIDA:
Section 1. A special municipal referendum election is hereby called and will be
held on November 6, 2012, in conjunction with the general Federal, State and County
Ordinance No. 8338-12
election for the consideration of the voters of the City of Clearwater for the proposed
question. The question to appear on the referendum ballot shall be as follows:
PROVIDING CITY COUNCIL WITH THE AUTHORITY TO GRANT ECONOMIC
DEVELOPMENT AD VALOREM TAX EXEMPTIONS
Shall the City Council of the City of Clearwater be authorized to grant,
pursuant to s.3, Art. VII of the State Constitution, ad valorem tax
exemptions to new businesses and expansions of existing businesses that
are expected to create new, full-time jobs in the City of Clearwater?
YES— For authority to grant exemptions
NO—Against authority to grant exemptions
Section 2. Upon approval by the voters, the City Council shall be authorized to
grant, at its discretion, ad valorem tax exemptions for new and expanding businesses in
the City of Clearwater that are expected to create new, full-time jobs pursuant to Section
196.1995, Florida Statutes, and s.3 Art. VII of the State Constitution.
Section 3. The City Clerk is directed to notify the Pinellas County Supervisor
of Elections that the referendum item provided above shall be considered at the election
to be held on November 6, 2012.
Section 4. This ordinance shall take effect immediately, with the exception of
Section 2, which shall take effect only upon approval of a majority of the City electors
voting at the referendum election on these issues.
PASSED ON FIRST READING June 7, 2012
PASSED ON SECOND AND FINAL June 20, 2012
READING AND ADOPTED
George N. Cretekos
Mayor
Approved as to form: Attest:
Pame a K. Akin Rosemarie Call
City Attorney City Clerk
2 Ordinance No. 8338-12
EXHIBIT A
PINELLAS COUNTY MAIL BALLOT DROPOFF LOCATIONS
for the 2012 General Election
***DATES AND TIMES VARY. CHECK LOCATIONS BELOW. ***
• Use the ballot dropoff Box INSIDE. DO NOT put your ballot in any box outside these locations.
• An election employee will be at each site to assist and hand out"I VOTED"stickers.
*** Supervisor of Elections Offices are available for ballot dropoff the following dates and hours:
September 24—October 26 Monday-Friday 8:00 to 5:00 (Closed weekends and holidays)
October 27—November 3 Monday-Friday 7:00 to 7:00 (Saturdays and Sunday 7:00 to 7:00)
November 4 Sunday 8:00 to 5:00
November 5 Monday 8:00 to 5:00
November 6 Tuesday 7:00 to 7:00
Supervisor of Elections Offices:
• 315 Court St., Room 117, Clearwater
• 5011"Ave. N.,St.Petersburg
• 13001 Starkey Rd., Largo(Starkey Lakes Corporate Center)
Drive Thru Available Only from October 22—November 6;at Starkey Office;Front Entrance of Building
***These ballot dropoff locations are available ONLY OCTOBER 22—NOVEMBER 6 the following hours:
Tarpon Springs Seminole Community Library
Tax Collector Office 92001131 St. N.,Seminole
743 Pinellas Ave.S., Tarpon Springs Monday-Friday,9:00-4:00
Monday-Friday,8:00-4:00 Saturday, 10:00-4:00
(Election Day November 6,8:00-7:00) (Election Day November 6, 7.00-7.00)
East Lake Community Library Pinellas Park Library
4125 East Lake Rd., Palm Harbor 7770 52nd St.,Pinellas Park
Monday-Saturday, 10:00-4:00 Monday-Saturday,9:00-4:00
(Election Day November 6, 10:00-7.00) (Election Day November 6,9:00-7.00)
Centre of Palm Harbor South County
150016°St., Palm Harbor Tax Collector Office
Monday-Friday,8:00-4:00 1800 661 St. N.,St. Petersburg
Saturday,8:00-NOON Monday-Friday,8:00-4:00
(Election Day November 6, 7:00-7.00) (Election Day November 6,8:00-7:00)
North County James Weldon Johnson Branch Library
Tax Collector Office 105918"Ave.S.,St. Petersburg
29399 US Hwy. 19 N., Clearwater Monday-Friday 10:00-4:00
Monday-Friday,8:00-4:00 Saturday, NOON-4:00
(Election Day November 6,8:00-7.00) (Election Day November 6, 10:00-7:00)
Oldsmar Public Library Skyway Plaza
400 St. Petersburg Dr.E., Oldsmar Tax Collector Office
Monday-Saturday, 9:00-4:00 1067 62,d Ave.S.,St. Petersburg
(Election Day November 6, 7:00-7.00) Monday-Friday,8:00-4:00
(Election Day November 6,8:00-7:00)
Gulf to Bay
Tax Collector Office
1663 Gulf to Bay Blvd., Clearwater
Monday-Friday,8:00-4:00
(Election Day November 6,8:00-7:00)