Ordinance 06-1789 ORDINANCE NO. 06-1789
AN ORDINANCE OF THE CITY OF
LONGWOOD, SEMINOLE COUNTY,
FLORIDA, UPDATING THE AC'T'UARIAL
PROVISION OF THE RETIREMENT PLAN
AND TRUST FOR THE FIREFIGHTERS AND
POLICE OFFICERS OF THE CITY OF
LONGWOOD (THE "PLAN"), AMENDING
THE PLAN TO COMPLY WITH THE
MANDATORY DISTRIBUTION PROVISIONS
OF THE INTERNAL REVENUE CODE ("IRC")
SECTION 401(a)(31)(B) AND REMOVING THE
DISCRETIONARY OPTIONAL FORM OF
RETIREMENT BENEFIT; PROVIDING FOR
CONFLICTS, SEVERABILITY AND
EFFECTIVE DATE.
WHEREAS, the, City Commission ("Commission") of the City of Longwood,
Florida, ("City") established a Retirement Plan rand Trust for the :Firefighters and Police
Officers of the City of Longwood (the "Plan") pursuant. to ordinance number 95-828,
subsequently amended; and,
WHEREAS, The City desires to amend the Plan to comply with all legislative
changes; and
WHEREAS, Article 19 of the Plan aul:horizes the City Commission to amend
the plan, in whole or in part, either retroactivel'~.y or prospectively, by delivering to the
Tnistee a written. amendment in accordance with the limitations set out in that section;
and
WHEREAS, in order to comply with applicable tax law deadlines Amendment
Two was executed by an officer of the City by January 31, 2006; and
W HERE~AS, the City Commission de>ires to amend t:he Plan and deems the
amendment to be in the best interests of its Participants and Beneficiaries.
NOW, 'T'HEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF
THE CITY OF LONGWOOD, FLORIDA, IN ITS CAPACITY AS PLAN TRUSTEE
HEREBY AMENDS THE PLAN AS FOLLOV~S:
SECTION 1: That Amendment Two of the P]an, a copy of which is attached as Exhibit
A, be and it is hereby adopted and shall be effective as of the dates indicated therein.
Ordinance No. OEi-1789/page 2
SECTION 2: CONFLICTS. All ordinances or parts of ordinances in conflict
herewith are hereby repealed.
FIRST RE~~DING: February 20, 2006
SECOND REA..DING: ~ ~ Id r~ ~ , Z-~
PASSED AND ADOPTED THIS (Q~ DAY OF t^C. ~ A. D., 2006..
G
Haywood G. Bund J Mayor
:~~T i EST:
i_
Sarah M. Mij,ares, City Clerk
Approved z:> .forn and 1'egality for the use and reliance of the City of Longwood,
Florida, only.
~ /
Rirha'rd S. Taylor
Jr., Cit.• Attorney
AMENDMENT TWO TO THE
RETI1tEMENT PLAN AND TRUS7C FOR TIIE FIREFIGHTERS
Al`dD POLICE OFFICERS OF TIIE CITY OF LONGWOOD
Amendment Two is made this ~J~ day of January, 2006, by the City of Longwood (the "City").
WHEREAS, the City of Longwood (the "City'') sponsors the Retirement Plan and Trust for the
Firefighters and Police Officers of the City of Longwood (the "Plan"); and
WHEREAS, the City desires to amend the Plan to comply with legislative changes; and
WHEREAS, Article 19 of the Plan Document authorizes the City, as the Empl"over under the Plan, to
amend the Plan, in whole or in part, either retroactively or prospectively, and
NOW, THEREFORE, the Plan is hereby amended as follows:
1. Exhibit B of the Basic Plan Document entitled "Actuarial Equivalent" is amended to update the Plan's
actuarial provisions and provide for definitely determinable benefits, as required under the Internal
Revenue Code and as approved by the IRS, effective January 1, 1996, is attached hereto.
2. Section (A)3 of .Article 10 of the Basic Plan Document regarding a discretionary optional form of
retirement benelrt payment shall be removed from t:he Plan in its entirety, effective February 1, 2006.
3. Section (f) of Article 10 of the Basic Plan Document regarding the mandatory distributions provision
r shall be deleted from the Plan in its entirety and substitute the following in lieu thereof, effective for all
distributions made on and after January 1, 2006:
Notwithstanding anything herein to the contrary, the Board in its discretion, will make a lump sum
payment to a Participant or a Participant's Beneficiary in the event that the monthly benefit amount is
less than one hundred dollars ($100), or the total commuted value of the remaining monthly income
payments to be paid does not exceed one thousand dollars ($1,000). Any such payment made to any
person pursuant to the power and discretion conferred upon the Board by the preceding sentence shall
operate as a complete discharge of all obligations under the Plan with regard to such Participant and
shall not be subject to review by anyone, but shall be final, binding and conclusive on all persons.
4. Except as hereinabove amended, the Plan shall remain in full force and effect.
IN WITNESS WI~REOF, this Amendment T~avo has been executed as of the day and year first
written above.
EMPLO~.'ER:
City of Longwood
C~
By:
( Pr t Name: ~OH'?.! J`. 7D2AGZ~
~ C lT~ R~ ~ w.1 ~ 5'Y1L147~t~ 12.
C:\N RPORTB L\TAM PA 1 \ERI V ERAV 31614_ l . DOC
r,
e-
Florida
D
Municipal
Pension Trust Fund
FL®~®A NIUNIC:IP~~ P~~®N
T~US~ ~U~®
®~INEI® ENFeT PLAN ®~CIJ~~~1T
RE~/ISED OCTC)BER 1, 2005
Sponsored and Administered by:
FLORIDA LEAGUE.OF CITIES, 1NC.
301 S. Bronough Street,, P.O. Box 1757
Tallahassee, FL 32302-1757
(850) 222-9684
Fax (850) 2;22-3806
TABLE OF CONTENTS
ARTICLE 1 DEFINITIONS
Section 1.01-
Section 1.31 Definitions 5
ARTICLE 2 PARTICIPATION
Section 2.01 Conditions of Eligibility 13
Section 2.02 Participation 13
Section 2.03 Change in Designation of Beneficiary 14
ARTICLE 3 BOARD OF TRUSTEES
Section 3.01 Board of Trustees 15
ARTICLE 4 FLNANCES AND FUND MAl`~AGEMENT
Section 4.01 Establishment and Operation of Fund 18
ARTICLE 5 CONTRIBUTIONS
Section 5.01 Participant Contributions _ _ 22
Section 5.02 State Contribution 22
Section 5.03 Employer Contributions 22.
Section 5.04 Other 23
ARTICLE 6 BENEFIT AMOUNTS AND E:LIGIBILI7Y
Section 6.01 Normal Retirement Date _ 24
Section 6.02 Normal Retirement Benefit, 24
Section 6.03 Normal Form of Benefit 25
Section 6.04 Cost of Living Adjustments to Benefit Payments 25
Section 6.05 Early Retirement Date 25
Section 6.06 ~ Early Retirement Benefit _ 25
Section 6.07 Deferred Retirement Option Program or `'DROP" 26
ARTICLE 7 PRE-RETIREMENT DEATH
Section. 7.01 Death Prior to Vesting In-Ling-Of-Duty 27
Section 7.02 Death After Vesting Ln-Line-0f- Duty 27
Section 7.03 Death Prior to Vesting Off-Du1y 27
Section 7.04 Death After Vesting Off-Duty_ 27
Section 7.05 Beneficiaries in Receipt of Pad/ment 27
~ ARTICLE 8 DISABILITY
2
bB PIAN RESTATEMENT-November 20, 2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent
Section 8.01 Disability Benefits In the Line of Duty 28
Section 8.02 G~isability Benefits Off--Dory- 29
Section 8.03 Conditions Disqualifying Disability Benefits 29
Section 8.04 Physical Examination Requirement 30
Section 8.05 1isability Payments 31
Section 8.06 IDisability Payments and V1~orkers Compensation 31
ARTICLE 9 'VESTING 33
ARTICLE 10 OPTIONAL FORMS OF BENEFITS 35
ARTICLE 11 BENEFICIARIES 38
ARTICLE 12 CLAIMS PROCEDURES 39
ARTICLE 13 REPORTS TO DIVISION OF RETIREMENT 39
ARTICLE 14 ROSTER OF RETIREES 39
ARTICLE 15 BOARD ATTORNEY AND PFZOFESSIONALS 40
r
~ ARTICLE 16 ,MAXIMUM PENSION
Section 16.01 Basic Limitations 41
Section 16,02Participation in Other Defined Benefit Plans 41
Section 16.03Adjustrnent in Limitations 41
Section 16.04Benefit Restoration Plan & Trust 44
ARTICLE 17 DISTRIBUTION OF BENEFITS 48
ARTICLE 18 MISCELLANEOUS PROVISIONS
Section 18.01 Interest of Participants in Pension Plan 51
Section 18.02Summary Plan Descriptions 51
Section 18.03Gender and Number 51
Section 18.04Headings and References 51
Section 18.05Benefil: Improvements 41
Section 18.06Proceclures for Unclaimed Benefit- 52
Section 18.07QualifiE~d Military Service 52
Section 18.08 Domestic Relations Order Submission. 52
• Section 18.09 Plan Amendments 53
3
DB PLAN RESTATEMENT'November 20, 2003; Amended October i, 20(15 Exhibit B Actuarial Equivalent
ARTICLE 19 REPEAL OR TERMINATION ~OF PLAN 54
ARTICLE 20 EXEMPTION FROM EXECUTION NON ASSIGNABILITY _ 57
ARTICLE 21 FORFEITURE OF PENSION:
CONV1CTfON AND FORFEiT'URE 58
ARTICLE 22 PENSION VALIDITY 60
ARTICLE 23 SIGNATORIES 61
EXHIBIT A MASTER- TRUST AGREEMEINT 62
EXHIBIT B ACTUARIAL EQUIVALENT 63
4
DB PlAN RESTATEMENT-November 20, 2003; Amended October 1, 201)5 Exhibit 8 Actuarial.Equivalent
/~R1°ICL.E 1
DEFINITI~~NS
As used herein. unless otherwise defined or required by the context, the following words
and phrases shall have the meaning indicated:
1.01 "Accurnulated•Contributions":
shall mean a Participant's own contributions without interest. For those Participant's
who purchase Credited Service with interest. or at no cost to the Plan, only that portion
of any payment representing the amount attributable to the Participant's contributions
based on the applicable Participant contribution rate shall be included in Accumulated
Contributions.
1..02 "Accrued Benefit":
t~ shall mean a fraction of the benefit to which a Participant would be entitled at their
Normal Retirement Date. The numerator l~f the. fraction is the years of participation
completed to date and the denominator is the years of participation in the Plan that
would have been earned if the Participant continued employment until their Normal
Retirement Date.
1.03 "Actuary"_
shall mean an actuary that is a member of the Society of Actuaries or the American
Academy of Actuaries and who is enrolled under subtitle C of Title III of the Employee
Retirement Income Security Act. of 1974.
1.04 "Actuarial Equivalent":.
Actuarial Equivalent is defined in the attacf•iment marked Exhibit B.
1.05 "Adoption Agreement":
shall mean the document outlining the specific benefits of the P{an, as executed by the
Employer and attached to and made part of the Plan.
J
DB PLAN RESTATEhAEPJT-November 20, 2003; Amended October'I. 2005 ExhibitB Actuarial Equivalent
1.06 "Average f=inal Compensation":
shall mean one-twelfth (1/12) of the averag?~ annual compensation of the five (5) best
years of the last ten (10) years of Credited Service prior to retirement, termination or
death, or the career average, whichever is greater. A year shall be defined as the
twelve (12) consecutive months im?T?ediately prior to death. disability or retirement. Ln
the case of a Volunteer Firefighter, Average Final. Compensation shall mean the
average salary of the five (5) best years of i:he ten (10) best contributing. years prior to
change in status to a permanent full-time Firefighter or retirement as a Volunteer
Firefighter or the career average of a Volunteer Firefighter, whichever is greater.
1.07 "Beneficia;ry":
shall mean thE; person or persons entitled to receive benefits hereunder at the death of
a Participant who has or have been designated in writing by the Participant and filed
.1 with the Boarcl. If no such designation is in effect, or if no person so designated is
living, at the time of death of the Participant, the beneficiary shall be the estate of the
Participant.
1.08 "Board"~
shall mean thf: Board of Trustees, which shall administer and manage the Plan herein
provided and serve as Trustees of the Fund.
1.09 ~ "Code":
shall mean the Internal Revenue Code of 1986.. as amended from time to time.
1.10 "Credited Service":
shall mean the total number of years and fractional parts of years as a Participant
during which the Participant made required contributions to the Plan., omitting
intervening years or fractional parts of year; when such Participant is not employed by
the Employer. Credited Service may be given for years of employment as a Police
6
DB PIAN RESTATEMENT•November 20, 2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent
Officer; Firefighter or Public Safety Officer, prior to plan inception at the discretion of the
Employer and as stated in the Adoption AgrE~ement.
A Participant may voluntarily leave his Participant contributions in. the Fund for a period
of five (5) ye<~rs after leaving the employ of the Employer pending the possibility of
being rehired in a position eligible far participation in this Plan, without losing credit for
the time that he was a Participant in the Plan. if a vested Participant does not become
reemployed within five (5) years, then the Accumulated Contributions will be returned to
the Participant without interest, unless otherwise specifed in the Adoption Agreement,
upon receipt of written request of the Participant. If a Participant who is not vested is
not reemployed with the Employer within five (5) years, his Accumulated Contributions
shall be returned without interest. Upon return of a Participant's Accumulated
Contribution, all rights and benefits under the Plan are forfeited and terminated. Upon
any reemployment in a position eligible for participation in this Plan, a Participant: shall
not receive credit for the years and fractional parts of years for which he has withdrawn
his Accumulai:ed Contributions from the Plan unless the Participant repays into the
Fund the contributions he has withdrawn. rNith interest, as determined by the Board,
within ninety (t~0) days after reemployment.
A Participant shall receive Credited Service for all purposes, including vesting, for the
years or fractional parts of years that he is engaged in the military service of the Armed
Forces of the United States, voluntarily or involuntarily, after employment with the
Employer, to perform training or service, provided that:
(A) The Participant must return to his employment with the Employer within
one (1) year following the date of military discharge or his release from active
service,.
(B) The Participant is entitled to reemployment under the provisions of the
Uniformed Services Employment and Reemployment Rights Act (USERRA),
(P.L.103-353).
.
7
DB PLAN RESTATEMENT-November 20, 2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent
(C) The maximum credit for military service pursuant to this paragraph shall
be five (5) years.
1. 11 '`Deferred Retirement Option Plan" or "DROP":
shall mean a local law plan retirement option in which a Participant may elect to
participate.. A Participant may retire for all purposes of the plan and defer receipt of
retirement benefits into a DROP account while continuing employment with his
employer. However, a Participant who enters the DROP and who is otherwise eligible
to participate shall not thereby be precluded from participating or continuing to
participate in a supplemental plan in existence on; or created after, the date of adoption
of a~ DROP by the Employer pursuant i:o Section M. "DROP," of the Adoption
Agreement.
1.12 "Early Retirement Date":
shall mean thE: date which is specified in the Adoption Agreement -Section G3, Early
Retirement Date.
1.13 "Effective Date":
shall mean the date of this Plan as specified in the Adoption Agreement -Section A1.
1.14 "Employee"'
shall mean they classes of employees designated as eligible to participate in this Plan as
specified in the Adoption Agreement -Section B., except as otherwise provided in the
Adoption Agreement.
1.15 "Empioyeir":
shall mean the municipality, governmental entity, public agency or political subdivision
established within the State of Florida that adopts this Plan.
1.16 "Firefrghter='•
shall mean any person employed solely by a. constituted fire department or public safety
department o1` any municipality or special fire control district who is certified as a
8
DB PLAN RESTATEMENT-November 20, 2003; Amended October 1, 2005 F~chibit B Actuarial Equivalent
Firefighter as a condition of employment in accordance with the provisions of Section
633,35, FI. Stat., and whose duty is to extinguish fires, to protect life, and to pt:otect
property.
1.17 "Fund":
shall mean the Trust Fund estab fished herein as part of the Plan..
1.18 "Limi#atioin Year":
shall mean they Plan Year.
1.19 "Normat Retirement Date": ,
shall mean the date as specified in the P~doption Agreement -Section G1 Normal
Retirement Dalte.
1.20 "Participant or IVlember"
shall mean thE; actively employed Employees who are eligible to participate in this Plan
as specified il-? the Adoption Agreement -Section B, Plan and Section C, Eligibility.
Benefit improvements which, in the past, have been provided for by amendments to the
Plan adopted by the Employer by ordinance or resolution, and any benefit
improvements which might be made in the future shall apply prospectively and shall not
apply to Participants who terminate emplayrnent or who. retire prior to the effective date
of any ordinance or resolution adopting such benefit improvements, unless such
ordinance or resolution specifically provides to the contrary.
1.21 "Plan":
shall mean the pension Plan as herein set r'orth and as may be amended from time to
time.
1.22 "Plan Year":
9
DB P(AN RESTATEMENT-November 20, 2003; Amended October 1, 2005 Exhibit l3 Actuarial Equivalent
shall mean the' Plan's accounting ,year of twelve (12) consecutive months commencing
on October 1 of each year and ending the following September 30, or the Plan Year as
specified in the. Adoption Agreement.
1.23 ".Police Officer":
shall mean any person who is elected, appointed, or employed full time by any
municipality, who is certified or required to be certified as law enforcement offir_er in
compliance with s. 943.1395, FI. Stat., 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, criminal, i:raffic, or highway laws of the State. This
definition includes all certified supervisory and command personnel whose duties
include, in whole or iri part, the supervision, training, guidance, and management
responsibilities of full-time law enforcement officers, part-time law enforcement officers,
or auxiliary Ia~N enforcement officers, but does not include part-time law enforcement
officers or auxiliary law enforcement officers as the same are defined in s. 943..10(6)
~ and (8), FI. Stat., respectively. A Police Officer classification shall also include a public
safety officer Urho is responsible for performing both police and fire services.
1.24 "Public Safety Officer":
shall mean an actively employed person who is responsible for performing both
firefighter and police officer services. A Public Safety Officer shall be considered a
"police officer' for the purposes of this Plan.
1.25 "Salary/Compensation":
For Firefghters, `compensation" or "salary" means the fixed monthly remuneration paid
a Firefighter; where, as in the case of a Volunteer Firefighter, remuneration is based on
actual services rendered, the term means the total cash remuneration received yearly
for such services, prorated on a monthly basis.
For Police Officers, "compensation" or "salary" means the total cash remuneration paid
to a Police O'~ficer for services rendered, incltading overtime payments which may be
io
DB PLAN RESTATEMENT-November 20, 2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent
limited to not less than 300 hours per calendar year, but not including any payments for
extra duty or a special detail work performed on behalfof a second party employer.
Compensation in excess of the limitations :.et forth in Section 401(a)(17) of the Code
shall not be included as salary/compensation for purposes of the Plan.
See Section D of the Adoption Agreement for further details.
1.26 "Spouse":
shall mean the lawful wife or husband of Participant at the time benefits become
payable.
1. 27 "Total and Permanent Disability":
shall mean a physical or mental condition of a Participant resulting from bodily injury,
disease, or mental disorder which renders him incapable of employment as a
Firefighter, Police Officer or Public Safety Officer, and which condition constitutes total
disability as determined by the Board.
1.28 "Trust Fund or Trust":
shall mean the Trust Fund established under this Plan to hold Plan assets and to which
contributions <3re to be paid and benefits held. Nothing herein shall preclude the
establishment of more than one trust fund a.; may be required by law or adopted by the
Employer.
1.29 "Trustee"•
shall mean the; person or persons named as and making up the Board of Trustees or
Board, who shall administer and manage the Plan..
1.30 "Valuation Date":
shall mean the first day of the Plan Year.
ii
DB PLAN RESTATEMENT"-November 20, 2003; Amended October 1, 2005'Exhiblt 8 Actuarial Equivalent
1.31 "Volunteer Firefighter":
shall mean any person whose name is carried on the active membership roll of a
constituted volunteer fire department or a combination of a paid and volunteer fire
department of any municipality or special fire control district and whose duty is to
extinguish fives, protect life, and to protect property. Compensation for services
rendered by a Volunteer Firefighter shall not disqualify him as a volunteer. A person
shall not be disqualified as a Volunteer Firefi~~hter solely because he has other gainful
employment. Any person who volunteers ~issistance at a fire, but is not an active
member of the department described hereirv is not a Volunteer Firefighter within the
meaning of this: paragraph.
~ 12
DB PLAN RESTATEMENT-Novzmber20, 2003; Amznded Octobzr 1, 2005 Exhfbft B Actuarial Equivalent
ARTICLE 2
PARTICIPA,TIOIV
2.01 Conditions of Eligibility
A Participant shall become eligible to participate in this Plan as specified in Section C of
the Adoption Agreement.
As a condition of eligibility, the Employee participants shall be required to complete a
medical examination as prescribed by the Board, and provide complete and accurate
information concerning their health status as requested by the Board. Any material
misstatements or omissions of required health or medical information by an applicant or
Participant shall be grounds for denial of benl~fits. Based upon medical evidence of any
pre-existing adverse health condition, resulting from the prescribed examination or
other medical records or history, the Board may determine ineligibility for disability
benefits hereunder, as related to such pre-existing condition. A Participant may be
declared ineligible for disability benefits only at the time of the initial examination
provided in this section, or at a later date if the Board established that a condition
existed at the time of the Participant's emK~loyment or date of participation, and the
condition was known to the employee. A determination of pre-existing condition shall
be recorded on the Participant's record oi~ membership, a copy of which shall be
provided to the Participant, and shall be reflected in the minutes of the Board meeting
at which such determination was made by the Board. The procedures followed and the
determination of the Board as to apre-existing condition shall be considered on a
uniform, non-.discriminatory basis.
2.02 Participation
Each Participant shall complete a form prescribed by the Board providing the. following
information:
(A~ enrollment in the Plan
~ (B) designation of a beneficiary or beneficiaries, .
13
DB PIAN RESTATEMENT"-November 20, 2003: Amended October 1, 2005 Exhibit B Actuarial Equivalent
(C) a certified statement as to prior medical history, and a
waiver to release and access medical records.
2.03 Change in Designation of Beneficiary
A Participant may from time to time change his designated Beneficiary by written notice to
the Board upon forms provided by the Boarci. Upon such change, the rights of all
previously designated beneficiaries #o receive any benefits under the Plan shall cease. A
change of beneficiary shall not require consent of the beneficiary.
~ - 14
DB PIAN RESTATEMENT-November 20, 2003; Amended October 1, 2005 Exhibit B Actuarial Equivalznt
ARTICLE 3
BOARD OF TRUSTEES
3.01 Board of ,Trustees
(A) The sole and exclusive administration of and responsibility for the
proper operation of the .Plan is hereby vested in a Board of Trustees. These
trusi:ees shall be selected according to Section 175.061 (1)(b), FI. Stat., and
Section 185..05, (1)(b), FI. Stat. Each Board of Trustees shall be a legal
entity with, in addition to other powers and responsibilities contained herein,
the power to bring and defend lawsuits of every kind, nature, and description.
Accurate and detailed accounts of all Board meetings must be kept. All
accounts, books and records relai:ing thereto shall be open to inspection and
audit in accordance with general law. The Board shall issue such reports as
are requested and make available to the same for inspection any and all
records and accounts which are deemed appropriate in order to comply with
governmental regulations issued thereunder.
(B) The Board members shall, by a majority vote, elect a Chairman and a
Secretary. The Secretary of the Board shall keep a complete minute book of
the actions, proceeding, or hearings of the Board. The Board members shall
not receive any compensation as, such., but may receive expenses and per
diern as provided by law.
(C) Each Board member shall be entitled to one vote on the Board. A .
majority of the Board shall be necessary for any decision of the Board. A
Board member shall have the right to abstain from voting as the result of a
conflict of interest provided that Board member states in writing the nature of
the conflict and complies with the provisions of Section 112.3143. FI. Stat.
(D) The Board of Trustees shall engage such actuarial, accounting, legal.
and other services. as shall be required to transact. the business of the Plan.
They compensation of all persons engaged by the Board acid all other
DB PLAN RESTATEMENT-November 20,2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent
expenses of the Board necessary for the operation of the Plan shall be paid
from the Fund at such rates and in such amounts as the Board of Trustees
shall approve.
(E) The duties and responsibilities of the Board of Trustees shall
include, but not necessarily be limited to, the following:
(1) To construe the provisions of the Plan and determine all
questions arising thereunder.
(2) Ta determine ail questions relating to eligibility and
participation.
(3) To determine the amount of all benefits hereunder.
(4) Ta establish uniform rules and procedures to be followed for
administrative purposes, benefit applications, and all matters required
to administer the Plan.
- (5) Ta distribute to Participants, at regular intervals, information
~ concerning the Plan.
(6) To receive and process all applications for participation and
benefits. _
(7) To authorize all payments whatsoever from the Fund, and to
notify the disbursing agent, in writing, of approved benefit payments
and other expenditures arising through operation of the Plan and
Fund.
(8:) To have performed actuarial studies and at least triennial
valuations, as required by law., and make recommendations regarding
any and all changes in the provisions of the Plan.
(9) To perform such ether duties as required to administer the
Plan.
(10) To arrange for and select physicians for medical exams and
review and advise on medical disability eligibility issues.
(11) To invest and reinvest the assets of the Fund.
16
DB PLAN RESTATEMENT-November 20, 2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent
(F) At (east once every three (3) years, the Board shall retain a
professionally qualified independent consultant who shall evaluate the
performance of any existing profi~ssional money manager and shall make
recommendations to the Board regarding the selection of money managers
for the next investment term. Tht=se recommendations shall be considered
by t:he Board at its next regularly scheduled meeting.
17
DB PLAN RESTATEMENT-November 20, 2003; Amended October 1 , 2005 Exhibit'B Actuarial Equivalent
AR1'ICL,E 4
FINANCES AND FUNC? MANAGEMENT
4.01 Establishment and Operation of Fund
(A) As part of the Plan, there i~~ hereby established the Fund, into which
shall be deposited all of the contrir~utions and assets whatsoever attributable
to the Plan: including any assets o~~ any prior municipal trust fund(s).
(B) The actual custody and supervision of the Fund (and assets thereof)
shall be vested in the Board. Payment of benefits. and disbursements from
the Fund shall be made by the disbursing agent but only ,upon wriften
authorization from the Board or its designee.
(C) All funds of the Plan mad/ be deposited by the Board with the
~ Employer, acting in a ministerial capacity only, who shall be liable in the
same manner and to the same e~aent as he is liable for the safekeeping of
funds for the Employer. However, any funds so deposited with the Employer
shall be kept in a separate fund by the Employer or clearly identified as such
funds of the Plan. In lieu thereofi~, the Board shall deposit 'the funds in a
qualified public depository as defined in Section 280.02, FI. Stat., which
depository with regard to such funds shall conform to and be bound by all of
the provisions of Chapter 280, FI. Stat. In order to fulfill its investment
responsibilities as set forth herein, the Board may retain the services of a
custodian bank, an investment ~~dviser registered under the Investment
Advisors Act of 1940, or otherwise exempt from such required registration,
an insurance company, or a combination of these, for the purpose of
inve:~tment decisions and management. Such investment manager shall
haves discretion, subject to any guidelines as prescribed by the Board, in the
investment of all Fund assets.
18
0
DB P1~4N RESTATEMENT-November 20, 2003; Amended October 1, ;?005 Exhibit B Actuarial Equivalent
(D) All funds of the Plan may be commingled without. limitation in
governmental investment trusts, no-load investment funds or no-load mutual
funds, and all such trusts orfunds must comply with the Investment Policy as
attached as Exhibit A. Accurate records are to be maintained at all times
reflecting the financial composition of the Fund, including accurate current
accounts and entries as regards the following:
(1) Current amounts of Accumulated Contributions of Participants
on both an individual and aggregate account basis, and
(2) receipts and disbursements, and
(3) benefit payments. and
(4) current amounts cle~~rly reflecting all monies, funds and assets
whatsoever attributable to contributions and deposits from the
Employer, and
(5) all 'interest, dividends and gains (or losses), and
- (6) such other entries as may be properly required so as to reflect
a clear and completE~ financial report of the Fund.
(E)' An independent audit shall be performed annually by a certified public
accountant for the most .recent fisp.,al year of the Employer showing a listing
of assets and a statement of all income and disbursements during the year.
Such income and disbursements must be reconciled with the assets at the
beginning and end of the year. Such report shall reflect a complete
evaluation of assets on a cost and market basis, as well as other items
normally included in a certified audit.
(F) The Board of Trustees shall have the following investment powers
and authority:
(1) The Board of Trustees shall be vested with full legal title to said
Fund, subject, however, and in any event to the authority and power
of the governing body of I`he Employer to amend or terminate this
Plan, provided that no amendment or termination shall ever result in
19
DB PLAN RESTATEMENT'-November 20, 2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent
the use of any assets of the Fund except for the payment of regular
expenses and benefits under this Plan, and except as otherwise
provided in this Plan. All contributions deposited into the Fund, and
the income thereof, without distinction between principal and income,
shall be held and administered by the Board, or its agent, in the Fund,
and the Board shall not be required to segregate or invest separately
any porfion of the Fund.
(2) All monies paid into or held in the Fund shall be invested and
reinvested by the Board. 'The Fund shall be invested in accordance
with an established investment policy adopted by the Board. The
adopted investment policy will be made part of this document and
shall be attached as Exhibit A.
(3) The Board may cause any investment in securities held by it to
be registered in or transferred into its name as Trustee or into the
name of such nominee ass it may direct, or it may retain them
~ unregistered and in a form permitting transferability, but the books and
records shall at all times show that all investments are part of the
Trust Fund.
(4) The Board is empovvered, but is not required, to vote upon any
stocks, bonds, or securities of any corporation; association, or trust
and to' give general or spE~cific proxies or powers of attorney with or
without power of substitution to participate in mergers,
reorganizations, recapitalization, consolidations and similar
transactions with respect to such securities; to deposit such stock or
other securities in any eating trust or any protective or like committee
-with the Trustee or with dE~positories designated thereby; to amortize
or fail to amortize any part or all of the premium or discount resulting
from fhe acquisition or disposition of assets; and generally to exercise
any of the powers of an owner with respect to stocks, bonds„ or other
investments comprising thE: Fund which it may deem to be in the best
interest of the Fund to exercise.
20
DB PLAN RESTATEMENT-November 20. 2003; Amended October 1, 20D5 FJChibit B Actuarial Equivalent
(5) Any overpayments or underpayments from the Fund to a
Participant or beneficiary raused by errors of computation shall be
adjusted with interest at a rate per annum as utilized in the prior years'
actuarial valuation. Overpayments shall be charged against
payments next succeeding the correction. Underpayments shall be
made up from the Trust Fund.
(6) In any application tct or proceeding or action in the courts. the
Board and Employer shall be a necessary party, and no Participant or
other person having an in'i:erest in the Fund shall be entitled to any
notice or service of Prot<ess. Any judgment entered in such a
proceeding or action shall be conclusive upon all persons.
(7) Any powers and functions of the Board may be performed or
carried out by the Board through duly authorized agents, ,provided that
the Board at all times maintains continuous supervision over the acts
of any such agent; provided further. that legal title to the Fund always
remain with the Board.
21
DB PLAN RESTATEMENT-November 20, 2003; Amended October 1, 2005 ExhibiY6 Actuarial Equivalent
ARTICLE 5
CONTRIBUTIONS
5.01 Participartt Contributions
(A) Amount Participants in the Flan shall be required to make contributions
to the Fund in the amount specified in the Adoption Agreement -Section K,
Emgloyee Contributions.
{B) Method Participant contributions shall be made by payroll deduction..
Participant contributions withheld by the Employer on behalf of the Participant shall
be depositE:d in the Fund immediately after each pay period.
(C) Pre-Tax Employee Contributions If pre-tax Employee Contributions
are applicable, this provision will be noted within the Adoption Agreement -Section
K as pre-tax contributions pursuant to :3ection 414(h) of the Code, otherwise the
Plan will assume after tax contributions. Such designation is contingent upon the
contribution being excluded from the Ernployees' gross income for federal income
tax purposes. For all other purposes of the Plan, such contributions shall be
considered Employee contributions.
5.02 State_Contributions
Any monies received or receivable by reason of laws of the State of Florida, for the express
purpose of funding the Plan shall be deposited in the Trust Fund comprising part of this
Plan immediately. Contributions must be deposited within five (5) days after receipt by the
Employer.
5.03 Employerr Contributions
So long as this Plan is in effect, the Employer ~~hall deposit quarterly contributions for each
Plan Year to the 'Trust Fund in an amount equ~31 to the amount determined by the Actuary,
taking into account Participant contributions, st~~te contributions for such year, and the total
cost for the Plan Year, as represented in the imost recent actuarial valuation of the Plan.
The total cost for each Plan Year shall be defined as the total normal cost plus the
22
OB PLAN RESTATEMENT-November 20, 2003; Amended October 'I. 2005 Exhibit B Actuarial Equlvafent
.
additional amount. sufficient to amortize the unfunded past service liability as provided in
Part VI I of Chapter 112, Florida Statutes.
5.04 Other
Private donations, gifts and contributions may be deposited to the Fund.
~ 3
DB,PL4N RESTATEF9IEIJT-November 20, 2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent
AR~'ICLE 6
BENEFIT AMOUNTS A,ND ELIGIBILITY
6.01 Normal Retirement Date
A Participant's Normal Retirement Date shall be as specified in the Adoption Agreement -
Section G1, Normal Retirement Date. A Participant may retire on his Normal Retirement
Date or on the first day of any month thereaftE:r. Normal Retirement under the Plan is
retirement from errlployment with the Employer on or after the Normal Retirement Date and
completion of the required years of credited service.
6.02 Normal Retirement Benefit
A Participant retiring hereunder on or after his Normal Retirement Date shall
receive a monthly benefit as specified in the Adoption Agreement -Section G2,
Normal Retirement Benefit, which shall commence on the first day of the month
coincident vrith or next following his termination of employment.
In the event that a Participant does not begin to receive his Benefit at his
Normal Retirement Date, such Participant shall be entitled to a deferred benefit
• equal to the benefit he was entitled to receive at his Normal Retirement Date,
adjusted to take into account his Average Final Compensation and years of
Credited SE;rvice as of his actual retirement date.
(2) The monthly .Normal Retirement: Benefit of a Volunteer Firefighter w.ho
changes status from a Volunteer Firefighter to a full-time Firefighter shall be as
provided bE:low.
(A) The amount of monthly retirement incorr~e payable to a full-time
Firefighter vvha retires on or after his or her Normal Retirement Date shall be an
amount equal to the number of his or hE~r years of Credited Service as a full-time
Firefighter multiplied by the Normal Retirement Benefit multiplier specified in Section
G2 of the Adoption Agreement multiplied by his or her Average Final Compensation
~ as a full-time Firefighter.
24
DB PlAN RESTATEMENT-November 20,.2003; Amended October 1,.2005 Exhibit B Actuarial Equivalznt
(B) The amount of monthly ri~tirement income payable to a Volunteer
Firefighter who retires on or after his or her Normal Retirement Date shall be an
amount equal to the number of his or her years of Credited Service as a Volunteer
Firefighter multiplied by fhe Normal Retirt:~ment Benefit multiplier specified in Section
G2 of the.. P,doption Agreement multiplied by his or her Average Final Compensation
as a VolunteerFirefighter_
{C) The sum of the Firefighter`s monthly retirement income as
determined under (A} and (B) shall be the Firefighter's Normal Retirement
Benefit.
6.03 Normal Form of Benefit
The normal form of benefit shall be a single rnonthly retirement. benefit for life, ceasing
upon death, but with one hundred twenty (1 ~ 0} monthly payments guaranteed in any
event.
6.04 Cost of Living Adjustments to Benefit Payments
A cost-of-living increase, if applicable, shall be as specified in the Adoption Agreement,
Section L -COLA Adjustments.
6.05 Early Retirement Date
A Participant may retire on the Early Retirement Date as specified in the Adoption
Agreement -Section G3, Early Retirement Date. Early retirement under the Plan is
termination from employment with the Employer on or after the Early Retirement Date and
prior to the Normal Retirement Date and the victual completion of the required years of
credited service.
6.06 Early Retirement Benefit
25
DS PLAN RESTAT.EMENI--November 20, 2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent .
A Participant retiring hereunder on or after his Early Retirement Date may receive either a
deferred or an immediate monthly retirement bf:nefit payable for life and ten years certain
as follows:
(A) A deferred monthly retirement benefit which shall commence on what would
have been his Normal Retirement Date I~ad he remained a Participant, determined
based upon his actual years of Credited Service. The amount of such deferred
monthly reairement benefit shall be determined in the same manner as for
retirement at his Normal Retirement D2~te, as determined based upon his actual
years of (~redited Service, except thi3t Credited Service and Average Final
Compensation shall be determined as of his Early Retirement Date; or
(B) An immediate monthly retirement benefit which shall commence on his Early
Retirement Date. The amount of the Early Retirement E3enefit shall be determined
in the same manner as for Retirement at his Normal Retirement Date, except the
benefit shall be actuarially reduced to take into account the Participant's younger
age and the earlier commencement of retirement income payments as specified in
Section G4 of the Adoption Agreement for each year before the Normal Retirement
Date that benefit payment commenced.
6.07 DEFERRED RETIREMENT OPTION PROGRAM or "DROP"
A Deferred Retirement Option Program or "DROP", if applicable, shall be as specified in
the Adoption Agreement, Section M - DEFERl~ED RETIREMENT OPTION PROGRAM,
"DROP".
26
DB PLAN RESTATEFhENI'-November 20, 2003; Amended October 1, 2005 Exhibit B Actuarial Equivzlent
A~T'ICL_E 7
PRE-RETIREMENT DEATH
7.01 Death Prior to Vestinq. - In-Line-Of-Duty Prior to retirement, if the
Participant dies in-line-of-duty„ and he is not vE~sted, his beneficiary shall receive benefits
as specified in the Adoption Agreement -Section 11, Death Prior to Vestinq - In-Line-Of-
Duty.
7.02 Death After Vestinq - In-Line-Of-Duty Prior to retirement, if a vested Participant
dies in-line-of--duty, having completed the required years of Credited Service, his
beneficiary shall receive benefits as specified in the .Adoption Agreement -Section 12,
Death After Vestinq - In-Line-Of-Duty.
r 7.03 Death Prior to Vesting -Off-Duty The: beneficiary of a deceased Participant who
was not vested and who dies prior to retirement from causes other than in-line-of--duty shall .
receive a .refund of one hundred percent (100%) of the Participants' Accumulated
Contributions as specified ~ in the Adoption Agreement Section 13, Death Prior to Vestinq-
Off Duty•
7.04 Death After Vestinq -Off-Duty If a vested Participant dies prior to retirement from
causes other than-in-line-of--duty; having completed the required years of Credited Service,
his beneficiary shall receive. the benefit atherwi~~e payable to the Participant at the Early or
Normal Retirement Date as specified in the Adoption Agreement Section 14, Death After
Vesting -Off-Duty,
7.05 .Beneficiaries Receipt of Payment A Beneficiary may not elect an optional
form of benefit, however, the Board may elect to make a lump sum payment pursuant to
Article 10(F) to a beneficiary of the death benefits payable hereunder.
27
DB PLAN RESTATEMENT-November 20, 2003; Amended October 1, 2005 Exhibit 8 Actuarial Equivalent
ARTICLE 8
DISABtL,ITY
8.09 Disability Benefits In-Line-Of-Duty
(A) Benefits Each Participant who shall become Totally .and Permanently
Disabled while an active Participant. of the Employer 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 Firefighter, Police Officer or Public Safety Officer,
respectively, which disability was directly caused by the performance of his duty as
a Firefighter, Police Officer or Public Safety Officer, respectively, shall. upon
establishing the same to the satisfaction of the Board, be entitled to a monthly
pension which is as defined in the Adoption Agreement -Section H1, Disabili
Benefits In--The-Line-of Duty.
~ (B) Pre:sumptionAny condition or impairment of the health of a Firefighter,
Police Officer or Public Safety Officer caused by tuberculosis, hypertension or heart
disease, or hardening of the arteries for a Police Officer or a Public Safety Officer,
shall be presumed to have been suffered in line-of-duty unless the contrary is
shown by competent evidence, provided that such Firefighter, Police Officer or
Public Safety Officer, shall have successfully passed a physical examination upon
entering into employment with the Employer, which may include a cardiogram,
which 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.
(C) Additional Presumption Section 112,181, Fla. Stat., as amended from
time to time, is hereby adopted and incorporated by reference and is applicable to
those conditions described therein that are diagnosed on or after January 1, 199.6.
28
DB PLAN RESTATEMENT-November 20, 2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent
8.02 Disability Benefits Off-Duty
Every Firefighter, Police Officer or Public Ss~fety Officer as defined in the Adoption
Agreement -Section B, Plan who shall have become Totally and Permanently Disabled to
the extent that lies is unable, by reason of a rnedically determinable physical or mental
impairment, to render useful and efficient service as a Firefighter, Police Officer or Public
Safety Officer, respectively, as defined in Article 1, and which disability is not directly
caused by the performance of his duties as a Firefighter, Police Officer or Public Safety
Officer, respectively, shall, upon establishing th~~ same to the satisfaction of the Board of
Trustees, be entil:led to a disability benefit as provided in the Adoption Agreement -
Section H2, Disability Benefits. Off-Duty.
A disabled ParticiF>ant that does not meet the credited years of service requirements in the
Adoption Agreement -Section H2, Disabilit~Be~nefits Off-Duty, will receive a return of his
Accumulated Conl~ributions without interest.
~ 8.03 Conditions Disqualifying Disability Bernefits
Each Participant who is claiming disability bene•Fits shall establish, to the satisfaction of the
Board, that such disability was not occasioned primarily by:
(A) Excessive or habitual use of any drugs, intoxicants or narcotics.
• (B) Injury or disease sustained while willfully and illegally participating in fights,
riots or civil insurrections, or while committing a crime.
(C) Injuiry or disease sustained while Nerving in any branch of the Armed Forces.
(D) Injury or disease sustained after his employment as a Participant with the
Employer had terminated.
(E) For Police Officers and Public Safety Officers only: injury or disease
sustained by the Participant while working for anyone other than the
Employer and arising out of such employment.
8.04 Physical Examination Requirement
29
DB PL?;N RESTATEMENT-November 20, 2003: Amended October 1, 2005 Exhibit 8 Actuarial Equivalent
A Participant shall not become eligible; for disability benefits until and unless he
undergoes physical examination by qualified physician or physicians and/or
surgeons or surgeons, who shall be selected by the Board for that purpose.
Any Participant receiving disability benefits under this Plan may be periodically
re-examined by a qualified physician or physicians and/or surgeon or surgeons who
shall be selected by the Board., to determine if such disability has ceased to exist. If
the Boarci finds that the former Participant is no longer Permanently and Totally
Disabled to the extent that he is able to render useful and efficient service as a
Firefighter, Police Officer or Public Safety Officer, respectively, the Board shall
recommend to the Employer that the former Participant be returned to performance
of duty as a Firefighter, Police Officer or Public Safety Officer, respectively, and
shall again become eligible to Participate in the Plan. In the event the former
Participant so ordered to return to employment shall refuse to comply with the order
within thirty (30) days from the issuance; thereof, the Participant shall forfeit the right
to his benefits hereunder.
The cost of the physical examination and/or re-examination of the Participant
claiming and or receiving disability benefits shall be paid by the Plan. All other
reasonable costs as determined by the: Board incident to the physical examination,
such as, but not limited to, transportation, meals and hotel accommodations, shall
be paid b'y the Plan.
If a Participant recovers from disability and reenters the service of the Employer as
a Participant, his service will be deemed to have been continuous, but the period
' beginning with the first month for which he received a disability retirement income
payment and ending with the date he r~~entered the service of the Employer will not
be considered as Credited Service for the purposes of the Plan. The Board shall
have the power and authority to rnai;e the final decision regarding all disability
claims:
~ '
30
DB PLAN RESTATEMENT-November 20, 2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent
8.05 Disabili ~ Payments
The monthly benefit to which a Participant. is entitled in the event of the Participant's
disability shall be payable on the fir:~t day of the first month after the Board
determines such entitlement. Providzd, however, the Participant may select: at any
time prior to the date on which benefit payments begin. an optional form of benefit
payment as described in Article 10, O~~tional Forms of Benefits, which shall be the
Actuarial Equivalent of the normal form of benefit. The amount of the first disability
payment shall include an amount payable from the date the Board determined such
entitlement. Disability benefits shall cerise:
(A) If the Participant recovE~rs from the disability prior to his Normal
Retirement Date, the payment due next proceeding the date of such
recovery, or
(B) If the Participant dies without recovering from disability or attairis
Normal Retirement Date, the later of the payment due next proceeding his
death, or the 120' monthly payment.
8.06 Disabili r Payments 8~ Workers Compensation
If a Participant receives a disabili~iy benefit under the Plan and workers
compensation benefits pursuant to Chapter 440, FI. Stat., for the same disability and
the total monthly benefits received from both exceed one hundred percent (100%)
of the Participants' average monthly wage determined in accordance with Chapter
440., FI. S;tat., the disability pension benefit shall be reduced so that the total monthly
amount received by the Participant does not exceed one hundred percent (100%) of
such average monthly wage. In no Event shall a Participant`s disability pension
benefit bE: reduced to less than 42% of Average Final Compensation for in-line-of
duty disability and 25% of Average Final Compensation for off-duty disabi{ity. In the
event of a lump sum workers compensation settlement, the disability retirement
income payable from the Plan shall be adjusted as follows:
31.
D8 PLAN RESTATEMENT-November 20, 2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent
(~c) The amount of the lump sum settlement shall be divided by the
Participant's remaining life expectancy (in months) as determined using the
actuarial assumptions represented in the last rompieted valuation of the.
Plan.
(E3) If the number obtained in paragraph (A) above, when added to the
Participant's monthly disability rE~tirement income from the Plan, exceeds the
Participant's final monthly compensation on the date of disability, the amount
of the excess shall be deducted from the Participant's monthly disability
retirement income from the. pen:pion plan, for the duration of the Participant's
remaining life expectancy as determined in paragraph (A) above.
(C:J If the number obtained in paragraph (A) above, when added to the
Participant's monthly disability retirement income from the Plan, does not
e:KCeed the Participant's final monthly compensation on the date of disability.
there shall be no reduction of thE: Participant's disability benefit from the plan.
.
3'.?
DB PLAN RESTATEMENT-November 20, 2003: Amended October 1, 2005 Exhibit B Actuarial Equivalent
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 Fund his Accumulated Contribu~~ions previously withdrawn with interest,. as
determined by the Board, within ninety (90) days after reemployment. If a
Participant repays the foregoing amor_mt to the Fund within the prescribed time
period, the interest of the Participant in his Accrued Benefit previously forfeited shall
be restored in full and the Participant's Credited Service shall be based vn all
periods of employment.
34
DB PLAN RESTATEMENT-November 20.2003; Amended October 1, 2005 Eixhibit B Actuaria6 Equivalent
AR~'ICLE 10
OPTIONAL FORMS OF BENEFITS
(A) In lieu of i:he normal form of benefit a:~ specified herein, a Participant's Early or
Normal Retirement or Disability Benefit may be paid in an optional form as selected by the
Participant.
Subject to the approval of the Board or its designee, the Participant may elect to receive
the .Actuarial Equivalent of the benefit otherwise payable to the. Participant in .accordance
with one of the following options:
1. Monthly income payments for the life of the Participant.
2. Monthly income payment for the life of the Participant and after .his death, a
joint pensioner benefit payable for the life of the joint pensioner equal to, 100%,
~ 75%, 66 2~3%, or 50% of the amount payable to the Participant.
3. Such other amount and form of retirement benefit payment that, in the
opinion of the Board, will meet the citcumstances of the Participant and the Trust.
(B)The Participant, upon electing any optiori pursuant to this Article, will designate the
joint pensioner or beneficiary (or beneficiaries) to receive the benefit, if any, payable
under the Plain in the event of Participant's; death, and will have the power to change
such designation from time to time. Sueh designation will name a joint pensioner or
one or more primary beneficiaries where applicable. A Participant may change his
Beneficiary at: any time. If a ,Participant has elected an option with a joint pensioner and
the Participant's retirement benefits have commenced, the Participant may thereafter
change his dESignated Beneficiary at any time., but may only change his joint pensioner
twice. Subject to this restriction, a Participant may substitute a new joint pensioner for a
deceased joint pensioner.
(C) Upon change of a Participant's joint pensioner in accordance with this Article, the
amount of the retirement income payable 'to the Participant shall be actuarially re-
35
DB PLAN RESTATEMENT-November 20, 2003; Amended October t, 2005 Exhibit B Actuarial Equivalent
determined to take into account the age of the former joint pensioner, the new joint
pensioner and the Participan# and to ensure that the benefit paid is the Actuarial Equivalent
of the present value of the Participant's then-~~urrent benefit at the time of change. Any
such Participant shall pay the actuarial recalculation expenses. Each request for a change
will be made in writing on a form prepared by tF~e Board and on completion will be filed with
the Board. In the event that no designated Beneficiary survives the Participant, such
benefits as are payable in the event of tha death of the Participant subsequent to his
retirement shall be paid as provided in Section 11, Beneficiaries.
(D) Benefit payments shall be made under the option elected in accordance with the
provisions of this Article and shall be subject to the following limitations:
1. If a Participant dies prior to his f\lormal Retirement Date or Early Retirement
Date, the beneficiary will receive a benE~fit paid under the normal form of benefit in
accordance with Article 7, Pre-Retirement Death.
2.. If both the retired Participant and the beneficiary (or beneficiaries) designated
by Participant die before full payment has been effected under any option providing
for payments for a period certain and life thereafter, the value of the remaining
payments shall be paid in such other amount and form of retirement benefit
payment that, in the opinion of the Board, will meet the circumstances of the retiree
and the Trust in accordance Article 11.
3. If the designated Beneficiary (or Beneficiaries) or joint pensioner dies before
the Participant's retirement under the Plan, the option elected will be canceled
automatically and a retirement. incomE: of the normal form and amount vvill be
payable to the Participant upon his retirement as if the election had not been made,
unless a new election is made in accordance with provisions of this Article or a new
Beneficiary is designated by the Participant prior to his retirement.
4. If a Participant continues emplo7iment beyond his Normal Retirement Date
pursuant to the provisions of the Normal Retirement Date provided in the Adoption
Agreement, and dies prior to his actual retirement and while an option made
pursuant to the provisions of the Adoption Agreement is in effect. monthly retirement
36
DB PLAN RESTATEMENT-November 20, 2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent
ARTICLE 9
VESTING
If a Participant terminates his employment ~nrith the Employer for reasons other than
retirement, disability or death, the Participant sftall be entitled to the following:
(A) If the Participant has less than the number of years of Credited Service
specified in the Adoption Agreement.-Section J1, Termination of Employment and
Vesting. the Participant shall be entitled to a refund of his Accumulated
Contributions without interest.
(B) If i:he Participant has the required number of years of Credited Service
specified in the Adoption Agreement -Section J2, Termination of Employment and
Vesting, the Participant shall be entitled to a retirement benefit that is the Actuarial
Equivalent of the Accrued Benefit othE:rwise payable to him commencing at the
Participant's otherwise Normal or Early Retirement Date, and determined based on
actual years of Credited Service, provided he does not elect to withdraw his
Accumulated Contributions and provided the Participant survives to his Normal or
Early Retirement Date.
(C) Any vested Participant of the Pl~~n who is no longer eligible to participate in
this Plan due to a change of employment, but who remains employed by the
Employer in a class not eligible to participate under this Plan, shall have his Accrued
Benefit to the date of such termination under this Plan preserved, provided he does
.not elect i:o withdraw his Accumulated Contributions from this Plan. Such Accrued
Benefit shall be payable at his othE~rwise Early or Normal Retirement Date
hereunder in accordance with the provisions of this Plan.
(D) If a Participant who terminates employment prior to his Early Retirement
Date or his Normal Retirement Da1:e and elects to withdraw Accumlalated
Contributions, is subsequently reemployed and again becomes a Participant in this
33
OB PLAN RESTATEMENT-November20, 2003; Amended October 'd, 2005 Exhibit. B Actuarial Equivalent
income payments will be made, or a retirement benefit will be paid, under the option
to a Beneficiary (or Beneficiaries) desi~~nated by the Participant in the amount or
amounts computed as if the Participant had retired under the option on the date on
which his death occurred.
(E) Unless otherwise allowed by law, a Participant may not change his benefit payment
option after the date of cashing or depositing hi;~ first benefit check.
(F) Notwithstanding anything herein to fhe contrary, the Board in its discretion, may
elect to make a lump sum payment to a Participant or a Participant's Beneficiary in the
event that the monthly benefit amount is less than one hundred dollars (5100), or the total
commuted value: of the remaining' monthly income payments to be paid does not exceed
five thousand dollars (55,000). Any such payment made to any person pursuant to the
power and discretion conferred upon the Board by the preceding sentence shall operate as
a complete discharge of all obligations under the Plan with regard to such Participant and
shall not be subject to review by anyone, but shall be final, bihding and conclusive on all
persons.
37
DB PL,9N RESTATEMENT-November 20, 2003; Amended October 1,-2005 Exhibit B Actuarial Equivalent
ARTICILE 11
BENEFICIARIES
(A) Each Participant may, on a form provided far that purpose, signed and filed with the
Board, designate a beneficiary (or beneficiaries) to receive the benefit, if any, which may be
payable in the event of his death and each designation may be revoked by such Participant
by signing and filing with the Board a new de~;ignation-of-beneficiary form. The consent of
a Participant's beneficiary to any change of beneficiary shall not be required.
(B) If a deceased Participant fails to namf; a beneficiary in the manner prescribed in
Section A, or if the beneficiary (or beneficiaries} named by a deceased Participant
predeceases the Participant, the death benefit, if any, which may be payable under the
Plan with respect to such deceased Participant shall be paid by the Board to the estate of
the Participant, and the Board., in its discretion, may direct that the commuted value of the
remaining value of the remaining monthly incorrie benefits be paid in a lump sum.
Any payment trade to any person pursuant i:o this Section shall operate as a complete
discharge of all obligations under the Plan with regard to the deceased Participant and any
other persons with rights under the Plan and shall not be subject to review by anyone but
shall be final, binding, and conclusive on all persons ever interested hereunder.
38
DB PLAN RESTATEMENT-November 20. 2003; Amended October d. 2005 Exhibit B Actuarial Equivalent
ARTICI! E 12
CLAIMS PROCEDURES
The Board shall establish administrative claims procedures to be utilized in processing
written requests ("claims"), on matters which affect the substantial rights of any person
("claimants), including Participants, retirees, Beneficiaries, or any person affected by a
decision of the Board.
ARTICILE 13
REPORTS TO DIVISION OF RETIREMENT
Each year by no later than March 15th, the Board shall file an Annual Report with the State
of Florida, Division of Retirement, and the Employer containing the documents and
.information contained in Sections 175.261 and 185.221, Florida Statutes.
AF~TICILE 14
ROSTER OF RETIREES
The Secretary of the Board shall keep a recorl~ of all persons receiving a benefit or vested
Participants wh6 will receive a future vested benefit under the provisions of this Plan in
which it shall be noted the time when the .benefit became payable. Additionally, the
Secretary shall keep a record of all ParticiP;~nts employed by the Employer in such a
manner as to show the name, address, date of employment and date such employment is
terminated.
39
DB PLAN RESTATEMENT-November 20, 2D03; Amended October 1, 2005 Exhibit B Actuarial Equivalent
ARTICLE 15
BOARD ATTORNEY AND PROFESSIONALS
The Board may employ independent legal counsel at the Fund's expense for the purposes
contained herein, together with such other professional, technical, or other advisors as the •
Board deems necessary.
40
DB PLAN RESTATEMENT-November 20, 2003: Amended October r, 2005 Exhibit B Actuarial Equivalent
ART1C1_E 16
.MAXIMUM hENSION
16.01 Basic Limitations Subject to the adjustments hereinafter set forth, the maximum
amount of annual retirement income payable ~Nith respect to a Participant under this Plan -
shall not exceed the dollar amount as may be allowable for any calendar year pursuant to
§415(b) of the Code
16.02 Partici a~tion in Other Defined Benefii`. Plans
The limitation of this Article with respect to any Participant who at any time has been
a Participant in any other defined benE:fit plan (as defined in §414(j) of the Code)
maintained by the Employer shall appfy as if the total benefits payable under all
defined benefit plans in which the Participant has been a Participant were payable
from one Plan.
16.03 Adjustments in Limitations
(A) In the went the Participant's- retirement. benefits become payable before age
sixty-two (62), the maximum amount of annual retirement income limitation
prescribed by this Article shall be reduced in accordance with Regulations issued
by the Secretary of the Treasury, so that such limitation (as so reduced) equals
an annual benefit (beginning when such retirement income benefit begins) which
is equivalent to the maximum amount of annual retirement income as prescribed
by this Article beginning at age 62.
(B) In the event the Participant's benefit is based on at least fifteen (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, orpre-retirement death benefits.
41
DB PLAN RESTATEMEIVT-November 20, 2003; Amended October 1, 2005 Exhlbil B Actuarial Equivalent
(D) In the event the Participant's retirernen benefit becomes payable after age sixty-
five (65), for purposes of determining whether this benefit meets the limitation set
forth in Section 16.01 herein., such benefit shall be adjusted so that it is
actuarially equivalent to the benefit beginning at age sixty-five (65). This
adjustment shall be made using an assumed interest rate of five percent (5%)
and shall be made in accordance with regulations promulgated by the Secretary
of the Treasury or his delegate.
(E) Less than 'ten (10) Years of Service.
The maximum retirement benefits payable under this Article to any Participant who
has completed less than ten (10) years of Credited Service with the Employer shall
be the amount determined under Section 16.01 herein, 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 orpre-retirement death benefits.
(E) Ten Thousand Dollar $10,000 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 Article if the
benefits payable, with respect to such Participant under this Plan and under all other
qualified defined benefit pension plans 'to which the Employer contributes, do not
exceed ten thousand dollars ($10,000) for the applicable Plan Year and for any prior
Plan Year and the Employer has not alt any time maintained a qualified defined
contribution plan in which the Participant participated.
(G) 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
42
DB PLAN RESTATEMENT-November 20, 2003;.Amended October 1, 2005 Exhibit B Actuarial Equ(valent
administrator of such other plans, ancj next, by reducing or allocating excess
forfeitures for defined contribution plans in which the Participant participated.
such reduction to be made first with re:;pect 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 nece:>sary 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.
(H) Cost-of-Living Adjustments.
The limitations as stated herein shall be adjusted to the time the 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.
(I) Additional Limitation on Pension Benefits.
Notwithstanding anything herein to the contrary:
(T) the normal retirement benefit or pension payable to a Retiree who
becomes a Participant of the Plan on or after January 1, 1980, and
who has not previously participated in such Plan, shall not exceed 100
percent of his Average Pinal Compensation. However, nothing
contained in this Article shall apply to supplemental retirement
benefits or to pension increases attributable to cost-of-living increases
or adjustments.
(Z) no Participant of the Plart shall be allowed to receive a retirement
benefit or pension which is in part or in whole based upon any service
with. respect to which the Participant is already receiving, or will
receive in the future, a rei:irement benefit or pension from a different
employer's retirement Plan. This restriction does not apply to social
security benefits or federal benefits as provided under federal law.
~3
DB PLAN RESTATEMENT-November 20,.2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent
16.04 Benefit Restoration Plan S~ Trust
(A) An Employer may fund a Benefit Restoration Plan as permitted under Code
Section 415(m) as specified in this Section
(B) Definitions
{1) "Information SheeY':
is the document executed by the Employer providing specific
information as to that EmF~loyer.
(2) "Participant":
means an employee of thE; Employer who is eligible to receive
benefits underthis Benefit Restoration Ptan, under (C).
(3) "Pensioner":
means a former employees of the Employer who is retired and
receiving retirement benefits.
~ (4) "Benefit.Restoration Plan_':
means the provisions of s~sction 16.04, which is hereby established for
the payment of retirement benefits supplementing the Plan benefits as
permitted under Code Section 415(m).
(5) "Benefit Restoration Plan Year":
means the limitation year of the Plan under Code Section 415.
"Plan"•
means the plan identified in the Adoption. Agreement which is a
Florida Municipal Pension Trust Fund Defined Benefit Plan
maintained by a participating employer, and with respect to which this
Benefit Restoration Plan will provide supplemental benefits.
(7) "Trust":
means the trust fund estaf~lished in subsection (E) (2) of this Benefit
Restoration Plan, which shall constitute a separate trust fund from the
trust fund maintained under the Plan.
(t3) ``Board":
means the Board of Trustees of the Plan, serving in the separate
capacity as trustees, of this Benefit Restoration Plan.
44
DB PLAN`RESTATEMENT-November 20, 2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent
(C) PARTICIF'ATLON
(1) All Participants, Pensioners and Beneficiaries of the Plan whose
retirement or survivor benefits from that Plan for a Plan Year have
been limited by Code Section 415 are eligible to participate in this
Benefit Restoration Plan, unless excluded by category under the
terms of the Information ~3heet.
(2) Participation in the Benefit Restoration Plan is automatic. Any
Participant, Pensioner or Beneficiary who is eligible for benefits is
entitled to such benefits vuithout the necessity of enrollment.
Participation in the Benefit Restoration Plan will cease for any Plan
Year in which the retirement benefit of a Pensioner or Beneficiary is
not limited by Code Section 415.
(D) BENEFITS
(1) Benefit Amount
A covered Pensioner or 3eneficiary shall receive a monthly benefit
equal to the difference bt:;tween the participant's monthly retirement
benefit otherwise payable from the Plan prior to any reduction or
limitation because of Code Section 415 and the actual monthly
retirement benefit payable from the Plan as limited by Code Section
415. The monthly benefit shall be subject to withholding far any
applicable income or employment taxes.
(2) Payment of Benefit
Benefits under the Benefit Restoration Plan shall be paid only if the
Pensioner or Beneficiary is receiving retirement benefits from the
Plan.
(3) Form of Benefit ,
The form of the benefit paid to a Pensioner or Beneficiary from the
Benefit Restoration Plan shall be the same payable under the Plan.
(E) CONTRLE3UTIONS AND FUNDING
(1) Contributions
(a) The Board, upon thE: recommendation of the actuary, shall
determine the required contributions to pay plan benefits in
accordance with (3} below. The required contribution for each
DB PLAN RESTATEMENT-November 20, 2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent
Plan Year shall be tl-te total amount of benefits payable under
(D) to all Pensioners and Beneficiaries, plus such amount as
determined by the Board to pay the administrative expenses of
the Benefit .Restoration Plan and the Employer's share of any
employment taxes on the benefits paid from the Plan.
(b) The required contribution as determined by the Board, upon
the recommendation of the actuary, shall be paid into the Trust
from an allocation oi` the Employer contribution amounts paid
under the Plan.
(2) Benefit Restoration Plan Trust Fund
Contributions to the BenE~fit Restoration Plan shall be deposited in
the separate Trust established and administered by the Board.
This Trust is intended to be exempt from federal income tax under
Code Sections 115 and 415(m)(1). The Trust assets shall be
subject to the claims of general creditors of the Employer in the
case of bankruptcy.
(3) Funding Assets
The benefit liabilities of trte Benefit Restoration Plan shall be funded
on an as-needed basis. The Trust established under (2) above
shall not be accumulated to pay benefits payable in future years.
Accordingly, any assets of the Trust shall be invested by the Board
in short-term investments as the Board may determine to assure
preservation of principal rather than the generation of income.
(4) Non-assignability of Benefits
The benefits payable under this Benefit Restoration Plan may not
be assigned or alienated, except as otherwise permitted for benefits
payable by the Plan,
(5) Amendment and Termination
The Employer reserves the right to amend this Benefit Restoration
Plan at any time. No rnodification or amendment of the Benefit
Restoration Plan shall m~~ke it possible for any part of the income or
assets of the fund to be used for, or diverted to, purposes other
than for the exclusive benefit of the Participants, Pensioners and
Beneficiaries, except as :yet forth in section (2) above.
The Employer reserves the right to discontinue or terminate this
Benefit Restoration Pfan in whole or in part. Upon a termination of
the Benefit Restoration Plan, the Board shall take such steps as the
Board determines to be: necessary or desirable to comply with
applicable laws and to a~~ply any remaining assets.
46
DB PLAN RESTATEMENT-November 20, 2003; Amended October 1, 2005 Exhibit 8 Actuarial Equivalent
If, after satisfaction of all liabilities, there .is any balance remaining
in the fund, such balance shall be refunded to the Employer if not
otherwise prohibited by law.
(F) ADMINISTRATION
(1) Benefit Restoration Plan Administration
The Benefit Restoration Plan shall be administered by the Board.
The Board shall have thE~ same. authority to administer the Benefit
Restoration Plan as exists for the Plan. The Board may delegate
any or all of the Board's administrative authority.
(2) Compliance Authority
The Board may make modifications to the benefits payable under
the Benefit Restoration Plan as may be necessary to maintain its
qualified status under Code Section 415(m).
No Liability for Benefits
Since this BenBfit Restoration Plan is not intended to accumulate
funds, the Benefit Restoration Plan .shall not be liable for the
payment of any benefits except to the extent of funds actually
received from the Emi~loyer and not previously distributed or
applied to pay Benefit Restoration Plan expenses.
{4) This Benefit Restoration Flan shall be construed, administered and
governed in all respects by the laws of the~State of Florida.
(G) EFFECTIVE DATES
The Board shall pay benefits under thE~ Benefit Restoration Plan beginning on or
after the date specified on the Informa~lion Sheet.
47
DB PLAN RESTATEMENT-November 20, 2063; Amended October 1, 2005 Exhibit B Actuarial Equivalent
ARTICLE '17
DISTRIBUTION C?F BENEFITS
Notwithstanding any other provision of this Flan to the contrary, a form, of retirement
income payable from this Plan shall satisfy the fi~llowing conditions:
(A) If the retirement income is payablE~ before the Participant's death,
(1) It shall either be distributed or commence to the Participant not later
than April 1 of the calendar year following the later of the calendar year in
which the Participant attains age seventy and one-half (70'/z), or the calendar
year in which the Participant retires; and,
(2) the benefit shall be paid rover the life of the Participant or over the
lifetimes of the Participant and designated beneficiary and shall be paid over
~.a,, the period extending not beyond the life expectancy of the Participant and
designated beneficiary
Where benefit payments have commenced in accordance with the preceding
paragraph: and the Participant dies bef~~re his entire interest in the Plan has been
distributed„ the remaining portion of such interest in the Plan shall be distributed no
less rapidly than under the form. of distribution in effect at the time of the
Participant's death.
(B) If the Participant's death occurs ioefore the distribution of his interest in the
Plan has commenced.., the Participant's elntire interest in the Plan shall be distributed
within five (5) years of the Participant's death, unless it is to be distributed in
accordana~ with the following rules:
(1) The Participant's remaining interest in the Plan is payable to his
designated beneficiary.
48
DB PlAN RESTATEMENT-November 20, 2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent
(2) The remaining interest is to be distributed over the life of the
designated beneficiary over a period not extending beyond the life
expf~ctancy of the designated ben~~ficiary; and
(3) Such distribution begins within one year of the Participant's death
. unless the Participant's spouse shall receive the remaining interest in which
casES the distribution need not begin before the date on which the Participant
would have attained age seventy and ane-half (70'/x), and if the spouse dies
before the distribution begins, this Article shall be applied as if the spouse
were the Plan Participant.
(C) Direct Transfers of Eligible Rollover Distributions
(1) This paragraph applies to distributions made on or after January 1. 1993.
Notwithstanding any provisions of the P1~3n to the contrary that would otherwise limit
a distribute;e's (as defined below) election under this paragraph, a distributes may
~ elect, at the time and in the manner prescribed by the Plan Administrator, 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 distributes in a direct
rollover (as defined below).
(2) For purposes of this paragraph, i:he following terms shall have the following
meanings:
(i) An ''eligible rollover distribution^ is any distribution of all or any portion
of the balance to the credit of thF: distributes, except that an eligible rollover
distribution does not include: rrny 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 distributes or the joint lives (or
joint life expectancies) of the distributes and the distributee's designated
beneficiary, or far a specified period of ten years or more; any distribution to
the extent such distribution is required under Code Section 401(a)(9), -and
the portion of any distribution that is not included in gross income
(determined without regard to the exclusion for net unrealized appreciation
with respect to employer securities).
49
DB PIAN RESTATEMENT-November 20, 2003; Amended October 'I, 2005 Exhibit B Actuarial Equivalent
(ii} An "eligible retirement plan'' is an individual retirement account
described in Code Section 408(a), an individual retirement annuity described
in Code Section 408(b), an annuity plan described in Code Section 403(x), or
a qualified trust described in .,ode Section 401(a), that accepts the
dist~ributee's eligible rollover distribution. However, in the case of an eligible
rollover distribution to the surviving spouse, an eligible retirement plan is an
individual retirement account or individual retirement annuity.
(iii) A "distributee" includes an Employee or former Employee. In
addition, the Employee's or former Employee's surviving spouse is a
distributee with regard to the interE;st of the spouse.
(iv) A "direct rollover" is a payment by the Plan to the eligible retirement
,plan specified by the distributee.
50
DB PLAN RESTATEMEIVT-November 20, 2003; Amended October i, 2005 Exhibit B Actuarial Equivalent
~ .
ARTICt.E 18
MISCELLANEOU~~ PROVISIONS
1.8.01 Interest oi~ Participants in Plan
At no time prior to the satisfaction of all liabilitie:~ under the Plan with respect to Participants
and Beneficiaries, shall any part of the corpus or income of the Fund be used for or
diverted to any purpose other than for their exclusive benefit. No plan amendment or
ordinance shall be adopted by the Employer ~Nhich shall have the effect of reducing the
then vested accrued benefits of Participants or Participants' beneficiaries under the Plan.
18.02 Summary Plan Descriptions
The Summary Ptan Description outlining the provisions of this Plan was designed only to
give a brief description of the. benefit provided and does not include ail the provisions or
exclusions in the Plan Document. If the Surnmi~ry Plan Description disagrees with the Plan
herein in any way, the Plan Document will govern.
18.03. Gender and Number
Wherever any words are used in the masculine, feminine or neutral gender, they shall be
construed as though they were also used in another gender in all cases where they would
apply. Whenever any words are used herein in the singular or plural form, they shall be
constn~ed as though they were also used in tree other form in all cases where they would
aPPiy•
18.04 Headincps and References
All headings and references to sections, subsections, paragraphs, etc., in this Plan are
inserted for convenience only and shall not affect the construction or interpretation of this
Plan.
18.05 Benefit Improvements
Benefit improvements which., in the past, have been provided for by amendments to the
Plan adopted by the Employer by ordinance or resolution, and any benefit improvements
DB PLAN RESTATEMENT-November 20, 2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent
which might be made in the future, shall apply prospectively and shall not apply to
Participants who terminate employment or wl~o retire prior to the effective date of any
ordinance or resolution adopting such benefit: improvements, unless such ordinance or
resolution specifically provides to the contrary.
18.06 Procedure for Unclaimed Benefit
If the Board is unable, within three years after ~3ny benefit becomes due to a Participant or
Beneficiary under the Plan, to authorize payment because the identity or whereabouts of
such person cannot be ascertained, the Board may direct that such benefit. and all further
benefits with respect fo such person shall bt; forfeited and all liability for the payment '
thereof shall terminate.
18.07 Qualified Military Service:
Notwithstanding any provision of this Plan tc~ the contrary, contributions, benefits, and
~ service credit with respect to qualified military service will be provided in accordance with §
414(u) of the Code.
18.08Domestic Relations Order Submission:
(A) Prior to tine entry of any domestic relations order which affects or purports to
affect the Fund's responsibilities in connection with the payment of benefits, that order
should be submitted through the Fund's administrator for review as to whether the Fund
may honor it.
(B) If the domestic relations order is not submitted. to the administrator for review
prior to entry, and the Fund is ordered to take action that it may not legally take, and the
Fund. expends administrative or legal fees in resolving the matter: the Participant who
submitted 'the domestic relations order wild be required to reimburse the Fund its
expenses in connection with the order.
(C) The administrator may develop rules or regulations concerning what the .Fund will
consider to determine if a domestic relations t~rder may be complied with by the Fund.
~2
D(3 PLAN RESTATEMEIVT-November 20. 2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent
18.O9PIan Amendments
The Employer acknowledges the FMPl~F Defined Benefit Plan document may be
amended from time to time by the FMPTF Master Trustee to comply with
applicable federal or state laws or regulations, and to make ministerial or
administrative changes to the .Plan, without the consent of the Employer or of
Participants or any Beneficiaries thereof, Any amendment of the Plan, made in
accordance with this provision, may be made retroactively, if deemed necessary
or appropriate by the FMPTF Master Trustee. A copy of any Plan amendment
shall be dfslivered to the Plan administrator, and the Plan shall be amended in the
manner and effective as of the date set forth therein, and the Employers,
Employees, Participants and Beneficiaries shall be bound by the amendment.
~ The FMPI"F Master Trustee shall not make any amendment to benefits under the
Plan unle~~s the amendment is necessitated to comply with applicable federal or
state laws or regulations. Employers shall receive copies of any Plan
amendments made by the FMPTF Master Trustee.
53
DB PLAN RESTATEMENT-Novembef 20, 2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent
ARTICLE 19
REPEAL OR TERMIN,4TION OF PLAN
(A) This Plan and Fund may be modified, terminated, or amended, in whole or in part at
any time by the Employer; provided that if this Plan or any subsequent ordinanre or
resolution shall be amended or repealed in its application to any person benefiting
hereunder, the amount of benefits which at the time of any such alteration, amendment, or
repeal shall have accrued to the Participant or beneficiary shall not be affected thereby,
except to the extent that the assets of the Fund may be determined to be inadequate.
(B) If this Plan shall be repealed.., or if contributions to the Plan are discontinued, or if
there is a transfer, merger or consolidation of government units, services or functions as
provided in ChaPi:er 121, FI. Stat., the Board shall continue to administer the Plan in
accordance with the provisions of this Plan, for the sole benefit of the then Participant's,
~ any beneficiaries then receiving retirement allowances, and any future persons entitled to
receive future benefits. In the event of repeal, tE:rmination or permanent discontinuance of
contributions due to transfer, merger or consolidation of government units, services or
functions, there shall be full vesting (100%) of t~enefits accrued to date of repeal 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 ~~ccordance with the provisions thereof.
(C) The following shall be the order of priority for purposes of allocating the assets of
the Plan as of the date. of repeal of this Plan, or if contributions to the Plan are discontinued
with the date of such discontinuation being deienmined by the Employer.
(1) Apportionment shall first be made in respect of each retired Participant
receiving a retirement or disability bene~Fit hereunder on such date, each person
.receiving a benefit on such date on account of a retired or disabled (but since
deceased) Participant, and each Participant who has, by such date, become eligible
for normal retirement but. has not yet retired, an amount which is the actuarial
i~ equivalent of such benefit, based upon the actuarial assumptions in use for
54
DB PLAN RESTATEMENT-November 20,.2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent
purposes of the most recent actuarial valuation, provided that, if such asset value be
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.
(2) If there be any asset value remaining after the apportionment under
paragraph 1, apportionment shall next bE~ made in respect of each Participant in the
service of the Employer on such date wrro has completed at least ten {10) Years of
Credited Service and who is not entitled to an apportionment under paragraph 1, in
the amount required to provide the Actuarial Equivalent, as described in paragraph
1 above, of the accrued Normal Retirement Benefit, based on the Credited Service
and Salary as of such date, and each vested former Participant then entitled to a
deferred bE~nefit who has not, by such elate, 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.
(3) If there be any asset value after the apportionments under paragraph 1 and
2 above, apportionment shall be made in respect of each Participant in the service
of the Employer on such date. who is not entitled to an apportionment under
paragraphs, 1 and 2 above in the arrlount equal to Participant's Accumulated
Coritributions, provided that, if such remaining asset value be 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.
(4) If there be any asset value remaining after the apportionments under
paragraphs 1, 2, and 3 above, apportionment shall lastly be made in respect of each
participant included in paragraph 3 above to the extent of the Actuarial Equivalent,
JJ
DB PIAN RESTATEMENT-November 20, 2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent
as described in paragraph 1 above, of i:he accrued Normal Retirement Benefit, less
the amount apportioned in paragraph 3 above, based on the Credited Service and
Average I=final Compensation as of such date, provided that, if such remaining asset
value be 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:
(5) In the event that there be asset value remaining after the full apportionment
specified in .paragraphs 1, 2, 3, and 4 above, such excess shall be refurned to the
Employer, less return of the State's contributions to the .State. provided that, if the
excess is less than the total contributions made by the Employer and the State. to
the date of termination such excess shall be divided proportionately to the total
contributions made by the Employer and the State.
~ The alloc<~tion of the Fund provided for in this subsection may, as decided by the
Board anci the Employer be carried out •through the purchase of insurance company
contracts to provide the benefits determined in accordance with this subsection.
The Fund may be distributed in one suin to the persons entitled to said benefits or
the distribution may be carried out in such other equitable manner as the Board and
the Employer may direct. The Trust may be continued in existence for purposes of
subsequent distributions.
(6) After all the vested and accrued. benefits provided hereunder have been paid
and after all other liabilities have been satisfied, then and only then, shall any
remaining funds be reverted to of the Employer. .
56
DB PLAN RESTATEMENT-November 20, 2003; Amended October 1, 2005 Exhibit B Actuarial. Equivalent
ARTICLE 20
IXEMPTION FROM EXECUTION, NON-ASSIGNABILITY
The pensions, annuities, or any other benefits ~~ccrued or accruing to any person under the
provisions of this Plan, the Accumulated Contributions and the assets in the Fund created
under this Plan are exempt from any state, county or municipal tax of the state and shall
not be subject to execution, attachment, garnishment or any legal process whatsoever and
shall be unassignable.
~7
DB PLAN RESTATEMENT-November 20, 2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent
AI~TICI_E 2~
FOFZFEITURE OF PENSION: CO~'VVICTION AND FORFEITURE
Any Participant who is convicted of the any 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.
(A) Specified offenses are as follows°
(1) the committing, aiding or albetting of an embezzlement of public funds;
(2) the committing, aiding or abetting of any theft by a public officer or
employee from the employer;
(3) bribery in connection wii`h the employment. of a public officer or
employee;
any felony specified in Chapter 838, Florida Statutes;
(5) the committing of an impe:~chable offense.
(6) the committing of any felony by a public officer or employee who
willfully and with intent to defrautj the public or the public agency, for which
he acfs 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 atternpted u.se of the power, rights, privileges,
duties or position of his public office or employment position.
(B) Coinviction shall be defined as follows: An adjudication of guilt by a court of
competent jurisdiction; a plea of guilty or a polo contendere; a jury verdict of guilty
when adjuidication of guilt is withheld and the accused is placed on probation; or a
conviction by the Senate of an impeachalble offense.
(C) Court shall be defined as follows: any state or federal court of competent
~ jurisdictianl, which is exercising its jurisdiction to consider a proceeding involving the
JS
OB PLAN RESTATEMENT-November 20, 20D3; Amended October 1, 2D05 Exhibit R Actuarial Equivalent
alleged commission of a specified offen;~e. 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.
(D) Any Participant who has receivE:d benefits from the Plan in excess of his
Accumulated Contributions .after Participant's rights were forfeited pursuant to this
section shall be required to pay back. to the Fund the amount of the benefits
received in excess of his Accumulated Contributions. The Board may implement all
legal action necessary to recover such funds.
(E) As provided in the Florida Statutes, it is unlawful for a person to willfully and
knowingly make, or cause to be made, ur to assist, conspire with, or urge another to
make, or cause to be made, -any falsts, fraudulent; or misleading oral or written
~ statement or withhold or conceal materiel information to obtain any benefit from the
Plan. A person who commits a crime is punishable as provided in Section 775.082
or Section 775.083, Florida Statutes.
(F) In <3ddition to any applicable criminal penalty upon conviction for a violation
described in paragraph (E), a Participant or Beneficiary of the Pfan may, in the
discretion of the Board, be required to forfeit the right to receive any or all benefits to
which the person would be otherwise b~ entitled under the Plan. For purposes of
this paragraph (F) °conviction" means a determination of guilt that is the result of a
plea or trial, regardless of whether adjudication is withheld.
59
D8 PLAN RESTATEh1ENT-November 20, 2003; Amended October 1, 2005 Exhibit B Actuarial Equivalent
AFZTlCLE 22 ,
PENSION V~~LIDITY
The Board shall rave the power to examine anti investigate into the facts upon which any
pension shall heretofore have been granted +ander any prior or existing law, or shall
hereafter be granted or obtained erroneously, fraudulently or illegally for any reason. The
Board is empowESred to purge the pension rolls or correct the pension amount of any
person heretofore; granted a pension under prior or existing law or any person hereafter
granted a pension under this Plan if the. same is found to be erroneous. fraudulent or illegal
for any reason, grid to reclassify any person who has heretofore under any prior or existing
law been or who shall hereafter under this Plan be erroneously, improperly or illegally
classified. Any overpayments or under payments shall be corrected and paid or repaid in a
reasonable manner determined by the Board.
60
DB PLAN RESTATEMENT"-November 20. 2003; Amended October 1, ,1005 Exhibit B Actuarial Equivalent
ARTfCL,E 23
SIGNATCIRiES
This agrE:ement is effective on the date specified in the Adoption Agreement.
. City of lLongwood
~ EMPLOYER
. ~ ~i r
r
AUTHORIZEDgL~ NATURE
- v
~ Haywood ~G. Bundy„ Jr., Mayor
TITL1=
~-1--~.Uy ~a
DATE:
61
DB PLAN RESTATEbIENT-November 20, 2003; Amended October 1, 2405 Exhibit 8 Actuarial Equivalent
~ EXI~IIBIT B
ACTUARIAL EQUIVALENT'
1. Actuarial Equivalent for Benefit Calculations under the Plan
Actuarial Equivalent steal} mean a benefit of equivalent current value to the
benefit that would otherwise have been provided to the Participant. At the time of
calculation of the actuarially equivalent benefit, the calculation shall not include
possible future benefit increases which have not been adopted by an Ordinance or
Resolution and which are not in effect as c?f the calculation date. The calculations
will be performed using the 1983 Group :Mortality Table set back two years and
the rate of interest that is specified in th~~ preceding actuarial valuation used to
fund the Plan.
2. Actuarial Equivalent for 11~Laxi~nuni Benefit Testing under IRS Codc Section
415(b)
The applicable mortality table under 417(e)(3) is the fixed blend of 50'% of the
male mortality and 50% of the female mortality rate from the 94 GAR mortality
table. The applicable interest rate will be detern~ined using a look back period of
months and a stability period of one calendar year. For the period allowed the
applicable interest rate will be the rate as specified in the preceding sentence or
5.5% if higf~er as allowed under the Pension Funding Lquity Act of 2004.
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