HomeMy WebLinkAboutOrdinance 2999 ORDINANCE NO.
AN ORDINANCE AMENDING ORDINANCES NUMBER 2266 AND 2666, WHICH
ESTABLISHED A RETIREMENT PLAN FOR CERTAIN OFFICERS AND EM-
PLOYEES OF THE CITY OF FORT WORTH; PROVIDING FOR MEMBERSHIP
IN THE FUND, CITY AND EMPLOYEE CONTRIBUTIONS, SERVICE CREDITS,
RETIREMENT PAYMENTS, DISABILITY PAYMENTS, DISABILITY FROM
SICKNESS, DISEASE OR ACCIDENT WHETHER OR NOT IN LINE OF DUTY,
DEATH BENEFITS BEFORE AND AFTER RETIREMENT, BENEFITS FOR
SERVICE-CONNECTED INJURY RESULTING IN DEATH, WITHDRAWAL OF
CONTRIBUTIONS BY PERSONS LEAVING THE SERVICE OF THE CITY
VOLUNTARILY OR INVOLUNTARILY, AND STATUS OF A MEMBER WHO IS
REEMPLOYED BY THE CITY AFTER SEVERANCE OR DISABILITY; PROVID-
ING FOR APPOINTMENT OF A PLAN ADMINISTRATOR; DEFINING TERMS;
REPEALING ORDINANCES IN CONFLICT HEREWITH; PROVIDING AN EF-
FECTIVE DATE; AND DECLARING AN EMERGENCY.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS:
That Ordinance Number 2266, passed and adopted by the City Council
on Wednesday, September 12, 1945, and Ordinance Number 2666, passed and
adopted by the City Council on Wednesday, March 30, 1949, be amended and,
after being amended, shall read as follows:
SECTION 1.
ACKNOWLEDGMENT OF CREATION OF THE FUND
Acknowledgment is hereby made of the creation and eetablishment by a
prior ordinance -oft 'Efte-Employees' Retirement Fund of the City of Fort Worth."
SECTION 2.
DEFINITIONS
1. "Credited service" shall mean the number of years and completed
months of service for which a participating employee receives
compensation from the City of Fort Worth up to the date of his
actual retirement.
2. "Employees eligible for participation" in the Retirement Fund
shall include all regular employees of the City of Fort Worth
except the following employees who shall not be eligible for
participation in the Retirement Fund:
a. Elective officers and non-salaried, appointive mem-
bers of administrative boards and commissions, except
employee members of such boards.
b. Persons employed under contrAct for a definite period
or for performance of a particular, special service.
c. Employees serving on a part-time basis of less than one-
half time.
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d. Employees who are paid in part by the County, State or
other governmental agency, and only in part by the City.
e. Employees of the Board of Education.
f. Employees who retain membership in any other local mu-
nicipal or State Retirement Fund.
g. Persons carried on the payroll as temporary employees.
Whether or not any employee is a temporary or permanent
employee shall be determined by the record of the ap-
pointment. Any employee, the department head, or any
other interested person may appeal to the Board of
Trustees of the Retirement Fund for a determination as
to any person's eligibility to become a member of the
Fund.
3. "City" shall mean the City of Fort Worth, Texas.
4. "Fund" shall mean "The Employees' Retirement Fund of the City
of Fort Worth, Texas."
5. "Board" shall mean the Board of Trustees of the Employees' Re-
tirement Fund of the City of Fort Worth, Texas.
6. "Administrator" shall mean the individual appointed by the
Board of Trustees to supervise the operation of the Fund.
7. "Members" shall mean the eligible employees of the City of Fort
Worth who are members of the Retirement Fund.
8. "Beneficiary" shall mean any person in receipt of a retirement
benefit or any other benefit provided in the ordinance.
9. "Regular interest" shall mean interest at the rate of 2% per
annum compounded annually from the end of the Plan year in
which each contributiod is made up to the end of the Plan year
preceding the date upon which such interest becomes payable.
10. "Retirement benefit" shall mean a pension for life, as pro-
vided in the ordinance, payable each year in twelve equal
monthly installments, beginning as of the date fixed by the
Board in accordance with the provisions of this ordinance.
11. "Actuary" shall mean the individual or organization retained
by the City to provide annual actuarial valuations of the
Retirement Fund.
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12. "Actuarial tables" shall mean such tables of mortality, inter-
est rates, turnover discounts, salary scales, etc., as shall
be used by the Actuary with approval of the Board.
13. "Termination of employment" shall mean complete severance of
employment of any member as an employee of the City by any
act or means except death, total disability or'retirement.
14. The masculine pronoun, wherever used herein, shall include
the feminine pronoun.
15. "Effective date" shall mean October 1, 1952.
16. "Fiscal year" shall mean the period from October let of one
year through September 30th of the following year. The first
fiscal period shall be from the effective date through Septem-
ber 30, 1953.
SECTION 3.
MEMBERSHIP IN THE FUND
Each employee eligible for participation in the Retirement Fund at the
effective date of this ordinance shall automatically become a member of the Fund
unless he files a written election not to become a member within thirty (30)
days from such effective date. An employee on military leave may file an elec-
tion not to become a member within thirty (30) days after reemployment; other-
wise, he shall automatically become a member upon reemployment.
Membership in the Fund shall be a condition of employment for all
ttzture, eligible employees except Fire and Fire Alarm workers, However, no
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person shall become a member in the future until he has passed a satisfactory
physical examination prescribed by the Board of Trustees, and, upon acceptance,
such new member shall make contributions, in accordance with the then-current
schedule of contributions, back to the date of his employment.
Employees of the City actively at work on the effective date of this
ordinance who were eligible for membership in the Fund on January 1, 1946, but
who, at the date of such eligibility, rejected membership shall be eligible to
join the Amended Fund as of Octal)op,1,_1,952, and receive credit for all prior
service except for the period between date of refusal and S`ep ember 36j,,4§�2.
SECTION 4.
MEMBERS' CONTRIBUTIONS
Beginning on the effective date of this ordinance, or the effective date
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of membership if later, and continuing until the date of his actual retirement
or earlier termination of employment, each member shall contribute to the Fund
five per cent (5%) of his salary. This contribution shall be made in the form
of a deduction from compensation and shall be made notwithstanding that the net
compensation paid in cash to such member shall be reduced thereby below the mini-
mum prescribed by law. Each member shall be deemed to consent and agree to de-
ductions made from his compensation, and payment to said member of compensation,
less said deduction, shall constitute a full and complete discharge and acquit-
tance of all claims and demands whatsoever for services rendered by such member
during the period covered by such payment except as to the benefits provided for
by this ordinance.
The members' contribution provided for herein may be raised at any time
from five per cent (5%) to a higher amount upon a vote in favor of such raise by
seventy-five per cent (75%) of the members voting at such an election called for
that purpose by the Board of Trustees; provided that such raise shall not be ef-
fective unless the Governing Body of the City of Fort Worth shall, by ordinance
or resolution, agree to contribute at least an equal percentage. This paragraph,
however, shall not limit the right of the Governing Body of t$e City of Fort
Worth, through its budget appropriation, to contribute up to twice the amount
of the members' contributions, plus the cost of administration of the Fund.
SECTION 5.
CITY'S CONTRIBUTIONS
Beginning on the effective date of this ordinance, the City shall con-
tribute to the Fund seven and one-half per cent (71%) of the salaries of members.
The Governing Body of the City of Fort Worth shall also cause to be in-
cluded in the budget sufficient funds to pay the cost of the administration of
the Retirement Fund, and such appropriation shall be in addition to the City's
contribution to the Fund.
In no event shall the City contribute less than the amount contributed
by the members of the Fund, nor more than twice such amount, plus a sufficient
amount to pay the cost of administration.
SECTION 6.
CREDITED SERVICE
Pension credits shall be granted for all years and completed months of
service for which a member of the Fund receives compensation from the City up
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to the date of his actual retirement, subject to the following regulations per-
taining to service breaks:
a. Authorized service breaks up to ninety (90) days shall
not be deducted from credited service, provided member
contributions are continued during such periods, in which
event City contributions shall also be continued.
b. Periods of absence in excess of ninety (90) days shall be
deducted from credited service, and no contributions shall
be made by members or by the City during such periods.
c. An absence of twelve (12) or less consecutive months
due to layoff or authorized leave shall be permitted
without loss of prior service credits; a period of ab-
sence exceeding twelve (12) months (except for bona fide
illness or military service) shall cancel all prior
service.
d. A member who is absent because of bona fide illness shall
not lose his eligibility for retirement, disability or
death benefits, nor suffer loss of prior credited service
while so absent, even though such absence exceeds twelve
(12) months. Such absences beyond ninety (90) days shall,
however, be deducted from years and months of service
in computing percentage pension credits and in determin-
ing total years of service to be credited in computing
a minimum pension.
e. Members absent for service in the Armed Forces of the
United States or its allies shall be treated in all
respects as employees on nonmilitary leave, except that
the period of allowable absence shall be extended to
cover the duration of such military service, plus one
hundred twenty (120) days following discharge.
f. For purposes of this section, service for fifteen (15)
or more days in any month shall constitute a completed
month of service; absence for fifteen (15) or more days
in any month shall constitute a completed month of ab-
sence.
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SECTION 7.
RETIREMENT DATES
1. Normal Retirement
Normal retirement age shall be sixty (60) for females and sixty-
five (65) for males, and a member shall. retire on the last day
of the month in which such age is attained.
2. Early Retirement
A meuoer who has reached age fifty-five (55) and completed
twenty-five (25) years of credited service may retire at the
end of a1y month thereafter and receive his accrued pension
credits payatle in full commencing at normal retirement date
or in reduced amount commaacing at an earlier date (as pro-
vided in Section 91.
3. Date Retirement
It is contemplated that a member shall retire on his normal
retirement date. Upon his request, hoxever, and with written
approval of the Beard, a member may continue his employment
beyond normal retirement date, continue his contributions to
the Fund, and accrue pension credits up to the date of his
actual retirem-ent.
Determir_ation of the right of a member to continue in service beyond
his normal retirement date shall be made by the City Manager if the work being
performed by the member is under his supervision, or by the Administrative
Board if the work being performed by the member is under the supervision of an
Administrative Board of the City. Such determination, if in the affirmative,
shall be certified to the Board for approval or disapproval. If the Board ap-
proves, the member may continue his employment so long as he is able to fulfill
his duties, subject to annual review by the Board. If the City Manager or the
Administrative Board determines that a member should be retired on his normal
retirement date, the member may appeal to the Board, which shall have final
authority to uphold or reverse the prior determination.
SECTION 8.
COMPENSATION BASE FOR DETER14INING BENEFITS
Pension, death, and vested termination benefits shall be based upon the
average gross monthly earnings received by a member during the last fifteen (15)
or less calendar years of service with the City.
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SSECTION 9.
RETIREMENT PENSIONS
1. Pension Commencing on or after Normal Retirement Date
A member who retires on or after his normal retirement date, or who re-
tires early and requests commencement of his pension at normal retirement date,
shall receive a monthly life pension, the amount of which shall be 1/60th of
his compensation base multiplied by his total credited service to date of actual
retirement, payable on the first day of each month commencing with the month
following the effective date of retirement.
2. Pension Commencing at Early Retirement Date
A member who retires early in accordance with the provisions of Section
7 and who elects to receive retirement income commencing prior to his normal re-
tirement date shall receive a monthly life pension, the amount of which shall be
1/60th of his compensation base multiplied by his total credited service to date
of early retirement, reduced by five-twelfths of one per cent for each month by
which commencement of the pension antedates the member's normal retirement date.
Such pension shall be payable on the first day of each month commencing with the
month following the date of such early retirement.
3. Minimum Pensions
The minimum pension payable at normal or late retirement date shall not
be less than three dollars ($3.00) per month for each year of service between
one (1) and ten (10), three dollars and fifty cents ($3.50) per month for each
year between eleven (11) and twenty (20), and four dollars ($4.00) per month for
each year between twenty-one (21) and thirty (30). For purposes of computing
minimum pensions under this provision, if the fractional part of a member's
total service equals six (6) months or more, he shall be credited with an addi-
tional full year of service; otherwise, the months shall be disregarded.
These minimum amounts shall be reduced for early retirement as provided
under paragraph 2 of this section.
4. Pension Adjustments for Retired Members
Beginning on the effective date of this ordinance, there shall be an
adjustment upwards in the pensions payable to members who have retired since
January 1, 1946, so that their retirement income shall be in accord with the
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pension formula set forth in this section. This adjustment shall also be made
in cases under which the minimum schedule prescribed in paragraph 3 hereof
applies.
Such adjustment, however, shall apply only to pensions payable through-
out the lifetime of retired members and shall not include survivor benefits of
any type to beneficiaries of such former employees.
SECTION 10.
TOTAL AND PERMANR7T DISiTILITY PENSIONS
1. Definition of Totel and Permanent Zisability
A member shall be considered totally and permanently disabled if:
a. He shall become disabled by bodily injury or disease
so as presumably to be thereby continuously prevented
for life from engagin in any occupation or perform-
ing any work for remuneration or prcfit.
b. Such disability has existed for at least ninety (90)
consecutive days.
c. Such disability was not contracted, suffered or in-
curred while the member was engaged in, or did not
result from his having engaged in, a criminal enter-
prise, or from his habitual drunkenness or addiction
to narcotics, or from self-inflicted injury, or from
voluntary or involuntary service in the Armed Forces
of the United States (including the United States
Merchant Marine), any of its allies, or any other
foreign country.
2. Qualification for Disability Pension
A member shall qualify for a disability pension as hereinafter provided
only after he has been certified to be totally and permanently disabled, in ac-
cordance with the definition in paragraph 1 of this section, by a duly licensed
and practicing physician appointed by the Board. Determination of the existence
of total and permanent disability shall be made at the end of a ninety (90) day
period from the date such disability is alleged to have commenced, and benefits
shall not commence until the first day of the month in which such ninety (90)
day period ends.
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The Board shall have the right to have medical examinations made from
time to time by a duly licensed and practicing physician to determine whether
the disability is continuing.
Any disability payment may be discontinued at any time by the Board on
proof that the member is not totally or permanently disabled as above defined.
The Board's determination on all matters concerning the granting, refusing or
revoking of a disability payment shall be final and conclusive on all parties,
and no appeal can be made therefrom except upon a showing of bad faith on the
part of the Board.
No disability benefit coverage shall be provided during a service break
in excess of three (3) consecutive months unless the service break was caused by
sickness or accident leading to total disability.
The disability benefit specified herein shall not be payable during any
period in which regular pay is continued by the City, the State of Texas, or
any other division of government in accordance with the then-existing Civil
Service Statutes.
3. Disability from Bodily Injury in Line of Duty
If a member becomes totally and permanently disabled by bodily injury
incurred while in line of duty, he shall receive a monthly life pension, the
amount of which shall be 1/60th of his compensation base multiplied by his total
credited service to date of disability, but not less than fifty dollars ($50.00)
per month.
"Total disability" as used in this paragraph shall mean total and perma-
nent disablement caused by injury sustained in the course of the operations
usual to his employment, and shall include all operations necessary, incident
or appurtenant thereto or connected therewith, whether such operations are con-
ducted at the usual place of employment, or elsewhere in connection with or in
relation to his usual and customary employment. Employment shall be considered
as starting at the time an employee reports for work in the morning, ceasing at
the time he leaves for lunch and beginning again at the time he returns from
lunch, and terminating for the day at the time he leaves in the evening.
4. Disability from Bod11v Injury Not in Line of Duty
If a member becomes totally and permanently disabled by bodily injury
incurred while not in line of duty after he has completed five (5) years of
credited service with the City, he shall receive a monthly life pension computed
as set forth in paragraph 3 of this section but with no minimum payment provided.
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5. Disability from Sickness or Disease
If a member becomes totally and permanently disabled from sickness or
disease (excluding social or venereal diseases, alcoholism or any disease or
sickness resulting from or occasioned by the misconduct of such member) after
he has completed five (5) years of credited service with the City, whether or not
such disability is incurred while in line of duty, he shall receive a monthly
life pension computed as set forth in paragraph 3 of this section but with no
minimum payment provided.
6. Recovery from Disability
If a disabled member receiving disability benefits hereunder is found to
be no longer totally disabled upon examination as provided in paragraph 2 of this
Section 10, his disability payments shall immediately cease.
If such member is reemployed by the City immediately following certifica-
tion of recovery, his Fund membership shall be reinstated as of the date of such
reemployment, with full credited service to date of disability. He shall receive
no pension service credits for the period of disability, but such period shall
be counted in determining all requirements for length of credited service.
If such member is not reemployed by the City immediately following certi-
fication of recovery, he shall be considered as a terminated Fund member and
shall have no further interest in the Fund other than a refund of any excess of
his total contributions, plus regular interest over the total of disability pay-
ments made to him; provided, however, that if such member had a vested interest
in his pension credits as of the date on which he was certified totally disabled,
he shall receive a pension from the date of certification of recovery (or from
early retirement age, if later) equal to the amount which would have been payable
under the provisions of Section 12 had he terminated his employment on the date
his disability pension began. His death benefit thereafter shall be determined
in accordance with Section 11, but the ten (10) year period following retirement
date shall be deemed to have commenced on the date his disability pension began.
SECTION 11.
DEATH BENEFITS
1. Death befors Retirement Income Commences
If a male member dies before retirement income begins, his widow and/or
dependent children under age seventeen (17) shall be entitled, for a period not
to exceed ten (10) years, to receive a monthly pension, the amount of which shall
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be 1/60th of his compensation base multiplied by his total credited service to
date of death. One-half of the pension so determined shall be paid to the widow
and one-half to the children. When each child reaches age seventeen (17), his
payment shall cease and thereafter be made to the remaining children or, if none,
to the widow. If the deceased member leaves no widow, or if his widow dies or
remarries, the full pension shall be paid to his children for the balance of the
ten (10) year period, or until they reach age seventeen (17), if sooner. Pay-
ments to a widow shall cease upon her remarriage.
If a female member dies before retirement income begins, her dependent
children under age seventeen (17), if any, shall be entitled to receive a month-
ly pension, computed in accordance with the preceding paragraph, for a period of
ten (10) years, or until they reach age seventeen (17), if sooner. Such pensions
shall be payable on the first day of each month commencing with the month follow-
ing the one in which death occurs.
If a male member of the Fund leaves no widow or dependent children under
seventeen (17) years of age, the total amount of his contributions plus regular
interest, less any amount that may have been previously paid to him because of
disability, shall be paid to his estate. If a female member dies without de-
pendent children under age seventeen (17) before retirement income begins, her
estate shall receive a similar benefit.
The minimum death benefit to eligible dependents of employees killed in
line of duty shall be fifty dollars ($50.00) per month.
If all eligible dependents die or reach age seventeen (17) before expira-
tion of the ten year period, the excess of the member's contributions, plus regu-
lar interest at date of death over disability and/or death benefits paid, shall
be paid to the member's estate.
Death benefits to terminated vested members prior to commencement of pen-
Sion payments shall be limited to a refund of their contributions plus regular
interest payable to their estates, unless termination occurs after attainment
of early retirement age. In the latter event, the death benefit prescribed above
shall be payable.
Death benefit coverage during service breaks in excess of ninety (90)
days shall be limited to members who are absent due to service-connected injury
incurred while in line of duty, the death benefit in such cases to be a pension
for widows and dependent children under age seventeen (17) as determined above,
but not less than a total of fifV dollars ($50.00) per month.
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2. Death after Retirement Income Commences
If a male member dies after disability or retirement income has com-
menced, his widow and/or dependent children under age seventeen (17) shall be
entitled to receive a'continuance of his pension for any remaining part of a ten
(10) year period following his retirement date. one-half of said benefit shall
be paid to the widow and one-half to the children, as provided under paragraph 1
of this section. If he leaves no widow or if his widow dies or remarries, all
benefits shall be paid to his children for the balance of the ten (10) year
period, or until they reach age seventeen (17), if sooner. Payments to a widow
shall cease upon her remarriage.
If a female member dies after retirement income begins, her retirement
payments shall continue to her children, if any, until they reach age seventeen
(17) or until the expiration of the ten (10) year period, whichever first occurs.
If a male member dies after retirement income begins and leaves no widow
or dependent children under age seventeen (17), any excess of his contributions,
plus regular interest at retirement date over the total retirement payments made
to him, shall be paid to his estate. If a female member dies after retirement
income begins and leaves no dependent children under age seventeen (17), her es-
tate shall receive a similar benefit.
If all eligible dependents die or reach age seventeen (17) before expira-
tion of the ten (10) year period, the member's estate shall receive any excess
of his contributions, plus regular interest as of retirement date over total
retirement and/or death benefits paid.
3. Board to Determine Dependency of Children
The Board shall-determine the dependency of children less than seventeen
(17) years of age, and their determination in this connection shall be final and
conclusive on all parties.
All unmarried legitimate and legally adopted children under the age of
seventeen (17) years, in the absence of a determination to the contrary, shall
be considered dependents insofar as the payments under this ordinance are con-
cerned.
SECTION 12.
TERMINATION BENEFITS AND VESTING
Any member who is voluntarily or involuntarily separated from the service
of the City during the first three (3) years of employment shall be entitled
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to receive the amount of his contributions without interest, less twenty-five
dollars ($25.00). After three (3) but less than fifteen (15) years of service,
the termination benefit shall be the amount of the memberts contributions plus
regular interest, less twenty-five dollars ($25.00). No additional assessment
shall be made against employees whose contribution refund does not equal twenty-
five dollars ($25.00).
A member who terminates after serving fifteen (15) years or more shall
be entitled to receive a vested right of fifty per cent (50%) of the amount of
pension earned to date of termination, which vested right shall increase in the
amount of five per cent (5%) for each year served after fifteen (15) years, so
that full vesting shall occur after twenty-five (25) years, regardless of age.
The vested benefit shall be payable in full commencing at normal retirement date
or in reduced amount (as prescribed under Section 9) commencing at early retire-
ment age.
A terminating member with a vested right may elect to receive a refund
of his contributions, plus regular interest, in lieu of retirement benefits
either at date of termination or at any time thereafter prior to commencement
of retirement income, but by so doing he shall forfeit all rights under the Fund
and thereafter be entitled to no further benefits thereunder.
SECTION 13.
PAYMENT OF BENEFITS
The Treasurer of the City of Fort Worth shall be, ex-officio, the
Treasurer of the Fund and shall:
a. Act as official custodian of the cash and securities belonging to
the Fund and provide adequate safe deposit facilities for the pres-
ervation of such securities subject to the order of the Board;
b. Receive all items of cash belonging to the Fund, including con-
tributions of members, collect the interest on and the principal
of all securities belonging to the Fund as such interest and prin-
cipal become due and payable, deposit all such amounts in a special ,
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trust fund for the account of the Fund, and submit a monthly report
to the Fund of all such transactions; and
e. Yake payments for purposes specified in this ordinance in accordance
with vouchers submitted pursuant to authorization of the Adminis-
trator. The Treasurer shall have the same responsibility for as-
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sets of the Fund in his possession as for funds of the City under
his control, and all assets of the Fund shall be completely segre-
gated and earmarked as belonging to the Fund.
Benefits granted hereunder shall become payable only on or after the
date of each individual employee's acceptance as a Fund member. Except for the
adjusted retirement benefits granted members who have retired since January 1,
1946, as provided in Section 9, nothing herein contained shall be construed to
authorize any benefit payments or adjustments of any kind to members of the Fund,
employees of the City, or beneficiaries thereof on account of any death, retire-
ment, disability, or termination which occurred prior to the date of this ordi-
nance.
In any case under the terms of this ordinance, where benefits are pay-
able to a child and the Board determines that such child is unable or lacks the
proper discretion to handle the benefits, the Board may direct such benefits to
be paid to the child's natural guardian, who shall expend such benefits for the
best interest of the child.
SECTION 14.
ACCOUNTS TO BE MAINTAINED
The assets of the Retirement Fund shall consist of two separate unallo-
cated accounts as follows:
a. Actives Reserve Account to include City and employees' contributions
plus earned income thereon. Contribution refunds to terminated members
shall be paid from this account upon receipt by the City Treasurer
of the Administrator's authorization as provided in Section 16.
b. Retirements Reserve Account to consist of annual transfers from the
Actives Reserve Fund to provide retirement, death, disability and
vested termination benefits, such benefits being paid from this ac-
count as authorized by the Administrator in accordance with Section
M.
SECTION 15.
ANNUAL ACTUARIAL VALUATIONS
The Board shall retain an Actuary for the purpose of providing annual
valuations of the Retirement Fund, properly certified to the Board. The Actuary
shall be appointed by the City Council upon recommendation by the Board. The
actuarial tables used by the Actuary shall assume such interest, mortality,
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turnover, and other rates as the Actuary, with Board approval, shall from time
to time determine.
SECTION A.
ADMINISTRATION
1. Board of Trustees
The Fund created by this ordinance is a trust. This fund shall be ad-
ministered by a Board to be known as the Board of Trustees of the Employees'
Retirement Fund of the City of Fort Worth. The terms Of office of the members
of the Board shall commence on October 1, 1952. The Board shall consist of five
(5) members, who shall be selected as follows:
a. Two members who are members of the Fund shall be elected
by the employees of the City who are also members of the
Fund. In the selection of the first two employee members
of the Board, after the effective date of this ordinance,
two places, designated as Place 1 and Place 2, shall be
filled by the calling of an election by the Board. Place
1 shall be for a term of one (1) year, expiring on Septem-
ber 30, 1953; Place 2 shall be for a term of two (2) years,
expiring on September 30, 1954. Thereafter, one employee
member shall be elected each succeeding year, prior to Octo-
ber lst of that year, for a term of two (2) years, commencing
October 1st of the election year.
b. Two members shall be appointed by the Governing Body of the
City of Fort Worth to two places designated as Places 3 and 4.
The member appointed to Place 3 shall serve for a term of
one (1) year, said term expiring on September 30, 1953; the
member appointed to Place 4 shall serve for a term of two (2)
years, said term expiring on September 30, 1954. Thereafter,
the Governing Body of the City of Fort Worth shall appoint
members to Places 3 and 4 to serve for a term of two (2) years.
c. One member shall be selected and appointed by the Board it-
self for a term of two (2) years. The first term of the mem-
ber selected and appointed by the Board shall expire on Sep-
tember 30, 1954,
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Except for the terms of office of the first Board members elected and
appointed after the effective date of this ordinance, all members of the Board
shall hold office for a term of two (2) years, unless they are removed.
It is the purpose of this ordinance that the terms of the members of
the Board of Trustees be so regulated that the Board shall not consist of en-
tirely newly elected or appointed members at any one time.
The members of the present Board of Trustees shall remain in office un-
til their successors are duly elected or appointed.
The Board shall serve without remuneration and shall meet not less than
once a month, and may meet at any time that the business of the Fund shall re-
quire it. The Board shall elect its own chairman, and he shall have the power
to call a meeting at any time that is necessary in order to carry out the busi-
ness of the Board.
Three members of the Board shall constitute a quorum to transact any busi-
ness, but it shall require not less than three affirmative votes to carry any
matters before the Board.
The Beard shall hove fuJ.l power to make any and all rules and regulations
pertaining to the Retirement Furd not inconsistent with this ordinance, the Con-
stitution and the laws of the State of Texas, and consistent with the local civil
service regulations.
The Board shall be the trustee of the Fund and shall have full power, at
its sole discretion, to invest and reinvest the assets of the Fund, including
undistributed income. In acquiring, investing, reinvesting, exchanging, retain-
ing, selling, supervising and managing the funds held hereunder, the Board shall
exercise the Judgment and care under the circumstances then prevailing which men
of ordinary prudence, discretion and intelligence exercise in the management of
their own affairs, not in regard to speculation but in regard to the permanent
disposition of their funds, considering the probable income therefrom as well as
the probable safety of their capital. Within the limitations of the foregoing
standard, the Board is authorized to acquire and retain every kind of property,
real, personal or mixed, and every kind of investment, specifically including but
not by way of limitation, bonds, debentures and other corporate obligations, and
stocks, preferred or common, which men of ordinary prudence, discretion and intel-
ligence acquire or retain for their own account; provided that no securities of
any one corporation shall ever be purchased if such purchase would result in the
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total securities of such corporation held by the Fund having a value in excess
of 5% of the total value of the Fund, nor shall more than 5% of the outstanding
securities of any one corporation ever be purchased for or retained as an asset
of the Fund.
In administering the Fund and as to all other matters in connection
with its administration, the decision of the Board shall be final and conclusive.
2. Administrator
The Board shall name an Administrator to supervise the affairs of the
Retirement Fund upon approval of the City Manager. The Board may also authorize
the Administrator to select any required number of persons to assist him in carry-
ing out his work.
The duties of the Administrator shall include, but not necessarily be
limited to, the following:
a. Maintaining all records necessary in the administration
of the Fund and the disbursement of benefits therefrom.
b. Determining eligibility for benefit payments.
c. Computing benefits payable.
d. Authorizing the City Treasurer to disburse benefits.
e. Advising members annually of their standing in the
Fund with respect to benefits thereunder.
3. Investment Review Committee
The City Council shall appoint an Investment Review Committee consisting
of three (3) qualified persons to be selected from the Trust Departments of the
banks of the City of Fort Worth. Such persons shall be experienced in securi-
ties and investment matters. The Investment Review Committee shall be appointed
for a two (2) year term. Such committee shall (a) review the investments of
the Fund to determine their suitability and desirability for the Fund; (b) re-
view the investment procedures and policies being pursued by the Board in the
administration of the Fund; and (c) submit an annual report of its findings and
recommendations to the Governing Body of the City of Fort Worth. Such annual re-
port shall be made available to the Board and each of the members of the Fund.
4. Administrative Expenses
All expenses of the Board or the Administrator necessary for the operation
of the Fund must be recommended by the City Manager and approved by the City
Council.
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SECTION 17.
EXEMPTION OF BENEFITS FROM JUDICIAL PROCESS
The City of Fort Worth shall never be held liable or responsible for any
claim or asserted claim for benefits under the provisions of this ordinance,
but all claims shall be paid from the funds for which provision has been specif-
ically made herein.
No portion of this Fund shall, at any time before or after its disburse-
ment, be held, seized, taken, subjected to or detained or levied upon by virtue
of any execution, attachment, garnishment, injunction or other writ, order or
decree, or any process or proceedings whatsoever issued out of or by any court
for the payment or satisfaction, in whole or in part, of any debt, damage, claim,
demand or ,judgment against any persons entitled to the benefits of this Fund,
nor shall said Fund or any claim thereto be, directly or indirectly, assigned
or transferred, and any attempt to transfer or assign same shall be void.
SECTION 18.
AMENDMENT OF ORDINANCE
With the exception of the sections relating to contributions to the Fund
by members and by the City, the City Council, consistent with the Constitution
and laws of the State and the Charter of the City of Fort Worth, shall have the
power and authority to amend any or all of the terms and provisions of this
ordinance without submitting such amendment or amendments at an election of the
qualified voters of said City or the qualified voters thereof entitled to vote
on the question of the issuance of tax-supported bonds.
SECTION 19.
CONTROLLING POWER OF ORDINANCE
The provisions of this ordinance shall be cumulative of and in addition
to all other ordinances of the City of Fort Worth relating to pensions, which
ordinances are hereby preserved and continued in force and effect, provided,
however, that in the event of any conflict, the provisions of this ordinance
shall control.
SECTION 20.
VALIDITY OF ORDINANCE
If any provision, section, part, subsection, sentence, clause, phrase
or paragraph of this ordinance be declared invalid or unconstitutional, the
same shall not affect any other portion or provision hereof, and all other pro-
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s
visions shall remain valid and unaffected by any invalid portion, if any, and
the City Council now says that if it had known at the time of the passage of
this ordinance that any portion of said ordinance was invalid, it would not have
adopted such invalid part.
SECTION 21.
PREREQUISITES TO ORDINANCE
The City Council finds that all acts, conditions and things required
by provisions of the Constitution of Texas and the Charter and Ordinances of the
City of Fort Worth precedent to and in the adoption of this ordinance have been
done, have happened and have been performed in proper and lawful time.
SECTION 22.
EMERGENCY CLAUSE
The fact that the City of Fort Worth does not now have in operation an
adequate retirement pension system for its officers and employees who have ren-
dered long and faithful service to the City, many of whom are rapidly reaching
that age where they are unable to render the kind and character of service that
is required in a city of its size, creates an urgency and an emergency, in the
interest of the preservation of the public peace, health, safety and general
welfare, which requires that this ordinance take effect the 1st day of October,
A. D. 1952, and it is so ordained.
Adopted this day of September, A. D. 1952•
�. r or the City or Fortor , Texas
ATTEST:
y Secretary of the City of ForV Worth,
Texas
APPROVED AS TO FORM:
V`�_ L
City Attorney of the City of Fort Worth,
Texas
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