HomeMy WebLinkAboutOrdinance 12686'~
ORDINANCE NO.
~Ep y ~ 02
AN ORDINANCE AMENDING ORDINANCE NOS. 2999, 4060, 4250, 4304, 4354, 4430, 4860,
4861, 4873, 4875, 5226, 5259, 6393, 6556, 7056, 7317, 7875, 8674, 8843, 9247, 9532, 10081,
10291, 10369, 10385, 10564, 10607, 10679, 11126, 11238, 11401, 11412, 11558, 11608, AND
11716 CODIFIED AS CHAPTER 2, ARTICLE VI, DIVISION 1, ENTITLED "EMPLOYEES'
RETIREMENT FUND," OF THE CODE OF THE CITY OF FORT WORTH (1986), AS
AMENDED, WHICH ORDINANCES ESTABLISH AND PROVIDE FOR A RETIREMENT
SYSTEM, RETIREMENT PLAN AND BENEFITS THEREUNDER FOR EMPLOYEES OF THE
CITY OF FORT WORTH, PROVIDING FOR A MULTIPLIER CHANGE IN THE AMOUNTS
OF RETIREMENT, DISABILITY, AND VESTED RETIREMENT PENSIONS, CONTINUING
COST OF LIVING ADJUSTMENTS, MAKING THIS ORDINANCE CUMULATIVE,
PROVIDING FOR A SEVERABILITY CLAUSE, AND PROVIDING AN EFFECTIVE DATE.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH,
TEXAS
That Ordinance No. 2999, passed and adopted by the City Council of the City of Fort Worth
on the 24th day of September, A.D 1952, as amended by Ordinance Nos. 4060, 4250, 4304, 4354,
4430, 4860, 4861, 4873, 4875, 5226, 5259, 6393, 6556, 7056, 7317, 7875, 8674, 8843, 9247, 9532,
10081,10291,10369,10385,10564,10607,10679,11126,11238,11401, 11412, 11558,11608, and
11716 be and the same is hereby amended as follows.
SECTION 1
That Chapter 2, Article VI, Division I, Section 2-203 "Members' Contributions," of the Code
of the City of Fort Worth (1986), as amended, be and is hereby further amended by substituting the
following language m lieu thereof, to wit:
"Sec. 2-203 MEMBERS' CONTRIBUTIONS
A. Commencing on the effective date of membership and continuing until the date of
actual retirement or earlier termination of employment, Police Officer Members shall
contribute to the Fund seven and forty-three one-hundredths percent (7 43%) of their
Earnings and all other Members shall contribute six and nuiety-five one-hundredths
percent (6 95%) of their Earnings. These contributions shall be made even if to do
so would reduce a Member's net cash compensation below the minimum wage
prescribed by law By accepting employment with the City, each Member shall be
deemed to consent and agree to deductions made from the Member's compensation,
and payments to all such Members of compensation, less the deduction, shall
constitute a full and complete discharge 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 by the Fund.
B The contribution percentage of all Members may be raised at any time from the
amount stated in this section to a higher amount, as regulated by article 6243k of the
Texas Revised Civil Statutes, as amended, upon a vote in the favor of such raise by
seventy-five percent (75%) of only the affected Members voting at an election called
for that purpose by the Board or the City Council, provided that such raise shall not
be effective unless the City Council shall, by ordinance or resolution, also agree that
the City shall increase its contribution to the Fund by at least an equal percentage
increase, although the City may phase-in its increased contribution over a period of
up to five years."
SECTION 2.
That Chapter 2, Article VI, Division I, Section 2-204 "City's Contributions," of the Code of
the City of Fort Worth (1986), as amended, be and is hereby further amended by substituting the
following language in lieu thereof, to wit:
"Sec. 2-204 CITY'S CONTRIBUTIONS
For Police Officer Members only, effective October 1, 1996, the City shall contribute to the
Fund nine and seventy-eight one-hundredths percent (9 78%) of their Earnings; effective
October 1, 1997, the City's contribution shall increase to ten and thirty-four one-hundredths
percent (10.34%); effective October 1, 1998, the City's contribution shall increase to ten and
mne-tenths percent (10 9%); and effective October 1, 1999, the City's contribution shall
increase to eleven and forty-six one-hundredths percent (11 46%). For all other Members,
effective October 1,1996, the City shall contribute to the Fund nine and six one-hundredths
percent (9 06%) of their Earmngs; effective October 1, 1997, the City's contribution shall
increase to nine and sixty-two one-hundredths percent (9 62%), effective October 1, 1998,
the City's contribution shall increase to ten and eighteen one-hundredths percent (10 18%);
and effective October 1, 1999, the City's contribution shall increase to ten and seventy-four
one-hundredths percent (10 74%) Sec. 2-203 shall not limit the right of the City Council,
through its budget appropriation, to contribute an additional amount over and above the
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Members' contributions, in accordance with article 6243k of the Texas Revised Civil
Statutes, as amended."
SECTION 3
That Chapter 2, Article VI, Division I, Section 2-208 "Retirement Pension," Paragraphs A
and B, of the Code of the City of Fort Worth (1986), as amended, be and is hereby further amended
by substituting the following language ~n lieu thereof, to wit:
"A. ('~mmencement of Retirement Pensions and Adustment to Prior Pensions.
Pensions Commencing L7pon Normal Retirement Date.
A Vested member who retires on or after the member's Normal Retirement
Date and requests commencement of the member's pension, or a member who
terminates employment prior to Normal Retirement Date and who waits until
such Normal Retirement Date to apply for a pension, shall receive an annual
life pension, the amount of which shall be three percent (3 0%) of the
member's Compensation Base multiplied by the member's total years of
Credited Service to date of actual retirement, payable monthly on the first day
of each month commencing with the month following approval of the
member's pension by the Board.
2. Pensions Commencing Upon Special Retirement Date.
A Vested Police Officer member who retires upon or after the member's
Special Retirement Date and requests commencement of the member's
pension shall receive an annual life pension, the amount of which shall be
three percent (3 0%) of the member's Compensation Base multiplied by the
member's total years of Credited Service to date of actual retirement, payable
monthly on the first day of each month commencing with the month
following approval of the member's pension by the Board.
Pension Commencing Prior to October 1, 1996
Effective October 1, 1996, each member previously receiving pension
benefits hereunder shall have the member's calculation for Base Pension
benefits adjusted. For members whose pension was calculated on or after the
member attained Normal Retirement Date or Special Retirement Date, or
who were receiving pension benefits pnor to October 1, 1993, the new Base
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Pension shall be three percent (3 0%) of the member's Compensation Base
multiplied by the member's total years of Credited Service to date of actual
retirement. For all other members, the new Base Pension shall be two and
seventy-five one-hwidredths percent (2.75%) of the member's Compensation
Base multiplied by the member's total years of Credited Service to date of
actual retirement. For all members, all pnor cost of living increases from the
date the member's pension benefits commenced shall be added to the new
Base Pension to determine total benefits to be paid.
B ('ost of Living Adjustment.
Annually, effective January 1, 1997, and on the first day of each January thereafter,
a cost of living adjustment shall be made on all Base Pensions of all members of the
Fund who have retired (including disability retirement), or to their survivors, by
adjusting the amount of the actual pension up or down by the amount of the
percentage change in the Pnce Index over the previous year, or by two percent (2%),
whichever is smaller; provided, that in no event shall any retired member's pension
or survivor's benefits be reduced below the Base Pension. To be eligible for a cost
of living adjustment for a particular yeaz, either the member or any survivor must
have been receiving benefits by September 30th of the prior year "
SECTION 4
That Chapter 2, Article VI, Division I, Section 2-209.D 1 "Disability m Lme of Duty," of the
Code of the City of Fort Worth (1986), as amended, be and is hereby further amended by
substituting the following language m lieu thereof, to wit:
"D Disability in Line of Duty
If a member becomes disabled as above defined while m the line of duty, the
member shall receive an annual life pension, the amount of which shall be the
specified percentage of the member's Compensation Base multiplied by the
member's total years of Credited Service which would have accrued if the
member had worked to the member's Normal Retirement Date, but not less
than Two Hundred Fifty Dollazs ($250 00) per month. For purposes of the
preceding sentence, the specified percentage of the member's Compensation
Base shall be two and seventy-five one-hundredths percent (2.75%), unless
the member is already eligible to retire on or after the member's Normal
Retirement Date, m which case the specified percentage shall be three percent
(3 0%)."
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SECTION 5
That Chapter 2, Article VI, Division I, Section 2-209.E "Disability Not in Line of Duty," of
the Code of the City of Fort Worth (1986), as amended, be and is hereby further amended by
substituting the following language m lieu thereof, to wit:
"E. Disability Not in Line of Duty
If a Vested member becomes disabled as above defined while not in the line of duty,
the member shall receive an annual life pension, the amount of which shall be the
specified percentage of the member's Compensation Base multiplied by the member's
total years of Credited Service to date of actual retirement. For purposes of the
preceding sentence, the specified percentage of the member's Compensation Base
shall be two and seventy-five one-hundredths percent (2 75%), unless the member
is already eligible to retire on or after the member's Normal Retirement Date, ~n
which case the specified percentage shall be three percent (3 0%) "
SECTION 6.
That Chapter 2, Article VI, Division I, Section 2-211 "Termination Benefits and Veshng,"
of the Code of the City of Fort Worth (1986), as amended, be and is hereby further amended by
substituting the following language in lieu thereof, to wit.
"A. Contribution Refund Prior to Vesting.
Any member who is voluntarily or mvoluntanly separated from the service of the
City before the member is Vested shall be entitled to receive the amount of the
member's contributions plus Regular Interest (at the Regular Interest rate in effect on
the date of such payment) less any amount previously paid to the member from the
Fund.
B Vested Termination Pension.
A Vested member who is voluntarily or involuntanly separated from the
service of the City shall be entitled to receive a Vested Termination Pension
payable. (i) in full on the date when the member would have otherwise
attained Normal Retirement Date had the member remained employed by the
City, or (ii) in a reduced amount commencing on or after age fifty (SO)
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2 A Vested Termination Pension shall be an annual 1-fe pension, the amount of
which shall be the specified percentage of the member's Compensation Base
multiplied by the member's total years of Credited Service to date of such
voluntary or involuntary separation from the service of the City For
purposes of the preceding sentence, the specified percentage of the member's
Compensation Base shall be two and seventy-five one-hundredths percent
(2.75%), unless the member is already eligible to retire on or after the
member's Normal Retirement Date, in which case the specified percentage
shall be three percent (3 0%).
3 The amount of reduction for early commencement of a Vested Termination
Pension prior to the member's Normal Retirement Date shall be five-twelfths
percent (5/12%) for each month by which commencement of the pension
antedates the member's Normal Retirement Date had the member remained
employed by the City
C. ('ontribut~on Refund After Vest~n~ m Lzeu of Vested Termination Pension.
Any Vested member who is voluntarily or involuntarily sepazated from the service
of the City may elect to receive a refund of the member's contributions, plus Regular
Interest (at the Regular Interest rate in effect on the date of such payment) less any
amount previously paid to the member from the Fund, either at the date of such
separation or at any time thereafter prior to commencement of retirement income, but
by so doing, the member shall forfeit all rights under the Fund and thereafter be
entitled to no further benefits hereunder "
SECTION 7
That provisions of this Ordinance shall be cumulative of and in addition to all other
ordinances of the Cary 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 8.
If any provision, section, part, subsection, sentence, clause, phrase or paragraph of this
Ordinance be declared invalid or unconstrtutionai, the same shall not affect any other portion or
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provision hereof, and all other provisions shall remain valid and unaffected by any invalid portion,
if any, and the City Council now says that if ~t had known at the time of the passage of this
Ordinance that any portion of said Ordinance was ~nval~d, ~t would not have adopted such invalid
part.
SECTION 9
The City Council finds that all acts, conditions and things required by provisions of the
Constitution of Texas and Charter and Ordinances of the City of Fort Worth precedent to and in the
adoption of this Ordnance have been done, have happened and have been performed in proper and
lawful time.
SECTION 10
This Ordinance shall be in full force and effect from and after October 1, 1996 and it is so
ordained.
APPROVED AS TO FORM AND LEGALITY
~E%2~
G~~ City Attorney
Date 1~- 2 ~ ' I~,~
ADOPTED ~-t~ u ' ~I C~
EFFECTIVE.
VEDALO 1;BOA485/58000/4869 1
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~'aty of~ort ~ortD~ T"exsas
1~I1~¢y~~~° ~~¢~l ~~un~¢~a~ cC~~a¢~a¢~a~¢a~~n~a~~¢
LOG NAME
09/24/96 G-11612 13PENSON 1 of 2
SUBJECT AN ORDINANCE AMENDING THE PENSION MULTIPLIER AND CONTRIBUTION
PERCENTAGES OF THE CITY RETIREMENT ORDINANCE
RECOMMENDATION
It is recommended that the City Council adopt the attached Ordinance amending the City
Retirement Ordinance
DISCUSSION
The Board of Trustees of the Employees' Retirement Fund has recommended several changes to
the Retirement Ordinance, primarily relating to increasing the pension multiplier and increasing
both City and Member contributions The following principal changes are included in the
proposed Ordinance
1 The normal retirement multiplier ("Rule of 80" and "65 and 5") is increased from 2 7% to
3 0%
2 The special retirement multiplier for Police Officers ("25 and Out") is increased from 2 63%
to30%
3 The disability retirement multiplier is increased from 2 63% to 2 75%
4 Members currently receiving benefits have their multiplier increased to 3 0% if they were
receiving pension benefits prior to Oct 1, 1993 or if they retired under the Rule of 80, 65
and 5, or 25 and Out, for all others, the multiplier is increased to 2 75%
5 Police Officer contributions are increased from 6 15% to 7 43% of Earnings
6 Contributions for all other Members are increased from 5 67% to 6 95% of Earnings
n
7 City contributions (as a percentage of Members Earnings) are increased over time as
„ follows
DATE
October 1, 1996
October 1, 1997
October 1, 1998
October 1, 1999
POLICE OFFICER MEMBERS
9 78%
10 34%
10 9%
1 1 46
OTHER MEMBERS
9 06
9 62%
10 18 % `~
10 74% ~-" p
1~ Printed on RecyGed Paper '
City of Fort Wordy Texas
Mayor and Council Communication
DATE
09/24/96 REFERENCE NUMBER
G-11612 LOG NAME
13PENSON PAGE
2 of 2
SUBJECT AN ORDINANCE AMENDING THE PENSION MULTIPLIER AND CONTRIBUTION
PERCENTAGES OF THE CITY RETIREMENT ORDINANCE
FISCAL INFORMATION/CERTIFICATION
The Director of Fiscal Services certifies that the funds required for the City's increased
contributions to the Retirement Fund are available in the City's operating budgets for FY 1996-
97, as appropriated
CB f
Submitted for City Manager's FUND ACCOUNT CENTER AMOUNT CITY SECRETARY
Office by: (to) _
Charles Boswell 85.11 APPRVV
Originating Department Head: CITY Co~~jt~
v
Jim Keyes 8517 (from) CFP `~~
GGOI 513110 0909800 '
~
For Additional Information ~ ` ~
~:~t'~+"'`-~`-~
f ~e
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Contact: C
relarY o
d Fort RroTth, ~~~
Cit
George Nicolaides 536-6790 y
Printed on Recycled Paper ~~~t~~
- Adopted Ordmanre No.