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FIRE AND POLICE PENSION PLANS - TIER 2
Sec. 1400. Tier 2 Members.
Sec. 1402. Request to Become a Tier 2 Member.
Sec. 1404. Request By a Reactivated Member Under Tier 1 to Become a Tier 2 Member.
Sec. 1406. Definitions.
Sec. 1408. Service Pension.
Sec. 1410. Return or Recall to Active Duty.
Sec. 1412. Disability Pensions.
Sec. 1414. Survivorship Pensions.
Sec. 1416. Tier 2 Pension Funds.
Sec. 1418. Actuarial Standards.
Sec. 1420. Member Contributions - Tier 2
Sec. 1422. Cost of Living Adjustments.
Sec. 1424. Cost of Living Adjustments to Pensions Formerly Excluded.
Sec. 1426. Minimum Tier 2 Pensions and Other Cost of Living Adjustments.
Sec. 1428. Authority of Council to Establish Certain Benefits by Ordinance.
Sec. 1430. Compliance with Certain Internal Revenue Code Provisions.
Sec. 1432. Miscellaneous Provisions.
Sec. 1434. Overtime Work.
FIRE AND POLICE PENSION PLANS - TIER 2 (formerly Article XVIII)
Sec. 1400. Tier 2 Members. Each person who shall be appointed as a Department Member on or after January 29, 1967 and through December 7, 1980 shall become a Tier 2 System Member as of the effective date of such appointment. Each person who was appointed as a Department Member prior to January 29, 1967 shall become a Tier 2 System Member as of the date upon which a request is filed as provided by Section 1402. In no event shall any other person become a Tier 2 System Member. Back to index
Sec. 1402. Request to Become a Tier 2 Member.
1402(a) Filing of Request with Board. Each Department Member who was appointed prior to
January 29, 1967 shall have the
right to become a Tier 2 System Member and may exercise
such right only by filing a request with the Board by January 29, 1968, except as is
hereinafter provided. Each such Department Member who shall be serving in the armed forces
of the United States as of January 29, 1967 and who thereafter shall return to active duty
as a Department Member, within the time required for job rights and other benefits, may
exercise such right only by filing a request with the Board by January 29, 1968 or within
90 days immediately following such return to active duty, whichever shall be the later.
Each person who shall be receiving a disability pension pursuant to Section 1310 or to
Section 1312 of Tier 1 of this Article as of January 29, 1967 and who thereafter shall be
restored to active duty as a Department Member may exercise such right only by filing a
request with the Board by January 29, 1968 or within 90 days immediately following such
restoration to active duty, whichever shall be the later. The legally appointed, qualified
and acting guardian of the estate of any such Department Member may exercise such right
for and on behalf of the Department Member only by filing a request with the Board by
January 29, 1968, but Court approval first shall have been obtained. Back
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1402(b) Extension of Filing Time. The Board, for good cause and in its discretion, may
extend the time within which any such Department Member or the guardian of the estate of
any such Department Member may file a request, whether the applicable period hereinabove
prescribed shall have or shall not have elapsed, and may impose whatever terms and
conditions which it shall deem to be reasonable and just for the giving of any extension
of time.Back
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1402(c) Waiver of Pension Rights and Benefits in Tier 1. Each request shall be in
writing, shall be signed by such Department Member or by the legally appointed, qualified
and acting guardian of the estate of such Department Member, shall contain his full and
complete waiver of any and all present and future pension rights and benefits provided by
Tier 1 of this Article, including derivative rights and benefits for widows and other
beneficiaries, shall contain his full and complete release, discharge and acquittance of
the City and the Board of and from any and all present and future liabilities for the
payment of any benefits pursuant to Tier 1 and shall contain his election to become a Tier
2 System Member. The contents of the request need not be restricted to the aforementioned
items and such request may include any and all provisions which the Board and the City
Attorney may deem to be necessary or desirable to effectuate full and complete release,
discharge and acquittance by each such member of the City and the Board of and from any
and all present and future liabilities for the payment of any benefits pursuant to Tier 1,
and the Board, after the effective date of this Tier 2, shall have the power and authority
to expend moneys for the preparation of requests and for the distribution of them to such
Department Members. Back
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1402(d) Spousal Consent or Waiver by Board. Each request, whether signed by such
Department Member or by the guardian of his estate, shall be signed by the spouse of such
Department Member whereby he or she shall freely and voluntarily join in and consent to
everything contained therein with the same force and effect as if he or she had signed the
same as a member, and such request, when so signed, shall be both effective and
irrevocable upon filing with the Board. However, the Board, in its discretion but only
upon the written request therefore by the particular Department Member involved, may waive
the requirement that the request shall be signed by the spouse of such Department Member,
except in the case of any Department Member who was appointed as a member of the Fire
Department or of the Police Department prior to January 17, 1927, and such request, when
signed by the Department Member or the guardian of his estate, shall be both effective and
irrevocable upon filing with the Board after but not prior to the Board' s action waiving
the requirement. Back
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Sec. 1404. Request By a Reactivated Member Under Tier 1 to Become a Tier 2 Member. A reactivated member under Tier 1 of this Article who, after the effective date of his return to active duty shall have had five years of service as defined in Section 1306( a)( 4)( C), shall have the right, pursuant to Section 1402, to become a System Member under this Tier 2. He may exercise such right only within the one year from and after the date upon which he shall have completed such five years of service. Any reactivated member who shall become a Tier 2 System Member also shall become a reactivated member under this Tier 2. Section 1402 hereafter shall be construed and applied, as to a reactivated member under Tier 1, in accordance with this section. Back to index
Sec. 1406. Definitions. In addition to the words and phrases defined in the Fire and
Police Pension Plans General Provisions in Part 3 and for the purposes of this Tier 2, the
following words and phrases shall have the meaning ascribed to them in this section,
unless a different meaning is clearly indicated by the context. Back
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1406(a) Member of the Fire Department : Member of the Fire Department means a person
duly and regularly appointed in the Fire Department, under civil service rules and
regulations or provisions of the Charter, or both, governing the making of original
regular and permanent appointments therein which require the serving of probationary
periods but not of original emergency or temporary appointments therein, to perform duties
as a firefighter for the City, under whatever designation such person may be described in
any salary or departmental ordinance providing salaries for the members of the department.
Such person shall be a member of the department only until his status as such shall be
terminated by reason of his retirement, resignation or discharge or for any other reason.Back
to index
1406(b) Member of the Police Department : Member of the Police Department means a
person duly and regularly appointed in the Police Department, under civil service rules
and regulations or provisions of the Charter, or both, governing the making of original
regular and permanent appointments therein which require the serving of probationary
periods but not of original emergency or temporary appointments therein and sworn in, as
provided by law, to perform duties as a police officer for the City, under whatever
designation such person may be described in any salary or departmental ordinance providing
salaries for the members of the department. Such person shall be a member of the
department only until his status as such shall be terminated by reason of his retirement,
resignation or discharge or for any other reason.Back
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1406(c) System Member : System Member means a person who is a Department Member and
whose pension rights and benefits are governed by this Tier 2.Back
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1406(d) Qualified Surviving Spouse : Qualified Surviving Spouse means a person who is
the widow or widower of a deceased System Member or Retired Member who had been married:
(1406(d)1) to the System Member for at least one year prior to the date of his or her
nonservice- connected death while a System Member, or
1406(d)(2) to the System Member as of the date of his or her service- connected death
while a System Member, or (3) to the Retired Member for at least one year prior to the
effective date of his or her retirement upon a service pension or upon a nonservice-
connected disability pension pursuant, respectively, to Section 1408 or
Section 1412( b),
or (4) to the Retired Member as of the effective date of his or her retirement upon a
service- connected disability pension pursuant to Section 1412( a).Back
to index
1406(e) Minor Child : Minor Child means a person, but not including a person who is an
illegitimate child of a deceased System Member or Retired Member who had not been
legitimatized by such member, who is a legitimate child, a legitimatized child or an
adopted child of such member, and who had not been adopted by a person of the same gender
as such member prior to the date of his death, who is under the age of 18 years and who is
not married. Such person shall be a minor child only until he shall be adopted by a person
of the same gender as such member, shall attain the age of 18 years or shall marry,
whichever shall be the earlier. Back
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1406(f) Dependent Child : Dependent Child means a person, but not including a person
who is an illegitimate child of a deceased System Member or Retired Member who had not
been legitimatized by such member, who is a legitimate child, a legitimatized child or an
adopted child of such member, and who had not been adopted by a person of the same gender
as such member prior to the date of his death, who is not married and who, while under the
age of 21 years, had become disabled, either prior or after the date of death of such
member, from earning a livelihood for any cause or reason whatsoever, other than by reason
of his own moral turpitude or as a result thereof. Such person shall be a dependent child
only until he:
1406(f)(1) shall be adopted by a person of the same gender as such member or shall
marry, whichever shall be the earlier, regardless of his age at the time of the occurrence
of either such event and whether or not he then is disabled from earning a livelihood; or
1406(f)(2) shall attain the age of 18 years if neither of the events mentioned in this
subsection had occurred prior thereto and if, at that time, he is not disabled from
earning a livelihood; or
1406(f)(3) shall cease to be disabled from earning a livelihood if none of the events
mentioned in (1) and (2) had occurred prior thereto.Back
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1406(g) Dependent Parent : Dependent Parent means a person who is a natural parent of a
deceased System Member or Retired Member and to or for whom such member, during at least
one year immediately preceding his death, contributed one half or more of such person' s
necessary living expenses and who is unable to pay such expenses without the receipt of a
pension. Such person shall be a dependent parent only until he shall be able to pay his
necessary living expenses.Back
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1406(h) Length of Service Pay : Length of Service Pay means any additional gross
monthly pay or one twelfth of any additional gross annual pay which, by reason of length
of service, shall be provided by ordinance, upon the conditions therein set forth, for the
System Member' s permanent rank as of the date of the termination of his status as a
Department Member.Back
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1406(i) Special Pay : Special Pay means any additional gross monthly pay
or one twelfth of any additional gross annual pay which, by reason of assignment to
perform special duties other than hazardous duties, shall be provided by ordinance, upon
the conditions therein set forth, for the System Member' s permanent rank as of the date
of the termination of his status as a Department Member.Back
to index
1406(j) Hazard Pay : Hazard Pay means any additional gross monthly pay or one twelfth
of any additional gross annual pay which, by reason of assignment to perform helicopter
duties, two- wheel motorcycle duties or any other hazardous duties, shall be provided by
ordinance, upon the conditions therein set forth, for the System Member' s permanent rank
as of the date of the termination of his status as a Department Member. Back
to index
1406(k) Assignment Pay : Assignment Pay means any additional gross monthly pay or one
twelfth of any additional gross annual pay which, by reason of assignment to perform
special duties or hazardous duties, in a higher class, position, grade, code or other
title than the lowest within the System Member' s permanent rank, shall be provided by
ordinance, upon the conditions therein set forth, as of the date of the termination of
such System Member' s status as a Department Member. Any such assignment pay shall not be
included in the sum of any System Member' s Nonservice- Connected Pension Base but
hereafter shall be included in the sum of his Normal Pension Base to the same extent and
upon the same conditions as any hazard pay shall be included. The provisions of this Tier
2 wherein the words "Normal Pension Base" are used hereafter shall be construed
and applied in accordance with the provisions of this subsection.Back
to index
1406(l) Year : Year means a period of 12 months or, in aggregating partial years for
purposes of determining years of service, means 365 days.Back
to index
1406(m) Years of Service : Years of Service means and includes only those periods
during or for which the System Member as a Department Member of the Fire Department or of
the Police Department, or of both, and whether prior or subsequent to his becoming a
System Member:
1406(m)(1) did or shall receive salary, whether in full or reduced amounts thereof;
1406(m)(2) did or shall receive either a service connected disability pension or a
nonservice connected disability pension, whether pursuant to Tier 1 of the Charter or
pursuant to this Tier 2, if he was or shall be restored to active duty as a Department
Member and did or shall perform his duties as such for at least 1 year prior to again
retiring or being retired pursuant to this Tier 2, which year shall not include any time
off from work by reason of any injury or illness which had been caused by or contributed
to by any injury or illness which had been sustained or suffered by him prior to such
restoration;
1406(m)(3) is or shall become entitled, under any provision of general law or ordinance
of the City, to credit toward retirement for periods of military service or military
leave;
1406(m)(4) did or shall receive Workers' Compensation benefits for temporary disability
on account of any injury or illness arising out of and in the course of employment; and
1406(m)(5) is or shall become entitled pursuant to any ordinance of the City.
In computing years of service, all partial years shall be aggregated but, after the
aggregation, any remaining partial year shall be disregarded in the computation of any
pension.Back
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1406(n) Partial Year of Service : Partial Year of Service means any period mentioned in
subsection (m) of this section which is less than 12 months. Any partial year of service
shall be calculated from the end of the member' s last completed year of service to the
end of the payroll period immediately prior to the date of his retirement and shall be
counted as part of a System Member' s years of service for his retirement upon a service
pension hereafter granted or for a pension hereafter granted to his qualified surviving
spouse, minor child or children, dependent child or children or dependent parent or
parents if he hereafter shall die while upon a service pension hereafter granted or while
eligible for a service pension. Any such partial year of service, in the case of a System
Member who shall have had less than 25 years of service, shall be credited in the same
ratio of 2% of his Normal Pension Base as such partial year shall bear to a complete year
and, in the case of a System Member who shall have had 25 years of service or more, shall
be credited in the same ratio of 3% of his Normal Pension Base as such partial year shall
bear to a complete year. The provisions of subsection (m) of this section, Section
1408,
Section 1410( a)( 4)( m), Section 1412( a) and Section
1414( a)( 5) & (6), (b) and (c)
hereafter shall be construed and applied in accordance with the provisions of this
subsection. Back
to index
1406(o) Normal Pension Base : Normal Pension Base of any System Member means the sum
of:
1406(o)(1) his monthly salary;
1406(o)(2) any length of service pay which he had received immediately preceding the
date of his retirement or death or upon the last day he had performed duties as a
Department Member;
1406(o)(3) any special pay which he had received immediately preceding the date of his
retirement or death or upon the last day he had performed duties as a Department Member;
and
1406(o)(4) any hazard pay which he had received immediately preceding the date of his
retirement or death or upon the last day he had performed duties as a Department Member
or, if he had not received the same at either such time but had received such pay at some
time prior thereto, 10% of the hazard pay which he had received at the time of the
termination of his last assignment to hazardous duties for each year in the aggregate of
his assignment to any hazardous duties not exceeding, however, ten years in the aggregate.
1406(o)(5) for only those System Members who completed at least 12 months service in a
Deputy Chief position, which was exempt from civil service, and who did not retire in the
position of Deputy Chief or Chief of Police, an additional supplement of a percentage of
the difference in the amount of compensation between the Deputy Chief position and the
System Member' s compensation at the time of retirement. This percentage shall be
prescribed by ordinance and shall apply for each year of service in the position of Deputy
Chief, not to exceed the number of years as prescribed by ordinance.
Notwithstanding any of the foregoing, if a Retired Member were to be restored to active
duty as a Department Member and thereby again were to become a System Member and if he
again were to retire or to be retired without having performed his duties for at least 1
year subsequent to such restoration, which year shall not include any time off from work
by reason of any injury or illness which had been caused by or contributed to by any
injury or illness which had been sustained or suffered by him prior to such restoration,
the Normal Pension Base which shall be applicable to his later retirement shall be the
Normal Pension Base which had been applicable to his previous retirement.Back
to index
1406(p) Nonservice- Connected Pension Base : Nonservice- Connected Pension Base of any
System Member means the sum of:
1406(p)(1) the highest monthly salary provided, as of the date of the System Member' s
retirement or death, whichever shall first occur, for a Department Member then holding the
basic rank of firefighter or police officer; and
1406(p)(2) the highest length of service pay provided, as of the date of the System
Member' s retirement or death, whichever shall first occur, for a Department Member then
holding either of the basic ranks.Back
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1406(q) Monthly Salary : Monthly Salary means the gross monthly salary or 1/ 12 of the
gross annual salary which shall be provided by ordinance for the System Member' s
permanent rank as of the date of the termination of his status as a Department Member
excluding, however, length of service pay, special pay and hazard pay as defined in this
section.Back
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1406(r) Permanent Rank : Permanent Rank means the rank or the position within the rank
which shall be held, upon a permanent basis under applicable civil service rules and
regulations or provisions of the Charter, or both, by the System Member immediately
preceding the termination of his status as a Department Member, but does not mean any
higher rank or any position within any higher rank in which the System Member then may be
serving or theretofore may have served either a portion of a probationary period or
pursuant to an emergency or temporary appointment. Back
to index
1408(a) Time of Retirement. Any Tier 2 System Member under the age of 70 years who
shall have 20 years of service or more shall be retired by order of the Board from further
active duty as a Department Member either (a) upon the filing of a written application or
(b) upon the filing of a written request by or on behalf of the head of the department in
which the System Member is a Department Member if it shall be determined by the Board to
be for the good of such department, other than for a cause or reason which would entitle
such System Member to a disability pension pursuant to Section
1412, and the Board, if it
shall so determine, shall state the cause or reason in its order retiring such Tier 2
System Member.Back
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1408(b) Physical Exam for Members Age 70 Years or More. After a Tier 2 System Member
has attained the age of 70, he shall annually submit to an examination by a regularly
licensed, practicing physician selected by the head of the department who shall render a
written report to such department as to whether or not the Tier 2 System Member is
physically and mentally fit to continue his duties as a Department Member. If the Tier 2
System Member is found not to be physically and mentally fit to so continue his duties, he
shall be retired effective the first day of the calendar month next succeeding that month
in which the physician' s report was received by the Board.Back
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1408(c) Pension Amount. Any such Retired Member shall be paid thereafter and for life a
monthly service pension in an amount which shall be equal to a percentage of his Normal
Pension Base, to wit:
1408(c)(1) For less than 25 years of service: 2% thereof for each year of service;
1408(c)(2) For 25 years of service: 55% hereof; and for each year of service over 25
years of service, an additional 3% thereof, not exceeding in all, however, a maximum of
70% thereof, which maximum of 70% shall be applicable regardless of the Retired Member' s
length of service as a System Member or his age at retirement.
No Retired Member, retired pursuant to this section, ever shall be paid pension
pursuant to Section 1412 concerning Disability Pensions. Back
to index
Sec. 1410. Return or Recall to Active Duty.
1410(a) Return to Active Duty.
1410(a)(1) Conditions for Return to Active Duty. A retired member, whenever retired,
may file, with the Chief of the department from which he retired, a written application to
be returned to active duty therein only upon the conditions: (A) Service Retirement and
Former Rank. That his original retirement had been pursuant to Section 1408 relating to
Service Pensions and had been from the Fire Department while holding a rank no higher than
Engineer or from the Police Department while holding a rank no higher than Sergeant; and
(B) Time Since Original Retirement and Age. That, as of the filing date of the
application, the period of his original retirement had been no longer than 3 years and he
shall be under the age of 55 years; and (C) Medical Exam. That he satisfactorily had
passed a medical examination not more than 30 days prior to the effective date of his
original retirement, but the Chief, if the effective date thereof had been prior to May 2,
1969, may waive the condition contained in this subsection.
1410(a)(2) Subsequent Conditions for Return to Active Duty. The Chief may approve any
application only upon the conditions that, after the filing date thereof, the retired
member: (A) Medical Exam. Had passed a medical examination from which it had been
determined that he would be capable of performing the duties which would be assigned to
him if he were to be returned to active duty subject to approval by the Board; and (B)
Certification. Had certified, in writing, that he had read and understands the provisions
of this section.
(1410(a)3) Return to Rank at Original Retirement . The Chief, if he were to approve the
application, may return the retired member to active duty only in or to a vacant position
in the rank held by him at the effective date of his original retirement. Back
to index
1410(a)(4) Status of a Reactivated Member of Tier 2. Wherever words used in this
subsection (a)( 4) with respect to any pension granted or to be granted pursuant to
Section 1414, they also shall mean and include the words, as used in Section 1422
(c)( 3):
"whether by reason of the provisions thereof or of those of Section
1414( b) and (c),
including any additional pension amounts payable pursuant to Section
1414( a)( 7)." A
retired member, if he were to be returned to active duty, thereafter shall be known as a
"reactivated member" and, as such:
1410(a)(4)(A) Privilege, Not An Appointment . His return to active duty shall be a
privilege only and he shall be on probation for one year from and after the effective date
thereof regardless of any other provision of law contained in the Charter or otherwise,
and the Chief may terminate his service at any time during such year;
1410(a)(4)(B) Original Pension Terminated . His pension, granted by reason of his
original retirement, shall be terminated by the Board as of the effective date of his
return to active duty;
1410(a)(4)(C) Method of Calculating Years of Service. His service after the effective
date of his return to active duty, for the purposes of this Tier 2 and regardless of any
other provision of law contained in the Charter or otherwise, shall consist of only: (i)
the days for which he shall be paid for performing his assigned duties, (ii) his days of
vacation with pay, and (iii) his regular days off duty with pay, and one year of such
service shall consist of a total of 365 such days;
1410(a)(4)(D) Years of Service for Purposes of Civil Service and Related Purposes. His
aggregate years of service, for the purposes of his eligibility to advancement in
accordance with civil service rules and regulations and the payment of his salary and
longevity pay or merit pay, shall consist of only his years of service prior to the
effective date of his original retirement and his service after the effective date of his
return to active duty;
1410(a)(4)(E) Years of Service for Purposes of Tier 2. His aggregate years of service,
for the purposes of this Tier 2 and regardless of any other provision of law contained in
the Charter or otherwise, shall consist of only his years of service prior to the
effective date of his original retirement and his service subsequent to the effective date
of his return to active duty, provided, however, that such service shall be for not less
than one year as defined in subsection (a)( 4)( C) of this section;
1410(a)(4)(F) Salary, Longevity, & Merit Pay. He shall be assumed to have a
satisfactory standard of service and shall be paid the salary provided for his rank and
the longevity pay or merit pay provided for his aggregate years of service as defined in
subsection (a)( 4)( E) of this section, subject, however, to all provisions applicable to
the termination of payment of longevity pay or merit pay;
1410(a)(4)(G) Payroll Deduction. He shall have deductions made for pension purposes,
pursuant to Section 1420 relating to Member Contributions - Tier 2, from his salary and
longevity pay or merit pay;
1410(a)(4)(H) Prohibition of Nonservice Connected Disability Pensions. He never shall
be entitled to a subsequent retirement pursuant to Section 1412( b) relating to Nonservice
Connected Disability Pensions and his widow, his minor child or children (hereafter
referred to in this subsection as "his child") or his dependent parent or
parents (hereafter referred to in this subsection as "his parent") never shall
be granted a pension pursuant Section 1414( a)( 2) or (4) relating to Nonservice Connected
Survivor Pensions;
1410(a)(4)(I) Allowance of Service Connected Disability Pensions. He shall be entitled
to a subsequent retirement pursuant to Section 1412( a) relating to Service Connected
Disability Pensions if he were to become eligible therefore and upon his death, if he
theretofore had had such a subsequent retirement, a pension shall be granted pursuant to
Section 1414( a)( 3) relating to Service Connected Survivor Pensions to his surviving
spouse, if she shall have been married to him as of the effective date of his subsequent
retirement, or to his child or to his parent;
1410(a)(4)(J) Allowance of Service Connected Survivor Pension. His surviving spouse or
his child or his parent, if he were to die while a reactivated member from any cause
arising out of or from the performance of his duties, shall be granted a pension pursuant
to Section 1414( a)( 1) relating to Service Connected Survivor Pensions; Back
to index
1410(a)(4)(K) Allowance of Survivor Pension Upon Death of Re- activated Member. His
surviving spouse, (if she shall have been married to him for at least one year prior to
the effective date of his original retirement or for at least one year after the effective
date of his return to active duty and prior to the date of his death), or his child or his
parent, if he were to die while a reactivated member from any cause other than a cause
arising out of or from the performance of his duties, shall be granted the same pension
she would have received pursuant to Section 1414( a)( 6) relating to Service Connected
Survivor Pensions;
1410(a)(4)(L) Reinstatement of Original Pension. His pension, granted by reason of his
original retirement, if his service were to be terminated during the one year from and
after the effective date of his return to active duty for any reason other than by reason
of his subsequent retirement pursuant to Section 1412( a) relating to Service Connected
Disability Pensions, shall be reinstated by the Board, as of the effective date of the
termination of his service, at the amount of pension which then would have been payable to
him if he had not returned to active duty and, upon his death, the pension which shall be
granted pursuant to Section 1414( a)( 5) to his surviving spouse if she shall have been
married to him for at least one year prior to the effective date of his original
retirement, or to his child or to his parent, shall be calculated upon the Normal Pension
Base upon which his pension had been calculated as of the effective date of his original
retirement; and
1410(a)(4)(M) Retirement as Reactivated Member. He shall be entitled to a subsequent
retirement pursuant to Section 1408 relating to Service Pensions for Tier 2, based upon
his aggregate years of service as defined in subsection (a)( 4)( E) and his pension shall
be calculated upon a sum equal to the Normal Pension Base upon which his pension had been
calculated as of the effective date of his original retirement (hereinafter referred to as
"such base"), plus a percentage of the difference between such base and that
which, if he had not had his original retirement, would have been his Normal Pension Base
as of the effective date of his subsequent retirement, for his years of service subsequent
to the effective date of his return to active duty as defined in subsection (a)( 4)( C),
so that such sum shall be such base plus:
1410(a)(4)(M)(i) 20% of such difference for one such year,
1410(a)(4)(M)(ii) 40% of such difference for two such years, (iii) 60% of such
difference for three such years, (iv) 80% of such difference for four such years and (v)
100% of such difference for five or more such years or the equivalent of his Normal
Pension Base as of the effective date of his subsequent retirement and upon his death, if
he previously had had such a subsequent retirement, the pension which shall be granted
pursuant to Section 1414( a)( 5) to his surviving spouse, (if she shall have been married
to him for at least one year prior to the effective date of his original retirement or for
at least one year after the effective date of his return to active duty and prior to the
effective date of his subsequent retirement), or to his child or to his parent, shall be
calculated upon the sum upon which his pension had been calculated as of the effective
date of his subsequent retirement. Back
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1410(a)(5) Applicability of Tier 2 to Reactivated Members . The provisions of this Tier
2 shall be construed and applied, as to a reactivated member, his surviving spouse, his
child and his parent, in accordance with respectively applicable provisions of subsection
(a)( 4) of this section.Back
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1410(b) Recall to Active Duty.
1410(b)(1) Rules for Recall to Active Duty. The Chief shall promulgate such rules and
set standards as he may deem to be necessary or desirable with respect to recalling a
retired member to active duty.
1410(b)(2) Conditions for Recall to Active Duty. A retired member, whenever retired,
shall be eligible to be recalled to active duty in the department from which he retired
only upon the conditions: (A) Service Retirement and Former Rank . That his original
retirement has been pursuant to Section 1408 and had been from the Fire Department while
holding a rank lower than Fire Chief or from the Police Department while holding a rank
lower than Chief of Police; (B) Certification. That he had certified, in writing, that he
had read and understands the provisions of this section; and (C) Consent to Recall. That
he voluntarily had consented to be recalled to active duty.
1410(b)(3) Limitations on Recall. The Chief may recall a retired member to active duty:
1410(b)(3)(A) Rank at Retirement. Only in or to a vacant position in the rank held by
him at the effective date of his original retirement;
1410(b)(3)(B) 90 Day Limit. For not to exceed 90 days in any one calendar year; and
1410(b)(3)(C) Status Defined in this Section. The salary, benefits and other terms and
conditions of employment of any such recalled member shall be as provided under
subsections (b)( 5) and (b)( 6) of this section.
1410(b)(4) No Recall of Police Exceeding 12 Months Without Loss of Pension. Recall of
retired members of the Police Department may be approved for a period in excess of 90 days
but not for more than 12 consecutive months, without loss of pension, in which case the
salary, benefits and other terms and conditions of employment for such recalled police
officers shall be established by ordinance.
1410(b)(5) Status of Recalled Member. A retired member, if he were to be recalled to
active duty, thereafter shall be known as a "recalled member" and, as such:
1410(b)(5)(A) His recall to active duty shall be a privilege only and the Chief may
terminate his service at any time;
1410(b)(5)(B) His pension shall be paid during the period of his recall to active duty;
1410(b)(5)(C) He shall be paid the salary provided for his rank and the longevity pay
or merit pay provided for his aggregate years of service prior to the effective date of
his original retirement;
1410(b)(5)(D) He shall have no deductions made for pension purposes, pursuant to
Section 1420 relating to Member Contributions - Tier 2, from his salary and longevity pay
or merit pay; and
1410(b)(5)(E) He, his surviving spouse, his minor child or children or his dependent
parent or parents never shall be entitled to any pension benefits provided by Tier 1 or
Tier 2 by reason of his service as a recalled member.
1410(b)(6) Tier 2 Construed with Recalled Members Rules. The provisions of this Tier 2
hereafter shall be construed and applied, as to a recalled member, his surviving spouse,
his minor child or children and his dependent parent or parents, in accordance with
respectively applicable provisions of subsection (b)( 5) of this section. Back
to index
Sec. 1412. Disability Pensions.
1412(a) Service- Connected Disability. Upon the filing of his written application for a
disability pension or upon the filing of a written request by or on behalf of the head of
the department in which he is a Department Member, any System Member whom the Board shall
determine has become physically or mentally incapacitated by reason of injuries received
or sickness caused by the discharge of the duties of such person as a Department Member,
and who is incapable as a result from performing his duties, shall be retired by order of
the Board from further active duty as a Department Member. Such Retired Member shall be
paid thereafter and for life a monthly service- connected disability pension in an amount
which shall be equal to the same percentage of his Normal Pension Base as the Board shall
determine, from time to time, to be his percentage of disability. Such pension shall be in
an amount not less than 50% and not more than 90% of such Retired Member' s Normal Pension
Base and not less than that percentage which he, if he shall have had 25 years of service
or more at the time of his retirement pursuant to this subsection of this section, would
have received had he retired pursuant to Section 1408 concerning Service Pensions, but
such pension shall be reduced, pursuant to Section 1212 concerning Workers' Compensation,
to an amount less than either or both of the aforementioned minimum amounts if the
application of that section were to cause such result. Such pension may be terminated only
pursuant to subsection (d) of this section. No Retired Member, while retired pursuant to
this subsection of this section, ever shall be paid any pension pursuant either to
Section
1408 concerning Service Pensions or to subsection (b) of this section concerning
Nonservice Connected Disability Pensions.Back
to index
1412(b) Nonservice- Connected Disability. Upon the filing of his written application
for a disability pension by a System Member who shall have 5 years of service or more
since the date of his last regular and permanent appointment as a Department Member
including his service of the required probationary period, or upon the filing of a written
request therefore with respect to such a System Member by or on behalf of the head of the
department in which he is a Department Member, any System Member whom the Board shall
determine has become physically or mentally incapacitated by reason of injuries or
sickness other than injuries received or sickness caused by the discharge of the duties of
such person as a Department Member, and who is incapable as a result thereof from
performing his duties, and if the Board further shall determine that such disability was
not due to or caused by the moral turpitude of such System Member, shall be retired by
order of the Board from further active duty as a Department Member. Such Retired Member
shall be paid thereafter and for life a monthly nonservice- connected disability pension
in an amount which shall be equal to 40% of his Nonservice- Connected Pension Base. Such
pension may be terminated only pursuant to subsection (d) of this section. No Retired
Member, while retired pursuant to this subsection of the section, ever shall be paid any
pension pursuant either to Section 1408 concerning Service Pensions or to subsection (a)
of this section concerning Service Connected Pensions.Back
to index
1412(c) Determination of Disability. Upon the filing of any written application or
request for a disability pension, as referred to in subsections (a) and (b) of this
section, the Board:
1412(c)(1) shall cause the System Member to be examined by and a written report thereon
rendered by at least three regularly licensed and practicing physicians selected by it;
1412(c)(2) shall hold a hearing with respect to such application or request; and
1412(c)(3) shall receive or hear such other evidence relating to or concerning the
System Member' s disability or claimed disability as may be presented to it.
The Board shall have the power to hear and determine all matters pertaining to the
granting and denying of any such application or request for a disability pension. The
Board first shall determine whether or not the System Member is incapable of or from
performing his duties as a Department Member. If the Board were to determine that he is
not so incapable, it then shall be the duty of the Board to deny the application or
request. If the Board were to determine that he is so incapable, it then shall determine,
pursuant to the language used in subsections (a) and (b) of this section, whether his
incapacity or disability is service- connected or nonservice- connected. If the Board were
to determine that it is service- connected, it then shall determine the percentage of his
incapacity or disability, within the limitations prescribed in subsection (a) of this
section, and shall grant the application or request accordingly. If the Board were to
determine that it is nonservice- connected, it then shall determine whether his incapacity
or disability was due to or caused by the moral turpitude of the System Member. If the
Board were to determine that it was so caused, it then shall be the duty of the Board to
deny the application or request. If the Board were to determine that it was not so caused,
it shall grant the application or request in the percentage prescribed by subsection (b)
of this section. The Board, upon its own motion or upon the written request of any Retired
Member, retired pursuant to subsection (a) of this section, shall have the power to
consider new evidence pertaining to the case of any such Retired Member and to increase or
decrease the percentage of his incapacity or disability within the limitations prescribed
in subsection (a) of this section. Any such increase or decrease shall be based only upon
injuries or sickness for which he was retired. In the case of any former System Member who
became such by reason of his resignation or discharge as a Department Member, the Board,
in order to grant any application filed by him for a disability pension, must also
determine, in addition to all of the foregoing, that any existing incapacity or disability
upon his part occurred prior to the termination of his active status as a Department
Member and had been continuous up to the date of the Board' s determinations. Any
determination of the Board shall be made in writing but need state only the ultimate fact
and not any of the evidentiary facts.Back
to index
1412(d) Termination of Disability Pensions. The pension of any Retired Member, retired
pursuant to subsection (a) or to subsection (b) of this section and whose active status as
a Department Member had been terminated by reason of his retirement, shall cease when the
incapacity or disability for which he had been retired shall cease and he either:
1412(d) (1) shall have been restored to active duty as a Department Member in the same
permanent rank which he had held as of the date of his retirement; or
412(d) (2) shall have been ordered restored to active duty as a Department Member in
such same permanent rank and shall have declined, refused or neglected to report or to
perform duties as such.
The pension of any Retired Member, retired pursuant to subsection (a) or to subsection
(b) of this section and whose active status as a Department Member had been terminated by
reason of his resignation or discharge as such, shall cease when the incapacity or
disability for which he had been retired shall cease. The Board shall have the power to
hear and determine, upon its own motion or otherwise, all matters pertaining to the
terminating of any such pension. Any determination of the Board to terminate any such
pension shall be made in writing but need state only the ultimate fact and not any of the
evidentiary facts. Back
to index
Sec. 1414. Survivorship Pensions.
1414(a) Qualified Surviving Spouse and Children of Former Marriage.
1414(a)(1) System Member' s Service- Connected Death. The qualified surviving spouse of
a System Member who shall die while he is a Department Member, by reason of injuries
received or sickness caused by the discharge of his duties, shall be paid, for life a
monthly pension in an amount which shall be equal to 50% of such System Member' s Normal
Pension Base or, alternatively, in an amount which shall be equal to 55% in the event that
such member shall have had 25 years of service or more as of the date of his death.
1414(a)(2) System Member' s Nonservice- Connected Death. The qualified surviving spouse
of a System Member who shall have five years of service or more since the date of his last
regular and permanent appointment as a Department Member including his service of the
required probationary period and who shall die while he is a Department Member, by reason
of injuries or sickness other than injuries received or sickness caused by the discharge
of his duties, shall be paid, for life a monthly pension in an amount which shall be equal
to 40% of such System Member' s Nonservice- Connected Pension Base.
1414(a)(3) System Member' s Death While on Service- Connected Disability Pension. The
qualified surviving spouse of a Retired Member, who shall die while he is receiving a
pension pursuant to Section 1412( a), shall be paid, for life a monthly pension in an
amount which shall be equal to 50% of such Retired Member' s Normal Pension Base or,
alternatively, in an amount which shall be equal to 55% in the event that such member
shall have had 25 years of service or more as of the effective date of his retirement.
1414(a)(4) System Member' s Death While on Nonservice- Connected Disability Pension.
The qualified surviving spouse of a Retired Member, who shall die while he is receiving a
pension pursuant to Section 1412( b), shall be paid, for life a monthly pension in an
amount which shall be equal to 40% of such Retired Member' s Nonservice- Connected Pension
Base.
1414(a)(5) System Member' s Death While on Service Pension. The qualified surviving
spouse of a Retired Member, who shall die while he is receiving a pension pursuant to
Section 1408 concerning Service Pensions, shall be paid, for life a monthly pension in an
amount which shall be equal to the same percentage of such Retired Member' s Normal
Pension Base as the percentage which had been applicable to the calculation of his
pension, provided, however, that the percentage of his Normal Pension Base shall not
exceed 55% for the purposes of this subsection.
(6) System Member' s Death While Eligible for Service Pension. The qualified surviving
spouse of a System Member who shall die while he is a Department Member eligible for a
pension pursuant to Section 1408 concerning Service Pensions by reason of injuries or
sickness other than injuries received or sickness caused by the discharge of his duties,
shall be paid for life a monthly pension in an amount which shall be equal to the same
percentage of such System Member' s Normal Pension Base as the percentage thereof which
would have been applicable to the calculation of his pension had he retired pursuant to
Section 1408 concerning Service Pensions as of the date of his death but the percentage of
his Normal Pension Base shall not exceed 55% for the purposes of this subsection.
1414(a)(7) Additional Pension Amounts for Minor or Dependent Children.
1414(a)(7)(A) Children of Marriage to Qualified Survivor Spouse. Whenever any System
Member or Retired Member shall die and leave surviving him, in addition to a qualified
surviving spouse, a minor child or children or a dependent child or children of his
marriage to the qualified surviving spouse then such qualified surviving spouse shall be
paid an additional monthly pension in an amount which shall be equal to 25% of the amount
of her pension as a qualified surviving spouse granted pursuant to any of the foregoing
paragraphs of this subsection while there is one minor or dependent child, 40% while there
are two minor or dependent children or a combination, and 50% while there are three or
more minor or dependent children or a combination, and such additional monthly pension
shall be the exclusive property of such qualified surviving spouse and not the property of
any such minor child or dependent child.
1414(a)(7)(B) Surviving Spouse and Children of Former Marriage. Whenever any System
Member or Retired Member shall die and leave surviving him, in addition to a qualified
surviving spouse, a minor child or children or a dependent child or children of his
marriage to a former spouse, then the guardian or guardians of the estate or estates of
any such minor child or children or dependent child or children shall be paid a monthly
pension in an amount which shall be equal to 25% of the amount of the pension of the
qualified surviving spouse granted pursuant to this section while there is one minor or
dependent child, 40% while there are two minor or dependent children or a combination, and
50% while there are three or more minor or dependent children or a combination, and such
monthly pension shall be the exclusive property of such minor child or children or
dependent child or children and not the property of the qualified surviving spouse.
1414(a)(7)(C) Surviving Spouse and Children of Present and Former Marriages. Whenever
any System Member or Retired Member shall die and leave surviving him, in addition to a
qualified surviving spouse, a minor child or children or a dependent child or children of
his marriage to the qualified surviving spouse and a minor child or children or a
dependent child or children of his marriage to a former spouse, then a monthly pension
shall be paid in an amount which shall be equal to 25% of the amount of the pension of the
qualified surviving spouse granted pursuant to any of the foregoing paragraphs of this
subsection while there is one minor or dependent child, 40% while there are two minor or
dependent children or a combination. The amount of such monthly pension shall be divided
by the number of minor or dependent children and shall be adjusted accordingly whenever
any minor or dependent child shall cease to be such. The qualified surviving spouse shall
be paid the portion of such monthly pension which shall be applicable to the number of her
minor children or dependent children and the same shall be her exclusive property. The
guardian or guardians of the estate or estates of the minor or dependent children who are
not those of the qualified surviving spouse shall be paid the portion of such monthly
pension which shall be applicable to such minor or dependent children and the same shall
be the exclusive property of such children.
1414(a)(8) Reinstatement of Pension of Reinstated Qualified Surviving Spouse. Subject
to Section 1208 of the General Provisions for Fire and Police Pension Plans, any qualified
surviving spouse who shall marry and thereby cease to be a qualified surviving spouse,
shall be reinstated as a qualified surviving spouse as of:
1414(a)(8)(A) the date upon which a judgment or decree shall become final dissolving
such marriage upon any ground or declaring a void or voidable marriage to have been null
and void or voided, if such date shall be within five years from the date of the marriage
ceremony; or
1414(a)(8)(B) the date upon which such marriage shall be dissolved by the death of the
other party if such date shall be within five years from the date of the marriage
ceremony. Such reinstated qualified surviving spouse shall be entitled to the
reinstatement of her pension effective as of either such date, whichever shall be
applicable, but shall not be entitled to the payment of any pension for the period prior
to such applicable date and subsequent to the date of the marriage ceremony. The pension
paid to any other Beneficiary or Beneficiaries during the period of the marriage or
purported marriage of such reinstated qualified surviving spouse shall cease when her
pension shall be reinstated, except as is otherwise provided in subsection (a)( 7) of this
section. However, should such reinstated qualified surviving spouse thereafter be a party
to another marriage ceremony, her pension as such shall cease and never again shall be
reinstated regardless of whether such marriage ceremony shall result in a valid marriage
or in a voidable or void marriage and whether or not the same legally shall be terminated.
Back
to index
1414(b) Pension For Minor and Dependent Children. Whenever any System Member or Retired
Member shall die, without leaving a qualified surviving spouse, the guardian of the estate
of his minor child or children or dependent child or children shall be paid, until each
such child shall cease to be a minor child or dependent child, a monthly pension pursuant
to subsections (a)( 1), (2), (3), (4), (5) and (6) of this section, whichever shall be
applicable. Whenever any such member shall die, leaving a qualified surviving spouse who
thereafter shall die or who thereafter shall cease to be a reinstated qualified surviving
spouse, the guardian of the estate of his minor child or children or dependent child or
children shall be paid, until each such child shall cease to be a minor child or dependent
child, a monthly pension pursuant to one of the aforementioned paragraphs of subsection
(a) of this section, whichever shall be applicable. In either of the foregoing events and
if there were to be more than one minor child or dependent child, an equal share of such
monthly pension shall be paid for and on behalf of each such child to the guardian of his
estate and shall be adjusted as each of them shall cease to be a minor child or dependent
child in the manner set forth in subsection (a)( 7) of this section.
1414(c) Pension for Dependent Parents. Whenever any System Member or Retired Member
shall die, without leaving a qualified surviving spouse or a minor child or dependent
child, a monthly pension pursuant to subsections (a)( 1),( 2),( 3), (4), and (5) of this
section, whichever shall be applicable, shall be paid to his dependent parent or parents
or to the survivor of them until each such dependent parent shall cease to be such. Any
dependent parent who shall cease to be such but who thereafter again shall become unable
to pay his or her necessary living expenses without a pension shall be entitled to have
his or her pension reinstated.Back
to index
1414(d) Determinations With Respect to Cause of Death, Dependent Child and Dependent
Parent. The Board shall have the same power as that which has been given to it by
Section 1412( c) and (d) in order to determine:
1414(d)(1) the fact of whether a System Member' s death was service- connected or
nonservice- connected for the purposes of Section 1414( a)( 1) and (2);
1414(d)(2) the fact of whether or not a child of a deceased System Member or Retired
Member is a dependent child; and
(1414(d)3) whether or not any parent of a deceased System Member or Retired Member is a
dependent parent.
The Board also shall have the power to determine, from time to time, the fact of
whether or not a child who had been determined by it to be a dependent child continues to
be a dependent child, the fact of whether or not a parent who had been determined by it to
be a dependent parent continues to be a dependent parent and the fact of whether or not a
dependent parent who had ceased to be such thereafter shall have become entitled to have
his or her pension reinstated.Back
to index
1414(e) Medical Reports and Hearings. The power of the Board to determine the fact of
whether a System Member' s death was service- connected or nonservice- connected, as
provided in subsection (d) of this section, hereafter may be exercised by it upon the
basis of a written report from one regularly licensed and practicing physician selected by
it, provided, however, that it, in its discretion, may obtain such a report from more than
one physician. The determination hereinbefore referred to in this paragraph may at the
option of the Board be made without a hearing pursuant to the provisions of subsection (d)
of this section. Back
to index
Sec. 1416. Tier 2 Pension Funds.
1416(a) Creation of Funds. Two entirely separate and distinct funds hereby are created
and established for the payment of pension benefits pursuant to this Tier 2, certain other
benefits as may be authorized from time to time pursuant to the enabling provisions of
Section 1428 of this Tier 2 and for the payment of the administrative expenses of the Fire
and Police Pension Plan -Tier 1 and Tier 2, one of which shall be known as the "Fire
and Police Tier 2 Service Pension Fund" and the other of which shall be known as the
"Fire and Police Tier 2 General Pension Fund".
The Fire and Police Tier 2 Service Pension Fund shall consist of:
1416(a)(1) deductions made, pursuant to Section 1420, from the salaries of System
Members;
1416(a)(2) all contributions and donations to the Fire Department or to the Police
Department for services by any System Members, except amounts of money donated to provide
for any medal or permanent competitive award;
1416(a)(3) all fines imposed upon System Members for violations of rules and
regulations of the respective department in which they are Department Members;
1416(a)(4) all proceeds from the sale of unclaimed property; and
1416(a)(5) all interest, earnings and profits resulting from investments of such
moneys.
The Fire and Police Tier 2 General Pension Fund shall consist of:
(1) all moneys appropriated to the fund by the Council; and
(2) all interest, earnings and profits resulting from investments of such moneys.Back
to index
1416(b) Use of Funds. The moneys in the Fire and Police Tier 2 Service Pension Fund
shall be used, other than for the investment thereof, exclusively for the payment of
service pensions granted pursuant to Section 1408. The money in the Fire and Police Tier 2
General Pension Fund shall be used, other than for the investment thereof and except as
hereinafter in this immediate paragraph specifically provided, exclusively for the payment
of all pensions other than service pensions, such benefits as may be provided by ordinance
adopted pursuant to the provisions of Section 1428 of this Tier 2 and of all
administrative expenses of the Fire and Police Pension Plan Tier 1 and Tier 2 of the
Charter. Back
to index
1416(b) (c) Transfer of Funds. In the event that the moneys in the Fire and Police Tier
2 Service Pension Fund should be insufficient, at any time, to pay all service pensions,
then the Board shall have the power and authority to cause the Controller of the City to
transfer to the fund sufficient money from the Fire and Police Tier 2 General Pension
Fund. In no other event shall any of the money in either of the funds be commingled with
any of the money in the other funds.Back
to index
1416(b) (d) General Obligations of City. In the event that the moneys in the Fire and
Police Tier 1 Service Pension Fund or in the Fire and Police Tier 1 General Pension Fund
should be insufficient, at any time, to pay all pensions or other benefits which are
payable therefrom, respectively, then the Board shall have the power and authority to
cause the Controller of the City to transfer to either of the funds sufficient moneys from
the Fire and Police Tier 2 General Pension Fund. The obligations to pay benefits pursuant
to this Tier 2 shall be general obligations of the City. Back
to index
Sec. 1418. Actuarial Standards.
1418(a) Reserve Basis. The Tier 2 System shall be maintained on a reserve basis which,
for the purposes of this Tier 2, shall mean one which provides for the accumulation and
maintenance of the Fire and Police Tier 2 Service Pension Fund and the Fire and Police
Tier 2 General Pension Fund which together will at all times be equal to the difference
between the present value of the obligations assumed and the present value of the money to
be received for paying such obligations, where such present values are estimated in
accordance with accepted actuarial methods and on the basis of an assumed rate of interest
and the mathematical probabilities of the occurrence of such contingencies as affect both
the payment of the assumed obligations and the receipt of moneys with which they are to be
paid in accordance with the provisions of Sections
1210( b)( 2) and 1420 .Back
to index
1418(b) Actuarial Valuation. The Board shall secure an actuarial valuation showing the
cost of maintaining the System and funds on such reserve basis and, at intervals of not to
exceed five years, shall cause to be made an actuarial investigation including, but not
limited to, the mortality, service and salary experience of the System Members and other
beneficiaries and shall further cause to be made annually an actuarial valuation of the
assets and liabilities of the funds. The Board shall retain a competent consulting actuary
for the purpose of making the necessary actuarial studies and reports on the required
investigations and valuations.Back
to index
1418(c) Interest Rate. The Board, from time to time and with the advice of the
investment counsel, shall establish an assumed interest rate as in its judgment seems
proper in the light of the experience and prospective earnings on the investments of the
funds.Back
to index
1418(d) Unrealized Profits or Losses. With the advice of the consulting actuary and of
the investment counsel, the Board, for the purpose of the actuarial valuations, shall
provide by rule for the manner and to the extent to which any unrealized profits or losses
in the equity- type investments of the funds shall be taken into account. Back
to index
Sec. 1420. Member Contributions - Tier 2
1420(a) Member Contributions Required. Deductions shall be made from the salaries of
System Members, and such deductions shall be deposited to the credit of and paid into the
Fire and Police Tier 2 Service Pension Fund, but no further deductions shall be made from
the salaries of System Members who have completed 30 years of service.Back
to index
1420(b) Payroll Deduction. The administrative head of the Fire Department and of the
Police Department shall cause to be shown on each and every payroll of such department a
deduction equal to the sum of the following items:
1420(b) (1) 6% of the amount of salary, as shown on each such payroll, of each System
Member whose name appears thereon; and
1420(b) (2) that percentage of the amount of salary, as shown on each such payroll, of
each System Member whose name appears thereon, but not to exceed 1%, which shall be equal
to 1/ 2 of the cost of the cost of living benefits provided in this Tier 2 as shall be
determined by the Board upon an actuarial valuation obtained by it pursuant to Section
1418.
The Board, from time to time, shall certify in writing to the administrative head of
each such department and to the Controller any change in the deductions to be made
pursuant to subsection (b)( 2) above, and any such change shall become effective as of the
next following July 1.Back
to index
1420(c) Transfer of Total Member Contributions. The administrative head of each
department shall certify to the Controller on each payroll the amount to be deducted from
the salary of each System Member whose name appears thereon, and shall cause to be drawn a
payroll check in favor of the Board for the total amount of deductions from the salaries
of such System Members as shown on each payroll of such department, and the Board shall
deposit the payroll check to the credit of the Fire and Police Tier 2 Service Pension
Fund. It shall be the duty of the administrative head of each department to cause to be
furnished to the Board a copy of each and every payroll.Back
to index
1420(d) Deemed Consent to Payroll Deduction. Each System Member shall be deemed to
consent and agree to each deduction as provided herein, and the payment of each payroll
check to the System Member shall be a full and complete discharge and acquittance of all
claims and demands whatsoever for the services rendered by the System Member during the
period covered by each such payroll check, except such claims as the System Member may
have to the benefits or payments provided by this Tier 2 .Back
to index
1420(e) Refund of Member Contributions. Every person who is a System Member on July 1,
1982 shall, upon termination of employment, be entitled to a refund of contributions made
by him or her pursuant to the provisions of this section. A person not a System Member on
July 1, 1982 and whose employment terminated prior to that date, shall not be entitled to
a refund of contributions made by him or her during periods of membership prior to July 1,
1982.Back
to index
1420(f) Limitations on Refunds. The refund of contributions shall be subject to the
following conditions and limitations:
1420(f)(1) Contributions Prior to June 30, 1982. Upon termination of employment as a
Department Member for any reason except retirement pursuant to the provisions of this Tier
2, a System Member shall be entitled to have refunded to him or her all contributions made
by such System Member to the Fire and Police Tier 2 Service Pension Fund on or prior to
June 30, 1982, plus 6% interest per annum on such contributions calculated in the same
manner as if interest had regularly been credited to the System Member' s contributions,
compounded as of the last day of the last pay period of December and to the end of the
last pay period preceding the effective date of termination of employment.
1420(f)(2) Maintenance of Individual Accounts. Starting July 1, 1982, the Board shall
maintain an individual account of the contributions of each System Member. Regular
interest shall be credited to such individual accounts as of the last day of June and
December of each year after July 1, 1982, at such rate as the Board may deem proper in
light of the earnings of the funds of the Tier 2 System, exclusive of profits and losses
on principal resulting from sales of securities. No such interest shall be credited at any
other time. Interest shall be credited to the individual account of a System Member whose
employment is terminated for any reason for any period of service between the next
preceding last day of June or December and the end of the pay period preceding the date of
such termination at the rate at which regular interest was last credited to System
Members' individual accounts.
1420(f)(3) Election of Refund or Benefits. System Members who elect to receive a refund
of contributions, forfeit the right to benefits provided in this Tier 2. After payment of
any pension benefit has commenced, the System Member forfeits the right to a refund of his
or her contributions. System Members who return to active duty from a disability pension
may not thereafter have contributions made by them prior to their retirement on such
disability pension refunded. A terminated System Member who had elected to have
contributions returned, but who reenters service and again becomes a System Member shall,
not withstanding any provision of this Tier 2 to the contrary, not be entitled to credit
for years of service previously earned unless he or she shall first have repaid the amount
of contributions and interest and an amount calculated as interest which would have been
earned between the date of original termination of status as a System Member and the date
of reentry into service as a Department Member.
1420(f)(4) Beneficiary Designation. System Members shall have the right to designate
persons who shall be entitled to receive money to which a System Member would otherwise be
entitled upon termination of employment, to be payable to such designated person or
persons upon the System Member' s death, but no such money shall become payable if any
person should be entitled to any other benefit provided in this Tier 2. The Board shall
adopt appropriate forms for the designation by System Members of persons who shall be his
or her beneficiaries. Back
to index
Sec. 1422. Cost of Living Adjustments.
1422(a) Determination of Cost of Living Increase or Decrease. The Board, before May 1,
of each year commencing with the year 1967, shall determine the percentage of the annual
increase or decrease in the cost of living as of March 1, of that year from March 1, of
the preceding year, as shown by the consumer price index published by the Bureau of Labor
Statistics for the area in which the City is located. If any such index were not to
reflect the cost of living as of a particular March 1, then the index for the closest
preceding date which shall have done so shall be used. If there were to be any change in
the statistical method or the components which were used in any such index from those
which were used in any such index of the preceding year with which a comparison is to be
made, then the Board, to the extent possible, shall adjust any such differences therein
for the purpose of determining the percentage of increase or decrease in the cost of
living.Back
to index
1422(b) Adjustments to be Made in Pensions. Commencing as of July 1 of the year in
which the Board shall determine the percentage of increase or decrease in the cost of
living, the monthly amounts of certain pensions, as hereinafter identified and upon the
conditions hereunder stated therefore, shall be increased or decreased by reason of such
determined percentage of increase or decrease in the cost of living but not to exceed,
however, 2% in any given year. Such determined percentage of increase or decrease in the
cost of living, as so limited, shall be applied to the monthly amounts of such pensions
which shall be payable prior to the applicable July 1, including any previous percentage
of increase or decrease in the cost of living which had been made with respect thereto.Back
to index
1422(c) Application of Adjustments. The percentage of increase or decrease in the cost
of living first shall be applied to:
1422(c) (1) Service Pensioners with Less than 25 Years Service. The pension of any
Retired Member who shall retire pursuant to Section 1408, with less than 25 years of
service, upon the July 1 following the date upon which he would have had 25 years of
service if he had not retired prior thereto;
1422(c) (2) Service Pensioners with at Least 25 Years Service. The pension of any
Retired Member who shall retire pursuant to Section 1408, with 25 years of service or more
upon the July 1, following the effective date of his pension;
1422(c) (3) Survivor Pensions of Members with Less Than 26 Years Service. The pension
of any Beneficiary or Beneficiaries which shall be granted pursuant to Section
1414( a)(
5) and( 6), whether by reason of the provisions thereof or of those of Section
1414( b)
and (c), including any additional pension amounts payable pursuant to Section
1414( a)(
7), following the death, with less than 26 years of service, of a Retired Member who had
been retired pursuant to Section 1408 or of a System Member who had become eligible to
retire pursuant thereto, upon the July 1, following the date upon which such Retired
Member or such System Member, as the case may be, would have had 26 years of service if
he, the Retired Member, had not retired prior thereto and had been alive on that date, or
if he, the System Member, had been alive on that date; and
1422(c) (4) Survivor Pensions of Members with at Least 26 Years Service. The pension of
any Beneficiary or Beneficiaries which shall be granted pursuant to Section
1414( a)( 5)
or (6), whether by reason of the provisions thereof or of those of Section
1414( b) or
(c), including any additional amounts payable pursuant to Section
1414( a)( 7), following
the death, with 26 Years of Service or more, of a Retired Member who had been retired
pursuant to Section 1408 or of a System Member who had become eligible to retire pursuant
thereto, upon the July 1, following the effective date of the pension of such Beneficiary
or Beneficiaries. Back
to index
1422(c) (5) Certain Survivor Pension Beneficiaries. The pension which shall become
payable to any minor child or children or dependent child or children, whenever any
qualified surviving spouse or reinstated qualified surviving spouse shall cease to be
such, shall commence in the same monthly amount which then would have been payable if such
pension had become effective upon the date following the date of death of the System
Member or Retired Member and thereafter it shall be adjusted as otherwise provided in this
section. The pension which shall become payable to any reinstated qualified surviving
spouse, as reinstated pursuant to Section 1414( a)( 8), shall commence in the same monthly
amount which then would have been payable if she never had ceased to be a qualified
surviving spouse and thereafter it shall be adjusted as otherwise provided in this
section. The pension which shall become payable to any reinstated dependent parent or
parents, as reinstated pursuant to Section 1414( c), shall commence in the same monthly
amount which then would have been payable if he or she or each of them never had ceased to
be a dependent parent and thereafter it shall be adjusted as otherwise provided in this
section.
1422(c) (6) Limitation on Reductions. The amount of any pension referred to in (1),
(2), (3), (4) or (5) of this subsection never shall be reduced, by reason of the
application thereto of this section, to an amount less than the amount thereof payable
pursuant to the provisions of this Tier 2 other than those of this section. Back
to index
1422(d) Carryover of Excess Adjustments . If the percentage of increase or decrease in
the cost of living in any year, as determined by the Board, were to exceed 2% as compared
with the cost of living as of March 1, of the preceding year, the percentage of increase
or decrease in the cost of living in excess of 2% shall be carried over and added to or
subtracted from the percentage of increase or decrease in the cost of living in the
succeeding year, and such procedure shall be complied with from year to year. Back
to index
Sec. 1424. Cost of Living Adjustments to Pensions Formerly Excluded.
1424(a) Definitions. Wherever used in this section:
1424(a)(1) "the pension" shall mean, unless Section 1422
shall be mentioned
in conjunction therewith, only a pension which is not identified in Section
1422;
1424(a)(2) "the July 1 following" shall mean only a July 1 subsequent to May
2, 1969;
1424(a)(3) "Beneficiary" shall include its plural; and
1424(a)(4) words with respect to any pension granted or to be granted pursuant to
Section 1414 also shall mean and include the words, as used in Section
1422( b)( 3),
"whether by reason of the provisions thereof or of those of Section
1414( b) and (c),
including, any additional pension amounts payable pursuant to Section
1414( a)( 7)."Back
to index
1424(b) Method. The percentage of increase or decrease in the cost of living thereafter
shall be applied pursuant to Section 1422 and the terms and conditions contained in this
section:
1424(b) (1) Disability Pensions. To the pension of any Retired Member, ever granted
pursuant to Section 1412, upon the July 1, following the date of his retirement or the
effective date of this paragraph of this section, whichever shall be the later; or Section
1412, upon the July 1, following the date he shall have had 25 years of service, the date
he would have had 25 years of service if he previously had not retired or the fifth
anniversary of the effective date of the pension, whichever shall be the earliest;
1424(b) (2) Survivor Pensions Based Upon Previously Active Members. To the pension of
any Beneficiary ever granted on account of the death of an active System Member who died
as a result of any injury received during the performance of his or her duties or from
sickness caused by the discharge of such duties, upon the July 1, following the effective
date of such Beneficiary' s pension; but if such pension became effective before July 1,
1989, it shall be retroactively adjusted as of July 1, 1989;
1424(b) (3) Survivor Pensions Based Upon Previously Retired Members. To the pension of
any Beneficiary, (A) ever granted pursuant to Section 1414( a)( 5) upon the death of a
Retired Member previously retired pursuant to Section 1408 and which pension of such
Beneficiary is identified in Section 1422( b)( 3) or (4), (B) ever granted pursuant to
Section 1414( a)( 3) upon the death of a Retired Member previously retired pursuant to
Section 1412( a), or (C) ever granted pursuant to Section
1414( a)( 4) upon the death of
the Retired Member, previously retired pursuant to Section 1412( b), upon the July 1
following the date such member shall have had 26 years of service, the date such member
would have had 26 years of service if he previously had not retired and then had been
alive, or the fifth anniversary of the effective date of the pension of such member,
whichever shall be the earliest; and
1424(b) (4) Survivor Pensions of Nonservice Connected Death of Members. To the pension
of any Beneficiary, (A) ever granted pursuant to Section 1414( a)( 2) upon the death of a
Department Member not eligible to retire pursuant to Section
1408, or (B) ever granted
pursuant to Section 1414( a)( 6) upon the death of a Department Member eligible to retire
pursuant to Section 1408 and which pension of such Beneficiary is identified in
Section 1422( b)( 3) or (4), upon the July 1 following the date such member shall have had 26
years of service, the date such member would have had 26 years of service if he then had
been alive, or the fifth anniversary of the effective date of the pension of such
Beneficiary, whichever shall be the earliest. Back
to index
1424(c) Cost of Living Adjustments for Other Pensions. The following provisions, in
respects other than those provided for in subsection (b) of this section, hereafter shall
be controlling in the application to certain pensions of the percentage of increase or
decrease in the cost of living.
1424(c)(1) Whenever the amount of the pension: (A) of any Retired Member shall be
increased or decreased pursuant to Section 1412( a) or (c), or
1424(c)(1)(B) of any qualified surviving spouse shall be increased or decreased
pursuant to any paragraph of Section 1414( a), the amount of any such increase shall not
include the percentage of any increase in the cost of living which previously had been
applied to the former amount of the pension; and the amount of any such decrease shall
include the percentage of any increase in the cost of living which previously had been
applied to it as a portion of the former amount of the pension.
1424(c)(2) Whenever the pension of any Beneficiary:
1424(c)(2) (A) hereafter shall be granted pursuant to Section
1414( a)( 5) upon the
death of a Retired Member previously retired pursuant to Section 1408
and which pension of
such Beneficiary is identified in Section 1422( b)( 3) or (4),
1424(c)(2) (B) hereafter shall be granted pursuant to Section
1414( a)( 3) upon the
death of a Retired Member previously retired pursuant to Section
1412( a), or
1424(c)(2) (C) hereafter shall be granted pursuant to Section
1414( a)( 4) upon the
death of a Retired Member previously retired pursuant to Section
1412( b), the amount of
the pension of any such Beneficiary,
1424(c)(2)(C)(i) if the amount thereof which shall be payable to such Beneficiary were
to be more than the amount of the pension which had been payable to such member, shall
include the percentage of any increase in the cost of living which had been applied to the
pension of such member, or
1424(c)(2)(C) (ii) if the amount thereof which shall be payable to such Beneficiary
were to be less than the amount of the pension which had been payable to such member,
shall include that portion of the percentage of any increase in the cost of living which
had been applied to the pension of such member which shall be in the same ratio as the
amount of the pension which shall be payable to such Beneficiary shall bear to the amount
of the pension which had been payable to such member, and the percentage of any increase
or decrease in the cost of living in excess of 2% per year which had been carried over for
such member as of the date of his death shall be carried over for such Beneficiary if (i)
hereof were to be applicable or in the same ratio therein provided in (ii) hereof were to
be applicable.
1424(c)(3) Whenever the pension of any qualified surviving spouse hereafter shall be
terminated pursuant to any provisions of Section 1414( a) and the pension thereafter shall
become payable on behalf of any minor or dependent child or children of the deceased
member, the amount of pension on behalf of such child or children shall include that
portion of the percentage of increase in the cost of living which had been applied to the
pension of such qualified surviving spouse which shall be in the same ratio as the amount
of the pension which shall be payable on behalf of such child or children shall bear to
the amount of the pension which had been payable to such qualified surviving spouse, and
the percentage of any increase or decrease in the cost of living in excess of 2% per year
which had been carried over for such qualified surviving spouse as of the date of the
termination of his or her pension shall be carried over on behalf of such child or
children in the same ratio hereinabove provided.
1424(d) Limitation of Reductions. The amount of the pension never shall be reduced, by
reason of the application thereto of the provisions of Section 1422 or this section, to an
amount less than the amount thereof payable pursuant to provisions of this Tier 2 other
than those of Section 1422 and this section. Section 1422 hereafter shall be construed and
applied in accordance with this section as to each pension mentioned in this section.
Back
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Sec. 1426. Minimum Tier 2 Pensions and Other Cost of Living Adjustments.
1426(a) Minimum Tier 2 Pensions. Each pension granted pursuant to this Tier 2,
regardless of the type of the pension, which became or becomes effective prior to July 1,
1971 and which, as of June 30, 1971, is in a monthly amount of less than $350 shall be
increased, effective July 1, 1971, pursuant to the provisions of subsection (b) and
subsection (c) of this section, and shall, if such increase results in a monthly pension
amount which is less than $350, be increased to provide for a monthly minimum pension of
three hundred fifty dollars ($ 350). Each pension granted pursuant to this Tier 2,
regardless of the type of the pension, which becomes effective on or subsequent to July 1,
1971 shall be in a monthly amount not less than the minimum monthly pension amount
provided, as of the effective date of the pension, by this subsection of this section. The
monthly amount of each such pension never shall be reduced, by reason of the provisions of
Section 1422, Section 1424 or subsection (c) of this section, to a monthly amount less
than the minimum monthly pension amount provided by this subsection.Back
to index
1426(b) Additional Cost of Living Adjustments. The monthly amount of pension of each
Beneficiary which, prior to the effective date of this section, had been increased by
reason of a cost of living adjustment thereof pursuant to Section 1422 or
Section 1424
shall be increased, as of July 1, 1971, by that portion of the percentage of the annual
increase in the cost of living, as had been determined by the Board pursuant to Section
1422 which was in excess of 2% but not in excess of 3% for each year the monthly amount of
such pension had been increased.Back
to index
1426(c) Adjustment for Certain Pensions. The monthly amount of pension of each
Beneficiary who heretofore did qualify or hereafter shall qualify for a cost of living
adjustment thereof pursuant to Section 1422 or Section 1424 and the monthly amount of
pension of each Beneficiary which shall be the minimum monthly pension amount provided by
subsection (a) of this section, hereafter shall be increased or decreased, as of the dates
provided therefore by Section 1422, by the percentage of the annual increase or decrease in
the cost of living as hereafter shall be determined by the Board pursuant to Section
1422.Back
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1426(d) Applicability of this Section. The provisions of Sections
1408, 1412, 1414,
1422 and 1424 hereafter shall be construed and applied in accordance with the provisions
of this section.
1426(e) Savings Clause. Should any provisions of this section at any time be held to be
invalid, in their application to certain persons or periods of time such invalidity shall
not affect the validity of any provisions as to other persons entitled to benefits
hereunder or the applicability as to other periods of time. Back
to index
Sec. 1428. Authority of Council to Establish Certain Benefits by Ordinance.
1428(a) Purpose of this Section . It is the purpose of this section to enable the
Council to provide by ordinance a program or programs whereby persons receiving pensions
pursuant to the provisions of this Tier 2 may become eligible to have subsidy payments
made on their behalf for health insurance, accident insurance, life insurance or health
care plan coverage or coverage for any combination of such programs as determined by the
Council and subject to such conditions of entitlement as may be set forth in any ordinance
adopted in accordance with the provisions of this section. Back
to index
1428(b) Mode of Adoption of Ordinance. Ordinances adopted pursuant to this section must
be approved by not less than two- thirds of the membership of the Council, subject to the
veto of the Mayor and readoption by the Council by three- fourths of the membership of the
Council. No such ordinance may be finally adopted by the Council until the expiration of
at least thirty days after its first presentation to the Council, nor until after a public
hearing has been held thereon. Any ordinance adopted pursuant to this section shall go
into effect upon its publication, but the terms of such ordinance, or portions thereof,
may be operative at a later date or dates.
1428(c) Limitations on Council' s Authority. An ordinance adopted pursuant to this
section may not provide for subsidy payments for any individual, the total amount of
which, including subsidy payments from a City fund or funds other than those created under
Section 1416, would be in excess of the maximum available subsidy payment for
beneficiaries under the provisions of any ordinance adopted pursuant to the authority of
Section 1168 of the Charter, nor may such subsidy payments be in excess of any amounts
allowed active members of the Tier 2 System.Back
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1428(d) Administration of Subsidy Program. Any subsidy program adopted by ordinance
pursuant to this section shall be administered by the Board. In furtherance thereof, the
Board shall have the authority to contract for suitable programs as hereinabove defined in
subsection (a) hereof, to be made available to retired members or other beneficiaries, and
shall have the power to adopt such rules as it deems necessary to administer such
programs. Notwithstanding the foregoing provisions, the Board may authorize the Personnel
Department to administer any program or part thereof established by ordinance pursuant to
the provisions of this section, provided however, that the Board shall reimburse the
General Fund of the City for all necessary expenses incurred by the Personnel Department
as a result thereof.Back
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1428(e) Adjustment of Subsidy Amount. The Board, in its discretion, may by resolution
increase or decrease the amount of subsidy payments to reflect changes in subsidies
provided for active members, or to offset any increases or decreased in the level of
benefits referred to in subsection (a) of this section or the cost thereof as a result of
changes in existing benefits or the addition of newly created benefits by federal or state
funded programs. Back
to index
Sec. 1430. Compliance with Certain Internal Revenue Code Provisions.
1430(a) Election . With the enactment of this section an election has been made as
authorized under the provisions of Section 415( b)( 10)( C) of the Internal Revenue Code
to be bound by the limitations of Section 415 of the Code subject to the provisions of
Section 415( b) and (B), thereof.Back
to index
1430(b) Automatic Repeal. If any of the provisions of Section 415 of the Internal
Revenue Code should be repealed, the provisions of this section shall be deemed repealed
to the same extent. Back
to index
Sec. 1432. Miscellaneous Provisions. The provisions of this section shall be
controlling if there were to be any other provision contained elsewhere in this Tier 2
which is or could be construed to be contrary thereto, in conflict therewith or different
therefrom.Back
to index
1432(a) Members Eligible to Service or Disability Pension . Any System Member who shall
believe that he is eligible to be retired pursuant to Section 1408 concerning Service
Pensions and that he also is eligible to be retired pursuant to Section 1412 concerning
Disability Pensions, shall have the right to file his written application to be retired
pursuant to either one of the sections and the Board, if it were to determine that the
contingencies provided in this Tier 2 for retirement pursuant to the particular section
involved had happened or occurred as to such member, shall retire him in accordance with
his written application.Back
to index
1432(b) Board Consideration of Conflicting Requests to Retire. In the event that any
System Member were to file his written application to be retired and a written request for
him to be retired also were to be filed by or on behalf of the head of the department in
which he is a Department Member, the Board shall not consider or make any determination
with respect to such written request unless and until it first shall have considered such
member' s written application and shall have determined that he is not entitled to be
retired in accordance therewith.Back
to index
1432(c) Service or Disability Pensions for Former Members. Any former System Member who
shall believe that he is eligible to be paid a pension pursuant to Section 1408 or
pursuant to Section 1412, may file his written application for the payment to him of a
pension pursuant to either one of said sections within the time prescribed for the filing
thereof by any applicable provision of law and the Board, if it were to determine that the
contingencies provided in this Tier 2 for the payment thereof had happened or occurred as
to such former member prior to the date upon which he had ceased to be a System Member and
if there is no legal bar or defense to the granting to him of such pension or to any
judicial action or proceeding which could be brought by him with respect thereto, shall
grant him the pension in accordance with his written application. Back
to index
1434(a) Time off With Pay. Whenever a Tier 2 System Member, for overtime work, shall
take a period of time off with pay:
1434(a)(1) a deduction for pension purposes shall be made from such pay but only in the
same amount as that which would have been deducted from his Monthly Salary and additional
monthly pay if such period had been one of regular work;
1434(a)(2) such pay shall be part of his Monthly Salary and additional monthly pay but
only in the same amount as that which would have been his Monthly Salary and additional
monthly pay if such period had been one of regular work; and
1434(a)(3) such period shall be part of his Years of Service.Back
to index
1434(b) Cash Payment. Whenever a Tier 2 System Member, for overtime work, shall receive
a cash payment:
1434(b)(1) a deduction for pension purposes shall not be made from such payment;
1434(b)(2) such payment shall not be part of his Monthly Salary and additional monthly
pay; and
1434(b)(3) the period of overtime work for which he shall receive such payment shall
not be part of his Years of Service except that any period of a Tier 2 System Member' s
overtime work, for which he shall not have taken time off with pay, shall be credited, by
the Board, as part of his Years of Service, upon his or his survivor' s written request
therefore, to the same extent as he would have been entitled to take time off with pay but
only to the extent, and not in excess thereof, that he, while a Department Member, shall
have had any period of absence from work without pay, but such request shall be
accompanied with payment of the amount which would have been deducted for pension purposes
from his Monthly Salary and additional monthly pay if the period of overtime work, to the
extent credited, had been one of regular work. Back
to index
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