1055 FF Pension Fund ORDINANCE NO. 1055
AN ORDINANCE OF THE CITY OF OKEECHOBEE AMENDING THE CITY
OF OKEECHOBEE MUNICIPAL FIREFIGHTERS' PENSION FUND,
ADOPTED PURSUANT TO ORDINANCE 889, AS SUBSEQUENTLY
AMENDED; AMENDING SECTION 1 DEFINITIONS; AMENDING SECTION
3, BOARD OF TRUSTEES; AMENDING SECTION 4, FINANCES AND
FUND MANAGEMENT; AMENDING SECTION 5, CONTRIBUTIONS;
AMENDING SECTION 6, BENEFIT AMOUNTS AND ELIGIBILITY;
AMENDING SECTION 7, PRE RETIREMENT DEATH; AMENDING
SECTION 8, DISABILITY; AMENDING SECTION 10, OPTIONAL FORMS
OF BENEFITS; AMENDING SECTION 15, MAXIMUM PENSION;
AMENDING SECTION 16, MINIMUM DISTRIBUTION OF BENEFITS;
AMENDING SECTION 17, MISCELLANEOUS PROVISIONS; AMENDING
SECTION 18, REPEAL OR TERMINATION OF SYSTEM; AMENDING
SECTION 19, DOMESTIC RELATIONS ORDERS, RETIREE DIRECTED
PAYMENTS, EXEMPTION FROM EXECUTION, NON ASSIGNABILITY;
AMENDING SECTION 21, FORFEITURE OF PENSION; AMENDING
SECTION 26, DIRECT TRANSFERS OF ELIGIBLE ROLLOVER
DISTRIBUTIONS; AMENDING SECTION 27, PRIOR FIRE SERVICE;
AMENDING SECTION 28, DEFERRED RETIREMENT OPTION PLAN;
PROVIDING FOR CODIFICATION; PROVIDING FOR SEVERABILITY OF
PROVISIONS; REPEALING ALL ORDINANCES IN CONFLICT HEREWITH
AND PROVIDING AN EFFECTIVE DATE.
NOW, THEREFORE, BE IT ORDAINED by the City Council for the City of Okeechobee,
Florida; presented at a duly advertised public meeting; and passed by majority vote
of the City Council; and properly executed by the Mayor or designee, as Chief
Presiding Officer for the City:
SECTION 1: That the City of Okeechobee Municipal Firefighters' Pension Fund, adopted
pursuant to Ordinance No. 889, as subsequently amended, is hereby further
amended by amending Section 1, Definitions, to amend the definitions of
"Actuarial Equivalent:, "Credited Service "Firefighter" and "Salary", to read
as follows:
w w w w w
Actuarial Equivalent means that any benefit payable under the terms of this System
in a form other than the normal form of benefit shall have the same actuarial
present value on the date payment commences as the normal form of benefit. For
purposes of establishing the actuarial present value of any form of payment other
than a lump sum distribution, all future payments shall be discounted for interest
and mortality by using eight percent (8 interest and the 1983 Group Annuity
Mortality Table for Males. This definition may only be amended by the City pursuant
to the recommendation of the Board usina assumptions adopted by the Board with
the advice of the plan's actuary. such that actuarial assumptions are not subiect to
City discretion.
Ordinance No. 1055 Page 1 of 37
Credited Service means the total number of years and fractional parts of years of
service as a Firefighter with Member contributions when required, omitting
intervening years or fractional parts of years when such Member was not employed
by the City as a Firefighter. A Member may voluntarily leave his Accumulated
Contributions in the Fund for a period of five (5) years after leaving the employ of
the Fire Department pending the possibility of being reemployed as a Firefighter,
without losing credit for the time that he was a Member of the System. If a vested
Member leaves the employ of the Fire Department, his Accumulated Contributions
will be returned only upon his written request. If a Member who is not vested is not
reemployed as a Firefighter with the Fire Department within five (5) years, his
Accumulated Contributions, if one thousand dollars ($1,000.00) or Tess, shall be
returned. If a Member who is not vested is not reemployed within five (5) years, his
Accumulated Contributions, if more than one thousand dollars ($1,000.00), will be
returned only upon the written request of the Member and upon completion of a
written election to receive a cash lump sum or to rollover the lump sum amount on
forms designated by the Board. Upon return of a Member's Accumulated
Contributions, all of his rights and benefits under the System are forfeited and
terminated. Upon any reemployment, a Firefighter shall not receive credit for the
years and fractional parts of years of service for which he has withdrawn his
Accumulated Contributions from the Fund, unless the Firefighter repays into the
Fund the contributions he has withdrawn, with interest, as determined by the Board,
within ninety (90) days after his reemployment.
The years or fractional parts of a year that a Member
involuntarily performs "Qualified Military Service" consistina of voluntary or
involuntary "service in the uniformed services" as defined in the Uniformed
Services Employment and Reemployment Riahts Act USERRA) (P.L.103-
353), after separation from employment as a Firefighter with the City to
perform training or service, shall be added to his years of Credited Service
for all purposes, including vesting, provided that:
A. The Member is entitled to reemployment under the provisions of
USERRA.
Ordinance No. 1055 Page 2 of 37
A B. The Member must returns to his employment as a Firefighter within
one (1) year from the earlier of the date of his military discharge or his
release from active service. unless otherwise reauired by USERRA.
A T
C. The maximum credit for military service pursuant to this paragraph
shall be five (5) years.
D. This paragraph is intended to satisfy the minimum reauirements of
USERRA. To the extent that this paragraph does not meet the
minimum standards of USERRA, as it may be amended from time to
time. the minimum standards shall apply.
In the event a Member dies on or after January 1, 2007, while performing USERRA
Qualified Militant Service. the beneficiaries of the Member are entitled to any
benefits (other than benefit accruals relating to the period of qualified military
service) as if the Member had resumed employment and then died while employed.
Firefighter means an actively employed full -time person employed by the
City, including his initial probationary employment period, who is certified as
a Firefighter as a condition of employment in accordance with the provisions
of §633.35, Florida Statutes, and whose duty it is to extinguish fires, to
protect life and to protect property. The term includes all certified.
supervisory. and command personnel whose duties include, in whole or in
Dart. the supervision, training, guidance, and management responsibilities
of full -time firefighters, part-time firefighters, or auxiliary firefighters but does
not include part-time firefighters or auxiliary firefighters.
Salary means the basic compensation paid by the City to a Member, plus all tax
deferred, tax sheltered and tax exempt items of income derived from elective
employee payroll deductions or salary reductions otherwise includible in basic
compensation. Compensation in excess of the limitations set forth in Section
401(a)(17) of the Code as of the first day of the Plan Year
shall be disregarded for any purpose. including employee contributions or any
benefit calculations. The annual compensation of each member taken into account
in determining benefits or employee contributions for any Plan Year beainnina on
Ordinance No. 1055 Page 3 of 37
or after January 1. 2002. may not exceed $200.000. as adiusted for cost -of- Iivina
increases in accordance with Code Section 401(a)(17)(B). Compensation means
compensation during the fiscal year. The cost-of-livina adiustment in effect for a
calendar year applies to annual compensation for the determination period that
begins with or within such calendar year. If the determination period consists of
fewer than 12 months. the annual compensation limit is an amount eaual to the
otherwise applicable annual compensation limit multiplied by a fraction. the
numerator of which is the number of months in the short determination period. and
the denominator of which is 12. If the compensation for anv prior determination
Period is taken into account in determining a Member's contributions or benefits for
the current Plan Year. the compensation for such prior determination period is
subiect to the applicable annual compensation limit in effect for that prior period.
The limitation on compensation for an "eligible employee" shall not be Tess than the
amount which was allowed to be taken into account hereunder as in effect on July
1, 1993. "Eligible employee" is an individual who was a Member before the first
Plan Year beginning after December 31, 1995.
SECTION 2: That the City of Okeechobee Municipal Firefighters' Pension Fund,
adopted pursuant to Ordinance No. 889, as subsequently amended,
is hereby further amended by amending Section 3, Board of Trustees,
subsection 1., to read as follows:
1. The sole and exclusive administration of and responsibility for the
proper operation of the System and for making effective the
provisions of this ordinance is hereby vested in a Board of Trustees.
The Board is hereby designated as the plan administrator. The Board
shall consist of five (5) Trustees, two (2) of whom, unless otherwise
prohibited by law, shall be legal residents of the City, who shall be
appointed by the Okeechobee City Council, and two (2) of whom shall
be full -time Firefighter Members of the System, who shall be elected
by a majority of the Firefighters who are Members of the System. The
fifth Trustee shall be chosen by a majority of the previous four (4)
Trustees as provided for herein, and such person's name shall be
submitted to the Okeechobee City Council. Upon receipt of the fifth
person's name, the Okeechobee City Council shall, as a ministerial
duty, appoint such person to the Board of Trustees as its fifth Trustee.
Ordinance No. 1055 Page 4 of 37
The fifth Trustee shall have the same rights as each of the other four
(4) Trustees appointed. or elected as herein provided and shall serve
a two -(2) four (4) year term unless he sooner vacates the office. Each
resident Trustee shall serve as Trustee for a period of two -(2) four (4)
years, unless he sooner vacates the office or is sooner replaced by
the Okeechobee City Council at whose pleasure he shall serve. Each
Member Trustee shall serve as Trustee for a period of two -(2) four (4)
years, unless he sooner leaves the employment of the City as a
Firefighter or otherwise vacates his office as Trustee, whereupon a
successor shall be chosen in the same manner as the departing
Trustee. Each Trustee may succeed himself in office. DROP
participants can be elected as and but not vote for elected Trustees.
The Board shall establish and administer the nominating and election
procedures for each election. The Board shall meet at least quarterly
each year. The Board shall be a legal entity with, in addition to other
powers and responsibilities contained herein, the power to bring and
defend lawsuits of every kind, nature, and description.
SECTION 3: That the City of Okeechobee Municipal Firefighters' Pension Fund,
adopted pursuant to Ordinance No. 889, as subsequently amended,
is hereby further amended by amending Section 4, Finances and
Fund Management, subsection 6.B.(5)(b)., to read as follows:
6. B. (5) (b) Up to ten twenty -five percent (16% 25 of the assets
of the Fund at market value may be invested in foreign
securities.
SECTION 4: That the City of Okeechobee Municipal Firefighters' Pension Fund,
adopted pursuant to Ordinance No. 889, as subsequently amended,
is hereby further amended by amending Section 5, Contributions,
subsection 3., City Contributions, to read as follows:
110
3. City Contributions.
So long as this System is in effect, the City shall make quarterly contributions
to the Fund in an amount equal to the
Ordinance No. 1055 Page 5 of 37
required City contribution, as
shown by the most- reeent applicable actuarial valuation of the System. The
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SECTION 5: That the City of Okeechobee Municipal Firefighters' Pension Fund,
adopted pursuant to Ordinance No. 889, as subsequently amended,
is hereby further amended by amending Section 6, Benefit Amounts
and Eligibility, to add subsection 6., Required Distribution Date, to
read as follows:
6. Reauired Distribution Date.
The Member's benefit under this Section must beain to be distributed to the
Member no later than April 1 of the calendar year following the later of the
calendar year in which the Member attains aae seventy and one -half (70
or the calendar year in which the Member terminates emolovment with the
City.
SECTION 6: That the City of Okeechobee Municipal Firefighters' Pension Fund,
adopted pursuant to Ordinance No. 889, as subsequently amended,
is hereby further amended by amending Section 7, Pre Retirement
Death, to read as follows:
SECTION 7. DEATH BENEFITS.
1. Prior to Vestina or Eliaibilitv for Retirement.
The Beneficiary of a deceased Member who was not receiving monthly
benefit payments, or who was not yet vested or eligible for early or normal
Retirement shall receive a refund of one hundred percent (100 of the
Member's Accumulated Contributions.
2. Deceased Members Vested or Eliaible for Retirement.
A. Any Member, whether or not still actively employed, who has a right
to a vested accrued benefit, shall be eligible for a death benefit if he
dies before collecting any other benefits from this System. The
amount of the death benefit shall be equal to fifty percent (50 of the
actuarially equivalent single sum value of the Member's vested
accrued benefit or his Accumulated Contributions, whichever is
greater.
Ordinance No. 1055 Page 6 of 37
If this single sum value is less than five thousand dollars ($5,000), it
shall be paid in a lump sum. If the value exceeds five thousand
dollars ($5,000), the Beneficiary may elect payment under any of the
optional forms available for retirement benefits or a lump sum
payment.
B. If a Member is eligible for early or normal retirement, but remains in
employment and dies while so employed, the death benefit shall be
determined as follows: It shall be assumed that such deceased
Member had retired immediately preceding his date of death and
elected the Ten Year Certain and Life Thereafter option. However,
the death benefit shall be equal to fifty percent (50 of the actuarially
equivalent single sum value of the Member's vested accrued benefit,
if larger than the Ten Year Certain and Life Thereafter Option,
described earlier in this Section.
C. Additional reaulations with Spouse as Beneficiary. This subsection
2. applies only when the Member's Spouse is the sole desianated
Beneficiary. Notwithstanding the previous paragraphs of this
subsection 2, in the event a Member or terminated vested person,
with ten (10) or more years of Credited Service, dies prior to
Retirement or prior to receipt of benefits, his Beneficiary shall be
entitled to the accrued normal or early retirement benefit payable at
the deceased Member's early or normal retirement age Tess the value
of any benefits paid or payable under this subsection.
Notwithstandina anvthina contained in this section to the
contrary. in any event. distributions to the spouse beneficiary
will begin bv December 31 of the calendar year immediatelv
following the calendar year in which the member died. or bv a
date selected pursuant to the above provisions in this section
that must be on or before December 31 of the calendar year in
which the member would have attained 70' /Z.
(21 If the survivina spouse beneficiary commences receivina a
benefit under subsection A or B above. but dies before all
payments are made. the actuarial value of the remaining
benefit will be paid to the spouse beneficiary's estate in a lump
sum.
C)rriinanna Nn 11755 Pane 7 of 37
D. Additional regulations with non spouse as beneficiary. This
subsection applies only when the Member's Spouse is not the
Beneficiary or is not the sole designated Beneficiary. but there is a
surviving Beneficiary. Notwithstanding the previous paragraphs of
this subsection 2.. in the event a member or terminated vested
person. with ten (10) or more years of credited service. dies prior to
retirement or prior to receipt of benefits. his or her beneficiary shall be
entitled to the accrued normal or early retirement benefit payable
beginning by December 31 of the calendar year immediately following
the calendar in which the member died. The benefit will be calculated
as for normal retirement based on the deceased Member's Credited
Service and Average Final Compensation and actuarially reduced to
reflect the commencement of benefits prior to the normal retirement
date.
fal If a surviving beneficiary commences receiving a benefit under
subsection D. above. but dies before all payments are made.
the actuarial value of the remainina benefit will be paid to the
surviving beneficiary's estate by December 31 of the calendar
year of the beneficiary's death in a lump sum.
If al there is no surviving beneficiary as of the member's death.
and the estate is to receive the benefits. the actuarial
eauivalent of the member's entire interest must be distributed
by December 31 of the calendar year containing the fifth
anniversary of the member's death.
The Uniform Lifetime Table in Treasury Regulations
1.401(a)(9) -9 shall determine the payment period for the
calendar year benefits commence. if necessary to satisfy the
regulations.
SECTION 7: That the City of Okeechobee Municipal Firefighters' Pension Fund,
adopted pursuant to Ordinance No. 889, as subsequently amended,
is hereby further amended by amending Section 8, Disability,
subsection 6., Disability Payments, to read as follows:
6. Disability Payments.
The monthly benefit to which a Member is entitled in the event of the
Member's disability retirement shall be payable on the first day of the first
month after the Board determines such entitlement. However, the monthly
Ordinance No. 1055 Page 8 of 37
retirement income shall be payable as of the date the Board determined
such entitlement, and any portion due for a partial month shall be paid
together with the first payment. The last payment will be:
A. If the Retiree recovers from the disability Off-ter his-nremai-retiferrient
date, the payment due next preceding the date of such recovery, or
B. If the Retiree dies without recovering from disability ar- attains -his
the payment due next
preceding his death or the 120th monthly payment, whichever is later.
Provided, however, the disability Retiree may select, at any time prior to the
date on which benefit payments begin, an optional form of benefit payment
as described in Section 10, subsection 1.A. or 1.B., which shall be the
Actuarial Equivalent of the normal form of benefit.
SECTION 8: That the City of Okeechobee Municipal Firefighters' Pension Fund,
adopted pursuant to Ordinance No. 889, as subsequently amended,
is hereby further amended by amending Section 10, Optional Forms
of Benefits, by amending subsection 1.A., adding subsection 5.E.,
and amending subsection 7., to read as follows:
A. A retirement income of a monthly amount, payable to the Retiree
during the lifetime of the Retiree and following the death of the
Retiree, one hundred percent (100 seventy -five percent (75
sixty -six and two- thirds percent (66 2/3 or fifty percent (50 of
such monthly amount payable to a joint pensioner for his lifetime.
Except where the Retiree's joint pensioner is his spouse, the
payments to the joint pensioner as a percentage of the payments to
the Retiree shall not exceed the applicable percentage provided for
in the applicable table in the Treasury regulations. (See Q A -2 of
1.401(a)(9) -6)
E. The Member's benefit under this Section must begin to be distributed
to the Member no later than April 1 of the calendar year following the
later of the calendar year in which the Member attains age seventy
and one -half (70 or the calendar year in which the Member
terminates employment with the City.
Ordinance No. 1055 Page 9 of 37
7. Notwithstanding anything herein to the contrary, the Board in its discretion,
may elect to make a lump sum payment to a Member or a Member's
Beneficiary in the event that the
$-5,000.00) total commuted value of the monthly income Payments to be
paid do not exceed one thousand dollars ($1.000). Any such payment made
to any person pursuant to the power and discretion conferred upon the
Board by the preceding sentence shall operate as a complete discharge of
all obligations under the System with regard to such Member and shall not
be subject to review by anyone, but shall be final, binding and conclusive on
all persons.
SECTION 9: That the City of Okeechobee Municipal Firefighters' Pension Fund,
adopted pursuant to Ordinance No. 889, as subsequently amended,
is hereby further amended by amending Section 15, Maximum
Pension, to read as follows:
SECTION 15. MAXIMUM PENSION.
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Ordinance No. 1055 Page 10 of 37
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Ordinance No. 1055 Page 12 of 37
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1. Basic Limitation.
Notwithstandina any other provisions of this Svstem to the contrary. the
Member contributions paid to. and retirement benefits paid from. the System shall be
limited to such extent as may be necessary to conform to the reauirements of Code
Section 415 for a aualified retirement plan. Before January 1, 1995. a plan member may
not receive an annual benefit that exceeds the limits specified in Code Section 415(b).
subiect to the applicable adiustments in that section. On and after January 1, 1995, a plan
member may not receive an annual benefit that exceeds the dollar amount specified in
Code Section 415(b)(1)(A) ($160,000), subiect to the applicable adiustments in Code
Section 415(b) and subiect to any additional limits that may be specified in this System.
For purposes of this Section. "limitation near" shall be the calendar year.
2. Adiustments to Basic Limitation for Form of Benefit.
If the form of benefit without reaard to any benefit increase feature is not a
straight life annuity. then the Code Section 415(b) limit applicable at the annuity starting
date is reduced to an actuarially equivalent amount (determined usina the assumptions
specified in Treasury Reaulation Section 1.415(b)- 1(c)(2)(ii)) that takes into account the
death benefits under the form of benefit.
3. Benefits Not Taken into Account.
For purposes of this Section, the following benefits shall not be taken into
account in applvina these limits:
A. Any ancillary benefit which is not directly related to retirement income
benefits:
B. Any other benefit not reauired under 415(b)(2) of the Code and
Reaulations thereunder to be taken into account for purposes of the
limitation of Code Section 415(b)(1).
4. COLA Effect.
Effective on and after January 1, 2003, for purposes of applvina the limits
under Code Section 415(b) (the "Limit the followina will apply:
Orriinanne No. 1055 Paae 13 of 37
A. A Member's applicable limit will be applied to the Member's annual
benefit in the Member's first calendar year of benefit payments
without regard to any automatic cost of living adiustments:
B. thereafter. in any subseauent calendar year. a Member's annual
benefit. including any automatic cost of living increases. shall be
tested under the then applicable benefit limit including any adiustment
to the Code Section 415(b)(1)(A) dollar limit under Code Section
415(d). and the regulations thereunder: but
C. in no event shall a Member's benefit payable under the System in any
calendar year be areater than the limit applicable at the annuity
starting date. as increased in subseauent years pursuant to Code
Section 415(d) and the regulations thereunder.
Unless otherwise specified in the System. for purposes of applying the limits
under Code Section 415(b). a Member's applicable limit will be applied taking into
consideration cost of living increases as reauired by Section 415(b) of the Code and
applicable Treasury Regulations.
5. Other Adiustments in Limitations.
A. In the event the Member's retirement benefits become payable before
age sixty -two (62). the limit prescribed by this Section shall be
reduced in accordance with regulations issued by the Secretary of the
Treasury pursuant to the provisions of Code Section 415(b) of the
Code. so that such limit (as so reduced) equals an annual straight life
benefit (when such retirement income benefit begins) which is
equivalent to a one hundred sixty thousand dollar ($160.000) annual
benefit beainnina at aae sixty -two (62).
B. In the event the Member's benefit is based on at least fifteen (15)
years of Credited Service as a full -time employee of the police or fire
department of the City. the adiustments provided for in A. above shall
not apply.
C. The reductions provided for in A. above shall not be applicable to
disability benefits pursuant to Section 8. or pre- retirement death
benefits paid pursuant to Section 7.
D. In the event the Member's retirement benefit becomes payable after
aae sixty -five (65). for purposes of determining whether this benefit
meets the limit set forth in subsection 1 herein. such benefit shall be
adiusted so that it is actuarially equivalent to the benefit beainnina at
Ordinance No. 1055 Page 14 of 37
ape sixty -five (65). This adiustment shall be made in accordance with
reaulations Dromulaated by the Secretary of the Treasury or his
deleaate.
6. Less than Ten (10) Years of Service.
The maximum retirement benefits payable under this Section to any Member
who has completed less than ten (10) years of Credited Service with the City shall be the
amount determined under subsection 1 of this Section multiplied by a fraction, the
numerator of which is the number of the Member's years of Credited Service and the
denominator of which is ten (10). The reduction provided by this subsection cannot reduce
the maximum benefit below 10 The reduction provided for in this subsection shall not
be applicable to disability benefits paid pursuant to Section 8 or ore- retirement death
benefits paid pursuant to Section 7.,
7. Participation in Other Defined Benefit Plans.
The limit of this Section with respect to any Member who at any time has
been a member in any other defined benefit plan as defined in Code Section 414(i1
maintained by the City shall apply as if the total benefits oavable under all City defined
benefit plans in which the Member has been a member were payable from one plan.
8. Ten Thousand Dollar ($10.000) Limit.
Notwithstandina the foregoing, the retirement benefit payable with respect
to a Member shall be deemed not to exceed the limit set forth in this Section if the benefits
Payable, with respect to such Member under this System and under all other qualified
defined benefit pension clans to which the City contributes, do not exceed ten thousand
dollars ($10,0001 for the applicable Plan Year and for any prior Plan Year and the City has
not any time maintained a qualified defined contribution plan in which the Member
participated.
9. Reduction of Benefits.
Reduction of benefits and /or contributions to all clans, where reauired, shall
be accomplished by first reducing the Member's benefit under any defined benefit plans
in which Member participated, such reduction to be made first with respect to the plan in
which Member most recently accrued benefits and thereafter in such priority as shall be
determined by the Board and the plan administrator of such other plans, and next, by
reducing or allocating excess forfeitures for defined contribution plans in which the Member
participated. such reduction to be made first with respect to the plan in which Member most
recently accrued benefits and thereafter in such priority as shall be established by the
Board and the plan administrator for such other plans provided, however, that necessary
/1 -.I: NI.. 4 ncc D.,.i.. G of '27
reductions may be made in a different manner and priority pursuant to the aareement of
the Board and the plan administrator of all other plans coverina such Member.
10. Service Credit Purchase Limits.,
A. Effective for permissive service credit contributions made in limitation,
years beainnina after December 31. 1997. if a Member makes one or
more contributions to purchase permissive service credit under the
System. as allowed in Section 25 and 27. then the reauirements of
this Section will be treated as met only if:
(1) the reauirements of Code Section 415(b) are met. determined
by treatina the accrued benefit derived from all such,
contributions as an annual benefit for purposes of Code
Section 415(b). or
(2) the reauirements of Code Section 415(c) are met. determined
by treatina all such contributions as annual additions for
purposes of Code Section 415(c).
,U, For purposes of applvina suboaraaraoh (1). the System will not
fail to meet the reduced limit under Code Section 415(b)(2)(c)
solely by reason of this subparaaraph (3). and for purposes of
aoolvina subparaaraph (2) the System will not fail to meet the
Dercentaae limitation under Section 415(c)(1)(B) of the Code
solely by reason of this subparaaraoh (3).
B. For purposes of this subsection the term 'Permissive service credit
means service credit
recognized by the System for purposes of calculating a
Member's benefit under the plan.
X22 which such Member has not received under the plan. and
a), which such Member may receive only by makina a voluntary
additional contribution. in an amount determined under the
System. which does not exceed the amount necessary to fund
the benefit attributable to such service credit.
Effective for permissive service credit contributions made in limitation,
years beainnina after December 31. 1997. such term may. if
otherwise provided by the System. include service credit for Periods.
for which there is no performance of service. and. notwithstanding
clause B.(2). mav include service credited in order to provide an
Ordinance No. 1055 Page 16 of 37
increased benefit for service credit which a Member is receiving under
1111 the System.
C. For purposes of applvina the limits in this subsection 10.. only and for
no other purpose, the definition of compensation where applicable will
be compensation actually paid or made available during a calendar
Year. except as noted below and as permitted by Treasury
Reaulations Section 1.415(c) -2. or successor reaulations. Unless
another definition of compensation that is permitted by Treasury
Reaulations Section 1.415(c' -2. or successor reaulation. is specified
by the System. compensation will be defined as wades within the
meanina of Code Section 3401(a) and all other payments of
compensation to an employee by an employer for which the employer
is required to furnish the employee a written statement under Code
Sections 6041(d). 6051(a)(3) and 6052 and will be determined without
reaard to any rules under Code Section 3401(a) that limit the
remuneration included in waaes based on the nature or location of the.
employment or the services performed (such as the exception for
aaricultural labor in Code Section 3401(a)(2).
However. for calendar nears beainnina after December 31,
1997. compensation will also include amounts that would,
otherwise be included in compensation but for an election.
under Code Sections 125(a). 402( &(3). 402(h)(1)(B). 402(k),
or 457(b). For calendar years beainnina after December 31,,
2000. compensation will also include any elective amounts that
are not includible in the aross income of the employee by
reason of Code Section 132(fl(4).
For limitation years beainnina on and after January 1. 2007.
compensation for the calendar year will also include
compensation paid by the later of 2'/2 months after an
employee's severance from employment or the end of the
calendar year that includes the date of the employee's
severance from employment if:
Lai the payment is regular compensation for services during
the employee's reaular working hours. or compensation
for services outside the employee's reaular working
hours (such as overtime or shift differential).
Ordinance No. 1055 Page 17 of 37
commissions. bonuses or other similar payments. and.
absent a severance from employment. the payments
would have been paid to the employee while the
employee continued in employment with the employer:
or
flal the payment is for unused accrued bona fide sick.,
vacation or other leave that the employee would have
been able to use if employment had continued.
(3) Back pay. within the meanina of Treasury Regulations
Section 1.415(c)- 2(a)(8). shall be treated as compensation for
the limitation year to which the back pay relates to the extent
the back pay represents waaes and compensation that would
otherwise be included under this definition.,
D. Notwithstandina any other provision of law to the contrary. the Board,
may modify a request by a Member to make a contribution to the
System if the amount of the contribution would exceed the limits,
provided in Code Section 415 by using the following methods:
al If the law reauires a lump sum payment for the purchase of
service credit. the Board may establish a periodic payment
deduction plan for the Member to avoid a contribution in,
excess of the limits under Code Sections 415(c) or 415(n).
a?. If payment pursuant to subparagraph (1) will not avoid a
contribution in excess of the limits imposed by Code Section
415(c). the Board may either reduce the Member's contribution,
to an amount within the limits of that section or refuse the,
Member's contribution.
11. Additional Limitation on Pension Benefits.,
Notwithstandina anvthina herein to the contrary:
A. The normal retirement benefit or pension payable to a Retiree who,
becomes a Member of the System and who has not previously
participated in such System. on or after January 1. 1980. shall not
exceed one hundred percent (100% of his Averaae Final Compensa-
tion. However. nothina contained in this Section shall apply to
supplemental retirement benefits or to pension increases attributable
to cost- of- livina increases or adiustments.
Ordinance No. 1055 Page 18 of 37
B. No Member of the System shall be allowed to receive a retirement
benefit or pension which is in part or in whole based upon anv service
with respect to which the Member is already receiving, or will receive
in the future, a retirement benefit or pension from a different
employer's retirement system or plan. This restriction does not apply
to social security benefits or federal benefits under Chapter 67, Title
10. U.S. Code.
SECTION 10: That the City of Okeechobee Municipal Firefighters' Pension
Fund, adopted pursuant to Ordinance No. 889, as subsequently amended, is hereby
further amended by amending Section 16, Minimum Distribution of Benefits, to read as
follows:
SECTION 16. MINIMUM DISTRIBUTION OF BENEFITS.
1. General Rules.
A. Effective Date. Effective as of January 1. 1989, the Plan will pay all
benefits in accordance with a good faith interpretation of the
reauirements of Code Section 401(a)(9) and the regulations in effect
under that section, as applicable to a governmental plan within the
meaning of Code Section 414(d). Effective on and after January 1.
2003. the Plan is also subiect to the specific provisions contained in
this Section. The provisions of this Section will apply for purposes of
determining required minimum distributions for calendar years
beginning with the 2003 calendar year.
B. Precedence. The requirements of this Section will take precedence
over any inconsistent provisions of the Plan.
V. r:eotr1` iG i•
the -Code.
C. TEFRA Section 242(b)(2) Elections. Notwithstanding the other
provisions of this Section other than this subsection 1--B. 1.C.,
distributions may be made under a designation made before January
1, 1984, in accordance with Section 242(b)(2) of the Tax Equity and
Fiscal Responsibility Act (TEFRA) and the provisions of the plan that
related to Section 242(b)(2) of TEFRA.
2. Time and Manner of Distribution.
Ordinance No. 1055 Page 19 of 37
A. Required Beainnina Date. The Member's entire interest will be
distributed, or begin to be distributed, to the Member no later than the
Member's required beginning date which shall not be later than April
1 of the calendar year following the later of the calendar year in which
the Member attains age seventy and one -half (70 1/2) or the calendar
year in which the Member
terminates employment with the City.
B. Death of Member Before Distributions Beain. If the Member dies
before distributions begin, the Member's entire interest will be
distributed, or begin to be distributed no later than as follows:
(1) If the Member's surviving spouse is the Member's sole
designated beneficiary, then distributions to the surviving
spouse will begin by December 31 of the calendar year
immediately following the calendar year in which the Member
died, or by a date on or before December 31 of the calendar
year in which the Member would have attained age 70 1/2, if
later. as the survivina spouse elects.
(2) If the Member's surviving spouse is not the Member's sole
designated beneficiary, then, distributions to the designated
beneficiary will begin by December 31 of the calendar year
immediately following the calendar year in which the Member
died.
(3) If there is no designated beneficiary as of September 30 of the
year following the year of the Member's death, the Member's
entire interest will be distributed by December 31 of the
calendar year containing the fifth anniversary of the Member's
death.
(4) If the Member's surviving spouse is the Member's sole
designated beneficiary and the surviving spouse dies after the
Member but before distributions to the surviving spouse begin,
this subsection 2.B., other than subsection 2.B.(1), will apply
as if the surviving spouse were the Member.
For purposes of this subsection 2.B. and subsection 5.,
distributions are considered to begin on the Member's required
beginning date or, if subsection 2.B.(4) applies, the date of
Ordinance No. 1055 Page 20 of 37
distributions are required to begin to the surviving spouse
under subsection 2.B.(1). If annuity payments irrevocably
commence to the Member before the Member's required
beginning date (or to the Member's surviving spouse before
the date distributions are required to begin to the surviving
spouse under subsection 2.B.(1)), the date distributions are
considered to begin is the date distributions actually
commence.
C. Death After Distributions Begin. If the Member dies after the reauired
distribution of benefits has begun. the remaining portion of the
Member's interest must be distributed at least as rapidly as under the
method of distribution before the Member's death..
G.D Form of Distribution. Unless the Member's interest is distributed in
the form of an annuity purchased from an insurance company or in a
single sum on or before the required beginning date, as of the first
distribution calendar year distributions will be made in accordance of
with this Section. If the Member's interest
is distributed in the form of an annuity purchased from an insurance
company, distributions thereunder will be made in accordance with
the requirements of Section 401(a)(9) of the Code and Treasury
regulations. Any part of the Member's interest which is in the form of
an individual account described in Section 414(k) of the Code will be
distributed in a manner satisfying the requirements of Section
401(a)(9) of the Code and Treasury regulations that apply to
individual accounts.
3. Determination of Amount to be Distributed Each Year.
A. General Annuity Reauirements If the Member's interest is paid in the
form of annuity distributions under the Plan, payments under the
annuity will satisfy the following requirements:
(1) The annuity distributions will be paid in periodic payments
made at intervals not longer than one year.
(2) i :,a j .:,r--over a
•u i i i The Member's entire interest must be
distributed pursuant to Section 6. Section 7. Section 9. or
Ordinance No. 1055 Page 21 of 37
Section 10 (as applicable) and in any event over a period equal
to or Tess than the Member's life or the lives of the Member
and a desianated beneficiary. or over a period not extending.
beyond the life expectancy of the Member or of the Member
and a desianated beneficiary. The life expectancy of the
Member. the Member's spouse. or the Member's beneficiary
may not be recalculated after the initial determination for
purposes of determinina benefits.,
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B. Amount Reauired to be Distributed by Reauired Beainnina Date. The
amount that must be distributed on or before the Member's required
beginning date (or, if the Member dies before distributions begin, the
date distributions are required to begin under subsection 2.11 Section
7) is the payment that is required for one payment interval. The
second payment need not be made until the end of the next payment
Ordinance No. 1055 Page 22 of 37
interval even if that payment interval ends in the next calendar year.
Payment intervals are the periods for which payments are received,
e.g., ,monthly, —Nlrl l l: u.l,1 All of the
g•,�q
Member's benefit accruals as of the last day of the first distribution
calendar year will be included in the calculation of the amount of the
annuity payments for payment intervals ending on or after the
Member's required beginning date.
C. Additional Accruals After First Distribution Calendar Year. Any
additional benefits accruing to the Member in a calendar year after the
first distribution calendar year will be distributed beginning with the
first payment interval ending in the calendar year immediately
following the calendar year in which such amount accrues.
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Ordinance No. 1055 Page 23 of 37
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Ordinance No. 1055 Page 24 of 37
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4. General Distribution Rules.
A. The amount of an annuity paid to a Member's beneficiary may not
exceed the maximum determined under the incidental death benefit
reauirement of Code Section 401(a)(9)(G). and effective for any
annuity commencing on or after January 1, 2008, the minimum
distribution incidental benefit rule under Treasury Regulation Section
1.401(a)(9) -6, Q&A -2.
B. The death and disability benefits provided by the Plan are limited by
the incidental benefit rule set forth in Code Section 401(a)(9)(G) and
Treasury Reaulation Section 1.401- 1(b)(1)(I) or anv successor
regulation thereto. As a result, the total death or disability benefits
payable may not exceed 25% of the cost for all of the Members'
benefits received from the retirement system.
6 5. Definitions.
A. Desianated Beneficiary. The individual who is designated as the
beneficiary under the Plan and is the designated beneficiary under
Section 401(a)(9) of the Code and Section 1.401(a)(9) -1, Q&A -4, of
the Treasury regulations.
B. Distribution Calendar Year. A calendar year for which a minimum
distribution is required. For distributions beginning before the
Member's death, the first distribution calendar year is the calendar
year immediately preceding the calendar year which contains the
Member's required beginning date. For distributions beginning after
the Member's death, the first distribution calendar year is the calendar
Ordinance No. 1055 Page 25 of 37
year in which distributions are required to begin pursuant to
I strbseetion 2-B Section 7.
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SECTION 11: That the City of Okeechobee Municipal Firefighters' Pension
Fund, adopted pursuant to Ordinance No. 889, as subsequently amended, is hereby
further amended by amending Section 17, Miscellaneous Provisions, to read as follows:
SECTION 17. MISCELLANEOUS PROVISIONS.
1. Interest of Members in System.
At All assets of the Fund are held in trust. and at no time prior to the
satisfaction of all liabilities under the System with respect to Retirees and Members and
their Spouses or Beneficiaries, shall any part of the corpus or income of the Fund be used
for or diverted to any purpose other than for their exclusive benefit.
2. No Reduction of Accrued Benefits.
No amendment or ordinance shall be adopted by the City Council of the City
of Okeechobee which shall have the effect of reducing the then vested accrued benefits
of Members or a Member's Beneficiaries.
3. Qualification of System
It is intended that the System will constitute a qualified public pension plan
under the applicable provisions of the Code for a aualified plan under Code Section 401(a)
and a aovernmental plan under Code Section 414(d), as now in effect or hereafter
amended. Any modification or amendment of the System may be made retroactively, if
necessary or appropriate, to qualify or maintain the System as a Plan meeting the
requirements of the applicable provisions of the Code as now in effect or hereafter
amended, or any other applicable provisions of the U.S. federal tax laws, as now in effect
or hereafter amended or adopted, and the regulations issued thereunder.
4. Use of Forfeitures.
Forfeitures arising from terminations of service of Members shall serve only
to reduce future City contributions.
5. Prohibited Transactions.
Effective as of January 1. 1989. a Board may not enaaae in a transaction
prohibited by Code Section 503(b'.
6. USERRA.
Ordinance No. 1055 Page 26 of 37
Effective December 12, 1994, notwithstanding any other provision of this
System. contributions. benefits and service credit with respect to qualified military service
are governed bv Code Section 414(u) and the Uniformed Services Employment and
Reemployment Riahts Act of 1994, as amended. To the extent that the definition of
"Credited Service" sets forth contribution requirements that are more favorable to the
Member than the minimum compliance requirements, the more favorable provisions shall
apply.
7. Vesting.
A. Member will be 100% vested in all benefits upon attainment of the
Plan's aae and service reauirements for the Plan's normal retirement
benefit: and
B. A Member will be 100% vested in all accrued benefits. to the extent
funded. if the Plan is terminated or experiences a complete
discontinuance of employer contributions.
8. Electronic Forms.
In those circumstances where a written election or consent is not required bv,
the Plan or the Code. an oral, electronic, or telephonic form in lieu of or in addition to a
written form may be prescribed by the Board. However, where applicable. the Board shall
comply with Treas. Rea. 1.401(a) -21.
5 9. Compliance with Chapter 175. Florida Statutes.
It is intended that the System will continue to qualify for funding under Section
175.101, Florida Statutes. Accordingly, unless otherwise required by law, any provision
of the System which violates the requirements of Chapter 175, Florida Statutes, as
amended from time to time, shall be superseded by and administered in accordance with
the requirements of such chapter.
SECTION 12: That the City of Okeechobee Municipal Firefighters' Pension
Fund, adopted pursuant to Ordinance No. 889, as subsequently amended, is hereby
further amended by amending Section 18, Repeal or Termination of System, to read as
follows:
SECTION 18. REPEAL OR TERMINATION OF SYSTEM.
1. This ordinance establishing the System and Fund, and subsequent
ordinances pertaining to said System and Fund, may be modified, terminated, or amended,
in whole or in part; provided that if this or any subsequent ordinance shall be amended or
repealed in its application to any person benefitting hereunder, the amount of benefits
which at the time of any such alteration, amendment, or repeal shall have accrued to the
Ordinance No. 1055 Page 27 of 37
Member or Beneficiary shall not be affected thereby,
2. If this ordinance shall be repealed, or if contributions to the System are
discontinued or if there is a transfer, merger or consolidation of government units, services
or functions as provided in Chapter 121, Florida Statutes, the Board shall continue to
administer the System in accordance with the provisions of this ordinance, for the sole
benefit of the then Members, any Beneficiaries then receiving retirement allowances, and
any future persons entitled to receive benefits under one of the options provided for in this
ordinance who are designated by any of said Members. In the event of repeal,
discontinuance of contributions, or transfer, merger or consolidation of government units,
services or functions, there shall be full vesting (100 of benefits accrued to date of
repeal and
provisierns-thered such benefits shall be nonforfeitable.
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Ordinance No. 1055 Page 28 of 37
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Ordinance No. 1055 Page 29 of 37
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3. The fund shall be distributed in accordance with the followina procedures:
A. The Board shall determine the date of distribution and the asset value
required to fund all the nonforfeitable benefits after takina into account
the expenses of such distribution. The Board shall inform the City if
additional assets are required. in which event the City shall continue
to financially support the Plan until all nonforfeitable benefits have
been funded.
B. The Board shall determine the method of distribution of the asset
value. whether distribution shall be by payment in cash. by the
maintenance of another or substituted trust fund. by the purchase of
Ordinance No. 1055 Page 30 of 37
insured annuities, or otherwise, for each Firefiahterentitled to benefits
under the plan as specified in subsection C.
C. The Board shall distribute the asset value as of the date of
termination in the manner set forth in this subsection, on the basis
that the amount required to provide any given retirement income is
the actuarially computed sinale -sum value of such retirement income,
except that if the method of distribution determined under subsection
B. involves the purchase of an insured annuity. the amount required
to provide the aiven retirement income is the single premium payable
for such annuity. The actuarial sinale -sum value may not be less than
the Firefiahter's Accumulated Contributions to the Plan, with interest
if provided by the Plan. less the value of any plan benefits previously
paid to the Firefighter.
D. If there is asset value remainina after the full distribution specified in
subsection C.. and after the payment of any expenses incurred with
such distribution, such excess shall be returned to the City. less return
to the State of the State's contributions, provided that, if the excess
is Tess than the total contributions made by the City and the State to
date of termination of the Plan. such excess shall be divided
proportionately to the total contributions made by the City and the
State.
E. The Board shall distribute. in accordance with subsection B.. the
amounts determined under subsection C.
If. after twentv -four (24) months after the date the Plan terminated or the date the
Board received written notice that the contributions thereunder were being permanently
discontinued. the City or the Board of the Fund affected has not complied with all the
provisions in this Section, the Florida Department of Management Services will effect the
termination of the Fund in accordance with this Section.
SECTION 13: That the City of Okeechobee Municipal Firefighters' Pension
Fund, adopted pursuant to Ordinance No. 889, as subsequently amended, is hereby
further amended by amending Section 19, Domestic Relations Orders, Retiree Directed
Payments, Exemption from Execution, Non Assignability, subsection 2., Retiree Directed
Payments, to read as follows:
2. Retiree Directed Payments.
Ordinance No. 1055 Page 31 of 37
The Board may, upon written request by a Retiree or by a dependent, when
authorized by a Retiree or the Retiree's Beneficiary, authorize the System to withhold from
the monthly retirement payment those funds that are necessary to pay for the benefits
being received through the City, to pay the certified bargaining agent of the City, to make
payments to insurance companies for insurance premiums as permitted by Chanter 175.
Florida Statutes. and to make any payments for child support or alimony.
SECTION 14: That the City of Okeechobee Municipal Firefighters' Pension
Fund, adopted pursuant to Ordinance No. 889, as subsequently amended, is hereby
further amended by amending Section 21, Forfeiture of Pension, subsection 1., to read as
follows:
1. Any Member who is convicted of the following offenses committed prior to
Retirement, or whose employment is terminated by reason of his admitted commission, aid
or abetment of the following specified offenses, shall forfeit all rights and benefits under
this System, except for the return of his Accumulated Contributions, but without interest,
as of the date of termination.
Specified offenses are as follows:
A. The committing, aiding or abetting of an embezzlement of public
funds;
B. The committing, aiding or abetting of any theft by a public officer or
employee from employer;
C. Bribery in connection with the employment of a public officer or
employee;
D. Any felony specified in Chapter 838, Florida Statutes.
E. The committing of an impeachable offense.
F. The committing of any felony by a public officer or employee who
willfully and with intent to defraud the public or the public agency, for
which he acts or in which he is employed, of the right to receive the
faithful performance of his duty as a public officer or employee,
realizes or obtains or attempts to obtain a profit, gain, or advantage
for himself or for some other person through the use or attempted use
of the power, rights, privileges, duties or position of his public office
or employment position.
G. The committina on or after October 1. 2008. of any felony defined in
Section 800.04. Florida Statutes. aaainst a victim vounaer than
Ordinance No. 1055 Page 32 of 37
sixteen (16) years of aae, or anv felony defined in Chapter 794.
Florida Statutes, against a victim vounaer than eiahteen (18) years of
aae. by a public officer or employee throuah the use or attempted use
of power. riahts. privileges. duties, or position of his or her public
office or employment position.
SECTION 15: That the City of Okeechobee Municipal Firefighters' Pension
Fund, adopted pursuant to Ordinance No. 889, as subsequently amended, is hereby
further amended by amending Section 26, Direct Transfers of Eligible Rollover
Distributions, Elimination of Mandatory Distributions, to read as follows:
SECTION 26. DIRECT TRANSFERS OF ELIGIBLE ROLLOVER DISTRIBUTIONS
ELIMINATION OF MANDATORY DISTRIBUTIONS
1. Rollover Distributions.
A. General. This Section applies to distributions made on or after
January 1, 2002. Notwithstanding any provision of the System to the
contrary that would otherwise limit a distributee's election under this
Section, a distributee may elect, at the time and in the manner
prescribed by the Board, to have any portion of an eligible rollover
distribution paid directly to an eligible retirement plan specified by the
distributee in a direct rollover.
B. Definitions.
(1) Eligible Rollover Distribution: An eligible rollover distribution is
any distribution of all or any portion of the balance to the credit
of the distributee, except that an eligible rollover distribution
does not include: any distribution that is one (1) of a series of
substantially equal periodic payments (not less frequently than
annually) made for the life (or life expectancy) of the distributee
or the joint lives (or joint life expectancies) of the distributee
and the distributee's designated Beneficiary, or for a specified
period of ten (10) years or more; any distribution to the extent
such distribution is required under section 401(a)(9) of the
Code; and the portion of any distribution that is not includible
in gross income. Any Effective January 1. 2002. anv portion of
any distribution which would be includible in gross income as
after -tax employee contributions will be an eligible rollover
distribution if the distribution is made to an individual retirement
Ordinance No. 1055 Page 33 of 37
account described in section 408(a); to an individual retirement
annuity described in section 408(b); or to a qualified defined
contribution plan described in section 401(a) or 403(a) that
agrees to separately account for amounts so transferred (and
earninas thereon), including separately accounting for the
portion of such distribution which is includible in gross income
and the portion of such distribution which is not so includible;
or on or after January 1. 2007. to a qualified defined benefit
plan described in Code Section 401(a) or to an annuity
contract described in Code Section 403(b). that aarees to
separately account for amounts so transferred (and earnings
thereon). including separately accountina for the portion of the
distribution that is includible in aross income and the portion of
the distribution that is not so includible,.
(2) Eligible Retirement Plan: An eligible retirement plan is an
individual retirement account described in section 408(a) of the
Codei an individual retirement annuity described in section
408(b) of the Codei an annuity plan described in section
403(a) of the Code, effective January 1. 2002, an eligible
deferred compensation plan described in section 457(b) of the
Code which is maintained by an eligible employer described in
section 457(e)(1)(A) of the Code and which agrees to
separately account for amounts transferred into such plan from
this plan: effective January 1. 2002, an annuity contract
described in section 403(b) of the Codei Of a qualified trust
described in section 401(a) of the Code: or effective January,
1. 2008. a Roth IRA described in Section 408A of the Code,
that accepts the distributee's eligible rollover distribution. This
definition shall apply in the case of an eligible rollover
distribution to the surviving Spouse.
(3) Distributee: A distributee includes an employee or former
employee. In—acielitioit It also includes the employee's or
former employee's surviving Spouse
Effective
January 1. 2007. it further includes a nonspouse beneficiary
Ordinance No. 1055 Page 34 of 37
who is a designated beneficiary as defined by Code Section
401(a)(9)(E). However, a nonspouse beneficiary may rollover
the distribution onlv to an individual retirement account or
individual retirement annuity established for the purpose of
receiving the distribution and the account or annuity will be
treated as an "inherited" individual retirement account or
annuity.
(4) Direct Rollover: A direct rollover is a payment by the plan to
the eligible retirement plan specified by the distributee.
2. Rollovers or Transfers into the Fund.
On or after January 1, 2002, the System will accept, solely for the purpose
of purchasing Credited Service as provided herein, permissible Member requested
transfers of funds from other retirement or pension plans, Member rollover cash
contributions and /or direct cash rollovers of distributions made on or after January 1, 2002,
as follows:
A. Transfers and Direct Rollovers or Member Rollover Contributions from
Other Plans. The System will accept either a direct rollover of an
eligible rollover distribution or a Member contribution of an eligible
rollover distribution from a qualified plan described in section 401(a)
or 403(a) of the Code, from an annuity contract described in section
403(b) of the Code or from an eligible plan under section 457(b) of the
Code which is maintained by a state, political subdivision of a state,
or any agency or instrumentality of a state or political subdivision of
a state. The System will also accept legally permissible Member
requested transfers of funds from other retirement or pension plans.
B. Member Rollover Contributions from IRAs. The system will accept a
Member rollover contribution of the portion of a distribution from an
individual retirement account or annuity described in section 408(a)
or 408(b) of the Code that is eligible to be rolled over and- would
3. Elimination of Mandatory Distributions.
Notwithstanding any other provision herein to the contrary, in the event this
Plan provides for a mandatory (involuntary) cash distribution from the Plan not otherwise
required by law, for an amount in excess of one thousand dollars ($1,000.00), such
distribution shall be made from the Plan only upon written request of the Member and
Ordinance No. 1055 Page 35 of 37
completion by the Member of a written election on forms designated by the Board, to either
receive a cash lump sum or to rollover the lump sum amount.
SECTION 16: That the City of Okeechobee Municipal Firefighters' Pension
Fund, adopted pursuant to Ordinance No. 889, as subsequently amended, is hereby
further amended by amending Section 27, Prior Fire Service, Subsection 5., to read as
follows:
5. In no event, however, may Credited Service be purchased pursuant to this
Section for prior service with any other municipal, county or special district fire department,
if such prior service forms or will form the basis of a retirement benefit or pension from a
different emp!oyer's retirement system or plan as set forth in Section 15, subsection 8-:B
11.B.
SECTION 17: That the City of Okeechobee Municipal Firefighters' Pension
Fund, adopted pursuant to Ordinance No. 889, as subsequently amended, is hereby
further amended by amending Section 28, Deferred Retirement Option Plan, subsection
4.B., Form of Distribution, to read as follows:
4. B. Form of Distribution.
(1) Unless the Member elects otherwise, distribution of his DROP
Account shall be made in a lump sum, subject to the direct
rollover provisions set forth in subsection 4.F.
ni et the
Member-mar eleet7 Elections under this paragraph shall be in
writing and shall be made in such time or manner as the Board
shall determine.
(2) If a Member dies before his benefit is paid, his DROP Account
shall be paid to his Beneficiary in such optional form as his
Beneficiary may select. If no Beneficiary designation is made,
the DROP Account shall be distributed to the Member's estate.
SECTION 18: Specific authority is hereby granted to codify and incorporate this
Ordinance in the existing Code of Ordinances of the City of Okeechobee.
SECTION 19: All Ordinances or parts of Ordinances in conflict herewith be and the
same are hereby repealed.
Ordinance No. 1055 Page 36 of 37
SECTION 20: If any section, subsection, sentence, clause, phrase of this
ordinance, or the particular application thereof shall be held invalid by any court,
administrative agency, or other body with appropriate jurisdiction, the remaining section,
subsection, sentences, clauses, or phrases under application shall not be affected thereby.
SECTION 21: That this Ordinance shall become effective upon adoption.
Introduced on first reading and set for public hearin. this 6th day of October. 2009.
i .41'
/ames E. Kirk, Mayor
ATTEST:
CUM_ GIN.A ,d.Lg
YS d
Lane Gamiotea, CitClerk
Passed on second reading after public hearing thi 3rd day of November. 2009.
I j./
Sames E. Kirk, Mayor
ATTE T
RN_ Ai
Lane Gamiotea, City)Clerk
APPROVED FOR LEGAL S FFICIENCY:
CL\AK 6 2.-
John R. Cook, City Attorney
d m /ok/f ire/09-21 -09. ord
III
Ordinance No. 1055 Page 37 of 37