(A) Pursuant to present federal and state law, all full-time employees of the Police and Fire Divisions of the city who contribute to the Police and Firemen’s Disability and Pension Fund of Ohio could defer the federal and state income taxes on a portion of their wages and salaries if the city would pick up the statutorily required contribution by such employees to the Police and Firemen’s Disability and Pension Fund.
(B) The city will not incur any additional costs in the deferment of federal and state income taxes.
(C) (1) Effective 4-1-1984, and subject to division (D) below, the full amount of the statutorily required contribution to the Police and Firemen’s Disability and Pension Fund shall be withheld from the gross pay of each employee and shall be “picked up” (assumed and paid to the Police and Firemen’s Disability and Pension Fund). Such pick-up shall be designated as the public employee’s contribution and shall be in lieu of contributions to the Fund by each employee. No employee subject to such pick-up shall have the option of choosing to receive the statutorily required contribution to the Fund directly instead of having it picked up by the city, or of being excluded from the pick-up.
(2) The city shall, in reporting and making remittance to the Fund, report that the public employee’s contribution for each person subject to such pick-up has been made as provided by statute.
(D) If any person within the classes established in division (A) above is subject to a pick-up by the city of his or her statutorily required contribution to the Fund, other than as provided by this section, the pick-up provided herein shall apply only to an amount equal to the difference between the full amount of that person’s statutorily required contribution to the Fund and the amount which is picked up by the city, other than as provided by this section.
(E) The gross wage or salary of any person subject to the pick-up provided by this section shall not change as a result of such pick-up.
(F) The Director of Finance is hereby directed to implement this section to effect the pick-up of the statutorily required contributions to the Fund for those employees within the classes established in division (A) above so as to enable them to obtain the resulting federal and state tax deferments and other benefits.
(G) (1) Ohio Police and Fire Pension Fund has adopted new procedures for reporting picked-up contributions in order to properly prepare 1099-R forms for its members.
(2) The Council wishes to reaffirm, amend and/or restate its prior resolution in order to continue the pick-up under the new procedures.
(3) The city will pick up all of the mandatory contributions required to be paid under Ohio R.C. 742.31 for participating employees of the Fire and Police Department who are members of the Ohio Police and Fire Pension Fund.
(Prior Code, § 254.12) (Ord. 47-1984, passed 4-2-1984; Res. 74-2013, passed 5-13-2013)