The following words and phrases, as used in this article, unless a different meaning is plainly required by the context, shall have the following meanings, and the same and similar terms when used in connection with any civil service system or any other ordinance of the city shall not necessarily apply to the members of the retirement system hereby created except when specifically adopted:
Actuarial equivalent. A benefit of equal value or equal cost when computed on the basis of such interest rates, mortality, and other actuarial tables as are in effect under the plan. For plan years beginning after December 31, 2002 for purposes of Code Section 415(b), the mortality table is the table used under Code Section 417(e) as prescribed by the Secretary of the Treasury in Rev. Rul. 2001-62.
Annuity. Annual payments for life to be paid in equal monthly installments with the first payment made as of the first day of the month in which retirement occurs and continuing until death with the last payment made as of the first day of the month in which death occurs.
Annual earnings. Gross earnings received by the employee as compensation for services to the city, including overtime pay. Bonuses shall be excluded. Flexible benefits shall be excluded. Effective June 18, 2013 overtime included in pensionable compensation is limited to 300 hours per member per year. Prior to June 18, 2013 all overtime is included in the definition of pensionable compensation. No hours of unused accumulated sick and vacation leave earned after June 18, 2013 shall be considered annual earnings. However, members may include all unused hours earned prior to June 18, 2013 provided that amount of hours is cashed in at retirement. Beginning with annual earnings after December 31, 2008, and pursuant to Internal Revenue Code Section 414(u)(7), the definition of annual earnings includes amounts paid by the city as differential wages to members who are absent from employment while in qualified military service.
Beneficiary. Any person in receipt of, or entitled to, an annuity, retirement allowance, or other benefit as provided by this article.
Board of Trustees. For the purposes of this article, “Board of Trustees,” “Board” or “Trustees” shall be construed to mean the members of the City Council, unless the said Council, by resolution, designates additional or substitute individuals to perform the duties and functions of such Board of Trustees.
Charter. The charter of the city, as amended.
City. The City of Boynton Beach, Florida.
City’s contribution. The annual contribution needed to fund actuarially the liability for annuities credited to employees on the basis of actuarial methods and assumptions approved by the Council.
Code. The Internal Revenue Code of 1986, as amended.
Creditable service. Service in the employment of the city for which credit is allowed under the terms of this article. Such service shall be computed to the nearest whole month of completed service but not including any fractional parts of a month.
Effective date of the plan. The date on which the operation of the plan is to commence for the purpose of determining eligibility, benefits and related matters, which is hereby fixed as the first day of April, 1968.
Employee. All full-time persons employed by the city and so classified under rules and regulations and personnel records of the city, including “probational” or permanent employees. Any appointed officer shall only be qualified under this plan under one office and that office being the one from which he receives the largest annual salary, compensation or remuneration. Independent contractors are excluded.
Fund or pension fund. All sums of money paid into the plan by the city, and all gifts and contributions to the fund, accepted from other sources, together with earnings and appreciation of the same, less disbursements made from said money, in accordance with the plan, or less any losses or depreciation, as asset value.
Gender. The masculine pronoun shall include the feminine pronoun.
Member. Any person employed by the city who is included in the membership of the plan as either an original member or a new member. However, a member shall be limited and restricted to the definition of employee.
Membership service. Service rendered as a full- time permanent employee since last becoming a member of the plan. Such service shall be computed to the nearest full month of completed service but not including any additional fractional parts of a month.
New member. Any permanent employee who becomes a member of the plan after the effective date of the plan.
Normal retirement date. The normal retirement date of a member shall be his or her normal retirement date as determined in accordance with the terms of the plan.
Original member. Any permanent employee of the city who becomes a member as of the effective date of the plan.
Past service. Continuous service rendered as a full-time employee from his or her date of employment to the effective date of the plan.
Permanent employee. An employee who has completed his or her probationary period, been approved for permanent status by the department head under whom he or she is employed, or the city council, if approved by it, and has been certified by the City Clerk or City Manager as a permanent employee, or according to the personnel records of the city pertaining to such employee. Certification or approval for permanent status shall be subject to the rules of the career service system of the city.
Plan, pension plan or employees’ pension plan. The system of retirement benefits provided under this article.
Plan year. A period of 12 consecutive months measured on the basis of the fiscal year, or from any anniversary thereof. The fiscal year will commence October 1 of each year and end September 30 of each year.
Retirement. Withdrawal from active employment by the city with retirement income granted under the provisions of this plan.
Spouse. The spouse of a member who was married to the member throughout the two-year period ending on the date of the member’s death.
Total and permanent disability. Includes any disablement caused by sickness or accident which prevents the member from working at any job for wage or profit and which will continue for the remainder of the member’s life. The determination of whether or not a member is totally and permanently disabled shall be made by the city’s Long Term Disability Company.
Treasurer. The treasurer of the plan is the city finance officer.
(Code 1958, § 21-25; Ord. No. 90-6, § 1, 4-17-90; Ord. No. 90-41, § 2, 9-18-90; Ord. No. 99-14, passed 6-1-99; Ord. No. 10-006, § 2, 2-16-10; Ord. No. 10-028, § 2, 11-3-10; Ord. 11-034, § 2, 1-3-12; Ord. No. 13- 035, § 2, 12-3-13; Ord. No. 15-008, § 2, 3-2-15)