1. Participant Contributions. Each participant shall make regular monthly contributions to the plan at a rate calculated as follows:
A. Where positions covered by the plan are included in an agreement under the Federal Social Security Act, participants shall pay into the plan, a monthly amount, which shall not be less than 5% nor more than 8% of his basic monthly earnings, determined as follows:
(1) If the plan provides for no offset under § 419(2), 5% of basic monthly earnings; or
(2) If the plan provides for an offset under § 419(2);
(a) On basic monthly earnings on which Social Security taxes are payable, at a rate calculated by subtracting from 5%, the product obtained by multiplying 3% by such offset percentage; and
(b) On basic monthly earnings in excess of that on which Social Security taxes are payable, if any, 5%.
B. Where positions covered by the plan are not included in an agreement under the Federal Social Security Act, participants shall pay into the plan a monthly amount which shall not be less than 5% nor more than 8% of his basic monthly earnings.
Such contribution rate shall be specified in Part IV-1 of the Joinder.
2. Payment of Participant Contributions. Such participant contributions shall be deducted from the participant's basic monthly earnings in each month of his aggregate service during which he is a participant hereunder.
3. Reduction of Participant Contributions. Notwithstanding the preceding, if an actuarial study shows that the condition of the pension fund is such that payments into the fund by participants may be reduced below the minimum percentages hereinbefore prescribed, or may be eliminated, and that, if such payments are reduced or eliminated, contributions by the employer will not be required to keep the pension fund actuarially sound, the employer may, on an annual basis, by ordinance or resolution, reduce or eliminate payments into the pension fund by participants.
4. Payments of State Aid. Payments of General Municipal Pension System State Aid, or any other amount of State aid received in accordance with the Act, which are received by the employer and deposited into the pension fund governed by this plan shall be used as follows: (A) to reduce the unfunded liability or, after such liability has been funded, (B) to apply against the annual obligation of the employer for future service costs, or to the extent that the payment may be in excess of such obligation, (C) to reduce participant contributions hereunder.
5. Employer Contributions. The remainder of the needed annual contributions, as determined by the actuary in accordance with the Act, shall become the obligation of the employer, and shall be paid into the trust fund by annual appropriations.
(Ord. 253, 2/3/1997, Master Trust Document, Art. IV)