(A) Retirement annuity; requirements. Any member may, at his or her option, retire on a service retirement annuity on or after attainment of the age of 48 years; provided, he or she shall have completed at least ten years of total service; provided, however, that, if a member is laid off or his or her job is eliminated before he or she reaches the age of 48, he or she shall be entitled to retire on a service retirement annuity before the age of 48, if he or she has complied with all other terms required to qualify for retirement. Upon fulfillment of these terms, the Board shall grant the retirement annuity upon receipt of the application of the member.
(B) Retirement before age 48; option to acceptance of annuity. Any member who withdraws from service prior to age 48 years after having completed at least ten years of total service, and who does not accept a refund of contributions, shall receive, upon application, a certificate entitling him or her to a service-retirement annuity upon his or her attainment of age 48, or upon total disability as set forth in § 34.50(B) of this chapter, specifying the amount of the annuity earned and accrued at the date of withdrawal from service.
(C) Compulsory retirement. Each member is subject to compulsory retirement according to the rules of the city; provided that, any member able to perform his or her assigned duties shall not be precluded from serving at least ten years.
(D) Calculation of annuity rate. The rate of retirement annuity is 2.5% of the average salary of the employee for each year of total service for the first 20 years, 2% of the average salary for each year of total service for five years after the first 20 years, and 1% of the average salary for each year of total service after 25 years, subject to a maximum of 65% of average salary. Fractional periods of service shall be considered in the calculation of such annuities according to the above rate.
(E) Pension plan.
(1) The pension plan established by Ord. O-39-64, as amended, is hereby frozen effective 4-1-1977 to participation by those existing city employees who are then participating therein and who filed with the City Clerk on or before 4-30-1977, a written election to continue participating therein in lieu of participating in CERS.
(2) The city elects to participate in CERS effective 4-1-1977, and authorizes the Mayor and City Manager to execute the appropriate instruments to effectuate such election.
(3) Any employee now participating in the existing city pension plan is authorized to terminate such participation and transfer to CERS.
(4) The city shall continue to fund and manage its existing pension plan for the benefit of the employees electing to continue therein.
(5) Employees hired after 3-31-1977, who are otherwise eligible to participate in the city’s Pension Plan, shall participate only in CERS; provided that, city employees hired after 3-31-1977, shall not be eligible to participate in CERS until they have been employed continuously for 180 days.
(6) Excluded from participating in CERS as authorized by KRS 78.530 are the employees of the Municipal Housing Authority and those other city employees who are hired as temporary, part-time, seasonal and emergency workers, as defined in KRS 78.510 through 78.990.
(7) The city adopts terms and provisions of CERS under KRS 78.510 through 78.990 and elects the Regular Participation Plan, beginning 4-1-1977.
(F) Cost of living increase.
(1) A cost of living increase based on the “All Items Index” of the United States Department of Labor’s Consumer Price Index may be granted by the Board of Trustees so long as the increase may be supported on an actuarially sound basis by the Fund.
(2) No increase shall exceed 5% or the actual increase in the cost of living whichever is lower.
(1984 Code, § 34.66) (Ord. O-39-64, passed 7-23-1964; Ord. O-48-71, passed 8-26-1971; Ord. O-15-80, passed 2-19-1980; Ord. O-16-84, passed 3-13-1984; Ord. O-45-94, passed 12-13-1994; Ord. O-72-95, passed 12-28-1995; Ord. O-50-00, passed 9-19-2000)