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(a) Employee Contributions. As a condition of participation in the Plan, each employee shall contribute to the Plan by payroll deduction. Each member shall contribute an amount equal to one percent of the member's compensation. Each employee must have executed the appropriate documents authorizing the employer to deduct the contributions from the pay of the employee. Such contributions shall be required until such time as the employer, consistent with any provisions of applicable law, shall reduce or eliminate the requirement. A participant who is on an authorized leave of absence shall have the obligation to contribute hereunder waived during the period of such authorized leave of absence.
(Ord. 2224. Passed 12-29-97.)
(b) Employer Contributions. The employer shall contribute to the Plan the amount determined by the Plan's actuary and certified by the Chief Administrative Officer as the amount which is necessary to adequately fund the benefits hereunder, in accordance with the requirements of the Act, as provided in Section 292.12(b). The contributions of the employer for a given year may be reduced by other contributions to the Plan, including, but not limited to, employee contributions, State aid contributions or gifts.
(c) State Aid Contributions. Payments of general Municipal pension system State aid, or any other amount of State aid payments in accordance with the Act, which are received by the employer and deposited into the Pension Fund, shall be used to the extent permitted pursuant to the Act to reduce the unfunded liability or, after such liability has been funded, 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, to reduce employee contributions hereunder.
(d) Gifts. To the extent permitted by law, the Plan Administrator may accept gifts, outright or in trust, for deposit into the Pension Fund. The application of such gifts shall be governed by the rules of the Plan and such directions prescribed by the donor as are not inconsistent with the rules of the Plan and applicable law. Such gifts shall be applied in the same manner as State aid contributions.
(e) Use or Diversion of Assets. At no time shall it be possible for the Plan assets to be used for, or diverted to, any purpose other than for the exclusive benefit of the participants and their beneficiaries, except that contributions made by the employer may be returned to the employer if the contribution was made due to a mistake of fact and the contribution is returned within one year of the mistaken payment of the contribution, or the Plan is terminated, as provided in Section 292.11.
(Ord. 2138. Passed 3-15-93.)