(a) Hurley Medical Center bargaining units, AFSCME Local 1973, AFSCME Local 2056, AFSCME Local 814, AFSCME Local 825, Medical Technologists Organization, RNRPHHMC Union, and Nurse Managers and Case Managers Organization (collectively the “electing bargaining units” for purposes of this section), agreed to terminate their membership within the retirement system as of July 1, 2004, and have their accrued benefits and membership transferred to the Municipal Employees Retirement System (“MERS”) of Michigan. A retirement system member who transfers to the Municipal Employees Retirement System of Michigan:
(1) Ceases to be a member of the retirement system effective July 1, 2004;
(2) Becomes a member of the Municipal Employees Retirement System of Michigan effective July 1, 2004;
(3) Waives all of his or her rights to a pension, annuity, retirement allowance, insurance benefit or any other benefit under the retirement system; and
(4) Acknowledges and approves the transfer of the funded portion of the present value of the accrued actuarial liability of his or her retirement benefit in accordance with subsections (d) and (e) below.
(b) Hurley Medical Center employees who are not members of any bargaining unit, and all vested former members, retirees or beneficiaries, shall be given the right to make a one-time, irrevocable written election to opt out of the retirement system and transfer to MERS, during a window period to be established by Hurley Medical Center. By so electing, each employee, vested former member, retiree or beneficiary:
(1) Ceases to be a participant in the retirement system effective on the date of written election;
(2) Becomes a participant in MERS effective on the date of written election;
(3) Waives all of his or her rights to a pension, annuity, retirement allowance, insurance benefit or any other benefit under the retirement system; and
(4) Acknowledges and approves the transfer of the funded portion of the present value of the accrued actuarial liability of his or her retirement benefit in accordance with subsections (d) and (e) below.
(c) The election right provided in subsection (b) above shall not be provided to retirees who retired from an electing bargaining unit position after July 1, 2004.
(d) An actuary shall determine the amount to be transferred pursuant to subsections (a) and (b) above by using a methodology approved by the Board of Trustees, the Board of Trustees of Hurley Medical Center and MERS. Hurley Medical Center will compensate the retirement system for the cost of this actuarial determination.
(e) For each retirement system member whose participation in the retirement system terminates under subsection (a) or (b) above, the Board of Trustees shall direct the custodian of the funds of the retirement system to transfer to MERS the amount calculated pursuant to subsection (d) above.
(f) The retirement system shall have no liability with regard to the actuarial calculations as set forth in subsection (d) above.
(g) The provisions of this section shall apply in the event other Hurley Medical Center bargaining units subsequently elect MERS participation, except a one-time window to opt out of the retirement system and transfer to MERS may also be offered to retirees from the bargaining units who have not previously been offered this opportunity.
(h) Any employee hired by Hurley Medical Center into a nonunion position on or after September 1, 2008 shall participate in pension benefits provided under MERS in accordance with MERS provisions and shall not be a member of the retirement system.
(Ord. 3747, passed 1-12-2009)