(a) The pension reserve fund is hereby created. It shall be the fund in which shall be accumulated reserves for the payment of all pensions payable from funds provided by the City. Upon the basis of such mortality and other experience tables, and regular interest as the Board of Trustees shall from time to time adopt, the Actuary shall annually compute the pension reserves:
(1) For pensions being paid retirants and beneficiaries; and
(2) Covering service rendered and to be rendered by members.
(b) The pension reserves shall be financed by annual appropriations, to be made by the City Council and Board of Hospital Managers, determined according to subsections (1), (2) and (3) of this subsection (b), subject to subsections (c) and (d) of this section.
(1) The appropriation for members’ current service shall be a percent of their annual compensations which will produce an amount which if paid annually by the City during their future service will be sufficient to provide the reserves, at the time of their retirements, for the portions of the pensions to be paid them based upon the future service.
(2) The appropriation for members’ accrued service shall be a percent of their annual compensations which will produce an amount which if paid annually by the City over a period of years, to be determined by the Board of Trustees, will amortize, at regular interest, the unfunded pension reserves for the accrued service portions of the pensions to which they may be entitled.
(3) The appropriation for pensions being paid retirants and beneficiaries shall be a percent of the annual compensations of members which will produce an amount which, if paid annually by the City over a period of years, to be determined by the Board of Trustees, will amortize, at regular interest, the unfunded pension reserves for pensions being paid retirants and beneficiaries.
(4) Each year following receipt of the report of the annual actuarial valuation, the balance in the retirement reserve fund shall be set equal to the actuarial present value of pensions being paid retirants and beneficiaries by a transfer to or from the pension reserve fund. The pending transfer shall be taken into account by the Actuary when making the actuarial valuation.
(c) The Board of Trustees shall report to the City Council, on or before June 30 of each year, the amount of contributions to be made by the City and Board of Hospital Managers. The City and Board of Hospital Managers shall respectively appropriate and pay the amounts of contributions out of available funds to the retirement system during the ensuing fiscal year.
(Ord. 1860, passed 8-16-1965; Ord. 2967, passed 8-26-1985; Ord. 3495, passed 5-28-2002; Ord. 3591, passed 6-24-2004; Ord. 3642, passed 4-11-2005)