(A) Except as changed, modified or supplemented by the provisions of this section, the provision of the prior system pertaining to financing shall be applicable to this supplemental system. The following additional provisions shall apply:
(1) Members shall contribute 7% of their base earnings, excluding overtime, bonuses and other nonregular payments, in order to receive the benefits of this system.
(2) There shall be promptly deposited into the Fund all refunds of state premium tax moneys allocable to the payment of benefits for members hereunder.
(3) The remaining amount necessary to fund the annual normal cost of the supplemental system, plus an amount sufficient to amortize the unfunded accrued liability over a period of not to exceed 40 years shall be paid by the city and deposited annually in the Fund.
(4) All moneys from whatever source required for the funding of benefits under both the prior and supplemental systems may be commingled in the Fund for investment purposes. At all times, records shall be maintained by the city or by designated agents in its behalf, reflecting the respective amounts and sources of contributions as respects the prior and supplemental systems, as well as earnings and gains (or loss) in asset value properly allocable to such amounts.
(5) That all members of the plan enrolled under the 1% retirement option existing prior to the effective date of this subchapter (October, 1986) shall have a one-time option to buy back the time covered by the 1% benefit option plan by paying into the plan the required contribution, or electing to have his final retirement prorated at the 1% benefit for the period served thereunder and the balance of time at the 2½% benefit. Members who elect to buy back the time covered by the 1% benefit option plan shall have a reasonable period of time in which to do so. For the purpose of this section only, “reasonable” shall be defined as a period of time equal to twice the length of time previously covered under the 1% benefit option plan, up to but not exceeding ten years (for example, up to two years of time in which to buy back each year of 1% benefit coverage, to a maximum of ten years.
('72 Code, § 24-83)
(B) The general administration and responsibility for the proper operation of the supplemental system and for making effective and implementing the provisions of this subchapter are hereby vested in the Board, authorized and established for purposes of the prior system. The authority and responsibility of said Board, as well as its composition, as specified in the provisions pertaining thereto for the prior system shall apply in like manner to the supplemental system.
('72 Code, § 24-84)
(C) The provisions of the prior system pertaining to custodianship and fund investments shall apply herein to the supplemental system and assets thereof, provided that appropriate records are maintained at all times so as to reflect respective asset values, earnings and gain (or loss) on such assets. Subject to the above, all fund assets may be commingled for investment purposes.
('72 Code, § 24-86)
(D) (1) Each member of this supplemental system as of 30 days subsequent to the adoption hereof by the city shall have the option to elect in writing to make payments to the Fund in order that his continuous service prior to 30 days subsequent to the adoption hereof by the city shall be credited at the rate of 2½% of average monthly earnings, as under the prior system, instead of 1% of average monthly earnings, as under this supplemental system prior to 30 days subsequent to the adoption hereof by the city. The amount of the payment to the Fund shall be equal to the amount which would have been contributed by the member had he been a member of the prior system to 30 days subsequent to the adoption hereof by the city. The Board shall notify each applicable person of the amount which must be paid, and said person shall have one and one-half years for each one year employed to buy back his benefits. Payments may be made through payroll deduction or by any other method approved by the Board. Each member who elects in writing not to buy back his previous continuous service at the 2½% rate shall have said years credited at the rate of 1% of average monthly earnings in effect on date of retirement or termination.
(2) All firefighters who are members of the prior pension system pursuant to Charter Article XIII shall have a single 90-day option period, said option period to begin 30 days after the adoption of this section, in which to elect in writing to become a member of the supplemental pension system, and may elect to have a 2½% contributory retirement benefit or a one percent noncontributory retirement benefit. Except as hereinafter specified, the benefit for any firefighter who chooses to become a member of the supplemental plan shall thereafter be determined under the provisions of this supplemental system; providing that regular retirement benefits for service under the prior system up to the date the member chose to become a member of this supplemental system, shall be determined on the basis of 2½% of average monthly earnings, as defined under the prior system, times years and completed months of continuous service, and thereafter under this system on the basis of 1% of average monthly earnings, as defined under the supplemental system, times years and completed months of continuous service. Provided further, any employee electing to become a member of this supplemental system shall be required to leave his own contributions in the prior system in order to receive said 2½% of benefit credit for service prior to his electing to become a member of this supplemental system.
('72 Code, § 24-87)
(Ord. O-76-93, passed 12-1-76; Am. Ord. O-80-24, passed 5-7-80; Am. Ord. O-84-27, passed 6-6-84; Am. Ord. O-86-61, passed 12-3-86)