(a) Each member hired before January 1, 2017 shall be entitled to receive a pension benefit, provided the member has completed at least 20 years of credited service with the employer and has attained 55 years of age. A member hired on or after January 1, 2017 shall be required to have completed at least 15 years of credited service with the employer and to have attained 60 years of age.
(b) A member entitled to a pension benefit shall receive monthly income payments during the member's lifetime. For members hired before January 1, 2017, the total amount payable per month shall be equal to one-half of the member's final monthly average salary reduced by 50% of the member's monthly social security benefit. For members hired on or after January 1, 2017, the monthly benefit shall be calculated at 1.5% of final monthly average salary for each year of service completed with no social security offset.
(c) The normal form of payment of benefits shall be as a series of monthly payments continuing throughout the life of the member. In lieu of the normal form, a member may elect to receive a reduced benefit during the member's life, so that benefit payments will be continued to a contingent annuitant following the member's death. The amount of benefit payable to the contingent annuitant shall be elected by the member and shall be equal to 50%, 66.67% or 100% of the amount of the member's benefit. The value of the contingent annuitant option shall be the actuarial equivalent of the normal form of payment. If a member makes an election of this optional form of payment within the six-month period before the member's retirement date, he or she shall supply satisfactory evidence of good health to the employer in order to be eligible to receive such optional form of payment.
If a member elects to receive the member's benefit in the optional form and the member's designated contingent annuitant dies after the member's payments have commenced, the member may not change the member's election and the member's payments shall continue in the same reduced monthly amount, with no benefit payable to any other person upon the member's death. A member may change or rescind the member's election, without the consent of any designated beneficiary chosen earlier by such member.
(d) Each member hired before January 1, 2017 who retires after age 55 who becomes entitled to a pension benefit shall also become entitled to payment of a service increment benefit equal to the number of whole years of service completed in excess of 20 multiplied by 1% of final monthly average salary, to a maximum of 20% of final monthly average salary. Members hired on or after January 1, 2017 shall not be eligible for this benefit.
(Ord. 4440. Passed 10-28-87; Ord. 5355. Passed 6-14-23.)