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(a) The City shall distribute benefits under the Pension Savings Plan to a participant or the participant’s beneficiary only upon termination of the participant’s employment with the City or the participant’s retirement, disability or death.
(b) If a participant retires or terminates from City service, the full amount credited to the participant’s account plus or minus subsequent investment gains or losses, less any income taxes required to be withheld, shall be distributed to the Participant in a single cash payment sixty (60) days from the time of the Participant’s retirement or separation from City service. Provided however, a Participant may instead irrevocably elect, on a form provided by the City or its duly authorized agent: (i) to transfer such amount to another Eligible State Deferred Compensation Plan, (ii) defer distribution of such amount for up to 24 months pending rehire, or (iii) if such amount exceeds $3500, leave the accumulated funds in the Plan. A request to withdraw funds left in the Plan may be made at any time after retirement or separation from City service.
(c) The Participant may elect the payment option under subsection (b) only prior to the commencement of any distribution of any distribution under the Plan.
(d) No financial hardship withdrawals shall be allowed under the Plan while a Participant remains an active City employee.
(e) Distributions shall commence not later than the later of: (1) sixty (60) days after the close of the plan year in which the participant attains normal retirement age, or (2) sixty (60) days after the close of the plan year in which the participant separates from City service.
SECTION HISTORY
Added by Ord. No. 169,047, Eff. 10-23-93.
(a) In the event of total disability of a participant while an employee of the City, the City shall distribute the entire balance of the participant’s account in accordance with Sec. 4.1606. For purposes of this section, a participant shall be considered totally disabled if the participant is unable to engage in any substantial employment by reason of any medically determinable physical or mental impairment. Any determination of a participant’s total disability shall be at the discretion of the City.
(b) In the event of the death of the participant while the participant is an employee of the City, the City shall cause to be paid to the participant’s beneficiary or beneficiaries the full amount of compensation credited to the participant’s Investment Account less fees plus or minus subsequent gains or losses, but less any income taxes required to be withheld, in one or more of the following methods to be selected at the discretion of the City: (i) consecutive monthly payments for a number of months not less than six (6) and not more than one hundred and eighty (180), (ii) consecutive monthly payments for the life of the participant’s beneficiary or beneficiaries except that this option shall be available for spouses only, or (iii) a single payment. Total benefits distributed shall not exceed the sum of the amounts deferred by the participant plus or minus gains or losses, but less any income taxes required to be withheld.
(c) In the event of the death of the participant subsequent to termination of employment but prior to receipt of all amounts due under the Plan, the City shall cause to be paid to the participant’s beneficiary or beneficiaries the balance, if any, in the participant’s Investment Account which would have been paid to the participant in one or more of the methods provided in Subsection (b) of this section. The method of disbursement shall be at the discretion of the City.
SECTION HISTORY
Added by Ord. No. 169,047, Eff. 10-23-93.
In the event the participant’s interest in the Plan is of a community property nature, in whole or part, and such community property interest is awarded, in whole or part, to the participant’s spouse pursuant to proceedings for legal separation, dissolution, nullity, or other proceedings to terminate the marriage, then that portion of the participant’s interest in the Plan awarded to the participant’s spouse shall be paid to the participant’s spouse, but less nay income taxes required to be withheld, provided that the amount so paid shall not exceed the full amount of compensation credited to the participant’s account plus or minus subsequent gains or losses, less any income taxes required to be withheld, and further provided that the participant’s account shall be reduced accordingly. Distribution of such community property interest may not be made until distribution commences for the participant.
SECTION HISTORY
Added by Ord. No. 169,047, Eff. 10-23-93.
Notwithstanding any other provisions of this section, the City may change the time or methods of distribution of benefits available under the Plan provided such changes comply with Internal Revenue Service rules and regulations.
SECTION HISTORY
Added by Ord. No. 169,047, Eff. 10-23-93.
(a) The Plan shall be administered by the General Manager of the Personnel Department, provided, however, that said General Manager may contract with one or more private firms for services related to the Plan. Contractor fees shall be reimbursed from earnings of the Plan and paid from the earnings of the participant’s account. The administrator shall be responsible for preparation and delivery to the Council and to Plan participants, of annual reports concerning the administration and financial condition of the Plan.
(b) The Pension Savings Plan Advisory Committee, which shall consist of the members set forth in Section 4.1407 of the Los Angeles Administrative Code, shall provide advice to the General Manager of the Personnel Department regarding the administration of the Plan and regarding the methods of distribution of benefits.
SECTION HISTORY
Added by Ord. No. 169,047, Eff. 10-23-93.
Amended by: In Entirety, Ord. No. 170,512, Eff. 6-10-95.
If a participant terminates from City service in order to accept employment with another eligible employer (within the meaning of Section 457 of the Internal Revenue Code) which sponsors and “eligible deferred compensation plan” and if the participant so elects on a form provided by the City or its authorized delegate, no distribution of amounts credited to such participant’s account shall be made under this Plan but instead shall be transferred to the “eligible deferred compensation plan” of the new employer of such participant, provided that such plan specifically authorizes acceptance of amounts transferred in this manner. In the event that a participant has entered City service after having been a participant i another such “eligible deferred compensation plan”, the City will accept a transfer of funds from such other plan for credit to such participant’s Investment Account.
SECTION HISTORY
Added by Ord. No. 169,047, Eff. 10-23-93.
A Participant who remains an active City employee, who commences participation in one of the City’s other retirement plans and who meets the eligibility requirements of any other “eligible deferred compensation plan” sponsored by the City, may elect to transfer the Participant’s membership in the Pension Savings Plan and any amounts credited to the Participant’s investment account to the City’s Deferred Compensation Plan. Upon transfer to a position which provides for membership in one of the City’s other retirement plans, both Participant and City contributions to the Pension Savings Plan shall cease.
SECTION HISTORY
Added by Ord. No. 169,047, Eff. 10-23-93.
The Pension Savings Plan may be amended or terminated by the City at any time or the City may, without amending or terminating the Plan, cease to set aside assets under the Plan. No amendment or termination of the Plan, and no cessation of the setting aside of assets shall reduce or impair the rights of any participant or beneficiary which have already accrued. In the event the Plan is terminated by the City, the City shall distribute to each participant in a single cash payment the balance in such participant’s Investment Account, less any tax liabilities, as soon as practicable after such termination.
SECTION HISTORY
Added by Ord. No. 169,047, Eff. 10-23-93.
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