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Any member or the survivor of a deceased member who is eligible for a retirement allowance under the provisions of this Article may, in lieu of the annuity payment calculated on the basis of the refund of unused contributions, elect to receive an annuity payable only during the life or lives of the persons covered by the option with no payment due upon the death of the last survivor on account of unused contributions. In all other respects, the provisions of Section 4.1080.14(b) with respect to the liability of the System under the option being equal to the liability of the System under the member’s unmodified retirement allowance shall be applicable.
SECTION HISTORY
Added by Ord. No. 184,134, Eff. 1-22-16.
When a portion of the community property interest in a member or former member’s benefits under Tier 3 has been awarded, pursuant to a valid court order in a proceeding in which the Retirement System has been joined as a party, to a former spouse, former domestic partner, legally separated spouse, or legally separated domestic partner (jointly referred to as “nonmember” herein), the following payment options are available, as applicable:
(a) Payments to Nonmember Based on Court Order (“In-Kind” Payments). The Retirement System shall pay directly to the nonmember any community property interest in benefits payable under the provisions of this article that have been awarded to the nonmember, provided that the Retirement System has been joined as a party in the proceedings and ordered to make such payment in a valid court order. To the extent that benefits are payable for the lifetime of a specific person, such as the retired member or an eligible survivor, any interest therein awarded to the nonmember will terminate when the right to benefit payments ends.
(b) Option to Elect a Life Annuity. When a court of competent jurisdiction awards a former spouse or former domestic partner a portion of the retirement benefits payable to the member/former member and to the member/former member’s surviving spouse or domestic partner (survivor), if any, the former spouse or former domestic partner, in lieu of receiving the former spouse’s or former domestic partner’s portion of the benefits payable based upon the lifetime of the member/former member and/or survivor, may instead make an irrevocable election to convert the former spouse’s or former domestic partner’s interest in such retirement benefits into an actuarially equivalent life annuity payable for the lifetime of the former spouse or former domestic partner. If the member/former member has not yet retired, the former spouse or former domestic partner must make this irrevocable election to receive a life annuity, in writing, prior to receiving payment of the former spouse’s or former domestic partner’s community property portion of the retirement allowance. If the member/former member has already retired, the election must be made at the time the former spouse or former domestic partner requests direct payment of the former spouse’s or former domestic partner’s community property portion of the retirement allowance. If this irrevocable election is not made prior to the applicable times specified herein, the former spouse or former domestic partner will be deemed to have waived the right to elect to receive a life annuity.
This option is not available in a legal separation where the parties’ relationship has not been legally terminated.
(c) Legal Separations. In the event the parties have obtained a legal separation, but remain married or remain domestic partners, the legally separated spouse or legally separated domestic partner may receive benefits payable to an eligible survivor under the provisions of this article, provided the legally separated spouse or legally separated domestic partner satisfies the applicable eligibility requirements.
SECTION HISTORY
Added by Ord. No. 184,134, Eff. 1-22-16.
(a) Application. The provisions of this section shall not be applicable to any benefit payable to a member or former member, or to the member’s or former member’s beneficiaries, pursuant to the provisions of Section 4.1080.10(a)(2), concerning the limited pension. The provisions of this section, however, shall be applicable to each other benefit payable in monthly installments pursuant to any other provisions of this Article, but the application thereof to any such benefit shall not reduce the amount to be paid on or subsequent to July 1st of any year to an amount less than that payable immediately prior to July 1st of said year.
(b) Cost of Living Adjustments by Board of Administration.
(1) The Board of Administration, not later than the 1st day of May of each year, shall determine with respect to the Federal Bureau of Labor Statistics Consumer Price Index for the Los Angeles area (“the C.P.I.”) the percentage of increase or decrease, if any, in the C.P.I. for the whole of the first next preceding calendar year from the C.P.I. for the whole of the second next preceding calendar year and shall round any such percentage increase or decrease to the nearest one-tenth (1/10) of one percent (1%).
(2) The Board, whenever it shall have determined that there had been an increase or decrease in the C.P.I., shall increase or decrease the amount of each such benefit as hereunder provided, subject, however, to the limitations contained in Subsection (a) of this section:
Effective the 1st day of July of each year, the Board of Administration, with respect to each eligible benefit which became payable prior to the applicable 1st day of July, shall increase or decrease the amount thereof payable immediately prior to the applicable 1st day of July by one-twelfth (1/12) of the percentage of increase or decrease in the C.P.I. as determined by it pursuant to Subsection (b)(1) of this section, for each whole month that such benefit was payable during the year commencing the 1st day of July next preceding the applicable 1st day of July and ending the 30th day of June next preceding the applicable 1st day of July, providing that any increase or decrease in the amount of any such benefit shall not exceed one-twelfth (1/12) of two percent (2%) thereof for each whole month that it was payable during the year.
(3) If it is impossible or impracticable for the Board to cause all necessary calculations to be made in time for it to include any increases or decreases in the amounts of benefits, as hereinabove provided, in the demands drawn in payment of such benefits for the month of July in any year, then the Board shall have the power and authority, when such calculations shall have been made, to increase or decrease the amounts of the demands drawn in payment of such benefits for any month subsequent to the month of July so as to include any increases or decreases in such benefits which shall have accumulated from and after the 1st day of July.
(4) In contrast with the practice authorized for Tier 1 of the System, as provided by LAAC Section 4.1022(c)(2), nothing in this section shall be construed to authorize the accumulation or carrying over of any percentage increase or decrease in the C.P.I. from one calendar year to the next.
(c) Discretionary Cost of Living Adjustments by City Council.
(1) There is hereby created and established a policy whereby the City Council shall periodically review the matter of the cost of living adjustments for certain beneficiaries who receive retirement benefits from the Retirement System. The review shall be made to ascertain the impact of increases or decreases in the Consumer Price Index upon retirement benefits and the adequacy of the annual cost of living adjustments provided in subsection (b) herein.
Should the City Council find and determine that annual cost of living adjustments are inadequate in light of the movement of the Consumer Price Index, the City Council may grant additional, but discretionary, cost of living adjustments as hereinafter provided.
(2) The first of the reviews provided in Subsection (c)(1) herein shall be made during the third fiscal year following the date that the first beneficiary of Tier 3 receives a benefit that is subject to a cost of living adjustment, pursuant to Subsection (b) herein, and annually thereafter until the City Council has provided a first discretionary adjustment pursuant to this section. Thereafter, the City Council shall make periodic reviews in intervals not to exceed three (3) years from the date of the completion of the last review or from the effective date of the last discretionary cost of living adjustments, whichever shall be the later.
(3) Should it be the finding of the City Council that discretionary cost of living adjustments would be in order, any such adjustments would be subject to the following limitations:
(i) The first discretionary adjustment may be granted at any time. Thereafter, discretionary adjustments may not be provided more frequently than once every three (3) years, counting from the date the last discretionary adjustments became effective.
(ii) Discretionary adjustments shall not exceed one-half (1/2) of the difference between the percentage of the annual increases in the cost of living, as determined pursuant to the provisions of Subsection (g)(2) herein, for each of the preceding three (3) years and the annual adjustments made pursuant to Subsection (a). Discretionary adjustments shall be allocated to each of the three (3) years for which an adjustment is made.
(iii) Any discretionary cost of living adjustments provided pursuant to the provisions of this section shall be subject to the following further limitation: If a benefit became payable on or after July 1 immediately preceding the effective date of such adjustments, it shall not be so adjusted; and any benefit which shall become payable at a time within a three-year period between discretionary cost of living adjustments (but prior to the immediately preceding July 1), shall be prorated according to the annual increase, on a monthly basis, to the number of completed months for which the benefit was received.
(iv) Discretionary cost of living adjustments may be granted only by ordinances adopted in accordance with the provisions of Section 1168 of the City Charter.
(v) All adjustments provided in this subsection are to be applied prospectively only. Nothing in this section shall be understood to permit retroactive adjustments of benefits.
(vi) Only those monthly benefits which are entitled to cost of living adjustments as provided in Subsection (a) and (b) of this section are entitled to discretionary cost of living adjustments under Subsection (c) herein. Discretionary cost of living adjustments shall not be applied to monthly benefits excluded from receiving cost of living adjustments under any provision in this article.
(vii) It shall be the duty of the City Administrative Officer to prepare appropriate reports and recommendations to enable the City Council to make findings as to the adequacy of the annual cost of living adjustments.
SECTION HISTORY
Added by Ord. No. 184,134, Eff. 1-22-16.
(a) Back Contributions for Past Periods of City Service. Every member who was a City employee during any period or periods in which the member was regularly employed, on a full-time basis or on a part-time basis but was not a member, and thus not contributing to the Retirement Fund, shall have the option to designate all or any portion of such employment for which the member may receive service credit, provided, however, that the member is not receiving and is not entitled to receive for that period of City employment any benefit from any other pension or retirement system, including, but not limited to, the Fire and Police Pension Plan, the Water and Power Employees’ Retirement Plan, the Limited Term Retirement Plan, the Pension Savings Plan for Part-time, Seasonal and Temporary Employees, and any union plan.
The option to make back contributions shall be exercised in writing, filed with the Board of Administration, designating the period of City employment for which the member desires to receive service credit, and must be accompanied by a single payment of back contributions or by an agreement to pay such back contributions in installments. The back contributions to be paid shall be in an amount equal to all of the contributions which the member would have made to the Fund had that member been a member during such period, together with all regular interest which, had the member so made the same, would have been credited thereon prior to the date of such payment; provided, however, that in the case of such installment payment thereof, the same shall be made pursuant to the rules which shall be adopted by the Board of Administration establishing minimum amounts to be paid and the period of time within which they must be paid and, furthermore, providing the rate of interest which shall be paid upon the unpaid balance of the same.
Every member who makes up back contributions as hereinabove provided shall be allowed credit for the period of City employment designated in the declaration filed by the member with the Board of Administration, the same as though the member had been a member during such period.
Any such member shall be allowed at any time to make a single payment equal to the then present value of all of the unpaid installments in such manner as shall be determined by the Board. Should the member fail to make all of the payments required of the member under the provisions of this section, the member shall be allowed service credit, counter-calendarwise, for the same portion of such designated period as the amount made up by the member, and provided further that, should the member cease to be a member by reason of the member’s death, service credit shall be allowed for the whole period designated by the member if the member’s surviving spouse or domestic partner exercises the option which, under such circumstances, hereby is given to such survivor to make a single payment equal to the then present value of all of the unpaid installments in such manner as may be determined by the Board. The written option hereinabove referred to shall be filed with the Board of Administration.
For purposes of determining whether a member is not receiving and is not entitled to receive for a prior period of City employment any benefit from a non-City pension or retirement system, such as a union plan, the Board shall adopt rules regarding the proof that a member must provide to establish a right to make back contributions for such prior period of City employment, since, for a non-City system, such information is not directly available to the Retirement System.
(b) Back Contributions for Periods of Participation in the Pension Savings Plan. Notwithstanding the provisions of Subsection (a), a member may receive service credit for any period or periods in which the member was a participant in the Pension Savings Plan for Part-time, Seasonal and Temporary Employees provided for in Chapter 16 of Division 4 of this Code. Such option shall be exercised in writing, filed with and subject to rules promulgated by the Board of Administration as provided for in Subsection (a) above. The amount of back contributions to be paid shall be the total of the following:
(1) An amount equal to all of the contributions which the member would have made to the Fund had that member been a member during such period, together with all regular interest which would have been credited thereon by the Board of Administration prior to the date of such payment; and
(2) The full amount of all contributions made to the Pension Savings Plan by the City on behalf of the member during such period or periods, plus all interest credited to those contributions by the Pension Savings Plan.
(c) Back Contributions for Periods of Participation in the Limited Term Retirement Plan. Notwithstanding the provisions of Subsection (a) herein and Section 4.1850(g) of Chapter 18.5 of Division 4 of this Code, every person who is a member may receive service credit for any period or periods in which the person was a participant in the Limited Term Retirement Plan provided for in Chapter 18.5 of Division 4 of this Code by making back contributions, which shall be paid in one of the following manners:
(1) All of the participant’s interest in the participant’s individual account with the Limited Term Retirement Plan, based upon contributions made both by the participant and by the City, and any gains or losses thereon, shall be transferred from the Limited Term Retirement Fund to the LACERS Retirement Fund. The member’s LACERS account shall be credited with back contributions equal to the total contributions that the member would have made to the Fund had the member been a member during such period, together with the regular interest that would have been credited to those contributions; or
(2) Where the member’s entire account balance in the member’s former individual account with the Limited Term Retirement Plan, based upon contributions made both by the participant and by the City, and any gains or losses thereon, is directly rolled over from the Limited Term Retirement Plan to another eligible retirement plan prior to January 1, 2003, provided these funds have been segregated and not co-mingled with any other funds, the trustee-to-trustee transfer of the total balance from that eligible retirement plan shall be transferred to the LACERS Retirement Fund. The member’s LACERS account shall be credited with back contributions equal to the total contributions that the member would have made to the Fund had the member been a member during such period, together with the regular interest that would have been credited to those contributions; or
(3) In all other cases in which the member’s Limited Term Retirement Plan account balance has been distributed, the amount of back contributions to be paid shall be in the amount of the entire lump sum distribution, whether received by the member or by any other person, together with all regular interest which would have been credited thereon by the Board of Administration subsequent to the date the lump sum was distributed had that member been a member during that period. The member’s LACERS account shall be credited with back contributions equal to the total contributions that the member would have made to the Fund had that member been a member during such period, together with the regular interest that would have been credited to those contributions.
This option shall be exercised in writing, filed with and subject to rules to be promulgated by the Board of Administration, and shall be irrevocable. The service credit purchased pursuant to this subsection shall count as continuous service credit for all LACERS benefits, as if the person had been a member during the entire period of time for which service credit is given.
(d) Back Contributions for Periods when Member Received Workers’ Compensation Benefits. The Board of Administration shall, by rule, provide for the making up of contributions that a member failed to make for any period during which the member received Workers’ Compensation benefits (Div. IV, Labor Code) for temporary disability on account of any injury or illness arising out of, and in the course of, the member’s employment with the City, together with an amount equal to the regular interest that would have been credited had the member made the contributions.
(e) Back Contributions in Connection with Disability Denials. A limited right to make back contributions in connection with denials of disability applications is provided in Section 4.1080.7, Subsection (j).
(f) Limitations on Back Contributions Imposed by Federal Law. Notwithstanding the provisions of Subsections (a), (b), (c), (d) and (e) herein, a member shall not be allowed to make back contributions to purchase service credit under this section if the period of time being purchased constitutes “unqualified service” which the member is prohibited from purchasing under federal law. The Board shall adopt such rules as are necessary to comply with federal law and may authorize payment methods that comport with federal requirements.
SECTION HISTORY
Added by Ord. No. 184,134, Eff. 1-22-16.
Any former member who received a refund of the former member’s contributions from the Retirement Fund upon separating from the service of the City shall, upon again becoming a member, have the option to redeposit with the Retirement Fund the amount previously withdrawn, together with regular interest, irrespective of any time period that may have elapsed since such separation. Such option shall be filed in writing with the Board of Administration. The amount of the contributions to be redeposited shall be the sum of the amount of accumulated contributions withdrawn, plus all of the regular interest which would have been credited thereon had said accumulated contributions remained on deposit in the fund to the date the member redeposits such contributions either by a single lump sum payment or executes an agreement to pay such redeposit in installments. In the case of installment payments, the Board of Administration shall establish the minimum amounts to be paid, the period of time therefore, the rate of interest which shall be paid on the unpaid balance of the same, and all other rules the Board may deem necessary for the carrying out of the provisions of this section. Any such member shall be allowed, at any time, to make a single payment equal to the then present value of all of the unpaid installments in such manner as shall be determined by the Board. Every member who makes a redeposit as hereinabove provided shall be allowed service credit for the period of service for which the redeposit is made; provided however, that the member is not receiving and is not entitled to receive service credit for such period of service from any other pension or retirement system of the City of Los Angeles. Should the member fail to complete payment of the redeposit, service credit shall be allowed counter-calendarwise from the same portion of such designated period as the amount made up by the member, and provided, further, that should the member cease to be a member by reason of the member’s death, service credit shall be allowed for the whole period for which the redeposit is being made if the member’s surviving spouse or domestic partner exercises the option which, under such circumstances, hereby is given to such survivor to make a single payment equal to the then present value of all of the unpaid installments in such manner as shall be determined by the Board.
SECTION HISTORY
Added by Ord. No. 184,134, Eff. 1-22-16.
(a) Definitions. For the purpose of this section, the following words and phrases shall have the meaning ascribed to them in this subsection unless a different meaning is clearly indicated by the context:
Buy Back. Purchase by a member of service credit for periods of eligible service with other governmental entities or purchase by a member of service credit for uncompensated maternity leave.
Full-time Service. A minimum of six (6) months of uninterrupted service with an eligible governmental entity, excluding part-time service.
Governmental Entity. The United States Government, including its territories; Indian tribal governments, including subdivisions, agencies, or instrumentalities of Indian tribal governments, in accordance with Internal Revenue Code section 414(d); any agency of the United States Government; the United States Postal Service; any branch of the United States military service; any State or political subdivision thereof; any local government or special district within any State in the United States; and shall exclude non-governmental agencies supported by government contracts or grants and any prior service with the City of Los Angeles.
Government Service Buy Back Program or GSB. The method for the buy back of service credit set forth in this section.
Military Service. Full-time service in the Armed Forces of the United States, for which no retirement benefit is or will be payable to the member. To qualify as military service, the character of the member’s service in the Armed Forces of the United States must have been “Honorable.”
Prior Plan. A retirement plan of a governmental entity in which the member was a participant during full-time service.
Uncompensated Maternity Leave. A leave of absence from City Service taken for maternity reasons without pay, for which the member did not otherwise receive service credit. Such periods of uncompensated maternity leave shall not be subject to any continuous months requirement, nor shall such periods be rounded down to the nearest whole month, but purchases may be restricted to whole biweekly payroll periods. Such leave shall be a minimum of one (1) month and a maximum of twelve (12) months with respect to any one (1) pregnancy.
(b) Eligibility. Subject to any applicable limitations under federal law, a member is eligible to buy back credit for periods of full-time service with other governmental entities and to buy back credit for periods of uncompensated maternity leave on the following terms and conditions:
(1) Members are not allowed to buy back credit for periods of service from a governmental entity which provides reciprocal benefits with LACERS and for which that member would be entitled to those reciprocal benefits pursuant to Section 4.1096. For purposes of the previous sentence, a member shall be treated as entitled to reciprocal benefits even if the member will not receive such benefits solely due to the member’s withdrawal of member contributions and interest from the prior plan, unless such withdrawal occurred prior to the member’s date of hire by the City.
(2) Members may not buy back credit for periods of service for which they are currently eligible or will become eligible to receive a retirement benefit from a prior plan provided, however, that to the extent required by federal law, periods of service in the United States military reserve may be purchased even if the Member is eligible to receive a retirement benefit from the prior plan. The Member must obtain certification from the governmental entity or its public retirement system showing the full-time paid employment periods and further certifying that the member is not eligible and will not be eligible for retirement benefits for that service. Such certification must be sufficient to satisfy the Board of Administration that the service qualifies for purchase as provided in this section. Service in the Armed Forces of the United States may be certified by an official discharge document issued by said Armed Forces showing the character of the Member’s service and the Member’s dates of service in said Armed Forces.
(3) If the member has contributions and interest on deposit in the prior plan, the member may purchase credit for the full-time paid employment period represented by such contributions and interest by withdrawing these contributions and interest and rolling them over to the Retirement System, as permitted by the Internal Revenue Code and by the Board of Administration, to be credited as a partial payment towards the cost for purchasing this service as determined pursuant to Subsection (e). Partial payment may also be accomplished via a trustee-to-trustee transfer of funds as authorized elsewhere in this article. The remaining balance due under the purchase agreement shall be either deposited in a lump-sum or by payroll deduction as provided by Board rule pursuant to Subsection (f)(2).
(4) If the member does not have contributions and interest on deposit in the prior plan of the Qualified Governmental Organization, the member may purchase credit for the full-time paid employment period as provided in Subsection (e).
(5) Only a member who was on an active employment status immediately before and after taking a leave of absence for maternity reasons without pay shall be eligible to buy back credit for an uncompensated maternity leave. No member shall be permitted to purchase more than one (1) year of uncompensated maternity leave per pregnancy.
(c) Application of Buy Back Credit. Purchased service credit shall count for all purposes under this chapter and Chapter 11, except that purchased service shall not count toward any period of time required to establish eligibility to retire for disability under Section 4.1080.8, nor toward any period of service as a contributing member of the Retirement System required to establish eligibility for service retirement under Section 4.1080.5 or deferred service retirement under Section 4.1080.6.
(d) Application to Purchase Buy Back Credit. A member electing to buy back credit for previous service with other governmental entities or for periods of uncompensated maternity leave shall file with the Board of Administration a written application identifying the time periods and agencies for which credit is to be purchased. Buy back credit for one or more periods of full-time service with another governmental entity may be purchased, except, however, such purchase shall be limited to not less than six (6) months of uninterrupted service from a single entity. The six (6) month minimum requirement does not apply to the uncompensated maternity leave.
(e) Written Agreement and Cost of Purchase. A member electing to buy back credit described herein shall enter into a written agreement with the Retirement System. Such agreement shall specify the amount to be paid for the purchase of this service credit. The cost to purchase service credit shall be determined as follows:
(1) Up to five (5) years of military service and up to one (1) year of uncompensated maternity leave per pregnancy may be purchased at the cost which would have applied had such service been at the cost which would have applied had such service been purchased pursuant to the Tier 1 Government Service Buy Back Program set forth in Section 4.1020 of this Code. Military time in excess of five (5) years must be purchased at the cost provided in Subsection (e)(2) below. No member shall be permitted to purchase more than one (1) year of uncompensated maternity leave per pregnancy.
(2) The cost for all service purchased under this exception, except for service that qualifies for purchase under Subsection (e)(1) above, shall be determined as follows:
The member’s contribution rate, as established in 4.1080.3(a), shall be combined with the “City Contribution Rate” (as defined below) to establish the total percent of the member’s compensation, at the time of purchase, that is to be paid for the total length of the period of service credit that the member agrees to purchase. Compensation as used in this subsection shall refer to the member’s compensation earnable, as defined in Section 4.1080.1, Subsection (a), at the time of purchase.
As an example, assuming the member’s compensation at the time of purchase is $100,000.00 per year, the member’s contribution rate is eleven percent (11%), the City Contribution Rate is nine percent (9%), and the period of service credit to be purchased is two years, the cost would be determined as follows:
The eleven percent (11%) member contribution rate plus the nine percent (9%) City Contribution Rate results in a total contribution rate of twenty percent (20%). Thus, to purchase two years of service credit would cost the member a total of $40,000.00: twenty percent (20%) of the member’s $100,000.00 compensation for each year of service purchased.
The “City Contribution Rate” shall be the average annual percent of payroll contributed by the City to the Retirement Fund (including contributions allocated to fund the 401(h) account) for Tier 3 based upon the City’s payments for the seven years prior to the time of purchase. For the first seven years commencing February 21, 2016, this rate shall be computed upon the City’s average annual percentage of payroll contributions to Tier 3, with the rate for any missing year(s) based upon the average of the annual rate(s) for the prior year(s), except that for the first year, the Retirement System shall base the “City Contribution Rate” upon a figure to be determined by the Retirement System’s actuary.
(f) Method of Purchase.
(1) The member may elect to pay on an after-tax basis in a lump sum or in biweekly installments through payroll deduction, subject to any applicable Internal Revenue Code restrictions.
(2) The Board may establish rules to allow members to pay for purchases via rollovers of funds.
(3) Should the member elect to purchase the buy back service credit through payroll deduction, annual interest at a rate determined by the Board and set at the commencement of the agreement shall be charged. The Board may establish a minimum biweekly payroll deduction.
(g) Execution of the Agreement. A member entering into a buy back agreement shall complete all contributions prior to the effective date of retirement in order to receive agreed upon buy back credit. A member may, at any time, complete payment of a buy back agreement by a lump sum payment. In the event the member elects to retire prior to completion of the buy back agreement, the member may receive prorated buy back credit for that portion of the service with other governmental entities or uncompensated maternity leave which have been purchased by contributions already made and forfeit the remainder of credit covered by the agreement; or, the member may make a lump sum payment sufficient to complete the total payment covered by the agreement. Additionally, a member who elects to terminate an after-tax agreement prior to its completion, or at the time of service or disability retirement, may elect to receive a cash refund of the buy back contributions and interest payable upon the earlier of death, termination of employment or retirement, or prorated buy back credit.
(h) Termination of Agreement. Any member who has entered into a purchase agreement to make partial payments to buy back credit, may, at any time, voluntarily terminate this purchase agreement, and be relieved of the member’s obligation to make further payments, by filing a written termination notice with the Retirement System. A member who has voluntarily terminated a purchase agreement shall receive credit as provided herein, but shall not be allowed to acquire the remaining buy back credit.
(i) Member’s Death. In the event that a member who has entered into a buy back agreement dies prior to retirement, the funds paid for this purchase shall be considered to be a part of the member’s accumulated contributions and shall be refunded accordingly, with interest thereon computed at the rate applicable to regular member contributions. However, if the deceased is survived by a survivor who may become eligible to receive a monthly benefit from the Retirement System, then such survivor may make a single lump-sum payment to partially or fully complete the purchase of buy back service under the member’s agreement, or elect to apply the service credit, or a portion thereof, to the calculation of the benefit for which the survivor qualifies.
(j) Limits on Purchase. In the event part or all of the purchased service credit at the time of retirement would cause the member’s service retirement allowance to exceed eighty percent (80%) of final compensation, the purchase cost attributable to any excess service credit that may not be used in the retirement formula, including interest thereon, shall be refunded or may be applied by the member to purchase a larger annuity if doing so does not cause the retirement allowance to exceed any federal limitations that may apply.
(k) Administration. The administration of this section shall be under the exclusive management and control of the Board of Administration.
SECTION HISTORY
Added by Ord. No. 184,134, Eff. 1-22-16.
Amended by: Subsec. (b)(2), Ord. No. 184,853, Eff. 4-6-17.
Each beneficiary, as defined in Charter Section 1152, Subsection (b), shall have the right, at any time, to waive payment of the whole or any portion of any benefit whatsoever or of any increase in the amount of any benefit which is, or shall become, payable to the beneficiary pursuant to any provision of this Chapter, and may waive payment thereof forever or for a definite or indefinite period of time. Any such waiver shall be in writing, shall be filed with the Board of Administration, and shall be effective as of the first day of the month following the month in which it shall be filed. Each beneficiary who shall make and file such a waiver shall have the right, at any time, to cancel the same. Any such cancellation shall be in writing, shall be filed with the Board of Administration and shall be effective as of the first day of the month following the month in which it shall be filed. Any such waiver shall constitute a complete release, discharge and acquittance of the City of Los Angeles and the Board of Administration from any and all liability to pay any amount or amounts of any benefits which shall be waived by any such beneficiary.
SECTION HISTORY
Added by Ord. No. 184,134, Eff. 1-22-16.
Any benefit payable from the Retirement System that is not claimed shall be forfeited to the Retirement Fund. Unless there is a different claim period specified elsewhere in this article, benefits payable from the Retirement System must be claimed within one (1) year. If the person entitled to a benefit is a minor, the period in which to claim the benefit shall be tolled until the person attains age eighteen (18).
In the event that a beneficiary is entitled to a benefit from the Retirement System but payment cannot be made for any reason, such as the beneficiary’s failure to cooperate, where the beneficiary’s whereabouts is unknown or where a beneficiary has failed to cash an outstanding check within such reasonable time period as established by Board rule, and the Retirement System has followed Internal Revenue Service procedures to locate the beneficiary, the funds due to the beneficiary shall be forfeited to the Retirement Fund, provided that a beneficiary shall be relieved from such forfeiture upon receipt of a request from the beneficiary or anyone authorized to act on the beneficiary’s behalf.
SECTION HISTORY
Added by Ord. No. 184,134, Eff. 1-22-16.
If it shall be impracticable for the Board to determine from the records the length of service, the compensation, either final or earnable, or the age of any member, the said Board may estimate, for all purposes of this article, such length of service, compensation or age. The Board shall determine and fix the amount of service rendered, which shall be the equivalent of one (1) year of service, provided that not more than one (1) year of service shall be credited for all services rendered during any one year. In all cases where compensation of any member consists, in part, of payment for the use of equipment owned and operated by such member personally, the Board of Administration shall fix and determine, for all purposes of this article, a compensation for the personal service of such member, which shall be in keeping with the salary or wage paid by said City for comparable service, and the compensation so fixed by the Board shall be the basis, and the only basis, for the calculation of the contributions of such member and any and all benefits provided for in this article. Each member shall file with said Board such information affecting that member’s status as a member of said Retirement System, as said Board may require, and the administrative head of each department of the City government shall furnish to said Board such information relative to any member, and the member’s status, as it may request.
SECTION HISTORY
Added by Ord. No. 184,134, Eff. 1-22-16.
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