(a) Effective January 1, 1993, the full amount of the statutorily required contributions to the Public Employees Retirement System (PERS) shall be withheld from the gross pay of each person that is a full time employee of Orange Village who is or becomes a contributing member to PERS, and shall be “picked up”, i.e., assumed and paid to PERS by Orange Village. This “pick up” by Orange Village is, and shall be designated as, public employee contributions and shall be in lieu of contributions to PERS by each full time employee. No person subject to this “pick up” shall have the option of choosing to receive the statutorily required contribution to PERS directly, instead of having it “picked up” by Orange Village, or of being excluded from the “pick up.”
(b) Effective January 1, 2000, the full amount of the statutorily required contributions to PERS shall be withheld from the gross pay of each person that is a part time employee of Orange Village who is or becomes contributing members to PERS, and shall be “picked up”, i.e., assumed and paid to PERS, by Orange Village. This “pick up” by Orange Village is, and shall be designated as, public employee contributions and shall be in lieu of contributions to PERS by each part time employee. No person subject to this “pick up” shall have the option of choosing to receive the statutorily required contribution to PERS directly, instead of having it “picked up” by Orange Village, or of being excluded from the “pick up.”
(c) The Village’s method of payment of salary to employees who are participants in PERS is hereby modified as follows, in order to provide for a salary reduction pick up of employee contributions to PERS:
(1) The total salary for each eligible employee shall be the salary otherwise payable under the Village policies. Such total salary of each employee shall be payable by the Village in two parts:
A. deferred salary; and
B. cash salary.
(2) An eligible employee’s deferred salary shall be equal to that percentage of that employee’s total salary which is required from time to time by PERS to be paid as an employee contribution by that employee, and shall be paid by the Village to PERS on behalf of that employee as a pick up and in lieu of PERS employee contribution otherwise payable by that employee.
(3) Such employee’s cash salary shall be equal to that employee’s total salary less the amount of the pick up for that employee, and shall be payable, subject to applicable payroll deductions, to that employee.
(4) The Village shall compute and remit its employer contributions to PERS based upon an employee’s total salary. The total combined expenditures of the Village for such employee’s total salaries payable under applicable Village policies and the pick up provisions of this section shall not be greater than the amounts the employee would have been paid for those items had this provision not been in effect.
(d) The Treasurer is hereby authorized and directed to implement the provisions of this section to institute the “pick up” of the statutorily required contributions to PERS for those employees designated in subsection (a) and (b) hereof so as to enable them to obtain the result of Federal and State tax deferments and other benefits. The Treasurer shall, in reporting and making remittance to PERS, report that the public employee’s contribution for each person subject to this “pick up” has been made as provided by statute.
(Ord. 1999-62. Passed 12-1-99.)