For the purpose of this chapter, the following definitions shall apply unless the context clearly indicates otherwise
ACCRUAL SERVICE. The total of an employee's continuous service. This total is expressed in whole years and fractional parts of a year (counting a complete month as a fractional part of a year). However, accrual service is modified as follows:
(1) Service after a date excluded: For an employee who is covered under a collective bargaining agreement with the employer, continuous service accrued after the date the accrued benefit is frozen (as stated in § 38.001), is excluded.
(2) Service while not an eligible employee excluded: Service while an employee was not an eligible employee is excluded.
(3) Voluntary discontinuance service excluded: Prior to October 1, 1998, service while an employee failed or refused to make a contribution required under the prior plan is excluded. This provision also applies to an employee's service while contributions were not made because he failed or refused to complete a written agreement to make such contributions.
(4) Other service excluded:
(a) Service for an employee who has a severance from employment and who is 0% vested in his accrued benefit resulting from employer contributions other than salary reduction contributions on such date shall be excluded if he receives a distribution of his required contribution account. Such service shall not be reinstated in the event he is later reemployed by the employer.
(b) Also, service for any participant who was covered under a collective bargaining agreement with the employer on June 30, 2010, who was zero percent vested in his accrued benefit resulting from employer contributions other than salary reduction contributions on such date, and who is later promoted to a non-collectively bargained position shall be excluded if he received a distribution of his required contribution account. Such service shall not be reinstated in the event he again becomes an active participant as described in §§ 38.001 and 38.005.
(5) Period of military duty included: A period of military duty shall be included as service with the employer to the extent it has not already been credited. Such service shall be deemed to be service as an eligible employee only if an employee was an eligible employee on the day immediately preceding the period of military duty.
ACCRUED BENEFIT. On any date, the amount of monthly retirement benefit under the normal form accrued by an active participant as of any date and payable at normal retirement date, or such date, if later. See § 38.025.
ACKNOWLEDGEMENT FORM. A form executed by an employee, in which he acknowledges that he has been informed by the employer that, as a condition of his employment, the employer will deduct from the employee's compensation, by regular payroll deductions, an amount equal to 7.25% of his compensation and pay that amount to the Plan as a contribution by the employee. These contributions shall be classified as "picked up" by the employer pursuant to Code Section 414(h) and treated as an employer contribution. Any employee who participates in this Plan shall be deemed to have entered into this acknowledgement form. Notwithstanding, after June 30, 2010, for an employee who is covered under a collective bargaining agreement with the employer, the percentage of compensation shall be 0%.
ACTIVE PARTICIPANT. An eligible employee who is actively participating in the Pan according to the provisions in § 38.005.
ACTUARIAL EQUIVALENT. Equality in the value of the aggregate amount expected to be received for benefits payable at different times or under different forms of distributions.
(1) For purposes of determining the amount of a distribution other than an annual benefit that is nondecreasing for the life of the participant or, in the case of a preretirement survivor annuity, the life of the participant's spouse; or that decreases during the life of the participant merely because of the death of the surviving annuitant (but only if the reduction is to a level not below 50% of the annual benefit payable before the death of the surviving annuitant) or merely because of the cessation or reduction of Social Security supplements or qualified disability payments, actuarial equivalent shall be determined on the basis of the interest on 30-year Treasury securities for the look-back month for the stability period and the 1994 Group Annuity Reserve (GAR) Mortality Table. The look-back month applicable to the stability period is the second calendar month preceding the first day of the stability period. The stability period is the successive period of one calendar month that contains the annuity starting date for the distribution, and for which the interest rate remains constant.
(2) For purposes of determining benefits not described in division (1) of this definition, actuarial equivalent for benefits shall be determined on the basis of 7.5% interest and the 1983 Group Annuity Mortality Table as set forth in Revenue Ruling 95-6, 1995-1 C.B. 80.
(4) Notwithstanding any other provisions of the Plan to the contrary, effective for distributions with Annuity Starting Dates on or after December 31, 2002, but prior to January 1, 2008, the Applicable Mortality Table used for purposes of adjusting any benefit or limitation under Code sections 415(b)(2)(B), (C), or (D) is the table prescribed in Revenue Ruling 2001-62.
AFFILIATED SERVICE GROUP. Any group of corporations, partnerships or other organizations of which the employer is a part and that is affiliated within the meaning of Code Section 414(m) and the regulations thereunder. The term CONTROLLED GROUP, as it is used in this Plan, shall include the term AFFILIATED SERVICE GROUP.
ALTERNATE PAYEE. Any spouse, former spouse, child, or other dependent of a participant who is recognized by a qualified domestic relations order as having a right to receive all, or a portion of, the benefits payable under the Plan with respect to such participant.
ANNUITY CONTRACT. The annuity contract or contracts into which the employer enters with the insurer for guaranteed benefits, for the investment of contributions in separate accounts, and for the payment of benefits under this Plan.
ANNUITY STARTING DATE.
(1) The first day of the first period for which an amount is payable to the participant as an annuity or any other form.
(2) The annuity starting date for disability benefits shall be the date such benefits commence if the disability benefit is not an auxiliary benefit. An auxiliary benefit is a disability benefit that does not reduce the benefit payable at normal retirement date.
APPLICABLE INTEREST RATE. On any given date, the rate of interest set forth in Code Section 417(e)(3).
(1) The applicable interest rate shall be the adjusted first, second, and third segment rates applied under Code Section 430(h)(2)(C) (without the 24-month averaging under Code Section 430(h)(2)(D) and determined without regard to the adjustment for the 25-year average segment rates provided in Code Section 30(h)(2)(C)(iv)) for the look-back month before the first day of the stability period, or such other time as the Secretary may by regulations prescribe. The look-back month and stability period are defined in the definition of actuarial equivalent. For this purpose, the first, second, and third segment rates are the first, second, and third segment rates which would be determined under Code Section 430(h)(2)(C) if:
(a) Code Section 430(h)(2)(D) were applied by substituting the average yields for the month described above for the average yields for the 24-month period described in such section;
(b) Code Section 430(h)(2)(G)(i)(II) were applied by substituting "Section 417(e)(3)(A)(ii)(II)" for "Section 412(b)(5)(B)(ii)(II)"; and
(c) The applicable percentage under Code Section 430(h)(2)(G) is treated as being 20% in 2008, 40% in 2009, 60% in 2010, and 80% in 2011.
(2) A plan amendment that changes the date for determining the applicable interest rate (including an indirect change such as the result of a change in Plan year when the stability period is the Plan year), shall not be given effect with respect to any distribution during the period ending one year after the later of the amendment's effective date or adoption date, if, during such period and as a result of such amendment, the participant's distribution would be reduced.
APPLICABLE MORTALITY TABLE. On any date, the table according to the method set forth in Code Section 417(e)(3).
AVERAGE COMPENSATION.
(1) On any given date, the average of an employee's monthly compensation for those two highest compensation years (all compensation years, if less than two) ending before such given date.
(2) However, the average compensation for an employee who is covered under a collective bargaining agreement with the employer shall be his frozen average compensation determined as of the date the accrued benefit is frozen as stated in § 38.001. In determining such employee's frozen average compensation as of the date the accrued benefit is frozen, compensation years ending after that date shall be disregarded.
BENEFICIARY. The person or persons named by a participant to receive any benefits under the Plan when the participant dies. See § 38.095.
CODE. The Internal Revenue Code of 1986, as amended.
COMPENSATION. A participant's wages, regular longevity pay, auto allowance, and overtime income before contributions are deducted due to taxes, voluntary contributions, or deferred compensation plans.
(1) Compensation shall also include differential wage payments.
(2) Except as provided herein, compensation for a specified period is the compensation actually paid or made available (or if earlier, includible in gross income) during such period.
(3) Compensation for a Plan year shall also include compensation paid by the later of two and one-half months after an employee's severance from employment with the employer maintaining the Plan or the end of the Plan year that includes the date of the employee's severance from employment with the employer maintaining the Plan, if the payment is regular compensation for services during the employee's regular working hours, or compensation for services outside the employee’s regular working hours (such as overtime or shift differential), commissions, bonuses, or other similar payments, and, absent a severance from employment, the payments would have been paid to the employee while the employee continued in employment with the employer.
(4) Any payments not described above shall not be considered compensation if paid after severance from employment, even if they are paid by the later of two and one-half months after the date of severance from employment or the end of the Plan year that includes the date of severance from employment.
(5) Back pay, within the meaning of section 1.415(c)-2(g)(8) of the regulations, shall be treated as compensation for the Plan year to which the back pay relates to the extent the back pay represents wages and compensation that would otherwise be included in this definition.
(6) Compensation paid or made available during a specified period shall include amounts that would otherwise be included in compensation, but for an election under Code Section 125(a), 132(f)(4), 402(e)(3), 402(h)(1)(B), 402(k), or 457(b). Compensation shall also include employee contributions "picked up" by a governmental entity and, pursuant to Code Section 414(h)(2), treated as employer contributions.
(7) Compensation shall exclude any lump sum payments for accrued sick leave or vacation made as of the date he has a severance from employment or the date he retires.
(8) The annual compensation of each participant taken into account in determining contributions and benefits for any determination period (the period over which compensation is determined) shall not exceed $200,000, as adjusted for cost-of-living increases in accordance with Code Section 401(a)(17)(B). The cost-of-living adjustment in effect for a calendar year applies to any determination period beginning with or within such calendar year.
(9) Provided, however, with respect to an eligible participant, the reduced dollar limitation in the preceding division (8) of this definition does not apply to the extent that the amount of compensation allowed to be taken into account under the Plan is reduced below the amount that was allowed to be taken into account under the Plan in effect on July 1, 1993. For this purpose, "eligible participant" means an individual who first became a participant in the Plan during a Plan year beginning before the first yearly date in 1996.
(10) If a determination period consists of fewer than 12 months, the annual compensation limit is an amount equal to the otherwise applicable annual compensation limit multiplied by a fraction. The numerator of the fraction is the number of months in the short determination period, and the denominator of the fraction is 12.
(11) If compensation for any prior determination period is taken into account in determining a participant's contributions or benefits for the current Plan year, the compensation for such prior determination period is subject to the applicable annual compensation limit in effect for that determination period. For this purpose, in determining contributions and benefits in Plan years beginning on or after January 1, 2002, the annual compensation limit in effect for determination periods beginning before that date is $150,000 for any determination period beginning in 1996 or earlier; $160,000 for any determination period beginning in 1997, 1998, or 1999; and $170,000 for any determination period beginning in 2000 or 2001, for a participant who is not an "eligible participant" (as defined above).
(12) For this purpose, in determining contributions or benefits in Plan years beginning on or after January 1, 2002, the annual compensation limit in effect for determination periods beginning before January 1, 1990 is $200,000 for a participant who is an "eligible participant" (as defined above).
COMPENSATION YEAR. The period used to determine compensation. The compensation year is the one-year period ending on each September 30.
CONTINGENT ANNUITANT. An individual named by the participant to receive a life time benefit after the participant's death in accordance with a survivorship life annuity.
CONTINUOUS SERVICE. For an employee, any period of uninterrupted service with the employer. However, unless the context clearly indicates otherwise, continuous service means his latest period of uninterrupted service.
(1) For purposes of this definition, no interruption in service will occur because of approved periods of absence from the employer due to temporary lay-off; leave of absence (not to exceed one year), a temporary absence due to illness or injury, pregnancy, or disability.
(2) When necessary, the employer shall use uniform, nondiscriminatory guidelines for determining an approved leave of absence.
CONTROLLED GROUP. Any group of corporations, trades, or businesses of which the employer is a part that is under common control. A controlled group includes any group of corporations, trades, or businesses, whether or not incorporated, that is either a parent-subsidiary group, a brother-sister group, or a combined group within the meaning of Code Section 414(b), Code Section 414(c) and the regulations thereunder and, for purposes of determining benefit limitations under § 38.027, as modified by Code Section 415(h). The term CONTROLLED GROUP, as it is used in this Plan, shall include the term affiliated service group and any other employer required to be aggregated with the employer under Code Section 414(o) and the regulations thereunder.
DEFERRED RETIREMENT OPTION PLAN. The optional program of transferring accrued retirement benefits to a separate account within the Plan on a deferred basis while remaining in the active employment of the employer.
DESIGNATED BENEFICIARY. The individual who is designated by the participant (or the participant's surviving spouse) as the beneficiary of the participant's interest under the Plan and who is the designated beneficiary under Code Section 401(a)(9) and Section 1.401(a)(9)-4 of the regulations.
DIFFERENTIAL WAGE PAYMENTS. Any payments that are made by an employer to an individual with respect to any period during which the individual is performing qualified military service while on active duty for a period of more than 30 days. Such payments shall be made in accordance with Code Section 3401(h) and represent all or a portion of the wages the individual would have received from the employer if the individual were performing service for the employer.
DIRECT ROLLOVER. A payment by the Plan to the eligible retirement plan specified by the distributee.
DISTRIBUTEE. An employee or former employee. In addition, the employee's (or former employee's) surviving spouse and the employee's (or former employee's) spouse or former spouse who is the alternate payee under a qualified domestic relations order, as defined in Code Section 414(p), are distributees with regard to the interest of the spouse or former spouse. A distributee includes the employee's (or former employee's) nonspouse designated beneficiary, in which case, the distribution can only be transferred to a traditional IRA or Roth IRA established on behalf of the nonspouse designated beneficiary and that will be treated as an inherited IRA pursuant to the provisions of Code Section 402(c)(11).
DOMESTIC PARTNER. One of the two adults who are considered to be "domestic partners" by the employer (i.e. the City of Pembroke Pines) pursuant to Pembroke Pines City Ordinance No. 2014-18 (or any subsequent city ordinance or other governing city pronouncement) at the relevant determination date.
EARLY RETIREMENT DATE. The first day of any month before a participant's normal retirement date that he selects for the start of his retirement benefits. This day shall be on or after the date he has a severance from employment and the date he meets the following requirement(s):
(1) He has attained age 50.
(2) He has completed five years of vesting service.
ELIGIBLE EMPLOYEE.
(1) Any employee of the employer who is any of the following:
(a) A general employee or utility employee of the employer customarily employed for at least 30 hours per week; or
(b) An elected official, subject to the provisions of F.S. § 112.048.
(2) However, any employee of the employer who is covered under a collective bargaining agreement (effective on or after July 1, 2010) with the employer shall not be an eligible employee. In addition, any sworn police officer, sworn firefighter, charter school employee, or early development employee shall not be eligible employee.
(3) To the extent an employee becomes an employee as a result of a Code Section 410(b)(6)(C) transaction, that employee shall not be an eligible employee during the period beginning on the date of the transaction and ending on the last day of the first Plan year beginning after the date of the transaction. This period is called the transition period. The transition period may end earlier if there is a significant change in the coverage under the Plan or if the employer chooses to cover all similarly situated employees as of an earlier date. A Code Section 410(b)(6)(C) transaction is an asset or stock acquisition, merger, or similar transaction involving a change in the employer of the employees of a trade or business.
ELIGIBLE RETIREMENT PLAN. An eligible plan under Code Section 457(b) that is maintained by a state, political subdivision of a state, or any agency or instrumentality of a state or political subdivision of a state and which agrees to separately account for amounts transferred into such plan from this Plan, a traditional IRA, a Roth IRA, an annuity plan described in Code Section 403(a), an annuity contract described in Code Section 403(b), or a qualified plan described in Code Section 401(a), that accepts the distributee's eligible rollover distribution. The definition of eligible retirement plan shall also apply in the case of a distribution to a surviving spouse, or to a spouse or former spouse who is the alternate payee under a qualified domestic relations order, as defined in Code Section 414(p).
ELIGIBLE ROLLOVER DISTRIBUTION.
(1) Any distribution of all or any portion of the balance to the credit of the distributee, except that an eligible rollover distribution does not include: (i) any distribution that is one of a series of substantially equal periodic payments (not less frequently than annually) made for the life (or life expectancy) of the distributee or the joint lives (or joint life expectancies) of the distributee and the distributee's designated beneficiary, or for a specified period of ten years or more; (ii) any distribution to the extent such distribution is required under Code Section 401(a)(9); (iii) the portion of any other distribution(s) that is not includible in gross income (determined without regard to the exclusion for net unrealized appreciation with respect to employer securities); and (iv) any other distribution(s) that is reasonably expected to total less than $200 during a year.
(2) A portion of a distribution shall not fail to be an eligible rollover distribution merely because the portion consists of after-tax employee contributions that are not includible in gross income. However, such portion may be transferred only to (i) a traditional individual retirement account or annuity described in Code Section 408(a) or (b) (a "traditional IRA"); (ii) a Roth individual retirement account or annuity described in Code Section 408A (a "Roth IRA"); or (iii) a qualified defined contribution, defined benefit, or annuity plan described in Code Section 401(a) or 403(a) or to an annuity described in Code Section 403(b), if such plan or contract agrees to separately account for amounts so transferred (including interest thereon), including separately accounting for the portion of such distribution which is includible in gross income and the portion of such distribution which is not so includible.
EMPLOYEE. An individual who is employed by the employer or any other employer required to be aggregated with the employer under Code Sections 414(b), (c), (m), or (o).
(1) The term employee shall include any individual receiving differential wage payments.
(2) The term employee shall also include any leased employee deemed to be an employee of any employer described in the preceding division (1) as provided in Code Section 414(n) or (o).
EMPLOYER. Except for purposes of § 38.027, City of Pembroke Pines.
EMPLOYER CONTRIBUTIONS. Contributions made by the employer to fund this Plan. See § 38.015.
EMPLOYMENT COMMENCEMENT DATE. The date an employee first performs an hour of service for the employer.
ENTRY DATE. The date an employee first enters the Plan as an active participant. See § 38.005.
INACTIVE PARTICIPANT. A former active participant who has an accrued benefit. See § 38.006.
INSURER. Principal Life Insurance Company or the insurance company or companies named by the employer.
INVESTMENT MANAGER. Any fiduciary (other than a trustee):
(1) Who has the power to manage, acquire, or dispose of any assets of the Plan;
(2) Who (i) is registered as an investment adviser under the Investment Advisers Act of 1940; (ii) is not registered as an investment adviser under such Act by reason of paragraph (1) of Section 203A(a) of such Act, is registered as an investment adviser under the laws of the state (referred to in such paragraph (1)) in which it maintains its principal office and place of business, and, at the time it last filed the registration form most recently filed by it with such state in order to maintain its registration under the laws of such state, also filed a copy of such form with the Secretary of Labor; (iii) is a bank, as defined in that Act; or (iv) is an insurance company qualified to perform services described in division (1) above under the laws of more than one state; and
(3) Who has acknowledged in writing being a fiduciary with respect to the Plan.
LATE RETIREMENT DATE. The first day of any month that is after a participant's normal retirement date and on which retirement benefits begin. If a participant continues to work for the employer after his normal retirement date, his late retirement date shall be the earliest first day of the month on or after the date he has a severance from employment. A later retirement date (after a severance from employment) may apply if the participant so elects. See § 38.050.
MANDATORY DISTRIBUTION. A distribution to a participant that is made without the participant's consent and is made to the participant before he attains the older of age 62 or his normal retirement age.
MONTHLY COMPENSATION.
(1) For any compensation year, 1/12th of an employee’s compensation for such year.
(2) To determine monthly compensation if an employee is an employee for only part of a compensation year, his compensation for that compensation year shall be converted to an annual basis as though he were employed for the full compensation year.
MONTHLY DATE. Each yearly date and the same day of each following month during the plan year beginning on such yearly date.
NORMAL FORM. A single life annuity with modified cash refund of participant's required contribution account.
NORMAL RETIREMENT DATE. For an active participant, the earliest first day of the month on or after the later of the date the participant reaches his 55th birthday or the date he completes ten years of vesting service. The normal retirement date for an inactive participant shall be his normal retirement date determined on the day immediately preceding the date on which he became an inactive participant assuming his vesting service continued unchanged. Unless otherwise provided in this Plan, a participant's retirement benefits shall begin on his normal retirement date if he has had a severance from employment on such date.
PARTICIPANT. Either an active participant or an inactive participant.
PERIOD OF MILITARY DUTY. For an employee
(1) Who served as a member of the armed forces of the United States, and
(2) Who was reemployed by the employer at a time when the employee had a right to reemployment in accordance with seniority rights as protected under Chapter 43 of Title 38 of the U.S. Code, the period of time from the date the employee was first absent from active work for the employer because of such military duty to the date the employee was reemployed.
PLAN. The defined benefit plan of the employer set forth in this chapter, including any later amendments to it.
PLAN ADMINISTRATOR. The person or persons who administer the Plan. The Plan Administrator is the employer.
PLAN YEAR. A consecutive 12-month period beginning on a yearly date and ending on the day before the next yearly date. If the yearly date changes, the change will result in a short plan year.
PRERETIREMENT SURVIVOR ANNUITY. A straight life annuity payable to the surviving spouse or domestic partner of a participant who dies before his annuity starting date. Benefits shall be determined as if the participant had a severance from employment on the date of his death (date he last had a severance from employment, if earlier) and survived to retire on the earliest date on or after the date of his death on which he could have elected to retire. The monthly benefit payable to the spouse or domestic partner shall be equal to the survivorship benefit that would have been payable to the spouse or domestic partner if the participant retired under an immediate survivorship life annuity, with a survivorship percentage of 50% and a contingent annuitant who is the participant's spouse or domestic partner, on such date and died. Notwithstanding the foregoing, the preretirement survivor annuity may only be payable to the surviving spouse or domestic partner if the conditions of Section 5.01(a) have been satisfied on the date the participant dies. A former spouse will be treated as the surviving spouse to the extent provided under a qualified domestic relations order as described in Code Section 414(p).
PRESENT VALUE. The actuarial equivalent of another benefit, expressed as a single sum amount.
QUALIFIED MILITARY SERVICE. Any service in the uniformed services (as defined in Chapter 43 of Title 38 of the U.S. Code) by any individual if such individual is entitled to reemployment rights under such chapter with respect to such service.
REENTRY DATE. The date a former active participant reenters the Plan. See § 38.005.
REQUIRED CONTRIBUTION ACCOUNT. On any date prior to October 1, 1998, the total of a participant's required contributions with interest. Contributions previously paid to the participant or applied for him, and any interest that would have been credited on those contributions, shall be excluded.
(1) On and after August 1, 2012, interest shall be credited in each Plan year at the rate of 3% per annum compounded annually. Before August 1, 2012, interest was credited at the rate specified in the Plan as in effective on the day immediately before August 1, 2012.
(2) Interest shall be credited on each required contribution from the end of the Plan year for which it was made until the monthly date on or before the date of determination.
(3) On any date on and after October 1, 1998, required contribution account means the aggregate of a participant's required contributions with interest and his salary reduction contributions which have not been previously paid or applied.
REQUIRED CONTRIBUTION ACCRUED BENEFIT. The amount of monthly retirement benefit under the normal form accrued by an active participant as of any date and payable at normal retirement date that is derived from his required contributions. See § 38.026.
REQUIRED CONTRIBUTIONS. Prior to October 1, nondeductible contributions required from a participant in order to participate in this Plan. See § 38.016.
RETIREMENT DATE. The date a retirement benefit will begin and is a participant's early, normal, or late retirement date, as the case may be.
SALARY REDUCTION CONTRIBUTIONS. On and after October 1, 1998, employee contributions "picked up" by the employer pursuant to Code Section 414(h) and treated as employer contributions. These contributions are not available to the participant as current income, and the participant has no discretion to receive them as such.
SEVERANCE FROM EMPLOYMENT. Except for purposes of § 38.027, an employee has ceased to be an employee. An employee does not have a severance from employment if, in connection with a change of employment, the employee's new employer maintains this Plan with respect to the employee. The Plan Administrator shall determine if a severance from employment has occurred in accordance with the regulations that are applicable to such determination.
TOTALLY AND PERMANENTLY DISABLED. A participant is disabled, as a result of sickness or injury, to the extent that he is prevented from engaging in any substantial gainful activity, and is eligible for and receives a disability benefit under Title II of the Federal Social Security Act.
VESTED ACCRUED BENEFIT. On any date, the participant's accrued benefit resulting from employer contributions multiplied by his vesting percentage on such date, plus his required contribution accrued benefit.
VESTING PERCENTAGE. The percentage used to determine that portion of a participant's accrued
benefit resulting from employer contributions which is nonforfeitable (cannot be lost since it is vested).
(1) A participant's vesting percentage is shown in the following schedule opposite the number of whole years of his vesting service.
Vesting Service (whole years) | Vesting Percentage |
Vesting Service (whole years) | Vesting Percentage |
Less than 5 | 0 |
5 | 50 |
6 | 60 |
7 | 70 |
8 | 80 |
9 | 90 |
10 or more | 100 |
(2) The vesting percentage for a participant who is an employee on or after his normal retirement date or the date he meets the requirement(s) for an early retirement date shall be 100%. The vesting percentage for a participant who is an employee on the date he becomes disabled shall be 100%. The vesting percentage for a participant who becomes disabled while performing qualified military service shall be 100%. For purposes of this division, disabled means the disability is subsequently determined to meet the definition of totally and permanently disabled.
(3) If the schedule used to determine a participant's vesting percentage is changed, the new schedule shall not apply to a participant unless he is credited with an hour of service with the employer on or after the date of the change.
VESTING SERVICE. The total of an employee's service with the employer. This total is expressed in whole years and fractional parts of a year (counting a complete month as a fractional part of a year). However, vesting service is modified as follows:
(1) Inactive participant service excluded: Service during the period an employee is an inactive participant is excluded.
(2) Voluntary discontinuance service excluded: Service while an employee failed or refused to make a contribution required under the Plan is excluded. This provision also applies to an employee's service while contributions were not made because he failed or refused to complete a written agreement to make such contributions.
(3) Other service excluded:
(a) Service for an employee who has a severance from employment and who is 0% vested in his accrued benefit resulting from employer contributions other than salary reduction contributions on such date shall be excluded if he receives a distribution of his required contribution account. Such service shall not be reinstated in the event he is later reemployed by the employer.
(b) Also, service for any participant who was covered under a collective bargaining agreement with the employer on June 30, 2010, who was 0% vested in his accrued benefit resulting from employer contributions other than salary reduction contributions on such date, and who is later promoted to a non-collectively bargained position shall be excluded if he received a distribution of his required contribution account. Such service shall not be reinstated in the event he again becomes an active participant as described in §§ 38.001 and 38.005.
(4) Period of military duty included:
(a) A period of military duty shall be included as service with the employer to the extent it has not already been credited.
(b) If a participant dies, while performing qualified military service, such service shall be included as service with the employer.
VOLUNTARY DISCONTINUANCE DATE. The date a participant fails or refuses to make a required contribution.
YEARLY DATE. October 1, 1973, and the same day of each following year.
YEARS OF SERVICE. Except for purposes of § 38.027, an employee's vesting service disregarding any modifications that exclude service.
(Ord. 1806, passed 1-7-15; Am. Ord. 1844, passed 4-6-16)