[Amended 10-11-2021 by Ord. No. 79-2021]
For purposes of this part the following terms shall have the meanings herein defined unless the context clearly indicates a contrary intention:
ANNUAL COMPENSATION — In a calendar year means the total of the monthly compensation of each of the 12 months in such year.
AVERAGE MONTHLY COMPENSATION — A member's average monthly compensation for the highest consecutive five years out of the last 10 years.
BOARD — The Officers and Employees Pension Fund Board.
BOARD ADMINISTRATOR — The position designated by the Board to act on behalf of the Board in matters of day-to-day administration of the plan. CITY — The City of Reading, Pennsylvania.
CODE — The United States Internal Revenue Code, as amended, including reference, where applicable, to regulations and other guidance issued by the United States Department of Treasury and the Commissioner of the Internal Revenue Service.
COMPENSATION — Pickup contributions plus remuneration received as a City employee excluding refunds for expenses, contingency and accountable expense allowances and excluding severance payments or payments for unused vacation or unused sick leave or comp time that is paid upon termination. Compensation includes amounts excluded from income pursuant to a member's election under a cash or deferred compensation arrangement described in Section 401(k) of the Code, an eligible deferred compensation plan described in Section 457(b) of the Code, a cafeteria plan described in Section 125 of the Code, and, effective January 1, 1998, a qualified transportation fringe benefit plan under Section 132(f) of the Code. Notwithstanding the preceding, the annual compensation of a member shall be limited as set forth in Section 401(a)(17) of the Code [as adjusted annually pursuant to Section 401(a)(17)(B) of the Code and announcement by the Internal Revenue Service; for 2011, $245,000]. Compensation for any prior year shall be subject to the limitations set forth in Appendix A, A-1.
2
If compensation for any prior determination period is taken into account in determining a member's benefits for the current year, the compensation for such prior determination period is subject to the applicable annual compensation limit in effect for that prior period.
FUND — The City of Reading Officers and Employees Pension Fund.
MONTHLY COMPENSATION — Consists of basic monthly compensation plus longevity payments but excludes overtime pay, educational incentive payments, bonuses, payments in lieu of dependent's health insurance costs, and other special forms of compensation.
MEMBER - An officer or employee who is elected or appointed to an office of, or employed by, the City and becomes a member of the pension fund, for the first time, on or after January 1, 1988 but before January 1, 2022. It does not include policemen or firemen. Membership of eligible officers and employees is a required condition of employment. An officer or employee who becomes a member of the Officers and Employees Retirement System before January 1, 1988, shall remain subject to Chapter 62, Part 2, of this chapter, entitled “Officers and Employees Retirement System.” Any officer or employee who is reappointed on or after January 1, 1988, having had previous employment prior to January 1, 1988, shall be subject to the pension provisions applying to persons employed prior to January 1, 1988, i.e., Ord. 13-1998, 4-27-1998 (Part 2 of this chapter). Any officer or employee who became a member of the pension fund, for the first time, on or after January 1, 1988, but before October 1, 2021, terminates employment, and is reappointed on or after January 1, 2022, shall become a member upon such reappointment for the sole purpose of being credited with vesting service; his/her basic benefit shall be determined based upon his/her average monthly compensation as determined as of his/her prior termination of employment multiplied by the number of years of service completed as of his/her prior termination of employment.
PLAN (or SYSTEM) — The New Officers and Employees Pension Plan.
QUALIFIED MILITARY SERVICE — Any service in the uniformed services (as defined in Chapter 3 of Title 38, United States Code), by any individual if such individual is entitled to reemployment rights under such chapter with respect to such service.
SPOUSE — The spouse of a member, as determined under law of the Commonwealth of Pennsylvania. Effective for designations made after December 31, 2006, a member may designate his/her spouse to be the beneficiary of the member's pension, regardless of the date of the marriage.
2. Editor's Note: Appendix A is included at the end of this chapter.