§ 16.18 DUTY DISABILITY PENSION.
   (A)   A member who retires at or after his or her attainment of age 55 years, or 52 years for a firefighter member on or after July 1, 1993, or 50 years for a firefighter member on or after June 7, 1999, on account of disability, as provided in § 16.17, shall receive a disability pension computed according to § 16.12. Upon the member’s retirement, he or she shall have the right to elect, in lieu of his or her straight life disability pension, to receive his or her disability pension under an option provided for in § 16.14.
   (B)   A member who retires prior to his or her attainment of age 55 years on account of disability, or a member who is a firefighter on or after July 1, 1993, upon attainment of age 52 years on account of disability or a member who is a firefighter on or after June 7, 1999 upon attainment of age 50 years on account of disability, as provided in § 16.17, shall receive a disability pension computed according to § 16.12(A) and (C). For the exclusive purpose only of computing his or her disability pension, his or her credited service shall be increased by the number of years, and fraction of a year, in the period from the date of his or her disability retirement to the date he or she would attain age 55 years, or 52 years for firefighter members who retired on or after July 1, 1993. Upon the member’s attainment of age 55 years, or age 52 years for a firefighter member, or 50 years for firefighter members who retired on or after June 7, 1999, and with the exception of a member who is a police sergeant or lieutenant on or after September 9, 1984, his or her disability pension shall be recomputed using a final average salary determined according to the salaries at the time the member attains age 55 years, or age 52 years for a firefighter member on or after July 1, 1993, or age 50 years for a firefighter member on or after June 7, 1999, for the ranks used in computing his or her final average salary at the time of his or her disability retirement. In no event shall such recomputed disability pension be less than the disability pension the member received prior to his or her attaining age 55 years, or 52 years for a firefighter member who retires on or after July 1, 1993, or 50 years for a firefighter member who retires on or after June 7, 1999. Upon the member’s retirement he or she shall have the right to elect, in lieu of a straight life disability pension, to receive his or her disability pension under an option provided for in § 16.14. To his or her attainment of age 55 years, or 52 years for a firefighter member who retires on or after July 1, 1993, or age 50 years for a firefighter member who retires on or after June 7, 1999, his or her disability pension shall be subject to §§ 16.21 and 16.22. If a police officer member retires on or after July 1, 2004, and he or she has 25 or more years of credited service, the pension shall be calculated as a regular retirement. If a police officer member retires on or after July 1, 2004 and has less than 25 years of regular service, his or her credited service shall be increased to 25 years, provided that in the first year of retirement, the benefits are limited to 65% of the final average pay. This pension amount will not be recomputed or readjusted, except for changes made by cost of living adjustments (“COLA”). His or her disability pension shall be subject to §§ 16.21 and 16.22. Upon his or her retirement he or she shall have the right to elect, in lieu of a straight life disability pension, to receive his or her disability pension under an option provided for in § 16.14.
   (C)   Effective January 15, 1992, for police patrol officer members, the recomputation of duty disability pension pursuant to division (B) above is eliminated. Duty disability pension, when granted by the Police and Fire Pension Board of Trustees, shall be calculated in the following manner:
      (1)   If the police member has less than 25 years of credited service at time of disability.
         (a)   For the exclusive purpose only of computing his or her disability pension, the police member’s credited service shall be increased by the number of years and fraction of a year in the period from the date of the member’s disability retirement to the date he or she would obtain the age of 55.
         (b)   1.   Should the member, as determined by the Medical Director, be employable (able to perform other than police work), he or she will be limited to earn annually, through gainful employment, one-half of his or her annual pension dollar amount. This employable member must, on a calendar year basis, submit a copy of his or her federal income tax returns to the Secretary of the Board for determination of compliance with this provision. Those retirees who fail to comply will have their pension suspended until such time as they do comply.
            2.   Those retirees who, through employment, earn more than one-half of their annual pension dollar amount will have the option of reimbursing this overage to the pension system by a one-time lump sum dollar amount, or have their subsequent annual pension reduced by the dollar amount of the overage.
         (c)   Upon receipt of duty disability pension, should the member, as determined by the Medical Director, not be employable in any capacity, he or she shall be granted for life a guaranteed living standard (GLS). Prior to receipt of the GLS, § 16.21 shall be utilized to re-examine the duty disability retiree. This GLS shall be based on the total budget costs for a retired couple as stated by the Bureau of Labor Statistics “Annual Costs of the Urban Retired Couple’s Intermediate Budget”. In the event the annual pension benefit falls below this budget, said pension will be adjusted to 100% of the Urban Retired Couples Intermediate Budget in effect at that time. Should the Bureau of Labor Statistics cease publishing the Urban Retired Couples Budget, subsequent adjustments shall be made by measuring the percentage change in the past year in the Consumer Price Index, U.S. City Average for all urban consumers (CPI-U) during the month of September. For those police members who retire on duty disability and are employable in non-police work, should they so desire, the city will seek and/or make efforts to employ them in accordance with the conditions of their disability retirement.
         (d)   Upon the member’s attainment of what would have been 25 years of credited service, the member shall have a choice between the manner as that of a regular retirement or the manner described as follows: upon recomputation, the member’s duty disability pension will become a regular pension. This pension shall be calculated using a final average salary based on the average salary in effect at that time for a patrol officer with four years or more of service. Included in this calculation will be the maximum amount of vacation and compensatory time allowed to be earned along with an average (for the patrol officer group) of overtime earned in the year prior to the year of recomputation. The multiplier used will be that which was in effect at the time of initial retirement. At the time of recomputation for the member who is employable, there shall be no restricting to the amount of outside employment earnings.
      (2)   If the police member has 25 years or more of credited service at time of disability.
         (a)   1.   Within seven days of the date of the award by the Police and Fire Pension Board of duty disability, the member’s duty disability pension shall become a regular pension. This member will retain, if awarded, worker’s compensation benefits which shall include rehabilitation and medical benefits under the Worker’s Disability Compensation Act, Public Act 317 of 1969, being M.C.L. §§ 418.101 et seq.
            2.   The method of pension calculation for this member will be a choice between the manner as that of a regular retirement or the manner described in division (C)(1)(d) above. This member will have no restrictions placed on them regarding outside employment earnings.
         (b)   Should this member be deemed unemployable in any capacity by the Medical Director, he or she shall receive the guaranteed living standard as outlined for members with less than 25 years of service in division (C)(1)(c) above.
   (D)   Notwithstanding the provisions of § 16.03(E), a duty disability retiree who:
      (1)   Had not attained age 55 years at January 31, 1965; and
      (2)   Was receiving a duty disability pension under § 25 of Chapter XVI of the Charter of the City as the section was in effect January 31, 1965, shall upon the member’s attainment of age 55 years have his or her pension recomputed according to division (B) above as division (B) is in effect at the date he or she attains age 55 years.
   (E)   Notwithstanding the above provisions, a police officer member who retires on or after July 1, 2004, and has less than 25 years of regular service, shall have his or her credited service increased to 25 years, provided that in the first year of retirement, the benefits are limited to 65% of the final average pay. There will be no earning limitation.
(Prior Code, § 16.18) (Ord. D-678, passed 1-18-1965, effective 2-1-1965; Ord. D-1592, passed 6-19-1989, effective 6-29-1989; Ord. D-1737, passed 3-20-1995, effective 3-30-1995; Ord. D-1856, passed 7-24-2000, effective 8-3-2000; Ord. O-51, passed 8-7-2006, effective 8-17-2006)