Sec. 22-34(a). Fixed contribution rate. Each member hired prior to July 1, 2006, shall make mandatory member contributions to the system for every pay period during which the member receives compensation in an amount equal to five (5) percent of the member’s compensation. The finance director shall deduct this amount and credit it to the member’s accumulated contributions account.
Sec. 22-34(b). Variable Contribution Rates. Each member hired on or after July 1, 2006 shall make mandatory member contributions to the system for every pay period during which the member receives compensation in an amount equal to the applicable percentage of the Employee Segment Normal Cost. For purposes of this Section 22-34(b), the applicable percentage shall equal the percentage determined by the City on an annual basis prior to the beginning of each fiscal year, and which shall equal no less than fifty (50) percent and no more than one hundred (100) percent; provided that the member's annual contribution rate (1) shall in no event be less than five (5) percent of compensation and (2) shall be subject to an annual fiscal year adjustment (increase or decrease) equal to no more than two and one-half (2 1/2) percent of member compensation. The finance director shall deduct the applicable member contributions from each member's compensation and credit it to the member's accumulated contributions account. Notwithstanding the foregoing, effective for the period beginning on July 1, 2020 and ending on June 30, 2023, the variable contribution rate calculation provisions of this Section 22-34(b) are suspended and the Member Contribution Rates approved by the City for Tier I Members and Tier II Members for the period beginning on July 1, 2019 and ending on June 30, 2020 shall continue through June 30, 2023. The variable contribution rate calculation provisions of this Section are suspended temporarily in light of the coronavirus pandemic and the continuing economic consequences of the pandemic.
Sec. 22-34(c). Contribution rates for rehired members. If a member separates from employment with the city and is later re-hired, the rate of mandatory member contributions applicable to the rehired member shall be determined in accordance with this section. Any member who was originally hired by the city prior to July 1, 2006, who was a vested member at the time of separation from employment with the city and who does not request a refund of member contributions in accordance with section 22-41 prior to his date of reemployment with the city shall make mandatory member contributions to the system in accordance with section 22-34(a) above. All other rehired members shall make mandatory member contributions in accordance with section 22-34(b) above.
Sec. 22-34(d). Employer pick-up/member contributions. All member contributions to the system are mandatory and are picked up by the city in accordance with Code Section 414(h). As a result of the city’s pick-up arrangement, the member contributions are contributed to the system on a pre-tax basis and shall not be included in the member’s gross income until the member requests a refund of contributions or receives retirement benefit payments. All member contributions are deposited into the individual accumulated contributions account maintained by the system administrator on behalf of each contributing member.
Sec. 22-34(e). Qualified military service. A member who leaves employment for qualified military service and is timely reinstated by the city and meets all other applicable requirements for benefits following qualified military service including, without limitation, the requirements set forth in the city's Administrative Directive 2.01-7G regarding military leave, as amended, shall be permitted (but not required) to make up missed member contributions to the system. Any reinstated member who wishes to make up missed member contributions shall contribute all or a portion of the member contributions that would have been made by the member but for the qualified military service, calculated at the compensation rate in effect for the member immediately preceding the commencement of the qualified military service and the member contribution rate in effect during the qualified military service, and without interest or any other adjustment. The missed member contributions shall be contributed to the system during a period that begins on the date of reinstatement and ends on the earliest of (1) the date that is five (5) years from the date of reinstatement; (2) the date that marks the end of a period which is three (3) times the length of the member's most recent period of qualified military service; or (3) the member's termination date. Any and all member contributions made up pursuant to this section shall be treated as regular member contributions made in accordance with section 22-34(d). Following the contribution of missed member contributions to the system, the system administrator shall take all steps necessary to increase the member's accrued benefit to include the portion of the member's qualified military service covered by the missed member contributions. Notwithstanding the foregoing, to the extent the member is paid his full city salary during military leave in accordance with Section IV of the city's Administrative Directive 2.01-7G, as amended (Paid Military Leave Not to Exceed 30 Calendar Days in any Two (2) Consecutive Federal Fiscal Years), member contributions shall be deducted from the member's military leave pay on the same basis as member contributions would be made by the member under section 22-34 if the member was actively employed.
Sec. 22-34(f). Accrued vacation cash out. Except as set forth below, all hours of accumulated vacation earned by a tier I member and cashed out by the city as of the member’s termination date shall be included in a member’s compensation for member contribution purposes, provided that member contributions are made in accordance with this section. The member contributions applicable to accumulated vacation shall be calculated using the tier I member’s compensation and member contribution rate as in effect immediately preceding the tier I member’s termination date. The calculation and collection of member contributions under this section shall trigger the city’s obligation to make corresponding employer contributions under section 22-35(a) for the accumulated vacation hours. Vacation leave earned by a tier I member pursuant to the city's vacation leave carryover program ("VLCP") is not subject to the compensation and member contribution rules set forth in the first sentence of this section. Vacation leave earned pursuant to the VLCP and cashed out by the city shall not be included in a member's compensation under any circumstances.
Sec. 22-34(g). Non-forfeiture and refund of contributions. It is the right of each member to request a refund of the member’s accumulated contributions, plus interest, upon separation from city service and the right of each beneficiary to be paid the member’s accumulated contributions, plus interest, upon the member’s death before retirement or unused contributions, plus interest, upon the member’s death after retirement, whichever is applicable. All refunds, and the related forfeiture of credited service, shall be administered in accordance with section 22-41.
Sec. 22-34(h). Employment status changes. Effective July 1, 2011 and notwithstanding any provision of the Code to the contrary, the mandatory member contribution rate for an employee who first becomes a member in the system after the employee's date of hire or rehire with the city will be determined pursuant to this section. If an employee is hired or rehired by the city in an employment position that does not qualify for membership in the system and later becomes a member, the applicable member contribution rate shall be determined as of the date on which the employee first satisfies the requirements for membership under section 22-33, as opposed to the employee's date of hire or rehire. The member contribution rate for a reemployed member shall be determined in accordance with section 22-34(c).
(Ord. No. 10657, § 2, 4-28-09, eff. 7-1-09; Ord. No. 10915, § 3, 6-21-11, eff. 7-1-11; Ord. No. 11062, § 3, 3-27-13, eff. 7-1-13; Ord. No. 11243, § 1, 2-18-15, eff. 7-1-15; Ord. No. 11327, §§ 4, 5, 12-8-15, eff. 1-1-16; Ord. No. 11349, § 1, 4-5-16, eff. 7-1-16; Ord. No. 11430, § 1, 1-24-17, eff. 7-1-17; Ord. No. 11529, 2-21-18, eff. 7-1-18; Ord. No. 11752, § 1, 5-19-20, eff. 7-1-20; Ord. No. 11795, § 1, 10-20-20; Ord. No. 11837, § 1, 6-8-21, eff. 7-1-21; Ord. No. 11927, § 1, 5-3-22, eff. 7-1-22)