The Village hereby adopts the following policies and procedures to perform the "employer pick-up" of employee contributions to the Ohio Public Employee Retirement System (PERS) and the Police and Fire Disability and Pension Fund (PFDPF):
(a) For the categories of Village employees listed in subsection (b) hereof, the contributions required to be made by each such employee to the PERS or PFDPF, whichever is applicable, as an employee contribution under Ohio R.C. Chapters 145 and 742 shall be paid, pursuant to subsection (c) hereof, by the Village on behalf of the employee in lieu of contribution by the employees and in accordance with the provisions of this section.
(b) This section shall apply to all Village officials and/or employees in the following categories who, by majority approval in each category, choose to participate in the program authorized by this section: Police Department personnel, Service Department personnel, support personnel, elected officials, appointed officials, and all other employees who are not members of the above groups. An official or employee who wishes to have contributions made on a pre-tax basis shall sign a form requesting same; this option shall be irrevocable.
(c) The Village's method of payment of salary to employees who are participants in PERS and PFDPF shall be as follows, in order to provide for a salary reduction pick-up of employee contributions to PERS or PFDPF:
(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 or PFDPF to be paid as an employee contribution by that employee, and shall be paid by the Village to PERS or PFDPF on behalf of that employee as a pick-up and in lieu of a PERS or PFDPF employee contribution otherwise payable by that employee.
(d) 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.
(1) The Village shall compute and remit its employer contributions to PERS or PFDPF 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.
(2) A person electing this pick-up deduction shall not have the option of choosing to receive the payroll deduction directly instead of having this deduction picked up by the Village. Members who have elected to participate in this plan cannot increase, decrease, or terminate the amount of the pick-up deduction.
(e) All full-time Village employees identified in subsection (b) hereof and who are contributing members of PERS or PFDPF may purchase additional service credit, tax-deferred, and the Village shall withhold the required service credit deduction from the gross pay of each person who elects to do so and shall pick up (assume and pay) such deduction to PERS or PFDPF in accordance with subsection (c) hereof. This provision shall be effective March 1, 2000.
(f) The Clerk-Treasurer is hereby authorized to perform all acts necessary and appropriate to facilitate the implementation of the provisions of this section, including; but not limited to, making applications to the Internal Revenue Service for private letter rulings concerning federal tax treatment of the provisions of this plan and making applications to the appropriate state retirement boards.
(Ord. 2000-5. Passed 2-14-00.)