O-511-88 ORDINANCE NO. 511-8 8
An ordinance of Miami Shores Village, Florida, amending various provisions of
the Miami Shores Pension Plan; amending Section 18-38, Miami Shores Village
Code, "Definitions", to delete the minimum age requirement for participation
in the Miami Shores Pension Plan; amending Section 18-41, Miami Shores
Village Code, "Same — Legal Advisor", to provide that the pension board may,
at its discretion, elect to employ legal counsel other than the attorney for the
village; amending Section 18-43, Miami Shores Village Code, "Special Fund for
Police Officers and Firefighters", to delete references to "fireman" and fire
insurance; amending Section 18-452 Miami Shores Village Code, "False
Statements; Falsifying Recordsp" to prohibit the wilfull falsification of
pension-related documents and making wilfully false statements in an effort
to obtain benefits under the Miami Shores Pension Plan; amending Section
18-46, Miami Shores Village Code, "Penalties for Violation7l, to provide
penalties for any member who is determined to have wilfully falsified pension-
related documents or wilfully made false statements in an effort to obtain
benefits under the Miami Shores Pension Plan; amending Section 18-479 Miami
Shores Village Code, "Membership", to delete the minimum age requirement
for participation in the Miami Shores Pension Plan upon the effective date of
this ordinance; amending Section 18-49, Miami Shores Village Code, "Service
Retirement Allowancell, to delete references to 11fireman" and to provide a
benefit increase for police officers who retire or terminate employment on or
after July 1, 1989; amending Section 18-50, Miami Shores Village Code,
"Reversionary Annuity", to provide for the designation of a beneficiary or
beneficiaries by members of the Miami Shores Pension Plan, and to permit a
member,to change his/her designated beneficiary (or beneficiaries) up to two
times after retirement; amending Section 18-53, Miami Shores Village Code,
"Contributions by Members", to provide for an increase in the contribution
made by members who are police officers; amending Section lb-54, Miami
Shores Village Code, "Contributions by State and Village", to provide that the
total annual contribution by the Village to the Miami Shores Pension Plan shall
not exceed the amount of one (1) mill on all taxable property in the Village
unless a greater contribution is required by operation of state law; providing
an effective date.
BE IT ORDAINED BY THE VILLAGE COUNCIL OF MIAMI SHORES FLORIDA:
Section 1. Section 18-38, Miami Shores Village Code, "Definitions"o is hereby
amended to read as follows:
See. 18-38. Definitions.
The following words and phrases as used in this article and the plan, unless a
different meaning is plainly required by the context, have the following meanings:
Accumulated contributions means the sum of the amounts contributed by a
member of the plan and credited to his individual account, plus interest on such amounts
credited to his individual account as of the previous January 1 in the amount of three (3)
percent per annum, compounded annually each January 1, for each year starting as of
January 1, 1976.
Actuarial table means the mortality table adopted by the board from time to
time in accordance with recommendations of the actuary.
Annuity or pension means annual payments for life as provided in the plan. All
annuities shall be paid in twelve (12) equal monthly installments.
Average final compensation means the average highest annual compensation of
a member for any thirty-six (36) consecutive calendar months while a member is
contributing within the last one hundred twenty (120) calendar months while a member is
contributing, as determined immediately preceding actual termination of service.
Beneficiary means any person receiving a service retirement allowance or any
other benefit as provided in the plan.
Compensation means salary or wages payable by the village on a regular
payroll to any member for personal services currently performed.
Creditable service means membership service plus prior service for which
credit is allowable.
Employee means any regular officer or employee, including police officer-,
fireman and any general employee who is employed by the village on a permanent basis.
Employees serving on a part-time basis and persons employed under contract for a
definite period or for the performance of a particular special service shall not be eligible
for participation in the plan.
Fiscal year means the calendar year, January first to December thirty4irst.
Member means any employee in service included in the membership of the
plan, or any former employee who shall have made contributions to the plan and shall not
have received a refund, except that no employee shall be included as a member unless
such employee shall have completed at least one (1) year of continuous service. and
passed his tweaty4irst birthday
Membership service means service rendered while a member of the Plan for
which credit is allowable.
Military service means service in the United States armed services.
Pension board or board means the board provided for under the plan to
administer the plan.
Plan means the Miami Shores pension plan.
Prior service means service rendered prior to the effective date for which
credit is allowable.
Regular interest means the actuarial valuation rate of interest adopted by the
board from time to time in accordance with recommendations of the actuary.
Retirement means the acceptance of a service retirement allowance under this
plan.
Service means employment as an employee for which compensation is paid by
the village.
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Withdrawal from service means complete severance of employment of any
member as an employee of the vUlage by resignation, discharge or dismissal.
Section 2. Section 18-41, Miami Shores Village Code, "Sami-- -Legal Advisor", is
hereby amended to read as follows:
See. 18-41. Same—Legal advisor.
The attorney for the village shall be the legal advisor to the pension board,_and
the pension board may, at its discretion, elect to employ other legal counsel.
Section 3. Section 18-43, Miami Shores Village Code, "Special Fund for Police
Officers and Firefighters", is hereby amended to read as follows:
See. 18-43. Special fund for police officers and firefighters
(a) There is hereby created in the village a special fund, separate and
distinct from the Miami Shores Pension Fund, into which shall be paid all monies
hereafter received on or before December 31, 19699 by the village under the provisions of
F.S. Chapters 175 and 185, to the credit of the police officers and firemen who are
members of the Miami Shores Pension Plan, hereinafter referred to as participants9
prorated in proportion to the number of years of credited service.
(b) The special fund shall be administered by the board and the same trustee
who are administering the pension plan.
(c) Each participant shall be entitled to one (1) share in the special fund for
each full year of service as a policeman andl-or fireman of the village rendered before
and/or after August 18, 1970. Promptly after August 18, 1970, the number of full years
of service rendered by each participant as a policeman andlor fireman of the village
prior to August 18, 1970, shall be determined and a record thereof shall be made on the
participant's service record and the participant shall thereupon have as many shares as
full years of service rendered, and thereafter each full fiscal year of service shall add
one (1) more share to the credit of each participant.
(d) The total monies received, the interest earned on the assets of
the special fund, any gifts, bequests and devises when donated for the fund and the
credits forfeited by the participants shall constitute income to the special fund during
each fiscal year and shall be allocated and the value of the respective participant's share
shall be determined as follows:
(1) The pension board shall pay all costs and expenses of management
and operation for the fiscal year last ended.
(2) The pension board shall set aside as much of the income as it
considers advisable as a reserve for expenses for the current fiscal year.
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(3) Af ter deducting the monies called for under (1) and (2) above, the
remaining monies shall be allocated and credited to the share accounts of the
respective participants.
(4) The number of shares to which each participant is entitled at the
close of each fiscal year, shall be added. together and the total number of
shares thus determined shall be divided into the net amount of money available
to the allocated and credited to the respective share accounts. The amount to
be credited to the account of each participant will then be obtained by
multiplying the value determined for one (1) share by the total number of
shares to which each participant is entitled.
(5) As promptly as practicable after the close of each fiscal year, the
value of each participant's share shall be calculated and credited to his
share account at the end of the fiscal year for which the calculation is made.
Such calculation shall be made and credits allocated to share accounts once
only in each fiscal year, and prorations shall not be made for a part of a fiscal
year.
(e) The individual accounts in the special fund for police officers and
firemen as of December 31, 1969, shall no longer be augmented, reassigned or charged
for expenses. All disbursements from such special fund shall be made in accordance with
subsection (d) of this section. all further monies received from the state from the
receipts of premiums on casualty and fire insurance written in the village will hereafter
go into the regular pension trust fund for the exclusive benefit of police officers and
firemen who are members of the Miami Shores Pension Plan for the purpose of providing
benefits from the plan in addition to those available to general employees.
I (f) The cash received by the trustee in connection with this special fund
shall be kept in a separate account as far as accounting is concerned, but may be merged
and intermingled with the cash of the pension fund for investment purposes.
(g) Upon death, retirement or termination of employment from the village, a
participant shall be paid the entire amount standing to his credit in the special fund as of
December 31, 1969, in such manner as he shall elect to receive it, either in lump sum, in
quarterly installments or as an additional retirement annuity. Settlement as provided
herein shall be in full acquittal of all claims of a participant against the special fund, and
he shall thereupon cease to be a participant.
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(h) The village shall have no responsibility for the operation of the special
fund except as specified herein, and shall bear no expense in the operation of the special
fund.
Section 4. Section 18-45, Miami Shores Village Code, "False Statements; Falsifying
Records", is hereby amended to read:
See. 18-45. False statements; faLsifying records.
The willful falsification of pension-related documents and the maldng of
willful false statements in an effort to obtain benefits hereunder is strictly prohibited.
Any person who knowingly makes any false statement or faisifi a ar permits to
be falsifi d any reeord of the plan shaR be puniehable as provided+n seetien .18-46-.
Section 5. Section 18-46, Miami Shores Village Code, "Penalties For Violation", is
hereby amended to read:
See. 18-46. Penalties for violation.
Any Plan member who is determined by the pension board to have willfully
falsified pension-related documents, or willfully made a false statement in an effort to
obtain benefits hereunder, shall forfeit any right to receive benefits under this Plan, but
shall receive only a refund of his/her accumulated contributions to the pension fund.
Violation of any provision of this artiele shaR be pun�6hed as prev4ded 4n
seetien 1-18-, and -in addR4eR therete-, stieh eenvietien shaR disentitle the person Be
eenv+eted to further rights te partieipate 4n the plait.-4f the eeune4 by resolution 9haR Be
direetm. Upon the Nft of a eepy of sueh resoluti a with the beard-, the rights ef stieh
partieipawt shaR eease and the board shaR ret-twa to him sueh menies as he 9haR have
paid 4nte the plan-, subjeet to the rights ef the village te a lien on stleh ftfflds for the
payment of the fine-, 4 so ordered by the eettneilnr
Section 6. Section 18-47, Miami Shores Village Code, "Membership", is hereby
amended to read as follows:
See. 18-47. Membership.
(a) All employees in service on the effective date of the plan who are
twenty-one (21) years of age or over and have one (1) year of service are deemed to be
members as of that date. All others in service on such date shall become members after
meeting the age and service requirements, and their contributions shall begin with the
first payroll period after the effective date, after they become eligible.
(b) Any person who becomes an employee after the effeetive date this
ordinance takes effect shal4 upon completion of one (1) year of continuous service,
become a member of the plan as a condition of employment, provided such person is at
least twenty-one k244 years of age and under fifty-five (55) years of age at the time of
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completion of one (1) year of service. Contributions of such employee under this plan
shall begin with the first payroll period after the age and service requirements shall have
been fulfilled, and creditable service shall then begin to accrue.
(c) Upon withdrawal from service, the member's accumulated contributions
shall be refunded to him and he shall thereupon cease to be a member of the plan.
Section 7. Section 18-49, -Miami Shores Village Code, "Service Retirement
Allowance", is hereby amended to reas as follows:
See. 18-49. Service retirement allowance.
(a) Any police of ficer and fireman upon withdrawal from service upon or
after the completion of twenty4ive (25) years of creditable service, and any general
employee upon withdrawal from service upon or after the attainment of age sixty-two
(62), shall become entitled to receive a service retirement annuity in an amount provided
under subsection (c) of this section. If an employee of the village has been classified as a
police officer er fireman for part of his employment with the village and a general
employee for another part of his employment with the village, his age for entitlement to
receive a service retirement annuity will be adjusted upon his date of change in
classification in the following manner:
(1) If the employee was classified immediately prior to the current
date of change as a police officer er fireman and changes classification to a
general employee, his adjusted age of entitlement to receive a service
retirement annuity will be ((I) + (2) + (3)) -. (4), where:
(1) is the age of the member as of the date on which such member
would have completed twenty"five (25) years of creditable service
assuming continued full-time service with the village multiplied by years
and fractions of creditable service accrued to date of current change of
classification while classified as a police officer er fireman;
(2) is sixty-two (62) multiplied by years and fractions of creditable
service accrued to date of current change of classification while
classified as a general employee;
(3) is sixty�-two (62) multiplied by the number of years and fractions
from the date of change until the date the employee would attain the age
of sixty-two (62); and
(4) is the number of years and fractions of creditable service the
employee has accrued at his current date plus the number of years and
fractions from the date of current change until the date the employee
will attain the age of sixty-two (62).
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(2) If the employee was classified immediately prior to the current
date of change as a general employee and changes classification to a police
officer er fireman, his adjusted age of entitlement to receive a service
retirement annuity will be ((1) + (2) + (3)) -. (4), where:
(1) is sixty�two (62) multiplied by years and fractions of creditable
service accrued to date of current change of classification while
classified as a general employee;
(2) is the age of the member as of the date such member would
have completed twenty-five (25) years of creditable service assuming
continued full-time service with the village multiplied by years and
fractions of creditable service accrued to date of current change of
classification while classified as a police of ficer er fireman;
(3) is the age of the member as of the date such member would
have completed twenty-five (25) years of creditable service assuming
continued fill-time service with the village multiplied by the number of
years and fractions from the date of current change until the date the
employee would have completed twenty-five (25) years of creditable
service assuming continued full-time service with the village; and
(4) is the number of years and fractions of creditable service the
employee has accrued at his current date of change plus the number of
years and fractions from the date of current change until the date the
employee would have completed twenty-five (25) years of creditable
service assuming continued full-time service with the village.
(b) Any member who shall have completed at least fifteen (15) years of
creditable service may withdraw from service at the age of fifty-five (55) or over and
shall thereupon become entitled to receive a service retirement annuity equal to the
actuarial value of his annuity at age sixty4ive (65), or at his option, such member shall
become entitled to the service retirement annuity, the payment of which, however, is to
be deferred until his attainment of age sixty-five (65).
(c) (1) The amount of monthly retirement annuity to which a general
employee member shall be entitled shall be equal to two (2) percent of the
monthly average final compensation multiplied by the number of years of
creditable service, not to exceed thirty (30) years of service.
(2) The amount of monthly retirement annuity to which a police
officer er fireman who retires or terminates employment prior to July 1, 1989
shall be entitled shall be equal to two (2) percent of the monthly average final
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compensation multiplied by the number of years of creditable service up to
twenty-five (25) years, plus two and one-half (2 1/2) percent of the monthly
average final compensation multiplied by the number of years of creditable
service over twenty-five (25) years, but not to exceed a total of thirty (30)
years of creditable service.
(3) The amount of monthly retirement annuity to which a police
officer who retires or terminates employment on or after July 1, 1989 shall be
entitled shall be equal to two and four-tenths percent (2.4%) of the monthly
average final c0m2ensation multiplied by the number of creditable years
service up to twenty-five (25) years, plus two and one-half percent (2.5%) of
the monthly average final compensation multiplied by the number of years of
creditable service over twenty7five (25) years, but not to exceed a total of
thirty (30) years of creditable service.
(d) The first monthly installment shall be payable on the first day of the
month following the retirement of the member, and payments thereafter shall be due and
payable on the first day of each month during the lifetime of the annuitant.
(e) (1) Any general employee who has thirty (30) years of membership
service and who is permitted to remain in the service of the village after his
normal retirement date at age sixty�two (62) or an adjusted retirement age (as
defined in subsection (a) of this section) for an employee who has been a police
officer er f*eman and changed to a general employee, may remain in service
for periods of one (1) year each. No contributions are to be made by such
general employee and no further annuity credits shall accrue to him and his
annuity shall be fixed as of age sixty-two (62) or his adjusted retirement age as
defined in subsection (a) of this section. A general employee who has to his
credit less than thirty (30) years of membership service at age sixty-two (62)
years or at his adjusted retirement age, as defined in subsection (a) of this
section, shall be allowed to contribute to the plan until the completion of
thirty (30) years of membership service and have his service retirement
annuity based upon his total creditable service (but not more than thirty (30)
years) and average final compensation as determined on the earlier of his date
of retirement or upon the completion of thirty (30) years of membership
service.
(2) Any police officer er fireman may remain in the service of the
village until such employee has completed thirty (30) years of membership
service, provided the employee makes contributions to the plan during each
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period. The employee may remain in the service of the village after the
completion of thirty (30) years of membership service provided such employee
continues to make contributions to the plan; however, such employee will not
accrue creditable service after he has completed thirty (30) years. Upon
retirement, the benefit payable to the police officer er fireman will be based
on his creditable service as of his date of retirement, but not more than thirty
(30) years and his monthly final average compensation of his actual retirement
date.
(f) If the retired member shall be a police officer andjer fireman and a
participant in the special fund, he shall also be entitled to the payment of the amount
standing to his credit in the special fund in the manner provided under section 18-43.
(g) Any employee who is retired under the provisions of this section as of
February 1, 1974, shall receive a one-time five (5) percent cost of living increase in the
amount of his monthly retirement income being received under the provisions of this
article. The minimum increase shall be ten dollars ($10.00) per month.
(h) Any employee who is retired under the provisions of this section as of
October 1, 1975, shall receive a one-time five (5) percent cost of living increase in the
amount of his monthly retirement income being received under.,the provisions of this
article. The minimum increase shall be ten dollars ($10.00) per month.
(i) Any employee or beneficiary thereof who is receiving benefits under the
provisions of this section as of October 1, 1980, shall receive a one-time permanent
increase in his monthly retirement income being received under the provisions of this
article in the amount of one-fourth percent for each calendar month from the later of
October 1, 1975, or the date his benefits commenced.through September 30, 1980, up to a
ma)dmum increase of ten (10) percent. The minimum increase shall be ten dollars
($10.00) per month.
Section 8. Section 18-50, Miami Shores Village Code, "Reversionary Annuity", is
hereby amended to read as follows:
Sec. 18-50. Reversionary anmiity.
(a) Any member entitled to a service retirement annuity may elect at the
time of retirement to receive a lesser amount of service retirement annuity and with the
remainder of his equity as actuarially determined, provide an annuity for any person who
49 dependent- upen sueh membep at the 4me of retirement a designated beneficiary (or
beneficiaries) as named in a written direction filed with the boardj as a part of his
applimeatien fop a serv4ee petirement annuity-, prev+ded,- that- the eendi+4en of dependeney
exi&ts and has been proved te the satzlsfae4en of the board-, and provided, ftirther that the
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reversionary annuity resulting from such election is found to be not less than ten dollars
($10.00) per month, nor more than the amount of reduced service retirement annuity to
which the member is entitled. If more than one beneficiary is designated by a member,
the amount of the annuity as actuarially determined shall be equally apportioned among
the beneficiaries.
(b) Any such reversionary annuity shall begin as of the first day of the month
following the date of the death of the member receiving service retirement annuity;
provided, that the person or persons designated to receive the reversionary annuity shall
have been alive on the date of the death of such member, but if any such designated
beneficiary person does not survive the member who shall be receiving service
retirement annuity, no reversionary annuity shall be payable to such deceased
beneficiary, nor shall any ehange be permitted by the beard+n the written direetien filed
with the beard after the serv�ee retirement annuity has been granted and has beeeme
effeetive member be 2ermitted to change his/her designated beneficiary (or
beneficiaries) more than two times after the service retirement annuity has been granted
and become effective.
Section 9. Section 18-53, Miami Shores Village Code, "Contributions by Members",
is hereby amended to read as follows:
Sec. 18-53. Contributions by members.
(a) Each village employee who is a member of the plan shall contribute six
(6) percent of earnable compensation. Such contribution by any general employee shall
cease upon the normal retirement date of the member, or upon the completion of thirty
(30) years of membership service, if later. Such contribution for a police officer er,
fireman shall continue until his actual retirement date. This contribution shall be made
in the form of a deduction from compensation and shal-I be made notwithstanding that the
compensation paid in cash to such employee shall be reduced thereby below the minimum
prescribed by law. Every employee who is a member of the plan shall be deemed to
consent and agree to deductions made from his compensation and provided for in this
plan, and shall receipt in full for salary or compensation, and payment to the employee of
compensation less such deduction shall constitute a full and complete discharge and
acquittance of all claims and demands whatsoever for the services rendered by such
employee during the period covered by such payment except as to the benefits provided
for under the plan.
(b) Effective Jul
y 1, 1989, the contribution made by members who are police
officers shall be increased by the percentage of compensation determined by the plan
actuary to be equal to one-half (1/2) the cost of the benefit increase provided in Section
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18-49(c)(3); provided that such contribution increase shall not exceed four percent (4%)
of earnable compensation in addition to the six percent (6%) contribution set forth in this
section.
Section 10. Section 10-54, Miami Shores Village Code, "Contributions By State and
Village", is hereby amended to read as follows:
See. 18-54. Contributions by state and vUlage.
(a) On and after January 1, 1970, any and all monies hereafter received by
the village under the provisions of F.S. Chapters 1.76 and 185, shall be deposited into the
Miami Shores Pension Fund for the exclusive benefit of police officers and firemen who
are members of the Miami Shores Pension Plan.
(b) Contributions by the village to meet the requirements of the plan shall
consist of contribution to the plan by means of annual appropriations of the amounts
which together with contributions made by members, interest income from investments
and other income received by the plan, will be sufficient to meet the cost of maintaining
and administering the plan and meeting its various requirements; provided, that the total
annual contribution by the village does not exceed the amount of one (1) mill on all
taxable property in the village according to the next preceding assessment,_M!]Iess a
greater contribution is required by operation of state law.
Section 11: This ordinance shall becom e ef f ective on the date of adoption.
Approved on first reading this 7th day of June _s 1988.
Approved and adopted on second reading this day of June 1988.
ATTEST: :::2 � -
Elly F. Johnson Spero C. Canit!����
Village Clerk Mayor
Arla Clayton
Deputy Village Clerk