[Adopted 10-3-1989 as Ch. 35, Art. III, of the 1989 Code]
Pursuant to the provisions of the laws of this
commonwealth pertaining to police pension funds, the Borough of Trafford
hereby establishes a Police Pension Fund, which shall be administered
by the Police Pension Fund Committee and the appointed Agent of Record,
and such appointments shall be made by the President of the Council.
The fund shall be maintained by the moneys received
from the Commonwealth Treasurer designated for police pension funds,
from taxes paid on insurance premiums by foreign casualty insurance
companies, by gifts, grants, devises or bequests granted to said pension
fund and, if necessary, by a charge against each member of the police
force and, if necessary, by annual appropriations made by the Borough
of Trafford.
Such Police Pension Fund shall be under the
direction of the Borough Council and managed by the Police Pension
Fund Committee and shall be under such regulations as the Borough
Council may prescribe, by ordinance, for the benefit of such members
of the Borough of Trafford police force as shall receive honorable
discharge therefrom, by reason of age and service or disability, and
for the families of such as may be killed in the service. Where the
borough is liable to pay disability benefits to a member under any
laws of this commonwealth, any amount received from this Police Pension
Fund or from any disability contracts purchased for such members by
the borough shall be used to offset the borough's liability.
The Borough of Trafford is hereby authorized
to take, by gift, grant, devise or bequest, any money or property,
real, personal or mixed, in trust for the benefit of such fund, and
the care, management, investment and disposal of such funds or property
shall be vested in the Borough Council and the Police Pension Fund
Committee. Said funds held in such trust shall be governed thereby
subject to such directions not inconsistent therewith, as the donors
of such funds and property may prescribe.
[Amended 7-7-1992 by Ord. No. 637; 11-15-1994 by Ord. No.
650]
A. The Borough of Trafford hereby prescribes a minimum
period of total service in the aggregate of 25 years in the Borough
of Trafford and shall fix the age of the members of the force at 50
years, after which they shall retire from active duty. Such members
as are retired shall be subject to service, from time to time, as
a police reserve in cases of riot, tumult or the preservation of the
public peace until not fit for such service, when said officer may
be finally discharged by reason of age or disability. Any member who
has reached such eligible retirement age may request the Borough Council
for an extension of full-time employment as a police officer. Such
extension may be granted by the Borough Council from year to year;
however, not beyond age 65, at which time the employment of said officer
shall be terminated.
B. The Borough of Trafford hereby prescribes that a full-time
police officer is vested after 12 years of service. The vested benefit
formula is calculated by using the normal retirement benefit based
on the final 36 months' average earnings at the time of termination
times a ratio. The ratio is years of service to termination divided
by projected years of service at normal retirement. The maximum ratio
is one.
Any member of the police force employed by the
Borough of Trafford who has been a regular appointed employee of the
Borough of Trafford for a period of at least six months and who thereafter
shall enter into the military service of the United States shall have
credited to his employment record, for pension or retirement benefits,
all of the time spent by him in such military service, if such person
returns or has heretofore returned to his employment within six months
after his separation from the service.
[Amended 9-16-1999 by Ord. No. 670]
A. Payments made under the provisions of this article
shall not be a charge on any other fund in the treasury of the Borough
of Trafford or under its control, save the Police Pension Fund herein
provided for. The basis for determining any pension payable under
this article, following the retirement of any member of the force
meeting the service and age qualifications of this article, shall
be as follows: Normal monthly pension or retirement benefits shall
be computed at 1/2 of the monthly average salary, including longevity
and overtime, of such member during the last 36 months of his employment
and shall be payable to the member for as long as he lives. Such pension
or retirement benefits for any month shall be computed as the sum
of any pension benefits from pension plans heretofore established
by a private organization or association for the member of the police
force; 0% of the primary benefits under the federal social security
laws for which the member may be eligible because of age, where positions
covered by this fund are included in an agreement under the Federal
Social Security Act; and benefits from the Police Pension Fund established
pursuant to the provisions of this article to the extent necessary
to bring the total benefits in any month up to 1/2 of the aforesaid
monthly average salary. Cost of living increases for members of the
police force receiving retirement benefits may be provided; however,
they shall not exceed the percentage increase in the consumer price
index from the year in which the police member last worked. In no
case shall the total police pension benefits exceed 75% of the salary
for computing retirements benefits, and the total cost of living increase
shall not exceed 30%. No cost of living increase shall be granted
which would impair the actuarial soundness of the pension fund. Each
member retiring under this plan shall have the option to keep a $5,000
life insurance policy after retirement, provided that he agrees to
make the regular premium payments that may be due from year to year
on such converted life insurance policy.
B. Members entitled to retirement benefits shall receive
length-of-service increments equal to $10 for each year of service
completed in excess of 25 years; however, not to exceed $100.
[Amended 12-16-2008 by Ord. No. 726; 8-17-2010 by Ord. No.
734]
A. If a member
shall die after the commencement of benefit payments hereunder, after
the member is eligible to retire and before retirement benefit payments
commence, after eligibility for a deferred vested benefit, a survivor
benefit shall be paid to the surviving spouse, if any, of the member
in an amount equal to 50% of the member's accrued benefit or vested
benefit as of the date of death. In the case of a death of a member
who is eligible for deferred vested benefit prior to commencement
of payments, payments to the surviving spouse shall commence upon
the date the deceased member would have begun receiving the deferred
vested benefit.
B. The survivor
benefit shall be paid to the surviving spouse for his/her lifetime.
Upon the death of the surviving spouse or if no spouse survives, the
survivor benefit shall be paid monthly in equal shares to the surviving
dependent children of the deceased member. Dependent children shall
include the children of the deceased member who have not attained
at least 18 years of age or, if attending college, under or attaining
the age of 23 years. The shares payable to the surviving dependent
children shall be adjusted as each child ceases to be eligible to
receive a share of the benefit hereunder.
C. The phrase
"attending college" shall mean the eligible children are registered
at an accredited institution of higher learning and are carrying a
minimum course load of seven credit hours per semester.
The actuary to be employed by the Borough of
Trafford with respect to the Police Pension Fund hereby established
shall be provided through the Agent of Record, and such actuary shall
be used as needed to provide those services as required under Act
600 or any amendments thereto.
Payments made by the State Treasurer to the
Borough of Trafford Treasurer from moneys received from taxes paid
upon premiums by foreign casualty insurance companies for purposes
of pension benefits shall be used to make deposits into the fund and
to pay for the premiums on contracts as provided for within this chapter.
[Amended 11-15-1994 by Ord. No. 650; 12-16-2008 by Ord. No.
726]
A. Each full-time police officer is required to contribute
a percentage of compensation to the plan. This percentage is calculated
by multiplying the social security offset by 3% and subtracting that
product from 5%. Thus, since the social security offset has been eliminated
0%, the contribution rate for full-time police officers is hereby
set at 5% of compensation.
B. The employer may, on an annual basis, by ordinance
or resolution, reduce or eliminate contributions into the plan by
full-time police officers. Such reduction or elimination is usually
subject to the terms and conditions, or limitations, if any, contained
in any bargaining agreements between the employer and the police officers.
The reduction or elimination of participant contributions shall not
permit the return of contributions or any interest or plan earnings
to be made to members while an active employee. If an actuarial study
shows that the condition of the plan is such that any payments are
needed by the employer, the employer reserves the right to reinstate
member contributions to the extent as provided herein and by Act 600, as amended.
Any member of the police force of the Borough
of Trafford who, for any reason whatsoever, shall be ineligible to
receive a pension after having contributed any charges to a police
pension fund established pursuant to the provisions of this article,
shall be entitled to a refund of all such moneys paid by him into
such fund, plus interest of 5% on all member contributions deposited
into the pension fund.
No person participating in a police pension
fund established pursuant to the provisions of this article who becomes
entitled to receive a benefit therefrom shall be deprived of his right
to an equal proportionate share therein on the basis upon which he
first became entitled thereto.
The Borough of Trafford hereby prescribes that
should a member die prior to his eligible retirement date, the member's
beneficiary or his estate shall receive that amount as provided for
in his individual life insurance contract. In addition, a refund of
the member's contributions, plus interest of 5% on the same, will
be paid to the member's beneficiary or his estate from the Police
Pension Fund.
The pension payments herein provided for shall
not be subject to attachment, execution, levy, garnishment or other
legal process and shall be payable only to the member or his designated
beneficiary and shall not be subject to assignment or transfer.
The Borough of Trafford shall appoint an Agent
of Record, who shall also be a member of the Police Pension Fund Committee,
for the purposes of assisting in the management and administration
of the Police Pension Fund with the full power to act and perform
said duties as permissible under the laws of this commonwealth. All
decisions pertaining to the management of said Police Pension Fund
shall be reviewed by the three members of said Police Pension Fund
Committee, and the decision of any two of said three members shall
be sufficient authority to act in any matter pertaining to said fund.
All warrants issued on said Police Pension Fund accounts shall be
signed by two members of the Council serving on the Police Pension
Fund Committee or one member of the Council serving on the Police
Pension Fund Committee and the Secretary of the Borough of Trafford.
The Agent of Record is hereby authorized to
purchase any and all pension annuity contracts as approved by the
Police Pension Fund Committee. The Borough Administrator is hereby
authorized and directed to make the premium payments on such pension
annuity contracts when due and deposit the foreign casualty tax allocation
into the proper account when received from the commonwealth.
The Police Pension Fund provided for herein
is hereby established, immediately.
[Amended 11-15-1994 by Ord. No. 650; 12-16-2008 by Ord. No.
726]
A. A full-time police officer of the Borough of Trafford
(employer) who incurs a permanent disability while on official police
business on behalf of the employer shall be entitled to a monthly
disability benefit commencing on the first day of the calendar month
coincident with or next following the date on which the determination
of disability is made.
B. A member who shall be entitled to a disability benefit
shall receive a monthly benefit in an amount equal to 50% of the member's
salary as of the date on which the determination of disability is
made, provided that any member who receives benefits for the same
injuries under the Social Security Act shall have his disability benefits
offset or reduced by the amount of such social security benefits.
"Salary" for purposes of this section represents the base or hourly
rate of pay earned by the member for working a regular forty-hour
workweek, including payment for longevity, converted to a monthly
salary. Salary for purposes of this section shall exclude payment
for overtime, or any lump-sum payments for unused leave, or any other
forms of compensation not considered base pay or longevity pay.
C. A police officer is deemed to be disabled if, while
performing official police business (duties) on behalf of the employer,
and as a result of sickness or bodily injury, he/she is unable to
perform with reasonable continuity the material duties of his/her
own occupation. The determination of permanent service-related disability
shall be made by the employer or the Police Pension Committee, based
in part upon the results of medical examinations which may be conducted
by one or more physicians or vocational specialists either designated
by, or acceptable to the employer. Determination by the Social Security
Administration that such police officer is entitled to permanent disability
benefits under the Federal Social Security Act may also serve as satisfactory
evidence of permanent disability, although such entitlement is not
conclusive.