[Ord. 983, 12/15/1964, § 1]
There is hereby established the "Borough of Phoenixville Municipal
Employees' Pension Plan," hereinafter referred to as "the Plan."
[Ord. 983, 12/15/1964, § 2, as amended by Ord.
1678, 7/14/1992, § 1; and by Ord. 2212, 3/12/2013, § 1]
Effective January 1, 1965, the Borough of Phoenixville (Borough)
established the Plan for its employees and desires to continue to
maintain a permanent qualified plan in order to provide its employees
and their beneficiaries with financial security in the event of retirement.
In order for the Borough to continue its compliance with the tax-exempt
retirement plan requirements of the Internal Revenue Code and remain
in compliance with federal and state laws and regulations, it is necessary
for the Borough, from time to time, to amend and/or reinstate the
Plan.
[Ord. 983, 12/15/1964, § 3; as amended by Ord.
987, 1/19/1965, § 1; by Ord. 1029, 7/12/1966, § 4;
by Ord. 1263, 8/10/1976, § 1; and byOrd. 2212, 3/12/2013,
§ 2]
The current Plan is hereby amended and restated effective July
1, 2012, as set forth in Exhibit A and is incorporated herein and
made a part hereof as if fully set forth. A copy of the amended and
restated Plan shall be kept on file at the Borough's office and be
made available upon request.
[1]
Editor’s Note: Former § 1-704, Persons Re-Entering
Borough Employment to Qualify as New Members of Plan; § 1-705,
Conditions for Excuse of Discontinuance or Break in Service; § 1-706,
Effect of Certain Types of Leaves of Absence; § 1-707, Extended
Service After Reaching Normal Retirement Age; § 1-708, Benefits
Following Retirement on Normal Retirement Date; § 1-709,
Conditions for Retirement Prior to or After Normal Retirement Date;
§ 1-710, Effect of Death After Retirement; § 1-711,
Effect of Death Prior to Normal Retirement Date; and After Normal
Retirement Date but Prior to Retirement; § 1-712, Effect
of Cessation of Borough Employment; § 1-713, Designation
of Beneficiary; § 1-714, Contributions; § 1-715,
Right to Terminate Plan; § 1-716, Plan Administration; and
§ 1-717, Contributions by Borough, all adopted by Ord. 983,
12/15/1964, as amended, were repealed by Ord. 2212, 3/12/2013, § 3.
[Ord. 983, 12/15/1964, § 18; as amended by Ord.
987, 1/19/1964, § 4; and by Ord. 2212, 3/12/2013, § 4]
The Borough has the right to amend the Plan at any time to any
extent that it may deem advisable. Such amendment shall by resolution
and in conformance with other applicable law or regulation. A copy
of any amendment shall be kept on file at the Borough's office and
be made available upon request.
[Ord. 983, 12/15/1964, § 19; as amended by Ord.
2212, 3/12/2013, § 5]
The Borough Council shall appoint a Plan Trustee, from time
to time, by motion or resolution and in conformance with applicable
law or regulation. The duties and powers of the Trustee shall be set
forth in a trust agreement executed by the Borough. The trust agreement
shall be incorporated into the Plan by reference.
[1]
Editor’s Note: Former § 1-720, Voluntary Nature
of Plan; Restrictions on Employee’s Rights; § 1-721,
Restrictions on Diversion of Moneys and Return of Borough’s
Contributions,; § 1-722, Determination of Validity; Construction;
§ 1-723, Nonliability of Councilmen; Severability; Applicable
to Successors and Beneficiaries; § 1-724, Purpose; Interpretation;
and § 1-725, Compensation to Certain Aged Appointees and
Employees, all adopted by Ord. 983, 12-15-1964, as amended, were repealed
by Ord. 2212, 3/12/2013, § 6.
[Ord. 1678, 7/14/1992, § 6]
Effective in 1976, the Borough created a Defined Contribution
Retirement Plan ("Over 50 Plan") for employees over the age of 50
at the time they were hired. Effective January 1, 1992, the Over 50
Plan was merged into the Plan. The account balances in the Over 50
Plan, as of December 31, 1991, became liabilities of the plan as of
January 1, 1992, and all Over 50 Plan assets were transferred into
the plan on January 1, 1992.
A.
All benefit rights of participants in the Over 50 Plan, as of December
31, 1991, will be preserved in the Plan.
B.
As of December 31 of each year, starting with 1992, the actuary shall
credit interest to each participant's account balance, as originally
transferred from the Over 50 Plan, at the average investment rate
earned by the plan during the year. The account balance shall increase
with such investment earnings, but shall otherwise have no transactions
until the participant's retirement or other termination of employment.
C.
At retirement or termination of employment, any participant with
such an account balance shall be entitled to a lump sum payout of
the account balance or to equal monthly payments, over a period not
to exceed five years, with continued investment earnings on the unpaid
balance. The actuary shall determine the monthly payment amounts,
with the final payment variable to adjust for actual investment earnings.
