[HISTORY: Adopted by the Borough Council of the Borough of
Towanda 7-1-1963. Amendments noted where applicable.]
GENERAL REFERENCES
Police department — See Ch. 51.
There is hereby created and established by the Borough of Towanda
a Police Pension Fund for the care, maintenance and relief of aged,
retired and disabled employees of the Police Department of the Borough
of Towanda, and the fund so created shall be known as the "Police
Pension Fund." Said Police Pension Fund is hereinafter referred to
as the "fund."
[Amended 11-2-1970; 1-4-1982 by Ord. No. 1-1982; 3-28-1990 by Ord. No. 3-1990; 9-7-1999 by Ord. No.
5-1999[1]; 10-2-2000 by Ord. No. 5-2000; 11-5-2001 by Ord. No. 4-2001; 12-29-2003 by Ord. No. 3-2003]
The fund shall consist of and be derived from the following:
A.
Any sum paid to the Borough and inuring to the fund from any official
or department of the Commonwealth of Pennsylvania under any present
or future law appurtenant thereto.
B.
Any and all moneys which are applied by the Borough of Towanda to
said fund or contributed by the Borough of Towanda to said fund.
C.
Any and all moneys or properties, real, personal or mixed, which
may be given, granted, devised or bequeathed to said fund or to the
Borough of Towanda for the benefit of said fund.
D.
Receipts from the investments of said fund.
E.
Any and all insurance policies which are transferred to said fund,
whether by any existing police pension association or organization
or by individual owners.
F.
Any funds received from the officers and members of the police force
of the Borough.
[1]
Editor's Note: This ordinance also provided for the reenactment
of this appendix, Police Pension Fund.
[Amended 10-20-1987 by Ord. No. 6-1987]
The care, management, investment, administration, distribution
and disposal of the fund shall be vested in a committee to be known
as the "Police Pension Fund Committee," hereinafter referred to as
the "Committee." The Committee shall consist of two members of the
Towanda Borough Council appointed by the President of the Council,
two members of the Towanda Borough Police Force chosen by the police
force of Towanda Borough and a fifth member to be chosen by the other
four members. Said fifth member shall be a person who is an accountant
or employed in the banking profession. The members of said Committee
shall be appointed or elected, as the case may be, at the first meeting
of the Council next succeeding the ordaining of the herein ordinance.
One of said members appointed by the Council and one of said members
chosen by the police force will serve until the first meeting of Council
in January of 1964. One of said members appointed by the Council and
one of said members chosen by the police force will serve until the
first meeting of Council in January of 1965. The fifth member, chosen
by the other four, will serve until the first meeting of Council in
January of 1964. Thereafter each person appointed or chosen shall
serve for a period of two years or until their successors are appointed
or chosen, as the case may be. Any member may be reappointed or reelected
for successive terms without limitation. Vacancies shall be filled
by the appointing authority, to serve for the unexpired position to
be filled. If the vacancy results from the resignation or death of
the fifth member who is chosen by the four other members, the vacancy
shall be filled by the other four members. The members of the Committee
shall serve without compensation and the administration of the fund
and the acts of the Committee shall be governed by the pertinent provisions
of this and any other applicable ordinance of the Borough. All of
the actions and activities of the Committee shall be subject to the
approval of the Borough Council, which shall at all times retain the
direction of and responsibility for said fund. The Committee shall
meet annually on the third Tuesday of each September to discuss the
financial condition, requirements and other items related to the fund.
The meeting time and place shall be distributed to all interested
parties at least 10 days before said meeting.
All regular salaried officers and members of the police force
shall be members of the fund, and such membership shall be compulsory
for all such officers and members of the police force. Upon becoming
a member of the fund, each officer and member of the police force
shall designate beneficiary or beneficiaries to whom payments shall
be made in the event of such member's death while a member of
the police force and of the fund. Changes and successive changes of
beneficiary and beneficiaries may at any time be made by a member
of the police force, provided that he does so by giving a written
notice to the Committee.
The Borough Treasurer shall serve as Treasurer of the fund.
The assets of the fund shall be kept separate and apart from other
Borough funds and must be separately protected by a surety bond to
the Borough to the extent required by the Borough Council.
Any and all of the fund may be invested in state, county or
municipal bonds of the Commonwealth of Pennsylvania or in the bonds
of the United States Government or in any other investments or securities
which are authorized by law for the investment of trust funds in general.
In addition thereto, any and all of the funds may be used for the
purchase of and payment of premiums upon policies of life insurance
or annuity insurance policies or a combination thereof, whether said
policies were initially purchased by said fund or were in existence
before said fund and transferred to said fund.
The books and records of the funds shall be open for inspection
by any interested party, and the accounts shall be audited annually.
[Amended 12-4-1967 by Ord. No. 10; 12-6-1971 by Ord. No. 7-1971; 9-3-1974 by Ord. No. 2-1974; 1-4-1982 by Ord. No. 1-1982; 10-20-1987 by Ord. No.
6-1987; 10-20-1987 by Ord. No. 9-1987; 3-28-1990 by Ord. No. 3-1990; 2-10-1992 by Ord. No. 3-1992; 10-7-2002 by Ord. No. 7-2002; 12-29-2003 by Ord. No.
2003-3]
A.
Eligibility.
(1)
Every officer or member of the police force of the Borough of Towanda,
retired as of October 7, 2003, who shall have served for a total period
of 25 years and who shall have reached the age of 50 years shall be
entitled to a pension. Such retired officer or member of the police
force shall receive a pension during the term of his natural life
equal to 1/2 of the monthly average salary of such police officer
during the last 60 months of his employment.
(2)
Every officer or member of the police force of the Borough of Towanda
not retired as of October 7, 2002, who shall have served for a total
period of 25 years and who shall have reached the age of 50 years
shall be entitled to be honorably discharged and retired on pension.
Such retiring officer or member of the police force shall receive
a pension during the term of his natural life equal to 1/2 of said
member's final thirty-six-month average salary at retirement.
B.
Benefits.
(1)
The surviving spouse of an officer or member of the police force
or an officer or member who retired on pension but then died, during
the lifetime of the surviving spouse shall be entitled to receive
a survivor's pension calculated at the rate of 50% of the pension
the officer or member was receiving at the officer's or member's
death or would have been receiving had the officer or member been
retired at the time of the officer's or member's death.
If a surviving spouse remarried prior to April 7, 2002, he or she
shall not be entitled to any retirement benefits. If there is no surviving
spouse at the time of the officer's or member's death, or
should there be a surviving spouse who subsequently dies, the children
of the member who are under the age of 18, while under age 18, and
the children of the member who are under the age of 23 and attending
college, while under 18 or under 23 and attending college, shall be
entitled together to receive a pension calculated at the rate of 50%
of the pension the officer or member was receiving at the member's
death or would have been receiving had the officer or member been
retired at the time of the officer's or member's death.
"Attending college" shall mean the eligible children are registered
at an accredited institution of higher learning and are carrying a
minimum load of seven credits hours per semester.
[Amended 10-7-2013 by Ord. No. 2013-3]
(2)
Law enforcement officers of the Borough of Towanda, Pennsylvania
who die as a result of the performance of their duties shall receive
death benefits as a result thereof as determined by the legislature
of the Commonwealth of Pennsylvania. Said benefits at present are
established and determined by Act 51 of 2009.[1]
[Amended 5-3-2010 by Ord. No. 2010-1]
[1]
Editor's Note: See 53 P.S. § 771.
C.
Cost-of-living increase. Members of the Borough of Towanda, Pennsylvania
Police Force receiving retirement benefits shall be provided an annual
cost-of-living increase subject to the following: The cost of living
increase in the Consumer Price Index from the years in which the police
member last worked shall not cause the total police pension benefits
to exceed 75% of the salary for computing retirement benefits and
shall not cause the total cost-of-living increase to exceed 30%; furthermore,
no cost-of-living increase shall be granted which would impair the
actuarial soundness of the pension fund.
[Amended 5-3-2010 by Ord. No. 2010-1; 10-7-2013 by Ord. No. 2013-3]
D.
Vesting and early retirement.
(1)
Every officer and member of the fund shall be 100% vested in his
accrued benefit upon completion of 12 years of service.
(2)
Regarding officers and members of the police force of the Borough
of Towanda, retired as of October 7, 2002, the retirement benefit
shall begin on what would have been the member's normal retirement
date if employment had continued. The amount of benefit shall equal
1/2 of the monthly average salary of said officer or member during
the last 60 months of employment prior to termination times a fraction
where the numerator is the member's actual years of service at
termination and where the denominator is the member's projected
years of service at normal retirement date if employment had continued.
(3)
Regarding every officer or member of the police force of the Borough of Towanda not retired as of October 7, 2002, a terminated officer or member with at least 12 but less than 20 years of service shall be entitled to a retirement benefit beginning on what would have been the officer's or member's normal retirement date (i.e., the date on which he would have attained age 50 and completed 25 years of service). The amount of benefit shall be equal to (a) x (b) + (c), where (a) equals 50% of the officer's or member's final thirty-six-month average salary at termination and (b) equals a fraction, the numerator of which is the member's years of service at termination and the denominator of which is the projected years of service the member would have had based on continued service to his normal retirement date, and (c) equals the benefit described in Subsection E, if any.
(4)
Regarding every officer or member of the police force of the Borough of Towanda not retired as of October 7, 2002, a terminated member with 20 or more years of service shall be entitled to the deferred benefit described in Subsection D(3). Alternatively, the officer or member may elect to receive an immediate monthly benefit, which is the actuarial equivalent of the deferred benefit otherwise due. For this purpose, actuarial equivalence shall be based on the interest and life expectancy assumptions reported in the last actuarial valuation report filed by the Borough of Towanda, Pennsylvania, with the Public Employee Retirement Commission, pursuant to Act 205 of 1984 (as amended)[2] of the Commonwealth of Pennsylvania.
[2]
Editor's Note: See 53 P.S. § 895.101 et seq.
E.
Additional monthly pension.
(1)
Every officer or member of the police force of the Borough of Towanda,
not retired as of October 7, 2002, who terminates service after the
completion of 26 or more years of service shall be entitled to an
additional monthly pension of $100 beginning on the member's
normal retirement date.
(2)
Every officer or member of the police force of the Borough of Towanda
retired as of October 7, 2002, shall receive a service increment of
$25 per month up to nine maximum of $100 per month for each completed
year of service in excess of 25 years.
Retirement will be mandatory for any policeman who reaches the
age of 65 years.
[Amended 12-6-1971 by Ord. No. 6-1971; 1-4-1982 by Ord. No. 1-1982]
Should an officer or member of the police force be discharged or voluntarily withdraw from the police force or otherwise cease to be a member of the fund, except as provided in §§ A328-11, or should he be forced to leave the Towanda Borough Police Department for reasons of health before he is eligible for a pension, he shall be paid from the fund the full amount of moneys contributed by him to the fund, with simple interest at the rate of 4% per annum.
[Amended 1-4-1982 by Ord. No. 1-1982; 3-28-1990 by Ord. No. 3-1990[1]; 12-29-2003 by Ord. No. 3-2003]
A.
Job-related.
(1)
Should an officer or member of the police force become fully
disabled by reason of sickness or injury sustained in the course of
his employment, such fully disabled officer or member shall receive
a pension equal to 1/2 the monthly salary of such policeman at the
time the full disability occurs. Such pension or retirement benefits
for any month shall be computed as the sum of:
(a)
Any pension benefits from pension plans heretofore established
by a private organization or association for the members of the police
force.
(b)
Any disability insurance payments received as the result of
said disability from any insurance policy or policies maintained at
said time by the Borough of Towanda.
(c)
Benefits from the Police Pension Fund established herein, to
the extent necessary to bring the total to 1/2 the aforesaid monthly
salary.
(2)
Said pension payments shall be made in monthly installments
and shall be made for as long as said officer or member is disabled
or for a total number of months equal to 1/2 the number of months
said officer or member was employed as an officer or member of the
Towanda Borough Police Force prior to said disability, whichever period
should be the lesser.
B.
Non-job-related.
(1)
Effective January 1, 1989, a Non-Job-Related Police Disability
Fund shall be established and funded with member contributions.
(2)
The assets of said fund shall be used for premium payments for
non-job-related disability insurance policies, if commercially available.
(3)
If said insurance policies are not available or if the disability
benefit from policies in place does not equal 1/2 the average monthly
salary of a member during the last 60 months of employment prior to
his being disabled, then the moneys contributed by said disabled member
to the Police Pension Fund prior to January 1, 1989, shall be withdrawn
in amounts sufficient to provide said benefit, if said withdrawal
is determined to be actuarially sound to the Police Pension Fund.
Said moneys shall be applied to the monthly benefit until exhausted
or until no longer necessary.
[1]
Editor's Note: Ordinance No. 3-1998, adopted 8-1-1998,
provided for the reenactment of said Ord. No. 3-1990.
[Amended 12-6-1971 by Ord. No. 6-1971; 3-28-1990 by Ord. No. 3-1990[1]; 12-29-2003 by Ord. No. 3-2003]
Should an officer or member of the police force die while he
is employed by the Borough of Towanda as a policeman, but not in service,
there shall be paid to his widow or other beneficiary named by him
any moneys contributed by him to the Police Pension Fund not used
for disability benefit and any moneys contributed by him to the Non-Job-Related
Disability Fund not used for that fund's purpose, with interest
at the rate of 4% per annum.
[1]
Editor's Note: Ordinance No. 3-1998, adopted 8-1-1998,
provided for the reenactment of said Ord. No. 3-1990.
[Amended 3-28-1990 by Ord. No. 3-1990[1]]
Any police officer or member who is receiving benefits from
either the Police Pension Fund or the Non-Job-Related Police Disability
Fund because of disability shall, upon demand of the Police Pension
Fund or Council, furnish proof to the Police Pension Fund or the Council,
as the case may be, of his continued permanent disability; provided,
however, that he shall not be demanded to furnish said proof more
often than once in every three-month period. Should such police force
or member refuse to furnish said proof of his continued permanent
disability, all payment to said officer or member shall cease.
[1]
Editor's Note: Ordinance No. 3-1998, adopted 8-1-1998,
provided for the renenactment of said Ord. No. 3-1990.
[Amended 3-1-1999 by Ord. No. 2-1999]
A.
Every full-time police officer of the police force of the Borough
of Towanda, Pennsylvania, who has at least three years of full-time
service with said police force shall have the right to purchase an
additional year of service with said police force, up to a maximum
of five additional years of service, for each year or fraction thereof
which the full-time police officer served in the armed forces of the
United States prior to the officer's employment by the Borough
of Towanda, Pennsylvania. The cost of purchasing such credit for military
service shall be computed pursuant to the applicable formula set forth
in Section 4(b) of the Municipal Police Pension Law [53 P.S. § 770(b)].
Reference is made to 1956, May 29, P.L. (1955) 1804, No. 600, Section
4, amended 1990, Dec. 19, P.L. 1238, No. 205, Sec 1; and as further
amended 1996, May 10, P.L. 162, No. 33, Section 5.
B.
Every full-time police officer of the police force of the Borough
of Towanda, Pennsylvania who has been a full-time employee for a period
of at least six months and who thereafter shall enter the military
service of the United States shall have credited to the officer's
employment record for pension or retirement benefits all of the time
spent by the officer in such military service if such person returns
or has heretofore returned to his employment within six months after
the officer's separation from the service.
C.
For purposes of this section, "military service" shall mean service
in any branch of the Armed Forces of the United States.
Upon application in writing stating a reason deemed good and
sufficient to it, the Borough Council may grant any officer or member
of the police force a leave of absence without pay for a period not
exceeding six months, unless such period shall be extended by a majority
vote of the entire Council, during which period such member shall
be considered in relation to the Fund as being in active service,
and he shall not lose any rights to pension or benefits hereunder,
provided that while on leave of absence he regularly makes a contribution
to the Fund in the amount that would have been deducted from his pay
if he were on active duty on the police force. The provisions of this
section may likewise apply where any member is prevented by injury
or illness from performing his regular duties, if he remains an officer
or member of the police force and of the Fund. Provided: such leave
of absence shall not affect any law, ordinance or action of Council
providing for sick leave or vacation.
No person participating in the Fund and becoming entitled to
receive a benefit therefrom, shall be deprived of his right to an
equal and proportionate share therein, upon the basis upon which he
first became entitled thereto, except for failing to comply with some
general regulation relating to the management of the Fund, which may
be made by ordinance, and which provides that a failure to comply
therewith shall terminate the right to participate in the pension
fund after such notice and hearing as it shall prescribe; or if, while
a member of the Police Reserve receiving a pension, he shall unreasonably
refuse to report for duty and perform the duties prescribed unless
in the opinion of Council good and sufficient reasons are shown for
such failure or neglect.
Any officer or member of the police force aggrieved by any ruling
or action of the Police Pension Committee or the Council regarding
the Fund and his relation thereto, shall have right to a hearing before
Council to be held within 10 days at his written request therefor,
at which he may attend in person and be represented by counsel and
may further require the attendance of any witnesses on his behalf
by subpoena to be issued by the Borough Council on his written request.
Minutes and records shall be kept of the testimony and the facts produced,
and Council may thereupon make such order and ruling in the matter
as may seem just and lawful.
No payments made under this ordinance may be assigned or attached
in any manner or for any purpose, reason cause, or under any circumstances.
The provisions of this ordinance shall be severable and if any
of the provisions thereof shall be held to be unconstitutional, the
decision so holding shall not be construed to affect or impair any
of the remaining provisions of this ordinance.
All ordinances or parts of ordinances conflicting with this
ordinance are hereby repealed.
This ordinance shall be effective upon the transfer of all insurance
policies insuring the lives of the present policemen by the present
policemen of the Borough of Towanda to the Borough of Towanda.
