[HISTORY: Adopted by the Borough Council
of the Borough of Freedom as indicated in article histories. Amendments
noted where applicable.]
[Adopted 10-11-2000 by Ord. No. 518]
The Borough of Freedom hereby elects to enroll
its municipal employees in the Pennsylvania Municipal Retirement System,
established by the Pennsylvania Municipal Retirement Law, Act 15 of
1974, as amended, with the express purpose of having the Pennsylvania
Municipal Retirement System administer the pension plan established
for the municipal employees of the Borough.
The Borough of Freedom does hereby agree to
be bound by all the requirements and provisions of the Pennsylvania
Municipal Retirement Law and to assume all obligations, financial
and otherwise, placed upon member municipalities by said Law.
All references hereafter shall be based on benefits
negotiated between the Pennsylvania Municipal Retirement Board and
the Borough of Freedom under the provisions of Article IV of the Pennsylvania
Municipal Retirement Law.
Membership in the Pennsylvania Municipal Retirement
System shall be mandatory for all permanent municipal employees of
the Borough of Freedom. Membership for elected officials and employees
hired on a temporary or seasonal basis is prohibited, as is membership
for individuals paid only on a fee basis.
Credit for service toward the annuity of each
original member shall begin to accrue upon the effective date of the
agreement between the Borough of Freedom and the Pennsylvania Municipal
Retirement System. Benefits provided to members in the agreement dated
October 11, 2000, shall accrue based on all credited service granted
and earned in accordance with this section, except that for the purposes
of determining eligibility for early retirement and vesting, credited
service shall accrue from each original member's date of hire.
The Borough of Freedom hereby assumes all liability
for any unfundedness created due to the acceptance of the benefit
structure outlined in the agreement between the Borough of Freedom
and the Pennsylvania Municipal Retirement System.
Payment for any obligation established by the
adoption of this article and the agreement between the Borough of
Freedom and the Pennsylvania Municipal Retirement System shall be
made by the Borough of Freedom in accordance with the Pennsylvania
Municipal Retirement Law and Act 205 of 1984, the Municipal Pension
Plan Funding Standard and Recovery Act.
By the terms of this article, the Borough agrees
that the Pennsylvania Municipal Retirement System shall provide the
benefits set forth in the agreement between the Borough of Freedom
and the Pennsylvania Municipal Retirement System, dated October 11,
2000. The passage and adoption of this article by the Borough of Freedom
is an official acceptance of said agreement and the financial obligations
resulting from the administration of said benefit package.
By adoption of this article, the Borough of Freedom agrees to terminate, upon the effective date of membership in the Pennsylvania Municipal Retirement System, any previously maintained municipal pension program applicable to those employees identified as members in § 37-2 of this article and to transfer any assets from any existing plan to offset the established liability. The Borough of Freedom also acknowledges that an affirmative vote representing at least 75% of the plan members indicated the members were in agreement with the establishment of the plan with the Pennsylvania Municipal Retirement System.
A duly certified copy of this article and the
referenced agreement shall be filed with the Pennsylvania Municipal
Retirement System of the Commonwealth of Pennsylvania. Membership
for the municipal employees of the Borough of Freedom in the Pennsylvania
Municipal Retirement System shall be effective the eleventh day of
October, 2000.[1]
[1]
Editor's Note: Former Art. II, Police Officers, adopted 7-11-2007
by Ord. No. 550, as amended, and which immediately followed this section,
was repealed 12-12-2012 by Ord. No. 574. This ordinance stated that
the Borough elected to withdraw the Police Pension Plan from the Pennsylvania
Municipal Retirement System, effective 12-12-2012.
