The Commissioners of the Township of South Whitehall established
the South Whitehall Township Employees' Pension Plan ("Employees'
Plan") and the South Whitehall Township Employees' Pension Trust
("Employees' Trust"), effective December 31, 1967, by Ordinance
No. 75, enacted December 20, 1967. The Employees' Plan and the
Employees' Trust have been amended from time to time thereafter.
Effective as of January 1, 1989, the Commissioners split the Employees'
Plan and the Employees' Trust into two separate plans and trusts,
one for the nonunion employees of the Township and the other for the
nonuniformed union employees of the Township. In order to do so, the
Employees' Plan and the Employees' Trust were renamed the
South Whitehall Township Public Works Union Employees' Pension
Plan and the South Whitehall Township Public Works Union Employees'
Pension Trust and thereafter covered public works union employees
of the Township who were previously covered under the Employees'
Plan and the Employees' Trust. The other employees who were previously
covered under the Employees' Plan and the Employees' Trust
were covered thereafter under the plan and trust established under
Sections 1.161 through 1.173 of the Codified Ordinances. Effective
as of January 1, 2010, the Commissioners hereby continue said plan
as the "South Whitehall Township Public Works Union Employees'
Pension Plan" and amend and restate it in its entirety. The pension
benefits of any participant who terminated his employment with the
Township prior to January 1, 2010, shall be determined solely under
the provisions of the plan in effect at the time of his termination.
When used in §§
58-44 through
58-56 with initial capital letters, the following terms shall have the meanings set forth below, unless a different meaning is plainly required by the context:
COMMISSIONERS
The Board of Commissioners of the Township of South Whitehall.
COMMITTEE
The committee appointed by the Commissioners under §
58-53A to administer the Plan.
COMPENSATION
The Compensation of an employee for a given year (or other
period for which a determination is being made), the amount of Compensation
actually paid, made available or includible in gross income for the
year (or other determination period). [In the case of a period during
which an employee is serving in the uniformed forces of the United
States, or during the term of any other approved leave of absence,
the employee's Compensation shall be computed (A) at the rate
the employee would have received but for the uniformed service or
other leave of absence, or (B) in the case that the determination
of such rate is not reasonably certain, on the basis of the employee's
average rate of compensation during the twelve-month period immediately
preceding the period of uniformed service or leave of absence (or,
if shorter, the period of employment immediately preceding such period)].
However, "Compensation" shall not include any compensation in excess
of the amount in effect for such year under Section 401(a)(17) of
the Internal Revenue Code of 1986, as amended (the "Code"). If Compensation
is ever required to be determined for a period of time which contains
fewer than 12 months, the amount in effect for such period under Code
Section 401(a)(17) shall be equal to the amount in effect under Code
Section 401(a)(17) for the calendar year in which the period begins,
multiplied by a fraction whose numerator is equal to the number of
months in the period and whose denominator is 12.
DISABLED
A person shall be considered "Disabled" if he has a physical
or mental condition which renders him qualified to receive permanent
and total disability benefits under the Federal Social Security Act
(or any successor Act) and if he is actually receiving such benefits.
DISQUALIFYING EVENT
With respect to any given person, each of the following shall
be a "Disqualifying Event":
A.
The voluntary or involuntary termination of the person's
employment with the Employer, unless the termination occurs due to
the conscription, enlistment or appointment of the person to service
in the Armed Forces of the United States, or because of a condition
which renders the person Disabled. However, if the Employer shall
terminate the person's employment due to insufficient work for
such person or shall indicate that the termination is temporary, such
termination shall be considered a "layoff" and not a "termination"
unless the layoff continues for a period in excess of six months.
The mere cessation of a person's status as a Qualified Employee
shall not constitute a "termination" under this subsection; only a
termination from all employment with the Employer shall be a "termination";
B.
The person's failure to return to work at the end of any
leave of absence, after ceasing to be Disabled, or upon recall following
a layoff;
C.
The lapse of the person's right under the then-effective
laws of the United States to reinstatement of employment with the
Employer following a period of service with the Armed Forces of the
United States, unless the person was reinstated before such lapse;
or the failure of the person to qualify for reinstatement rights following
a period of service with the Armed Forces of the United States.
EMPLOYER
The Township of South Whitehall, a Pennsylvania First Class
Township and municipal corporation, located in Lehigh County, Pennsylvania.
EQUIVALENT ACTUARIAL VALUE
The equivalent value when computed on the basis of the following
actuarial assumptions:
A.
Mortality: UP-1984 Table.
FINAL AVERAGE MONTHLY COMPENSATION
Of a Participant or former Participant, the Compensation
paid to the Participant or former Participant during the thirty-six-month
period ending on his Qualification Date (whether for service as a
Qualified Employee or otherwise), divided by 36. However, if a Participant
or former Participant shall not have been an employee of the Employer
throughout the thirty-six-month period, his Final Average Monthly
Compensation shall be his Compensation during his last 36 months of
employment through the Qualification Date (regardless of whether he
was employed as a Qualified Employee or otherwise), divided by 36;
and if he shall not have been an employee of the Employer for a total
of at least 36 months before his Qualification Date (whether consecutive
or not), his Final Average Monthly Compensation shall be his Compensation
during all periods of employment with the Employer through the Qualification
Date (regardless of whether he was employed as a Qualified Employee
or otherwise), divided by the number of months of his employment with
the Employer through the Qualification Date (rounded to the nearest
0.001 of a month).
PARTICIPANT
Any person who is a Participant in the Plan under the requirements of §
58-47.
PLAN
The South Whitehall Township Public Works Employees'
Pension Plan as described herein or as hereinafter amended.
PLAN YEAR
Each one-year period beginning on January 1 and ending on
the following December 31.
QUALIFICATION DATE
A.
For purposes of computing the normal retirement benefit under §
58-48A, the deferred retirement benefit under §
58-48B, or the early retirement benefit under §
58-48C, the "Qualification Date" shall be the date of retirement;
B.
For purposes of computing the disability retirement benefit under §
58-48D, the "Qualification Date" shall be the last date the Disabled person performed work for the Employer prior to becoming Disabled;
C.
For purposes of computing the preretirement age death benefit
under § 58-48(3), the "Qualification Date" shall be the
last date the person performed work for the Employer on or before
the date of the person's death.
D.
For purposes of computing the vested benefit under §
58-48E the "Qualification Date" shall be the last date the person performed work for the Employer on or before the date of the Disqualifying Event;
E.
For purposes of computing the accrued benefit under §
58-51A, the "Qualification Date" shall be the last day the person performed work for the Employer on or before the Calculation Date described in §
58-51A.
QUALIFIED EMPLOYEE
An employee of the Employer who is employed in a position
which is regularly scheduled for more than 1,500 hours of work per
year and who is included within the bargaining unit of employees represented
by Local 773 of the International Brotherhood of Teamsters, Chauffeurs,
Warehousemen, and Helpers of America, AFL-CIO (the "Public Works Union").
TRUST
The trust described in §
58-53B to hold the funds to be used to provide benefits under the Plan, and designated the South Whitehall Township Public Works Employees Pension Trust.