[Ord. of 6-13-2022]
Non-union employees, excluding employees of the Board of Education, commencing employment on or after July 1, 2022, shall be enrolled in a defined contribution retirement plan authorized by Internal Revenue Code § 401(a) (the "plan"). Such employees shall not be eligible to participate in the defined benefit pension plan established by Special Act No. 117, approved June 6, 1963, codified at §§
2-33 through
2-49. All non-union employees commencing employment on or before June 30, 2022, shall be enrolled in the defined benefit pension plan established by Special Act No. 117, approved June 6, 1963, codified at §§
2-33 through
2-49. Non-union employees, excluding the Board of Education, commencing employment on or before June 30, 2022, shall be eligible for such amended defined benefit as approved by the Town Council on January 24, 2022. Union employees may be eligible for the defined contribution plan [401(a)] through collective bargaining.
[Ord. of 6-13-2022]
Said 401(a) plan shall be created by the Town and a plan program
(the "program") developed and administered by a qualified plan administrator
so as to qualify for favorable tax deferral treatment as permitted
by IRC § 401(a). Such operational, contribution, investment
and benefit distribution terms and conditions shall be those as are
required to qualify and remain qualified as an IRC 401(a) plan, and
the plan's operation shall be supervised by the Town Council
with the advice of the Pension Committee and Director of Finance.
[Ord. of 6-13-2022]
Non-union employees who commenced work on or after July 1, 2022,
shall be eligible for the 401(a) retirement plan and shall have the
right to participate on such terms and conditions as the program requires
such that the plan stays qualified. An employee shall be fully vested
in the plan after five years of continual service.