[Ord. 448, 10/6/1958, § 1]
A Police Pension Fund for the police force of the Town of Bloomsburg
is hereby established under the provisions of Act. No. 600 of the
General Assembly of the Commonwealth of Pennsylvania, approved May
29, 1956, Sessions of 1955, P.L. 1804, as amended, and shall be known
as the "Bloomsburg Police Pension Fund."[1]
[1]
Editor’s Note: Ordinance 947, adopted 8/27/2012, approved
the Police Pension Fund as amended and restated effective January
2, 2005. Ordinance 947 is available at the Town Hall.
[Ord. 448, 10/6/1958, § 2]
Any and all police pension funds or plans heretofore established
by the Town of Bloomsburg shall be and are hereby transferred to the
Fund established under the provisions of this Part 6-a.
[Ord. 448, 10/6/1958, § 3]
The funds for said Fund shall be derived from the following
sources:
A.
By a charge against each member of the police force.
B.
Any sum or sums paid to the Town and inuring to the Fund from any
official or department of the Commonwealth of Pennsylvania under any
present or future law pertinent thereof.
C.
Any money or property, real, personal or mixed, which the Town may
by gift, grant devise or bequest, receive for the benefit of the fund.
D.
By annual appropriations made by the Town.
E.
Receipts from investments of said fund.
[Ord. 448, 10/6/1958, § 4; as amended by Ord. 841,
12/19/2001]
The First Columbia Bank and Trust Company is hereby designated
as Trustee of the Police Pension Fund and shall serve as such in accordance
with a written Trust Agreement to be entered into by the Town of Bloomsburg
and the said First Columbia Bank and Trust Company as Trustee and
to be approved by the Town Council of the Town of Bloomsburg.
[Ord. 448, 10/6/1958, § 5; as amended by Ord. 641,
10/9/1978]
Police Pension Committee is hereby established, which shall
consist of three members. The President of the Town Council shall
be president of the Police Pension Committee and the remaining two
members shall be appointed annually by him, one from the members of
the Town Council and one from the members of the Town police force,
their appointment to be approved by the Town Council. The Committee
members shall serve without compensation for a period of one year
or until their successors are duly designated as hereinabove set forth.
[Ord. 448, 10/6/1958, § 6; as amended by Ord. 841,
12/19/2001]
The actuarial department of the Hay Group is designated as the
actuary until its services are not long required or its designation
as such is terminated by action of the Town Council. The Town Council
may, from time to time, by resolution, designate another actuary for
the purposes of this Plan.
[Ord. 448, 10/6/1958, § 8; as amended by Ord. 781,
6/5/1995; and by Ord. 799, 10/13/1997, § 2]
The Police Pension Committee, with the aid of the actuary and/or
the Trustee, when necessary, shall make the necessary determinations
as to what contributions are to be made to the fund, and also what
payments are to be made out of the fund in accordance with the Police
Pension Plan, and the Act of Assembly No. 600, Session of 1955, P.L.
1804, its supplements and amendments and written instructions as to
such payments shall be made by the Police Pension Committee to the
persons affected. Such determination shall be made annually by resolution.
[Ord. 799, 10/13/1997, § 368; as amended by Ord.
898, 7/10/2006, § 1; and by Ord. 922, 7/13/2009, §§ 1,
2]
A member's accrued benefit, at a particular point in time,
shall mean a monthly benefit equal in amount to 50% of the member's
average salary at the particular point in time multiplied by a fraction
(whose value shall not exceed one), the numerator of which is the
member's years of service at the particular point in time and the
denominator of which is the years of service that the member would
accrue based on continued employment as a full-time police officer
until age 50 or, if later, until:
A benefit differing in amount and form of payment from another
benefit but equal in value to that other benefit based on the following
assumptions with regard to interest and life expectancy:
A member's average salary at any point in time shall be calculated
as the member's average monthly compensation for employment by the
Town for the last 36 months of employment.
The person or persons designated by the members to be the
recipient of any survivor benefits payable under this Plan. In the
case of a married member, the beneficiary shall be the member's spouse
unless the member, with the spouse's consent, specifically elects
otherwise.
The Town of Bloomsburg Police Pension Fund Committee as described in § 1-617(4).
The total wages paid by the Town to the member, including
overtime and, for a particular period of employment, shall include
monies paid by the Town to the member for unused vacation, but only
to the extent that such monies relate to vacation to which the member
was entitled in such period of employment. Compensation shall also
include any monies paid by the Town to the member for up to 18 days
of unused sick leave each year. Compensation shall not include any
monies paid by the Town to the member for severance pay.
An individual entitled to participate in the plan by virtue of having met the membership requirements of § 1-609.
The member's base monthly rate of pay as a Town police officer as of the member's last full day of active employment before the member's death or retirement on account of disability in accordance with § 1-612 and shall include shift differential pay, but exclude any other forms of pay received by the member, including but not limited to bonuses and pay for unused sick, personal or vacation days.
The Town of Bloomsburg Police Pension Fund.
A monthly benefit, in addition to a member's accrued benefit
of $100, provided that the member's years of service total 26 full
years or more.
The Town of Bloomsburg in the Commonwealth of Pennsylvania.
The total period of full-time employment of a member by the
Town from date of hire to date of termination measured in full years
and completed months with fractional months counted as a full month
if 15 or more days in length. Full-time employment shall include the
time during which the member is absent from work on account of paid
vacation and paid illness and shall also include any other period
of time deemed by the Committee to constitute full-time employment.
Years of service shall not include any period of time for which the
member fails to make the required member contributions otherwise due
in accordance with § 1-509(2). Years of service shall include
any period of time during which the member serves in the armed forces
of the United States; provided:
That such military service commences after the member's employment
with the Town.
Member contributions are not required for the crediting of intervening
military service time.
[Amended by Ord. 932, 11/8/2010, § 1]
The member returns to full-time employment as a full-time Town
police officer within six months of termination of such military service.
[Ord. 799, 10/13/1997, § 369; as amended by Ord.
898, 7/10/2006, § 2; and by Ord. 907, 10/22/2007, § 1]
1.
Membership. An eligible employee of the Town shall become a member of the plan on the date on which he commences employment with the Town. An eligible employee shall mean a person holding a position as a full-time Town police officer and who contributes to the plan in accordance with subsection (2).
2.
Member Contributions. No member contributions have been required
since 1984 and none will be required unless needed to meet the plan's
funding requirements as determined under the Pennsylvania Municipal
Pension Plan Funding Standard and Recovery Act (Act 205 of 1984).
On or about June 1, 1990, each active member of the plan received
a refund of his total accumulated prior contributions to the plan
plus interest. In the event that member contributions are required
in 1997 or later years, such contributions shall not exceed 5% of
compensation and shall be accounted for separately for each member
and accumulate with interest at the rate of 6% per annum compounded
annually.
[Ord. 799, 10/13/1997, § 370; as amended by Ord.
898, 7/10/2006, § 3; and by Ord. 922, 7/13/2009, §§ 3]
1.
Eligibility Requirements. A member will be eligible for normal retirement
benefits provided that he retires from the Town's employment and upon
such retirement he has:
[Amended by Ord. 968, 10/26/2015]
A.
Completed at least 20 years of service, and 50 years of age, if hired
before January 1, 1970; or
B.
Completed at least 25 years of service, and 50 years of age, if hired
on or after January 1, 1970, but before January 1, 2015; or
C.
Completed at least 25 years of service, and 55 years of age, if hired
on or after January 1, 2015.
2.
Benefit Commencement Date. Monthly benefits as described in subsection (3) will commence on the first day of the month coincident with or next following the members' date of retirement. If the member retires on other than the first day of the month, he will receive a pension payment for his initial month of retirement equal to the amount described in subsection (3) multiplied by the ratio of the days he is retired in the month to the full number of days in the month.
3.
Amount of Benefits. An eligible member will be entitled to receive
monthly benefits equal in amount to 100% of his accrued benefit at
time of retirement, plus any applicable service increment benefit.
5.
Optional Forms of Payment. A member, if hired prior to January 1, 1997, may, in lieu of receiving benefits under the normal form of payment as described in § 1-615(1), elect to receive benefits amount under one of the optional forms described in § 1-615(2) subject to the conditions of § 1-615(3). Optional forms of payment will not be available to members hired on or after January 1, 1997, unless such practice is specifically approved by the Auditor General's Office of the Commonwealth of Pennsylvania.
[Ord. 799, 10/13/1997, § 371]
[Ord. 799, 10/13/1997, § 372; as amended by Ord.
922, 7/13/2009, §§ 4]
1.
Eligibility Requirements. A member will be eligible for disability
retirement benefits provided that he incurs a disablement in connection
with the performance of his duties as a Town police officer and, as
a result of such disablement, is required to terminate employment
with the Town.
2.
Benefit Commencement Date. Monthly benefits as described in subsection (3) will commence on the first day of the month coincident with or next following the member's date of retirement on account of disability. If the member retires on other than the first day of a month, he will receive a pension payment for his initial month of retirement equal to the amount described in subsection (3) multiplied by the ratio of the days he is retired in the month to the number of full days in the month.
3.
Amount of Benefits. An eligible member will be entitled to an immediate
monthly pension equal to the greater of (a) 25% of his average salary
play an additional 2% of his average salary for each year of service
in excess of 15 years to a maximum benefit of 50% of average salary;
and (b) 50% of the member's monthly earnings less any social security
disability benefits received by the member.
5.
Optional Forms of Payment. A member, if hired prior to January 1, 1997, may, in lieu of receiving benefits under the normal form of payment as described in § 1-615(1), elect to receive benefits amount under one of the optional forms described in § 1-615(2) subject to the conditions of § 1-615(3). Optional forms of payment will not be available to members hired on or after January 1, 1997, unless such practice is specially approved by the Auditor General's Office of the Commonwealth of Pennsylvania.
[Ord. 799, 10/13/1997, § 373; as amended by Ord.
922, 7/13/2009, §§ 5]
1.
Eligibility Requirements. A member will be eligible for vested termination
benefits provided that he terminates employment with the Town, for
whatever reason, and upon such termination he has completed at least
12 years of service.
2.
Benefit Commencement Date. Monthly benefits as described in subsection (3) will commence on the first day of the month coincident with or next following the date on which the member would have met the eligibility requirements for normal retirement benefits.
3.
Amount of Benefits. An eligible member will be entitled to a deferred
monthly pension equal in amount to 100% of his accrued benefit at
time of termination, plus any applicable service increment benefit.
5.
Optional Forms of Payment. A member, if hired prior to January 1, 1997, may, in lieu of receiving benefits under normal form of payment as described in § 1-615(1), elect to receive benefits amount under one of the optional forms described in § 1-615(3). Optional forms of payment will not be available to members hired on or after January 1, 1997, unless such practice is specifically approved by the Auditor General's Office of the Commonwealth of Pennsylvania.
[Ord. 799, 10/13/1997, § 374; as amended by Ord.
898, 7/10/2006, §§ 4, 5, 6; and by Ord. 922, 7/13/2009,
§§ 6]
1.
Pretermination Death Benefits.
[Amended by Ord. 932, 11/8/2010, § 2]
A.
If a member is not killed in service but dies from other causes prior to termination of employment with the Town and prior to meeting the eligibility requirements for normal retirement benefits [§ 1-610(1)], the member's beneficiary will receive a lump sum payment equal to the member's accumulated contributions to the plan, with interest, to the extent that such contributions have not been already refunded to the member.
B.
If a member is not killed in service but dies from other causes prior to termination of employment with the Town, but after having met the eligibility requirements for normal retirement benefits [§ 1-610(1)], his surviving spouse will receive, for life, 50% of the monthly benefit the deceased member would have been receiving had he retired immediately prior to his death. If there is no surviving spouse, the benefits otherwise payable to the member's spouse will be shared equally by any surviving children of the member, provided that no benefits will be paid to any such child after he has attained 18 years of age (or age 23 if registered at an accredited institution of higher learning and carrying a course load of at least seven credit hours).
2.
Post-Termination Death Benefits.
A.
If a member terminated employment with the Town after having met the eligibility requirements for vested termination benefits [§ 1-613(1)], and dies before the scheduled benefit commencement date [§ 1-613(2)], his surviving spouse, provided such spouse was married to the member at the time he terminated employment with the Town, shall receive, for life, 50% of the monthly benefit the deceased member was scheduled to receive with such benefits commencing on the deceased member's scheduled benefit commencement date. If there is no eligible spouse as described in the preceding sentence, then benefits otherwise payable to the member's spouse will be shared equally by any surviving children of the member, provided that no benefits will be paid to any child born later then 10 months after the member terminated employment with the Town or to any child after he has attained 18 years of age (age 23 if registered at an accredited institution of higher learning and carrying a course load of at least seven credit hours).
[Ord. 799, 10/13/1997, § 375; as amended by Ord.
898, 7/10/2006, §§ 7, 8, 9; and by Ord. 922, 7/13/2009,
§§ 7, 8]
1.
Normal Forms of Payment. Retirement benefits are payable in the form
of a life annuity for unmarried members and in the form of a 50% spouse
annuity for married members. Benefits are payable under the normal
forms in the following manner:
A.
Life Annuity. Monthly benefits subject to the cost-of-living provisions of § 1-616 are payable during the lifetime of the member only. Payments cease with the monthly payment falling due to the member's month of death, and no further payments of any kind are payable except that 50% of the monthly benefit the deceased member had been receiving will be shared equally by any surviving children of the member, provided that no benefits will be paid to any child born later than 10 months after the member terminated employment with the Town or to any child after he has attained 18 years of age (age 23 if registered at an accredited institution of higher learning and carrying a course load of at least seven credit hours).
B.
Fifty Percent Spouse Annuity. Monthly benefits subject to the cost-of-living provisions of § 1-616 are payable during the lifetime of the member. Upon the member's death, his surviving spouse, provided such spouse was married to the member at the time he terminated employment with the Town, shall receive for life 50% of the monthly benefit the deceased member had been receiving. If there is no eligible spouse as described in the preceding sentence, then benefits otherwise payable to the member's spouse will be shared equally by any surviving children of the member, provided that no benefits will be paid to any child born later than 10 months after the member terminated employment with the Town or to any child after he has attained 18 years of age (or age 23 if registered at an accredited institution of higher learning and carrying a course load of at least seven credit hours).
2.
Optional Forms of Payment. An unmarried member may elect to have
benefits payable in the form of a life annuity with 10 years certain
instead of in the normal life annuity form. A married member may elect
to have benefits payable in the form of a life annuity with 10 years
certain or a 100% spouse annuity instead of the normal 50% spouse
annuity form. These optional forms of payment are defined as follows:
A.
Life Annuity With 10 Years Certain. An annuity payable in level monthly
installments for the member's lifetime. If, however, the member dies
prior to receiving 120 monthly payments, then monthly payments will
continue to the member's beneficiary until a grand total of 120 payments
have been made.
B.
One Hundred Percent Spouse Annuity. An annuity payable in level monthly
installments for the member's lifetime. Upon the member's death, his
surviving spouse, provided such spouse was married to the member at
the time he terminated employment with the Town, will receive for
life 100% of the monthly benefit the deceased member had been receiving.
If there is no eligible spouse as described in the preceding sentence,
then benefits otherwise payable to the member's spouse will be shared
equally by any surviving children of the member, provided that no
benefits will be paid to any child born later than 10 months after
the member terminated employment with the Town or to any child after
he has attained 18 years of age (or age 23 if registered at an accredited
institution of higher learning and carrying a course load of at least
seven credit hours).
3.
Amount Payable Under Optional Forms.
A.
The amount of benefit payable under an optional form for members hired on or before December 30, 2004, will be a level monthly amount and be the actuarial equivalent of the benefit that would otherwise be payable under the normal form without taking the value of any surviving children's benefits into account under the normal or optional form and assuming that the cost-of-living provision of § 1-616 would result in 3% per annum increases in the amount payable under the normal form until the maximum specified in § 1-616B is attained.
B.
The amount of benefit payable under an optional form for members
hired after December 31, 2004, will be the actuarial equivalent of
the benefit that would otherwise be payable under the normal form
without taking the value of any surviving children's benefits under
the normal or optional form or future cost-of-living adjustments into
account.
4.
Availability of Optional Forms. Optional forms of payment as described in § 1-615(2) will not be available to members hired after January 1, 1997, unless such practice is specifically approved by the Auditor-General's Office of the Commonwealth of Pennsylvania or permitted by Pennsylvania law.
5.
Spouse's Consent Requirement. Any provisions of this plan notwithstanding,
a member's spouse, provided such spouse was married to the member
at the time he terminated employment with the Town, must agree in
writing to the member's election to receive benefits under any form
of payment other than a 50% or 100% spouse annuity.
[Ord. 799, 10/13/1997, § 376; as amended by Ord.
898, 7/10/2006, § 10]
On each January 1 following his date of retirement, a member who is receiving his pension under the normal form of payment described in § 1-615(1) or optional forms described in § 1-615(2) shall have such pension increased by 100% of the percentage increase in the Consumer Price Index for the Philadelphia, Wilmington, Atlantic City region (or its successor region) for the twelve-month period ending with the October (i.e., the October-to-October period) immediately preceding the January 1 in question, subject to the following qualifications:
1.
The increase due on the first January 1 following the member's retirement
shall be equal to 100% of the percentage increase on the Consumer
Price Index immediately preceding the October-to-October period multiplied
by that fraction of the preceding year during which the member was
retired.
2.
A member's total retirement benefit after successive annual applications
of the cost-of-living provision, as described through Subsection A
above shall not exceed the lesser of: (1) 30% of his initial retirement
benefit; or (2) 75% of the average salary or, if applicable, the monthly
earnings upon which the member's initial pension was based.
[Ord. 799, 10/13/1997, § 377]
1.
Administration. The plan shall be administered as follows:
A.
The Committee shall administer the plan in accordance with its terms
and shall have all powers necessary, to carry out the provisions of
the plan. The Committee shall interpret the plan and shall determine
all questions arising before it in the administration, interpretation
and application of the plan. Any such determination by the Committee
shall be conclusive and binding on all persons.
B.
The Committee shall act by a majority of its members at the time
in office and such action may be taken either by a vote at a meeting
or in writing without a meeting. A member of the Committee who is
also a member of the plan shall not vote on any questions relating
specifically to himself. Any such action shall be voted or decided
by the majority of the remaining members of the Committee.
C.
The Committee may authorize any one or more of its members to execute
any document or documents on behalf of the Committee and, when applicable,
the Committee shall notify the Trustee in writing as such action and
the name or names of its members so designated. The Trustee shall
thereafter accept and rely upon any document executed by such member
or members as representing action by the Committee until the Committee
shall file with the Trustee a written revocation of such designation.
D.
The Committee may adopt such by laws and regulations as it deems
desirable for the conduct of its affairs. In any action taken by it,
the Committee is entitled to rely in good faith upon any opinions
or reports which shall be furnished by a professional advisor.
E.
The Committee shall keep a record of all its proceedings and acts
and such other data as shall be necessary for the proper administration
of the plan. The Committee shall notify the Trustee, the Town and
any other interested person of any action taken by it.
F.
All expenses of the Committee shall be paid by the Town, unless the
Town shall direct that such expenses be paid from the plan trust as
costs of administering the plan.
G.
No member of the Committee shall incur any liability for any loss
or damage or depreciation which may result in connection with the
execution of his duties or the exercise of his discretion or for any
other action or failure to act hereunder excepting only liability
for his own gross negligence or willful misconduct.
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The Town shall indemnify each member of the Committee against
any and all claims, loss, damages, expense (including attorney fees
approved by the Town) and liability (including any amounts paid in
settlement with the Town approval) arising from any action or failure
to act except when the same is judicially determined to be due to
the gross negligence or willful misconduct of such member.
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2.
Amendment and Termination. The Town reserves the right to amend,
modify or terminate this plan without the consent of any member or
beneficiary thereof. No amendment or modification shall work to reduce
the accrued benefit of any member or the accrued benefit rights of
any beneficiary. If the plan is terminated, no plan assets shall revert
to the Town until each member, active or retired, has been provided
with his full accrued benefit or actuarial equivalent thereof and
each beneficiary has been provided with his full benefit rights or
actuarial equivalent thereof.
3.
Assignability. All contributions of the Town and members to the plan,
all assets held in the plan trust and any retirement allowance payable
under this Plan shall be unassignable except as otherwise provided
under the terms of this plan or as otherwise required under applicable
law, and shall be free from any levy, sale, garnishment, attachment
or other process.
4.
Committee. The Town shall appoint a Committee known as the Town of
Bloomsburg Police Pension Fund Committee which shall administer the
plan in accordance with its provisions. The Committee shall consist
of such members of the Town Council of the Town and such employees,
as shall be appointed to serve at the discretion of the Town. Any
member of the Committee may resign by delivering his written resignation
to the Committee and the employer vacancies in the Committee arising
by resignation, death, removal or otherwise shall be filled by the
Town.
5.
Donations. Gifts, grants, devises or bequests of any money or other
property for the benefit of this plan shall be added to the funds
of the plan trust and administered in accordance with the terms thereof,
provided there is no restriction on the use of such property which
is inconsistent with the provisions of this plan and any amendment
thereto. If the donated property is subject to such an inconsistent
restriction, a separate fund shall be established and shall be administered
accordingly.
6.
Funding of the Plan. The plan is subject to the minimum funding requirements
of the Pennsylvania Municipal Pension Plan Funding Standard and Recovery
Act (Act 205 of 1984). The plan's funding requirements will be determined
on the basis of regular actuarial valuations in accordance with Act
205 and the required funding will be met from the following sources:
7.
Grammatical Construction. Masculine adjectives, nouns and pronouns
as used in the plan document shall include or be taken as their female
counterparts wherever the sense requires. Singular adjectives, nouns
and pronouns as used in this plan document shall include the plural
of same wherever the sense requires.
8.
Grievance. Any member of the plan or a beneficiary under the plan
who is dissatisfied with any ruling or decision of the Committee in
reference to the rights of such person may, after notice and at a
time fixed by the Committee, personally appear before it for the purpose
of having the Committee hear his or her complaint.
9.
Maximum Benefits. Any other provisions of the plan to the contrary
notwithstanding, benefits payable from the plan shall in no circumstances
exceed the maximum benefit limitations of § 415 of the United
States Internal Revenue Code nor shall compensation in excess of the
maximum permitted under § 401(a)(17) of such code be taken
into account in calculating benefits.
10.
Plan Trust; Trustee. The assets of the plan shall be held in trust
or trusts by a trustee or trustees to be designated from time to time
by Town Council. The trustees shall administer and invest the assets
of the plan in accordance with the provisions of a trust agreement
to be executed by the Trustee and the Town Council.
11.
Plan Year. The plan's fiscal year each year shall begin on January
1 of the year and end on December 31 of the year.
12.
Rollovers. A member or beneficiary may elect to have any portion
of an eligible rollover distribution transferred directly to an eligible
retirement plan as specified by the member or beneficiary. A distribution
shall be determined to be an eligible rollover distribution and a
plan shall be determined to be an eligible retirement plan in accordance
with § 401(a)(31) and other applicable Sections of the United
States Internal Revenue Code.
[Ord. 840, 12/10/2001, § 1]
1.
Establishment of Fund. A retirement fund for the municipal employees
of the Town of Bloomsburg is hereby established and shall be known
as the "Municipal Employees Retirement Fund."
[Amended by Ord. No. 1026, 8/23/2021]
2.
Incorporation of Prior Funds. Any and all municipal employees retirement
funds of plans other than the police pension fund, heretofore established
by the Town of Bloomsburg, shall be and are hereby transferred to
the fund established herein.
[Ord. 840, 12/10/2001, § 2]
A member's accrued benefit, at a particular point in
time, shall mean the accrued benefit determined as follows:
[Amended by Ord. No. 1029, 1/3/2022]
Class A members: The accrued benefit of a Class A member means
a monthly benefit equal in amount to 1.5% of the member's average
salary at the particular point in time multiplied by the member's
years of service at the particular point in time.
Class B members: The accrued benefit of a Class B member means
the balance of the member's cash balance account at the particular
point in time.
A benefit differing in amount and form of payment from another
benefit but equal in value to that other benefit based on the following
assumptions with regard to interest and life expectancy:
[Amended by Ord. No. 1029, 1/3/2022]
Actuarial assumptions for Class A member benefits:
Interest. Eight percent annum, compounded annually.
Life Expectancy. The life expectancy of any individual whose
life expectancy affects the value of benefits under consideration
shall be determined on the basis of the 1983 Group Annuity Unisex
Mortality Table (as published by the Internal Revenue Service).
Actuarial assumptions for Class B member benefits:
Interest. The adjusted first, second, and third segment rates
determined under § 417(e)(3)(C) and (D) of the United States
Internal Revenue Code (i.e., the monthly spot segment rates), for
the second calendar month preceding the beginning of the plan year
that contains the first day of the month for which he benefit is payable.
Life Expectancy. The life expectancy of any individual whose
life expectancy affects the value of benefits under consideration
shall be determined on the basis of the applicable mortality table
under § 417(e)(3)(B) of the United States Internal Revenue
Code.
A member's average salary at any point in time shall be calculated
as the member's average monthly compensation for the employment by
the Town, excluding overtime, for the 36 consecutive full months of
employment out of the last 120 full months of employment which produce
the highest such average.
The person or person designated by the member to be the recipient
of any survivor benefits payable under this plan. In the case of a
married member, the beneficiary shall be the member's spouse unless
the member, with the spouse's consent, specifically elects otherwise.
A hypothetical account established by the Committee for each Class B member, to which pay credits and credited interest are allocated as of the end of each month that the member is employed full-time by the Town, with any fractional month counted as a month of full-time employment if the member has worked 15 or more days in such month. Full-time employment shall include any time taken into account in computing the member's years of service, but shall not include any period of time for which the Class B member fails to make the required member contributions otherwise due in accordance with § 1-623, Subsection 2, if applicable. For purposes of determining the balance of the cash balance account of any Class B member for whom an accumulation account is established, at a particular point in time:
[Added by Ord. No. 1029, 1/3/2022]
Pay credits shall be credited in an amount equal to 7% of the
Class B member's monthly compensation, excluding overtime, as
of the end of the month.
Credited interest shall be determined as follows: on the last day of each month, credited interest at a rate of 1/12 of the annual rate of 5% will be calculated on the basis of the value of the member's cash balance account as of the first day of such month and added to the Class B member's cash balance account. Credited interest shall continue to be added to a member's cash balance account until the member's benefit commencement date, as determined under § 1-624, Subsection 2, § 1-625, Subsection 2, § 1-626, Subsection 2, or § 1-627, Subsection 2, or the date death benefits commence to be paid to the member's beneficiary under § 1-628.
The Employee's Retirement Plan Committee, as described in
§ 1-630(D).
A physical or mental condition of a member such that the
member qualifies for disability benefits under the United States Old
Age, Survivors and Disability Insurance system (i.e., Social Security).
An annuity payable in monthly installments for the lifetime
of the member. If however, the member dies prior to receiving 120
monthly payments, then monthly payments will continue to the member's
beneficiary until the number of payments made to the member and beneficiary
combined equals 120.
[Amended by Ord. No. 1029, 1/3/2022]
An individual entitled to participate in the plan by virtue of having met the membership requirements in § 1-623. Effective January 1, 2022, there shall be two classes of membership, as follows:
The benefits of Class A members are determined under the benefit
formula in effect before January 1, 2022. The benefits of Class B
members are determined by the balance of their cash balance accounts.
The Municipal Employees Retirement Fund of the Town of Bloomsburg.
The Town of Bloomsburg in the Commonwealth of Pennsylvania.
The total period of full-time employment of a member by the Town from date of hire to date of termination measured in full years and completed months with fractional months counted as a full month in 15 or more day in length. Full-time employment shall include time during which the member is absent from work on account of paid vacation and paid illness and shall also include any other period of time deemed by the Committee to constitute full-time employment. Years of service shall not include any period of time for which the member fails to make the required member contributions otherwise due in accordance with § 1-623(2). Years of service shall include any period of time during which the member serves in the Armed Forces of the United States; provided, that such military service commences after the member's employment with the Town, the member contributes to the plan for the period of his military service with such contributions being based on the contribution rate set forth in § 1-623(2) and the member's annual rate of compensation immediately prior to commencement of such military service and the member returns to full-time employment with the Town within six months of termination of such military service.
[Ord. 840, 12/10/2001, § 3]
1.
Membership. Any non-police employee of the Town whose regular weekly
work week schedule is 40 hours or more shall become a member of the
plan upon his or her date of hire. An eligible employee of the Town
shall become a member of the plan on the date on which he commences
employment with the Town. An eligible employee shall mean a person
holding an office or position of full-time employment, whether hired,
elected or appointed, with or by the Town in any capacity other than
as Mayor, member of the Town Council, Solicitor, Engineer, consultant
or member of the Bloomsburg Police Department. Any employee hired,
elected or appointed as the Tax Collector or Assistant Tax Collector
on or after February 1, 2022, whose regular weekly work schedule for
the Town is less than 40 hours shall be excluded from membership.
For purposes of calculating benefits for the Tax Collector and Assistant
Tax Collector, if applicable, only their compensation for services
rendered for the Town of Bloomsburg shall be taken into account.
[Amended by Ord. No. 1026, 8/23/2021]
2.
Member Contributions. Effective January 1, 1989, members shall not
be required to contribute to the plan unless such contributions are
needed to meet the plan's funding requirements as determined under
the Pennsylvania Municipal Pension Plan Funding Standard and Recovery
Act (Act 205 of 1984). In the event that member contributions are
so required, such contributions shall not exceed 5% of compensation
and each member's contributions shall be accounted for separately
and accumulate with interest at the rate of 6% per annum compounded
annually.
3.
Refund of Member Contributions. On or about June 1, 1990, each active
member of the plan shall receive a refund of his total accumulated
prior contributions to the plan plus interest.
[Ord. 840, 12/10/2001, § 4; as amended by Ord. No. 1029, 1/3/2022]
1.
Eligibility Requirements. A member will be eligible for normal retirement
benefits, provided that he retires from the Town's employment
and upon such retirement he has attained at least age 65 and has completed
at least five years of service.
2.
Benefit Commencement Date. Monthly benefits as described in Subsection 3 will commence, or, if applicable, a lump sum single payment will be made, as of the first day of the month coincident with or next following the member's date of retirement. If the member retires on a day other than the first day of a month and is to receive an annuity form of payment, he will receive a pension payment for his/her initial month of retirement equal to the monthly amount described in Subsection 3 multiplied by the ratio of days he is retired in the month to the full number of days in the month.
3.
Amount of Benefits.
A.
Class A members: An eligible Class A member will be entitled to receive
monthly benefits equal in amount to 100% of his/her accrued benefit
at time of retirement.
B.
Class B members: An eligible Class B member will be entitled to receive
a lump sum single payment equal in amount to 100% of his/her accrued
benefit at time of retirement.
[Ord. 840, 12/10/2001, § 5]
1.
Eligibility Requirements. A member will be eligible for early retirement benefits, provided that he retires from the Town's employment and upon such retirement he has attained at least age 60 and has completed at least 15 years of service, except as provided for in Subsections 6 and 7 below.
[Amended by Ord. 978, 11/16/2016; and by Ord. No. 1029, 1/3/2022]
2.
Benefit Commencement Date. Monthly benefits as described in Subsection 3 will commence, or, if applicable, a lump sum single payment will be paid, as of the first day of the month coincident with or next following the member's actual date of retirement. If the member retires on a day other than the first day of the month and is to receive an annuity form of payment, he will receive a pension payment for his/her initial month of retirement equal to the amount described in Subsection 3 or 5, multiplied by the ratio of the days he is retired in the month to the full number of days in the month.
[Amended by Ord. No. 1029, 1/3/2022]
3.
Amount of Benefits.
[Amended by Ord. No. 1029, 1/3/2022]
A.
Class
A members: An eligible Class A member will be entitled to receive
monthly benefits equal in amount to 100% of his/her accrued benefit
at time of retirement.
B.
Class
B members: An eligible Class B member will be entitled to receive
a lump sum single payment equal in amount to 100% of his/her accrued
benefit at time of retirement.
4.
Normal Form of Payment.
[Amended by Ord. No. 1029, 1/3/2022]
5.
Optional Forms of Payment. In lieu of receiving benefits under the normal form of payment as described in Subsection 3A or B, a member may elect to receive benefits in a different but actuarially equivalent amount under one of the optional forms described in § 1-629.
[Amended by Ord. No. 1029, 1/3/2022]
6.
Early Retirement Pension Eligibility. The Town will offer to eligible
employees an early retirement window period from December 1, 2016,
to December 31, 2016, with terms as follows:
[Added by Ord. 978, 11/16/2016]
A.
Active members with at least 20 years of pensionable service time
as of December 1, 2016, and who have reached an age of 58 will be
permitted to retire effective December 31, 2016.
B.
Average Salary. Average salary for purposes of calculating the final
average earnings of a participant's accrued benefits under the early
retirement window is defined as the member's average monthly compensation
for employment by the Town, excluding overtime, for the 36 consecutive
full months of employment out of the last 120 full months of employment
which produce the highest such average.
7.
Post-Retirement Health Care. Members who retire between December
1, 2016, and December 31, 2016, and qualify for the early retirement
window shall be entitled to post-retirement health care benefits as
follows: The Town shall increase coverage of post-retirement medical
benefits from employee-only coverage to employee and spouse or family
coverage (depending on their eligibility) until the member reaches
the age of 65 or until the member is eligible for other health-care
benefits, whichever occurs first.
[Added by Ord. 978, 11/16/2016]
[Ord. 840, 12/10/2001, § 6; as amended by Ord. No. 1029, 1/3/2022]
1.
Eligibility. A member will be eligible for disability retirement benefits, provided he suffers a disability as defined in § 1-622 (unless such disability is incurred as a result of criminal activity leading to the member's conviction on a misdemeanor or felony charge) and that as a result, he retires from the Town's employment and that upon such retirement he has completed at least five years of service, except that no service requirement will be applied if the member's disability is deemed by the Committee to be a direct result of the member's employment with the Town.
2.
Benefit Commencement Date. Monthly benefits as described in Subsection 3 will commence, or, if applicable, a lump sum single payment will be paid, as of the first day of the month coincident with or next following the member's date of retirement. Payment of monthly benefits will be retroactive to the date described in the preceding sentence if the determination as to whether the member has suffered a disability is not forthcoming from the Committee until after the member's actual retirement. If the member retires on a day other than the first day of a month and is to receive an annuity form of payment, he will receive a pension payment for his/her initial month of retirement equal to the monthly amount described in Subsection 3 or 5 multiplied by the ratio of days he is retired in the month to the full number of days in the month.
3.
Amount of Benefits.
A.
An eligible Class A member will be entitled to receive monthly benefits
equal in amount to 100% of his/her accrued benefit at time of retirement.
B.
An eligible Class B member will be entitled to receive a lump sum
single payment equal in amount to 100% of his/her accrued benefit
at time of retirement.
[Ord. 840, 12/10/2001, § 7; as amended by Ord. No. 1029, 1/3/2022]
1.
Eligibility Requirements. A member will be eligible for vested termination
benefits, provided that he terminates, for whatever reason, from the
Town's employment and upon such termination he has completed
at least five years of service.
2.
Benefit Commencement Date. If the member has less than 15 years of service, monthly benefits as described in Subsection 3 will commence, or a lump sum single payment will be paid, as of the first day of the month coincident with or next following the member's 65th birthday. If the member has less than 15 years of service, monthly benefits as described in Subsection 3 will commence, or, if applicable, a lump sum single payment will be paid, as of the first day of the month coincident with or next following the member's 60th birthday.
3.
Amount of Benefits.
A.
Class A members: An eligible Class A member will be entitled to receive
monthly benefits equal in amount to 100% of his/her accrued benefit
at time of retirement.
B.
Class B members: An eligible Class B member will be entitled to receive
a lump sum single payment equal in amount to 100% of his/her accrued
benefit at time of payment.
[Ord. 840, 12/10/2001, § 8; as amended by Ord. No. 1029, 1/3/2022]
1.
Pre-Termination Death Benefits.
A.
If a member dies prior to termination of employment with the Town
and prior to completion of five years of service, the member's
beneficiary will receive a lump sum single payment equal to the member's
accumulated contributions to the plan, with interest, if any, to the
extent that such contributions have not already been refunded to the
member.
B.
If a member dies prior to termination of employment with the Town
and after completion of at least five years of service, but before
meeting the age and service requirements for normal or early retirement,
the beneficiary of a Class A member will be entitled to a monthly
pension payable for exactly 120 months, and the beneficiary of a Class
B member will be entitled to a lump sum single payment of the member's
accrued benefit.
(1)
If the deceased member had less than 15 years of service, the
pension will commence, or will be paid, as of the first day of the
month coincident with or next following the 65th anniversary of the
member's birth and be equal in amount to the member's accrued
benefit at time of death.
(2)
If the deceased member had at least 15 years of service, the
pension will commence on the first day of the month coincident with
or next following the 60th anniversary of the member's birth
and be equal in amount to the member's accrued benefit at time
of death.
C.
If a member dies prior to termination of employment with the Town
but after having met the age and service requirements for normal or
early retirement, the member's beneficiary will be entitled to
receive benefits under Subsection C1 or 2, below, as applicable:
(1)
Class A members: Benefits will be payable to the member's
beneficiary in the same manner and amount as if the member had elected
to retire on his/her date of death and receive, if married, benefits
under the 100% surviving spouse form of payment or, if unmarried,
under the normal form of payment.
(2)
Class B members: Benefits will be payable to the member's
beneficiary in the same manner and amount as if the member had elected
to retire on his/her date of death and receive a lump sum single payment
equal to his/her accrued benefit payable to his/her surviving spouse,
if married, or, if unmarried, to his/her beneficiary, provided that
the surviving spouse may elect, in lieu of the lump sum single payment,
to receive benefits under the 100% surviving spouse form of payment.
2.
Post-Termination Death Benefits.
A.
If a member terminated employment with entitlement to deferred retirement benefits as described in § 1-627 and dies before such benefits have commenced, the member's beneficiary will be entitled to a monthly pension as follows:
(1)
If the deceased member had less than 15 years of service, the
pension will commence on the first day of the month coincident with
or next following the 65th anniversary of the member's birth
and be equal in amount to the member's accrued benefit at time
of death. The beneficiary of a Class A member will be entitled to
a monthly pension payable for exactly 120 months, and the beneficiary
of a Class B member will be entitled to a lump sum single payment
of the member's accrued benefit.
(2)
If the deceased member had at least 15 years of service, the
pension will commence on the first day of the month coincident with
or next following the 60th anniversary of the member's birth
and be equal in amount to the member's accrued benefit at time
of death. The beneficiary of a Class A member will be entitled to
a monthly pension payable for exactly 120 months, and the beneficiary
of a Class B member will be entitled to a lump sum single payment
of the member's accrued benefit.
B.
Upon the death of a member who had already commenced receiving benefits
(and not received payment is a lump sum single payment), survivor
benefits, if any, will be payable to the member's beneficiary
in accordance with the form of payment under which the member had
been receiving benefits.
C.
Upon the death of a member who had retired on or after July 1, 1987,
under the plan's normal, early or disability retirement provisions,
the member's beneficiary will be entitled to a lump sum payment
equal in amount to $2,500, reduced proportionately if the member had
less than 10 years of service. This lump sum payment is in addition
to any other benefits payable in accordance with the form of payment
under which the member had been receiving retirement benefits.
D.
Upon the death of Zender Bogart, who retired prior to July 1, 1987,
his/her beneficiary shall receive a lump sum payment of $2,500.
E.
Upon the death of Edwin Brobst, who retired prior to July 1, 1987,
his beneficiary shall receive a lump sum payment of $2,500.
F.
Upon the death of Bruce Keller, who retired prior to July 1, 1987,
his/her beneficiary shall receive a lump sum payment of $2,500.
3.
Optional Refund of Member Contributions or Lump Sum Settlement. In lieu of the monthly benefits described in Subsection 1 or 2A, whichever is applicable, the beneficiary of a deceased member may elect to receive a refund of the member's accumulated contributions with interest to the extent that such contributions have not already been refunded or a lump sum single payment which is the actuarial equivalent of the benefits otherwise due.
[Ord. 840, 12/10/2001, § 9; as amended by Ord. No. 1029, 1/3/2022]
1.
A member entitled to retirement benefits under the plan may elect
to have benefits paid under an optional form of payment which differs
from the normal form of payment (which is a life annuity with 10 years
certain for a Class A member and a lump sum single payment for a Class
B member). In such case, the benefit payable under the optional form
will be the actuarial equivalent of the benefit payable under the
normal form.
2.
Optional Forms Available.
A.
Fifty Percent Annum. Upon the retired member's death, 50% of the monthly benefit the member had been receiving will be continued to the member's spouse for life. This optional form is subject to the provisions of Subsection 4.
B.
One Hundred Percent Annuity. Upon the member's death, 100% of the monthly benefit the member had been receiving will be continued to the member's spouse for life. This optional form is subject to the provisions of Subsection 4.
C.
Straight Life Annuity. Upon the retired member's death, no further
benefits are payable.
D.
Lump Sum Settlement (Class A members). If permitted under applicable
law and by the Auditor General of the Commonwealth of Pennsylvania,
a Class A member may elect to receive a lump sum single payment in
lieu of a monthly retirement allowance. Upon receipt of the lump sum,
no other benefits will be payable, and the member will not be entitled
to participate in any subsequent benefit increase that may be granted
to retired or terminated vested members.
E.
Life Annuity with 10 years Certain (Class B members). A Class B member
may elect to receive benefits in the normal form of payment for Class
A members.
3.
Spouse's Consent Requirement. Any provisions of this plan notwithstanding,
a Class A member's spouse must agree, in writing, to the member's
election to receive benefits under any form of payment other than
a 50% or 100% spouse annuity.
4.
If a member elects the 50% spouse annuity or 100% spouse annuity
optional form and the spouse dies before the member and within two
years of the member's benefit commencement date, the monthly
benefit payable to the member shall be increased to the amount that
would have been payable had the member originally chosen the straight
life annuity optional form. The increased monthly benefits shall commence
on the first day of the month coincident with or following the spouse's
death and continue for the member's lifetime.
[Ord. 840, 12/10/2001, § 10]
1.
Administration. The plan shall be administered as follows:
A.
The Committee shall administer the plan in accordance with its terms
and shall have all powers necessary to carry out the provisions of
the plan. The Committee shall interpret the plan and shall determine
all questions arising before it in the administration, interpretation
and application of the plan. Any such determination by the Committee
shall be conclusive and binding on all persons.
B.
The Committee shall act by a majority of its members at the time
in office and such action may be taken either by a vote at a meeting
or in writing without a meeting. A member of the Committee who is
also a member of the plan shall not vote on any question relating
specifically to himself/herself. Any such action shall be voted or
decided by the majority of the remaining members of the Committee.
C.
The Committee may authorize any one or more of its members to execute
any document or documents on behalf of the Committee and, when applicable,
the Committee shall notify the trustee, in writing, as such action
and the name or names of its members or members so designated. The
trustee shall thereafter accept and rely upon any document executed
by such member or members as representing action by the Committee
until the Committee shall file with the trustee a written revocation
of such designation.
D.
The Committee may adopt such by-laws and regulations as it deems
desirable for the conduct of its affairs. In any action taken by it,
the Committee is entitled to rely in good faith upon any opinions
or reports which shall be furnished by a professional advisor.
E.
The Committee shall keep a record of all its proceedings and acts
and such other data as shall be necessary for the proper administration
of the plan. The Committee shall notify the trustee, the Town and
any other interested person of any action taken by it.
F.
All expenses of the Committee shall be paid by the Town, unless the
Town shall direct that such expenses be paid from the plan trust as
costs of administration.
G.
No member of the Committee shall incur any liability for any loss
or damage or depreciation which may result in connection with the
execution of his duties or the exercise of his discretion or from
any other action or failure to act hereunder, excepting only liability
for his own gross negligence or willful misconduct. The Town shall
indemnify each member of the Committee against any and all claims,
loss, damages, expense (including attorney fees approved by the Town)
and liability (including any amounts paid in settlement with the Town
approval) arising from any action or failure to act except when the
same is judicially determined to be due to the gross negligence or
willful misconduct of such member.
2.
Amendment and Termination. The Town reserves the right to amend,
modify of terminate this plan without the consent of any member or
beneficiary thereof. No amendment or modification shall work to reduce
the accrued benefit of any member of the accrued benefit rights of
any beneficiary. If the plan is terminated, no plan assets shall revert
to the Town until each member, active or retired, has been provided
with his full accrued benefit or actuarial equivalent thereof and
each beneficiary has been provided with his full benefit rights or
actuarial equivalent thereof.
3.
Assignability. All contributions of the Town and member to the plan,
all assets held in the plan trust and any retirement allowance payable
under this plan shall be unassignable, except as other provided under
the terms of this plan or as otherwise required under applicable law
and shall be free from any levy, sale, garnishment, attachment or
process.
4.
Committee. The Town shall appoint a committee known as the Employee's
Retirement Plan Committee which shall administer the plan in accordance
with its provisions. The Committee shall consist of such members of
the Town Council of the Town and such employees as shall be appointed
to serve at the discretion of the Town. Any member of the Committee
may resign by delivering his written resignation to the Committee
and the employer vacancies in the Committee arising by resignation,
death, removal or otherwise shall be filled by the Town.
5.
Donations. Gifts, grants, devises or bequest of any money or other
property for the benefit of this plan shall be added to the funds
of the plan trust and administered in accordance with the terms thereof;
provided, there is no restriction on the use of such property which
is inconsistent with the provisions of this plan and any amendment
thereto. If the donated property is subject to such an inconsistent
restriction, a separate fund shall be established and shall be administered
accordingly.
6.
Funding of the Plan. The plan is subject to the minimum funding requirements
of the Pennsylvania Municipal Pensions Plan Funding Standard and Recovery
Act (Act 205 of 1984). The plan's funding requirements will be determined
on the basis of regular actuarial valuations in accordance with Act
205 and the required funding will be met from the following sources:
7.
Grammatical Construction. Masculine adjectives, nouns and pronouns
as used in this plan document shall include or be taken as their female
counterparts wherever the sense requires. Singular adjectives, nouns
and pronouns as used in this plan document shall include the plural
of same wherever the sense requires.
8.
Grievance. Any member of the plan or a beneficiary under the plan
who is dissatisfied with any ruling or decision of the Committee in
reference to the rights of such person may, after notice and at a
time fixed by the Committee, personally appear before it for the purpose
of having the Committee hear his or her complaint.
9.
Maximum Benefits. Any other provisions of the plan to the contrary
notwithstanding, benefits payable from the plan shall, in no circumstances,
exceed the maximum benefit limitations of § 415 of the United
States Internal Revenue Code, nor shall compensation in excess of
the maximum permitted under § 401(a)(17) of such code be
taken into account when calculating benefits.
10.
Plan Trust; Trustee. The assets of the plan shall be held in trust
or trusts by a trustee or trustees to be designated, from time to
time, by Town Council. The trustee shall administer and invest the
assets of the plan in accordance with the provisions of a trust agreement
to be executed by the trustee and the Town Council.
11.
Actuary Designated. The Town, from time to time, may designate an
actuary to provide services related to the administration of the plan.
12.
Plan Year. The plan's fiscal year each year shall begin on January
1 of the year and end on December 31 of the year.
13.
Rollovers. A member or beneficiary may elect to have any portion
of an eligible rollover distribution transferred directly to an eligible
retirement plan as specified by the member or beneficiary. A distribution
shall be determined to be eligible rollover distribution and a plan
shall be determined to be an eligible retirement plan in accordance
with § 401(a)(31) and other applicable Sections of the United
States Internal Revenue Code.
[Ord. 840, 12/10/2001, § 11]
1.
Increase Effective January 1, 1989. Effective January 1, 1989, the
monthly retirement benefits payable to any member who retired before
January 1, 1989, shall be increased by 20%. This increase shall also
apply to the benefits payable to the beneficiary of any deceased member
who had retired prior to January 1, 1989.
2.
Increase Effective January 1, 1999. Effective January 1, 1999, the
monthly retirement benefits payable to any member who retired before
January 1, 1999, shall be increased by 1/4 of 1% for each full month
retired as of January 1, 1999, subject to a maximum increase of $40.
This increase shall also apply to the benefits payable to the beneficiary
of any deceased member who retired prior to January 1, 1999.
