The plan benefits of the CVB shall be as currently administered
by PMRS which includes the following specific items:
A. Coverage. The plan will cover all full-time permanent employees of
the CVB.
B. Credited service.
(1) Credited service, including both benefit accrual service and vesting
credit service shall accrue from the member's original hire date by
the CVB or the expiration of the member's probationary period if one
applied, provided that a member pays into the plan any participant
contributions required under the plan, including all amounts which
are returned to the member by PMRS.
(2) Other than purchase of military service pursuant to Subsection
K hereof, no credited service time shall be granted for time employed in a status other than as an active employee of the CVB.
C. Final salary. The final salary shall be the average annual compensation
earned and paid during the member's final three years of employment,
or if not so long employed, then the average annual compensation earned
and paid during the whole period of such employment.
D. Basic benefit. The basic annual benefit shall be equal to 2% of the
member's final salary multiplied by all years of credited service;
provided, however, in no event shall the basic benefit exceed 65%
of the member's final salary.
E. Superannuation (normal retirement). Permitted on or after the attainment
of age 65 or after 20 years of credited service.
F. Early retirement. There is no provision for early retirement.
G. Benefits payable upon superannuation retirement: 2% multiplied by
years of credited service multiplied by final salary; maximum benefit
limited to 65% of final salary.
H. Permanent disability benefits.
(1) A member who has 10 or more years of credited service may, upon application
or on application of one acting in the member's behalf be retired
by the CVB on a disability allowance if the physician designated by
the CVB, after medical examination of the member shall certify to
the CVB that the individual is unable to engage in any gainful employment
and that said member ought to be retired. When the disability of a
member is determined to be service-connected, as defined in Act 15
of 1974, no minimum period of service shall be required for eligibility.
(2) A disability annuity shall be payable which, together with the Municipal
annuity and the member's annuity, if any, shall be sufficient to produce
a retirement allowance of 30% of the member's final salary. Where
the disability of the member is determined to be service-connected,
the disability allowance shall equal 50% of the member's final salary.
The disability annuity shall be reduced by any amount which the member
is eligible for under the Pennsylvania Workers' Compensation Act or the Pennsylvania Occupational Disease Act.
(3) Should a disability annuitant die before the total disability retirement
allowance received equals the amount of the member's accumulated deductions
at the time of disability retirement, the CVB shall pay to the named
beneficiary (if living, or if the named beneficiary predeceases the
annuitant, or if no beneficiary was named, then the annuitant's estate)
an amount equal to the difference between such total retirement allowance
received and the annuitant's accumulated deductions. If such difference
is less than $100 and no letters have been taken out on the estate
within six months after the disability annuitant's death, such difference
may be paid to the undertaker or to any person or municipality who
or which shall have paid the claim of the undertaker.
I. Death benefits.
(1) A member, who is entitled to a superannuation retirement allowance
because of meeting the superannuation retirement requirements, may
file a written application for retirement requesting that such retirement
become effective at the time of death.
(2) When applying for retirement, the member may elect one of the options provided in the benefit options section of this article (Subsection
N) and nominate a beneficiary. The application shall be held by the CVB until the member files a later application for a retirement allowance or the death of the member while in CVB service.
(3) If a member entitled to a retirement allowance dies while in CVB
service, benefits become effective as if the member had retired on
the day immediately preceding death. The beneficiary receives the
annuity option elected before the member's death. If an option was
not filed with the CVB, it shall be considered that the member elected
Option 1. In such event, payment under Option 1 shall be made to the
beneficiary designated in the nomination of beneficiary form on file
with the CVB.
J. Employee contributions. Members shall contribute 6% of compensation
which shall be treated as picked up by the employer under the Internal
Revenue Code. If a member terminates prior to eligibility for vesting
retirement benefits and without entitlement to benefits, the member
shall receive all member contributions plus interest at an annual
rate of 6% in a lump sum.
K. Military service.
(1) Any member employed by the CVB who enters the uniformed services
as defined by the 1994 Uniformed Services Employment and Reemployment
Rights Act and returns to the CVB to again be a member of the plan
within the authorized time provided by law shall have the authorized
time spent in such service credited to the member's employment record
for pension or retirement benefits if the individual makes the required
employee contributions.
(2) An active member may also purchase credit for other than intervening
military service performed for the United States in times of war,
armed conflict or national emergency, so proclaimed by the President
of the United States, for a period not to exceed five years, provided
the member has completed five years of service to the CVB subsequent
to such military service. An active member may file an application
with the CVB for permission to purchase credit for nonintervening
military service upon completion of five years of subsequent service
to the CVB.
(3) The amount due from the member shall be certified by the CVB in accordance
with methods approved by the actuary. It may be paid in a lump sum
within 30 days or it may be amortized with additional interest through
salary deductions in amounts agreed upon by the member and the CVB.
(4) The rate of interest to be charged to a member on purchase of credit
for nonintervening military service shall be the rate being credited
to the member's accounts in effect on the date of the member's application,
compounded annually.
(5) A member may purchase credit for intervening or nonintervening military
service only if discharge or separation from the service was granted
under other than dishonorable conditions. A member may not purchase
military credit for any service that is covered by another retirement
system administered and wholly or partially paid for by any other
government agency or private employer.
L. Vesting. After 10 years of credited service, a member may vest by filing an application with the CVB within 90 days of separation from employment. Upon attainment of the superannuation age requirement found in Subsection
E of this article, a basic benefit will be calculated in accordance with Subsection
D of this article.
M. Social security. Benefits are not reduced in any way because of a
member's entitlement to social security benefits.
N. Options on superannuation or vesting.
(1) At the time a member elects to receive a retirement benefit allowance,
the benefit may be payable throughout the member's life, in which
case the benefit is known as a single life annuity. The member may
alternatively elect at the time of retirement to receive the equivalent
actuarial value in a lesser allowance, payable throughout life with
provisions that:
(a)
Option 1: If the member dies before receiving in payments the
present value of the retirement allowance as it was at the time of
retirement, the balance, if less than $5,000 shall be paid in a lump-sum
to the designated beneficiary if living, or, if the named beneficiary
predeceased the member or if no beneficiary was named, then to the
member's estate. If the balance is $5,000 or more, the beneficiary
may elect, by application duly acknowledged and filed with the CVB,
to receive payment of such balance according to any one of the following
provisions in:
[2]
An annuity having a present value equal to the balance payable;
or
[3]
A lump sum payment and an annuity. Such annuity shall be of
equivalent actuarial value to the balance payable less the amount
of the lump-sum payment specified by the beneficiary.
(b)
Option 2: Upon the annuitant's death, the retirement allowance
shall be continued throughout the life and paid to the survivor annuitant,
if then living.
(c)
Option 3: Upon the annuitant's death, 1/2 of the retirement
allowance shall be continued throughout the life of and paid to the
survivor annuitant, if then living.
(2) Should a member who has elected a single life annuity die before
receiving in annuity payments the full amount of the total accumulated
deductions standing to the member's credit in the member account on
the effective date of retirement, the balance shall be paid to the
designated beneficiary.
The proper officers of the CVB are granted the requisite powers
and authority to effectuate this article and operate and maintain
the plan, including establishing and maintaining the accounts, policies,
trust agreement and plan document to effectuate this pension arrangement.