[Ord. 99-6, 10/25/1999, § I; as amended by Ord.
02-1, 1/28/2002, § 1 and by Ord. 04-03, 4/26/2004, § 1]
For purposes of this part, the following definitions shall apply:
Equal the product of (a) and (b) below:
The average of a members monthly compensation over the last
36 months of employment.
Total compensation, excluding "buy-backs," severance pay
and any other lump sum bonuses such as longevity pay and education
incentives.
New Hanover Township, Montgomery County, Commonwealth of
Pennsylvania.
New Hanover Township Non-Uniformed Employees Pension Plan
Trust Fund.
All municipality employees who meet the requirements set forth in § 1-804, and who have employed by the Township of New Hanover before June 2, 2016. The masculine pronoun will include the feminine pronoun.
[Amended by Ord. 16-04, 6/2/2016, § 1]
New Hanover Township, Montgomery County, Commonwealth of
Pennsylvania.
New Hanover Township Non-Uniformed Employees Pension Plan.
The Plan's fiscal year is the calendar year.
New Hanover Township, Montgomery County, Commonwealth of
Pennsylvania.
New Hanover Township Board of Supervisors or their designee.
The total of an employees' service, expressed as whole years
and fractional parts of a year (to two decimal places) on the basis
that 365 days equal one year.
[Ord. 99-6, 10/25/1999, § II as amended by Ord.
04-03, 4/26/2004, § 2]
1.
This plan is to be funded and maintained by any of the following
methods, or combination of each.
A.
General Fund. Contributions from the General Fund of New Hanover
Township which may be required after appropriate approval of the Township
Supervisors.
B.
Member contributions.
C.
State aid received pursuant to the Municipal Pension Plan Funding
Standard And Recovery Act (Act 205).
D.
Gifts, Grants, Devises or Bequests. Sums received by the Township
may, to the extent authorized by law, be contributed to such Fund
so long as prior approval of the Township Supervisors is obtained.
E.
Any other sum received or contributed to the New Hanover Township
Supervisors to the extent authorized by law and with prior approval
of the Township Supervisors.
[Ord. 99-6, 10/25/1999, § III; as amended by Ord.
04-03, 4/26/2004, § 3]
1.
Pension Committee.
A.
The general administration and management of the Plan shall be under
the direction of a Pension Committee as appointed by the New Hanover
Township Board of Supervisors.
B.
The Committee shall consist of two duly elected Township Supervisors,
the Township Manager and two non-uniformed pension Plan Members, all
of whom are appointed by the Board of Supervisors. The initial term
of the two Plan Members shall be for two years and one year respectfully.
All subsequent terms shall be for two years. Appointments shall rotate
and be representative of each department, if possible.
C.
The Pension Committee shall have all powers necessary to enable it
properly to carry out its duties, including, but not limited to, the
power to construe the provisions of the Fund, to direct the investment
advisor, to determine all questions relating to eligibility of members,
and to authorize all disbursements for benefits to members. The decisions
of the Pension Committee on all matters within the scope of its authority
shall be final, subject to the approval of the Board of Supervisors.
2.
Trustee.
A.
The fund shall be under the direction of a Trustee designated by
Resolution by the New Hanover Township Board of Supervisors. The Trustee
shall have full responsibility for administration of the program established
hereunder and shall hold, invest, reinvest and distribute all funds
and other property received pursuant hereto in trust for the purposes
of this Ordinance. The Trustee may receive, at any time, gifts, grants,
devises, or bequests to the Pension Fund of any money or property,
real, personal or mixed, to be held by them in trust for the benefit
of this fund and in accordance with the provisions hereof. The Trustee
shall be subject to such rules and regulations as may from time to
time be adopted by the governing body of this Township by ordinance
or by resolution.
B.
The Trustee shall have full power and authority by a majority action
either directly or through their designated representatives, to do
all acts, execute, acknowledge and deliver all instruments, and to
exercise for the sole benefit of the Plan Members any and all powers
and discretions necessary to implement and effectuate the purposes
of this Ordinance, including for purposes of illustration, but not
limited to any of the following:
(1)
To hold, invest and reinvest all funds received pursuant to
this Ordinance and such legal investments as may be authorized as
legal investments under the laws of the Commonwealth of Pennsylvania.
(2)
To retain any property which may at any time become an asset
of the Fund, as long as said Trustee may deem it advisable; and
(3)
To make distribution of the monies in the Fund, in accordance
with the terms of this Ordinance.
3.
The expense of administering this Pension Fund, including compensation
of any actuary, any custodian of the Fund, and any other charges or
expenses related thereto, exclusive of the payment of pensions, may
be paid by the Township or by the Pension Fund as determined by the
Board of Supervisors of the Township.
[Ord. 99-6, 10/25/1999, § IV; as amended by Ord.
04-03, 4/26/2004, § 4; and by Ord. 16-04, 6/2/2016, § 2]
1.
Each full-time nonuniformed municipal employee (regularly working
a minimum of 40 hours per week during the calendar year) employed
by the employer before June 2, 2016, is eligible to participate and
shall be a member in the New Hanover Township Non-Uniformed Employees'
Pension Plan and Fund as of their date of hire.
2.
A member shall retain membership status until he or she separates from service. Any member who separates from service shall cease to be a member and shall, if he or she returns to service, requalify after completing the eligibility requirements of this § 1-804.
3.
For the purposes of this § 1-804, "service" shall mean the period of an employee's continuous employment by the employer. The following types of absence shall not break continuity and the time elapsed shall be included in computing length of service:
A.
Temporary leave of absence or layoff which shall, if not otherwise
stated, expire in six months unless sooner renewed;
B.
Absence during which regular remuneration is paid;
C.
Absence for military service under leave granted by the employer
or when required by law, provided the absent employee returns to service
with the employer within 90 days of his release from active military
duty or any longer period during which his right to reemployment is
protected by law. For the purposes of this section, employees in similar
circumstances shall be similarly treated.
D.
Any other absence approved by the Township Board of Supervisors.
[Ord. 99-6, 10/25/1999, § V; as amended by Ord.
04-03, 4/26/2004, § 5]
The normal retirement benefit from the fund shall be payable
to members who have served in the Township in a full-time capacity
and who attain their normal retirement date. Normal retirement date
shall mean the first of the month coincident with or next following
the attainment of the 60th birthday. Benefits commence on the first
day of the month coincident with or next following actual retirement.
[Ord. 99-6, 10/25/1999, § VI; as amended by Ord.
04-03, 4/26/2004, § 6]
1.
The basis for determining the amount of annual pension to members retiring under § 1-806 shall be equal to the accrued benefit.
2.
The normal form of annuity for a married plan member under this plan
is a joint & 50% spousal annuity. The normal form of annuity for
an unmarried plan member is a straight life annuity. However, a member
may elect to receive benefits in a form different from the normally
prescribed annuity form. Any such alternative form must be the actuarial
equivalent of the Normal Form of annuity. Alternative options available
include:
A.
A Lifetime Annuity.
B.
A Joint & Survivor Annuity.
C.
A ten-year certain and continuous Annuity.
D.
Any other alternative form requested by the member which is approved
by the employer.
E.
If the actuarially equivalent lump sum value of the benefit is $5,000
or less, the benefit can be paid as a lump sum.
3.
Any time a married Member selects to receive benefits which do not
include joint & 50% survivor benefits for a spouse, the spouse
must sign a waiver approving the option.
4.
However, if a member retires on a deferred retirement date, after
his normal retirement date, the benefit payable shall be the greater
of the actuarial equivalent of the normal retirement benefit or the
accrued benefit at deferred retirement.
5.
Actuarial Equivalency shall be determined using the actuarial assumptions
used to fund the Plan.
[Ord. 99-6, 10/25/1999, § VII]
A member who has completed 20 years of service may retire at
his own election. The benefit is payable at early retirement, and
shall be multiplied by the factor shown below corresponding to the
number of years his early retirement precedes his normal retirement
date.
|
Number of Years Early Retirement Date Precedes Normal
Retirement Date
|
Factor
|
|---|---|
|
1
|
0.9333
|
|
2
|
0.8667
|
|
3
|
0.8000
|
|
4
|
0.7333
|
|
5
|
0.6667
|
|
6
|
0.6333
|
|
7
|
0.6000
|
|
8
|
0.5667
|
|
9
|
0.5333
|
|
10
|
0.5000
|
|
The above factors shall be prorated for a partial year (counting
a partial month as a complete month). Factors for numbers of years
beyond 10 shall be determined using a consistently applied reasonable
actuarial equivalent method.
|
[Ord. 99-6, 10/25/1999, § VIII; as amended by Ord.
02-1, 1/28/2002, § 2]
1.
Unless the plan member otherwise elects, the payment of benefits
under the plan to the plan member will begin not later than the 60th
day after the latest of the close of the plan year in which:
2.
In the case of a plan which provides for the payment of an early
retirement benefit, a plan member who satisfied the service requirements
for such early retirement benefit, but separated from the service
(with any nonforfeitable right to an accrued benefit) before satisfying
the age requirement for such early retirement benefit, is entitled
upon satisfaction of such age requirement to receive a benefit not
less than the benefit to which he would be entitled at the normal
retirement age, actuarially reduced under regulations prescribed by
the Secretary.
3.
A plan member's benefits must commence to be paid not later than
April 1 of the calendar year following the later of (i) the calendar
year in which the member attains age 70 1/2 or (ii) the calendar
year in which the member retires. Such distributions must equal or
exceed the required minimum distribution, and otherwise be made in
a manner consistent with the requirements of Code § 401(a)(9)
and the regulations thereunder.
4.
Required distributions must be made over the lifetime or the life
expectancy of the plan member or the joint lifetimes or joint life
expectancy of the plan member and the plan member's designated beneficiary.
The life expectancy of the plan member and the plan member's spouse
may be redetermined at the election of the plan member or the plan
member's spouse. Such an election is irrevocable, once made. If no
such election is made by the date benefit distributions must commence,
then the life expectancy of the plan member and the plan member's
spouse shall not be recalculated. Tables V and VI of Regulation 1.72-9
shall be used for computing life expectancy or joint and survivor
life expectancy.
5.
All benefit distributions to a plan member or the plan member's beneficiary
shall be in accordance with the incidental death benefit requirements
of Code § 401(a)(9)(G) and the related regulations.
[Ord. 99-6, 10/25/1999, § IX; as amended by Ord.
02-1, 1/28/2002, § 2]
1.
The limitations and other requirements outlined below are intended
to comply with Code § 415 and the regulations thereunder,
the terms of which are specifically incorporated herein by reference.
The maximum compensation limit and benefits limitations under the
Code are as follows:
A.
The compensation used in calculating a plan member's benefit cannot
exceed the limits of Code § 401(a)(17), as adjusted for
cost-of-living increases, per Code § 415(d).
B.
General Rule. In no event shall the annual retirement benefit payable
to a plan member under this plan, together with retirement benefits
provided under all qualified benefit plans maintained or previously
maintained by the Township, for any limitation year, which shall be
the calendar year, exceed the maximum benefit permitted, as adjusted
annually per Code § 415(d), under Code § 415(b)
(including any applicable grandfathering rules). This plan section
shall be applied in accordance with Code § 415 and the regulations
thereunder.
C.
Adjustments of Limits.
(1)
Where a retirement benefit commences before age 62, the Code
§ 415(b)(1)(A) dollar limit shall be reduced in accordance
with Code § 415(b)(2)(F). This reduction shall not result
in a limit that is less than (i) $75,000 if the benefit begins at
or after age 55, or (ii) the actuarial equivalent of $75,000 at age
55 (determined in accordance with Code § 415) if the benefit
begins before age 55.
(2)
Where a retirement benefit commences after age 65, the Code
§ 415(b)(1)(A) dollar limit shall be increased as described
in Code § 415(b)(2)(F).
(3)
The maximum benefit limit of Code § 415(b)(1) shall
be applied to benefits in the form of a straight life annuity (with
no ancillary benefits) without regard to benefits attributed to plan
member contributions and rollover contributions. If the form payable
to a plan member is other than a single life annuity or a Code § 417(b)
qualified joint and survivor annuity, the plan member's benefit shall
not exceed the actuarial equivalent of the Code § 415(b)(1)
maximum payable in the form of a single life annuity unless no such
adjustment is required under Code § 415 and related regulations.
(4)
Notwithstanding the other rules of the plan and Code § 415,
if the plan member has not participated in a defined contribution
plan of the Township, the plan member's annual retirement benefit
shall not be deemed to exceed the maximum benefit limit if it does
not exceed the Code § 415(b)(4) limit of $10,000, as adjusted
for plan participation or service of less than 10 years in accordance
with Code § 415(b)(5).
D.
Order of Defined Benefit Plan Reductions. If the plan member participates
or participated in any other defined benefit plan of the Township,
and the plan member's aggregate annual retirement benefit under this
plan and such other plan exceeds the limits permitted under Code § 415,
such plan member's benefit shall be first reduced under this plan.
[Ord. 99-6, 10/25/1999, § X; as amended by Ord.
02-1, 1/28/2002, § 2; as amended by Ord. 04-03, 4/26/2004,
§ 7]
1.
A member shall become vested in accordance with the following schedule:
|
Completed Years of Service
|
Vested %
| |
|---|---|---|
|
Less than 5
|
0%
| |
|
5 or more
|
100%
|
2.
Upon termination of employment, a vested member shall be eligible
to receive his monthly vested Accrued Benefit payable on his normal
retirement date.
3.
However, any member who separates from service prior to his normal
retirement date for any reason other than death or early retirement
shall receive a complete refund of the total amount of his member
contributions, if any, without interest, if such refund is greater
in value than the actuarial equivalent of the Vested Accrued Benefit.
4.
Notwithstanding the plan's vesting schedule, upon any amendment or
restatement of the plan, a plan member's vested accrued benefit shall
not be less than the vested accrued benefit immediately preceding
such amendment or restatement.
5.
Notwithstanding the plan's vesting schedule, a plan member shall
be 100% vested when the plan member completes the age and service
requirements for normal retirement at his normal retirement date under
the plan.
6.
Notwithstanding the plan's vesting schedule, a plan member shall
be 100% vested in his accrued benefit (to the extent funded) as of
the date of partial or complete plan termination.
[Ord. 99-6, 10/25/1999; as added by Ord. 02-1, 1/28/2002,
§ 3]
Notwithstanding § 1-806, the plan shall recognize any Qualified Domestic Relations Order (QDRO) set forth under Code § 414(p). Any plan member's benefits, rights or elections shall be subject to any rights afforded to the alternate payee by a QDRO. Further, a distribution to an alternate payee is permitted if authorized by a QDRO, even if the plan member involved has not separated from service and has not reached the earliest retirement age under the plan.
[Ord. 99-6, 10/25/1999; as added by Ord. 02-1, 1/28/2002,
§ 3; as amended by Ord. 04-03, 4/26/2004, § 8]
1.
The pre-retirement death benefit is payable to the spouse upon death
of a member who is fully vested. Benefits begin on the first of the
month coincident with or next following the date of death. The amount
of the benefit is equal to the accrued benefit which would have been
paid had the member terminated employment on his date of death and
had retired with an unreduced joint and 50% spousal annuity.
2.
The post-retirement death benefit is determined by the form of annuity
in effect.
[Ord. 99-6, 10/25/1999; as added by Ord. 02-1, 1/28/2002,
§ 3]
If any portion of a plan benefit is payable to a plan member
or beneficiary at the later of the plan member's 62nd birthday or
his normal retirement age, and such benefit remains unpaid solely
by reason that the Township, after sending a registered letter to
the last known address, return receipt requested, and after diligent
effort fails to locate the plan member or beneficiary, the actuarial
value of the benefit shall be forfeited and applied towards reducing
plan costs. If, subsequent to the forfeiture, a plan member or beneficiary
is located, the actuarial value of the forfeiture at the time it was
forfeited (no adjustments for gains or losses) shall be restored.
[Ord. 99-6, 10/25/1999; as added by Ord. 02-1, 1/28/2002,
§ 3]
Forfeitures must not be applied to increase the benefits any
municipal employee would otherwise receive under the plan.
[Ord. 99-6, 10/25/1999; as added by Ord. 02-1, 1/28/2002,
§ 3]
In the case of any merger or consolidation with, or transfer
of plan assets or liabilities to any other plan, each plan member
would (if the plan then terminated) receive a benefit immediately
after the merger, consolidation or transfer which is equal to or greater
than the benefit he would have been entitled to receive immediately
before the merger, consolidation or transfer (if the plan had then
terminated).
[Ord. 99-6, 10/25/1999; as added by Ord. 02-1, 1/28/2002,
§ 3]
As required by Code § 401(a)(25), the actuarial assumptions
used to calculate plan benefits shall not be subject to the Township's
discretion.
[Ord. 99-6, 10/25/1999; as added by Ord. 02-1, 1/28/2002,
§ 3]
1.
If any distributee of any eligible rollover distribution:
A.
Elects to have such distribution paid directly to an eligible retirement
plan, and
B.
Specifies the eligible retirement plan to which such distribution
is to be paid (in such form and at such time as the plan administrator
may prescribe), such distribution shall be made in the form of a direct
trustee-to-trustee transfer to the eligible retirement plan so specified.
3.
Eligible Rollover Distribution. For purposes of this section, the
term "eligible rollover distribution" has the meaning given such term
by Code § 402(f)(2)(A).
4.
Eligible Retirement Plan. For purposes of this section, the term
"eligible retirement plan" has the meaning given such term by Code
§ 402(c)(8)(B), except that a qualified trust shall be considered
an eligible retirement plan only if it is a defined contribution plan,
the terms of which permit the acceptance of rollover distributions.
[Ord. 99-6, 10/25/1999; as added by Ord. 02-1, 1/28/2002,
§ 3]
No plan member or beneficiary shall have any benefit subject to any type of alienation, anticipation, assignment, charge, encumbrance, pledge, sale or transfer. Further, no benefits shall be subject to or liable for any debts, contracts, engagements, liabilities or torts. The only exceptions to this section are those in § 1-805 above and those referenced in Code §§ 401(a)(13)(C) and (D).
[Ord. 99-6, 10/25/1999; as added by Ord. 04-03, 4/26/2004,
§ 9]
1.
If a Member becomes totally and permanently disabled such that he
is unable to engage in any substantial employment and is eligible
for and receives a disability benefit under Title II of the Federal
Social Security Act before his actual retirement, a disability benefit
shall be payable to him. The disability benefit payable to a member
who meets the requirements above is an immediate monthly benefit equal
to 50% of his average monthly compensation on the day before his monthly
disability benefit begins.
2.
Monthly disability benefit payments shall begin on the earliest first
day of the month on or after the date the Member meets the requirements
under this section. Such Payments shall continue through the first
day of the month before the earliest of his Normal Retirement Date,
the date of his death or the day following the date he is no longer
totally and permanently disabled. The employer shall have the right
to require the disabled member to undergo medical examination at monthly
intervals.
3.
If the disability continues through the first day of the month before
the member's normal retirement date, retirement benefits shall be
provided for him on his normal retirement date. The retirement benefit
shall equal the accrued benefit determined for him on the date he
became totally and permanently disabled. However, such accrued benefit
shall not be less than the amount of monthly disability payment paid
to him under this section. If, before the member's normal retirement
date, he recovers and returns to active work for the Employer within
one month of his recovery, the payments shall stop and he shall again
become an active member. If, before the member's normal retirement
date, he recovers and does not return to active work for the employer
within one month of his recovery, the payments shall stop and his
benefits shall be re-determined, and shall then equal the actuarial
equivalent of his vested Accrued Benefit on the date he ceased to
be an employee of the Township, payable at his normal retirement date.
[Added by Ord. 17-04, 3/27/2017]
1.
Each full-time non-uniformed municipal employee (regularly working
a minimum of 40 hours per week during the calendar year) hired on
or after June 1, 2016, shall be eligible to participate in a defined
contribution plan, also referred to as a "money purchase plan" (the
"DC Plan").
4.
The DC Plan shall be funded by contributions from the New Hanover
general fund; by state aid received pursuant to the Municipal Pension
Plan Funding Standard and Recovery Act (Act 205 of 1984),[2] and any other sums received or contributed to the Township
to the extent authorized by law.
[2]
Editor's Note: See 53 P.S. § 895.101 et seq.
5.
The Township shall contribute 5% of participating employee compensation
to the DC Plan, which may be amended as needed by resolution of the
Board of Supervisors of New Hanover Township.
6.
The Township Board of Supervisors shall have the authority to administer
the DC Plan. It shall have the authority to appoint and delegate a
Chief Administrative Officer and Trustee(s) of the DC Plan. The expense
of administering the DC Plan, including compensation of any actuary,
custodian, trustee, financial advisor or investment firm, and any
other charges or expenses related thereto, exclusive of the payment
of benefits, may be paid by the Township as determined by the Board
of Supervisors.
[Ord. No. 06-05, 7/24/2006]
1.
ACCRUED BENEFIT
AVERAGE MONTHLY COMPENSATION
COMPENSATION
EMPLOYER
FUND
MEMBER
MUNICIPALITY
PLAN
TOWNSHIP
TRUSTEE
For the purposes of this Subpart, the following definitions shall
apply:
The member's normal retirement benefit multiplied by the
ratio of (a) over (b) where (a) equals the years and months of service
completed by the member as of the date of his termination of employment,
and (b) equals the years and months of service the member would have
completed if he had continued to participate until his normal retirement
date.
The average of a member's monthly compensation over the last
36 months of employment.
The total compensation paid to an employee for services rendered
during the last 36 months of employment as a police officer. Compensation
shall exclude buy-backs and any other lump sum payments related to
services rendered prior to the last 36 months of employment as a police
officer.
New Hanover Township, Montgomery County, Commonwealth of
Pennsylvania.
New Hanover Township Police Pension Plan Trust Fund.
All police employees who meet the requirements set forth in § 1-814 of this Subpart. The masculine pronoun will include the feminine.
New Hanover Township, Montgomery County, Commonwealth of
Pennsylvania.
New Hanover Township Police Pension Plan. The plan's fiscal
year is the calendar year.
New Hanover Township, Montgomery County, Commonwealth of
Pennsylvania.
New Hanover Township Board of Supervisors or its designee.
[Ord. No. 06-05, 7/24/2006]
1.
This plan is to be funded and maintained by any of the following
methods, or combination of each:
A.
General Fund: contributions from the General Fund of New Hanover
Township which may be required after appropriate approval of the Township
Supervisors.
B.
Member Contributions. All members shall make contributions which
shall be 5% of their total compensation. The Board of Supervisors
may, on an annual basis, by ordinance or resolution, reduce or eliminate
contributions into the plan by members, per Act 600.[1] The Township may, but need not, have an actuarial study
performed prior to reducing or eliminating member contributions into
the plan.
[1]
Editor's Note: See 53 P.S. § 767 et seq.
D.
Gifts, Grants, Devises or Bequests. Such received by the Township
may, to the extent authorized by law, be contributed to such fund
so long as prior approval of the Township Supervisors is obtained.
[Ord. No. 06-05, 7/24/2006]
1.
Pension Committee.
A.
The general administration and management of the plan shall be under
the direction of a Pension Committee as appointed by the New Hanover
Township Board of Supervisors. The Committee shall consist of two
duly elected Township Supervisors, the Township Manager and two plan
members, all of whom are appointed by the Board of Supervisors. The
initial terms of the two plan members shall be for two years and one
year, respectively. All subsequent terms shall be for two years. Appointments
shall rotate and be representative of each department, if possible.
B.
The Pension Committee shall have all powers necessary to enable it
properly to carry out its duties, including, but not limited to, the
power to construe the provisions of the fund, to direct the investment
advisor, to determine all questions relating to eligibility of members
and to authorize all disbursements for benefits to members. The decisions
of the Pension Committee on all matters within the scope of its authority
shall be final, subject to approval of the Board of Supervisors.
2.
Trustee.
A.
The fund shall be under the direction of a trustee designated by
resolution by the New Hanover Township Board of Supervisors. The trustee
shall have full responsibility for administration of the program established
hereunder and shall hold, invest, reinvest and distribute all funds
and other property received pursuant hereto in trust for the purposes
of this Subpart. The trustee may receive, at any time, gifts, grants,
devises, or bequests to the pension fund of any money or property,
real, personal or mixed, to be held by the trustee in trust for the
benefit of this fund and in accordance with the provisions hereof.
The trustee shall be subject to such rules and regulations as may
from time to time be adopted by the governing body of this Township
by ordinance or by resolution.
B.
The trustee shall have full power and authority by a majority action,
either directly or through his or her designated representatives,
to do all acts, execute, acknowledge and deliver all instruments,
and to exercise for the sole benefit of the plan members, any and
all powers and discretions necessary to implement and effectuate the
purposes of this Subpart, including, for purposes of illustration,
but not limited to any of the following:
(1)
To hold, invest and reinvest all funds received pursuant to
this Subpart and such legal investments as may be authorized as legal
investments under the laws of the Commonwealth of Pennsylvania;
(2)
To retain any property which may at any time become an asset
of the fund, as long as said trustee may deem it advisable; and
(3)
To make distribution of the monies in the fund, in accordance
with the terms of this Subpart.
C.
The expense of administering this pension fund, including compensation
of any actuary, any custodian of the fund, and any other charges or
expenses related thereto, exclusive of the payment of pensions, may
be paid by the Township or by the pension fund as determined by the
Township Board of Supervisors.
[Ord. No. 06-05, 7/24/2006]
1.
Each full-time police employee (regularly working a minimum of 40
hours per week during the calendar year) employed by the employer
is eligible to participate and shall be a member in the New Hanover
Township Police Pension Plan Trust Fund as of his or her date of hire.
2.
For the purpose of this section, "service" shall mean the period
of an employee's aggregate employment by the employer. The following
types of absence shall not break continuity, and the time elapsed
shall be included in computing the aggregate length of service.
[Ord. No. 06-05, 7/24/2006]
The benefits from the fund shall be payable to members who have
served in the Township in a full-time capacity and who attain their
normal retirement date. "Normal retirement date" shall mean the first
of the month, coincident with or next following the attainment of
the 55th birthday and the completion of 25 years of aggregate service.
Benefits commence on the first day of the month coincident with or
next following actual retirement.
[Ord. No. 06-05, 7/24/2006]
1.
The monthly normal retirement benefit shall equal 50% of average
monthly compensation, plus a monthly service increment equal to $25
per month for each year of service completed in excess of 25 years,
with a maximum monthly service increment of $100 per month as follows:
A.
After 26 years of completed service, the service increment shall
be $25 per month.
B.
After 27 years of completed service, the service increment shall
be $50 per month.
C.
After 28 years of completed service, the service increment shall
be $75 per month.
D.
After 29 years of completed service, the service increment shall
be $100 per month.
[Ord. No. 06-05, 7/24/2006]
1.
In the event of any member's services related total and permanent
disability, the member shall become eligible for a monthly disability
pension as set forth below.
2.
"Total and permanent disability" shall mean a service-related physical
or mental condition of a member incurred in the course and scope of
employment as a New Hanover police officer, which precludes him from
engaging in his normal duties as a police officer. Determination of
disability is to be made by a duly qualified physician on the Workers'
Compensation Panel of approved physicians.
3.
The monthly total and permanent disability pension benefit shall
be in conformity with a uniform scale and shall be equal to 50% of
the member's base salary on the date the disability occurred, reduced
by the amount of social security disability and workers' compensation
benefits received for the same injury. Disability pension benefits
shall commence on the first of the month coincident with or next following
the date of disability, as determined by a qualified physician selected
by the employer.
4.
The employer shall have the right to require a disabled member to
undergo medical examination at six-month intervals. Disability benefit
payments shall cease upon recovery from disability as determined by
a qualified physician on the Workers' Compensation Panel of approved
physicians.
5.
Disability benefit payments shall cease upon death.
[Ord. No. 06-05, 7/24/2006]
1.
Any member who has completed 12 years of service in this plan shall
become 100% vested in his accrued benefit. Upon termination of employment
with the employer, a vested member shall be eligible to receive his
accrued benefit starting as a monthly annuity at his normal retirement
date under this Subpart.
2.
However, any member who separates from service prior to his normal
retirement date for any reason other than death or total and permanent
disability shall receive a complete refund of the total amount of
his member contributions with interest, if such refund is greater
in value than the actuarial equivalent of the accrued benefit.
[Ord. No. 06-05, 7/24/2006]
1.
In the event of the death of a member or the death of a member who
has retired or is honorably discharged on pension, the surviving spouse,
or if no spouse survives or if he or she survives and subsequently
dies, then the child(ren) under the age of 18 or, if then attending
college, under or reaching the age of 23, shall, during his or her
lifetime in the case of a surviving spouse or, in the case of a child(ren),
until reaching the age of 18 or, if then attending college, under
or reaching the age of 23, be entitled to receive a pension calculated
at 50% of the pension the member was receiving or would have been
receiving had he or she been retired or honorably discharged on pension
at the time of his or her death. For the purposes of this section,
the phrase "attending college" shall mean the eligible child(ren)
is registered at an accredited institution of higher learning and
is carrying the minimum course load of seven credit hours per semester.
2.
The surviving spouse of any member who dies before his or her pension
has vested or, if no spouse survives or if he or she survives and
subsequently dies, the child(ren) under the age of 18 or, if attending
college, under or reaching the age of 23, of the member shall be entitled
to receive repayment of all money which the member invested in the
pension fund plus interest or other increases in value of the member's
investment in the pension fund unless the member has designated another
beneficiary for this purpose. For the purposes of this section, the
phrase "attending college" shall mean the eligible child(ren) is registered
at an accredited institution of higher learning and is carrying a
minimum course load of seven credit hours per semester.
[1]
Editor's Note: Former § 1-820, Killed-in-Service
Death Benefit, adopted by Ord. No. 06-05, 7/24/2006, was repealed
by Ord. No. 10-03, 9/13/2010.
[Ord. No. 06-05, 7/24/2006]
1.
The early retirement benefit shall be provided to a member of the
police force with 20 or more years of service who terminates employment
prior to the completion of superannuation retirement age and service
requirements and who files a written application for an early retirement
benefit with the governing body of the municipality. The early retirement
benefit shall become effective as of the date the application is filed
with the governing body on the date designated on the application,
whichever is later, and shall be the actuarial equivalent of a partial
superannuation retirement benefit calculated as follows:
A.
A partial retirement benefit shall be determined by applying the
percentage that the member's years of service bear to the years of
service that the member would have rendered had the member continued
to be employed until his superannuation retirement date to the gross
pension amount calculated using the monthly average salary during
the appropriate period prior to his termination of employment.
B.
The actuarial equivalent of the partial superannuation retirement
benefit shall be determined by actuarially reducing the partial superannuation
retirement benefit to reflect that it will commence on the effective
date of the early retirement rather than on the date on which the
member would have completed superannuation age and service requirements.
The actuarial reduction shall be calculated using the actuarial assumptions
reported in the last actuarial valuation report filed with the Public
Employee Retirement Commission under the act of December 18, 1984
(P.L. 1005, No. 205), known as the "Municipal Pension Plan Funding
Standard and Recovery Act."
[Ord. No. 06-05, 7/24/2006]
A regularly appointed member of the police force who has been
employed as such for at least six months, and who enters active military
service for the United States, must receive retirement credit for
the period of active military service. To be eligible, the member
must return to employment within six months of separation from such
military service and be ineligible to receive military retirement
pay as a result of that service.
[Ord. No. 06-05, 7/24/2006]
1.
This Subpart shall become effective immediately upon the adoption
of the same by the Board of Supervisors. All ordinances, or parts
of ordinances, inconsistent with the provision of this Subpart are
hereby repealed, except for any ordinance provisions mandated by the
Internal Revenue Code.
2.
If any sentence, clause, section or part of this Subpart is, for
any reason, found to be unconstitutional, illegal or invalid, such
unconstitutionality, illegality, or invalidity shall not effect or
impact any other remaining provisions, sentences, clauses, sections
or parts of this Subpart. It is hereby declared as the intent of the
New Hanover Township Board of Supervisors that this Subpart would
have been adopted had such unconstitutional, illegal or invalid sentence,
clause, section or part thereof not been included herein.
