[HISTORY: Adopted by the Common Council of the City of Peekskill
as indicated in article histories. Amendments noted where applicable.]
[Adopted 4-24-2000 (Ch. 96, Art. I of the 1984
Code)]
The City of Peekskill, by the adoption on January 24, 2000, of resolution
#J-9, as authorized by Article 11-A of the New York State General Municipal
Law, has directed that there shall be a public referendum of eligible voters
of the City of Peekskill Volunteer Fire Department to determine whether such
Service Award Program shall be established.[1] Such program shall be effective January 1, 2000.
[1]
Editor's Note: This resolution was approved at a referendum held 5-23-2000.
A.Â
The type of program shall be a defined benefit plan as
described in § 219 of Article 11-A of the General Municipal Law.
B.Â
All active volunteer fire fighters who are at least 18
years old and who are active volunteer fire fighter members of the City of
Peekskill Volunteer Fire Department shall be eligible to become Service Award
Program participants. Unless he, or she waives participation, an eligible
person, age 18 or older, shall become a participant on December 31 of the
first calendar year after 1999 during which he or she earns a year of Service
Award Program service credit under the Service Award Program point system.
This Service Award Program shall be administered and operated by the
City of Peekskill Common Council through recommendations from a Service Award
Committee. The Service Award Committee (the SAC) shall consist of two representatives
from the Common Council and two representatives from each of the Fire Companies
within the City of Peekskill Volunteer Fire Department. The Service Award
Committee shall be responsible for the day-to-day operation of the Service
Award Program, including resolution of any Service Award Program point system
disputes.
Active volunteer fire fighter members of the City of Peekskill Volunteer
Fire Department shall have the opportunity to earn pension-like and pre-entitlement
age death and disability benefits under the Service Award Program. The pension-like
benefit shall be a monthly payment life annuity paid to a participant with
payments beginning after attainment of age 62, but not before a participant
earns one year of Service Award Program service credit for calendar years
after 1999. The monthly payments shall be equal to $20 (the "service award")
for each year of Service Award Program service credit earned. The maximum
monthly payment shall be $800. In the event that a participant begins to be
paid such monthly payments and then dies before receiving 120 monthly payments,
the participant's designated beneficiary (or estate if no beneficiary is selected)
shall have the option to continue to receive the monthly payments until 120
payments have been received altogether or to immediately be paid a lump-sum
payment equal to the discounted value of the remaining payments. By the adoption
of a resolution, the City of Peekskill may add other actuarially equivalent
forms of such monthly payments. The pre-entitlement age death benefit shall
be a lump-sum payable upon the participant's death to the participant's designated
beneficiary and shall be equal to the discounted value at the time of death
of the actuarial present value of the participant's earned service award.
A participant, who is awarded benefit payments due to a total and permanent
disability by the Social Security Administration or by any entity which pays
benefits under the Volunteer Fire Fighters' Benefit Law or by any other authority
approved by the City of Peekskill and the SAC, shall be eligible to be paid
a pre-entitlement age disability benefit payment under the Service Award Program.
Such disability benefit payment shall be a lump sum payment to the participant
equal to the discounted actuarial present value of the participant's earned
service award payable upon application by the participant to and approval
by the SAC/City of Peekskill.
A participant's earned service award shall become fully vested (i.e.,
a participant shall obtain nonforfeitable right to his or her earned service
award) after:
A.Â
He or she earns and does not permanently forfeit Service
Award Program service credit for at least five years of active volunteer fire
fighter service;
B.Â
He or she is at least 62 years of age and earns one year
of such service credit for a calendar year after 1999;
C.Â
He or she dies; or
D.Â
He or she is awarded a Service Award Program total and
permanent disability benefit payment.
As of December 31 of the year a program participant ceases to be an
active volunteer fire fighter of the City of Peekskill Volunteer Fire Department
before his or her earned service award becomes fully vested, he or she shall
forfeit any service credit and any earned service award; however, such person
who again becomes an active volunteer fire fighter member of the City of Peekskill
Volunteer Fire Department within five years and subsequently earns a year
of service credit shall regain the forfeited service credit and earned service
award.
A year of Service Award Program service credit shall be earned by a
participant for each calendar year after 1999 during which a participant earns
at least 50 points while a member of the City of Peekskill Volunteer Fire
Department for participating in the volunteer fire fighter activities set
forth by the City of Peekskill/SAC in the Service Award Program point system
as authorized by § 217 of Article 11-A of the General Municipal
Law. The City of Peekskill/SAC may include within such point system additional
nondiscriminatory, uniform restrictions or requirements for an active volunteer
fire fighter to obtain a year of Service Award Program service credit. The
point system shall be set forth in writing, and copies of the written explanation
of the point system shall be distributed to active volunteer fire fighters.
The City of Peekskill/SAC may amend the point system from time to time, provided
that such amendments are allowable under all applicable statutes, rules and
regulations. In the event that the point system is amended by the City of
Peekskill/SAC, a written explanation of the changes shall be distributed to
active volunteer fire fighters within 30 days of the date such changes are
adopted.
Persons who continue to be active volunteer fire fighters of the City
of Peekskill Volunteer Fire Department after they attain the entitlement age
shall have the opportunity to continue to earn service credit under the point
system. The additional monthly service award payment earned by a participant
during a calendar year shall be paid as of January 1 of the next succeeding
calendar year.
A.Â
Under Article 11-A of the General Municipal Law, the
City of Peekskill shall be the Service Award Program Sponsor, and the City
of Peekskill shall be the trustees of the Service Award Program trust fund.
The City of Peekskill shall have the authority to manage or dispose of program
assets and shall do so in the interest of the fire fighters who participate
in the program and the fire fighters' beneficiaries. The City of Peekskill
may authorize individuals or entities to hold and invest the program assets.
They may also seek investment counsel.
B.Â
The City of Peekskill may retain a qualified firm to
assist it to administer the program.
The total 2000 annual cost, payable in calendar year 2001, of funding
the City of Peekskill Volunteer Fire Department Service Award Program benefits
is estimated to be about $275,000, or about $1,455 per fire fighter, including
the cost of administration. The estimated annual cost to administer the program
for 2000 is about $5,000.
City of Peekskill Volunteer Fire Department Service Award Program benefit
payments shall commence to eligible fire fighters after January 1, 2001, when
they and/or their beneficiaries qualify for payment. No benefit shall be paid
under the program for a fire fighter's death occurring or disability
commencing before the date on which residents of the City of Peekskill approve
the proposition to establish the program.
All other provisions of the City of Peekskill Volunteer Fire Department
Service Award Program shall be in accordance with Article 11-A of the General
Municipal Law, as amended from time to time.
