The Nonuniformed Employees Pension Plan and
Trust, established for the purpose of providing retirement and other
benefits for said employees, is hereby restated, as stated herein.
As used in this article, the following terms
shall have the meanings indicated:
AGE
The age attained by the employee at his or her last birthday.
BOROUGH
The Borough of Downingtown, Chester County, Pennsylvania.
COMPENSATION
The earnings paid by the Borough to the member during the
plan year as reported to the federal government for income tax purposes,
to include member pretax contributions to deferred compensation plans.
COUNCIL
The Council of the Borough of Downingtown, Chester County,
Pennsylvania.
EMPLOYEE
Any person in the full-time employ of the Borough whose customary
employment by the Borough is for not less than 35 hours per week.
FORFEITURE
The nonvested portion of a member's account.
FUND
All assets held by the trustee under the Trust Agreement
and related insurance and investment contracts relating to this plan.
MEMBER
Any employee who has satisfied the eligibility requirements established in §
57-23 hereof.
MEMBER ACCOUNT
Each member's individual account maintained within the fund,
to include the prorated share of investment earnings or losses.
NORMAL RETIREMENT DATE
The first day of the month coincident with or next following
the date on which the member completes 10 years of service, or the
date on which the member attains age 65, whichever is later to occur.
PAY PERIOD
The period of time at which end an employee is compensated
for his services to the Borough.
PLAN
The pension plan for the nonuniformed employees of the Borough
of Downingtown as herein set forth and as the same may hereafter be
amended.
PLAN YEAR
A period of 12 consecutive months commencing on any January
1 and ending on the following December 31.
ROLLOVER ACCOUNT
The distribution amount transferred to the plan by a member
from a qualified pension or profit-sharing plan.
SERVICE
The aggregate of a member's total periods of employment as
a full-time employee of the Borough. If a member enters military service,
either voluntarily or by conscription, after he has been employed
for at least six months, such time spent in the armed forces of the
United States during a period of national emergency shall be counted
as "service" for purposes of this plan, provided that such member
returns to service with the Borough within six months after his discharge
or release from such active duty in the armed forces of the United
States. The time spent in military service due to voluntary extension
of such military service during a period of peacetime shall not be
included as "service" for the purpose of this plan. Time spent on
reserve or National Guard training shall be included as "service"
for purposes of this plan.
TOTAL DISABILITY
Any condition arising from illness or injury which precludes
an employee from performing the duties associated with the normal
occupational requirements of any position with the Borough, as certified
by a physician designated by the Borough.
TRUST AGREEMENT
The contract between the Council and the trustee establishing
the terms by which and under which the fund is invested, distributed,
accounted for and terminated, as the same now exists and as it may
hereafter be amended.
TRUSTEE
The Borough Council or any other agency or person appointed
by the Borough Council to serve in that capacity as set forth in the
trust agreement.
VESTED INTEREST
Shall mean the nonforfeitable right to any immediate or deferred
benefit in the amount which is equal to the sum of Subsections A and
B below:
A.
The value on that date of that portion of the
participant's account that is attributable to and derived from a participant's
own contributions, if any.
B.
The value on that date of that portion of the
participant's account that is attributable to and derived from employer
contributions multiplied by his vesting percentage determined on the
date applicable.
VESTING PERCENTAGE
The member's nonforfeitable interest to his account plus
the earnings thereon computed as of the date determining such percentage
because of the occurrence of some event. Vesting will occur as follows:
[Amended 8-17-2011 by Ord. No. 2011-08]
|
Years of Service
|
Vesting Percentage
|
---|
|
Less than 5
|
0%
|
|
5
|
100%
|
YEARS OF SERVICE
The plan year during which an employee has completed at least
1,000 hours of work for compensation or compensation entitlement.