The purpose of this article is to establish
benefits payable to police officers or beneficiaries of police officers
who retire from the Bureau of Police after January 1, 2003. Pension
benefits for retired police officers who retired prior to January
1, 2003, will continue to be determined in accordance with the collective
bargaining agreement in effect as of the date of their retirement.
The purpose is also to establish a funding policy for the Bureau of
Police Officers' Relief.
Whenever used herein, the following terms shall
have the following meanings unless a different meaning is clearly
required by the context or by the Third Class City Code:
ACTIVE POLICE OFFICER
Any police officer of the City who is actively employed by,
or on a leave approved by, the Bureau of Police (sometimes referred
to herein as as “approved leave”) and who has Civil Service
status.
BASE DISABILITY BENEFIT
The maximum benefit to which an active police officer who
suffers a permanent and total disability shall be entitled upon becoming
disabled, which shall be equal to 1/2 of the active police officer's
compensation at the time of the commencement of the disability, distributed
in equal monthly installments.
BASE PENSION BENEFIT
The benefits determined in accordance with Schedule A attached to this article based on the active police officer's base rate compensation as of the date of termination, retirement or death as applicable, except as otherwise provided in this article. This definition shall apply to any active police officer who retires after the effective date of this Article as set forth in §
64-15.1.
BASE RATE COMPENSATION
The active police officer's gross monthly wages, plus longevity pay, (defined in this §
64-2), as an employee of the Bureau of Police, excluding overtime pay and other remuneration, provided that irrespective of his/her actual rank, an active police officer's base rate compensation, as calculated and referenced herein, shall be no less than the lowest base salary for an officer with the rank of Lieutenant. This definition shall apply to all active police officers who retire after the effective date of this article as set forth in §
64-15.1.
BUREAU
The Bureau of Police Officers' Relief for the City of Lancaster.
CHILD or CHILDREN
The adopted and natural children of members who are under
the age of 18.
CITY
The City of Lancaster, Pennsylvania.
CODE
The Third Class City Code as amended from time to time. See
53 P.S. § 35101 et seq.
COMPENSATION
The active police officer's gross monthly wages, plus longevity
pay, earned and received as an employee of the Bureau of Police, excluding
overtime pay and any other remuneration.
EXPOSURE
Any toxic or medically harmful condition or stimulus to which
an active police officer is liable or is exposed.
FUND
The Lancaster City Police Pension Fund.
LONGEVITY or LONGEVITY PAY
An additional amount of income added to an active police
officer's gross monthly wages. Longevity pay shall be calculated in
accordance with the provisions of the collective bargaining agreement
in effect at the time of the active police officer's termination of
employment with the Bureau of Police.
MEMBER
Any active police officer or retired police officer.
MILITARY BUY-BACK TIME
Any time an active police officer spends in active military
service, prior to initial employment with the Bureau of Police, that
may be purchased and counted toward a twenty-five-years of service
requirement under this article.
PENSIONER
Any former active police officer who is receiving benefits
under this article.
PENSION LIST
The list of active police officers and retired police officers
eligible to receive pension benefits under this article.
PERMANENT AND TOTAL DISABILITY
A mental or physical impairment which renders an active police officer permanently unable to perform his/her essential duties, as determined in accordance with §
64-9.
PLAN YEAR
The twelve-consecutive-month period ending December 31.
RETIRED POLICE OFFICER
Any former active police officer who is eligible to receive
pension benefits under the code or this article for any reason.
SERVICE INCREMENT
Has the meaning assigned thereto by Section 39303 of the
Code and §
64-7 of this article.
SPOUSE
The legal husband or wife of any active police officer, retired
police officer, member suffering from a permanent and total disability,
or pensioner.
YEARS OF SERVICE
The sum of each full year in which an active police officer
is employed by the Bureau of Police and receives compensation for
services as an active police officer, such year to commence on the
first day of employment and each anniversary date thereafter.
There is hereby established a Bureau to be known
as the "Bureau of Police Officers' Relief." The Bureau shall be composed
of the Mayor, the City Treasurer, the City Controller, three active
police officers to be duly elected by a majority of all active police
officers for three-year overlapping terms, and one retired police
officer on the pension list to be duly elected by a majority of the
retired police officers on the pension list for a two-year term.
The Bureau shall be the custodian of the Fund,
as at present or formerly constituted, and shall have the full and
exclusive power to hold, receive and distribute any funds currently
or subsequently held by the Fund. From the Fund, the Bureau shall
maintain an account which shall be kept invested and to which shall
be added all contributions, additions or income, from any source whatsoever,
for the purpose of providing pension benefits to the police officers
of the City, subject to the requirements of the Code and this article.
Every active police officer shall pay into the
Fund each month an amount of money equal to 5% of his/her base rate
compensation, to be used to provide funds for the payment of benefits
described hereunder and in accordance with the Code.
[Amended 7-26-2005 by Ord. No. 14-2005]
Each member entitled to receive pension benefits
hereunder shall be entitled to receive a service increment (in accordance
with and subject to the terms described in the Code), in addition
to his/her monthly pension benefits, equal to 2.5% of the member's
monthly base pension benefit (determined as of the date of termination
of employment, retirement, death or disability as applicable) times
the number of full years of service of such member in excess of 20,
provided that no years of service after the member has reached age
65 shall be counted and provided further that the maximum service
increment payable hereunder shall be $300 per month. Each member under
the age of 65 shall pay into the fund the sum of $3 per month as his/her
contribution toward service increments. Effective January 1, 2005,
the maximum service increment payable hereunder shall be $400 per
month, and each member under the age of 65 shall pay into the fund
the sum of $4 per month as his/her contribution toward service increments.
Effective January 1, 2007, the maximum service increment payable hereunder
shall be $500 per month, and each member under the age of 65 shall
pay into the fund the sum of $5 per month as his/her contribution
toward service increments.
All active police officers shall resign from
the Bureau of Police upon attaining the age of 60 years, provided,
however, that the Chief of Police may continue employment in that
capacity as long as he/she is not a member of the Bureau of Police.
The terms of this section shall be self-executing without any action
on the part of an active police officer who attains the age of 60
years.
[Amended 10-26-2004 by Ord. No. 21-2004]
A. If any member suffers permanent and total disability
as a result of an injury or injuries, or exposure, incurred in the
line of duty, he/she shall be entitled to receive base disability
benefits which shall be distributed in equal monthly installments,
subject to any set-offs required by law, such as a set-off for workers'
compensation benefits. Such disability benefits shall continue until
the death of the pensioner.
B. If any active police officer in good standing suffers
permanent and total disability as a result of a mental or physical
condition that was not incurred in the line of duty, he/she shall
be entitled to base disability benefits, multiplied by a fraction,
the numerator of which is the number of his/her years of service and
the denominator of which is 25, but in no event shall this amount
be more than the base disability benefit. Such disability benefits
shall continue until the death of the pensioner.
An active police officer may purchase, through
payroll deduction, all or part of his/her military buy-back time after
completing 15 years of service. Military buy-back time will be credited
toward the completion of any 25 years of service requirement under
this article upon such active police officer's contribution to the
Fund the amount required in accordance with Subsection B. Military
buy-back time may only be used after completing 20 years of service.
An active police officer may purchase back no more than five years
of military service. If an active police officer elects to purchase
his/her military buy-back time:
A. Military buy-back time may be repurchased under this
section only if the active police officer elects to exercise such
right in a writing delivered to the Bureau (if the Bureau has published
forms for such use, such election must be set forth in and be made
in accordance with such forms.)
B. The purchase price of military buy-back time shall
be equal to the product of 10% of a Lieutenant's salary times each
year of military buy-back time, or portion thereof rounded to the
lowest whole month, being purchased, plus interest at the rate of
6% per annum, compounded annually, from each year of military service
to the date of payroll deduction for its purchase from the Bureau;
C. Payment of such purchase price shall be made through
payroll deductions until fully repaid (subject to the right of the
active police officer to prepay at any time without prepaying interest);
D. The active police officer must purchase the most recent
years of military service first if the active police officer is buying
back only a portion of his/her total military service.
All benefits payable and funds disbursed by
the Bureau shall be paid by check signed by the City Treasurer on
orders drawn by the Bureau, signed by the Mayor and a majority of
the members of the Bureau.
Every two years, the City shall hire a qualified
actuary to prepare an actuarial report that will determine the pension
costs in the form of a normal cost and an unfunded past service liability.
A. Such actuary shall also determine the incremental
normal cost and the incremental unfunded past service liability with
respect to any benefit supplements, improvements or increases.
B. An actuarial review shall be prepared as of January
1 of each year and shall be submitted to the officer of the City responsible
for preparing the budget by November 1 of each year.
C. The Fund will at all times be consistent with the
Code to the extent applicable, as amended by the Municipal Pension
Plan Funding Standard and Recovery Act, 53 P.S. § 895.101
et seq.
All funds, assets and securities now and heretofore
held and administered by the Bureau known as the "Bureau of Police
Officers' Relief" shall be held and administered by the Bureau as
part of the Fund in accordance with the provisions of this article.
This article shall become effective upon signature
by the Mayor of the City of Lancaster and attestation by the Clerk
of the City of Lancaster and approval of the Lancaster City Council.