Township of Franconia, PA
Montgomery County
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Table of Contents
Table of Contents
[HISTORY: Adopted by the Board of Supervisors of the Township of Franconia as indicated in article histories. Amendments noted where applicable.]
[Adopted 12-11-2006 by Ord. No. 344[1]]
[1]
Editor's Note: This ordinance also repealed former Art. I, Police Pension Fund, adopted 12-12-1994 by Ord. No. 216.
For the purposes of this article, the following definitions shall apply:
AGE
Age at nearest birthday.
ACCRUED BENEFIT
The member's normal retirement benefit multiplied by the ratio of (a) over (b), where
(a)
=
The aggregate years of service completed by the member as of his termination of employment, and
(b)
=
The aggregate years of service the member would have completed if he had continued to be a full-time police officer until his normal retirement date.
AVERAGE MONTHLY COMPENSATION
The average of a member's monthly compensation over the last 36 months of employment.
COMPENSATION
The total compensation paid to an employee for services rendered as a police officer, and shall exclude buy backs and severance pay not authorized by the Department of the Auditor General of the Commonwealth of Pennsylvania.
DROP
A Deferred Retirement Option Plan of pension benefit distribution available to members who qualify and who so elect pursuant to the provisions of § 23-12.1.1.
[Added 9-15-2014 by Ord. No. 380]
DROP PARTICIPATION PERIOD
The period from the time of the commencement of the member's (i.e., DROP participant) participation in the DROP as stated in the DROP notice which has been approved by the Township (i.e., the commencement date) until the member's separation from employment as a police officer of the Township (i.e., the resignation date), which shall not exceed 36 months. Participation in the DROP does not guarantee the DROP participant's employment by the local government during the DROP participation period.
[Added 9-15-2014 by Ord. No. 380]
EMPLOYER
Franconia Township, Montgomery County, Commonwealth of Pennsylvania.
FUND
Franconia Township Police Pension Plan Trust Fund.
MEMBER
All police employees who meet the requirements set forth in § 23-4 of this article. The masculine pronoun will include the feminine.
MUNICIPALITY
Franconia Township, Montgomery County, Commonwealth of Pennsylvania.
PLAN
Franconia Township Police Pension Plan. The plan's fiscal year is the calendar year.
TOWNSHIP
Franconia Township, Montgomery County, Commonwealth of Pennsylvania.
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 Franconia Township which may be required after appropriate approval of the Township Board of 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. The Township Board of Supervisors may, but need not, have an actuarial study performed prior to reducing or eliminating member contributions into the plan.
C. 
State aid received pursuant to the Municipal Pension Plan Funding Standard And Recovery Act (Act 205).[1]
[1]
Editor's Note: See 53 P.S. § 895.101 et seq.
D. 
Gifts, grants, devises or bequests. The sums which may be received by the Township, to the extent authorized by law, be contributed to such fund so long as prior approval of the Township Board of Supervisors is obtained.
E. 
Any other sums received or contributed to the Township Board of Supervisors to the extent authorized by law and with prior approval of the Township Board of Supervisors.
A. 
Pension Committee.
(1) 
The general administration and management of the plan shall be under the direction of a Pension Committee ("Committee") as appointed by the Franconia Township Board of Supervisors.
(2) 
The Committee shall consist of five individuals appointed by resolution of the Township Board of Supervisors. Any member of the Committee may resign upon written notice to the Township Board of Supervisors and the Committee.
(3) 
The Pension Committee shall have complete control of the administration of the plan and 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 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.
B. 
Trustee.
(1) 
The fund shall be under the direction of a trustee designated by resolution by the Franconia 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 article. 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 it 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 Township Board of Supervisors by ordinance or resolution.
(2) 
The trustee shall have full power and authority by a majority action of its members 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 participants hereunder, any and all powers and discretions necessary to implement and effectuate the purposes of this article, including for purposes of illustration, but not limited to any of the following:
(a) 
To hold, invest and reinvest all funds received pursuant to this article and such legal investments as may be authorized as legal investments under the laws of the Commonwealth of Pennsylvania.
(b) 
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
(c) 
To make distribution of the monies in the fund, in accordance with the terms of this article.
(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 Township Board of Supervisors.
A. 
Each full-time police employee (regularly working not less than 40 hours per week during the calendar year) employed by the employer is eligible to participate and shall be a participant in the Franconia Township Police Pension Plan and Fund as of his or her date of hire.
B. 
For the purpose of this § 23-4, "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:
(1) 
Temporary leave of absence or layoff which shall, if not otherwise stated, expire in six months unless sooner renewed.
(2) 
Absence during which regular remuneration is paid.
A. 
The benefits from the fund shall be payable to members who have served in the Township in a full-time capacity and who meet the following requirements, after which the member may retire from service with the employer. Benefits commence on the first day of the month coincident with or next following actual retirement.
B. 
Normal retirement date shall mean the first month coincident with or next following the attainment of the 52nd birthday and the completion of 25 years of aggregate service.
A. 
The monthly normal retirement benefit shall equal 50% of average monthly compensation, plus a monthly service increment equal to $100 per month for each year of service completed in excess of 25 years, with a maximum monthly service increment of $500 per month. The normal form of payment for an unmarried plan member is a straight life annuity. The normal form of payment for a married plan member is a joint and 50% survivor annuity, per Act 600.[1]
[Amended 9-17-2007 by Ord. No. 351]
[1]
Editor's Note: See 53 P.S. § 767 et seq.
B. 
In addition to the normal retirement benefit defined above, there is a cost of living increase effective as of January 1 of each calendar year for members of the police for receiving retirement benefits for a minimum period of six completed months. The cost of living increase shall not exceed the percentage increase in the Consumer Price Index from the year in which the police member last worked, shall not cause the total police pension benefits to exceed 75% of the salary for computing retirement benefits and shall not cause the total cost of living increase to exceed 30%. No cost of living increase shall be granted which would impair the actuarial soundness of the Pension Fund.
C. 
Subject to the limitations in the next subsequent subsection, if the assets of the Police Pension Fund exceed the present value of future benefits as 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." A cost of living increase for members of the police force receiving retirement benefits for 20 or more years may be provided in excess of the limits herein prescribed.
D. 
If the total benefits to be paid to a retired member from the Police Pension Fund exceed $10,000 a year, then the Police Pension Fund shall not pay benefits to a retired member in excess of 100% of the retired member's average compensation as defined in Section 415 of the Internal Revenue Code of 1986 (Public Law 99-514, 26 U.S.C. § 415) or in any successor statute.
A. 
In the event of any member's service-related total and permanent disability, the member shall become eligible for a monthly disability pension as set forth below. "Total and permanent disability" shall mean a service-related physical or mental condition of a member which precludes him from engaging in any substantially gainful employment. Determination of disability is to be made by a duly qualified physician selected by the employer. Such determination shall be final and conclusive.
B. 
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 salary on the date the disability occurred, reduced by the amount of Social Security disability 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.
C. 
Disability benefit payments shall cease upon recovery from disability. The employer shall have the right to require the disabled member to undergo medical examination at reasonable intervals.
D. 
Disability benefit payments shall cease upon death.
A. 
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 participant shall be eligible to receive his accrued benefit, starting as a monthly annuity at his normal retirement date under this article.
B. 
However, any member who separates from service prior to his normal retirement date for any reason other than death or service-related 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.
A. 
In the event of the death of a member of the police force or a member who retires 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 attaining 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 attaining the age of 18 or if then attending college, under or attaining 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 at the time of his or her death. For the purposes of this subsection, 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 credits hours per semester.
B. 
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 purpose of this subsection, 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.
[Amended 6-16-2014 by Ord. No. 379]
If a member is killed in service, the Chief of Police shall, within 90 days of the date of death, submit certification of such death to the Commonwealth of Pennsylvania to comply with the requirements of 53 P.S. § 891, and to take such other action as is necessary to allow the member's beneficiaries to collect the killed-in-service benefit provided for by the commonwealth in 53 P.S. § 891 et seq.
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 or 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 superannuation 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."
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 of the police force 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.
The pension payments herein provided for shall not be subject to attachment, execution, levy, garnishment or other legal process, and shall be payable only to the member or his beneficiary. No member or his beneficiary shall have any right to alienate, encumber or assign any assets of the fund held by the trustees on his behalf, or any of the benefits or payments or agreement purchased or acquired by the Township hereunder.
[Added 9-15-2014 by Ord. No. 380]
A. 
Eligibility. Following the effective date of this section, any member (as defined by Code Chapter 23, Article I, § 23-1) who has reached normal retirement date as defined by the plan may elect to become a participant in the DROP set forth in this section.
B. 
Election to participate. The electing member ("DROP participant") shall make the irrevocable election to participate in the DROP by executing the forms (including, but not limited to, the "DROP notice" described herein) and following procedures prescribed by the Trustee.
C. 
DROP notice form. The DROP notice shall include:
(1) 
An irrevocable notice that the DROP participant shall resign on a specific date no later than 36 months from the date of its execution (the "resignation date");
(2) 
A designation of beneficiary or beneficiaries (collectively referred to as the "DROP beneficiary") to receive distribution of DROP account (hereinafter defined) funds in the event of the DROP participant's death prior to the distribution date (hereinafter defined).
D. 
Payments to the DROP account.
(1) 
Upon execution of the DROP notice (the "DROP date") and commencement of participation in the DROP, the monthly retirement benefits that would have been payable had the DROP participant ceased employment and received a normal retirement benefit shall be paid into the separate ledger account (the "DROP account") established to receive the participant's monthly pension payments. Such account shall be an individual ledger subaccount of the plan set up in each DROP participant's name.
(2) 
While employed and a DROP participant, the DROP participant's monthly retirement benefit shall be credited to the DROP account as stated above and the benefit accumulation under the DROP shall be calculated and credited in accordance with the policy set by the DROP plan administrator. No interest shall be credited to any DROP participant's account, except to the extent that the participant's account earns such interest up to a maximum of 4.5%. If no interest is earned, no interest shall be credited.
(3) 
By entering into the DROP, each DROP participant holds the Township harmless for any tax, investment, financial or other consequences of the DROP program or the DROP participant's participation therein.
E. 
Cost to participants and Township.
(1) 
The original costs for starting the DROP, as well as the costs of administering the DROP program as a whole, will be paid by the Township and/or the plan, as decided by the Township.
(2) 
Any costs incurred by an individual DROP participant's DROP account will be paid by the DROP participant.
F. 
Benefit calculation. After execution of the DROP notice, the DROP participant shall cease earning or accruing additional years of continuous service for pension purposes. The average compensation for pension calculation purposes shall remain as it existed upon the DROP date, and the member's pension benefits shall only increase as a result of governing cost-of-living adjustments.
G. 
Distribution. Upon the resignation date set forth in the DROP participant's DROP notice, or such date as the Township otherwise separates the DROP participant from employment (the "distribution date"), the retirement benefits payable to the DROP participant shall no longer be paid to the DROP participant's DROP account. Within 30 days of the distribution date, the balance of the DROP participant's DROP account shall be paid to the DROP participant in a lump sum, or in a manner permitted by law and otherwise directed, in writing, by the DROP participant.
H. 
Disability. The Township, association, and all DROP participants recognize the unique nature of the DROP program and the benefits that it offers to the DROP participant and the Township. Such benefits for the Township, however, are based on the DROP participant being able to work to provide the Township with the benefit of his experience. It is recognized that if the DROP participant cannot work by providing police services for the Township, the Township will suffer a significant burden, and the purpose and intent behind the DROP program will not be fulfilled to the detriment of the taxpayers of the Township and the Township. Accordingly, in light of those acknowledgements and concerns:
(1) 
If a DROP participant becomes temporarily disabled during his DROP participation period, the DROP participant shall continue to participate in the DROP program as if fully employed. Such participant shall receive disability benefits (including heart and lung benefits, if eligible and such benefits are applicable) in the same amount and under the same terms as disabled police officers that are not participating in DROP except:
(a) 
If a DROP participant is still temporarily disabled and has not returned to work as of the resignation date stated on the DROP notice, such participant shall be required to resign on his resignation date and shall begin to receive directly the same monthly pension benefit payment as calculated at the beginning of the DROP participation period. Such officer shall not be entitled to any other benefit, disability payment, or monthly disability pension benefit from the plan or the Township, except that the normal retirement benefit that was previously deposited into the DROP account shall be paid directly to the DROP participant.
(2) 
If a DROP participant is determined to have a permanent disability as defined by Chapter 23, Article I, of the Franconia Township Code during the DROP participation period (whether due to a work-related or non-work-related injury), the participant shall immediately be honorably discharged from employment and shall terminate his DROP participation.
(a) 
If the injury has been deemed to be work related according to the terms of the plan, the DROP participant shall begin to receive the service-connected disability benefit under the plan, to the extent permitted by law, as calculated at the beginning of the DROP participation period, and shall receive payment of his DROP account in accordance with this agreement.
(b) 
Alternatively, if the injury is deemed to be non-work related, the DROP participant shall begin to receive directly his normal monthly pension benefit as calculated at the beginning of the DROP participation period, and payment of his DROP account in accordance with this agreement.
I. 
Forfeiture. A member who has been convicted or pleads guilty to criminal misconduct which constitutes a crime related to public office or public employment, as defined by the Pennsylvania Pension Forfeiture Act, 43 P.S. 1311 through 1314, shall forfeit all rights to receive a pension, including (without limitation) any right to receive any amount in a DROP account.
J. 
Death. If the member dies during the DROP participation period, the DROP beneficiary designated on such DROP participant's DROP notice shall have the same right as the DROP participant to withdraw the balance of the DROP account according to the following provisions:
(1) 
If a member dies during his DROP participation period and a killed-in-service death benefit is determined to be payable in accordance with Act 51 of 2009 (which amended Emergency and Law Enforcement Personnel Death Benefits Act by creating a killed-in-service benefit applicable to municipal law enforcement officers and repealed the killed-in-service benefit in Act 600, as amended by Act 30 of 2002) to the member's survivors, the DROP participant's DROP election shall be revoked, the DROP participant's named DROP beneficiary shall be entitled to a lump-sum payment of the DROP account balance, the DROP participant's monthly retirement benefit shall cease and there shall be no survivor's benefit payable under the Plan.
(2) 
If death occurs during the DROP participation period but the killed-in-service death benefit under Act 51 of 2009 (as defined above) is deemed to be not payable, the DROP participant's DROP election shall be revoked, the DROP participant's named DROP beneficiary shall be entitled to a lump-sum payment of the DROP account balance, and the DROP participant's surviving spouse or beneficiary as described in § 23-9 of the plan shall receive the survivor's benefit, if any, in accordance with and as permitted by the plan.
A. 
This article shall become effective immediately.
B. 
All ordinances, or parts of ordinances, inconsistent with the provisions of this article are hereby repealed, except for any ordinance provisions mandated by the Internal Revenue Code.
[Adopted 9-17-2007 by Ord. No. 350[1]]
[1]
Editor's Note: This ordinance also repealed former Article II, Pension Fund for Nonuniformed Personnel, adopted 12-29-1980 by Ord. No. 99, as amended.
For the purposes of this article, the following definitions shall apply:
ACCRUED BENEFIT
An amount equal to 1.5% of average monthly compensation multiplied by full and partial years of service rendered after January 1, 2014, plus 1% of average monthly compensation multiplied by full and partial years of service rendered prior to January 1, 2014.
[Amended 2-19-2019 by Ord. No. 402]
AGE
Age at nearest birthday.
AVERAGE MONTHLY COMPENSATION
The average of a member's monthly compensation over the last five highest consecutive years of service out of the last 10 years of service.
COMPENSATION
W-2 compensation, excluding buybacks, severance pay and lump-sum bonuses such as longevity pay and education incentives.
EMPLOYER
Franconia Township, Montgomery County, Commonwealth of Pennsylvania.
FUND
Franconia Township Nonuniformed Employees Pension Plan Trust Fund.
MEMBERS
All municipal employees who meet the requirements set forth in § 23-16 of this article. The masculine pronoun will include the feminine.
MUNICIPALITY
Franconia Township, Montgomery County, Commonwealth of Pennsylvania.
PLAN
Franconia Township Nonuniformed Employees Pension Plan. The plan's fiscal year is the calendar year.
TOWNSHIP
Franconia Township, Montgomery County, Commonwealth of Pennsylvania.
YEAR OF SERVICE
Any calendar year in which 1,000 or more hours of service are performed.
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 Franconia Township which may be required after appropriate approval of the Township Board of Supervisors.
B. 
Member contributions.
C. 
State aid received pursuant to the Municipal Pension Plan Funding Standard and Recovery Act (Act 205).[1]
[1]
Editor's Note: See 53 P.S. § 895.101 et seq.
D. 
Gifts, grants, devises or bequests: the sums which may be received by Franconia Township, to the extent authorized by law, and be contributed to such fund so long as prior approval of the Township Board of Supervisors is obtained.
E. 
Any other sums received by or contributed to the Franconia Township Board of Supervisors, to the extent authorized by law, and with prior approval of the Township Board of Supervisors.
A. 
Pension Committee.
(1) 
The general administration and management of the plan shall be under the direction of a Pension Committee ("Committee") as appointed by the Franconia Township Board of Supervisors. The Committee shall consist of five individuals appointed by resolution by the Township Board of Supervisors. Any member of the Committee may resign upon written notice to the Township Board of Supervisors and the Committee.
(2) 
The Pension Committee shall have complete control of the administration of the plan and shall have all powers necessary to enable it to properly carry out its duties, including but not limited to the power to construe the provisions of the fund, 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.
B. 
Trustee.
(1) 
The fund shall be under the direction of a trustee designated by resolution by the Franconia 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 article. 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 Township Board of Supervisors by ordinance or by resolution.
(2) 
The trustee shall have full power and authority, by a majority action of its members 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 participants hereunder any and all powers and discretions necessary to implement and effectuate the purposes of this article, including, for purposes of illustration, but not limited to, any of the following:
(a) 
To hold, invest and reinvest all funds received pursuant to this article and such legal investments as may be authorized as legal investments under the laws of the Commonwealth of Pennsylvania;
(b) 
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
(c) 
To make distribution of the monies in the fund, in accordance with the terms of this article.
(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 Township Board of Supervisors.
A. 
Each full-time nonuniformed employee (regularly working not less than 40 hours per week during the calendar year) hired prior to January 1, 2019, who has attained their 18th birthday and who is employed by the employer is eligible to participate and shall be a member in the Franconia Township Nonuniformed Employees' Pension Plan and Fund as of his date of hire.
[Amended 2-19-2019 by Ord. No. 402]
B. 
A member shall retain membership status until he separates from service. Any member who separates from service shall cease to be a member and shall, if he returns to service, requalify after completing the eligibility requirements of this section.
C. 
For the purposes of this section, "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:
(1) 
Temporary leave of absence or layoff which shall, if not otherwise stated, expire in six months unless sooner renewed;
(2) 
Absence during which regular remuneration is paid; and
(3) 
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.
A. 
The benefits from the fund shall be payable to members who have served in the Township in a full-time capacity and who meet the following requirements, after which the member may retire from service with the employer. Benefits commence on the first day of the month coincident with or next following actual retirement.
B. 
"Normal retirement date" shall mean the first of the month coincident with or next following the attainment of the 65th birthday.
A. 
The amount of annual pension to members retiring under § 23-17 shall be equal to the accrued benefit. However, the guaranteed projected normal retirement benefits described in prior Ordinance No. 264, § 4.01, shall remain in full force and effect.
B. 
The normal form of annuity under this plan is a 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:
(1) 
A lifetime annuity.
(2) 
A joint and 50% survivor annuity. This is actuarially equivalent to a life annuity and is for married members, unless the member elects otherwise and the spouse consents in writing to another form of payment.
(3) 
A ten-year certain and continuous annuity.
(4) 
Any other alternative form requested by the member which is approved by the Employer.
(5) 
If the actuarially equivalent lump sum value of the benefit is $5,000 or less, the benefit can be paid as a lump sum.
C. 
Notwithstanding the above, 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 a deferred retirement.
D. 
Actuarial equivalency shall be determined using the actuarial assumptions used to fund the plan.
A member who has reached his 55th birthday may retire at any time at his own election. The benefit is payable on the first of the month coincident or next following early retirement and shall equal the accrued benefit actuarially reduced to the early retirement date.
A. 
A member shall become vested in accordance with the following schedule:
Years of Service
Vested Percentage
Each year
10%
10 or more years
100%
B. 
Upon termination of employment, a vested member shall be eligible to receive his monthly vested accrued benefit payable on his normal retirement date.
C. 
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 with interest, if such refund is greater in value than the actuarial equivalent of the accrued benefit.
A. 
The preretirement death benefit. Upon the death of a member prior to retirement, the actuarial equivalent of the accrued benefit shall become fully vested and shall be payable to a married member's spouse as a joint and 50% survivor annuity. If the member is not married at the time of his death prior to retirement, the actuarial equivalent of the accrued benefit shall become fully vested and shall be payable to the unmarried member's designated beneficiary as a life annuity or, if the lump sum value is $5,000 or less, as a lump sum.
B. 
The post-retirement death benefit shall be determined by the benefit payment elections made by the member at his retirement.
C. 
The post-retirement death benefit is determined by the form of annuity in effect.
A. 
If a member becomes totally and permanently disabled, such that he is unable to engage in any substantial employment, as determined by a physician chosen by the employer, he will become 100% vested in his accrued benefit payable as a life annuity.
B. 
Monthly disability benefit payments shall begin on the first day of the month coincident with or next following the date of disability. Such payments shall continue to the date of his death or the day following the date he is no longer totally and permanently disabled.
The pension payments provided for herein shall not be subject to attachment, execution, levy, garnishment or other legal process and shall be payable only to the member or his designated beneficiary. No member or his beneficiary shall have any right to alienate, encumber or assign any assets of the fund held by the trustee on his behalf, or any of the benefits or payments or agreement purchased or acquired by the Township hereunder.