As used in this subpart, the following terms shall have the meanings indicated:
ACCRUED BENEFIT
The amount of a police member's retirement benefit payable at his or her normal retirement date, or later date of actual retirement, determined under § 70-32 using such police member's years of contributory service and final average wages of such date.
ARMED FORCES
The Armed Forces of the United States, including the Army National Guard and the Air National Guard, the commissioned corps of the Public Health Service, and any other category of persons designated by the President in time of war or emergency. This definition shall not apply for purposes of determining any police member's armed forces benefit from the plan.
ARMED FORCES BENEFIT
The special benefit provided to police members who left service with the Town to perform service in the armed forces as described in § 70-32D.
BENEFICIARY
The individual, who shall be related to the police member, designated by the police member as his or her designated dependent for purposes of receiving benefits from the plan upon the police member's death as described in § 70-37.
BOARD OF DIRECTORS
The Board of Directors of the Town.
CONTRIBUTORY SERVICE
All of a police member's years of employment prior to retirement, death or termination of employment, during which the police member was making contributions to the plan, including periods of approved leaves of absence from such employment. A partial year of contributory service shall include all completed months of service. Contributory service shall include the period for which workers' compensation payments are payable so long as contributions are made for such period pursuant to § 70-29.
DEFERRED RETIREMENT DATE
The first day of the month coinciding with or next following the date on which the police member elects to retire following the date on which the police member attains his or her normal retirement date as described in § 70-30E.
DEFINED CONTRIBUTION PLAN
The defined contribution retirement plan set forth in Article IV of this chapter.
DEPENDENT CHILD
A police member's unmarried child (or children):
A. 
Under the age of 18; or
B. 
Over the age of 18, if such child:
(1) 
Is physically or mentally incapacitated from engaging in gainful employment; and
(2) 
Is reported by the police member as a dependent for federal income tax purposes at the time of the police member's death.
DISABLED
A. 
A permanent and total disability which prevents the police member from engaging in or performing the regular duties of a sworn officer in the Police Department, which was not caused by willful misconduct on the part of the disabled individual, excluding police members who are:
(1) 
Probationary employees; or
(2) 
Police members retiring under § 70-33.
B. 
In no event shall "disabled" mean a disability for which the police member has made a claim for compensation under Connecticut Heart and Hypertension Statutes.
EMPLOYEE
A. 
Includes any regular, full-time employee of the Town employed as sworn police personnel.
B. 
"Employee" does not include any individual who is:
(1) 
Employed on a part-time seasonal basis; or
(2) 
Compensated solely on a fee basis.
EMPLOYER
The Town.
FINAL AVERAGE WAGES
The average of a police member's wages over his highest paid three calendar years of contributory service with the Town. If a police member retires prior to the end of a calendar year, his or her wages for any full months of employment during such final partial calendar year of employment shall be included in the determination of the police member's final average wages in addition to the police member's wages during his or her three highest paid calendar years of contributory service. If any such additional months of employment are considered in calculating final average wages, final average wages shall be determined by:
A. 
Dividing:
(1) 
The police member's wages over the highest paid three calendar years of contributory service with the Town, plus the wages earned during any full months of employment during the police member's final year of employment; by
(2) 
Thirty-six, plus the number of full months of employment in the police member's final year of employment; and
B. 
Multiplying the result by 12.
INTERNAL REVENUE CODE
The Internal Revenue Code of 1986, as such has been and as such may be amended from time to time, and any regulations promulgated thereunder and interpretations thereof as such may affect this Subpart C.
MANDATORY CONTRIBUTIONS
The contributions required to be made to the plan as a condition of a police member's employment with the employer.
NORMAL RETIREMENT DATE
The earlier of:
A. 
The date of the police member's 50th birthday; or
B. 
The date the police member completes 25 years of contributory service with the Police Department.
C. 
For police members hired on or after March 7, 2017, the earlier of:
(1) 
The police member's 53rd birthday; or
(2) 
The police member's completion of 25 years of contributory service with the Police Department.
PENSION BOARD
The board described in § 70-51 responsible for the management, administration and control of the plan.
PLAN
The Pension Ordinances of the Town, as they may be amended and restated from time to time.
PLAN YEAR
The twelve-month period beginning each July 1 and ending each June 30.
POLICE DEPARTMENT
The Town's Police Department.
POLICE MEMBER
A member who is employed as sworn police personnel by the Police Department.
REQUIRED BEGINNING DATE
The later of:
A. 
The April 1 of the calendar year following the calendar year in which a police member attains age 70 1/2; or
B. 
The April 1 of the calendar year following the calendar year in which a police member retires.
RETIREMENT
A police member's commencement of normal or deferred retirement benefits following his or her termination of employment in accordance with § 70-30.
RETIREMENT ALLOWANCE FUND
A separate fund consisting of contributions made by police members of the plan, appropriations made to the plan by the Board of Directors, and earnings and losses thereon.
SPOUSE
The person, if any, to whom the police member is lawfully married.
TOWN
The Town of Manchester, Connecticut.
UNAFFILIATED EMPLOYEE
Any employee of the Town who is not a member of a collective bargaining unit recognized by the Town for purposes of this plan.
WAGES
A police member's salary or wages, including overtime pay, any salary reduction amounts under Sections 125, 414(h) and 457 of the Internal Revenue Code, and qualified transportation fringes as set forth in Section 132(f)(4) of the Internal Revenue Code, but exclusive of workers' compensation, any maintenance payments and other special payments or remuneration, including private duty pay. Wages shall not include wages of any police member in excess of $275,000, increased as permitted under Section 401(a)(17) of the Internal Revenue Code, to reflect cost-of-living adjustments. For police members hired on or after March 17, 2017, workers' compensation payments shall be included in wages and overtime pay shall be excluded.
WARTIME SERVICE
Active military service during periods of war or armed conflict measured in completed calendar months.
A. 
Participation.
(1) 
Police members hired prior to March 7, 2017, shall automatically participate in this Subpart C of the plan commencing on the first day of the month coinciding with or next following the date of hire.
(2) 
Police members hired on or after March 7, 2017, shall make an irrevocable election to participate in this Subpart C of the plan or the Defined Contribution Plan. Such election shall be made within 30 days of the date the employee's employment commences, with such election becoming effective on the first day of the month coinciding with or next following the date of such election.
B. 
Exclusions. A police member who elects to participate in the Defined Contribution Plan shall be permanently ineligible to participate in this plan.
A. 
Police members shall be required to make mandatory contributions to the plan from their wages in accordance with the provisions of this Subpart C.
B. 
Mandatory contributions shall be deposited into the Retirement Allowance Fund. A police member shall deposit no money, other than authorized payroll deductions, into the Retirement Allowance Fund.
C. 
A police member shall be required to authorize the Town to deduct as mandatory contributions an amount equal to 8.5% of his or her wages from his or her pay each pay period, provided that for this purpose for police members hired on or after March 7, 2017, wages shall only include base wages and shall not include overtime, salary reductions, and qualified transportation fringes. Workers' compensation payments shall require the payment of 8.5% of such payments through salary withholding (for claims prior to January 6, 2017, such withholding must be agreed to prior to January 1, 2018).
D. 
Police members with 33 1/3 or more years of contributory service with the Town shall not be required to make any further mandatory contributions to the plan.
E. 
Picked-up contributions.
(1) 
Pursuant to the provisions of Section 414(h)(2) of the Internal Revenue Code, the Town shall pick up and pay the mandatory contributions described in Subsection C above, which would otherwise be payable by police members on an after-tax basis. Such picked-up mandatory contributions shall be treated as contributions made by the employer for purposes of determining the amounts of federal income tax to withhold from each police member's salary.
(2) 
Mandatory contributions picked up by the Town shall be paid from the same source of funds used for the payment of salaries to police members. A deduction shall be made from each police member's pay equal to the amount of the police member's mandatory contributions to be picked up by the Town, provided that such deduction shall not reduce the police member's pay for purposes of computing benefits under this plan.
(3) 
Mandatory contributions picked up by the Town shall be credited to a separate account within each police member's individual contribution account, so that amounts contributed by the police member on an after-tax basis before July 1, 1991, may be distinguished from the mandatory contributions picked up by the Town on behalf of the police member.
A. 
A police member shall be eligible to retire and begin receiving benefits from the plan on his or her normal retirement date.
B. 
A police member may be eligible to retire on a date other than his or her normal retirement date to the extent provided under this Subpart C.
C. 
A police member who wishes to retire and begin receiving benefits from the plan shall be required to make written application to the Pension Board at least 30 days prior to his or her desired normal or deferred retirement date. Benefits shall not commence until 30 days after a completed application is received and approved by the Pension Board. A police member must include with such retirement application evidence of his or her date of birth, and, if applicable, evidence of the date of birth of his or her spouse or beneficiary.
D. 
Normal retirement. A police member shall be eligible to retire and begin receiving benefits from the plan on his or her normal retirement date.
E. 
Deferred retirement for police members.
(1) 
Each police member must retire and begin to receive pension benefits no later than the first day of the month following his or her 60th birthday. In exceptional cases, the General Manager of the Town, upon written request of a police member received at least three months prior to such police member's 60th birthday, may extend that police member's employment for an additional six months beyond his or her 60th birthday. The General Manager's failure to approve such a request by a police member shall be final and binding and shall not be subject to judicial or administrative appeal.
(2) 
Notwithstanding the foregoing, the Chief of Police shall be retired on the day following his or her 65th birthday, except that the Chief of Police may, at his or her request and with the annual approval of the General Manager, be retained as Chief of Police beyond such date.
(3) 
The General Manager shall give written notice to the Pension Board of all employment extensions that are approved. If a police member continues to work beyond his or her normal retirement date with approval of the General Manager, pension benefits shall be deferred until the first day of the month following his or her termination of employment.
A. 
Service purchase if attained normal retirement age prior to December 31, 2010.
(1) 
A police member who attained normal retirement age prior to December 31, 2010, shall be permitted to purchase additional years of contributory service to be considered in calculating the police member's benefit as described in this Subsection A.
(2) 
A police member who is eligible for a payout of accrued sick, vacation or annual leave upon retirement may elect to purchase additional years of contributory service with such leave. A police member may purchase one year of contributory service for purposes of eligibility and benefit accrual in exchange for 50 days of accrued sick, vacation or annual leave for which he or she would be paid at retirement. The maximum number of years of contributory service that may be purchased under this Subsection A(2) is three years.
(3) 
A police member may also elect to purchase additional years of contributory service with amounts transferred to the plan from a Section 403(b) plan or Section 457(b) plan of a governmental employer. A police member may purchase one year of contributory service for purposes of eligibility and benefit accrual in exchange for transferring to the plan an amount equal to 30% of the police member's current wages for the year in which the additional contributory service is purchased.
(4) 
The maximum combined number of years of contributory service that may be purchased for eligibility and benefit accrual purposes under this Subsection A is four years.
B. 
Service purchase for wartime service.
(1) 
A police member shall be eligible to purchase up to four years of contributory service for each year of his or her wartime service, at a rate and in a manner determined by the Town's actuary and the Pension Board. Such contributory service must be purchased within 60 days of the police member's date of hire.
(2) 
A police member may purchase years of contributory service for wartime service with amounts transferred to the plan from a Section 403(b) plan or Section 457(b) plan of a governmental employer. A police member may purchase one year of contributory service for each year of wartime service for purposes of benefit accrual in exchange for transferring to the plan an amount equal to 30% of the police member's current wages for the year in which the additional contributory service is purchased. The maximum amount of wartime service that may be purchased under this Subsection B(2) shall be one year of contributory service. Police members hired on or after March 7, 2017, who had prior wartime service are not allowed to purchase prior contributory service except as provided in Subsection C.
(3) 
Police members who were members of the plan prior to becoming employed by the Police Department shall be allowed to purchase not more than four years of prior contributory service at a rate and in a manner determined by the plan's actuary and the Pension Board. A police member who has prior contributory service time as a member shall be allowed, within 60 days after his or her date of hire, to purchase such prior contributory service.
(4) 
Contributory service purchased under this Subsection B shall not count toward eligibility for any benefit, and shall only be considered for benefit accrual purposes.
C. 
Service credit for periods of qualified military service. A police member who performs qualified military service [as that term is defined in Section 414(u) of the Internal Revenue Code] shall be entitled to receive contributory service credit for time spent in qualified military service as required under Section 414(u) of the Internal Revenue Code. The crediting of such contributory service shall be contingent upon the police member's payment of any police member contributions due for such period, as permitted under Section 414(u) of the Internal Revenue Code.
A. 
The amount of a police member's retirement benefit shall be determined under this Subpart C.
B. 
Notwithstanding the provisions of this subpart, in no event will a police member's benefit from the plan exceed the limitation on annual benefits set forth in § 70-36.
C. 
Normal retirement benefit. A police member who retires on his or her normal retirement date under § 70-34A shall be entitled to an annual benefit equal to 2.5% of his or her final average wages (2.25% of his or her final average wages for police members hired on or after March 7, 2017), multiplied by his or her number of full and partial years of contributory service (to a maximum of 33 1/3 years).
D. 
Armed forces benefit.
(1) 
A police member shall be eligible to receive a benefit for periods of military service performed prior to October 13, 1996. This benefit shall be in addition to the benefit determined under Subsection C above.
(2) 
Such benefit shall be payable for any period:
(a) 
Occurring prior to October 13, 1996;
(b) 
During which the police member left employment with the Town to perform compulsory military service in the armed forces, including the Merchant Marine Service of the United States; and
(c) 
During which a state of hostilities existed between the United States and any other country.
(3) 
Such additional benefit shall be equal to 1% of the police member's annual rate of pay on the date he or she left employment with the Town for such compulsory military service, multiplied by his or her full and partial years of compulsory military service meeting the requirements of Subsection D(2) above.
(4) 
To the extent a police member is eligible for an additional benefit for more than one period of military service described in Subsection D(2) above, the calculation set forth in Subsection D(3) shall be performed separately for each period of military service.
E. 
Deferred retirement benefit. A police member who continues to work beyond his or her normal retirement date in accordance with § 70-30 shall be entitled to a benefit calculated under Subsection C based on the police member's full and partial years of contributory service performed as of his or her deferred retirement date.
F. 
Maximum retirement benefit. Notwithstanding the provisions of Subsections C through E above, the maximum benefit payable to a police member from this plan shall be 68% of such police member's final average wages.
G. 
Minimum retirement benefit. Notwithstanding the provisions of Subsections C through F above, in no event shall a police member receive a monthly pension from the plan of less than $300 if:
(1) 
He or she retired with 15 or more years of contributory service; or
(2) 
He or she retired on or after his or her normal retirement date with 10 or more years of contributory service.
H. 
Cost of living adjustment.
(1) 
Notwithstanding any other provision of this § 70-32, the monthly pension benefit paid to a retired police member, or his or her beneficiary, who was receiving benefits on July 1, 1998, shall be increased by 2% of the benefit being paid on June 1, 2005, provided that the police member completed at least 15 years of contributory service.
(2) 
Notwithstanding any other provision of this § 70-32, effective July 1, 2007, the monthly pension benefit paid to a retired police member, or his or her beneficiary, who was receiving benefits on July 1, 2000, shall be increased by 2% of the benefit being paid on June 1, 2007, provided that the police member completed at least 15 years of contributory service.
(3) 
Notwithstanding any other provision of this § 70-32, effective July 1, 2009, the monthly pension benefit paid to a retired police member, or his or her beneficiary, who was receiving benefits on July 1, 2002, shall be increased by 2% of the benefit being paid on July 1, 2009, provided that the police member completed at least 15 years of contributory service.
(4) 
Notwithstanding any other provision of this § 70-32, effective July 1, 2011, the monthly pension benefit paid to a retired police member, or his or her beneficiary, and who was receiving benefits on July 1, 2004, shall be increased by 1% of the benefit being paid on July 1, 2011, provided that the police member completed at least 15 years of contributory service prior to termination of employment with the Town.
(5) 
Notwithstanding any other provision of this § 70-32, effective July 1, 2013, the monthly pension benefit paid to a retired police member, or his or her beneficiary, and who was receiving benefits on July 1, 2006, shall be increased by 1% of the benefit being paid on July 1, 2013, provided that the police member completed at least 15 years of contributory service prior to termination of employment with the Town.
(6) 
Notwithstanding any other provision of this § 70-32, effective July 1, 2015, the monthly pension benefit paid to a retired police member, or his or her beneficiary, and who was receiving benefits on July 1, 2008, shall be increased by 1% of the benefit being paid on July 1, 2015, provided that the police member completed at least 15 years of contributory service prior to termination of employment with the Town.
(7) 
Notwithstanding any other provision of this § 70-32, effective July 1, 2017, the monthly pension benefit paid to a retired police member, or his or her beneficiary, and who was receiving benefits on July 1, 2010, shall be increased by 1% of the benefit being paid on July 1, 2017, provided that the police member completed at least 15 years of contributory service prior to termination of employment with the Town.
A. 
A police member's eligibility for a retirement benefit due to his or her disability, and the amount of any such benefit, shall be determined under this Subpart C.
B. 
Disability retirement benefits and workers' compensation.
(1) 
In the event that a police member becomes disabled and is entitled to a lump sum workers' compensation settlement payment from the Town due to his or her disability in lieu of any other benefits under the plan, the Pension Board may direct the lump sum payment of such settlement amount, or any portion thereof identified by the actuary for the plan as attributable to benefits under the plan, to such police member.
(2) 
Any such lump sum under Subsection B(1) shall be paid from the plan:
(a) 
To the police member, in a single lump sum payment; or
(b) 
To the Town, in a single lump sum payment, in which case the Town shall make the workers' compensation settlement payment from its general assets and the payment from the plan under this Subsection B(2)(b) shall represent reimbursement to the Town of the police member's workers' compensation settlement payment.
(3) 
Police members who are eligible to receive payment in accordance with the Connecticut Workers' Compensation Act,[1] and who have said payments suspended or terminated for failure to adhere to the provisions of the Workers' Compensation Act, shall not be eligible to receive disability payments from the plan.
[1]
Editor's Note: See Connecticut General Statutes § 31-275 et seq.
C. 
Application for disability payments; term of payments.
(1) 
A police member who wishes to apply for disability benefits from the plan must make an application to the Pension Board within one year of the date on which his or her active service with the Town terminates due to his or her becoming disabled. Upon receipt of such application, the Pension Board shall determine:
(a) 
Whether the police member is disabled;
(b) 
Whether the police member is qualified to receive a disability benefit; and
(c) 
The amount of the disability benefit, if any, to which the police member is entitled.
(2) 
A police member who is found to be entitled to receive a disability benefit under Subsection C(1) above shall begin receiving such benefit on the first day of the month coincident with or next following the date on which the police member's application is approved by the Pension Board.
(3) 
A police member's last disability benefit payment shall be due and payable on the earlier of:
(a) 
The first day of the month preceding the date of the police member's death; or
(b) 
The first day of the month preceding the date on which the Pension Board rules that the police member has ceased to be disabled.
D. 
Eligibility for disability payments. A police member who becomes disabled shall have the option, to be exercised by filing a written application with the Pension Board, to receive monthly disability payments while he or she is disabled, provided that he or she:
(1) 
Becomes disabled during the performance of essential duties pertaining to employment by the Town and while acting in the scope of such employment, regardless of his or her years of contributory service; or
(2) 
Becomes disabled under circumstances unrelated to employment while employed by the Town, and has completed at least five years of contributory service as of the date he or she becomes disabled.
E. 
Amount of disability benefit.
(1) 
A police member shall be entitled to monthly payments while he or she is disabled equal to the amount of his or her benefit calculated under § 70-32C, provided that the monthly payment made to such police member shall not exceed 1/12th of 50% of the police member's final average wages as of the date he or she became disabled, as determined by the Pension Board in its discretion.
(2) 
For purposes of determining a police member's benefit under Subsection E(1), years of contributory service shall be determined as of the date the police member becomes disabled.
F. 
Restrictions on amount of disability benefit.
(1) 
In no event shall the total of the police member's benefit under this § 70-33 and earnings received from an employer other than the Town (including self-employment) exceed the salary currently payable to an individual in the position occupied by the police member in the Police Department at the time he or she became disabled.
(2) 
The Pension Board shall periodically review the salary and pension amount of disabled police members to determine if such police member's benefit and earnings exceed the salary restriction described in this Subsection C, and shall cease monthly pension payments to the extent that such cessation is required to eliminate payments in excess of the salary restriction. The Pension Board shall have the right to require, at any time, information necessary to verify the salary earned by the police member. If such police member shall fail to present information satisfactory to the Pension Board, a hearing will be scheduled, at which time the police member may present additional information to the Pension Board. A majority of the members of the Pension Board shall be present at the hearing, and said members of the Pension Board may vote to terminate disability payments. The decision of the Pension Board will be final and conclusive as to any parties in interest.
G. 
Initial and continuing evidence of disability.
(1) 
The Pension Board shall have the right to require, on each anniversary of the date of commencement of disability payments to a police member, evidence of the continuance of such police member's disabled status.
(2) 
As part of this process, the Pension Board may require the police member to submit to a medical exam by a physician of the Pension Board's choosing to determine if the police member continues to be disabled.
(3) 
If the police member fails to present evidence satisfactory to the Pension Board that the police member continues to be disabled on each such anniversary, or fails to submit to a medical examination as required by the Pension Board, the police member's disability benefits shall be terminated with respect to the police member retroactive to the date of such anniversary.
(4) 
If the Pension Board determines that a police member is no longer disabled, the police member shall have the right to request a hearing before the Pension Board, at which he or she may present further evidence of his or her disabled status. Any such hearing will be held by the Pension Board within a reasonable period of time following the receipt of a written request for a hearing from the police member.
A. 
Commencement of benefits. Payment of a police member's accrued benefit shall begin no later than the 60th day of the Plan Year following the Plan Year in which the police member's normal retirement date, or, if later, the police member's actual retirement date, occurs. In all cases, distributions shall commence no later than the police member's required beginning date.
B. 
Distribution of benefits.
(1) 
Notwithstanding §§ 70-36 and 70-37, the requirements of this section shall apply to any distribution of a police member's accrued benefit and will take precedence over any inconsistent provisions of this plan.
(2) 
All distributions required under this section shall be determined and made in accordance with the regulations under Section 401(a)(9) of the Internal Revenue Code, including the minimum distribution incidental benefit requirement of Section 1.401(a)(9)-6 of the regulations of the Internal Revenue Code.
(3) 
Any additional benefits accruing to the police member after his or her required beginning date shall be distributed as a separate and identifiable component of the annuity beginning with the first payment interval ending in the calendar year immediately following the calendar year in which such amount accrues.
(4) 
Any amount paid to a child of the police member will be treated as if it had been paid to the surviving spouse of the police member if the amount becomes payable from the plan on the date the child reaches the age of majority (or other designated event permitted under the Internal Revenue Code).
A. 
Normal form of benefit. The normal form of benefit shall be a single life annuity. Such single life annuity shall provide an unreduced monthly payment during the lifetime of the police member, with the last payment made for the month in which the police member dies.
B. 
Optional forms.
(1) 
A police member may request that benefits payable from the plan be paid in one of the following optional forms rather than the normal form described in Subsection A:
(a) 
A 100% joint and survivor annuity, with reduced monthly benefit payments payable to the police member during his or her life and payments made following the police member's death in the same amount to the police member's beneficiary for the remainder of such beneficiary's life.
(b) 
A 50% joint and survivor annuity, with reduced monthly benefit payments payable to the police member during his or her life and with payments made following the police member's death in an amount equal to 50% of the monthly benefit payable to the police member to the police member's beneficiary for the remainder of such beneficiary's life.
(2) 
A police member who elects to receive his or her benefit in an optional form must make such election and designate his or her beneficiary on the form required by the Pension Board. Such form must be filed with the Pension Board at least 30 days prior to the police member's desired retirement date.
(3) 
If a police member's beneficiary dies before a police member's actual retirement date, the police member's election of an optional form of benefit shall be canceled and the police member shall receive his or her benefit in the normal form described in Subsection A. Once benefit payments commence, a police member may not change his or her chosen form of benefit or beneficiary.
(4) 
The Pension Board shall require that a police member furnish satisfactory evidence of good health if a police member's written election of an optional form of benefit is made within the one-year period prior to the police member's actual retirement date.
C. 
Calculation of benefit for optional forms.
(1) 
The amount of a police member's benefit in the 100% joint and survivor annuity form is calculated by multiplying the amount of the police member's benefit in the normal form, described in § 70-35A, times the sum of:
(a) 
The age of the police member, measured in whole years (determined as of the police member's last birthday); minus
(b) 
The age of the police member's beneficiary, measured in whole years (determined as of the beneficiary's last birthday); multiplied by
(c) 
0.006; and
(d) 
0.81.
(2) 
The amount of a police member's benefit in the 50% joint and survivor annuity form is calculated by multiplying the amount of the police member's benefit in the normal form, described in § 70-35A, times the sum of:
(a) 
The age of the police member, measured in whole years (determined as of the police member's last birthday); minus
(b) 
The age of the police member's beneficiary, measured in whole years (determined as of the beneficiary's last birthday); multiplied by
(c) 
0.004; and
(d) 
0.90.
D. 
Rollover of benefit.
(1) 
The Pension Board shall furnish each police member, no less than 30 days and no more than 90 days prior to the date such police member will receive a distribution which is not paid in the form of an annuity or in installments over a period of more than 10 years, with a written explanation of his right to elect a direct rollover and the withholding consequences of not making such election. A police member may waive the thirty-day time period set forth above.
(2) 
Unless a police member elects a direct rollover, as defined in Subsection D(3) below, 20% of the amount of the taxable portion of any applicable distribution shall be subject to Internal Revenue Service income tax withholding. If the taxable portion of a police member's distribution does not exceed $200 (or such other amount as prescribed by the Internal Revenue Service), the foregoing withholding requirement shall not apply.
(3) 
A "direct rollover" is an eligible rollover distribution as defined in Treasury Regulations issued pursuant to Section 401(a)(31) or 402(c) of the Internal Revenue Code that is paid directly to:
(a) 
An individual retirement account described in Section 408(a) of the Internal Revenue Code;
(b) 
An individual retirement annuity described in Section 408(b) of the Internal Revenue Code;
(c) 
An annuity plan described in Section 403(b) of the Internal Revenue Code;
(d) 
An eligible plan under Section 457(b) of the Internal Revenue Code maintained by a state, political subdivision of a state, or any agency or instrumentality of a state or political subdivision of a state; or
(e) 
A qualified plan described in Section 401(a) or 403(a) of the Internal Revenue Code that accepts the eligible rollover distribution.
(4) 
A police member may not elect a direct rollover of a distribution that does not exceed $200 ($500 if the police member is electing a direct rollover of only a portion of his benefit). A police member electing a direct rollover shall be required to furnish the Pension Board with adequate information with respect to the recipient plan, including, but not limited to, the name of the recipient plan and a representation that the recipient plan is an eligible individual retirement plan or qualified defined contribution plan and that it will accept the police member's direct rollover. If a police member fails to elect a direct rollover or provide the Pension Board with adequate information in order to make a direct rollover prior to the date distribution is to be made to such police member, such police member shall be deemed not to have elected a direct rollover.
(5) 
The foregoing requirements of this Subsection D shall apply to distributions made to the spouse of a police member as a result of the death of the police member or pursuant to a qualified domestic relations order as defined in Section 414(p) of the Internal Revenue Code.
A. 
Generally. The statutory maximum amount of annual pension payments made during any limitation year shall be determined in accordance with Subsection B. The term "limitation year" shall mean the calendar year, and the term "compensation" shall be defined as set forth in Section 415 of the Internal Revenue Code.
B. 
Basic limitation. Regardless of other provisions of the plan, other than Subsections C, D and E below, the amount of normal retirement income payable hereunder for any limitation year shall not exceed $215,000, as adjusted from time to time under Section 415(d) of the Internal Revenue Code.
C. 
Secondary limitations. The basic limitation in Subsection B shall be reduced or increased, as applicable, for the following situations:
(1) 
Commencement of payments prior to age 62. In the case of a benefit beginning prior to the police member's attainment of age 62, the limitation of $215,000 shall be actuarially reduced so that it is the actuarial equivalent (on the basis of an interest rate assumption not less than the greater of 5% or the rate specified in the plan) to an annual benefit of $210,000 beginning at age 62.
(2) 
Commencement of pension payments after age 65. In the case of a benefit beginning after the police member attains age 65, the limitation of $215,000 shall be actuarially increased so that it is the actuarial equivalent (on the basis of an interest rate assumption not greater than the lesser of 5% or the rate specified in the plan) to a benefit beginning at the police member's attainment of age 65.
D. 
Limitation if less than 10 years' participation. The limitation in Subsection B shall be reduced in the case of any police member who has had less than 10 years of participation in the plan by multiplying the limitation by a fraction, the numerator of which is the number of years (or part thereof) of participation in the plan and the denominator of which is 10.
E. 
Exceptions to basic limitation.
(1) 
The limitation in Subsections B and C above shall not be applied to reduce the benefit of any police member below $10,000, except in the case of a police member who has at any time been a member in a defined contribution plan maintained by the employer or as provided in Subsection D.
(2) 
The limitations described in Subsections C(1) and D shall not apply if a benefit is payable from the plan due to:
(a) 
The police member becoming disabled by reason of personal injuries or sickness; or
(b) 
The death of the police member, if such benefit is payable to the beneficiaries, survivors, or the estate of a police member.
(3) 
The limitation described in Subsection C(1) shall not apply to a police member if the period of contributory service taken into account in determining the amount of the benefit payable from this plan includes at least 15 years of contributory service of the police member as a full-time employee of the Town's Police Department.
F. 
Cost-of-living limitation adjustment. If the Secretary of the Treasury shall, by regulations, have raised the limitation of $215,000 of Subsection B above to reflect increases in the cost of living, the limitation in effect at the time of a police member's commencement of benefits shall be applied.
G. 
"Annual benefit" defined. For the purpose of Subsection B above, "annual benefit" means the benefit payable to a police member from the plan in the form of a straight life annuity with no ancillary benefits. If the annual benefit is payable in any form other than a straight life annuity with no ancillary benefits, then for purposes of applying the general limitations of Subsection B above, the annual benefit shall be adjusted, using an interest rate assumption not less than the greater of 5% or the interest rate specified in the plan, to take into account the payment of a pension in such other form; provided, however, that no adjustment shall be required by reason of benefits not directly related to retirement or by reason of payment of that portion of any joint and survivor annuity which constitutes a qualified joint and survivor annuity within the meaning of Section 417 of the Internal Revenue Code.
H. 
Participation in more than one defined benefit plan. If the police member participated in more than one defined benefit plan maintained by the Town, regardless of whether any such plans are terminated, the statutory maximum pension payments shall be determined as if there was just one defined benefit plan, but the pension payments so determined will apply on a pro rata basis between, or among, such plans.
I. 
Applicability of limits to police members hired before 1990. Protection of prior accrued pension payments. The dollar limitations described in this § 70-36 shall not apply to the benefit of a police member who began participating in the plan prior to January 1, 1990 (determined without regard to any amendment of the plan made after October 14, 1987).
A. 
A police member's eligibility for, and the amount of, any death benefit payable due to the police member's death prior to retirement shall be determined under this Subpart C.
B. 
Death after retirement. Upon the death of a police member who is receiving or has received retirement benefits, including disability payments, in the normal form described in § 70-35A, a lump sum death benefit shall be paid to the police member's beneficiary. The amount of the lump sum death benefit, if any, will equal:
(1) 
The police member's total contributions, comprised of:
(a) 
The total contributions made by the police member prior to July 1, 1983, with compound interest at the rate of i) 3% per year for the period from the January 1 following the date the contribution was made through the date retirement benefits or disability payments commenced or, if earlier, January 1, 1984, and ii) 5% per year for the period from January 1, 1984, through the date such payments commenced; plus
(b) 
The total contributions made by the police member on and after July 1, 1983, with compound interest at the rate of 5% per year for the period from the January 1 following the date the contribution was made through the date retirement benefits or disability payments commenced.
(2) 
Reduced by the total amount of retirement benefits, including disability payments, paid to the police member by the plan prior to the police member's death.
C. 
Designation of beneficiary. The records of the Pension Board shall be conclusive as to whether a police member has elected a beneficiary with respect to the death benefit described in this section, and as to the identity of such beneficiary. If a police member has named more than one beneficiary, then, unless otherwise specifically provided, the death benefit, if any, shall be paid equally to each of the named beneficiaries surviving the police member. If no named beneficiary shall survive a police member, the death benefit, if any, shall be paid to the executors or administrators of the estate of such police member, except that, if the amount shall be less than $500, the death benefit may, at the option of the Director of Finance, be made in accordance with § 45a-273 of the Connecticut General Statutes.
D. 
Spouse as beneficiary. Any pension payments to a surviving spouse shall terminate as of the earlier of such spouse's death or remarriage, unless otherwise specified herein. No such benefits will be payable to the surviving spouse if a final decree of divorce of the spouse and police member has been entered at the time of the police member's death, except as provided pursuant to any applicable qualified domestic relations order.
E. 
The eligibility of a police member who dies while performing military service for a death benefit shall be determined under this § 70-37E. If a police member leaves employment with the employer to perform qualified military service and dies while performing such qualified military service, the police member's surviving beneficiary shall be entitled to the death benefit that would have been available under this Subpart C had the police member returned to employment following his qualified military service on the date of his death and dies on the next following day. For purposes of this § 70-37E, the term "qualified military service" shall be defined as set forth in Section 414(u) of the Internal Revenue Code.
F. 
If the beneficiary of a police member is neither the police member's spouse nor the police member's dependent child, such beneficiary shall receive a lump sum death benefit upon the death of the police member. No death benefit is payable from the plan under this Subsection F if the deceased police member commenced receiving benefits from the plan prior to his or her death.
(1) 
The amount of the lump sum death benefit, if any, will be equal to:
(a) 
The total contributions made by the police member prior to July 1, 1983, with compound interest at the rate of: i) 3% per year for the period from the January 1 following the date the contribution was made through the first of the month in which death occurs or, if earlier, January 1, 1984; and ii) 5% per year for the period from January 1, 1984, through the first of the month in which death occurs; plus
(b) 
The total contributions made by the police member on and after July 1, 1983, with compound interest at the rate of 5% per year for the period from the January 1 following the date the contribution was made through the first of the month in which death occurs.
G. 
Death benefit for police member's spouse or child beneficiary.
(1) 
If the beneficiary of a police member is the police member's spouse or, if the police member has no spouse, such police member's dependent child, such beneficiary may elect to receive the death benefit in a lump sum in accordance with Subsection F.
(2) 
If the beneficiary of a police member is the police member's spouse or, if the police member has no spouse, such police member's dependent child, and such police member had completed at least five years of contributory service at the time of his or her death, such beneficiary may elect to receive a monthly death benefit to be paid to the police member's spouse or, if there is no spouse, the dependent child, to commence as soon as administratively possible following the later of:
(a) 
The date of the police member's death, if:
[1] 
The police member was age 40 or older at the time of his or her death; or
[2] 
If the death benefit payments are to be made to the police member's dependent child, regardless of the police member's age at his or her death; or
(b) 
The date the deceased police member would have attained age 40.
(3) 
Such monthly death benefit shall be equal to 50% of the amount the police member would have been eligible to receive had he or she retired on the day of his or her death and elected to receive his or her benefit in the optional form described in § 70-35B(1)(b).
(4) 
The death benefit determined under Subsection G(3) above shall be reduced by 5% per year (0.4167% per month) for each year by which the police member's age at his or her death preceded age 50. However, this reduction shall not be applied, regardless of the police member's age, if the police member had completed 25 years or more of contributory service at the time of his or her death. The maximum reduction of a death benefit pursuant to this Subsection G(4) shall be 50%.
(5) 
Payments to a spouse of a deceased police member shall cease upon such spouse's remarriage. Payments to a dependent child of a deceased police member shall cease on the earlier of the date such dependent child attains age 18 or is married, unless such dependent child:
(a) 
Is physically or mentally incapacitated from engaging in gainful employment; and
(b) 
Is reported by the police member as a dependent for federal income tax purposes at the time of the police member's death.
(6) 
Any amounts payable to a dependent child pursuant to this section shall be made to his or her legal guardian or, if the dependent child has no legal guardian, to such other person designated by the Pension Board.
(7) 
No death benefit is payable from the plan under this Subsection G if the deceased police member commenced receiving benefits from the plan prior to his or her death.
A. 
Lump sum payment.
(1) 
A police member who ceases to be employed by the Town before he or she is eligible for early retirement benefits from this plan may, upon written request to the Pension Board, withdraw:
(a) 
The total contributions made by him or her prior to July 1, 1983, with compound interest at the rate of: i) 3% per year for the period from the January 1 following the date the contribution was made through the first of the month in which the withdrawal request is received by the Pension Board or, if earlier, January 1, 1984; and ii) 5% per year for the period from January 1, 1984, through the first of the month in which such request is received; plus
(b) 
The total contributions made by the police member on and after July 1, 1983, with compound interest at the rate of 5% per year for the period from the January 1 following the date the contribution was made through the first of the month in which the withdrawal request is received by the Pension Board.
(2) 
Payment in accordance with this Subsection A shall be in final settlement of all obligations of the plan to a police member and his beneficiary. If a police member ceases to be employed by the Town and is not reemployed by the Town within five years of the date he or she terminates employment, he or she shall be conclusively presumed to have made a withdrawal request pursuant to this Subsection A. A police member who elects to receive pension payments under Subsection B will not be entitled to any amounts pursuant to this Subsection A. If a police member cannot be located, he shall be deemed to have forfeited his benefits under the plan until such time as he makes a claim for such benefits.
B. 
Pension payments. Pension payments to police members who cease employment with the Town shall be made in accordance with this Subpart C.
C. 
A police member who had not completed five years of contributory service as of July 1, 2005, but who ceases employment with the Town after completing 10 years of contributory service, shall be eligible for pension payments from this plan, provided that he or she has not withdrawn contributions in accordance with this § 70-38.
D. 
Notwithstanding the foregoing, if the Chief of Police ceases employment with the Town after completing five years of contributory service, he shall be eligible for pension payments from this plan, provided that he or she has not withdrawn contributions in accordance with § 70-38A.
E. 
Amount of payment. Monthly pension payments shall be computed based on the police member's years of contributory service prior to termination of Town employment in accordance with § 70-32, depending upon the date payments commence.
F. 
Notwithstanding any other provision of this Pensions and Retirement chapter, in accordance with an agreement between the Town of Manchester and the Manchester Police Officers Association dated September 11, 2020, recognizing the extremely unique circumstances of the situation, Police Sergeant Stephen Bresciano is allowed to commence a normal retirement effective October 1, 2020. The agreement sets no precedent and will not be used as a basis for future claims on behalf of its members.
[Added 11-10-2020]