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O93-10ORDINANCE NO. O93-/~ AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF BOYNTON BEACH, FLORIDA, AMENDING CHAPTER 18~ ~'PENSION AND RETIREMENT" BY CREATING A NEW ARTICLE VII, SECTION 18-200 OF THE CODE OF ORDINANCES OF THE CITY OF BOYNTON BEACH PROVIDING FOR TRUSTEE-TO-TRUSTEE TRANSFERS OF ELIGIBLE ROLLOVER DISTRIBUTIONS; PROVIDING FOR CONFLICTS, SEVERABILITY, CODIFICATION AND AN EFFECTIVE DATE. WHEREAS, the Unemployment Compensation Amendments of 1992, Public Law 102-318, passed by Congress and signed into law on July 3, 1992, requires, among other things that all "eligible rollover distribution" shall be subject to a 20% withholding tax unless they are paid as a direct rollover trustee-to-trustee transfer; and WHEREAS, the City Commission of the City of Boynton Beach, desires to amend Chapter 18 of the Code of Ordinances of the City to specifically provide for trustee-to-trustee transfers; NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF BOYNTON BEACH, FLORIDA, THAT: Section 1. Each WHEREAS clause set forth above is true and correct and herein incorporated by this reference. Section 2. Chapter 18, Article VII, Section 18-200 of the Code of Ordinances of the City of Boynton Beach, Florida is hereby created to read as follow: Chapter 18 PENSIONS AND RETIREMENT ARTICLE VII. ELIGIBLE ROLLOVER DISTRIBUTIONS If the intended recipient of any "eligible rollover distribution", as the term is defined in section 402(c)(4) of the Internal Revenue Code of 1986, as amended, elects and directs to have such distribution paid directly to an "eligible retirement plan" as defined in the Internal Revenue Code, and specifies the particular ~'eliqible retirement plan" to which the distribution is to be paid (in such form and at such time as the plan administrator or board of trustees may prescribe)~ then the distribution will be made in the form of a direct trustee-to-trustee transfer to the specified "eligible retirement plan" and shall not be subject to withholding tax as provided for in section 402 of the Internal Revenue Code of 1986, as amended. Section 3. That all ordinances or parts of ordinances in conflict herewith be and the same are hereby repealed. Section 4. Should any section or provision of this ordinance or portion hereof, any paragraph, sentence, or word be declared by a court of competent jurisdiction to be invalid, such decision shall not affect the remainder of this ordinance. Section 5. ordinance. Authority is hereby granted to codify said Section 6. This ordinance shall become effective immediately upon passage. FIRST READING this ~ day of May, 1993. 1993. SECOND, FINAL READING AND PASSAGE this CI[ OF BO day of May, BEACH, FLORIDA ATTEST: Cit~ Clerk Commis s loner Co-mini s s i~r' (Corporate Seal) PensionR/O.Ord 4/30/93