11-0111
2 ORDINANCE 11 - 0//
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4 AN ORDINANCE OF THE CITY OF BOYNTON BEACH, FLORIDA,
5 AMENDING ARTICLE III, OF CHAPTER 18 OF THE BOYNTON
6 BEACH CODE OF ORDINANCES, ENTITLED "MUNICIPAL POLICE
7 OFFICERS' RETIREMENT TRUST FUND;" AMENDING SECTION 18-
8 172 PROVIDING FOR BUY BACK OF SERVICE; AMENDING
9 SECTION 18 -175 PROVIDING FOR DEFERRED RETIREMENT
10 OPTION PLAN; PROVIDING FOR CODIFICATION; PROVIDING FOR
11 CONFLICT; PROVIDING FOR SEVERABILITY; AND, PROVIDING
12 FOR AN EFFECTIVE DATE HEREOF.
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15 WHEREAS, the Boynton Beach Police Officers' Pension Fund Plan Document ( "Plan)
16 permits members to purchase years of service in the Plan for which the member was previously
17 employed as a police officer with the City of Boynton Beach ( "City ") and withdrew those
18 contributions by repaying the Fund for the contributions that were withdrawn in a lump sum;
19 WHEREAS, the Board of Trustees of the Boynton Beach Police Officers Pension Fund
20 ( "Fund ") recommends an amendment to the Plan to allow members to repay the withdrawn
21 contributions over time with interest rather than in a lump sum; and
22 fled pension plans to provide certain benefits; and
23 WHEREAS, the City Commission of the City of Boynton Beach, Florida, desires to
24 revise its Police Officers' Plan in order to provide this administrative change;
25 NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF
26 THE CITY OF BOYNTON BEACH, FLORIDA:
27 Section 1. The foregoing "WHEREAS" clauses are hereby certified as being true
28 and correct and are incorporated herein by this reference
29 Section 2. Section 18 -172 of Article III of Chapter 18 of the Boynton Beach Code
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I of Ordinances is hereby amended as follows:
2 Sec. 18 -172. Buy back of service.
3 (a) Re- employment. When any former police officer of the city is re- employed, he
4 or she will become a member of the plan upon re- employment as a full time
5 permanent police officer. When a former police officer of the city is re-
6 employed and had withdrawn contributions previously made to the plan, he or
7 she may reinstate the hi-s previous service provided the plan is paid the total
8 amount previously withdrawn (consisting of accumulated member contributions
9 plus any interest previously paid by the plan on those contributions) in a lump
10 sum within six months of re- employment or. effective Noven2her 9. 2010. in
11 installment pavments over a period of up to five vears and the installment
12 pavments must begin within six months of re- emnlovment. Th total
13 amount is brought forward with interest for the total number of months from the
14 date of withdrawal to the date of repayment, calculated to the nearest month.
15 This calculated amount equals the amount to be repaid to the plan in a lump
16 sum. If the member chooses to nav over time. interest will continue to
17 accrue during the neriod of renavment The interest to bring forward the total
18 amount will be at the equivalent compound monthly rate derived from the
19 earning rate assumed by the actuary in the most recent actuarial valuation
20 submitted to the Division of Retirement pursuant to F.S. Chapter 112, Part VII.
21 No credit shall be given for anv service until all vears of service which are
22 to be renurchased. have been renurchased.
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(b) Prior police officer service. Unless otherwise prohibited by law, the years or
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fractional parts of years that a police officer previously served as a police officer
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for any other municipal, county, state or federal police department or service in
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the military shall be added to the years of credited service provided that:
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(1) The police officer contributes to the fund the sum that would have been
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contributed, based on the police officer's salary and the employee
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contribution rate in effect at the time that the credited service is
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requested, had the police officer been a member of this system for the
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years or fractional parts of years for which the credit is requested plus
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amount actuarially determined such that the crediting of service does not
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result in any cost to the fund plus payment of costs for all professional
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services rendered to the Board in connection with the purchase of years
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of credited service.
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(2) Payment by the police officer of the requirement amount may be made
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within six months of the request for credit and in one lump sum payment,
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or the police officer can buy back this time over a period equal to the
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length of time being purchased or five years, whichever is greater, at an
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interest rate which is equal to the fund's actuarial assumption. A police
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officer may request to purchase a maximum of five years of service. No
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credit shall be given for any service until all years of service which are to
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be repurchased, have been repurchased.
22
(3) The credit purchased under this section shall count for benefit
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computation purposes, but not for vesting.
2 (4) In no event, however, may credited service be purchased pursuant to this
3 section for prior service with any other municipal, county or state police
4 department, if such prior service forms or will form the basis of a
5 retirement benefit or pension from another retirement system or plan.
6 This subparagraph does not apply to military service.
7 Section 3. Section 18 -175 of Article III of Chapter 18 of the Boynton Beach Code
8 of Ordinances is hereby amended as follows:
9 Sec. 18 -175. Deferred retirement option plan.
10
11 (j) Upon termination of employment, participants in the DROP will receive the
12 balance of the DROP account in accordance with the following rules:
13
14 (2) Payments may be made in the following ways:
15 a. Lump sum. The entire account balance will be paid to or on
16 behalf of the retirant upon approval of the Board of Trustees.
17 b. Installments. The account balance will be paid out to the retirant
18 in five equal annual payments paid over five years, the first
19 payment to be made upon approval of the Board of Trustees.
20 C. Monthly installments. The account balance will be paid out to the
21 retirant on a monthly basis until the account balance is paid out
22 based on actuarial tables provided by the actuary.
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I d. Partial lump sum withdrawals. Part of the account balance
2 will be pA:id to or on behalf o the retirant upon ap proval of
3 the Trust g
4 Section 4. It is the intention of the City Commission of the City of Boynton Beach
5 that the provisions of this Ordinance shall become and be made a part of the Code of
6 Ordinances of the City of Boynton Beach, Florida. The Sections of this ordinance may be
7 renumbered, re- lettered and the word "Ordinance" may be changed to "Section," "Article" or
8 such other word or phrase in order to accomplish such intention.
9 Section 5. All Ordinances or parts of Ordinances, Resolutions or parts of Resolutions
10 in conflict herewith be and the same are hereby repealed to the extent of such conflict.
11 Section 6. If any clause, section, or other part or application of this Ordinance shall
12 be held by any court of competent jurisdiction to be unconstitutional or invalid, such
13 unconstitutional or invalid part or application shall be considered as eliminated and so not
14 effecting the validity of the remaining portions or applications remaining in full force and
15 effect.
16 Section 7. This Ordinance shall become effective when the following have occurred:
17 (a) the City Commission has received and has accepted a report establishing the
18 actuarial soundness of these amendments,
19 (b) when the foregoing changes to the pension plan investment policy benefits have
20 been accepted by the collective bargaining unit(s) representing the Police Officer Employees,
21 or their successor, and documentation has been received evidencing no objection thereto; and
22 (c) when the amendments have been sent to the State of Florida Division of
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I Retirement.
2 Upon satisfaction of all of the above requirements, then in that event, the terms and
3 provisions of this Ordinance shall become effective.
4 FIRST READING THIS I5/ DAY OF M � 201f
5 SECOND, FINAL READING and PASSAGE THIS DAY OF q , 201#
6 CITY OF BOYNTON BEACH, FLORIDA
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24 ATTEST:
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27 /1►. /
28 Jan M. Prainito, MMC,
29 Y CLERK
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34 rt eall
r —Jose drig
Vice'��ay� — ene Ross
4%!mil% , ,'
Commissi er — William Orlove
'y
Commis ' r — Woodrow L. Hay
Commissioner — n Holzman
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0r31Wjrz/ / -(9//
AGREEMENT
The Palm Beach County Police Benevolent Association, Inc. hereby waives
bargaining over the attached amendment to the Boynton Beach Municipal Police Officers'
Pension Fund amending Sec. 18 -172 Buy back of service and adding an additional DROP
distribution method (draft attached). This is in no way to be construed as a blanket waiver
of any kind; the Union specifically reserves the right to negotiate over any other pension
changes in accordance with the law and the collective bargaining agreement between the
Palm Beach County Police Benevolent Association, Inc. and the City.
CITY OF BOYNTON BEACH
Print Name and Title
Witness
Date
PALM BEACH COUNTY POLICE
BENEVOLENT ASSOCIATION, INC.
k
V
(XLA�uJ
Print Na as d Title
_l7
W i ess
2-
Date
BSJladt
December 1, 2010
HABB Police 0188 \Union \Buyback Chg Waiver 2010.wpd
The City of Boynton Beach
City Clerk's Office
100 E BOYNTON BEACH BLVD
BOYNTON BEACH FL 33435
(561) 742 -6060
FAX: (561) 742 -6090
e -mail: prainitoj @bbfl.us
www.boynton- beach.org
March 21, 20
Mr. Gary Lippman
General Counsel
Palm Beach County
Police Benevolent Association, Inc.
2100 N. Florida Mango Road
West Palm Beach, FL 33409
Re: Ordinance 11 -011 Bovnton Beach Municipal Police Officers' Pension
fund amendment to Sec. 18 -172
Dear Mr. Lippman:
Attached for your files is a copy of the Ordinance mentioned above as well as the
executed amendment. Since the documents have been fully executed, I have retained
one original for our Central File.
If I can be of any additional service, please do not hesitate to contact me.
Very truly yours,
CITY OF BOYNTON BEACH
J ,
,. /Judith A. Pyle, vCQIC
Deputy City Clerk
Attachment
(Copy of Ordinance and 1 Executed original amendment)
S: \CC \WP \AFTER COMMISSION \Other Transmittal Letters After Commission \2011 \11 -011 Municipal Polie Officer's Pension fund Amendment to Sec.
1$- 172.doc
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