Loading...
HomeMy WebLinkAbout~Master - Relating to Utility Retirement System • I r ORDINANCE NO. 2494 AN ORDINANCE AMENDING THE MUNICIPAL CODE OF THE CITY OF AMES, IOWA, BY REPEALING SECTION 36-10004, 36-10005, AND 36-10056 WITH RESPECT TO THE UTILITY RETIREMENT SYSTEM AND ENACTING NEW SECTIONS 36-10004 , 36-10005 AND 36-10056 FOR THE PURPOSE OF REMOVING THE CEILING ON UTILITY CONTRIBUTION TO THE SYSTEM, INCREASING THE RATE OF INTEREST PAID ON EMPLOYEE CONTRIBUTIONS, INCREASING THE MAXIMUM AGE OF ELIGIBILITY FOR THE SYSTEM, AND PROVIDING FOR INCREASE OF BENEFITS TO RETIRED EMPLOYEES TO COMPENSATE FOR INCREASES IN THE COST OF LIVING. BE IT ORDAINED BY THE CITY COUNCIL FOR THE CITY OF AMES, IOWA: Section 1. That Sections 36-10004, 36-10005, and 36-10056 of the Municipal Code of the City of Ames as said sections have heretofore existed be and the same are hereby repealed. Section 2 . That there;be adopted new Sections 36-10004 , 36-10005, and 36-10056 to read as follows : Sec. 36-10004. Definitions. (1) Beneficiary. Any person who has been designated in writing by any employee to receive all or part of his death benefits . (2) Board. The board of trustees at any time acting hereunder. (3) Creditable service. The period begin- ning on the date upon which an employee is first employed by the utility and ending on the date of the latest separation from employ- ment, excluding any prior periods of employment for which separation benefits were withdrawn, any intervening periods during which the employee was separated from employement following a resignation, a dismissal or lay-off in excess of thirty (30) days , and any period after the employee attains normal retirement age, but not including military duty and periods of disability as herein defined. (4) Disability. The inability of an employee to perform the duties of any assigned position within any utility for any period exceeding sixty (60) days because of mental or physical injury or disease which is not self-inflicted, or due to drugs or alcoholism or incurred in the commission of a felonious act. An employee is considered to be disabled only during periods for which the board shall receive both of the following: (a) Written certification by at least two (2) licensed and practicing physicians approved by the board that the employee is disabled and unable to reasonably perform the duties of any assigned position within any utility. (b) Written certification by the administrative officer of the employee that such employee (1) Is not separated from the employ- ment of the utility and (2) Is disabled and is consequently not entitled to any earnings. ` -2- r (5) Earnings. Compensation paid by the utility to an employee for personal service . (6) Employee. A person in the non- temporary employment of the city who regularly receives , or is expected to regularly receive in excess of ten percent (100) of his com- pensation from the utility of the city for personal services rendered in connection with the operation, maintenance or management of the utility; however, a person appointed by the city council must apply in writing to the utility retirement board in order to qualify as an employee of a utility. (7) Temporary employment. Temporary employment is that employment which, at the time of entry thereon, is not expected to continue for a period in excess of six (6) months . (8) Highest average earnings . The monthly average earnings during the sixty (60) highest paid consecutive months out of the one hundred and twenty (120) months immediately preceding the date of retirement or date disability was incurred. (9) Military duty. Military duty is service in the armed forces of the United States of America or State of Iowa during a period of declared war or national or state emergency, provided the employee was employed by the utility immediately prior to entry into the armed forces, and further provided that the employee received an honorable or general discharge from the service and returned to employment by the utility within sixty (60) days of the date on which he shall have the right to release from the armed service. (10) Regular interest. The board of trustees , at a meeting to be held early in each calendar year, will determine the interest rate for employee contributions to be computed for the preceding calendar year and credited to the employee accounts as of December 31 of that preceding year. (11) Retirement income. A series of equal monthly payments payable to a retired employee; the first payment to be made on the last day of the month following the retirement date and the last payment to be made on the last day of the month in which death of the retired employee occurs . Retirement income for persons already retired may be increased by the Board of Trustees in recognition of inflationary increases in the cost of living in such amounts and proportions as the Board of Trustees , in the exercise of their discretion, shall deem appropriate and after two (2) readings before the board. However, if such increase in retirement income will have the effect of increasing the amount of contribution required from the funds of the utility, such increase in retirement may be vetoed by resolution of the City Council or by refusal or failure of the City Council to appropriate the required contribution at the time the annual budget for utility operations in prepared and approved. -3- (12) Lrtility. Utility includes and is limited to any water works , gas , electric light and power, solid waste recycling and disposal plant, and water pollution control plant manager, operated and owned by the City of Ames . Sec. 36-10005 . Scope of system. As to compensation they receive from a utility of the city, all persons who were employees as defined herein, on February 1 , 1964, and have continued to beemployees of the utility, and all persons , other than individuals who as students and who devote their time and efforts chiefly to their studies rather than to incidental employment, who thereafter become or will become employees before attaining the age of sixty (60) years shall be included in the retirement system. Sec. 36-10056 . Amount of payment. Each employee retired on his normal retire- ment date is entitled to a monthly normal retirement income equal to one and six-tenths percent (1. 60) of his highest average earnings for each year of creditable service. In addition to the aforesaid normal retirement income, a retired employee may receive such additional retirement income as is, from time to time, authorized by the Board of Trustees pursuant to section 36-10004 (11) hereof. The 1. 6 formula shall be used to figure all retirements that were made after January 1 , 1974. Section 3 . All ordinances and parts of ordinances in conflict herewith are hereby repealed to the extent of such conflict. Section 4 . This ordinance shall be in full force and effect from and after its passage and publication as required by law. Passed this 17th day of,- December 19 74. Y Mary E. maul, City Clerk William F. Pelz, MaY,6r lst - Reading - No'7ember 26, 1974 Nelson-Koerber Voting aye: Calhoun, Huston, Koerber, Maxwell, Nelson, Pounds . Voting nay: None/ 2nd Reading - December 3, 1974 Nelson-Huston Voting aye: Huston, Koerber, Maxwell, Nelson. Voting nay: None. Absent: Calhoun, Pounds . 3rd Reading - December 17, 1974 Pounds-Huston Motion (Nelson-Maxwell) to amend by in accordance with suggestions filed by Kenny Moravetz . (MC) Voting aye: Calhoun, Huston, Koerber, Maxwell, Nelson, Pounds . Voting nay: None. Mayor declared the ordinance duly adopted.