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HomeMy WebLinkAbout~Master - Revising Benefits Under the Utility Retirement System ORDINANCE NO. 3018 AN ORDINANCE TO AMEND THE MUNICIPAL CODE OF THE CITY OF AMES, IOWA BY REPEALING AND RE-ENACTING SUBSECTION 28.44(8), SECTION 28.78 AND SECTION 28.79 THEREOF FOR THE PURPOSE OF REVISING BENEFITS UNDER THE UTILITY RETIREMENT SYSTEM; AND, ESTABLISHING AN EFFECTIVE DATE BE IT ORDAINED, by the City Council for the City of Ames, Iowa: Section One. The Municipal Code of the City of Ames, Iowa shall be and the same is hereby amended by repealing subsection 28.44(8), Section 28.78 and Section 28.79 and re-enacting the same as follows: "Sec. 28.44 Definitions (8) Highest Average Earnings. The monthly average earn- ings during the thirty-six (36) highest paid consecutive months out of the sixty (60) months immediately preced- ing the date of retirement, disability or death. Sec. 28.78 Amount of Death Benefit The amount of the death benefit shall be: (1) Upon the death of an employee in service who has neither a surviving spouse or unmarried children under the age of 18, an amount equal to the sum of the deceased employee's accumulated contribution and regular interest accumulated thereon. (2) Upon the death of an employee in service who is sur- vived by a spouse or by unmarried children under the age of 18, an amount as follows: (a) To the surviving spouse, an annuity equal to: 600 x years of service x 1.8 o x highest average earn- ings; but, not less than the smaller of 60 o x 40 o x highest average earnings or 60 o x years of service to age 60 x 1.8 o x highest average earnings. (b) For each unmarried child under age 18: (i) If the deceased employee is survived by a spouse, the least of: a. 60% x highest average earnings divided by the number of eligible children; b. $2,700 divided by the number of eligible children; or C. $900. (ii) If the deceased employee is not survived by a spouse, the least of a. 75 o of highest average earnings divided by the number of eligible children; b. $3,240 divided by the number of eligible children, or C. $1,080 (iii) The four living surviving spouses of the employees who died in service before the effective date of the death benefit provided by (2) above shall be paid a retroactive benefit equal to the amount of the utility contribution credited to the account of the deceased employee at the time of death. Sec. 28.79 Manner of Payment of Death Benefit Except for the surviving spouse annuity under Sec. 28.78(2), which shall be paid in monthly installments, death benefits shall be paid in a single cash sum, unless the employee prior to death shall have designated that the death benefit shall be paid to the employee's beneficiary in monthly installments of not less than twenty dollars ($20.00) per month, as soon as practicable after receipt and approval by the board of a certified copy of the death certificate." Section Two. This ordinance shall be in full force and effect from and after the 1st day of July, 1988. Adopted this 2nd day of August 1988 Nancy bi oni qi cti ng Ci tv Cjl rk F. Paul GoG-311and, Mayor 2