2011-02ORDINANCE NO. 2011 -02
AN ORDINANCE OF THE CITY OF AVENTURA,
FLORIDA, AMENDING PROVISIONS OF THE
POLICE OFFICERS' RETIREMENT PLAN TO
COMPLY WITH THE INTERNAL REVENUE CODE;
PROVIDING FOR A REPEALER; PROVIDING FOR
SEVERABILITY; PROVIDING FOR CODIFICATION;
AND PROVIDING FOR AN EFFECTIVE DATE.
WHEREAS, recent changes to federal laws and regulations require that
various amendments be made to the City of Aventura Police Officers' Retirement
Plan (the "Plan ") in order to maintain its status as a qualified plan under Section
401(a) of the Internal Revenue Code; and
WHEREAS, an amendment to the City Code is necessary to permit such
new obligations and conditions; and
WHEREAS, the trustees of the Plan have requested and approved such
an amendment as being in the best interests of the participants and beneficiaries
as well as improving the administration of the Plan; and
WHEREAS, the City Commission has received, reviewed and considered
an actuarial impact statement describing the actual impact of the amendments
provided for herein.
NOW THEREFORE, BE IT ORDAINED by the City Commission of the
City of Aventura, Florida:'
Section 1. The foregoing WHEREAS clauses are hereby ratified and
confirmed as being true and correct and are hereby made a specific part of this
Ordinance upon adoption hereof.
' Deleted text is indicated by a 6tr and added text is indicated by an underline
Ordinance No. 2011 -02
Page 2
Section 2. Section 36 -22 "Definitions" of Article II, "Police Pension Plan
and Trust Fund" of Chapter 36 "Retirement" of the City Code is amended to read
as follows:
Sec. 36-22. Definitions.
Earnable compensation shall mean a member's base pay for
regular hours worked as an employee, overtime pay, amounts paid
for administrative leave, bereavement leave, compensatory time
paid in lieu of regular wages, court time, Garcia days for K -9
service, holiday leave taken in lieu of regular pay, job basis leave,
jury duty, light duty, paid military leave, personal leave taken in lieu
of regular pay, storm leave, storm /hurricane pay, suspension with
pay, pay for time off due on the job injury, vacation leave taken in
lieu of regular pay, and workers' compensation paid by the City;
and, excluding pay received for off -duty details for third parties,
whether or not the payment is made through the City. Earnable
compensation shall not include payouts of accumulated leave taken
as cash upon separation from service. Retroactive payments shall
be credited to the calendar year in which such payments would
have been received had they been timely paid. Gomn ati f or
any plan year shall not innli de any aFnG Rt in � ovnocc of the
I RteFRa l Revenue Cade Sertion 401 (a)(! 7) limitation as adjusted
Ghange in t he 9 of liVinn in the aRR r pFeSGr by the !R(G
SeGtian 40 1(a ` (17 ` (R `. Pursuant to F.S. § 440.21, pension
contributions shall not be deducted from a member's workers'
compensation award. For the purpose of applying the limitations
set forth in Sections 401(a)(17) and 415 of the Internal Revenue
Code, earnable compensation shall include any elective deferral
(as defined in Code Section 402(8)(3) of the Internal Revenue
Code), and any amount which is contributed or deferred by the
employer at the election of the Member and which is not includible
in the gross income of the Member by reason of Section 125 or 457
of the Internal Revenue Code. For limitation years beginning on
and after January 1, 2001, for the purposes of applying the
limitations described in Section 36 -31 hereof, compensation paid or
made available during such limitation years shall include elective
amounts that are not includible in the gross income of the Member
by reason of Section 132(f)(4) of the Internal Revenue Code
2
Ordinance No. 2011 -02
Page 3
Section 3. Section 36 -31 "Compliance with the Internal Revenue Code"
of Article II, "Police Pension Plan and Trust Fund" of Chapter 36 "Retirement" of
the City Code is amended to read as follows:
Sec. 36 -31. Compliance with the Internal Revenue Code.
a) It is the intention of the City and of the Board that the plan
remain at all times a qualified plan, as that term is defined under
the Internal Revenue Code.
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Ordinance No. 2011 -02
Page 4
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Ordinance No. 2011 -02
Page 5
-
(a) Maximum Pension.
Notwithstandina anv provision of this Plan to the contrarv. the Annual
Pension that is accrued by or paid to a participant shall not exceed
the Dollar Limitation set forth below. If the benefit the participant
would otherwise accrue in a Limitation Year would produce an
Annual Pension in excess of the Dollar Limitation, the benefit shall
be limited to a benefit that does not exceed the Dollar Limitation.
(1) Definitions Used in this Section.
A) "Annual Pension" means the benefits received
by a participant under this Plan expressed in the form
of a straight life annuity. In determining whether
benefits payable exceed the Dollar Limitation set forth
below, benefits payable in any form other than a
straight life annuity shall be adjusted to the larger of:
The annual amount of the straiaht life
annuity (if any) payable to the participant under
the plan commencing at the same annuity
starting date as the form of benefit pavable to
the participant; or
The annual amount of the straiaht life
annuity commencing at the same annuity
starting date that has the same actuarial
present value as the form of benefit payable to
the participant, computed using a 5 percent
interest assumption and the applicable
Ordinance No. 2011 -02
Page 6
mortality table described in §1.417(e)- 1(d)(2)
for that annuity starting date.
No actuarial adjustment to the benefit shall be made
for benefits that are not directly related to retirement
benefits (such as a qualified disability benefit,
preretirement incidental death benefits, and
postretirement medical benefits): or the inclusion in
the form of benefit of an automatic benefit increase
feature, provided the form of benefit is not subject to
4417(e)(3) of the Internal Revenue Code and would
otherwise satisfy the limitations of this Subsection (a),
and the amount payable under the form of benefit in
any Limitation Year shall not exceed the limits of this
Subsection (a) applicable at the annuity starting date,
as increased in subsequent years pursuant to §
415(d) of the Code. For this purpose, an automatic
benefit increase feature is included in a form of
benefit if the form of benefit provides for automatic,
periodic increases to the benefits paid in that form.
(B) "Dollar Limitation" means $160,000 (subject to
the annual adjustments provided under Section 415(d)
of the IRC). Said amount shall be adjusted based on
the age of the participant when benefits begin, as
follows:
(i) Except with respect to a participant who
is a "Qualified Participant" as defined in Section
415(b)(2)(H) of the Code, for benefits (except
survivor and disability benefits as defined in
Section 415(b)(2)(1) of the Code) beginning
before age 62 the Age- Adjusted Dollar
Limitation is equal to the lesser of --
(1) the actuarial equivalent of the annual
amount of a straight life annuity
commencing at the annuity starting date
that has the same actuarial present
value as a deferred straight life annuity
commencing at age 62, where annual
payments under the straight life annuity
commencing at age 62 are equal to the
Dollar Limitation (as adjusted pursuant
to section 415(d) for the limitation year),
Ordinance No. 2011 -02
Page 7
and where the actuarially equivalent
straight life annuity is computed using a
5 percent interest rate and the
applicable mortality table under
§1.417(e)- 1(d)(2) that is effective for that
annuity starting date (and expressing
the participant's age based on
completed calendar months as of the
annuity starting date); and
(11) the Dollar Limitation (as adjusted
pursuant to section 415(d)) multiplied by
the ratio of the annual amount of the
straight life annuity under the plan to the
annual amount of the straight life
annuity under the plan commencing at
age 62, with both annual amounts
determined without applying the rules of
section 415.
(ii) For benefits beginning after the age of
65, the age- adjusted Dollar Limitation is equal to
the lesser of:
(1) the actuarial equivalent of the
annual amount of a straight life annuity
commencing at the annuity starting date
that has the same actuarial present
value as a straight life annuity
commencing at age 65, where annual
payments under the straight life annuity
commencing at age 65 are equal to the
dollar limitation of section 415(b)(1)(A)
(as adjusted pursuant to section 415(d)
for the limitation year), and where the
actuarially equivalent straight life annuity
is computed using a 5 percent interest
rate and the applicable mortality table
under $1.417(e)- 1(d)(2) that is effective
for that annuity starting date (and
expressing the participant's age based
on completed calendar months as of the
annuity starting date); and
Ordinance No. 2011 -02
Page 8
(II) the section 415(b)(1)(A) Dollar
limitation (as adjusted pursuant to
section 415(d) and §1.415(d) -1 for the
limitation year) multiplied by the ratio of
the annual amount of the adjusted
immediately commencing straight life
annuity under the plan to the adjusted
age 65 straight life annuity. The
adjusted immediately commencing
straight life annuity means the annual
amount of the immediately commencing
straight life annuity payable to the
participant, computed disregarding the
participant's accruals after age 65 but
including actuarial adjustments even if
those actuarial adjustments are applied
to offset accruals. For this purpose, the
annual amount of the immediately
commencing straight life annuity is
determined without applying the rules of
section 415. The adjusted age 65
straight life annuity means the annual
amount of the straight life annuity that
would be payable under the plan to a
hypothetical participant who is 65 years
old and has the same accrued benefit
(with no actuarial increases for
commencement after age 65) as the
participant receiving the distribution
(determined disregarding the
participant's accruals after age 65 and
without applying the rules of section
4
(iii) There shall be no age adjustment of the
Dollar Limitation with respect to benefits
beginning between the ages of 62 and 65.
(2) The limitations set forth in this Subsection (a) shall not
apply if the Annual Pension does not exceed $10,000 provided
the participant has never participated in a Defined Contribution
Plan maintained by the City.
(3) Cost -of- living adjustments in the Dollar Limitation for
benefits shall be limited to scheduled annual increases
Ordinance No. 2011 -02
Page 9
determined by the Secretary of the Treasury under Section
Subsection 415(d) of the Code.
(4) In the case of a participant who has fewer than 10
years of participation in the Plan, the Dollar Limitation set
forth in Paragraph (1)(B) of this Subsection (a) shall be
multiplied by a fraction - (i) the numerator of which is the
number of years (or part thereof) of participation in the Plan,
and (ii) the denominator of which is 10.
(5) Any portion of a participant's benefit that is
attributable to mandatory employee contributions (unless
Picked-up by the City) or rollover contributions, shall be
taken into account in the manner prescribed in the
regulations under Section 415 of the Code.
(6) Should any participant participate in more than one
defined benefit plan maintained by the City, in any case in
which the participant's benefits under all such defined benefit
plans (determined as of the same age) would exceed the
Dollar Limitation applicable at that age, the accrual of the
participant's benefit under this Plan shall be reduced so that
the participant's combined benefits will equal the Dollar
Limitation.
(7) For a participant who has or will have distributions
commencing at more than one annuity starting date, the
Annual Benefit shall be determined as of each such annuity
starting date (and shall satisfy the limitations of this Section as
of each such date), actuarially adjusting for past and future
distributions of benefits commencing at the other annuity
starting dates. For this purpose, the determination of whether
a new starting date has occurred shall be made without regard
to § 1.401(a) -20, Q&A 10(d), and with regard to
1.415(b)1(b)(1)(iii)(B) and (C) of the Income Tax Regulations.
(8) The determination of the Annual Pension under
Paragraph (a)(1) of this Subsection (a) shall take into account
(in the manner prescribed by the regulations under Section
415 of the Code) social security supplements described in
411(a)(9) of the Internal Revenue Code and benefits
transferred from another defined benefit plan, other than
transfers of distributable benefits pursuant § 1.411(d) -4, Q&A-
3(c) of the Income Tax Regulations.
Ordinance No. 2011 -02
Page 10
(9) The above limitations are intended to comply with the
provisions of Section 415 of the Code, as amended, so that
the maximum benefits provided by plans of the City shall be
exactly equal to the maximum amounts allowed under Section
415 of the Code and regulations thereunder. If there is any
discrepancy between the provisions of this Subsection (a) and
the provisions of Section 415 of the Code and regulations
thereunder, such discrepancy shall be resolved in such a way
as to give full effect to the provisions of Section 415 of the
Code. The value of any benefits forfeited as a result of the
application of this Subsection (a) shall be used to decrease
future employer contributions.
(10) For the purpose of applying the limitations set forth in
Sections 401(a)(17) and 415 of the Internal Revenue Code,
Earnings shall include any elective deferral (as defined in
Code Section 402(8)(3) of the Internal Revenue Code), and
any amount which is contributed or deferred by the employer
at the election of the Member and which is not includible in the
gross income of the Member by reason of Section 125 or 457
of the Internal Revenue Code. For limitation years beginning
on and after January 1, 2001, for the purposes of applying the
limitations described in this Subsection (a) of Section 42 -33,
compensation paid or made available during such limitation
years shall include elective amounts that are not includible in
the gross income of the Member by reason of Section
132(f)(4) of the Internal Revenue Code.
(b) Required Beginninq Date:
Notwithstanding any other provision of the Plan, payment of a
participant's retirement benefits under the Plan shall commence not
later than the participant's Required Beginning Date, which is
defined as the later of:
-April 1 of the calendar year that next follows the calendar year
in which the participant attains or will attain the age of 70Y2
years: or
-April 1 of the calendar year that next follows the calendar year
in which the participant retires.
(c) Required Minimum Distributions.
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Ordinance No. 2011 -02
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(1) Required Beginning Date. The participant's entire
interest will be distributed, or begin to be distributed, to the
participant no later than the participant's Required Beginning
Date as defined in Subsection (b) of this Section 36 -31.
(2) Death of participant Before Distributions Begin.
(A) If the participant dies before distributions begin,
the participant's entire interest will be distributed, or
begin to be distributed, no later than as follows:
(i) If the participant's surviving spouse is
the participant's sole designated beneficiary,
then distributions to the surviving spouse will
begin by December 31 of the calendar year
immediately following the calendar year in
which the participant died, or by December 31
of the calendar year in which the participant
would have attained age 70Y2, if later.
(ii) If the participant's surviving spouse is
not the participant's sole designated
beneficiary, then distributions to the designated
beneficiary will begin by December 31 of the
calendar year immediately following the
calendar year in which the participant died.
(iii) If there is no designated beneficiary as
of September 30 of the year following the year
of the participant's death, the participant's
entire interest will be distributed by December
31 of the calendar year containinq the fifth
anniversary of the participant's death.
(B) The participant's entire interest shall be
distributed as follows:
(i) participant Survived by Designated
Beneficiary. If the participant dies before the
date distribution of his or her interest begins
and there is a designated beneficiary, the
participant's entire interest will be distributed,
beginning no later than the time described in
Subparagraph (2)(A) above, over the life of the
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Ordinance No. 2011 -02
Page 12
designated beneficiary or over a period certain
not exceeding:
(1) unless the annuity starting date is
before the first distribution calendar
year, the life expectancy of the
designated beneficiary determined using
the beneficiary's age as of the
beneficiary's birthday in the calendar
year immediately following the calendar
year of the participant's death; or
(11) if the annuity starting date is
before the first distribution calendar
year, the life expectancy of the
designated beneficiary determined using
the beneficiary's age as of the
beneficiary's birthday in the calendar
year that contains the annuity starting
date.
(ii) No Designated Beneficiary. If the
participant dies before the date distributions
begin and there is no designated beneficiary as
of September 30 of the year following the year
of the participant's death, distribution of the
participant's entire interest will be completed by
December 31 of the calendar year containing
the fifth anniversary of the participant's death.
(C) Death of Surviving Spouse Before Distributions
to Surviving Spouse Begin. In any case in which (i)
the participant dies before the date distribution of his
or her interest begins, (ii) the participant's surviving
spouse is the participant's sole designated
beneficiary, and (iii) the surviving spouse dies before
distributions to the surviving spouse begin,
Subparagraphs (2)(A) and 2(B) above shall apply as
though the surviving spouse were the participant.
(3) Requirements For Annuity Distributions That
Commence During participant's Lifetime.
(A) Joint Life Annuities Where the Beneficiary Is
Not the participant's Spouse. If the participant's
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Ordinance No. 2011 -02
Page 13
interest is being distributed in the form of a joint and
survivor annuity for the joint lives of the participant
and a nonspousal beneficiary, annuity payments to be
made on or after the participant's Required Beginning
Date to the designated beneficiary after the
participant's death must not at any time exceed the
applicable percentage of the annuity payment for
such period that would have been payable to the
participant using the table set forth in Q&A -2 of
Section 1.401(a)(9) -6T of the Treasury regulations. If
the form of distribution combines a joint and survivor
annuity for the joint lives of the participant and a
nonspousal beneficiary and a period certain annuity,
the requirement in the preceding sentence will apply
to annuity payments to be made to the designated
beneficiary after the expiration of the period certain.
(B) Period Certain Annuities. Unless the
participant's spouse is the sole designated beneficiary
and the form of distribution is a period certain and no
life annuity, the period certain for an annuity
distribution commencing during the participant's
lifetime may not exceed the applicable distribution
period for the participant under the Uniform Lifetime
Table set forth in Section 1.401(a)(9) -9 of the
Treasury regulations for the calendar year that
contains the annuity starting date. If the annuity
starting date precedes the year in which the
participant reaches age 70, the applicable distribution
period for the participant is the distribution period for
age 70 under the Uniform Lifetime Table set forth in
Section 1.401(a)(9) -9 of the Treasury regulations plus
the excess of 70 over the age of the participant as of
the participant's birthday in the year that contains the
annuity starting date. If the participant's spouse is the
participant's sole designated beneficiary and the form
of distribution is a period certain and no life annuity,
the period certain may not exceed the longer of the
participant's applicable distribution period, as
determined under this Subparagraph (3)(B), or the
joint life and last survivor expectancy of the participant
and the participant's spouse as determined under the
Joint and Last Survivor Table set forth in Section
1.401(a)(9) -9 of the Treasury regulations, using the
participant's and spouse's attained ages as of the
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Ordinance No. 2011 -02
Page 14
participant's and spouse's birthdays in the calendar
year that contains the annuity starting date.
(4) Form of Distribution. Unless the participant's interest
is distributed in the form of an annuity purchased from an
insurance company or in a single sum on or before the
Required Beginning Date, as of the first distribution calendar
year distributions will be made in accordance with
Subparagraphs (4)(A), (4)(B) and (4)(C) below. If the
participant's interest is distributed in the form of an annuity
purchased from an insurance company, distributions
thereunder will be made in accordance with the
requirements of Section 401(a)(9) of the Code and the
Treasury regulations. Any part of the participant's interest
which is in the form of an individual account described in
Section 414(k) of the Code will be distributed in a manner
satisfying the requirements of Section 401(a)(9) of the Code
and the Treasury regulations that apply to individual
accounts.
(A) General Annuity Requirements. If the
participant's interest is paid in the form of annuity
distributions under the Plan, payments under the
annuity will satisfy the following requirements:
(i) the annuity distributions will be paid in
Periodic payments made at intervals not longer
than one year;
(ii) the distribution period will be over a life
(or lives) or over a period certain, not longer
than the distribution period described in
Paragraphs 2 or 3 above, whichever is
applicable, of this Subsection (c);
(iii) once payments have begun over a
period certain, the period certain will not be
changed even if the period certain is shorter
than the maximum permitted;
(iv) payments will either be non - increasing
or increase only as follows:
(1) by an annual percentage
increase that does not exceed the
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Ordinance No. 2011 -02
Page 15
annual percentage increase in a cost -of-
living index that is based on prices of all
items and issued by the Bureau of Labor
Statistics;
(II) to the extent of the reduction in
the amount of the participant's payments
to provide for a survivor benefit upon
death, but only if the beneficiary whose
life was being used to determine the
distribution period dies or is no longer
the participant's beneficiary pursuant to
a qualified domestic relations order
within the meaning of Section 414(p) of
the Code;
(III) to provide cash refunds of
employee contributions upon the
participant's death; or
(IV) to pay increased benefits that
result from a Plan amendment.
(B) Amount Required to be Distributed by
Required Beginning Date. The amount that must be
distributed on or before the participant's Required
Beginning Date (or, if the participant dies before
distributions begin, the date distributions are required
to begin under Subparagraph (2)(A)(i) or (2)(A)(ii),
whichever is applicable) is the payment that is
required for one payment interval. The second
payment need not be made until the end of the next
payment interval even if that payment interval ends in
the next calendar year. Payment intervals are the
periods for which payments are received, e.g., bi-
monthly, monthly, semi - annually, or annually. All of
the participant's benefit accruals as of the last day of
the first distribution calendar year will be included in
the calculation of the amount of the annuity payments
for payment intervals ending on or after the
participant's Required Beginning Date.
(C) Additional Accruals After First Distribution
Calendar Year. Any additional benefits accruing to
the participant in a calendar year after the first
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Ordinance No. 2011 -02
Page 16
distribution calendar year will be distributed beginning
with the first payment interval ending in the calendar
year immediately following the calendar year in which
such amount accrues.
(5) For purposes of this Subsection (c), distributions are
considered to begin on the participant's Required Beginning
Date. If annuity payments irrevocably commence to the
participant (or to the participant's Surviving Spouse) before
the participant's Required Beginning Date (or, if to the
participant's Surviving Spouse, before the date distributions
are required to begin in accordance with Subparagraph
(2)(A) above), the date distributions are considered to begin
is the date distributions actually commence.
(6) Definitions.
(A) Designated beneficiary. The individual who is
designated as the beneficiary under the Plan and is
the designated beneficiary under Section 401(a)(9) of
the Code and Section 1.401(a)(9) -1, Q&A -4, of the
Treasury regulations.
(B) Distribution calendar year. A calendar year for
which a minimum distribution is required. For
distributions beginning before the participant's death,
the first distribution calendar year is the calendar year
immediately preceding the calendar year which
contains the participant's Required Beginning Date.
For distributions beginning after the participant's
death, the first distribution calendar year is the
calendar year in which distributions are required to
begin pursuant to Paragraph (2) of this Subsection
(C) Life expectancy. Life expectancy as computed
by use of the Single Life Table in Section 1.401(a)(9)-
9 of the Treasury regulations.
(d) (1) Notwithstanding any provision of the Plan to the contrary that
would otherwise limit a distributee's election under this Section, a
distributee may elect, at the time and in the manner prescribed by the
Administrator, to have any portion of an eligible rollover distribution paid
directly to an eligible retirement plan specified by the distributee in a direct
rollover.
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Ordinance No. 2011 -02
Page 17
(2) Definitions
The following definitions apply to this Section:
(A) Eligible rollover distribution: An eligible rollover
distribution is any distribution of all or any portion of the
balance to the credit of the distributee, except that an eligible
rollover distribution does not include:
(i) any distribution that is one of a series of
substantially equal periodic payments (not less
frequently than annually) made for the life (or life
expectancy) of the distributee or the ioint lives (or joint
life expectancies) of the distributee and the
distributee's designated beneficiary, or for a specified
period of 10 years or more:
(ii) any distribution to the extent such distribution
is required under Section 401(a)(9) of the Code:
(iii) the portion of any distribution that is a hardship
distribution described in Section 401(k)(2)(B)(ii)(IV) of
the Code: and
(iv) the portion of any distribution that is not
includible in gross income (determined without regard
to the exclusion for net unrealized appreciation with
respect to employer securities), provided that a
portion of a distribution shall not fail to be an eligible
rollover distribution merely because the portion
consists of after -tax Employee contributions which are
not includible in gross income. However, such portion
may be transferred only to an individual retirement
account or annuity described in Section 408(a) or (b)
of the Code, or to a qualified defined contribution plan
described in Section 401(a) or 403(a) of the Code that
agrees to separately account for amounts so
transferred, including separately accounting for the
portion of such distribution which is includible in gross
income and the portion of such distribution which is
not so includible.
(3) Eligible retirement plan: An eligible retirement plan is an
individual retirement account described in Section 408(a) of the
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Ordinance No. 2011 -02
Page 18
Code, an individual retirement annuity described in Section 408(b)
of the Code, an annuity plan described in Section 403(a) of the
Code, an annuity contract described in Section 403(b) of the Code,
a qualified trust described in Section 401 (a) of the Code, an
eligible plan under Section 457(b) of the Code which is maintained
by a state, political subdivision of a state, or any agency or
instrumentality of a state or political subdivision of a state and
which agrees to separately account for amounts transferred into
such plan from this Plan, or, with respect to distributions on or after
January 1, 2008, a Roth IRA (subject to the limitations of Code
Section 408A(c)(3)) that accepts the distributee's eligible rollover
distribution.
(4) Distributee: A distributee includes an Employee or former
Employee. In addition, the Employee's or former Employee's
surviving spouse and the Employee's or former Employee's spouse
or former spouse who is the alternate payee under a qualified
domestic relations order, as defined in Section 414(p) of the Code,
are distributees with regard to the interest of the spouse or former
spouse. Furthermore, effective January 1, 2007, a surviving
designated beneficiary as defined in Section 401(a)(9)(E) of the
Code who is not the surviving spouse and who elects a direct
rollover to an individual retirement account described in Section
408(a) of the Code or an individual retirement annuity described in
Section 408(b) of the Code shall be considered a distributee.
(5) Direct rollover: A direct rollover is a payment by the
Plan to the eligible retirement plan specified by the
distributee.
(e) Notwithstandinq any other provision of this Plan, the
maximum amount of any mandatory distribution, as defined in
Section 401(a)(31) of the Code, payable under the Plan shall be
1000.
(f) Compensation Limitations Under 401(a)(17):
In addition to other applicable limitations set forth in the Plan, and
notwithstandinq any other provision of the Plan to the contrary, the
annual compensation of each participant taken into account under
the Plan shall not exceed the EGTRRA annual compensation limit for
limitation years be-ginning after December 31, 2001. The EGTRRA
annual compensation limit is $200,000, as adjusted by the
Commissioner for increases in the cost of living in accordance with
Section 401(a)(17)(B) of the Code. The cost -of- living adjustment in
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Ordinance No. 2011 -02
Page 19
effect for a calendar year applies to any period, not exceeding 12
months, over which Compensation is determined (determination
period) beginning in such calendar year. If a determination period
consists of fewer than 12 months, the EGTRRA annual compensation
limit will be multiplied by a fraction, the numerator of which is the
number of months in the determination period, and the denominator
of which is 12.
Any reference in the Plan to the limitation under Section 401 (a)(17)
of the Code shall mean the EGTRRA annual compensation limit set
forth in this provision.
(g) At no time prior to the satisfaction of all liabilities under the
plan with respect to members and their spouses or beneficiaries,
shall any part of the corpus or income of the fund be used for or
diverted to any purpose other than for their exclusive benefit.
Section 4. All sections or parts of sections of the City Code, all
ordinances or parts of ordinances, and all resolutions or parts of resolutions in
conflict herewith, be and the same are hereby repealed to the extent of such
conflict.
Section 5. The provisions of this Ordinance are declared to be
severable and if any section, sentence, clause or phrase of this Ordinance shall
for any reason be held to be invalid or unconstitutional, such decision shall not
effect the validity of the remaining sections, sentences, clauses, and phrases of
this Ordinance but they shall remain in effect, it being the legislative intent that
this Ordinance shall stand notwithstanding the invalidity of any part.
Section 6. It is the intention of the City Commission of the City of
Aventura that the provisions of this Ordinance shall become and be made a part
of the City Code and that the sections of this Ordinance may be renumbered or
relettered and the word "ordinance" may be changed to "Chapter ", "Section ",
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Ordinance No. 2011 -02
Page 20
"Article ", or such other appropriate word or phrase, the use of which shall
accomplish the intentions herein expressed.
Section 7. This Ordinance shall become effective immediately upon
adoption on second reading.
The foregoing Ordinance was offered by Commissioner Stern, who moved
its adoption on first reading. This motion was seconded by Commissioner Joel,
and upon being put to a vote, the vote was as follows:
Commissioner Zev Auerbach
yes
Commissioner Teri Holzberg
absent
Commissioner Billy Joel
yes
Commissioner Michael Stern
yes
Commissioner Luz Urbaez Weinberg
absent
Vice Mayor Bob Diamond
yes
Mayor Susan Gottlieb
yes
The foregoing Ordinance was offered by Commissioner Auerbach, who
moved its adoption on second reading. This motion was seconded by
Commissioner Stern, and upon being put to a vote, the vote was as follows:
Commissioner Zev Auerbach
yes
Commissioner Teri Holzberg
yes
Commissioner Billy Joel
yes
Commissioner Michael Stern
yes
Commissioner Luz Urbaez Weinberg
yes
Vice Mayor Bob Diamond
yes
Mayor Susan Gottlieb
yes
PASSED AND ADOPTED on first reading this 1st day of March, 2011.
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Ordinance No. 2011 -02
Page 21
PASSED AND ADOPTED on second reading this 5 day April, 2011
Xusan Gottlieb, Mayor
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Approved as to Form and Legal Sufficiency:
City Attorney
21