2004-13
ORDINANCE NO, 2004-13
AN ORDINANCE OF THE CITY OF AVENTURA, FLORIDA
AMENDING ORDINANCE 2004-07 WHICH ADOPTED THE
POLICE PENSION PLAN AND TRUST FUND AS
REQUESTED BY THE STATE OF FLORIDA DIVISION OF
RETIREMENT; PROVIDING FOR SEVERABILITY;
PROVIDING FOR CODIFICATION; PROVIDING AN
EFFECTIVE DATE.
WHEREAS, the City of Aventura has determined that the creation of a local law
pension plan is in the best interests of the police officers and citizens of the City of
Aventura;
WHEREAS, the City Commission of the City of Aventura concurs that
establishment of a local law pension plan is the most efficient means of complying with
state law and is in the best interests of the citizens and taxpayers of the City; and
WHEREAS, the State of Florida Division of Retirement has requested
clarification of plan language;
NOW, THEREFORE, BE IT ORDAINED by the City Commission of the City of
Aventura:
Section 1. Sections
hereby amended as follows:
(I) and (L) of the Aventura City Code is
SECTION -' DEFINITIONS.
I.
Credited Service
shall mean membership credit upon which a member's eligibility to receive benefits
under the Retirement Plan is based or upon which the amount of such benefits is to be
determined and shall be calculated based on the aaareaate number of years of service
and fractional parts of years of service of any police officer. omittina intervenina years
and fractional parts of years when such police officer may not have been employed bv
the City. The term credited service shall be interpreted in accordance with Section
185.02. Florida Statutes. unless otherwise provided herein.
L.
Earnable Compensation
shall mean a member's base pay for regular hours worked as an employee, overtime
Ordinance No. 2004-13
Page 2
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. Compensation for any plan year shall not include any amounts in
excess of the Internal Revenue Code Section 401 (a)(17) limitation as adjusted for
change in the cost of living in the manner prescribed by the IRC, Section 401 (a)(17)(B).
Pursuant to Section 440.21. Florida Statutes. pension contributions shall not be
deducted from a member's workers' compensation award.
Section 2. Section
amended as follows:
(H) (4) of the Aventura City Code is hereby
SECTION
, SERVICE RETIREMENT BENEFIT.
H.
4.
Other Options. The Retirees may, by uniform rule, establish any other
optional form of payment, which is the actuarial equivalent of any other
form of retirement provided for in this Plan, or which optional form of
payment is cost neutral to the Plan. An interest only option or an option
providing guaranteed payments over a period in excess of twenty (20)
years or beyond age eighty-five (85) may not be offered. The Board, in its
sole discretion, may make a lump sum distribution which is the actuarial
equivalent of the monthly benefit if the lump sum is not greater than
$+,7W $2.500.00. or if the monthlv retirement income is less than $100.
Section 3. Section
amended as follows:
(A) of the Aventura City Code is hereby
SECTION_. BUY-BACK FOR MILITARY SERVICE.
A.
Any member of the Plan who is employed by the City prior to entry into
military service and who takes a leave of absence for the purpose of
entering into military service in the Armed Forces of the United States and
thereafter re-enters the employ of the City, and is vested, shall be entitled
to purchase service credits for the period of absence by contributing the
actuarial cost of the benefit which would have been earned had the
member continued in City employment for the period of military service
Ordinance No. 2004-13
Page 3
based on the salary in effect on the date of the leave of absence, for each
year being purchased; except to the extent that state or federal law shall
require the provision of service credit without a member contribution.
There shall be no credit for military service prior to City employment as a
police officer.
In determinina the creditable service of anv police officer. credit for UP to
five (5) vears of the time spent in the militarv service of the Armed Forces
of the United States shall be added to the vears of actual service. if:
1. The police officer is in the active emplov of the municipalitv prior to
such service and leaves a position. other than a temporary position. for
the purpose of voluntary or involuntary service in the Armed Forces of the
United States.
2. The police officer is entitled to reemplovment under the provisions of
the Uniformed Services Emplovment and Reemplovment Riahts Act.
3. The police officer returns to his or her emplovment as a police officer of
the municipality within 1 vear from the date of his or her release from such
active service.
Section 4, Section (D), (F), (K), (L) and (N) of the
Aventura City Code are hereby amended as follows:
SECTION -' DISABILITY.
D.
The service-incurred disability benefit shall be paid in equal monthly
installments in an amount equal to the member's accrued benefit, but not
less than forty-two (42%) percent of the member's final monthly
compensation as of the date of disability retirement. This benefit shall be
in addition to any short or long term disability benefit provided by the City;
but, shall be subject to offset for workers' compensation paid by the City
as permitted by law. Pursuant to Section 185.18(5). Florida Statutes.
service-incurred disability benefits mav not be offset below 42% of
averaae monthlv compensation.
F.
Disability benefits shall be paid on the first day of each month. No benefit
shall be paid until the Board of Trustees has actually considered and
voted upon entitlement to disability. The month Iv retirement income to
which a police officer is entitled in the event of his or her disability
retirement shall be pavable on the first dav of the first month after the
board of trustees determines such entitlement. However. the monthlv
Ordinance No. 2004-13
Page 4
retirement income shall be pavable as of the date the board determines
such entitlement. and anv portion due for a partial month shall be paid
toaether with the first pavment. The last pavment will be. if the police
officer recovers from the disabilitv. the pavment due next precedina the
date of such recovery or. if the police officer dies without recoverina from
his or her disabilitv. the pavment due next precedina death or the 120th
month Iv pavment. whichever is later. In lieu of the benefit pavment as
provided in this subsection. a police officer mav select an optional form of
benefit. Anv monthlv retirement income pavments due after the death of a
disabled police officer shall be paid to the police officer's desianated
beneficiary or beneficiaries.
K.
Application for disability retirement shall be made on a form prescribed by
the Board of Trustees. The member shall execute such medical releases
as are necessary to permit the Board of Trustees to review the medical
records needed to determine the question of disability and to discuss said
records at a public meeting. Upon receipt of an application for disability,
the Board shall appoint a medical committee to be composed of not less
than one nor more than three licensed physicians. The applicant for
disability shall be required to submit to examination by the medical
committee. The medical committee shall report its findings to the Board
of the Trustees which shall include a determination, to the extent
reasonably possible, the origin of the disability, whether the disability is
permanent, and whether the disability is total. In making that
determination, the medical committee shall be bound by the definition of
disability set forth in this Plan. The decision to arant or denv a disability
application shall rest exclusivelv within the discretion of the Board of
Trustees. who shall complv with the provisions of this Plan as well as the
disability provisions of Chapter 185. Florida Statutes.
L.
Upon receipt of the report of the medical committee, the Trustees shall
schedule a public hearing at which time the Board shall review all reports
of the medical committee, together with any such documentary evidence
as the applicant may wish to submit. The Board shall conduct a
preliminary determination as to whether the member is permanently and
totally disabled based upon the written documentation presented. If the
Board does not grant the application based on the written documentation,
it shall inform the member in writing of the reasons for the denial of the
application. The member may, within thirty (30) days of receipt of the
Board's preliminary denial, request a full evidentiary hearing before the
Board. SaiE! hearing will be ceRE!l:steE! sensisteRt with tl:1e ¡¡riRsi¡¡les ef
E!l:e ¡¡resess aRE! tl:1e rl:les ef eviE!ense generally a¡¡¡¡lisaale te
aGiministrati'/e ¡¡reGeeE!in¡s shall apply. The BearE! shall have tl:1e ¡¡ewer
Ordinance No. 2004-13
Page 5
to issue SUBpoenas seml3elling tl:1e attendanGe €If '-"itResses. N. said
hearing the applicant may ¡;¡resenl Sl;l61:1 eral aRe! '.'ritten evie!en6e as Il:1e
al3¡¡lisant E!eems nesessary te eslaBlisl:1 ils BI;IF8en ef I3reef. The 8earEl
may al3l3eint s¡¡esial Gel;lnsel as an adveGale Ie Gress examine '!-,itResses
and 10 offer ar~ument in e¡¡pesitien Ie the a¡¡¡¡IiGatien. Tl:1e attorney fer
the 8eara shall nel seI'Ve Bell:1 as aE!veGate anE! as aE!viser te 1I:1e 8earE! in
the same preseedin¡¡. Tl:1e a¡¡¡¡lisant and the Bear-d shalll:1ave 1I:1e ri¡¡l:1t te
examine and cross examine all witnesses. The Board shall have the
authoritv to adopt administrative rules and reaulations aovernina disability
hearinas. The decision of the Board shall be based solely upon the
evidence presented and the law applicable to this Plan. Following the
conclusion of the hearing, the Board shall render an opinion in writing
setting forth the reasons for the grant or denial of the benefit. In the event
that the disability benefit is denied, the applicant shall have the right to
judicial review by complaint for common law certiorari in the Circuit Court
of Miami-Dade County.
N.
No member shall be granted a disability pension upon a determination by
the Board that the disability resulted from:
5.
Excessive and habitual use of drugs, intoxicants or narcotics;
Injury or disease sustained while wilfully and illegally participating in fights,
riots, civil insurrections or while committing a crime;
Injury or disease arising from service in the armed forces;
Injury or disease sustained after employment as a police officer has
ended;
Iniurv or disease sustained while workina for anvone other than the city
and arisina out of such emplovment. .^.ny eGG,rrenGe aFisin¡¡ frem
Gem¡¡ensaBle em¡¡leymenll;lnrelated to regular City employment.
1.
2.
3.
4.
Section 5,
amended as follows:
Section
B of the Aventura City Code is hereby
SECTION -" VESTING AND TERMINATION,
B.
A member who shall leave the service of the City prior to eligibility for normal
service retirement or early service retirement, but who has completed ten (10)
years of creditable service shall be entitled to receive retirement benefits
commencing at the regular normal service retirement date. Such benefits will be
based on final monthly compensation and credited service as of the date of
termination. If anv deferred vested member who has been in the service of the
municipality for at least 10 vears elects to leave his or her accrued contributions
with the Plan. the member mav select earlv retirement upon attainina ace 50 or
Ordinance No. 2004-13
Page 6
older. Earlv retirement benefits shall be paid at the actuarial equivalent of the
amount of such retirement income otherwise pavable. as provided in Section
185.16(4). Florida Statutes.
Section 6, The City contribution, effective October 1, 2003 shall be fourteen and
one-half (14.5%) percent of covered payroll. The employee contribution rate shall be
six and three tenths (6.3%) percent. The assumed rate of Chapter 185 insurance
premium tax rebates shall be five (5%) percent of covered payroll. Future contribution
increases or decreases in the plan shall be shared equally between the employees and
the City through September 30, 2005, Consistent with the requirements of Section
112.66 and 185.07. Florida Statutes. the Citv shall contribute the amount necessary to
maintain the Plan on an actuariallv sound basis. To the extent that anv chances are
required in the member contribution rate. a separate amendment shall be required to
reflect the revised member contribution.
Section 7, Employees hired as a City of Aventura police officer prior to October
1, 2000 shall be eligible to receive credited service from the initial date of employment
as a police officer at the Plan's three (3%) benefit accrual rate, provided the member
transfers all funds from the city 401 (a) plan to the defined benefit plan effective October
1, 2003. Emplovees hired as a Citv of Aventure police officer prior to October 1. 2000
who elect not to transfer all funds from the city 401 (a) plan shall onlv receive prior
credited service at a two percent (2%) benefit accrual rate. The City shall make no
further contributions to the 401 (a) plan. Employees hired as a City of Aventura police
officer after October 1, 2000 shall receive credited service effective October 1, 2003
and shall retain all balances to their credit in the 401 (a) plan; provided, however, that
the City shall make no further contributions to the 401 (a) plan. Employees hired as a
City of Aventura Police Officer on or after October 1, 2000 shall continue to accrue
vesting rights in the 401 (a), but the City shall make no additional contributions.
Section 8, Should this ordinance or any part thereof be declared invalid by a
Court of competent jurisdiction, the invalidity of any part of this ordinance shall not
otherwise affect the validity of the remaining provisions of this ordinance, which shall be
deemed to have been enacted without the invalid provision.
Section 9, 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 Code of
the City of Aventura, and that the word "ordinance" may be changed to "section,"
"article," or such other appropriate word or phrase in order to accomplish such
intentions.
Section 10. This ordinance shall become effective immediately upon its
passage.
Ordinance No. 2004-13
Page 7
The foregoing Ordinance was offered by Commissioner Holzberg, who moved its
adoption on first reading. This motion was seconded by Commissioner Cohen, and
upon being put to a vote, the vote was as follows:
Commissioner lev Auerbach
Commissioner Jay R. Beskin
Commissioner Ken Cohen
Commissioner Manny Grossman
Commissioner Harry Holzberg
Vice Mayor Bob Diamond
Mayor Jeffrey M. Perlow
yes
yes
yes
yes
yes
yes
yes
The foregoing Ordinance was offered by Commissioner Cohen, who
moved its adoption on second reading. This motion was seconded by Vice Mayor
Diamond and upon being put to a vote, the vote was as follows:
Commissioner lev Auerbach
Commissioner Jay R. Beskin
Commissioner Ken Cohen
Commissioner Manny Grossman
Commissioner Harry Holzberg
Vice Mayor Bob Diamond
Mayor Jeffrey M. Perlow
yes
yes
yes
yes
yes
yes
yes
PASSED AND ADOPTED on first reading this 4th day of May, 2004.
Ordinance No. 2004-.u
Page 8
PASSED AND ADOPTED on second reading this 1st day of June, 2004.
Â;~, MAYOR
APPROVED AS TO LEGAL SUFFICIENCY:
Jh-I H?) ~
CITY ATTORNEY