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2014-11 ORDINANCE NO. 2014-11 AN ORDINANCE OF THE CITY OF AVENTURA, FLORIDA, AMENDING CHAPTER 36 "RETIREMENT," ARTICLE II "POLICE PENSION PLAN AND TRUST FUND," IN ACCORDANCE WITH CHANGES CONTAINED IN THE COLLECTIVE BARGAINING AGREEMENT BETWEEN THE CITY AND DADE COUNTY POLICE BENEVOLENT ASSOCIATION FOR THE PERIOD OCTOBER 1, 2013 THROUGH SEPTEMBER 30, 2016; BY AMENDING SECTION 36-22 "DEFINITIONS" TO REVISE THE DEFINITION OF "EARNABLE COMPENSATION"; BY AMENDING SECTION 36-24 "CONTRIBUTIONS" TO CHANGE THE EMPLOYEE CONTRIBUTION RATE; AND BY ADDING SECTION 36-36 "COST OF LIVING ADJUSTMENT"; PROVIDING FOR REPEAL; PROVIDING FOR SEVERABILITY; PROVIDING FOR INCLUSION IN THE CODE; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City of Aventura (the "City") maintains a defined benefit pension plan for its certified police officers, which is known as the City of Aventura Police Officers' Retirement Plan (the "Plan"), and which is codified in Chapter 36 of the City Code; and WHEREAS, on April 17, 2014, the City and the Dade County Police Benevolent Association ("PBA") ratified a collective bargaining agreement ("CBA"), wherein the parties agreed that, following ratification of the CBA, the City would adopt an ordinance amending the Plan to provide for the codification of the changes to the Plan set forth in the CBA; and WHEREAS, the Plan should be amended to conform with the collectively bargained changes to the Plan as set forth in the CBA; and WHEREAS, the City Commission finds that it is in the best interest of the City and its employees to amend the Plan; and Ordinance No. 2014-11 Page 2 WHEREAS, prior to Second Reading of this Ordinance, 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. That each of the above-stated recitals are hereby adopted and confirmed. Section 2. That Chapter 36 "Retirement," Article II "Police Pension Plan and Trust Fund," Section 36-22, "Definitions," of the City Code of Ordinances be amended as follows: Sec. 36-22. - Definitions. Earnable compensation shall mean a member's base pay for regular hours worked as an employee, up to 300 hours per year of 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 to an 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. Pursuant to F.S. § 440.21, pension contributions shall not be deducted from a member's workers' compensation award. Words in strikeout type are deletions from exist text and word in underline type are additions to existing text. Page 2 of 6 Ordinance No. 2014-11 Page 3 * * * Section 3. That Chapter 36 "Retirement," Article II "Police Pension Plan and Trust Fund," Section 36-24, "Contributions," of the City Code of Ordinances be amended as follows: Sec. 36-24. - Contributions. (a) The City shall pick-up, rather than deduct from each member's pay, beginning with the day of employment, six and three tenths percent of the member's earnable compensation. Effective October 1, 2005, the member contribution shall increase to 6.775 percent of the member's earnable compensation. Effective October 1, 2015, the member contribution shall increase to 10.775 percent of the member's earnable compensation. The monies so picked up shall be deposited in the fund immediately after each pay period. An account record shall be maintained continuously for each member. Pick-up contributions shall continue until death, disability or termination of service, whichever shall occur first. Contributions shall remain in the fund unless withdrawn as provided in the plan. No member shall have the option to choose to receive the contributed amounts directly instead of having them paid by the City directly into the plan. All such pick-up contributions by the City shall be deemed and be considered as part of the member's accumulated contributions and subject to all provisions of the plan pertaining to accumulated contributions of members. The intent of this provision is to comply with Section 414(h)(2) of the Internal Revenue Code. For the purpose of accruing and calculating pension benefits, and for all other purposes of calculating wage related benefits and calculations, the amounts picked up under this section shall be considered part of the earnable compensation. * * * Section 4. That Chapter 36 "Retirement," Article II "Police Pension Plan and Trust Fund," Section 36-36, "Cost of living adjustment," of the City Code of Ordinances be added as follows: Sec. 36-36. — Cost of living adjustment. Reserved, Page 3 of 6 Ordinance No. 2014-11 Page 4 Effective October 1, 2015, an annual cost of living increase of two (2) percent of the benefit paid the preceding month shall be paid each year, beginning the fifth year after a member or beneficiary first begins receiving benefits, to each member who is in service on or after October 1, 2015, and to each beneficiary of a member who is in service on or after October 1, 2015, who is receiving a normal or early service retirement benefit, a deferred vested normal or early service retirement benefit, a survivor annuity benefit, the remainder of a ten year certain benefit, a death benefit, or a disability benefit. Section 5. Repeal. All sections or parts of sections of the Code of Ordinances of the City of Aventura, 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 6. Severability. Should any section or provision of this Ordinance, or any paragraph, sentence or word, be declared by a Court of competent jurisdiction to be invalid, such decision shall not affect the validity of the remainder hereof, as a whole or a part hereof, other than the part declared to be invalid. Section 7. Inclusion in the Code. 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 Ordinances of the City of Aventura and that the sections of this Ordinance may be renumbered or relettered and the word "ordinance" may be changed to "Chapter", "Section", "Article", or such other appropriate word or phrase, the use of which shall accomplish the intentions herein expressed. Page 4 of 6 Ordinance No. 2014-11 Page 5 Section 8. Effective Date. This Ordinance shall be effective upon passage by the City Commission on second reading. The foregoing Ordinance was offered by Commissioner Stern, who moved its adoption on first reading. This motion was seconded by Commissioner Howard Weinberg and upon being put to a vote, the vote was as follows: Commissioner Enbar Cohen yes Commissioner Teri Holzberg yes Commissioner Michael Stern yes Commissioner Howard Weinberg yes Commissioner Luz Urbaez Weinberg yes Vice Mayor Billy Joel yes Mayor Susan Gottlieb yes The foregoing Ordinance was offered by CI ommissioner Cohen, who moved its adoption on second reading. This .notion was seconded by Commissioner Holzberg, and upon being put to a vote, the vote was as follows: Commissioner Enbar Cohen yes Commissioner Teri Holzberg yes Commissioner Michael Stern yes Commissioner Howard Weinberg yes Commissioner Luz Urbaez Weinberg yes Vice Mayor Billy Joel yes Mayor Susan Gottlieb yes PASSED on first reading this 2nd day of September, 2014. Page 5 of 6 Ordinance No. 2014-1 Page 6 PASSED AND ADOPTED on second reading this 17th day of September, 2014. 4)/"kin, XY' SusaA Gottlieb, Mayor ATTEST: 4' jr)1, 'i•sa M. Sore, MMC City Clerk Approved as to Legal Sufficiency v‘.„‘ Lny....L\ City Attorney '`,••; efy 06 Page 6 of 6