Ordinance No. 2021-20 Amending Police Pension Plan to Expand Buy-Back Service Credits - November 2, 2021 CITY OF AVENTURA ORDINANCE NO. 2021-20
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 A MEMORANDUM OF UNDERSTANDING BETWEEN THE CITY AND
THE DADE COUNTY POLICE BENEVOLENT ASSOCIATION; BY
AMENDING SECTION 36-22 "DEFINITIONS"; BY AMENDING 36-27
"BUY-BACK FOR MILITARY SERVICE" TO EXPAND BUY-BACK OF
SERVICE CREDITS TO INCLUDE LAW ENFORCEMENT AND
CORRECTIONAL OFFICER SERVICE; PROVIDING FOR REPEAL;
PROVIDING FOR SEVERABILITY; PROVIDING FOR INCLUSION IN
THE CODE; AND 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, the City and the Dade County Police Benevolent Association (the
"Union") recently tentatively agreed to a Memorandum of Understanding ("MOU")wherein
the parties agreed to amend the Plan to permit its members to buy-back service credits
for periods of law enforcement and correctional institution employment with a prior
employer; and
WHEREAS, the Plan should be amended to conform with the collectively
bargained changes to the Plan as set forth in the MOU; and
WHEREAS, prior to Second Reading of this Ordinance, the City Commission
received and reviewed an actuarial impact statement concerning said changes and finds
that it is in the best interest of the City and its employees to amend the Plan.
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.
1 Words in strikee type are deletions from existing text and word in underline type are additions to existing text.
City of Aventura Ordinance No. 2021-20
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.
Buy-Back shall mean the purchase of credited service under the plan for
periods of a member's prior active duty service in the Armed Forces of the
United States, prior law enforcement service for an employer prior to being
employed by the City of Aventura or prior correctional officer service for an
employer prior to being employed by the City.
Section 3. That Chapter 36 "Retirement," Article II "Police Pension Plan and
Trust Fund," Section 36-27, "Buy-back for military service,"of the City Code of Ordinances
be amended as follows:
Sec. 36-27. — Buy-back for military service, prior law enforcement or
correctional officer service.
(b) Any member of the plan who is employed by the City shall be entitled
to buy-back service credits for the periods of public law enforcement
employment with another employer, with a lifetime maximum of four
(4) years of service credits, if:
The police officer's previous law enforcement experience was as
a full time sworn law enforcement officer in the employ of a state,
a political subdivision thereof, or with the federal government. For
purposes of determining credit for prior service, in addition to
service in this state, credit may be purchased for federal, other
state, municipal or county service as long as such service is
recognized by the Criminal Justice Standards and Training
Commission within the Department of Law Enforcement as
provided under F.S. ch. 943, or for time served with the Seminole
or Miccosukee Tribes as a Florida police officer, or the member
provides proof to the Board of Trustees that such service is
equivalent to the service required to meet the definition of a police
officer under F.S. � 185.02(16).
Page 2 of 8
City of Aventura Ordinance No. 2021-20
The cost of prior service credit is paid, which shall be the full
actuarial cost of all prior service credit purchased hereunder
computed as a lump sum payment into the plan that would have
occurred had the member been employed by the City of Aventura
as a police officer, for the period of prior service credit purchased.
A nonrefundable payment is made for the costs of all professional
services (e.g., actuarial calculations) rendered to the Board and
administrative costs in connection with the purchase of years of
credited service.
The buy-back request is made only once if followed by the
purchase, and the purchase timely paid in full before retirement
or entering the DROP, based on a lump sum or a required
installment payoff schedule. Installment payments shall be made
through a payroll deduction in accordance with Section 414(h) of
the Internal Revenue Code. The payments shall be treated as
tax-deferred picked up contributions. Contributions shall
continue until death, disability or termination of service,
whichever shall occur first. If the member cannot the pay the
remainder balance upon separation, he shall have the option to
receive either prorated credit for the service purchased to date
or a refund of amounts already paid to date without any service
credit. Any payoff schedule shall require the execution of an
irrevocable authorization form specifying the amount of the
Payment and the duration of the authorization. The specified
amount shall be determined by the Alan's actuary to be sufficient
to pay the entire actuarial cost of the purchase within the specified
duration of the payment authorization, which duration shall not
extend beyond the earliest date upon which the employee would
become eligible for normal retirement under Section 36-26. The
amount provided in the payment authorization shall include
interest, as calculated by the Alan's actuary, at the retirement
Alan's actuarially assumed rate of return on investments.
Such service credit is counted as continuous service for purposes
of benefit calculations, but not for purposes of vesting or eligibility
for benefits under this Retirement Plan.
(c) Any member of the plan who is employed by the City shall be entitled
to buy-back service credits for the periods of correctional institution
employment with another employer, with a lifetime maximum of four
(4) years of service credits, if:
Page 3 of 8
City of Aventura Ordinance No. 2021-20
The police officer's previous correctional institution experience
was as a full time correctional officer in the employ of the state, a
political subdivision thereof, or by any private entity which has
contracted with the state or county, and whose primary
responsibility is the supervision, protection, care, custody, and
control, or investigation, of inmates within a correctional
institution; however, the position must not have included any
secretarial, clerical, or professionally trained personnel.
The police officer's previous correctional institution experience
was as a full-time state correctional probation officer whose
Primary responsibility was the supervised custody, surveillance,
and control of assigned inmates, probationers, parolees, or
community controllees within institutions of the Department of
Corrections or within the community. A correctional probation
officer also includes supervisory personnel whose duties include,
in whole or in part, the supervision, training, and guidance of
correctional probation officers, but excludes management and
administrative personnel above, but not including, the probation
and parole regional administrator level.
For purposes of determining credit for prior service, in addition to
service in this state, credit may be purchased for other state,
municipal or county service as long as such service is equivalent
to the service required to meet the definition of a correctional
officer or correctional probation officer under F.S. � 943.10(2) and
943.10(3), respectively.
The cost of prior service credit is paid, which shall be the full
actuarial cost of all prior service credit purchased hereunder
computed as a lump sum payment into the plan that would have
occurred had the member been employed by the City of Aventura
as a police officer, for the period of prior service credit purchased.
A nonrefundable payment is made for the costs of all professional
services (e.g., actuarial calculations) rendered to the Board and
administrative costs in connection with the purchase of years of
credited service.
The buy-back request is made only once if followed by the
purchase, and the purchase timely paid in full before retirement
Page 4 of 8
City of Aventura Ordinance No. 2021-20
or entering the DROP, based on a lump sum or a required
installment payoff schedule. Installment payments shall be made
through a payroll deduction in accordance with Section 414(h) of
the Internal Revenue Code. The payments shall be treated as
tax-deferred picked up contributions. Contributions shall
continue until death, disability or termination of service,
whichever shall occur first. If the member cannot the pay the
remainder balance upon separation, he shall have the option to
receive either prorated credit for the service purchased to date
or a refund of amounts already paid to date without any service
credit. Any payoff schedule shall require the execution of an
irrevocable payroll deduction authorization form, specifying the
amount of the deductions and the duration of the authorization.
The specified amount shall be determined by the plan's actuary
to be sufficient to pay the entire actuarial cost of the purchase
within the specified duration of the payroll deduction
authorization, which duration shall not extend beyond the earliest
date upon which the employee would become eligible for normal
retirement under Section 36-26. The amount provided in the
Payroll deduction authorization shall include interest, as
calculated by the Alan's actuary, at the retirement plan's
actuarially assumed rate of return on investments.
Such service credit is counted as continuous service for purposes
of benefit calculations, but not for purposes of vesting or eligibility
for benefits under this Retirement Plan.
{)-)_Ld) A member who is receiving, or will receive the pension benefit for
military service, prior law enforcement or correctional institution
experience in any other pension plan supported by public funds,
excluding a military pension, may not use that service for
purchased prior service pursuant to this section for this Pension
Plan-; provided, a member may make a direct transfer of eligible
rollover distributions of all or any portion of the balance in
another eligible retirement plan that is attributable to such other
prior law enforcement or correctional institution experience to
purchase additional service, in accordance with section 36-
27(e). The. , and shall execute a Board-provided form
acknowledging the same.
(e) The Plan fund will accept member rollover cash contributions
and/or direct cash rollovers of distributions for the purchase of
service as authorized under Section 36-27, as follows:
Page 5 of 8
City of Aventura Ordinance No. 2021-20
(1) Direct rollovers or member rollover contributions from other
plans. The fund will accept either a direct rollover of an eligible
rollover distribution or a member contribution of an eligible
rollover distribution from a qualified plan described in section
403(a) of the Internal Revenue Code, from an annuity contract
described in section 403(b) of the Internal Revenue Code, or from
an eligible plan under section 457(b) of the Internal Revenue
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.
(2) Member rollover contributions from 401(a) plans and IRAs. The
fund will accept a member rollover contribution of the portion of a
distribution from a qualified plan described in section 401(a) of
the Internal Revenue Code, or from an individual retirement
account or annuity described in section 408(a) or 408(b) of the
Internal Revenue Code, that is eligible to be rolled over.
Section 4. 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 5. 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 6. 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.
Section 7. Effective Date. This Ordinance shall be effective upon passage by
the City Commission on second reading.
Page 6 of 8
City of Aventura Ordinance No. 2021-20
The foregoing Ordinance was offered by Commissioner Shelley, who moved its
adoption on first reading. This motion was seconded by Vice Mayor Dr. Marks and upon
being put to a vote, the vote was as follows:
Commissioner Jonathan Evans Yes
Commissioner Rachel S. Friedland Yes
Commissioner Denise Landman Yes
Commissioner Marc Narotsky Yes
Commissioner Robert Shelley Yes
Vice Mayor Dr. Linda Marks Yes
Mayor Enid Weisman Yes
The foregoing Ordinance was offered by Commissioner Shelley, who moved its
adoption on second reading. This motion was seconded by Vice Mayor Friedland and
upon being put to a vote, the vote was as follows:
Commissioner Jonathan Evans Yes
Commissioner Denise Landman Yes
Commissioner Dr. Linda Marks Yes
Commissioner Marc Narotsky Yes
Commissioner Robert Shelley Yes
Vice Mayor Rachel S. Friedland Yes
Mayor Enid Weisman Yes
PASSED on first reading on this 5th day of October, 2021 .
PASSED AND ADOPTED on second reading on this 2nd day of November, 2021.
Page 7 of 8
City of Aventura Ordinance No. 2021-20
•
c
ENID WEISMAN, MAYOR
ATTEST:
ELLISA L. HORVA H, MMC
CITY CLERK
APPROVED AS TO LEGAL SUFFICIENCY:
,A !A � n
CITY ATTORNEY
Page 8 of 8