HomeMy WebLinkAbout2003-2673 - Ordinance - 10/23/2003ORDINANCE NO. 2673
AN ORDINANCE AUTHORIZING AND ALLOWING, UNDER THE ACT
GOVERNING THE TEXAS MUNICIPAL RETIREMENT SYSTEM, "UPDATED
SERVICE CREDITS" IN SAID SYSTEM ON AN ANNUAL BASIS FOR SERVICE
PERFORMED BY QUALIFYING MEMBERS OF SUCH SYSTEM WHO AT THE
EFFECTIVE DATE OF THE ALLOWANCE ARE iN THE EMPLOYMENT OF
THE CITY OF COLLEGE STATION; PROVIDING FOR INCREASED PRIOR
AND CURRENT SERVICE ANNUITIES FOR RETIREES AND BENEFICIARIES
OF DECEASED RETIREES OF THE CITY; TO INCREASE THE RATE OF
DEPOSITS TO THE TEXAS MUNICIPAL RETIREMENT SYSTEM BY THE
EMPLOYEES OF THE CITY; AND ESTABLISHING AN EFFECTIVE DATE
FOR THE ORDINANCE.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF COLLEGE
STATION, TEXAS:
Section 1. Authorization of Updated Service Credits.
(a) On the terms and conditions set out in Sections 853.401 through 853.404 of
Subtitle G of Title 8, Government Code, as amended (hereinafter referred to as the "TMRS
ACT"), each member of the Texas Municipal Retirement System (hereinafter referred to as
the "System") who has current service credit or prior service credit in the System in fome
and effect on the 1st day of January of the calendar year preceding such allowance, by
reason of service in the employment of the City, and on such date had at least 36 months of
credited service with the System, shall be and is hereby allowed "Updated Service Credit"
(as that term is defined in subsection (d) of Section 853.402 of the TMRS Act).
(b) On the terms and conditions set out in Section 853.601 of the TMRS Act,
any member of the System who is eligible for Updated Service Credits on the basis of
service with this City, who has unforfeited credit for prior service and/or current service
with another participating municipality or municipalities by reason of previous service, and
was a contributing member on the 1st day of January of the calendar year preceding such
allowance, shall be credited with Updated Service Credits pursuant to, calculated in
accordance with, and subject to adjustment as set forth in said Section 853.601, both as to
the initial grant hereunder and all furore grants under this ordinance.
(c) The Updated Service Credit hereby allowed and provided for shall be one
hundred percent (100%) of the "base Updated Service Credit" of the member (calculated
as provided in subsection (c) of Section 853.402 of the TMRS Act).
(d) Each Updated Service Credit allowed hereunder shall replace any Updated
Service Credit, prior service credit, special prior service credit, or antecedent service credit
previously authorized for part of the same service.
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ORDINANCE NO. 2673
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(e) In accordance with the provisions of subsection (d) of Section 853.401 of
the TMRS Act, the deposits required to be made to the System by employees of the several
participating departments on account of current service shall be calculated from and after
the effective date of this ordinance on the full amount of such person's compensation as an
employee of the City.
Section 2. Increase in Retirement Annuities.
(a) On terms and conditions set out in Section 854.203 of the TMRS Act, the
City hereby elects to allow and to provide for payment of the increases below stated in
monthly benefits payable by the System to retired employees and to beneficiaries of
deceased employees of the City under current service annuities and prior service annuities
arising from service by such employees to the City. An annuity increased under this
Section replaces any annuity or increased annuity previously granted to the same person.
(b) The amount of the annuity increase under this Section is computed as the
sum of the prior service and current service annuities on the effective date of retirement of
the person on whose service the annuities are based, multiplied by seventy percent (70%)
of the percentage change in Consumer Price Index for All Urban Consumers, from
December of the year immediately preceding the effective date of the person's retirement
to the December that is 13 months before the effective date of this Section.
(c) An increase in an annuity that was reduced because of an option selection is
reducible in the same proportion and in the same manner that the original annuity was
reduced.
(d) If a computation hereunder does not result in an increase in the amount of
an annuity, the amount of the annuity will not be changed hereunder.
(e) The amount by which an increase under this Section exceeds all previously
granted increases to an annuitant is an obligation of the City and of its account in the
municipality accumulation fund of the System.
Section 3. Dates of Allowances and Increases.
The initial allowance of Updated Service Credit and Increase in Retirement
Annuities hereunder shall be effective on January l, 2004, subject to approval by the
Board of Trustees of the System. An allowance of Updated Service Credits and an
increase in retirement annuities shall be made hereunder on January 1 of each subsequent
year until this ordinance ceases to be in effect under subsection (e) of Section 853.404 of
the TMRS Act, provided that, as to such subsequent year, the actuary for the System has
made the determination set forth in subsection (d) of Section 853.404 of the TMRS Act.
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BE IT FURTHER ORDAINED:
Increased Deposit Rate. All employees of the City, who are members of thc Texas
Municipal Retirement System, shall make deposits to the System at the rate of seven
percent (7%) of their individual earnings effective the 1 st day of January, 2004.
Effective Date. Subject to approval by the Board of Trustees of the System, this ordinance
shall be and become effective on the 1 st day of January, 2004.
Passed and approved this the 23rd day of October, 2003.
ATTEST:
CONNIE HOOKS, City Secretary
APPROVED:
APPROVED:
city
p/group/agen-cal?for legal review/9-23-O3/tml ordinance