HomeMy WebLinkAboutOrdinance No. 98-26 ORDINANCE NO. 98-26
AN ORDINANCE OF THE CITY OF FRIENDSWOOD, GALVESTON/HARRIS
COUNPIES, TEXAS, AUTHORIZING AND ALLOWING, UNDER THE ACT
GOVERNING THE TEXAS MUNICIPAL RETIREMENT SYSTEM, "UPDATED
SERVICE CREDITS" IN SAID SYSTEM ON AN ANNIIAL 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 FRIENDSWOOD; PROVIDING FOR
INCREASED MUNICIPAL CONTRIBUTIONS TO THE CURRENT SERVICE
ANN[JITY RESERVE AT RETIREMENT; INCREASING THE RATE OF
DEPOSITS TO THE TEXAS MUNICIPAL RETIREMENT SYSTEM; AND
ESTABLISHING AN EFFECTIVE DATE FOR THE ORDINANCE.
* * * * * * * *
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FRIENDSWOOD, STATE OF
TEXAS:
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 "System") who has current service credit or prior service
credit in the System in force and effect on the lst day of January of the
calendar year preceding such allowance, by reason of service in the
employment of the City (hereinafter called the "City") and on such date had
at least 36 months of credited service with System, shall be and is hereby
allowed "Updated Service Credit" (as the term is defined in subsection (d)
of Section 853 .402 of the TRMS Act) .
(b) On the terms and conditions set out in Section 853 .601 of the TRMS
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 participation municipality of
municipalities by reason of previous service, and was a contributing member
on the lst 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 thereunder and all future grants under
this ordinance.
(c) The Updated Service Credit hereby allowed and provided for shall be
100% of the "base" Updated Service Credit" of the member (calculated as
provided in subsection (c) of Section 853 .402 of the TRMS 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.
098.26/LST03
(e) The initial allowance of Updated Service Credit hereunder shall be
effective on January l, 1999, subject to approval by the Board of Trustees
of the System. An allowance shall be made hereunder on January l, of each
subsequent year until this ordinance ceases to be in effect under subsection
(e) of Section 853 .404 of the TRMS 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 TRMS Act.
(f) In accordance with the provisions of subsection (d) of Section
853 .401 of the TRMS 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.
BE IT FURTHER ORDAINED:
That effective January l, 1999, for each month of current service thereafter
rendered by each of its employees who are members of the Texas Municipal
Retirement System, the city will contribute to the current service annuity
reserve of each such member at the time of his or her retirement, a sum that
is 200% of such member's accumulated deposits for such month of employment;
and said sum shall be contributed from the City' s account in the
municipality accumulation fund.
That all employees of the City, who are members of the Texas Municipal
Retirement system, shall make deposits to the System at the rate of 7% of
their individual earnings.
Effective date. Subject to approval by the Board of Trustees of the System,
this ordinance shall be and become effective on the lst day of January, 1999.
PASSED AND APPROVED ON FIRST READING this 17'th day of AUCJUS t �1998.
PASSED, APPROVED AND ADOPTED ON SECOND AND FINAL READING this 14'tYl day of
September , 1998.
Mayor Harold L. Whitaker
City of Friendswood
ATTEST:
Deloris McKenzi , T C
City Secretary
Motion - Councilmember Hajecate
2nd - Councilmember Ericsson
Approved - Unanimously
098 .26/LST03