HomeMy WebLinkAboutOrdinance No. 87-27 ORDINANCE 87-27
TEXAS MUNICIPAL RETIREMENT SYSTEM
AN ORDINANCE AUTHORIZING AND ALLOtiJING ,
UNDER THE ACT GOVERNING THE TEXAS �UNICIPAL
RETIREMENT SYSTEM, "UPDATED SERVICE CREDITS"
IN SAID SYSTEM FOR SERVICE PERFORMED BY
QUALIFYING MEMBERS OF SUCH SYSTEM ti�HO
PRESENTLY ARE IN THE Er4PL0YMENT OF THE CITY
OF FRIENDSWOOD; PROVIDING FOR INCREASED
PRIOR AND CURRENT SERVICE ANNUITIES FOR
RETIREES AND BENEFICIARIES OF DECEASED
RETIREES OF THE CITY; AND ESTABLISHING AN
EFFECTIVE DATE FOR SUCH ACTIONS .
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FRIENDSWOOD ,
TEXAS :
SECTION 1 . AUTHORIZATION OF UPDATED SERVICE CREDIT'S .
A) ON THE TERMS AND CONDITIONS SET OUT IN SFCTIOPIS 63 • �01
THROUGH 63 . u03 OF TITLE 110B , REVISED CIVIL STATUTES OF TEXAS ,
1925 , AS AMENDED , EACH MEMBER OF THE TEXAS NIIINICIPAL RETIREMENT
SYSTEM WHO HAS CURRENT SERVICE CREDIT OR PRIOR SERVICE CREDIT I�
SAID SYSTEM IN FORCE AND EFFECT ON THE 1ST DAY OF JANiJARY , 19�7 ,
BY REASON OF SERVICE IN THE EMPLOYAIENT OF TE�E CITY OF
FRIENDSWOOD , AND Oid SUCH DATE HAS AT LEAST 36 MOPdTNS OF CREDITED
SERVICE WITH SAID SYSTEM, SHALL BE AND IS HEREBY ALL04�ED "UPDATED
SFRVICE CREDIT" (AS THAT TERM IS DEFINED IN SUBSF;C7'IOTd (d ) OF
SECTION 63 • �02 OF SAID TITLE) IN AN AMOUNT THAT IS 100K OF TFiE
"BASR UPDATED SERVICE CREDIT" OF THE rfEh4BER ( CALCULATFD AS
PROVIDED IN SUBSECTION ( c ) OF SECTION 63 . 402 OF SAID Z'I'TLE) . 'TFIE
UPDATED SERVICE CREDIT HEREBY ALLOWED SHALL REPL.ACE AP1Y UPD�ITED
SERVICE CREDIT , PRIOR SERVICE CREDIT , SPECIAL PfiIOR SERVICE
CREDIT , OR ANTECEDENT SERVICE CREDIT PREVIOUSLX AUTHOR77ED FOR
PART OF THE SAME SERVICE .
( B) IN ACCORDANCE WITH THE PROVISIONS OF SUBSECTION (D) OF
SECTION 63 • ��1 OF SAID TITLE , THE DEPOSITS REQUIRED TO BE rl�DE TO
THE TEXAS MUNICIPAL RETIREr1ENT SYSTEM BY EMPLOYEES OF THE SEVERAL
PARTICIPATING DEPARTMENTS ON ACCOUNT OF CURRENT SERVICE SHALL BE
CALCULATED FROP4 AND AFTER THE DATE AFORESAID ON THE FULL AP�fOUNT
OF SUCH PERSON 'S EARNINGS AS AN EMPLOYEE OF THE CITY .
SECTION 2 . INCREASE IN RETIREMENT ANNUITIES .
( A) ON TERMS AND CONDITIONS SET OUT IN SECTION 64 . 203 OF
TITLE 110B, REVISED CIVIL STATUTES OF TEXAS , 1925 , AS Af�4ENDED ,
THE CITY OF FRIENDSWOOD HEREBY ELECTS TO ALLOW AND TO PROVIDE FOR
PAYMENT OF THE INCREASES BELOW STATED IN MONTHLY BENEFITS PAYABLE
BY THE TEXAS MUNICIPAL RETIREMENT SYSTEM TO RETIRED SP�IPLOYEES AND
TO BENEFICIARIES OF DECEASED EMPLOYEES OF THIS CITY UNDER CURRENT
SERVICE ANNUITIES AND PRIOR SERVICE ANNUITIES ARISING FROf�f SERICE
BY SUCH EMPLOYEES TO THIS CITY . AN ANNUITY INCREASED UNDER THIS
SECTION REPLACES ANY ANNUITY OR INCREASED ANNUITY PREVIOUSLY
GRANTED TO THE SAME PERSON .
(B) THE AMOUNT OF ANNUITY INCREASE UNDER THIS SECTION IS
COMPUTED AS THE SUM OF THE PRIOR AND CURRENT SERVICE ANNUITIES ON
THE EFFECTIVE DATE OF RETIREMENT OF THE PERSON ON WHOSE SERVICE
THE ANNUITIES ARE BASED , MULTIPLIED BY 70� OF THE PERCFNTAGE
CHANGE IN CONSUMER PRICE INDEX FOR ALL URBAN CONSUMERS , FROt4
DECEMBER OF THE YEAR IMMEDIATELY PRECEDING THE EFFEC7.'IVE DATE OF
THE PERSON ' S RETIREMENT TO THE DECEMBER THAT IS 13 MONTHS BEFORE
THE EFFECTIVE DATE OF THIS ORDINANCE .
( C) AN INCREASE IS AN ANNUITY THAT WAS REDUCED BECAUSE OF
AN OPTION SELECTION IS REDUCIBLE IN THE SAME PROPORTION AND IN
THE SAME MANNER THAT �H� QRIGINAL ANNUITY WAS R�pUC�D .
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(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 HEREBY .
(E) THE AMOUNT BY WHICH AN INCREASE UNDER THIS SECTION
EXCEEDS ALL PREVIOUSLY GRANTED INCREASES TO AN ANNUITANT IS AN
OBLIGATION OF THIS CITY AND OF ITS ACCOUNT IN THE MUNICIPALITY
ACCUMULATION FUND OF THE TEXAS MUNICIPAL RETIREMENT SYSTEM.
SECTION 3 . EFFECTIVE DATE . SUBJECT TO APPROVAL BY THE
BOARD OF TRUSTEES OF TEXAS MUNICIPAL RETIREMENT SYSTEM, THE
UPDATED SERVICE CREDITS AND INCREASES IN RETIREMENT ANNUITIES
GRANTED HEREBY SHALL BE AND BECOME EFFECTIVE ON THE 1ST DAY OF
JANUARY , 1988 .
PASSED ON FIRST READING ON SEPTEMBER 2g , 1987 .
PASSED ON SECOND READING ON OCTOBER 19 , 1987 •
PASSED ON THIRD AND FINAL READING ON NOVEMBER 2 , 1987 .
APPROVED :
� E�1 UU'z''V��.
MAYOR R LPH L . LOWE
ATT T:
�
DELORIS MCKENZ E , MC
CITY SECRETARY
APPROVED:
�d'�
I Y ATTORNEY
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