HomeMy WebLinkAboutOrdinance No. 89-21 • TMRS-C/T
ORDINANCE N0. 89-21
TEXAS MUNICIPAL RETIREMENT SYSTEM
AN ORDlleIANCE AUTHORIZING AND ALLOWING,
UNDER THE ACT GOVERNING THE TEXAS MUIVICIPAL
RETIREA�IENT SYS"fEM, "UPDATED SERVICE CREDITS"
IN SAID SYSTEM FOR SERVICE PERFORMED BY
QUALIFYING MEMBERS OF SUCH SYSTEM WHO
PRESENTLY ARE IN THE EMPLOYMENT OF THE CITY
OF ; 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
AC'I'IONS.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FRIENDSVfi00D, TEXAS:
Section l. Authorization of Updated Service Credits.
(a) On the terms and conditions set out in Sections 63.401 through 63.403 of Title 110B,
Revised Civil Statutes of Texas, 1925, as amended, each member of the Texas Municipal
Retirement System who has current service credit or prior service credit in said System in
force and effect on the lst day of January, 1989, by reason of service in the employment of
the City of Friendswood, and on such date has at least 36 months of credited service with
said system, shall be and is hereby allowed "Updated Service Credit" (as that term is defined
in subsection (d) of Section 63.402 of said title) in an amount that is 100% of the "base
Updated Service Credit" of the member (calculated as provided in subsection (c) of Section
63.402 of said title). The Updated Service Credit hereby allowed 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.
(b) On the terms and conditions set out in Section 63.601 of said title, any member of
the Texas Municipal Retirement System who is eligible for Updated Service Credits on the
basis of service with this City, and 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 January 1, 1989, shall be credited with Updated
Service Credits pursuant to, calculated in accordance witl�, and subject to adjustment as set
forth in said 63.601.
(c) In accordance with the provisions of subsection (d) of Section 63.401 of said title,
the deposits required to be made to the Texas Municipal Retirement System by employees of
the several participating departments on account of current service shal! b,� �c,alculated frorn
and after the date aforesaid on the full amount of such person's earning�. �s :ata �rwap�l�,y�e �`f
the City.
. , Updated Service Cc`edit Ordinance (continued) Page 2.
Section 2. Increase in Retirement Annuities.
(a) On terms and conditions set out in Section 64.203 of Title 110B, Revised Civil
Statutes of T'exas, 1925, as amended, 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 employees and to beneficiaries of deceased
employees of this City under current service annuities and prior service annuities arising
from service 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 percentage change in Consumer
Price Index for All Urban �onsumers, 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 ordinance.
(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 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 lst day of January, 1990.
PASSED ON FIRST READING this 20th day of November , 1989.
PASSED, APPROVED AND ADOPTED on second and�'ffnal reading this e 4th day
of December , 1989.
ayor Paul W. chrader
ATTEST:
r �
D oris Archer, CMC �
C'ty Secretary