Ord 38-10 DENIEDORDINANCE NO. 38-10
AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF
DELRAY BEACH, FLORIDA, AMENDING CHAPTER 33, "POLICE
AND FIRE-RESCUE DEPARTMENTS", SECTION, "33.65,
"ADMINISTRA'T'ION", TO MODIFY THE BOARD MEMBI?R
DESIGNATIONS FOR FIRE CHIEF AND POLICI/ CHIT ~:1
PROVIDING A SAVING CLAUSE, A GENERAL REPI~:ALT?R CLAUSP,,
AND AN EFFECTIVE DATE.
BE IT ORDAINED BY THE CITY COMMISSION
FLORIDA, AS FOLLOWS: ~/
Section L That Chapter 33, "Police and Fire-R
of the Code of Ordinances of the City of Illelray Beach i
(A) The general administration and r
and for making effective the provisions of this
(9) persons as follows:
"1"he Mayor;, or up~>n the Ma
"I"wo (2) public mcnibcrs, oi~
the Ciry Commission as here
The Dire Chief c>r~l
BEACH,
the retirement system
.ees consistuig of nine
giant Ciry Manager;
Commissioner, to be appointed by
l by the Police Chief;
tment to be elected as hereinafter provided;
eparttnent to be elected as hereinafter provided.
ted and elected trustee shall be two (2) years except that the
ill be for two (2) and three (3) years. The initial terms shall
. Initially in each elective category, the trustee receiving the most
most votes atwo-year term.
(C) The elecxi~ c taus ~s shall be elected in the following manner, to wit: by vote of all active members
of each of those respecti~~e ' epartments who come within the purview of this subchapter at meetings to be
held at places designated 6.- the City Manager, of which meetings all qualified members entitled to vote shall be
notified in person or b~ mail ten (10) days in advance of the meeting. The candidate receiving the highest
number of votes for each office shall be declared elected and shall take office immediately upon
commencement of the term of office for which elected or as soon thereafter as he shall qualify therefor. An
election shall be held not more than thirty (30) and not less than ten (10) days prior to the commencement of
the terms for which trustees are to be elected. The Ciry Manager shall establish the election procedure for the
initial election. 'Thereafter, it shall be the duty of the Board of Trustees. The Board of Trustees shall meet,
organize and elect one of their members as Chairperson and one member as Vice Chairperson, within ten (10)
days after trustees are elected and duly qualified.
(D) If a vacancy occurs in the office of trustee, the vacancy shall be filled for the unexpired term in
the same manner as the office was previously filled.
(E) The trustees shall serve without compensation, but they ma~~ be
for all necessary expenses which they may actually expend through service on
(F) Each trustee shall, within ten (10) days after his apI
before the City Clerk, that so far as it develops upon him he will
of the Board, and that he will not knowingly violate or willingly ~
the law applicable to the retirement system. The oath shall be s
certified by the Clerk and filed in the office of the City Clcrh.
(G) L;ach trustee shall be entitled to one
necessary for a decision by the trustees at any mesa/
one vote only.
(H) Subject to the limitations of this
establish uniform rules and regulations for the
transactions of its business, including provision
could result in a vacancy.
(I) The Board of
of its members. It shall ~
rettrement system. 1 tie co
of the Board necessar~• for
the Board of Trustees shat
agent as
~ of office
the affairs
>visions of
:in~J it and
rp~tive votes shall be
shall have the right to
es shall from time to time
by this subchapter and for
ance of its members which
y vote of t s embers appoint a secretary who shall be one
services as shall be required to transact the business of the
s engaged by the Board of Trustees and all other expenses
~ement system shall be paid at those rates and in amounts as
horsed by the City Finance Department or other disbursing
n authorization by the Board of Trustees.
dies of his office as determined by the Board, may be removed by
of Trustees.
(h) ~~
limited by, the
(1)
(2)
(3)
(4)
(5)
(G)
(~)
of the Board of Trustees shall include, but not necessarily be
To construe the provisions of the system and determine all questions arising thereunder;
"1'o dctern~ine all questions relating to eligibility and participation;
"1'o determine and certify amount of all retirement allowances or other benefits hereunder;
To establish uniform rules and procedures to be followed for administrative purposes,
benefit applications and all matters required to administer the system;
To distribute at regular intervals to employees information concerning the system;
To receive and process all applications for participation and benefits;
To authorize all payments whatsoever from the Fund and to notify in writing the
the Trust Fund
2 ORD. NO. 38-10
disbursing agent of approved benefit payments and other expenditures arising through
operation of the system and fund;
(8) To have performed actuarial studies and annual actuarial valuations and make
recommendations regarding any and all changes in the provisions of the system;
(9) To perform those duties as are specified in this subchapter.
Section 2. That should any section or provision of this ordinal
paragraph, sentence, or word be declared by a court of competent jurisdiction
not affect the validity of the remainder hereof as a whole or part thereof o
invalid.
Section 3. That all ordinances or parts of ordinance flict
hereby repealed.
0
Section 4. That this ordinance shall become
reading.
PASSrD AND ADOPTED in
.2010.
~r any portion thereof, any
e in~-alid, such decision shall
than the part declared to be
i
.with be, and the same are
*e on second and final
this the day of
MAYOR
A
City Clerk
first Reading ~\
Second Reading
3 ORD. NO. 38-10
Coversheet
MEMORANDUM
TO: Mayor and City Commissioners
FROM: R. Brian Shutt, City Attorney
DATE: October 25, 2010
Page 1 of 1
SUBJECT: AGENDA ITEM 12 A -REGULAR COMMISSION MEETING OF NOVEMBER 2, 2010
ORDINANCE N0.38-10
ITEM BEFORE COMMISSION
The item before the City Commission is Ordinance No. 38-10 which provides for modifications to the
Police/Fire Pension Plan.
BACKGROUND
The City of Delray Beach Police and Fire Pension Board requested a change to our City ordinance
regarding the designation of the fire chief and police chief for the pension board. The ordinance
currently provides that the fire and police chiefs will be members of the pension board, however, if they
do not participate in the pension plan, then they must appoint a firefighter or police officer to sit on the
pension board in their place. The revised ordinance provides that the fire chief and police chief may
designate a firefighter or police officer to sit on the board, regardless of whether or not they participate
in the pension plan.
Chief James does not sit on the Pension Board because he is not a member of the plan. Chief Koen did
not sit on the Board for the same reason. Chief Overman did not sit on the Board because he was not a
member of the plan. When Chief Overman retired, we forgot that the Police Chief was supposed to sit
on the Board, so Chief Schroeder did not.
RECOMMENDATION
Commission discretion.
As City Manager, I believe this requested ordinance is not in the best interest of the City. When they
are eligible, I strongly believe it is in the best interest of the City for the Police Chief and Fire Chief to
be members of this Board.
http://itwebapp/AgendaIntranet/Bluesheet.aspx?ItemID=3939&MeetingID=275 11 /8/2010
ORDINANCE N0.38-10
AN ORDINANCE OF THE QTY COMMISSION OF THE QTY OF
DELRAY BEACH, FLORIDA, AMENDING CHAPTER 33, "POLICE
AND FIRE -RESCUE DEPARTMENTS", SECTION, "33.65,
"ADMINISTRATION', TO MODIFY THE BOARD MEMBER
DESIGNATIONS FOR FIRE CHIEF AND POLICE CHIEF;
PROVIDING A SAVING CLAUSE, A GENERAL REPEALER CLAUSE,
AND AN EFFECTIVE DATE.
BE IT ORDAINED BY THE QTY COMMISSION OF THE QTY OF DELRAY BEACH,
FLORIDA, AS FOLLOWS:
Section 1. That Chapter 33, "Police and Fire-Rescue Deparhrents", Section 33.65, "Adnvr-istratiori',
of the Code of Ordinances of the City of Delray Beach is hereby arr~ended to read as follows:
(A) The general administration and responsibility for the proper operation of the retiremalt system
and for rnaldng effective the provisions of this subchapter are vested in a Board of Tn.rstees consisting of nine
(9) persons as follows:
(1) The Mayor;, or upon the Mayor s designation, the Assistant City Manager;
(2) Taw (2) public members, one of whom may be a City Commissioner, to be appointed by
the City Commission as hereinafter provided;
(3) The Fire Chief or, '
syste~a firefighter designated by the Fire Chief;
(4) The Police Chief or, '
system a police officer designated by the Police Chief;
(5) Twv (2) mexr~Uers of the Fire Department to be elected as hereinafter provided;
(6) Twa (2) rrerr~bers of the Police Department to be elected as hereinafter provided.
(B) The term of office of each appointed and elected tnistee shall be tvw (2) years except that the
initial terms within each category above shall be for twv (2) and three (3) years. The initial terms shall
comrrence on the effective date of this system Initially in each elective category, the tn~tee receiving the Trost
votes shall serve athree-year term, the second Trost votes a twv-year term
(C) The elective tn.rstees shall be elected in the following rr~aruier, to wit: by vote of all active members
of each of those respective departments who come within the purview of this subchapter at meetings to be
held at places designated by the City Manager, of which retings all qualified rnerribers entitled to vote shall be
notified in person or by mail ten (10) days in advance of the meetir~ The candidate receiving the highest
number of votes for each office shall be declared elected and shall take office irnrrediately upon
conurencement of the term of office for which elected or as soon thereafter as he shall qualify therefor. An
election shall be held root rriore than thirty (30) and not less than ten (10) days prior to the commencerrent of
the terms for which trustees are to be elected The City Manager shall establish the election procedure for the
initial election. Thereafter, it shall be the duty of the Board of Tn.rstees. The Board of Trustees shall meet,
organize and elect one of their members as C:hairpeison and one rr~nber as Vice Chairperson, within ten (10)
days after trr~stees are elected and duly qualified
(D) If a vacancy occurs in the office of trustee, the vacancy shall be filled for the Lmexpired term in
the same mariner as the office was previously filled
(E) The trustees shall serve without compeitisation, but they maybe reimbursed from the Trust Fund
for all necessary expenses which they may actually expend through service on the Board
(F) Each trustee shall, within ten (10) days after his appointment or election, take an oath of office
before the City Clerl~ that so far as it develops upon him he will diligently and honestly administer the affairs
of the Board, and that he will not knowingly violate or willingly pem~it to be violated any of the provisions of
the law applicable to the retirement system. The oath shall be subscribed to by the rrrembers malting it and
certified by the Clexk and filed in the office of the City Clerk
(G) Each trustee shall be entitled to one vote on the Board five (5) affim~ative votes shall be
necessary for a decision by the tnistees at any meeting of the Board The Chairperson shall have the right to
one vote only.
(I-1) Subject to the limitations of this subchapter, the Board of Trustees shall from time to time
establish uniform rules and regulations for the achniriistration of funds created by this subchapter and for
transactions of its bLSiness, irucluding provisions for expulsion due to nonattendance of its members which
could result in a vacancy.
(I) The Board of Trustees shall by majority vote of its members appoint a secretary who shall be one
of its mierribers. It shall engage actuarial and other services as shall be required to transact the business of the
retirement system The compensation of all persons er~ged by the Board of Trustees and all other expenses
of the Board necessary for the operation of the retirerrent system shall be paid at those rates arul in amoi.mts as
the Board of Tnastees shall agree. Funds maybe disbursed by the City Finance Departrrent or other disbursing
agent as determined by the Board, only upon written authorization by the Board of Trustees.
Q) Any tnrstee who neglects the duties of his office as detemnined by the Board, maybe removed by
seven (~ concLUring votes arrong the Board of Trustees.
(K) The duties and responsibilities of the Board of Tnrstees shall include, but not necessarily be
limited by, the followin&
(1) To constnae the provisions of the system and determine all questions arising theneiuider;
(2) To determine all questions relating to eligibility and participation;
(3) To determine and certify amount of all retirement allowances or other benefits hereunder;
(4) To establish uniform rules and procedures to be followed for administrative purposes,
benefit applications and all matters regLrined to achninister the system;
(5) To distribute at regular intervals to employees information concerning the system;
(ti) To receive and process all applications for participation and berefits;
(~ To authorize all payments whatsoever from the Fund and to notify in writing the
2 ORD. NO. 38-10
disbursing agent of approved benefit payments and other expenditures arising through
operation of the system and fund;
(8) To have perfom~ed actuarial studies and annual actuarial valuations and make
recommendations regarding any and all cha~lges in the provisions of the system;
(9) To perform those duties as are specified in this subchapter.
Section 2. That should any section or provision of this ordinance or any portion thereof, any
paragraph, sentence, or ward 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 part thereof other than the part declared to be
invalid
Section 3. That all ordinances or parts of ordinances in conflict herewith be, and the same are
hereby repealed
Section 4. That this ordinance shall become effective irnmediately upon passage on second and final
reading.
PASSED AND ADOPTED in regular session on second and final reading on this the day of
2010.
MAYOR
ATTEST:
City Clerk
First Reading
Second Reading
ORD. NO. 38-10
CITY OF DELRAY BEACH
POLICE & FIREFIGHTERS RETIREMENT SYSTEM
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TElEPHU;VE•'F:~t.l•: ?61.?43.4~L)7
Enruil: cle~bui~r-l(irc•umc•ctcl.rrc•I
Octaber 7, 2010
Brian Shutt, Esq.
City Attorney
Ciry of Delray Beach
100. N W 1 Avenue
Delray Beach, Florida 33444
Re: City of Delray Beach Police and Firefightcr~'
Reouest of Amend Ordinance 33.60 - SecEio~
Dear Mr. Shutt:
The Board of Trustees, of the City of Delray Beach Police and Firefcghters' Retirement System, are requesting that
the City Commission consider the foIIowing changes ta Ordinance 33.60 Pensions, Section 33.65 Administration
(A) (3) and (4) as suggested. The trustees are requesting that this item be placed on the next agenda.
Present wording:
(3) The Fire Chief or, in the event ofthe Fire Chiefs termination of participation in the system, a firefighter
designated by the Fire Chief;
(4) The Police Chief or, in the event of the Police Chiefs termination of participation in the system, a
police officer designated by the Police Chief;
Amended wording:
(3) The Fire Chief or a firefighter designated by the Fire Chief;
(4) The Police Chief or a police officer designated by the Police Chief
Attached is a letter from Foster &c Foster, dated September 28, 2010, stating that these changes will have no actuarial
impact on the pension plan.
Should you require additional information, please do not hesitate to contact Anne Woods, Plan Administrator at
(561) 243-4707 or via email: delrayp-f(a~comcast.net.
s- ~ ly yot~.
~;j~.~~
Joseph Liguori, Jr.
Chairperson
Attachment
Files Ci '--1 t- Fes' ~ 1 l i`.
rY ~~eY. tkdinance 33.60 Amendment-Administ<ation 10-2010 r : r . ~_:' :.,, , ;, r .r j
CITY OF DELRAY BEACH
PULICE & FIREFIGHTERS RETIREMENT SYSTEM
filly H(Jh1EN'OOD BU(iLE1;tRU
Ut'LR; 9 }' BEACl1, FLORlU,~1 334x?
TELEPHO:VE~F.4.1': ?(!.?d3.47/)7
Emuil: dclrui)~-flcu['uux•u.rl.rtcl
October 7, 20l 0
Brian Shutt,. Esq.
City Attorney
City of Uelray Beach
100 NW I Avenue
Delray Beach, Florida 33444
Re: City of Deltav Beach Police and Firefip~tters,
Dear Mr. Shutt:
The Board of Trustees, of the City of Delray Beach Police and Firefighters' Retirement System, are requesting that
the City Commission consider the following changes to Ordinance 33.60 Pensions, Section 33.65 Administration
(A) (3) and (4) as suggested. The trustees are requesting that this item be placed on the next agenda.
Present woc+ding:
(3) The Fire Chief or, in the event of the Fire Chiefls termination of participation in the system, a firefighter
designated by the Fire Chief;
(4) The Police Chief or, in the event of the Police Chief s termination of participation in the system, a
police officer designated by the Police Chief,
Amended wording:
(3) The Fire Chief or a firefighter desi agrt tad by the Fite Chief;
(4) The Police Chief or a lpo ice o car designated by the Police Chief;
Attached is a letter from Foster & Foster, dated September 28, 2010, stating that these changes will have no actuarial
impact on the pension plan.
Should you require additional information, please do not hesitate to contact. Anne Woods, Plan Administrator at
(561) 243-0707 or via email: deira -ffti2comcast.net.
SincereJly yours,
~/,,~' r
Joseph Liguori, Jr.
Chairperson
Attachment
File: C" Alto,,,~,/ Ordinance 33.60 Amendma~t-Administration 10-2010 `"~'"' !~ ~ s i f
Ity may, . t_- ~:~ ... r Y •V
".t'p' f f~ 7 1 e1
CHAPTIIt 33. POLICE AND FIRE-RFSCIIE DEPARTMII~TS Page 2 of 13
the Internal Revenue Code.
(B) Stets Conbfbudons. Any moneys received or receivable by reason of laws of the State, for
the express purpose of funding and paying for retirement benefits for Police and Firefighters of
the City shall be deposited In the Trust Fund comprising part of this system.
{C) C/ty ConMbutbns. So long as this system Is to effect, the City shall make an annual
contributlon to the Trust Fund during the first quarter of the plan year or in quarterly instalimerrts
in an amount equal to the difference in each year as beM1ween the total of aggregate member
contributions for the year plus State contributions for the year and the total cost for the year as
shown by the mast recent actuarial valuation and report for the system. The total cost for any
year shall be defined as the total of normal cost plu$ the additional amount suffident to amortize
the unfunded accrued past service liability over aforty-year period commendng with the
effective date of this system.
(D) Guaranteed Refund of Member ConMbtrtlons. All benefits payable under this system are
in lieu of a refund of member oontributior~s. Effective September 1, 1999, employees who
terminate employment with less than ten (10) years of continuous service, upon the etecxion to
rbc~iva a refund of member contributions, shah receive a noncompounded simple interest rate
of three (3) percent per year applied to the prinapal balance of the participant's cor>bibutions as
accrued on December 31 of each year. Effective September i, 1899, employees who terminate
employment with ten (10) years or .more of continuous service, upon the election to rive a
refund of member contributions, shall receive a nonoompounded simple Interest rate of five {5)
percent per year applied to the prindpal balance of the participant's contribution as accrued on
December 31 of each year. In any event, each member shall be guaranteed the payment of
benefda at least equal In total amount to hie accumulated conMbutions plus interest as provided
herein.
(E) Mf.4ceUarreous.
(1) All moneys which have been funded by the members' contributions and the City's
contributions, and moneys from as outside sources such as private contributions, or
those contributions made by the State or any other firms or corporations or companies
invested Into .any basic or secondary pension plan for the retirement of any employee
who shall be inducted in this fund, inducting any interest gathered by these moneys,
shall be transferred into this fund to bs known as the City Police and F[reflghters'
Retirement Fund.
{2) All beneficiaries and retired membene pr~enty receivir~ benefits under F.S.
Chaptiera 175 and 185 shall continue th receive those benefits under this system.
{F) Any forfeitures that may arise upon the termination of a member's empbyment shwa be
used tD offset the subsequent coat of the City. Such forfeitures shall not be used to Incxease
benefits of remakting members
(Cods 1980, § 18-50; Ord_ No. 52-88. passed 9/12188; Am. Ord. No. 53-89, passed 9/12189; Am. Ord.
No. 29-99, passed 8/17/99; Ord. No. 26-00, § 5, passed 9126/00)
ssc.3alss. Aaaw~srnnrlo~.
(A) The general administra#ion and responsibility for fhe proper operation of the retirement
system and for making effective the provisions of this subchapter are vested in a Board of
Trustees correisting of nine (9) persons 8s follows: -
(1) The Mayor„ or upon the Mayor's deaignatbn, the /4scistant City Manager,
(2} Two (2) public members to be appointed by City Commissbn as hereinafter
provided;
http://libraty2.munic~dc.corn/det'ault/DocView/13704f1/14/18 1130x2.009
Foster&Foster~.
Actuarial Consultants frx PubAc Pension Plans
September 28, 2010
Ms. Anne Woods
Ci of Delray Beach
60~ Homewood Boulevard
Defray Beach, FL 33445
Re: City of Delray Beach Police Officers' and
Firefighters' Retirement Plan
Dear Anne:
We have reviewed the proposed changes in the wording of the Ordinance -
Section 33.85 (A) (3) and (4) and have detemtined that tt will have no impact on
the assumptions used in determining the funding requirements of the program.
Because these proposed changes do not impact our actuarial assumptions, they
do not change the valuation results. It Is our opinion, therefore, that formal
Actuarial Impact Statements are not required m support of their adoptions.
However, since the Division of Retirement must be aware of the current
provisions of all public pension programs, we recommend that you send a copy
of this letter and a copy of the fully executed Ordinance to each of the following
offices:
Mr. Keith Brinkman ~ Patricia Shoemaker
Bureau of Local Retirement Systems Municipal Police and Fire
Division of Retirement Pension Trust Funds
P. O. Box 9000 Division of Retirement
Tallahassee, FL 32315-5000 P.O. Box 3010
Tallahassee, FL 32315-3010
If you have any gyestions,~please let me know
FSA, EA, MAAA
13420 Parker Commons Blvd., 6uRo 104 • Fat Myers. Fbride 33912.239-433-5500 • Fex 239.481-0634 • www.foster-foster.com