§ 54-150. Normal retirement and retirement income.

(a)

Normal retirement. Normal retirement under the plan is retirement from the service of the city, on or after the participant's normal retirement data. A participant may continue in the service of the city beyond his normal retirement date, for such period as is mutually agreeable between the city and the participant but not beyond the attainment of age 70 unless approved by the retirement committee. A participant who is an employee and who has attained his normal retirement date shall be entitled to a vested percentage of 100 percent. The monthly amount of retirement income payable to a participant who retires on his normal retirement date shall be the benefit set forth in subsection (b), below, and shall be subject to the provisions of section 54-149.

(b)

Amount of retirement income:

(1)

(i)

To a participant hired prior to January 1, 2012, who retires on his normal retirement date: The monthly amount of retirement income payable to a participant who retires on his normal retirement date shall be equal to a. multiplied by b., where:

a.

Is 2.12 percent (.0212) for credited service prior to October 1, 2009, and is 2.00 percent (.0200) for credited service on or after October 1, 2009, of the participant's average monthly compensation; and

b.

Is credited service.

(ii)

To a participant hired on or after January 1, 2012, who retires on his normal retirement date: The monthly amount of retirement income payable to a participant who retires on his normal retirement date shall be equal to a. multiplied by b., where:

a.

Is 1.60 percent (.0160) for credited service on or after January 1, 2012, of the participant's average monthly compensation; and

b.

Is credited service.

(2)

To participant who retires after his normal retirement date: The monthly amount of retirement income payable to a participant who retires after his normal retirement date shall be the larger of a. or b., where:

a.

Is the monthly income which can be provided on an actuarial equivalent basis by the sum of 1. and 2., where:

1.

Is the single-sum value as of his normal retirement date of the normal monthly retirement income which would have been payable to the participant in accordance with the provisions of subsection (b)(1) above if he had retired on his normal retirement date, and

2.

Is the amount of interest on such single-sum value in 1. above, where the interest shall be compounded annually from the participant's normal retirement date to his actual retirement date, where all computations shall be on the basis of the interest and morality assumptions in effect on the participant's normal retirement date; and

b.

Is the monthly retirement income computed according to subsection (b)(1) above using credited service and average monthly compensation as defined herein prior to the participant's actual retirement date.

(c)

Payment of retirement income: The monthly retirement income payable in the event of normal or late retirement will be payable in the normal form of payment unless the participant elects an optional form of payment as set forth in section 54-154. The participant is guaranteed to receive benefits equaling his total contributions with interest.

(d)

Supplemental retirement income: Any participant that retires under the normal retirement provisions of the plan on or after October 1, 2004, and before March 1, 2007, shall be entitled to a monthly supplemental retirement income of $12.00 per month per year of credited service. Any participant that retires under the normal retirement provisions of the plan on or after March 1, 2007, and before October 1, 2009, shall be entitled to a monthly supplemental retirement income of $16.00 per month per year of credited service. Any participant who separates from service and retires as a general employee under the normal retirement provisions of the plan or who enters the deferred retirement option program on or after October 1, 2009, shall be entitled to a monthly supplemental retirement income of $16.00 per month per year of credited service earned before October 1, 2009. The supplemental retirement income payments shall be payable only to the participant on a life only form of payment. Any participant hired on or after October 1, 2009 shall not be entitled to a monthly supplemental retirement income.

(e)

Ad-hoc cost-of-living increase: Each year beginning October 1, 2005, and every two years thereafter the retirement committee shall review the possibility of granting a cost-of-living increase, not to exceed three percent per year (maximum of two years), to those participants that have been retired under the normal retirement provision of the plan for two years or more. If the results of such review indicate to the retirement committee that the additional liability could be added without having an effect on the current funding of the plan, then the retirement committee may vote to increase the monthly income payments to such participants or provide for a one-time payment and submit the information to the city council for its approval. Upon approval by the city council the retirement committee shall notify the trustee of the new monthly income payments or the amount of the one time payment, whichever is applicable, to each eligible participant. Any participant hired on or after January 1, 2012, shall not be entitled to an ad-hoc cost-of-living increase.

(Ord. No. 2003-27, § 1, 7-15-03; Ord. No. 2004-20, § 1(2.2), 8-24-04; Ord. No. 2007-6, § 3, 2-27-07; Ord. No. 2009-18, § 2, 9-22-09; Ord. No. 2011-37, § 3, 1-3-12)