§ 54-152. Disability retirement and retirement income.

(a)

In-line-of-duty disability. Any participant who shall become totally and permanently disabled to the extent that he is permanently prevented, by reason of a medically determinable physical or mental impairment, from rendering useful and efficient service as an officer or employee with the city, which disability was directly caused by the performance of his duties as an employee with the city, shall, upon establishing such disability to the satisfaction of the board, be entitled to disability retirement income as set forth in subsection (e)(2). Terminated persons, either vested or nonvested, are not eligible for disability benefits, except that those terminated by the city for medical reasons may apply for disability benefits within 90 days after termination.

(b)

Nonline-of-duty disability. Any participant who shall have become totally and permanently disabled to the extent that he is permanently prevented, by reason of a medically determinable physical or mental impairment, from rendering useful and efficient service as an officer or employee with the city, which disability was not directly caused by the performance of his duties as an employee of the city, shall, upon establishing such disability to the satisfaction of the retirement committee, be entitled to disability retirement income as set forth in subsection (e)(1)a. if less than ten years of service or subsection (e)(1)b. if ten years of credited service or more. Terminated persons, either vested or nonvested, are not eligible for disability benefits, except that those terminated by the city for medical reasons may apply for disability benefits within 90 days after termination.

(c)

Nonadmissible causes of disability. A participant will not be entitled to receive any disability retirement income if, in the opinion of the retirement committee, the disability is a result of:

(1)

Excessive use by the participant of drugs, intoxicants or narcotics;

(2)

Injury or disease sustained by the participant while willfully and illegally participating fights, riots, civil insurrections or while committing a felony;

(3)

Injury or disease sustained by the participant diagnosed or discovered subsequent to the date his employment has terminated;

(4)

Injury or disease sustained by the participant after commencing employment with the city and while working for anyone other than the city and arising out of such employment;

(5)

Injury or disease sustained by the participant while serving in any armed forces; or

(6)

Injury or disease sustained by the participant as a result of an act of war, whether or not such act arises from a formally declared state of war;

(7)

A condition preexisting the employee's employment by the city. No employee shall be entitled to a disability benefit because of or due to the aggravation of a specific impairment or other medical condition preexisting at the date of employment, provided that such preexisting condition and its relationship to a later injury, impairment or other medical condition be established by competent substantial evidence. Nothing herein shall be construed to preclude a disability benefit to an employee who, after employment by the city suffers an injury, impairment or other medical condition different from some other injury, impairment or other medical condition existing at or prior to said date of employment.

(d)

Proof of disability. A participant who seeks disability benefits must file an application with the retirement committee on a form approved by the retirement committee and furnish a written statement from a physician or surgeon that the participant is permanently prevented from rendering useful and efficient service as an officer or employee with the city, and whether or not the disability was directly caused by the performance of his duties as an employee with the city. A participant applying for disability benefits must also comply with any rules adopted by the retirement committee, including but not limited to the participant's execution of authorizations to obtain medical information and medical records. A participant shall not become eligible for disability benefits unless and until he undergoes a physical examination by a qualified physician or physicians and/or surgeon or surgeons, who shall be selected by the retirement committee for that purpose. The retirement committee shall not select the participant's treating physician or surgeon for such purpose except in an unusual case where the retirement committee considers that it will be reasonable and prudent to do so. The cost of the physical examination of the participant applying for disability benefits by the physician or surgeon selected by the retirement committee shall be borne by the retirement system. A participant shall not be deemed to be totally and permanently disabled if he is able to perform the duties of such other position or job which the city makes available to him and for which such participant is qualified by reason of his training, education and experience.

(e)

Disability retirement income.

(1)

Nonline of duty disability.

a.

Less than ten years of service: The benefit which is payable to a participant who retires from the service of the city under the provisions of this subsection (e)(1)a., due to total and permanent disability, is the monthly retirement income payable for ten years certain and life thereafter which can be provided by 1. or 2., whichever is greater, where:

1.

Is the single-sum value of the participant's accrued benefit, which has accrued to the date of his termination of service due to disability; and

2.

Is two times the basic compensation paid in the plan year immediately preceding the participant's date of termination of service due to disability; provided, however, the monthly retirement income provided by this subsection shall be limited to 60 percent of the participant's anticipated monthly retirement income at the normal retirement date.

b.

Ten years of credited service or more: The monthly amount of retirement income which is payable for ten years certain and life thereafter to a participant who retires from the service of the city under the provisions of this subsection due to total and permanent disability, shall be the larger of the monthly retirement income determined under 1. or 2., where:

1.

Is the monthly retirement income which can be provided by the single-sum value of the participant's accrued benefit, which he has accrued to the date of his termination of service due to disability; and

2.

Is 30 percent of the participant's basic compensation paid in the plan year immediately preceding the date of termination of service due to disability; provided, however, the single-sum value of the monthly amount so computed shall not exceed 100 times the participant's anticipated monthly retirement income at the normal retirement date.

(2)

Line of duty disability. The benefit which is payable for ten years certain and life thereafter to a participant who retires from the service of the city under the provisions of this subsection, due to ability shall be the larger of the monthly retirement income determined under a. or b., where:

a.

Is the monthly retirement income which can be provided by the single-sum value of the participant's accrued benefit, which he has accrued to the date of his termination of service due to disability; and

b.

Is 50 percent of the participant's basic compensation paid in the plan year immediately preceding the date of termination of service due to disability; provided, however, the single-sum value of the monthly amount so computed shall not exceed 100 times the participant's anticipated monthly retirement income at the normal retirement date.

(f)

Payment of disability retirement income. The monthly retirement income to which a participant is entitled in the event of his disability retirement will be payable on the first day of the each month. Once the retirement committee approves the participant's disability retirement, the first payment will be made on the first day of the month following the last day the participant worked or received wages as part of a paid leave, whichever is later. The last payment will be as follows:

(1)

If the participant recovers from the disability prior to his normal retirement date, the last payment will be the payment due next preceding the date of such recovery;

(2)

If the participant dies prior to his normal retirement date without recovering from his disability, the last payment will be the payment due next preceding the date of his death or the 120th payment, whichever is later.

(3)

If the participant attains his normal retirement date while still disabled, the last payment will be the payment due next preceding the disabled participant's death or the 120th payment, whichever is later.

Any monthly retirement income payments due after the death of a disabled participant shall be paid to the participant's designated beneficiary as provided in subsections 54-160(b) and (c).

(g)

Benefit payable in the event of death of disabled participant prior to commencement of disability income: In the event that the death of a disabled participant occurs prior to the date on which his retirement income payments are to commence in accordance with subsection (e) above, his designated beneficiary will receive a monthly retirement income, payable for ten years certain and life thereafter. The monthly retirement income shall be payable beginning on the first day of the month coincident with or next following the date of the disabled participant's death.

The amount of retirement income shall be that which can be provided on an actuarial equivalent basis by subsection (1) below or subsection (2) below, whichever is greater, where:

(1)

Is the single-sum value, as of the date of the participant's death, of the participant's accrued benefit as of the date of his termination of service due to disability; and

(2)

Is [i] or [ii], whichever is smaller, where [i] is two times his basic compensation paid in the plan year immediately preceding the date of termination of service due to disability, and [ii] is 100 times the participant's anticipated monthly retirement income at the normal retirement date.

Provided, however, in lieu of payment of such benefit in the form of the monthly income described above, the single-sum value of such benefit may be paid on an actuarial equivalent basis to the participant's designated beneficiary in such other manner and form as the participant may elect and the retirement committee may approve or, in the event no election is made by the participant prior to his death, as the beneficiary may elect and the retirement committee may approve.

(h)

Recovery from disability.

(1)

On or before April 30 of each year following the date the retirement committee votes that a participant is totally and permanently disabled, until the participant's normal retirement date, any participant who is receiving disability retirement income shall, as a condition of continued receipt of disability retirement income, furnish the retirement committee with:

[i]

A written statement from a physician that the participant is still prevented from rendering useful and efficient service as an officer or employee with the City of Port Orange,

[ii]

W-2 statements for the previous calendar year,

[iii]

Federal income tax return for the previous calendar year, and

[iv]

Such other documents as required by the retirement committee.

(2)

The retirement committee may require periodic reexaminations at the expense of the retirement fund. The retirement committee may adopt rules establishing procedures for conducting and review of such reexaminations.

(3)

If the retirement committee finds that a participant who is receiving a disability retirement income is, at any time prior to his normal retirement date, no longer disabled, as provided herein, the retirement committee shall direct that the retirement income payments be discontinued. However, any such participant who recovers from disability and whose retirement income is discontinued by the retirement committee and who, as of the date of termination of service due to disability, had met the early retirement eligibility requirements set forth in section 54- 146(a)(11) or had a vested percentage greater than zero percent, shall, if he does not reenter the service of the city, be entitled to the early retirement income or the vested deferred retirement income as provided in sections 54-151 and 54-152(a) hereof, respectively, based on his average monthly compensation and his credited service as of the date of termination of service due to disability and upon his attained age as of the date of his recovery from disability, but early retirement will be subject to consent of the city, and the amount of the retirement income upon early retirement will be reduced to take into account the participant's younger age and earlier commencement of retirement income payments as provided in section 54-151 hereof.

(i)

Reemployment by the city: If the participant recovers from disability and reenters the service of the city within 30 days after the date of his recovery, his service will be deemed to have been continuous but the period beginning with the first month for which he received a disability retirement income payment and ending with the date he reentered the service of the city will not be considered as credited service for the purpose of the plan.

(Ord. No. 2003-27, § 1, 7-15-03; Ord. No. 2009-1, § 5, 2-17-09)