HomeMy WebLinkAboutOrdinance 1772
ORDINANCE NO. 1772
AN ORDINANCE AUTHORIZING AND ALLOWING, UNDER
THE ACT GOVERNING THE TEXAS MUNICIPAL
RETIREMENT SYSTEM, "UPDATED SERVICE CREDITS"
IN SAID SYSTEM ON AN ANNUAL BASIS FOR SERVICE
PERFORMED BY QUALIFYING MEMBERS OF SUCH SYSTEM
WHO AT THE EFFECTIVE DATE OF THE ALLOWANCE ARE
IN THE EMPLOYMENT OF THE CITY OF NORTH
RICHLAND HILLS; PROVIDING FOR INCREASED PRIOR
AND CURRENT SERVICE ANNUITIES FOR RETIREES AND
BENEFICIARIES OF DECEASED RETIREES OF THE
CITY; AND ESTABLISHING AN EFFECTIVE DATE FOR
THE ORDINANCE.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF NORTH RICHLAND
HILLS, TEXAS:
Section 1. Authorization of Updated Service Credits.
(a) On the terms and conditions set out in Sections 853.401
through 853.404 of Subtitle G of Title 8, V.T.C.A., Government
Code, as amended (hereinafter referred to· as the "TMRS ACT"), each
member of the Texas Municipal Retirement _System (hereinafter
referred to as the "System") who has current service creditor
prior service credit in the System in force and effect on the 1st
day of January of the calendar year preceding such allowance, by
reason of service in the employment of the City of North Richland
Hills (hereinafter called the "City"), and on such date has at
least 36 months of credited service with the system, shall be and
is hereby allowed "Updated Service Credit" (as that term is defined
in subsection (d) of Section 853.402 of the TMRS Act).
(b) On the terms and conditions set out in Section 853.601 of
the TMRS Act, any member of the System who is eligible for Updated
Service Credits on the basis of service with this City, who has
un forfeited 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, 1991,
shall be credited with Updated Service Credits pursuant to,
calculated in accordance with, and subject to adjustment as set
forth in said Section 853.601, both as to the initial grant
hereunder and all future grants under this ordinance.
(c) The Updated Service Credit hereby allowed and provided
for shall be 100% of the "base Updated Service Credit" of the
member (calculated as provided in subsection (c) of Section 853.402
of the TMRS Act).
(d) Each updated Service Credit allowed hereunder 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.
Updated Service Credit Ordinance (continued)
Page 2
(e) In accordance with the provisions of subsection (d) of
section 853.401 of the TMRS Act, the deposits required to be made
to the System by employees of the several participating departments
on account of current service shall be calculated from and after
the effective date of this ordinance on the full amount of such
person's compensation as an employee of the City.
Section 2. Increase in Retirement Annuities.
(a) On terms and conditions set out in Section 854.203 of the
TMRS Act, the City hereby elects to allow and to provide for
payment of the increases below stated in monthly benefits payable
by the System to retired employees and to beneficiaries of deceased
employees of the City under current service annuities and prior
service annuities arising from service by such employees to the
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 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 Consumers, 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 Section.
(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 hereunder.
(e) The amount by which an increase under this Section
exceeds all previously granted increases to an annuitant is an
obligation of the City and of its account in the municipality
accumulation fund of the System.
Section 3. Dates of Allowances and Increases.
The initial allowance of Updated Service Credit and increase
in retirement annuities hereunder shall be effective on January 1,
1992, subject to approval by the Board of Trustees of the System.
An allowance of Updated Service Credits and an increase in
retirement annuities shall be made hereunder on January 1 of each
subsequent year until this ordinance ceases to be in effect under
subsection (e) of Section 853.404 of the TMRS Act, provided that,
Updated Service Credit Ordinance (continued)
Page 3
as to such subsequent year, the actuary for the System has made the
determination set forth in subsection (d) of Section 853.404 of the
TMRS Act.
Section 4. Effective Date.
Subject to approval by the Board of Trustees of the System,
this ordinance shall be and become effective on the 1st day of
January 1992.
Passed and approved this the ~ day of ~ , 19~.
ATTEST:
APPROVED:
(h.M</M ~ß~ ~
ì1{y Secretary or Clerk
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APPROVED AS TO FORM AND LEGALITY:
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Attðrney
for the City