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HomeMy WebLinkAbout88-7-4104397 '51;f®' ORDINANCE NO. 88-7 *±ft3-- AN ORDINANCE CONCERNING PARTICIPATION IN THE COUNTY EMPLOYES RETIREMENT SYSTEM ESTABLISHED IN KRS 78.510 TO 78.852 AS PRESCRIBED BY THE 1988 GENERAL ASSEMBLY (H.B.398) WHEREAS, the City of Paducah now offers two pension plans to its employees, under the authority of.Chapter 95 of-the'Kentucky Revised Statutes for policemen and firemen and under the authority of Chapter 78 for other employees; and WHEREAS, the Board of Commissioners of the Gity�.of Paducah desires to phase out said pension plans by restricting future participation therein to those existing employees electing to continue their participation; and WHEREAS, the Board of Commissioners desires to participate in the County Employes Retirement System managed by the Board of Trustees of the Kentucky Retirement Systems pursuant to KRS 78.510 - 78-852; and WHEREAS, THE Board of Commissioners hereby declares its intention to permit all eligible employees, at their option, to obtain service credit in the CERS as provided under the provisions of the ALTERNATE PARTICIPATION PLAN for service in accordance with the provision of the 1988 H.B. 398, the cost of which service credit will be actuarially determined by the Board of Trustees of the Kentucky Retirement Systems and funded by the City as employer to the extent that such cost would not be satisfied within the standard employer contribution rate; and WHEREAS, the Board of Commissioners hereby acknowledges its obligation to pay the cost of such service credit over a thirty (30) year amortization period and,to appropriate monies to make such payment in addition to the required standard employer contribution rate. BE IT ORDAINED BY THE CITY OF PADUCAH, KENTUCKY: 1 SECTION 1. That the pension plans established for its J employees under Chapter 95 of the Kentucky Revised Statutes are hereby frozen effective August 1, 1988, to participation by those existing employees who are then,.participating therein and who file with the City on or before October 31, 1988, a written election to continue participating therein in lieu of participating in CERS. 398 SECTION 2. That the City of Paducah hereby elects to participate in CERS effective August 1, 1988, and authorizes the Mayor to execute the.appropriate..instruments to effectuate such election. SECTION 3. _That all employees. now participating in said existing City pension plan are hereby authorized to terminate such participation.and transfer to CERS. SECTION 4. That -.the City shall:cont.inue to :fund and manage its,said existing pension plan for the benefit of any employees electing to continue therein and those who are.:entitled to benefits, in existing pension -plan. _ SECTION 5. That .employees hired after.July 31; 1988, who are otherwise eligible to participate in the City pension.p.lan shall participate only in CERS. SECTION 6. That the. .City hereby adopts the terms and provisions of the-CERS under. KRS 78.5.10 - 78.852, elects the alternate participation plan under KRS_78.530(3), and declares its intention to enter into an agreement with the Board of Trustees for the amortization of the cost of such prior service credit over a thirty (30) year period _ commending on or about August 1, 1988. SECTION 7. That the individual employee accounts in the existing City pension plan shall be transferred to CERS for credit to the respective employee's individual account in CERS, pursuant to KRS 78.531(1) and (2), upon the election of such .employees to participate in CERS. SECTION 8. That the City Manager is hereby directed to certify to.the Board of Trustees the names of all employees deemed to be working in a hazardous position for.purposes of KRS 61.592, and all policemen and firemen employed after July 31, 1988, shall, if otherwise qualified, be eligible for CERS hazardous position coverage. SECTION 9. This ordinance shall be read on two separate days and will become effective upon publication of title .and a -certified i summary thereof. ATTEST: LENITA SMITH City Clerk GERRY B. MONTGOMERY Mayor PANDF2 Introduced by the Board of.Commissioners July 12, 1988 Adopted by the Board of Commissioners July 26, 1988 Recorded by Lenita Smith, City Clerk, July 26, 1988 Published by The Paducah Sun W6161