Ordinance 95-2986 ORDINANCE NO. 95-2986
AN ORDINANCE OF THE MAYOR AND CITY COMMISSION
OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING
CITY OF MIAMI BEACH ORDINANCE NO. 88-2603,
WHICH ESTABLISHED THE RETIREMENT SYSTEM FOR
UNCLASSIFIED EMPLOYEES AND ELECTED OFFICIALS
OF THE CITY OF MIAMI BEACH, SECTION 5 . 09
THEREOF ENTITLED "RETURN TO ACTIVE SERVICE" BY
PROVIDING THAT MEMBERS WHO, AFTER HAVING
BECOME ENTITLED TO A RETIREMENT ALLOWANCE NOT
YET PAYABLE, CHANGE EMPLOYMENT STATUS FROM
FULL TIME TO PART TIME AND WHO AFTER A PERIOD
OF NO GREATER THAN FIVE (5) YEARS OF PART TIME
EMPLOYMENT RETURN TO FULL TIME EMPLOYMENT WITH
THE CITY AND MEMBERSHIP IN THE UNCLASSIFIED
SYSTEM SHALL BE ENTITLED TO BENEFITS BASED
UPON THE PROVISIONS APPLICABLE TO THAT MEMBER
IN EFFECT AS OF HIS ORIGINAL MEMBERSHIP DATE
IN THE UNCLASSIFIED SYSTEM, WHICH BENEFITS
SHALL INCLUDE HIS EARNINGS AND CREDITABLE
SERVICE ACCUMULATED DURING BOTH FULL TIME AND
PART TIME EMPLOYMENT (WITH CREDITABLE SERVICE
ACCUMULATED DURING PART TIME SERVICE TO BE
REDUCED TO RATIO BETWEEN ACTUAL HOURS OF
WEEKLY EMPLOYMENT AND THIRTY (30) HOURS) ;
PROVIDING FOR A REPEALER, SEVERABILITY AND
EFFECTIVE DATE.
WHEREAS, the Board of Trustees has recommended that Section
5 . 09 of the Ordinance No. 88-2603 which establishes the Retirement
System for Unclassified Employees and Elected Officials of the City
of Miami Beach be amended to allow employees with a vested interest
who have worked part time during a period of their employment but
have been continuously employed by the City, to return to the
1
System and buy back creditable service for their period of part
time employment .
BE IT ORDAINED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA:
SECTION 1.
That City of Miami Beach Ordinance No. 88-2603 , which
established the Retirement System for Unclassified Employees and
Elected Officials of the City of Miami Beach, Section 5 . 09 thereof
entitled "Return to Active Service" is hereby amended to read as
follows :
Section 5 .09 Return to Active Service
(a) 1 . If a former Member who has left active service
of the City and who is entitled to a vested retirement
allowance not yet payable returns to active service with
the City, as an Employee before such allowance has become
payable, he shall again become a Member, but benefits
payable to him or on his account with respect to his
earnings and creditable service after his return shall be
based on the provisions applicable to a Member whose
employment with the City commences on the date of his
return to service. He shall contribute to the
2
Unclassified System at the rate required, pursuant to
Section 6 . 02, of Employees who become Members for the
first time. Creditable service rendered before and after
his return to service shall be considered for the purpose
of determining his allowance; provided, in the event of
his subsequent termination of employment for reasons
other than death or retirement, only creditable service
rendered after his return to service shall be considered
for the purpose of determining his entitlement to a
vested retirement allowance with respect to service
rendered after his return. Upon subsequent retirement,
his retirement allowance shall be equal to the sum of the
amounts computed on the basis of the final average
monthly earnings and creditable service with respect to
each period of continuous service as an Employee;
provided that the retirement allowance shall not exceed
the retirement allowance which would have been payable if
his creditable service had been one period of continuous
service.
2 . The foregoing provisions shall not apply to a Member
who, after having become entitled to a vested retirement
allowance not yet payable, changes employment status from
3
full time (that is, at least 30 hours per week) to part
time (that is , less than 30 hours per week) , and who
after a period of not greater than five (5) years of part
time employment returns to full time employment with the
City and Membership in the Unclassified System. In such
case, benefits payable to him or on his account shall (1)
be based upon the provisions applicable to that Member in
effect as of his original Membership date in the
Unclassified System and (2) include his earnings and
creditable service accumulated during both full time and
part time employment (but creditable service accumulated
during part time service shall be reduced to the ratio
between actual hours of weekly employment and thirty (30)
hours) . Such Member shall contribute to the Unclassified
System, at the rate required, all amounts attributable to
said creditable service in such manner as may be
prescribed by the Board.
SECTION 2 . REPEALER
All ordinances or parts of ordinances in conflict herewith are
and the same are hereby repealed.
SECTION 3 . SEVERABILITY
If any section, sentence, clause or phrase of this ordinance
4
is held to be invalid or unconstitutional by any court of competent
jurisdiction, then said holding shall in no way affect the validity
of the remaining portions of this ordinance .
SECTION 4 . EFFECTIVE DATE
This ordinance shall take effect on the 15th day of
April , 1995 .
PASSED and ADOPTED this 5th day of April, 1995. /IF /
•YOR
ATTEST:
I. 41
TY CLERK
st reading 3/15/95
2nd reading 4/5/95
c:\wpwin60\sws\88-2603.ord
FORM APP eVED
- 4401
By
Date Siticr
5
CITY OF MIAMI BEACH
ert:i
CITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH FLORIDA 33139
COMMISSION MEMORANDUM NO. a q
TO: Mayor Seymour Gelber and DATE: April 5, 1995
Members of the City Commission
FROM: Laurence Feingold, C)1 -: '
City Attorney 0: *%1%
SUBJECT:
An Ordinance of the Mayor and City Commission of the City of Miami Beach,
Florida, amending Ordinance No. 88-2603, which established the Retirement
System for Unclassified Employees and Elected Officials of the City of Miami
Beach, Section 5.09 thereof entitled "Return to Active Service" by providing
that Members who,after having become entitled to a Retirement Allowance not
yet payable,change employment status from full time to part time and who after
a period of no greater than five(5)years of part time employment return to full
time employment with the City and Membership in the Unclassified System
shall be entitled to benefits based upon the provisions applicable to that
Member in effect as of his/her original membership date in the Unclassified
System, which benefits shall include his earnings and creditable service
accumulated during both full time and part time employment (with creditable
service accumulated during part time service to be reduced to a ratio between
actual hours of weekly employment and thirty (30) hours); providing for a
repealer, severability and an effective date.
Recommendation:
The Administration recommends that the Mayor and the City Commission adopt this
Ordinance on first reading.
Analysis:
Section 5.09, Return to Active Service, applies to a former Member who has left active
service of the City and then returns. It does not mention an Employee who goes from full time to
part time employment, after having vested in the System, and then returns to full time employment
never having left active service with the City. The Board of Trustees has recommended that an
Employee, with a vested interest who never terminated employment with the City, be given the
opportunity upon his/her return to full time employment to return to the System he/she was vested
in, and to buy back creditable service time for that period of part time employment.
AGENDA 01
ITEM — ^
DATE 4 -5- 95
Currently there is one Employee, Jean Olin, who will become eligible under this criteria to
return to the Unclassified System and buy back part time service. The attorney for the Fund has
advised that the Family and Medical Leave Act and the Americans with Disabilities Act have no direct
relevance to this proposed amendment. His comments and legal opinion are attached. The actuary
for the Fund has advised that the actuarial impact of this change would be negligible. A copy of his
letter is attached. Also attached is a of that portion of the Board Minutes in which the Board resolved
to recommend to the City Commission that the Ordinance be changed.
By way of information, the City was responsible for matching Social Security payments on
behalf of the employee during the part time service when the employee was not eligible for pension
inclusion.
Conclusion:
This amendment is recommended by the Board of Trustees of the Unclassified Employees and
Elected Officials Pension as equitable for Employees who remain with the City and have been in
continuous status albeit it part time.
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02/24/95 11:57 CYPEN & CYPEN MIAMI BEACH, FL 9 305+673+7795 NO.679 P002
. 1
LAW OFFICES
CYPEN & CYPEN
P.0. BOx 40209D
MIAMI BEACH,FLORIDA 33140-0099
AREA CODE 305
MIAMI 532-9200
025 ARTHUR GODFREY ROAD BROWARD 522-3200
•t
February 24, 1995 TELECOPIER 535-0050
Ms. Margaret A. Arculeo
Pension Administrator
Retirement System for Unclassified
Employees and Elected Officials
1700 Convention Center Drive
Miami Beach, Florida 33139
Re: Retirement System for Unclassified
Employees and Elected Officials of
the City of Miami Beach - Proposed
Ordinance Change to Return to Active Service
Our File No. 12114
r.!
Dear Margaret:
This letter is in response to your letter dated February 23, 1995
and our subsequent telephone conversation on the same date.
You have advised me that you are not seeking an answer as to the
first question because I have no way of knowing the City's cost, if
any, while an employee worked part time.
The second and third questions relate to federal legislation gov-
erning the employer/employee status. Thus, the Family and Medical
Leave Act and the Americans With Disabilities Act have no direct
• relevance to the proposed amendment.
As to the fourth question, in my opinion the text of the proposed
ordinance is proper in form and substance and violates no appli-
cable provision of law.
If you require any further information, please do not hesitate to
ask.
r-i
Cordially yours,
C & CYPEN
.hi
Stephen H. Cypen
..; For the Firm
`1 SHC:jes
•Y:
Via Fax and Regular Mail
KRUSE, O'CONNOR AND LING INC- FORT LAUDERDALE OFFICE
WEST SROWARD PROFESSIONAL OUILDING
7320 GRIFFIN ROAD. SUITE 200
FORT LAUDERDALE. FLORIDA 3334
(:�L�lfdi �A TEL.(305}79I-Sa0O
e.fXYl�/CARLSLQL FAX (303}79l•QZO•
NORTH/CENTRAL FLORIDA OFFICE
101 SOUTHEAST SECOND PLACE.$UITI 201
GAINESVILLE, FLORIDA 2E401
TCL.(904)37R-3e0O
•
FAx (904)33e 13
January 20, 1995 REPLY TO FORT LAUDERDALE
Ms. Margaret Arculeo
• Pension Administrator
City of Miami Beach
1700 Convention Center Drive
Miami Beach, Florida 33139
Re: Unclassified Retirement System
Dear Margaret:
You asked us to comment on the actuarial impact of two proposed changes to the System. One case
covers an employee who changes from full-time to part-time and back to full-time. The System would
allow such a person to retain credit for his original full-time service. In addition, a ratable portion of
his part-time service would be added to his full-time service. The employee would, of course, be
required to make the appropriate pension contributions. In our opinion, the actuarial impact of this
change would be negligible.
The second change relates to the case where two members of the System are married to each other
and retire, Under present plan provisions, the retiree who survives would not be permitted to receive
both a survivor benefit and his or her own pension. The proposal is to allow such a person to receive
both benefits.
In our valuation of those on retirement, we have not valued those, if any, who are married to each
other any differently than other retirees. In other words, our valuation anticipates that the survivor of
the retirees married to each other will receive both the regular pension and the survivor benefit. Since
we are already valuing the System in accordance with the proposed change, this change would have
no actuarial impact.
Please contact us if there are any questions.
Sincerely yours,
J. Stephen Paimqulst
JSP/or
7n,J Inn r51.077 >Q ]Innlnln'- n 7c`nN'I on7o T c ) cnc C f • n T n7_T n_ccC
•
PENSION BOARD MINUTES
JANUARY 24, 1995
PAGE 3
A motion was made by Commissioner Pearlson, duly seconded
by Mr. Gomez , and unanimously
RESOLVED That the Financial Reports be approved as
presented.
II . New Items - These items were moved to a later position in
the Agenda to accommodate Ms . Olin' s request
to address the Board.
III. Deferred Items
(A) Request from Jean Olin drafted by Legal Counsel - Mr.
Cypen explained that in addition to the language
presented to the Board a buy back provision was
necessary. He recommended adding, Such Member shall
contribute to the Unclassified System, at the rate
required, all amounts attributable to said creditable
service in such manner as may be prescribed by the Board.
Mr. Cypen outlined the criteria for an individual to
qualify under the new provision:
1 . The individual would have to be entitled to a
vested benefit not yet payable .
2 . They would have had to change their employment
status from full to part time .
3 . They would have to return to full time employment
in no greater than five years .
The part time service would be converted by ratio into
full time creditable service.
A motion was made by Mr. Rosen, duly seconded by
Commissioner Pearlson, and unanimously
RESOLVED That the Board recommend to the City
Commission that an amendment to the
Ordinance, Section 5 . 09 Return to Active
Service be added to as follows :
2 . The foregoing provision shall
not apply to a Member who, after having
become entitled to a vested retirement
allowance not yet payable, changes
employment status from full time (that
y
PENSION BOARD MINUTES
JANUARY 24, 1995
PAGE 4
is , at least 30 hours per week) to part
time (that is, less than 30 hours per
week) , and who after a period of no
greater than five (5) years of part time
employment returns to full time
employment with the City and Membership
in the Unclassified System. In such
case, benefits payable to him or on his
account shall (1) be based upon the
provisions applicable to that Member in
effect as of his original Membership date
in the Unclassified System and (2)
include his earnings and creditable
service accumulated during both full time
and part time employment (but creditable
service accumulated during part time
service shall be reduced to the ratio
between actual hours of weekly employment
and thirty (30) hours) . Such Member
shall contribute to the Unclassified
System, at the rate required, all amounts
attributable to said creditable service
in such manner as may be prescribed by
the Board.
Mr. Cypen explained that the new provision would be
recommended to the City Commission as an Ordinance
change, due to a situation not previously addressed in
the Ordinance, that the Board felt should have been
addressed. Information from the Actuary advised that, in
their opinion, the actuarial impact of such a change
would be negligible .
Mr. Cox asked if the same criteria could be applied to a
retiree who returned to full time employment . Mr. Cypen
explained that the new provision would only apply to an
employee who never left employment with the City. He
said that upon retirement an employee terminates
employment and would return under the Second Tier of the
Plan. To allow a retiree to return to the original Plan
would raise the question, should a vested termination
also be allowed to return to the original Plan. In this
event, there would have been no need for Ms . Olin' s
request . She would have been able to return to the
original Plan without the new provision.
MAYOR SEYMOUR GELBER,
MEMBERS OF THE CITY COMMISSION AND
CITY MANAGER ROGER M. CARLTON
RE:ART IN PUBLIC PLACES
MARCH 15, 1995
PAGE 2
for some or all of the required 1 1/2% appropriation to be placed
in the Fund. Monies placed in the Fund may be used to acquire works
of art for other public properties in the City which are
appropriate sites for such art. Fund monies may also be utilized
for insurance and maintenance of already acquired works of art and
for expenses related to selection and acquisition of artists and/or
works of art.
The role of the Art in Public Places Committee (APPC) is
expanded in the new Ordinance. The APPC still advises the
Commission as to whether the 1 1/2% appropriation or a portion of
it should be waived for a particular construction project.
However, selection of particular works of art and artists and
decisions as to the amount of funds to be utilized for acquisitions
for particular sites are made by the APPC. Their decisions can
only be implemented if approved by the City Commission.
As in the Dade County Ordinance the proposed Ordinance
provides for the appointment of a Professional Advisory Committee
(PAC) of artists and professionals to advise the APCC and City
Commission regarding a particular acquisition. Members of a PAC
will be selected by the APPC and confirmed by the City Commission.
The definition of works of art has also been expanded to
include functional elements incorporated in a structure of public
spaces by cooperation of the artist(s) with the project
architect(s) .
The proposed new Ordinance should provide the City with
greater flexibility in the use of appropriated funds so as to
enhance more locations with art for public enrichment. It will
also provide for use of the expertise of professionals in selecting
works of art for City property.
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