Ordinance 2020-4362O R D IN A N C E N O . 2020-4362
AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF
THE CITY OF MIAMI BEACH, FLORIDA, AMENDING PART I,
SUBPART B, ARTICLE IX, RELATED SPECIAL ACTS, OF THE
MIAMI BEACH CITY CODE ENTITLED "PENSION SYSTEM FOR
DISABILITY AND RETIREMENT OF MEMBERS OF POLICE AND
FIRE DEPARTMENTS"; AMENDING THE PENSION SYSTEM TO
IMPLEMENT THE COLLECTIVE BARGAINING AGREEMENTS
BETWEEN THE CITY AND FIRE FIGHTERS OF MIAMI BEACH,
IAFF LOCAL 1510, AND MIAMI BEACH FRATERNAL ORDER OF
POLICE, WILLIAM NICHOLS LODGE NO. 8; AMENDING
SECTION 65, ENTITLED "COMPUTATION OF CREDITABLE
SERVICE; SERVICE RECORD";AMENDING SECTION 66,
ENTITLED "SERVICE AND DISABILITY BENEFITS
GENERALLY"; AMENDING SECTION 79, ENTITLED DEFERRED
RETIREMENT OPTION PLAN (DROP); AMENDING SECTION 82,
ENTITLED "MILITARY SERVICE"; AMENDING SECTION 84,
ENTITLED "DISTRIBUTION LIMITATION"; AMENDING
SECTION 87, ENTITLED "BENEFITS FOR EMPLOYEES HIRED
ON OR AFTER JUL Y 14, 2010 AND PRIOR TO SEPTEMBER 31,
2013; AMENDING SECTION 88, ENTITLED "BENEFITS FOR
MEMBERS HIRED ON OR AFTER SEPTEMBER 30, 2013 AND
PRIOR TO .JUNE 8, 2016 FOR INTERNATIONAL ASSOCIATION
OF FIREFIGHTERS, LOCAL 1510 (IAFF) AND JUL Y 20, 2016 FOR
FRA TERN AL ORDER OF POLICE, WILLIAM NICHOLS LODGE
NO. 8 (FOP); AMENDING SECTION 89, ENTITLED "BENEFITS FOR
MEMBERS HIRED ON OR AFTER JUNE 8, 2016 FOR
INTERNATIONAL ASSOCIATION OF FIREFIGHTERS, LOCAL
1510 (IAFF) AND JULY 20, 2016 FOR FRATERNAL ORDER OF
POLICE, WILLIAM NICHOLS LODGE NO. 8 (FOP); CREATING A
NEW SECTION 90, ENTITLED "BENEFITS FOR MEMBERS
HIRED ON OR AFTER MA Y 8, 2019 FOR INTERNATIONAL
ASSOCIATION OF FIREFIGHTERS, LOCAL 1510 (IAFF) AND ON
OR AFTER JUL Y 31, 2019 FOR FRATERNAL ORDER OF POLICE,
WILLIAM NICHOLS LODGE NO. 8 (FOP)"; PROVIDING FOR
SEVERABILITY; REPEALING ALL ORDINANCES IN CONFLICT
HEREWITH; AND PROVIDING AN EFFECTIVE DA TE.
BE IT ORDAINED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA:
Section I. Section 65 of Part I, Subpart B, Article IX, Related Special Acts of the Miami Beach
City Code, is amended to read:
Sec. 65. - Computation of creditable service; service record.
(a) A member's Creditable Service shall include all periods of employment as an Employee for
which contributions have been made to this System in accordance with subsections_ (b), (c) (d) and
(e) below and section 63(b), together with all service in the uniformed services of the United States
required to be included under section 82; provided, however, that only periods of service in the
uniformed services of the United States for which the member makes the member contributions as
provided for in section 82 shall be Creditable Service for purposes of computing the amount of the
member's benefit from the System. Notwithstanding any provision to the contrary, in no event shall
the same period of service be counted more than once as Creditable Service under this System, and
in no event shall a member receive Creditable Service under this System for any period of service
for which credit has been received under any other defined benefit retirement plan established by
the City. Notwithstanding any other provision of this section or section 82. the total aggregate
amount of Creditable Service that may be purchased pursuant to this section and section 82 shall not
exceed a combined total of two (2) years or 6% additional multiplier.
(b) Employees who become members of this System in order to receive credit for service
rendered prior to their becoming a member shall make contributions to the Fund in the
amount such member would have contributed had he been a member during the period of
service for which credit is being purchased. ln order to receive such credit employees shall make
payment within six months after becoming a member or within such other period as may be
provided in a bargaining agreement covering the member. Notwithstanding the foregoing,
any firefighter member hired before May 8. 2019 and any police officer member hired before
July31.2019employee who transfers to this System whereby the accumulated total credit in any
other pension system of the City is transferred to this System, then and in that event. all of the
creditable service time in such other system shall be considered Creditable Service time under
this System, and such employee need make no additional contribution for time credited.
Firefighter members hired on or after Mav 8. 2019 and police officer members hired on or after
July 31.2019 shall not be credited with any service under this System for service as a member of
the Miami Beach Employees' Retirement Plan.
(c) Police officer members who are employed and not participating in the DROP on July 1, 2021. may
contribute an additional amount to the System in order to receive service credit for up to two (2)
years of law enforcement service occurring prior to their date of employment with the City. as
provided in this subsection (c). Creditable Service purchased pursuant to this subsection (c) must
be purchased between Julv l. 2021 and September 30. 2021. and may be purchased in increments
of up to three percent (3%) per year of service for a maximum additional multiplier of six percent
(6%). For purposes of this prior service purchase. service as a police officer in this state as well as
federal. other state, or county service shall be credited as long as such service is recognized by the
Criminal Justice Standards and Training Commission within the Department of Law Enforcement
as provided in chapter 943. Florida Statutes. or the police officer member provides proof to the
board of trustees that such service is equivalent to the service required to meet the definition of a
law enforcement officer in section 943.10, Florida Statutes. The price for each year purchased
shall be 10% (10.5% for members hired on or after September 30. 2013) of the member's Salary
during the 12 calendar months immediately preceding the date of such purchase. For purposes of
this purchase. a member may use the value of accrued sick and/or annual leave valued at the
employee hourlv rate at the time of purchase. with the cost prorated for fractional years of service.
Upon completion of ten (1 O) years of Creditable Service under the System based solely on City
employment, Creditable Service purchased under this subsection (c) may be used for purposes of
benefit calculation and eligibility for normal retirement. However, in no event may such purchased
service be used for purposes of vesting. In the event a member separates from employment
purchase of such Creditable Service but prior to attaining ten (1 O) years of Creditable Service
based solely on City employment; the employee shall be reimbursed amounts contributed
pursuant to this subsection (c).
(d ) F ir e fi gh t er m e m b e r s w h o a r e e m p lo y e d a n d n o t p a rt ic ip a t in g in th e D R O P o n J u ly 1, 2 0 2 1,
m a y c o n t r ib u t e a n a d d it io n a l a m o u n t to th e S y s te m in o r d e r to re c e iv e s e r v ic e c r e d it fo r u p t o
t w o (2 )y e ar s o f fir e fi g h t e r s e r v ic e fo r a c o u n t y o r m u n ic ip a l ti r e d e p a r tm e n t. s e r v ic e a s a
fe d e r a l fir e fi g h t e r , s t a te fi r e a g e n c v o r tr ib a l fi r e d e p a rt m e n t. o c c u r r in g p r io r to th e ir d a te o f
e m p lo y m e n t w it h th e C it v . a s p ro v id e d in th is s u b s e c ti on (d ). C r e d it ab l e S e r v ic e p u r c h a s e d
p u r s u a n t to t h is s u b s e c t ion (d ) m u st b e p u r c h a s e d b e t w e e n J u ly I, 2 0 2 1 a n d S e pt e m b er 3 0 ,
2 0 2 1 an d m a y b e p u r c h a s e d in in c r e m e n t s o f u p to th r e e p e r c e n t (3 %) pe r y e a r o f s e r v ic e fo r a
m a x im u m a d d it io n a l m u lt ip lie r o f s ix p er c en t (6%). Th e p r ic e fo r e a c h y e a r p u r c h a s e d s h a ll
b e 10 % (1 0 .5 % fo r m e m b e r s h ir e d o n o r a ft e r S ep t e m b er 3 0, 2 09 1 3 )o f th e m e m b e r 's S a la r y
d u r in g th e 1 2 c al e n d ar m o n t h s im m e d ia te lv p r e c e d in g th e d a t e o f s u c h p u r c h a s e . F o r p u r p o s e s
o f t h is p u r c h a s e , a m e m b er m a v u s e t h e v a lu e o f a c c ru e d s ic k a n d /o r a n n u a l le a v e v a lu e d a t
t h e e m pl o y e e s h o u rl y r at e a t th e tim e o f p u r c h a s e , w it h th e c o s t p ro ra te d fo r fr a c t io n a l y e a r s
o f s e rv ic e . Upon completion of ten (IO) years of Creditable Service under the System based
solely on City employment. Creditable Service purchased under this subsection (d) may be
used for purposes of benefit calculation and eligibility for normal retirement. However. in no
event may such purchased service be used for purposes of vesting. In the event a member
separates from emplovment after purchase of such Creditable Service but prior to attaining
ten (I O) years of Creditable Service based solely on City employment. the employee shall be
reimbursed amounts contributed pursuant to this subsection(d)
(e) Members who are employed and not participating in the DROP on July l, 2021 may
contribute an additional amount to the System in order to receive up to two (2) years of
Creditable Service as provided in this subsection (e). Such Creditable Service must be
purchased between Julv 1. 2021 and September 30. 2021. and may be purchased in
increments of up to three percent (3%) for each year of Creditable Service purchased up to a
maximum additional multiplier of six percent (6%). The cost of such service shall be 10%
(10.5% for members hired on or after September30, 2013)of the member's Salary during the
12 calendar months immediately preceding the date of such purchase pensionable salary for
each year purchased. For purposes of this purchase. a member may use the value of accrued
sick and/or annual leave valued at the employee's hourlv rate at the time of purchase,_ with the
cost prorated for fractional years of service. Upon completion of ten (IO) years of Creditable
Service under the System based solely on City employment. Creditable Service purchased
under this subsection (e) may be used for purposes of benefit calculation. However, in no
event may such purchased service be used for purposes of eligibilitv for normal retirement or
vesting. ln the event the member separates from employment after purchase of such
Creditable Service but prior to attaining ten (IO) years of Creditable Service based solelv on
City employment. the member shall be reimbursed amounts contributed pursuant to this
subsection (e).
(e)D The Board shall establish the service record of all employees who may be entitled to
participate in the benefits of this System and shall keep a record thereof.
Section 2. Section 66 of Part 1. Subpart B. Article IX. Related Special Acts of the Miami Beach
City Code, is amended to read:
Sec. 66.- Service and disability benefits generally
(a) The Board shall, upon application retire members meeting any one of the following
requirements:
(1 ) The attainment ofage 50.
(2) Permanent and total disability incurred in line of duty in the police or fire department, or
in the unclassified service as provided in section 70, irrespective of the number of years of
Creditable Service;
(3) Permanent and total disability incurred other than in the line of duty, after five years of
Creditable Service.
(4) The sum of the member's age and Creditable Service equals at least 70 and the member
retires on or after October I, 1998; provided, effective September 30, 2013, a member hired
before July 14, 2010 must attain age 47 to be eligible for retirement under this paragraph (4)
or reach the 85% maximum pension benefit regardless of age; and a member hired on or after
July 14, 201 O must attain age 48 to be eligible for retirement under this paragraph (4)or
reach the 85% maximum pension benefit regardless of age; and provided further, any
member hired prior to July 14, 201 O who completes a buyback of prior Creditable Service
prior to September 30, 2013 and reaches the maximum pension benefit of 85% of average
monthly Salary prior to attaining age 47, the employee contribution shall cease on the date
such employee reaches the 85% maximum pension benefit, and his/her final average monthly
Salary will be frozen on the same date. Notwithstanding the preceding sentence, any police
officer member; and effective January 16, 2014, any firefighter member hired pursuant to a
consent decree may retire when the sum of the member's age and Creditable Service equals
at least 70.
(5) Only for periods prior to October 1, 2000, and only in the case of a May 1993 Member,
the attainment of age 55 with at least I Oyears of Creditable Service.
Section 3. Section 79 of Part I, Subpart B, Article IX, Related Special Acts of the Miami Beach
City Code, is amended to read:
Sec. 79.- Deferred Retirement Option Plan (DROP).
(a) Eligibility. Any active member of the System may enter into the DROP on the first day ofany
month following the date upon which the member first becomes eligible for a normal service
retirement, subject to the provisions of this section 79.
(b) Conditions of eligibility. Upon becoming eligible to participate in the DROP, a member who
enters the DROP before September I, 2012, may elect to enter that program for a period not
to exceed 36 months. Notwithstanding, DROP participation for members who enter the
DROP before September I, 2012, may not continue beyond the date when the member's
combined years of creditable service and time in the DROP equals 352 months (387 months
for members who were members prior to July I, 1976). Members who enter the DROP on
or after September 1, 2012, shall be eligible to participate for a period not to exceed sixty
(60) months. Notwithstanding, for those members who enter the DROP on or after
September I, 2012, participation may not continue beyond the date when the member's
combined years of creditable service and time in the DROP equals 456 months. Provided,
members who enter the DROP on or before September 30, 2015, may extend their DROP
participation period by 12 months, for a total maximum DROP participation period not to
exceed seventy-two (72) months; provided further, members who enter the DROP on or after
O ct o b er 1, 2 0 1 5 , b ut p ri o r to Ju n e 8, 20 16 fo r In te rn ati o n al A sso c iatio n o f F irefi g hters, L ocal
15 1 0 (IAF F ) a n d Ju ly 2 0 , 2 0 16 Fr a ter n al O rd e r o f P o lic e, W ill iam N ic h o ls L o d g e N o .8 (F O P ),
m a y e x te n d th e ir D R O P p a rt ic ip a tio n p e ri o d b y u p to 36 m o n ths , fo r a to tal m ax im um D R O P
p a rt ic ip a ti o n p e ri o d n o t to e x c e ed n in e ty -six (9 6 ) m o n th s; an d prov id ed fu rt h er, m em b ers w h o
e n te r th e D R O P o n o r a ft e r Ju n e 8 , 2 0 16 fo r In te rn a tio n al As so ciatio n of F irefi gh ters, Lo cal 15 1 O
(IAF F ) a n d Ju ly 2 0 , 2 0 16 F ra te rn a l O rd e r o f P o lic e , W illi am N ich o ls L o d g e N o . 8 (F O P ) m ay
p a rt ic ip a te in th e D R O P fo r a p e ri o d n o t to e x c e e d nin ety - six (9 6) m o n th s. P ro v id ed also th at
p a rt ic ip a tio n in D R O P sh a ll re q u ire th e m e m b e r to co m p lete an d su b m it th e fo ll ow in g pri or to
sta rt o f D R O P p a y m e n ts :
1 . S u ch fo rm s a s m a y b e re q u ire d b y th e B o a rd or P lan A d m in istra to r. E lec tio n of the
D R O P is irr e v o c a b le o n c e D R O P p a y m e n ts b e g in . M em b e rs w h o are p art ic ip a tin g in the
D R O P o n Ju n e 8, 2 0 16 fo r In te rn a ti o n a l A sso c ia tio n o f F irefi gh ters, Lo c a l 15 1 O (!AFF) and
July 20, 2016 Fraternal Order of Police, William Nichols Lodge No.8 (FOP) and
elect to extend their DROP participation period must complete such forms as are required by
the Board no later than September 1, 2019 December 1, 2016.
2. A waiver and an irrevocable resignation from employment with the actual date of
termination being the date designated by the member as the end of his/her DROP
participation. The administration and timing of execution and delivery of the waiver and
resignation forms shall meet the requirements of the Age Discrimination in Employment Act
and the Older Worker's Benefits Protection Act, as same may be amended from time to time.
Section 4. Section 82 of Part 1, Subpart B, Article IX, Related Special Acts of the Miami Beach City
Code, is amended to read:
Sec. 82. - Military service.
(a) Any member of the System or any probationary employee in the fire or police department who is
absent from the service of the City because of service in the uniformed services of the United
States (as defined in the Uniformed Services Employment and Reemployment Rights Act of
1994) who returns to the service of the City having applied to return while his reemployment
rights were protected by law, shall be entitled to all retirement rights and privileges under this
system if such member, or such probationary employee after he becomes a member, contributes
the amount such member or probationary employee would have contributed had he been a
member during the period of service in the uniformed services for which credit is being
purchased, and creditable toward service retirement as provided in this section. The amount of
any such contributions shall be determined based on the member's Salary in effect immediately
prior to such period of absence and the terms of the System in effect at that time. The member
shall make any such payments to the System during a repayment period equal to the lesser of (i)
three times the member's period of absence for service in the uniformed services or (ii) five
years. The repayment period shall begin on the later of(i) the date the member is reemployed by
the City and (ii) the date the City notifies the member of his rights under this section.
(b) Effective September 30, 2013, members who have at least 5 years but not more than-1O years of
Creditable Service under the System on that date, may contribute an additional amount to the
System in order to receive service credit for years of active military service in the U.S. Army,
Navy, Air Force, Marines or Coast Guard occurring prior to their date of employment with the
City. A member may purchase up to two years of such service. The price for each such year shall
be 10% (10.5% for members hired on or after September 30, 2013) of the aggregate of the
m e m b e r 's S a la ry d ur in g th e 1 2 c a le n d ar m o n th s im m e d ia te ly p r e c e d in g th e d a te o f s u c h
p u r c h a s e ; a n d s u c h p r ic e s h a ll b e p r o ra t ed a c c o r d in g ly if a m e m b e r 's e le c ti o n in cl u d e s a
fr a c tio n a l y e a r o f s e rvi c e . An y a d d it io n a l b e n e fit s a ttri b u ta b le to se rv ic e p u r c h a s e d un d e r thi s
s u b s e c ti on (b ) s h a ll b e a t th e b e n e fit m u lt ip li e r ra te o f 3 % p e r y e a r o f C r e d ita b le S erv ice , w it h a
to ta l m a x im u m a d d it io n a l b e n e fit o f 6 % b a s e d o n tw o y e a r s o f C r e d ita b le S e rv ic e p urc has ed . T h e
p u r c h a s e o f C r e d ita b le S e rv ic e u n d e r thi s s u b s e ct i o n (b ) for p o lic e o ffi c e r m e m b e r s w ith 5 o r
m o r e y e ar s o f c r e d it e d s e rv ic e o n S e p t e m b e r 3 0 , 2 0 13 m u s t b e c o m p le te d w ith in 3 6 m o n th s
S ep t em b er 3 0, 2 0 1 3. T h e p ur c h a s e o f C r e d ita b le S e rv ice u n d e r th is su b s e c ti o n (b ) fo r p o li c e o ffi c e r
m e m b e r s w it h le s s th an 5 y e a r s o f c r e di t e d s e rv ic e o n S ep t em b e r 3 0, 2 0 1 3 mu st b e c o m p le te d
w ith in 3 6 m o n th s fo ll o w in g th e d a t e th e m e m b e r c o m p le te s 5 y ea r s o f C r e d ita b le S e rv ic e . T h e
p u r c h a s e o f C r e d it a b le S e rv ic e u n d e r thi s s u b s e c t io n (b ) fo r fir e fi g h te r m e m b e r s w ith 5 o r m o r e
y e ar s o f c r e di t e d s e rv ic e o n S ep tem b er 3 0 , 2 0 1 3 m u s t b e c o m p le te d w ith in 2 4 m o n th s fo ll o w in g
S ep t em b er 3 0, 2 0 1 3. T h e p ur c h a s e o f C r e d it a b le S e rv ic e u n d e r th is su b s ec tio n (b ) fo r fir e fi g h te r
m e m b e r s w it h le s s th a n 5 y e a r s o f c r e d it e d s e rvi c e o n S e p te m b e r 3 0 .. 2 0 1 3 m u s t b e c o m p le te d
w it hi n 2 4 m o n th s fo ll o w in g th e d a t e th e m e m b e r c o m p le te s 5 y e a r s o f C r e d ita b le S ervi ce . A
m e m b e r w h o d o e s n o t c o m p l e te a n d fu ll y p a y fo r th e p u r c h a s e o f C r e d ita b le S e rv ic e un d e r th is
s ub s e c ti o n (b ) w ithi n th e a pp li ca b le tim e p e ri o d s p e c ifi e d h e r e in sh a ll n o t r e c e iv e C r e d ita b le
S e rv ic e fo r m o r e th a n th e a m o un t fo r w hi c h p a y m e n t h a s b e e n m ad e , a n d sh a ll n o t b e e ligi b le to
p ur c ha s e C r e d it a b le S e rv i c e fo r p ri o r m ili ta ry s e rv ic e in th e fu t ur e .
(C) Effective [effective date of ordinance], members who have at least five (5) years Creditable Service
under the System (ten years of Creditable Service for firefighter members hired after May 81 2019
and police officer members hired after July 31, 2019) may contribute an additional amount to
the System in order to receive service credit for up to two years of active military service in the
U.S. Army, Navy, Air Force, Marines or Coast Guard occurring prior to their date of employment
with the City, at the benefit multiplier rate of 3% per year of Creditable Service: provided in no
event shall the total aggregate amount of Creditable Service purchased pursuant to this section 82
and section 65 exceed a combined total of two (2) years or 6% additional multiplier. The price for
each year of prior military service purchased shall be 10% (10.5% for members hired on or after
September 30, 2013) of the member's pensionable salary during the twelve (d2) calendar months
immediately preceding the date of such purchase: and such price shall be prorated accordingly if a
member's purchase includes a fractional year of service. For the purpose of purchases of Creditable
Service under this subsection (c), a member may use the value of accrued sick and/or annual leave
valued at the member's hourly rate at the time of purchase, with the cost prorated for fractional years
of service. The purchase of Creditable Service under this subsection (c) must be completed within
twenty-four (24) months following a member's completion of five years of Creditable Service under
the System (ten years of Creditable Service for firefighter members hired after May 8 2019 and
police officer members hired after July 31, 2019) A member who does not complete and fully pay
for the purchase of Creditable Service under this subsection (c) within the twenty-four (24) month
period shall not receive Creditable Service for more than the amount for which payment has been
made, and shall not be eligible to purchase Creditable Service for prior military service in the future.
Service credit purchased pursuant to this subsection (c) may be used for purposes of benefit
calculation and eligibility for normal retirement: however, in no event may such purchased service
credit be used for purposes of vesting.
(aj ) Notwithstanding any provision of this plan to the contrary, effective as of December 12,
1994, contributions, benefits and service credit with respect to qualified military service will
be provided in accordance with Section 414(u) of the Internal Revenue Code of 1986, as
amended, and USERRA, as applicable.
S e c tion . S e ct io n 8 4 o f P art I, S u b p ar t B , Ar ti c le IX , R el at e d S p e ci a l A ct s o f th e M iam i B e a ch
C ity C o d e , is a m e n d e d to re a d :
S e c . 8 4 . - Di s tr i b u tion lim it a tio n .
N o tw it h s ta n d in g a n y o th e r p ro v is io n o f th is S y s te m , a ll d is tr ib u t io n s fr o m th is S y s te m sh a ll
c o n fo r m to s e c t io n 4 0 1 (a )(9 ) o f t h e In t e rn a l R e v e n u e C o d e in g e n e ra l a n d to se c tio n 4 0 1 (a )(9 )(C)
o f th e In te rn a l R e v e n u e C o d e in p a rt ic u la r. N o tw it h s ta n d in g a n y o th e r p ro v is io n o f th is p la n to th e
c o n tra r y , a fo rm o fr e t ir e m e n t in c o m e p a y a b le fr o m th is p la n sh a ll sa tis fy th e fo ll o w in g c o n d iti o n s :
(a ) If th e re tir e m e n t in c o m e is p a y a b le b e fo r e th e m e m b e r 's d e a th :
(1 ) Fo r m e m b e r s w h o a tt a in a g e 7 0 a n d ½ b e fo r e Ja n u a r y 1. 2020. it# shall either be
distributed or commence to the member not later than April 1 of the calendar year following
the later of the calendar year in which the member attains age 70½, or the calendar year in
which the member retires;
(2) For members who attain age 70 and ½ on or after January 1. 2020. it shall either be
distributed or commence to the member not later than April I of the calendar year following
the later of the calendar year in which the member attains age 72 or the calendar year in
which the member retires:
(32) The distribution shall commence not later than the calendar year defined above; and (a)
shall be paid over the life of the member or over the lifetimes of the member and the
member's designated beneficiary or (b) shall be paid over the period extending not beyond
the life expectancy of the member and the member's designated beneficiary.
Where a form of retirement income payment has commenced in accordance with the
preceding paragraphs and the member dies before his entire interest in the plan has been
distributed_ disrupte d, the remaining portion of such interest in the plan shall be distributed no less
rapidly than under the form of distribution in effect at the time of the member's death.
(b) If the member's death occurs before the distribution of his interest in the plan has commenced,
the member's entire interest in the plan shall be distributed within five years of the member's
death, unless it is to be distributed in accordance with the following rules:
(1) The member's remaining interest in the plan is payable to his member's designated
beneficiary.
(2) The remaining interest is to be distributed over the life of the member's designated
beneficiary or over a period not extending beyond the life expectancy of the member's
designated beneficiary; and
(3) Such distribution begins within one year of the member's death unless the member's
Surviving Spouse is the sole designated beneficiary, in which case the distribution need
not begin before the date on which the member would have attained age 70½ (age 72 for
members who attain or would have attained age 70 and ½onor after January I. 2020) and
if the m em ber's Surviving Spouse dies befo re the distribution to the Surviving Spouse
begins, this section shall be applied as if the Surviving Spouse were the m em ber.
Section 6. Section 87 of Part 1, Subpart B, Article IX. Related Special Acts of the Miam i Beach
C ity Code, is am ended to read:
Sec. 87.- Ben efits fo r em ployees hired on or after July 14, 20 I O and prior to Septem ber 31, 2013.
The pension benefit s for em ployees hired on or after Jul y 14, 2010 and prior to Septemb er 31,
2013, shall be as pro vided in the sections 61 through 86, except as fo llows:
(a) The benefit m ultiplier shall be three percent (3%) for each year of creditable service for the
fir st 20 years of service, and fo ur percent ( 4%) fo r each year of creditable service after 20
years of creditable serv ice.
(b) The norm al retirem ent date shall be as provided in sec. 66, except that a m em ber m ust
com plete at least five years of creditable service, and m ust attain age 48 to be eligible fo r
"R ule of 70" retirem ent or reach the 85% m axim um pension benefit regardless of age.
(c) Final average m onthly salary shall be based on the three (3) highest paid years or last three
(3) years as the case m ay be, prior to retirem ent or separation from em ploym ent.
(d) The cost of living adjustm ent shall be one and one-half percent (1.5%) annually.
(e) A m em ber shall be vested upon com pletion of fi ve years of creditable service.
(f) Th e m axim um pension benefit shall be as pro vided in section 11-66(e).
Section 7. Sect ion 88 of Part I, Sub part B, Arti cl e IX, Relat ed Special Acts of th e M iam i Beach
C ity C ode, is am ended to read:
Sec. 88. - Ben efits fo r m em bers hired on or after Septem ber 30, 2013 and prior to June 8, 2016 for
Intern ational A ssociation of Firefighters, Local 1510 (IA FF ) and July 20, 2016 fo r Fratern al Order
of Police, W illiam Nichols Lodge N o. 8 (FOP).
Notw ithstanding any other pro vision of the System , the pension benefit s fo r m em bers hired on or
aft er Septem ber 30, 2013 and prior to Jun e 8, 2016 for Intern ational Association of Firefighters,
Local 151 O (IA FF) and July 20, 2016 fo r Fratern al Order of Police, W illiam Nichols Lodge No. 8
(FO P) shall be as pro vided in the sections 61 thro ugh 86, except as fo llow s:
(a) The benefit m ultiplier shall be three percent (3%) for each year of creditable service for the
fir st 20 years of service, and four percent ( 4%) fo r each year of creditable service after 20
years of creditable service.
(b) Th e norm al retirem ent date shall be as pro vided in sec. 66, except that a m em ber m ust
com pete at least five years of creditable service, and m ust attain age 48 to be eligible fo r "Rule
of 70" retirem ent or reach the 85% m ax im um pension benefit regardless of age.
(e) Final average monthly salary shall be based on the five (5) highest paid years or last five (5)
years as the case may be, prior to retirement or separation from employment.
(d) The cost of living adjustment shall be one and one-half percent (l.5%)annually.
(e) A member shall be vested upon completion of five years of creditable service.
(f) The maximum pension benefit shall be as provided in section I l-66(e).
Section 8. Section 89 of Part I, Subpart B, Article IX, Related Special Acts of the Miami Beach
City Code, is amended to read:
Sec. 89.- Benefits for members hired on or after June 8, 2016 and prior to May 8, 2019 for
International Association of Firefighters, Local 1510 (IAFF) and hired on or after July 20, 2016
and prior to July 31. 2019 for Fraternal Order of Police, William Nichols Lodge No.8 (FOP).
Notwithstanding any other provision of the System, the pension benefits for members hired on or
after June 8, 2016 and prior to May 8,2019 for International Association of Firefighters, Local
I 51 O (IAFF) and hired on or after July 20, 2016 and prior to July 31. 2019 for Fraternal Order of
Police, William Nichols Lodge No. 8 (FOP) shall be as provided in sections 61 through 86, except
as follows:
(a) The benefit multiplier shall be three percent (3%) for each year of creditable service for the
first 20 years of service, and four percent ( 4%) for each year of creditable service after 20
years of creditable service.
(b) The normal retirement date shall be upon attainment of age 52 with five or more years of
creditable service, or when the sum of a member's age plus years of creditable service equal
70 or more, provided the member has attained age 48 or reach the 85% maximum pension
benefit regardless of age.
(e) Final average monthly salary shall be based on the five (5) highest paid years prior to
retirement or separation from employment.
(d) The cost of living adjustment shall be one and one-half percent (1.5%) annually.
(e) The maximum pension benefit shall be as provided in section 11-66(e).
(f) A member shall be vested upon completion of five years of creditable service.
(g) The member contribution shall be ten and one-half percent ( 10.5%) ofSalary.
Section 9. A new Section 90 of Part 1, Subpart B, Article IX, Related Special Acts of the Miami
Beach City Code, is created to read:
S e c . 9 0 . - B e n e fit s fo r m e m b e r s h ir e d o n o r a ft e r M a y 8, 2 0 I 9 fo r In te rn a tio n a l
A s s o c ia tio n of Firefighters. Local 1510 (IAFF) and on or after July31, 2019 for
Fraternal Order of Police, William Nichols Lodge No. 8 (FOP)
Notwithstanding any other provision of the System. the pension benefits for members
hired on or after May8, 2019 for International Association of Firefighters, Local 1510
(I A FE ) and on or after July 31, 2019 for Fraternal Order of Police. William Nichols
Lodge No. 8(FOP) shall be as provided in section 89, except that such members shall
be vested upon completion of ten years of creditable service and shall not be credited
with anv service under this Svstem for service as a member of the Miami Beach
Employees' Retirement Plan.
Section 10. Conflicts and Severability.
(a) All Ordinances. and parts of ordinances. in conflict herewith shall be and
the same. are hereby repealed.
(b) In the event any article, section, paragraph. sentence, clause. or phrase
of this Ordinance shall be adjudicated invalid or unconstitutional such adjudication shall
in no manner affect the other articles, sections, paragraphs, sentences. clauses or phrases
of this Ordinance. which shall be and remain in full force and effect as fully as if the
item so adjudged invalid or unconstitutional was not originally a part hereof.
Section 11. Codification. This Ordinance shall be codified in the Code of Ordinances of
the City of Miami Beach.
Section 12. Effective date.
24 0hb This Ordinance shall take effect on the day of. 2020.
/ 0robo PASSED AND ADOPTED this day of 2020.
ATTEST 2.
Dan Gelber, Mayor
Rafael E. Granado. City Clerk
C ity of Miami B ea ch, 17 00 Convention Center Drive, M iomi Beach, Florida 33139, www.miamibe ach fl.gov
C MMISSION MEMORANDUM
TO Mayor Dan Gelber and Members
FROM: Jimmy L. Morales, City Mana
DATE: October 14, 2020 Second Reading
SUBJECT: AN ORD INANCE OF THE MAYOR AND CITY
COMMISSION OF THE CIT OF MIAMI BEACH, FLORIDA,
AMENDING PART I, SUBPART B, AR TICLE IX, RELATED SPECIAL
ACTS, OF THE MIAMI BEACH CITY CODE ENTITLED "PENSION
SYSTEM FOR DISABILITY AND RE TIREMENT OF MEMBERS OF
POLICE AND FIRE DEPARTMENTS"; AMENDING THE PENSION
SYSTEM TO IM PLEMENT THE COLLECTIVE BARGAINING
AGREEMENTS BETW EEN THE CITY AN D FIRE FIGHTERS OF
MIAMI BEACH, IA FF LOCAL 1510, AN D MIAMI BEACH FRA TERN AL
ORD ER OF POLICE, WILLIAM NICHOLS LODGE NO. 8; AM ENDING
SECTION 65, ENTITLED "COMPUTATION OF CREDIT ABLE
SERVICE; SERVICE RE CORD "; AMEND ING SECTION 66, ENTITLED
"SERVICE AND DISABILITY BENEFITS GENERA LLY"; AM ENDING
SECTION 79, ENTITLED DEFERRE D RE TIREMENT OPTION PLAN
(DROP); AM ENDING SECTION 82, ENTITLED "MILITARY
SERVICE"; AMENDING SECTION 84, ENTITLED "DISTRIBUTION
LIMITATION"; AMENDING SECTION 87, ENTITLED "BENEFITS
FOR EMPLOYEES HIRE D ON OR AFTER JULY 14, 2010 AN D PRIOR
TO SEPTEMBER 31, 2013; AMENDING SECTION 88, ENTITLED
"BENEFITS FOR MEMBERS HIRED ON OR AFTER SEPTEMBER 30,
2013 AN D PRIOR TO JUN E 8, 2016 FOR INTERN ATIONAL
ASSOCIATION OF FIREFIGHTERS, LOCAL 1510 (IAFF) AND JU LY 20,
2016 FOR FRA TERN AL ORD ER OF POLICE, WILLIAM NICHOLS
LODGE NO. 8 (FOP); AMENDING SECTION 89, ENTITLED "BENEFITS
FOR MEM BERS HIRE D ON OR AFTER JUNE 8, 2016 FOR
INTERN ATIONAL ASSOCIATION OF FIRE FIGHTERS, LOCAL 1510
(IAFF) AN D JULY 20, 2016 FOR FRA TERN AL ORD ER OF POLICE,
WILLIAM NICHOLS LODGE NO. 8 (FOP); CRE ATING A NEW
SECTION 90, ENTITLED "BENEFITS FOR MEMBERS HIRED ON OR
AFTER MAY 8, 2019 FOR INTERN ATIONAL ASSOCIATION OF
FIRE FIGHTERS, LOCAL 1510 (IAFF) AN D ON OR AFTER JULY 31,
2019 FOR FRA TERN AL ORD ER OF POLICE, WILLIAM NICHOLS
LODGE NO. 8 (FOP)"; PROVIDIN G FOR SEVERA BILITY;
REPEALING ALL ORD INANCES IN CONFLICT HEREWITH; AN D
PROVIDING AN EFFECTIVE DATE.
RECOMMENDATION
The Administration recommends the City Commission approve the ordinance.
BACKGROUND
The City of Miami Beach has the following five (5) classified employee groups that are represented
by bargaining units:
• Group I- Represented by the American Federation of State, County and Municipal Employees
(AFSCME) Local 1554;
• Group II - Represented by the Fraternal Order of Police (FOP) William Nichols Lodge No. 8;
• Group Ill - Represented by the International Association of Firefighters (IAFF) Local 1510;
• Group IV - Represented by the Communications Workers of America (CWA) Local 3178; and
• Group V - Represented by the Government Supervisors Association of Florida (GSAF),
OPEIU, Local 100
In addition, the City has one classified employee group, Group VI, comprising all other
classifications in the classified service not covered by a bargaining unit. This group is commonly
referred to in the City of Miami Beach as "Others". There is a seventh salary group comprised of
at-will employees commonly referred to as Unclassified.
The City Commission approved the ratification of a three-year labor agreement between the City
of Miami Beach and International Association of Firefighters (IAFF) Local 1510 from the period of
October 1, 2018 through September 30, 2021 on May 8th, 2019.
The City Commission also approved the ratification of a three-year labor agreement between the
City of Miami Beach and Fraternal Order of Police (FOP) from the period of October 1, 2018
through September 30, 2021 on July 31st, 2019.
ANALYSIS
The ratified agreements between the City and the IAFF and the City and the FOP mandates the
implementation of a pension buy back benefit as described below:
A. Military Buy Back: Upon completion of five (5) years of creditable service under
the pension system, (ten years for members hired after ratification of this
agreement), members may purchase additional creditable service under the system
for up to two (2) years of prior military service, in increments of up to three percent
(3%) per year of service for a maximum additional multiplier of six percent (6%),
purchased at ten percent ( 10%) or ten and one half percent ( 10.5%), (for new hires
required to contribute 10.5% to the plan as set forth in sections G and H herein), of
pensionable salary for each year of military service purchased, with the cost
prorated for fractional years of service. For purposes of this purchase, an employee
may use the value of accrued sick and/or annual leave, valued at the employee's
hourly rate at the time of purchase. Such purchased creditable service will be
available for use as a benefit, including for purposes of reaching normal retirement
eligibility. In no event may the purchased service be used for purposes of vesting
credits.
The purchase of additional military service must be completed within twenty- four (24)
months following a member's completion of five years of creditable service under the
pension plan. (ten years for members hired after ratification of this agreement). If a
member does not complete the purchase within the twenty-four (24) month period,
he/she shall not be eligible for the purchase in the future. These provisions shall be
applicable upon attaining ten (10) years of creditable service under the Miami Beach
Police/Fire Pension plan for employees hired on or after ratification of this agreement.
Prior Fire/Police Serv ice Buy Back: Upon ratification, all bargaining unit
employees shall have a window between July 1, 2021 and September 30, 2021 in
which to purchase up to two years creditable service in increments of up to three
percent per year of service for up to tw o years of prior fire fighter service for another
county, or municipal Fire Department, Federal fire fighter, State Fire Agency or Tribal
Fire Department purchased at 10% or 10.5% or service as a police officer in this
state, credit may be given for federal, other state, or county service as long as such
service is recognized by the Criminal Justice Standards and Training Commission
within the Department of Law Enforcement as provided in chapter 943 or the police
officer provides proof to the board of trustees that such service is equivalent to the
service required to meet the definition of a police officer (for employees required to
contribute 10.5% to the plan as set forth in sections G and H herein) of pensionable
salary for each year purchased. For purposes of this purchase, an employee may
use the value of accrued sick and/or annual leave valued at the employee's hourly
rate at the time of purchase, with the cost prorated for fractional years of service. In
the event the employee separates from employment after purchase of such creditable
service but prior reaching 1 O years of creditable service, the employee shall be
reimbursed amounts paid in. Such purchased creditable service will be available for
use as a benefit, including for purposes of reaching normal retirement eligibility, upon
completion of 10 years of creditable service under the pension system. In no event
may the purchased service be used for purposes of vesting credits.
Non Prior Serv ice Buy Back: Upon ratification, all bargaining unit employees shall
have a window betw een July 1, 2021 and September 30, 2021 in which to purchase
up to two years creditable service in increments of up to three percent per year of
service for a maximum additional multiplier of six percent (6% ), purchased at 10% or
10.5% (for employees required to contribute 10.5% to the plan as set forth in sections
Gand H herein) of pensionable salary for each year purchased. For purposes of this
purchase, an employee may use the value of accrued sick and/or annual leave valued
at the employee's hourly rate at the time of purchase. Such purchased creditable
service will be available for use as a benefit upon completion of 10 years of creditable
service under the pension system. In the event the employee separates from
employment after purchase of such creditable service but prior reaching 10 years of
creditable service, the employee shall be reimbursed amounts paid in. In no event
may the purchased service be used for purposes of vesting credits.
The total amount of creditable service available for purchase shall not exceed a total
tw o years (6%) for any combination of the above buy back options, or when an
employee has participated in a prior by-back in the Miami Beach Police/Fire Pension
system of six percent (6%) or more.
B. All compensation for work performed pursuant to section 6.12 ( off duty services) shall
be included in a member's salary for pension purposes and shall be used in the
calculation of member contributions and benefits. Provided, in no event shall overtime
pay and/or off-duty pay, exceed the caps presently specified in the Miami Beach
Police and Fire Pension Ordinance. Overtime in excess of 300 hours per year or
payments for unused sick and and/or vacation leave may not be included in
compensation for pension purposes.
PFRS will have another actuarial study conducted between first and second
readings. The 2018 study by GRS indicated a 1.1 % cost for these items, however, as
you may recall, this was largely offset by the 0% COLA in the first year and two smaller
than average COLA 's with deferred dates in years 2 and 3 of the agreements.
CONCLUSION
The Administration recommends approving the proposed ordinance amendments.
O rd inance s - R5 o
MIAMI BEACH
COMMISSION MEMORANDUM
TO: Honorable Mayor and Members of the City Commission
FROM: Jimmy L. Morales, City Manager
DATE: October 14, 2020
9:25 a.m. Second Reading Public Hearing
SUBJECT: AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY
OF MIAMI BEACH, FLORIDA, AMENDING PART I, SUBPART B, ARTICLE
IX, RELATED SPECIAL ACTS, OF THE MIAMI BEACH CITY CODE
ENTITLED "PENSION SYSTEM FOR DISABILITY ANO RETIREMENT OF
MEMBERS OF POLICE AND FIRE DEPARTME NTS"; AM EN DI NG THE
PENSION SYSTEM TO IMPLEMENT THE COLLECTIVE BARGAINING
AGREEMENTS BETWEEN THE CITY AND FIRE FIGHTERS OF MIAMI
BEACH, IAF F LOCAL 1510, ANO MIAMI BEACH FRATERNAL ORDER OF
POLICE, W ILLIAM NICHOLS LODGE NO. 8; AMENDING SECTION 65,
ENTITLED "COMPUTATION OF CREDITABLE SERVICE; SERVICE
RECORD"; AMENDING SECTION 66, ENTITLED "SERVICE AND
DISABILITY BENEF ITS GENE RALLY"; AME NDI NG SECTION 79,
ENTITLED DEFERRED RETIREMENT OPTION PLAN (D ROP); AM ENDI NG
SECTION 82, ENTITLED "MILITARY SERVICE"; AMENDING SECTION 84 ,
ENTITLED "DISTRIBUTION LIMITATION"; AMENDING SECTION 87,
ENTITLED "BENEFITS FOR EMPLOYEES HIRED ON OR AFTER JULY 14,
2010 AND PRIOR TO SEPTEMBER 31, 2013; AMENDING SECTI ON 88,
ENTITLED "BENEFIT S FOR MEMBERS HI RED ON OR AFTER
SEPTEMBER 30, 2013 AND PRIOR TO JUNE 8, 2016 FOR
INTERNATIONAL ASSOCIATI ON OF FIREFIGHTERS, LOCAL 1510 {IAFF)
AND JULY 20, 2016 FOR FRATERNAL ORDER OF POLICE, W ILLIAM
NICHOLS LODGE NO. 8 {FOP); AMENDING SECTION 89, ENTITLED
"BENEFIT S FOR MEMBERS HIRED ON OR AFTER JUNE 8, 2016 FOR
INTERNATIONAL ASSOCIATION OF FIREFIGHTERS, LOCAL 1510 (IAFF)
AND JULY 20, 2016 FOR FRATERNAL ORDER OF POLICE, W ILLIAM
NICHOLS LODGE NO. 8 (FOP); CREATING A NEW SECTION 90,
ENTITLED "BENEFITS FOR MEMBERS HIRED ON OR AFTER MAY 8,
2019 FOR INTERNATI ONAL ASSOCIATION OF FIREFIGHTERS, LOCAL
1510 (IAFF)AND ON OR AFTER JULY31, 2019 FOR FRATERNAL ORDER
OF POLICE, W ILLIAM NICHOLS LODGE NO. 8 (FOP)"; PROVIDING FOR
SEVERABILITY; REPEALING ALL ORDINANCES IN CONFLICT
HEREWITH; AND PROVI DING AN EFFECTIVE DATE.
(ITEM TO BE SUBMITTED IN SUPPLEMENTAL)
ls this a "Residents Right Does this item utilize G,O.
Page 531 of 1576
to K n ow" item, pursuant to
City C od e Se cti on 2-142
Yes
Legislative Tracking
Human Resources
Sponsor
Commissioner Ricky Arriola
B o nd Fun ds ?
No
Page 532 of 1576