HomeMy WebLinkAbout06740ORDINANCE NO. 6740
AN ORDINANCE AMENDING CHAPTER 2 OF TITLE II OF THE
PUEBLO MUNICIPAL CODE RELATING TO FIREMEN'S
PENSIONS AND TO TAX QUALIFICATION THEREOF
BE IT ORDAINED BY THE CITY COUNCIL OF PUEBLO, that: (Brackets indicate matter
being deleted; underscoring indicates new matter being added)
SECTION 1
Chapter 2 of Title II of the Pueblo Municipal Code, as amended, is hereby amended by the
addition of a new section 2 -2 -20 thereto, to read as follows:
Sec. 2 -2 -20. Additional Provisions Applicable to Plan (Tax Oualification)
Caj The compensation of each member taken into account for determining all
contributions under the plan for M year shall not exceed any applicable limit imposed by the
Internal Revenue Code ( "Code" ), including but not limited to those set forth in Code Section
401(a)(17) to the extent such limits apply to the plan or a particular member. The limits of
Code Section 401(a)(17) shall not apply to a member who first became a member in the Plan
before January 1 1996 or such later date as permitted by Treasury Regulations
O This plan, including the DROP feature is subject to the limitations on benefits
imposed by Code section 415(b) for government fire pension plans which are incorporated
herein by this reference Effective January 1 1995 the mortality table used to determine
actuarial equivalence when such determination is required for this plan under Code section
415(b) shall be the mortality table prescribed by the Secretary of the Treasury based on the
Commissioner of the Internal Revenue Service's standard table used to determine reserves for
group annuity contracts on the date as of which present value is being determined The
limitation year shall be the Plan Year.
Lc) Notwithstanding any provisions of this plan to the contrary 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
For distributions made on or after January 1 1993 a distributee may elect to
have any portion of an eligible rollover distribution paid directly to an eligible retirement plan
specified by the distributee in a direct rollover. For purposes of applying this section
2- 2- 20(d), the following definitions shall apply:
W Eligible rollover distribution: An eligible rollover distribution is any
distribution of all or any portion of the balance to the credit of the distributee except
that an eligible rollover distribution does not include: any distribution that is one of a
series of substantially equal periodic payments (not less frequently than annually)
made for the life (or life expectancy) of the distributee or the joint lives (or joint life
expectancies) of the distributee and the distributee's designated beneficiary or for a
specified period of ten years or more; any distribution to the extent such distribution is
required under section 401(a)(9) of the Code; and the portion of any distribution that
is not includable in gross income
Q Eligible retirement plan: An eligible retirement plan is an individual
retirement account described in section 408(a) of the Code an individual retirement
annuity described in section 408(b) of the Code an annuity plan described in section
403(a) of the Code or a qualified trust described in section 401(a) of the Code that
accepts the distributee's eligible rollover distribution However, in the case of an
eligible rollover distribution to the surviving spouse an eligible retirement plan is an
individual retirement account or individual retirement annuity.
Distributee: A distributee includes a member or former member. In
addition, the member's or former member's surviving spouse and the member's or
former member's spouse are distributees with regard to the interest of the spouse or
former spouse.
Direct rollover: A direct rollover is a payment bythe plan to the
eligible retirement plan specified by the distributee
SECTION 2
This Ordinance shall become effective thirty (30) days after final passage and approval or the
date upon which the City receives a Favorable Determination Letter from the Internal Revenue
Service with respect to the modifications made by this Ordinance to the Pueblo Firemen's Pension
Fund, whichever is later; provided, however, that notwithstanding the foregoing, this Ordinance shall
not become effective (a) unless approved by sixty -five percent of the active members of the Pueblo
Firemen's Pension Fund and (b) unless the Board of Directors of the Fire and Police Pension
Association established pursuant to section 31 -31- 201(1), C.R.S. (Vol. 9, 2000) shall decide to
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permit said modifications pursuant to Section 31- 30.5- 210(2), C.R.S. (Vol. 9, 2000). For such
purpose, on its effective date, this Ordinance shall constitute and be construed to be a request by the
City to so modify the Pueblo Firemen's Pension Fund.
INTRODUCED: September 24 , 2001
By: Ri ch
APPROVED:
ATTESTED BY: \...
City Clerk
PASSED AND APPROVED: October 9, 2001
Council
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