Ord. 0621 10-14-91ORDINANCE NO. 621
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 PEARLAND;
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 PEARLAND,
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 credit or
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 Pearland
(hereinafter called the "City"), and on such date had 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 unforfeited 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 ad-
justment as set forth in said Section 853.601, both as to the
initial grant hereunder and all future grants under this ordi-
nance.
(c) The Updated Service Credit hereby allowed and provided
for shall be 100% of the "Base Updated Service Credit" of the
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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.
(e) In accordance with the provisions of subsection (d) of
Section 853.401 of the TMRS
to the System by employees
ments.on account of current
Act, the deposits required to
of the several participating
be made
depart -
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 de-
ceased 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 the annuity increase under this Section
is computed as the sum of the prior service 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 Consum-
ers, from December of the year immediately preceding the effec-
tive 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.
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(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, 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 on First Reading this .2 3 day of
A.D., 1991.
C.V. Copping r Mayor
ATTEST:
Pat Jones, C J y Secretary
PASSED and APPROVED on Second and Final reading this /9
day of
ATTEST:
, A.D., 1991.
Pat Jones, Ci„d Secretary
APPPVED AS TO FORM:
Lester Rorick, City Attorney
C.�pi e , Mayo
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