HomeMy WebLinkAbout2006-029-03/07/2006-ADOPTING THE FOURTH AMENDMENT TO THE CITY OF FORT COLLINS GENERAL EMPLOYEES RETIREMENT PLAN AS AMEN RESOLUTION 2006-029
OF THE COUNCIL OF THE CITY OF FORT COLLINS
ADOPTING THE FOURTH AMENDMENT TO
THE CITY OF FORT COLLINS GENERAL EMPLOYEES'
RETIREMENT PLAN AS AMENDED AND RESTATED
EFFECTIVE DECEMBER 31, 2001
WHEREAS,the City Council adopted,effective January 1, 1971,a qualified defined benefit
pension plan known as the City of Fort Collins General Employees'Retirement Plan(the"GERP"),
for the purpose of providing retirement benefits for certain of its employees; and
WHEREAS, the City Council has amended the GERP from time to time and restated the
GERP to incorporate all prior amendments and other changes required by law, effective December
31, 2001, via Section 1 of Resolution 2001-157; and
WHEREAS, the City entered into a Collective Bargaining Agreement with certain police
services employees as specified at section 2-618 of the City Code (the"Bargaining Unit"), which
agreement provides that such employees will be participants in a 401 pension plan administered by
ICMA-RC and that the City and such employees will each contribute eight percent of base salary to
such plan commencing with the first pay period in 2006; and
WHEREAS,three members of the Bargaining Unit,who are community service officers,are
currently also participants in the GERP; and
WHEREAS, maintaining these three members of the Bargaining Unit in the GERP is not
required by the Collective Bargaining Agreement and would provide them with the windfall of
receiving 4.5% of their base salaries as a City pension contribution in addition to the amount that
other Bargaining Unit members are receiving; and
WHEREAS, the City Council believes that it is equitable to remove all Bargaining Unit
employees from future participation in the GERP,while preserving their vested accrued benefits in
GERP or allowing them the option to roll over the lump sum value of their Accrued Benefits to the
ICMA-Retirement Corporation 401(a)money purchase pension plan; and
WHEREAS, Article XV, Modification or Termination of Plan, Section 2 of the GERP,
authorizes the City Council to amend the terms of the GERP.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT
COLLINS,COLORADO,that effective April 10,2006,Article III ofthe City ofFort Collins General
Employees' Retirement Plan is amended by adding a new Section 6 to read as follows:
Section 6. Removal of Community Service Officers from the Plan.
Effective April 10, 2006,the Membership of any Community Service Officer in the
Plan shall terminate and such individual shall become a Vested Member with an
Accrued Benefit determined as of the effective date of this termination of
Membership. Such Vested Member shall, within sixty(60) days of the above stated
effective date,have the option to roll over the lump sum Actuarial Equivalent value
of their Accrued Benefit as of April 9,2006,into the ICMA-Retirement Corporation
administered 401(a)money purchase pension plan. For this purpose, the lump sum
Actuarial Equivalent value shall be determined based on the assumptions described
in Article II,Section 2b,Subsection(2)(b)and Section 2b,Subsection(3)of the Plan.
Upon exercising this roll over option, such Vested Member would have no further
interest in the Plan and would not be entitled to any further benefits from the Plan.
Passed and adopted at a regular meeting of the Council of the City of Fort Collins this 7th
day of March, A.D. 2006.
M or
ATTEST:
City Clerk