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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 PLAINVIEW; 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.
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 Plainview
(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 adjustment as set forth in
said Section $53.601, both as to the. initial grant hereunder and..all future
grants under this ordinance .
c) .The Updated Service Credit hereby allowed and provided for shall be
100% of the "base Updated Service Credit" of the 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 Act, ... the deposits required to be made to the System by
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employees of the several participating departments on account of current
/ 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 'deceased 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 0 of the percentage change in Consumer Price. Index for All
Urban Consumers, from December of the year immediately preceding the
effective 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 vas 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 .
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 dete~~n~tion 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 om the 1st day. of
January 1992.
THEREFORE, BE IT ORDAINED BY .THE CITY COUNCIL OF THE CITY OF
-- . PLAINVIEW, TEAS. PASSED AND APPROVED this 19th day of December,
1991.
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