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Agenda Item # 12.e.
City Commission Regular Meeting - 5:05 pm
Meeting Date:
11/06/2023
Re
Amending Ordinance #23-060 Relating to General Employees Retirement System
Submitted For:
Johnna Morris

SUBJECT:

Legislative Hearing - Ordinance 23-060 relating to the General Employees retirement system in order to extend the DROP period from 5 to 6 years and increasing the standard form of annuity from 75% to 100% with a cap of $115,000 for employees hired after October 2012, and creating a section in the code which prescribes investment standards and provisions for investment contracts and amending the section for the periodic reports.  FIRST READING

SUMMARY:

Changes include the extension of the DROP period from 5 to 6 years and increasing the standard form of annuity from 75% to 100% with a cap of $115,000 for employees hired after October 2012. Creating a section in the code which prescribes investment standards and provisions for investment contracts and amending the section for the periodic reports to comply with state law 2023-28. State law mandates the provisions that should be included between any contract with the city and investment managers or advisers. State law also provides that any investment contract entered into on or after July 1, 2023, may be unilaterally terminated at the option of the City if the investment contract does not include the proper disclaimer. 

RECOMMENDATION:

Adopt Ordinance 23-060.

ALTERNATIVES:

Adopt with changes.

RESPONSIBLE STAFF:

Johnna Morris

COORDINATED WITH:

Jim Walker Retirement Board Attorney
Linda W. Cox, City Clerk
Sara Hedges, City Attorney

Fiscal Impact

Budgeted Y/N:
N
Fiscal Year:
2024
Account:
520200
Amount:
134,960

OTHER INFORMATION:

Changing the DROP from 5 years to 6 years is de minimis to the Retirement System, the extension will affect the employer’s contribution rate.

Changing the maximum annual pension benefit to not exceed 100% of the final average salary and the maximum benefit to $115,000 annually will have a total cost of $134,960 for the City and $66,647 for FPUA.

Attachments

Form Review

Inbox Reviewed By Date
Finance Department Karen Logue 10/24/2023 02:56 PM
City Manager Nick Mimms 10/24/2023 04:38 PM
Finance Department Johnna Morris 11/01/2023 02:24 PM
City Manager Nick Mimms 11/01/2023 04:28 PM
Form Started By:
Junelly Jimenez-Sabastiano
Started On:
10/24/2023 11:02 AM
Final Approval Date:
11/01/2023