HomeMy WebLinkAboutOrdinance - 2000-O0052 TMRS - Providing For Increase Prior And Current Service Annuities - 09/27/2000First Reading Second Reading
September 13, 2000 September 27, 2000
Item No. 53 Item No. 28
ORDINANCE NO. 2000-00052
AN ORDINANCE PROVIDING FOR INCREASE PRIOR AND CURRENT
SERVICE ANNUITIES UNDER THE ACT GOVERNING THE TEXAS
MUNICIPAL RETIREMENT SYSTEM FOR RETIREES AND BENEFICIARIES OF
DECEASED RETIREES OF THE CITY OF LUBBOCK, AND ESTABLISHING AN
EFFECTIVE DATE FOR THE ORDINANCE.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
SECTION 1. INCREASE IN RETIREMENT ANNUITIES.
(a) On the terms and conditions set out in Sections 854.203 and 853.404 of
Subtitle G of Title 8, Government Code, as amended (hereinafter referred to as 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 services 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 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 the increase under 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.
(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 2. DATES OF INCREASES.
The initial increase in retirement annuities hereunder shall be effective on
January 1, 2001, subject to approval by the Board of Trustees of the System. 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, and provided further that, as to such subsequent year, the
City has an ordinance in effect that provides for a simultaneous increase in updated
service credits as that term is used in the TMRS Act.
SECTION 3. EFFECTIVE DATE.
Subject to approval by the Board of Trustees of the System, this ordinance shall
be and become effective on the 1" day of January 2001.
SECTION 4. That should any section, paragraph, sentence, phrase, clause or word of
this Ordinance be declared unconstitutional or invalid for any reason, the remainder of
this Ordinance shall be affected thereby.
AND IT IS SO ORDERED.
Passed by the City Council on first reading this 13th day of September—, 2000.
Passed by the City Council on second reading this 27th day of September , 2000.
WINDY SIVFON, MAYOR
ATTEST:
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Kayth a Darnell, City Secretary
APPROVED AS O CONTENT:
Mary An ews
Managing Director Human Resources
AS TO
Attorney
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as:ccdods,. MRS.ord
cityatt/amyiTMRS.ord
August 7, 2000