Ord No 27-11-2100ORDINANCE NO. 27-11-2100
An Ordinance amending the South Miami Pension
Plan, providing for an amendment to Section 16-
12, Definitions, to comply with current City policy
concerning the definitions of annual
compensation and final average compensation;
and also amending Section 16 -13, Eligibility.
WHEREAS, the Florida legislature has enacted Ch. 2011 -216, Laws of Florida, which
provides, in part, that for service earned under collective bargaining agreements entered into
on or after July 1, 2011, compensation for pension purposes may not include in excess of
300 hours of overtime, may not include payments for unused accrued sick and vacation leave
and may not include any payments for extra duty or special detail work; and
WHEREAS, the current pension ordinance includes in the definition of compensation
for pension purposes an unlimited amount of overtime pay, and payments for accrued
unused sick and vacation leave, and for extra duty or special detail work; and
WHEREAS, the City of South Miami and the Dade County Police Benevolent
Association for Police Officers and Sergeants have entered into a new Collective Bargaining
Agreement effective October 1, 2011 ( "CBA "); and
WHEREAS, Florida law requires that if any provision of a collective bargaining
agreement is in conflict with any ordinance over which the chief executive officer has no
amendatory power, the chief executive officer shall submit to the appropriate governmental
body having amendatory power a proposed amendment to such ordinance; and
WHEREAS, the City Mayor and City Commission have received and reviewed an
actuarial impact statement related to these changes and attached as such; and
WHEREAS, the City Commission deems it to be in the public interest to provide these
changes to the pension plan and to the pension plan for its police officer employees;
Page 1 of 4
Ord. No, 27 -11 -2100
NOW, THEREFORE, BE IT HEREBY ORDAINED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF SOUTH MIAMI, FLORIDA, THAT:
Section 1: That Chapter 16 Article II, Section 16 -12, " "Definitions" of the City of South
Miami Code of Ordinances is hereby amended as follows:
Definitions.
Annual compensation shall mean regular base wages and salaries, including
hazardous pay, overtime pay, vacation, sick leave, holiday pay, clothing allowance,
educational incentive and extra duty pay. However, for compensation earned by police
officers or sergeants on or after October 1, 2011, the maximum amount of overtime hours
that may be used to determine annual compensation for calculating retirement benefits for
any one (1) fiscal year shall not exceed 300 hours. Additionally, for police officers and
sergeants, payments for accrued unused sick leave or accrued unused annual leave earned
on or after October 1, 2011, and payments for extra duty or special detail work for a second
Party employer, performed on or after October 1, 2011, shall not be considered a part of their
annual compensation for purposes of calculating their retirement benefits. In addition, shift
differential pay, assignment pay and bonuses for police officers and sergeants shall not be
considered a part of their annual compensation for purposes of calculating their retirement
benefits. Any additional or other forms of pay not specifically mentioned hereinabove, for any
and all employees, shall be excluded from the definition of annual compensation.
Final average compensation shall mean the participant's annual compensation,
as determined by the employer, acting in a uniform and nondiscriminatory manner. For all
members other than police officers and police sergeants, final average compensation shall be
averaged over the last three -year period ending on the participant's retirement date, date of
disability, date of termination of employment or the date of termination of the plan, whichever
is applicable. For police officers and sergeants, final average compensation shall be the best
ending on the police officer or sergeant's retirement date, date of disability, date of
termination of employment, or date of termination of the plan, whichever is applicable. The
best five (5) years is defined as the highest five (5), twenty -six (26) consecutive pay periods
within a police officer or sergeant's career and such consecutive vear periods shall not
overlap one another
Page 2 of 4
Ord. no. 27 -11 -2100
.. .nom• . . ..
WON
Section 2: That Chapter 16 Article II, Section 16 -13, " "Eligibility" of the City of South
Miami Code of Ordinances is hereby amended as follows:
Eligibility.
(a)— E -ach- employee- employed -by- the - employer- -on- October - -l- -1965; shall - -be --
a participant on the first participation date on which he has completed two (2) years of
credited service and has attained his twenty -fifth birthday.
(b) Each employee who becomes an employee subsequent to October 1,
1973, shall be a participant on the first participation date on which he /she has completed six
(6) months of credited service and has obtained his /her twentieth birthday. For all current
employees as of October 1, 1995, each fiscal year there will be a window for joining the
retirement system; i.e. October 1 through October 31.
(c)
It shall become mandatory for
all employees hired on or after
October 1,
1995, to join
the
pension plan
after
completion
of six
(6) months of
employment by
the
city.
(d) Employees who are hired on or after October 1, 2011, Each employee
and are classified as police officer or sergeant, shall enter the pension plan immediately upon
being hired as a sworn law enforcement officer. became eligible to participate in this plan
Section 3: Codification. The provisions of this ordinance shall become and be made
part of the Code of Ordinances of the City of South Miami as amended; that the sections of
this ordinance may be renumbered or re- lettered to accomplish such intention; and that the
word 'ordinance" may be changed to "section" or other appropriate word.
Section 4. Severability. If any section, clause, sentence, or phrase of this ordinance
is for any reason held invalid or unconstitutional by a court of competent jurisdiction, this
holding shall not affect the validity of the remaining portions of this ordinance.
Section 5. Ordinances in Conflict. All ordinances or parts of ordinances and all
section and parts of sections of ordinances in direct conflict herewith are hereby repealed.
However, it is not the intent of this section to repeal entire ordinances, or parts of ordinances,
that give the appearance of being in conflict when the two ordinances can be harmonized or
when only a portion of the ordinance in conflict needs to be repealed to harmonize the
Page 3 of 4
Ord. No. 27 -11 -2100
ordinances. If the ordinance in conflict can be harmonized by amending its terms, it is hereby
amended to harmonize the two ordinances. Therefore, only that portion that needs to be
repealed to harmonize the two ordinances shall be repealed.
Section 6, Effective Date. This ordinance shall become effective upon enactment.
PASSED AND ENACTED this 20 day of September , 2011.
ATTEST:
CLERK
1St Reading 9/6/;11/
2nd Reading 9/210%11
A�
CITY
APPROVED:
we
COMMISSION VOTE:
Mayor Stoddard:
Vice Mayor Newman:
Commissioner Beasley
Commissioner Palmer:
Commissioner Harris:
P: \Documents\2011 \11- 027 \Ordinance re New CBA Changes Final Draft v.13 [w•GRS Change].doc
Page 4 of 4
4 -0
Yea
Yea
Yea
Yea
absent
Gabriel. Raeder. Smith. & Company One fmt !#wined Wvd. 954.527.161,6 phone
GRS Consu6nts & Acruarks Suiec 505 954.525.0083 fax
Fr. Lauderdale, Ff. 33301-1,804 www.gabrielroedcrcom
September 12, 2011
Ms. Dixie Martinez
The Resource Centers, LLC
4360 Northlake Blvd. Suite 206
Palm Beach Gardens, Florida 33410
Re: ' South Miami Pension Plan
Actuarial Impact Statement
Dear Dixie:
As requested, we have performed an actuarial review of the attached proposed Ordinance.
Based upon our review, we understand the proposed Ordinance:
1. Limits the amount of overtime included in pensionable compensation earned after
September 30, 2011 to 300 hours per fiscal year for police officers and sergeants.
2. Excludes payments for accrued unused sick leave or accrued unused vacation leave
earned after September 30, 2011 from pensionable compensation for police officers
and sergeants.
3. Excludes payments for extra duty or special detail work for a second employer
performed after September 30, 2011 from pensionable compensation for police
officers and sergeants.
4. Excludes shift differential pay, assignment pay, bonuses and other additional form of
pay from pensionable compensation for police officers and sergeants.
5. Defines final average compensation as the average of the best five (5) years for
police officers and sergeants.
6. Provides for immediate participation upon employment for police officers and
sergeants hired after September 30, 2011.
7. Provides for codification.
8. Provides for severability.
9. Repeals all ordinances or parts of ordinances in direct conflict herewith.
10. Provides for an effective date.
In our opinion, based upon the actuarial assumptions and methods employed in the
October 1, 2010 Actuarial' Valuation and based upon historical salary data, the proposed
Ordinance is a no cost Ordinance under State funding requirements. In fact, the proposed
Ordinance may be expected to reduce future costs.
Ms. Dixie Martinez
September 12, 2011
Page Two
Please forward a copy of the Ordinance upon passage at second reading to update our
records.
If you should have any question concerning the above or if we may be of further assistance
t ith this rnater,_please do not hesitate to contact us.
Sincerest regards,
C4..
Lawrence F. Wilson, A.S.A.
Senior Consultant and Actuary
Enclosures
cc: Javier Banos, Esq.
Ronald Cohen, Esq.
Mr. Alfredo Riverol
Gabriel Roeder Smith & Company
MIAMI DAiLY BUSINESS REVIEW
Published Daily except Saturday, Sunday and
Legal Holidays
Miami, Miami -Dade County, Florida
STATE OF FLORIDA
Before the undersigned authority personally appeared
V. PEREZ, who on oath says that he or she is the
LEGAL CLERK, Legal Notices of the Miami Daily Business
Review f /k/a.Miami Review, a daily (except Saturday, Sunday
and Legal Holidays) newspaper, published at Miami in Miami -Dade
County, Florida; that the attached copy of advertisement,
being a Legal Advertisement of Notice in the matter of
CITY OF SOUTH MIAMI
PUBLIC HEARING - SEPTEMBER 20, 2011
in the XXXX Court,
was published In said newspaper In the Issues of
09/09/2011
Affiant further says that the said Miami Daily Business
Review is a newspaper published at Miami in said Miami -Dade
County, Florida and that the said newspaper has
heretofore been continuously published in said Miami -Dade County,
Florida, each day (except Saturday, Sunday and Legal Holidays)
and has been entered as second class mail matter at the post
office in Miami In said Miami -Dade County, Florida, for a
period of one year next preceding the first publication of the
attached copy of advertisement; and affiant further says that he or
she has neither paid nor promised any person, firm or corporation
any discount, rebate, commission or refund for the purpose
of securing this advertisement for publication in the said
newspaper. _
Sworn to and subscribed before me this
09 day of SEPTEMBER , A.D.,.�2 .1111 r
(SEAL)
V. PEREZ personally known to me
" r'`0 C,, # DD 937532
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For lunheC infi4rmation please
aoMa4t the City Clerks Office at:
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