§ 18-164. Creation and maintenance of fund and retirement system.
Latest version.
(a) There is hereby created a special pension fund for the Police Officers of Boynton Beach, Florida, to be known as the Boynton Beach Police Officers’ Pension Fund. All assets of every descriptionheld in the name of the Boynton Beach Police Officers’ Retirement Trust Fund shall continue to be held, but such fund shall hereafter be known as the Boynton Beach Police Officers’ Pension Fund and shall be administered as set forth in this article of Chapter 18 of the City of Boynton Beach Code.
(b) The fund shall be maintained in the following manner:
(1) By payment to the fund of the net proceeds of the .85% excise tax which is imposed by the City of Boynton Beach upon certain casualty insurance companies on their gross receipts of premiums from holders of policies, which policies cover property within the corporate limits of the City of Boynton Beach as authorized in F.S. Chapter 185, amended. These amounts are to be deposited with the Board of Trustees within five days of receipt by the municipality. F.S. Ch. 185. Beginning November of 2017 and ending November of 2021, $30,000.00 of each year’s distribution of the insurance premium excise tax provided for in this subsection will be used by the City to offset the unfunded actuarial liability of the fund. The remainder of the insurance premium excise tax received each year will be used as set forth in Section 18-169(f) of the plan, which provides for a supplemental benefit as defined in F.S. Section 185.02(22).
(2) By the payment to the fund of 7% of the salary of each full time police officer duly appointed and enrolled as a member of the City of Boynton Beach Police Department; which 7% shall be picked up, rather than deducted, by the City of Boynton Beach from the compensation due to the Police Officer and paid over to the Board of Trustees of the Boynton Beach Police Officers’ Pension Fund on a bi-weekly basis. All pickup contributions shall be treated as employer contributions for the purposes of determining tax treatment under the Internal Revenue Code of 1986, as amended. All such pick up amounts shall be considered as employee contributions for purposes of this plan. The percentage deducted from the police officers’ salaries are to be deposited with the Board of Trustees immediately. F.S. Ch.185, Boynton Beach Code of Ordinances Sec. 18-170.
a. Effective the first full payroll period after October 1, 2019, the employee contribution will increase to 7.5%.
b. Effective the first full payroll period after October 1, 2020, the employee contribution will increase to 8.0%.
c. Effective the first full payroll period after October 1, 2021, the employee contribution will increase to 8.5%.
d. The increase in employee contributions provided for in subsections a.- c. will not reduce the City’s contribution. The excess City contribution created by those additional contributions will be used to offset the unfunded actuarial liability.
e. To fund the monthly supplemental benefit provided for in Sec. 18-169(f), effective October 1, 2001, each police officer shall contribute an additional 1% of salary through twenty years of service. This contribution is picked up rather than deducted under the provisions of Code Sec. 414(h)(2).
(3) By all fines and forfeitures imposed and collected from any police officer because of the violation of any rule and regulation adopted by the Board of Trustees. F.S. Ch. 185.
(4) By mandatory payment at least quarterly by the City of Boynton Beach a sum equal to the normal cost and the amount required to fund any actuarial deficiency shown by an actuarial valuation as provided in F.S. Chapter 112, Part VII. F.S. Ch. 185. On an annual basis, the Board of Trustees will evaluate the actuarial assumptions used.
(5) By all gifts, bequests, and devises when donated to the fund. F.S. Ch. 185.
(6) By all accretions to the fund by way of interest or dividends on bank deposits, or otherwise. F.S. Ch. 185.
(7) By all other sources or income now or hereafter authorized by law for the augmentation of the Boynton Beach Police Officers’ Pension Fund. F.S. Ch. 185.
(c) Under no circumstances may the City of Boynton Beach reduce the member contribution to less than 0.5% of salary.
