ORDINANCE NO. BL2011-856

WHEREAS, in 2001 the required years of service for a vested pension in the Metropolitan Employee Benefit System was reduced from ten years of service to five years of service; and

WHEREAS, as a result, such shorter years of required service has increased the potential pension benefit liabilities of the Metropolitan Government; and

WHEREAS, the proposed change will improve the financial stability of the Metropolitan Employee Benefit System.

NOW, THEREFORE, BE IT ENACTED BY THE COUNCIL OF THE METROPOLITAN GOVERNMENT OF NASHVILLE AND DAVIDSON COUNTY, THAT:

SECTION 1. Section 3.32.040 is hereby deleted in its entirety and the following language substituted:

Vested pension after ten years of credited employee service.

A. Any member who is a metropolitan employee on or after July 1, 2011, and whose termination occurs after he has completed at least ten years of service and before he is eligible to receive a benefit under either Section 3.32.020 or 3.32.030 shall be eligible to leave any employee contributions in the system and shall be eligible to receive a monthly deferred pension which shall commence on the first day of the month following his attainment of age sixty-five, provided he is then living, computed and payable in accordance with the provisions in Section 3.32.020.

B. Any member who was not a metropolitan employee on or after July 1, 2011, and whose termination occurs after he has completed the required years of service for vesting in effect at the time of such termination and before he is eligible to receive a benefit under either Section 3.32.020 or 3.32.030 shall be eligible to leave any employee contributions in the system and shall be eligible to receive a monthly deferred pension which shall commence on the first day of the month following his attainment of age sixty-five, provided he is then living, computed and payable in accordance with the provisions in Section 3.32.020.

C. Notwithstanding the foregoing provisions of this section, any member whose termination occurs after he has completed the required years of service for vesting in effect as of the date of the enactment of this subsection and before he is eligible to receive a benefit under either Section 3.32.020 or 3.32.030 shall be eligible to leave any employee contributions in the system and shall be eligible to receive a monthly deferred pension which shall commence on the first day of the month following his attainment of age sixty-five, provided he is then living, computed and payable in accordance with the provisions in Section 3.32.020.

SECTION 2. Section 3.33.040 is hereby deleted in its entirety and the following language substituted:

Vested pension after ten years of credited employee service.

A. Any member who is a metropolitan employee on or after July 1, 2011, and whose termination occurs after he has completed at least ten years of service and before he is eligible to receive a benefit under either Section 3.33.020 or 3.33.030 shall be eligible to leave any employee contributions in the system and shall be eligible to receive a monthly deferred pension which shall commence on the first day of the month following his attainment of age sixty-five, provided he is then living, computed and payable in accordance with the provisions in Section 3.33.020.

B. Any member who was not a metropolitan employee on or after July 1, 2011, and whose termination occurs after he has completed the required years of service for vesting in effect at the time of such termination and before he is eligible to receive a benefit under either Section 3.33.020 or 3.33.030 shall be eligible to leave any employee contributions in the system and shall be eligible to receive a monthly deferred pension which shall commence on the first day of the month following his attainment of age sixty-five, provided he is then living, computed and payable in accordance with the provisions in Section 3.33.020.

C. Notwithstanding the foregoing provisions of this section, any member whose termination occurs after he has completed the required years of service for vesting in effect as of the date of the enactment of this subsection and before he is eligible to receive a benefit under either Section 3.33.020 or 3.33.030 shall be eligible to leave any employee contributions in the system and shall be eligible to receive a monthly deferred pension which shall commence on the first day of the month following his attainment of age sixty-five, provided he is then living, computed and payable in accordance with the provisions in Section 3.33.020.

SECTION 3. Section 3.36.040 is hereby deleted in its entirety and the following language substituted:

Vested pension after ten years of credited employee service.

A. Any member who is a metropolitan employee on or after July 1, 2011, and whose termination occurs after he has completed at least ten years of service and before he is eligible to receive a benefit under either Section 3.36.020 or 3.36.030 shall be eligible to leave any employee contributions in the system and shall be eligible to receive a monthly deferred pension which shall commence on the first day of the month following his attainment of age sixty-five, provided he is then living, computed and payable in accordance with the provisions in Section 3.36.020.

B. Any member who was not a metropolitan employee on or after July 1, 2011, and whose termination occurs after he has completed the required years of service for vesting in effect at the time of such termination and before he is eligible to receive a benefit under either Section 3.36.020 or 3.36.030 shall be eligible to leave any employee contributions in the system and shall be eligible to receive a monthly deferred pension which shall commence on the first day of the month following his attainment of age sixty-five, provided he is then living, computed and payable in accordance with the provisions in Section 3.36.020.

C. Notwithstanding the foregoing provisions of this section, any member whose termination occurs after he has completed the required years of service for vesting in effect as of the date of the enactment of this subsection and before he is eligible to receive a benefit under either Section 3.36.020 or 3.36.030 shall be eligible to leave any employee contributions in the system and shall be eligible to receive a monthly deferred pension which shall commence on the first day of the month following his attainment of age sixty-five, provided he is then living, computed and payable in accordance with the provisions in Section 3.36.020.

SECTION 4. Section 3.37.040 is hereby deleted in its entirety and the following language substituted:

Vested pension after ten years of credited employee service.

A. Any member who is a metropolitan employee on or after July 1, 2011, and whose termination occurs after he has completed at least ten years of service and before he is eligible to receive a benefit under either Section 3.37.020 or 3.37.030 shall be eligible to leave any employee contributions in the system and shall be eligible to receive a monthly deferred pension which shall commence on the first day of the month following his attainment of age sixty-five, provided he is then living, computed and payable in accordance with the provisions in Section 3.37.020.

B. Any member who was not a metropolitan employee on or after July 1, 2011, and whose termination occurs after he has completed the required years of service for vesting in effect at the time of such termination and before he is eligible to receive a benefit under either Section 3.37.020 or 3.37.030 shall be eligible to leave any employee contributions in the system and shall be eligible to receive a monthly deferred pension which shall commence on the first day of the month following his attainment of age sixty-five, provided he is then living, computed and payable in accordance with the provisions in Section 3.37.020.

C. Notwithstanding the foregoing provisions of this section, any member whose termination occurs after he has completed the required years of service for vesting in effect as of the date of the enactment of this subsection and before he is eligible to receive a benefit under either Section 3.37.020 or 3.37.030 shall be eligible to leave any employee contributions in the system and shall be eligible to receive a monthly deferred pension which shall commence on the first day of the month following his attainment of age sixty-five, provided he is then living, computed and payable in accordance with the provisions in Section 3.37.020.

SECTION 5. This Ordinance shall take effect from and after its passage, the welfare of The Metropolitan Government of Nashville and Davidson County requiring it.

Sponsored by: Eric Crafton