ORDINANCE NO. BL2013-550

An ordinance amending section Title 3 of the Metropolitan Code pertaining to earnings while an employee is on approved in-line-of-duty injury leave for purposes of disability and service pension calculations.

WHEREAS, in June 2013, the Civil Service Commission revised its rules and policies governing compensation during the period of time that an employee is on in-line-of-duty (“IOD”) injury leave; and,

WHEREAS, the revised Civil Service Commission rules and policies could reduce the compensation that certain employees receive while they are on approved IOD injury leave; and,

WHEREAS, under the revised rules and policies of the Civil Service Commission, an employee who has sustained an occupational injury that is determined to be non-catastrophic would be entitled to receive seventy-five (75%) of his pay as established by the Pay Plan during the period of time that the employee is on IOD injury leave; and,

WHEREAS, the revised Civil Service Commission rules and policies governing compensation while an employee is on IOD injury leave become effective on October 1, 2013; and,

WHEREAS, adjustments to the benefit system are necessary to prevent the reduced compensation that employees could receive while on IOD injury leave from changing and decreasing the disability and service pension benefits of employees that sustain occupational injuries.

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

Section 1. That the definition of “average earnings” in section 3.08.010 of the Metropolitan Code is hereby amended by deleting the following language in subsection 2:

2. "Average earnings," when computing pensions under Chapters 3.28 or 3.29, means the arithmetic average of a metropolitan employee's earnings during the period which contains twelve consecutive months of credited service which produces the highest average. Months during which a member is not credited with full credited service will be disregarded for the purpose of determining whether months of credited service are consecutive. The earnings for any month shall be: (a) the actual earnings paid for the month in which the member is compensated for eighty or more hours of work; or (b) the actual earnings paid for the month in which the member is compensated for less than eighty hours but for which the member has unauthorized leave without pay which when added to the hours actually compensated, equals eighty or more hours for the month. If a member has not been employed for a period which contains twelve consecutive months, his average earnings will be based on his compensation during all the months of employment for which there is full credited service. Notwithstanding the foregoing, authorized unpaid leaves of absence shall be disregarded for purposes of this section if the authorized unpaid leave of absence produces a month for which the member is compensated for less than eighty hours of work.

and substituting in lieu thereof the following language:

2. "Average earnings," when computing pensions under Chapters 3.28 or 3.29, means the arithmetic average of a metropolitan employee's earnings during the period which contains twelve consecutive months of credited service which produces the highest average. Months during which a member is not credited with full credited service will be disregarded for the purpose of determining whether months of credited service are consecutive. The earnings for any month shall be: (a) the actual earnings paid for the month in which the member is compensated for eighty or more hours of work, but while incurring in-line-of-duty injury leave time, the member’s earnings will be at his full regular salary or rate of pay; or (b) the actual earnings paid for the month in which the member is compensated for less than eighty hours but for which the member has unauthorized leave without pay which when added to the hours actually compensated, equals eighty or more hours for the month. If a member has not been employed for a period which contains twelve consecutive months, his average earnings will be based on his compensation during all the months of employment for which there is full credited service. Notwithstanding the foregoing, authorized unpaid leaves of absence shall be disregarded for purposes of this section if the authorized unpaid leave of absence produces a month for which the member is compensated for less than eighty hours of work.

Section 2. That the definition of “average earnings” in section 3.08.010 of the Metropolitan Code is hereby amended by deleting the following language in subsection 3:

3. The amendments made to this definition of "average earnings" by Ordinance 97-1018 shall have retroactive application to those disability or service pensions that have a benefit commencement date of January 1, 1996 or later.

and substituting in lieu thereof the following language:

3. The amendments made to this definition of "average earnings" by Ordinance 97-1018 shall have retroactive application to those disability or service pensions that have a benefit commencement date of January 1, 1996 or later. The amendments made to this definition of “average earnings” by Ordinance BL2013-550 shall have retroactive application to those disability or service pensions that have a benefit commencement date of October 1, 2013 or later.

Section 3. That the definition of “earnings” in section 3.08.010 of the Metropolitan Code is hereby amended by deleting the following language:

"Earnings" means, from and after January 1, 1987, the total cash compensation paid by the metropolitan government or by a predecessor government to a metropolitan employee for his personal services excluding all sums in excess of amounts he would have received in his regular position if he is on a leave of absence from his regular position. However, earnings shall not include cash compensation paid to a metropolitan employee for services provided on or after December 1, 1998, to an entity or person other than the metropolitan government or an agency thereof pursuant to a contract between the metropolitan government and the person or entity by which the person or entity reimburses the metropolitan government for the metropolitan employee's compensation. Prior to January 1, 1987, only base pay shall be used to calculate earnings except that longevity pay shall also be included for purposes of calculating pensions granted from and after January 1, 1986.

and substituting in lieu thereof the following language:

"Earnings" means, from and after January 1, 1987, the total cash compensation paid by the metropolitan government or by a predecessor government to a metropolitan employee for his personal services excluding all sums in excess of amounts he would have received in his regular position if he is on a leave of absence from his regular position, but including his full regular salary or rate of pay while he is incurring in-line-of-duty injury leave. However, earnings shall not include cash compensation paid to a metropolitan employee for services provided on or after December 1, 1998, to an entity or person other than the metropolitan government or an agency thereof pursuant to a contract between the metropolitan government and the person or entity by which the person or entity reimburses the metropolitan government for the metropolitan employee's compensation. Prior to January 1, 1987, only base pay shall be used to calculate earnings except that longevity pay shall also be included for purposes of calculating pensions granted from and after January 1, 1986.

Section 4. That this ordinance shall take effect from and after its final passage, the welfare of The Metropolitan Government of Nashville and Davidson County requiring it.

Sponsored by: Ronnie Steine, Peter Westerholm

LEGISLATIVE HISTORY

Introduced: October 1, 2013
Passed First Reading: October 1, 2013
Referred to: Budget & Finance Committee
Personnel Committee
Passed Second Reading: October 15, 2013
Passed Third Reading: November 5, 2013
Approved: November 6, 2013
By: mayor's signature

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