§ 18-94. Amendment and termination.

(a)

The ordinance establishing this system and fund, and subsequent ordinances pertaining to said system and fund, may be modified, terminated or amended, in whole or in part by the city council; provided that if this or any subsequent ordinance shall be amended or repealed in its application to any person benefiting hereunder, the amount of benefits which at the time of any such alteration, amendment or repeal shall have accrued to the member or beneficiary shall not be affected thereby, except to the extent that the assets of the fund may be determined to be inadequate.

(b)

If this article shall be repealed or if contributions to the system are discontinued, the board shall continue to administer the system in accordance with the provisions of this article, for the sole benefit to the then members, any beneficiaries then receiving retirement allowances, and any future persons entitled to receive benefits under one of the options provided for in this article who are designated by any of said members. In the vent of repeal, there shall be full vesting one hundred (100) percent of benefits accrued to date of repeal and the assets of the system shall be allocated in an equitable manner to provide benefits on a proportionate basis to the persons so entitled to benefits in accordance with the provisions hereof.

(c)

The following shall be the order of priority for purpose of allocating the assets of the system upon repeal of this article or if contributions to the system are discontinued:

(1)

Members already retired under the normal retirement provisions of the plan and those eligible for normal retirement but not actually retired, and their beneficiaries, in proportion to and to the extent of the then actuarially determined present value of the benefits payable, less amount received according to (a) above. If any funds remain, then

(2)

All other members and their beneficiaries in the same manner as in (1) but based upon credited service as of the date of termination of the system, and with any benefits vested given precedence.

(d)

The allocation of the fund provided for in this subsection may, as decided by the board, be carried out through the purchase of insurance company contracts to provide the benefits determined in accordance with this subsection. The fund may be distributed in one sum to the persons entitled to the benefits or the distribution may be carried out in such other equitable manner as the board may direct. The trust may be continued in existence for purposes of subsequent distributions. If, at any time during the first ten (10) years after the effective date of the system as respects the city, the system shall be terminated or the full current costs of the system, consisting of the normal costs and interest on any accrued liability, shall have not been met, anything herein to the contrary notwithstanding, city and state contributions which may be used for the benefit of any one of the twenty-five (25) highest paid members of the system on the effective date, whose anticipated annual retirement allowance provided by such contributions at his normal retirement date would exceed one thousand five hundred dollars ($1,500.00), shall not exceed the greater of either twenty thousand dollars ($20,000.00) or an amount computed by multiplying the smaller of ten thousand dollars ($10,000.00) or twenty (20) percent of such member's average annual earnings during his last five (5) years of service by the number of years of service since the effective date. In the event that it shall hereafter be determined by statute, court decision, ruling by the commissioner of internal revenue, or otherwise, that the provisions of this paragraph are not then necessary to qualify the system under the Internal Revenue Code, this paragraph shall be ineffective without the necessity of further amendment of this article.

(e)

The allocation of assets of the system in event of repeal of this article or discontinuance of contributions to the system shall be carried out through the payment of the benefits provided hereunder as they become due, or by the transfer of such assets to any retirement system replacing this system, provided that full vesting of benefits under this system are provided and fully maintained under such new retirement system. After all the vested and accrued benefits provided hereunder have been paid and after all other liabilities have been satisfied, then and only then shall any remaining funds revert to the general fund of the city.

(f)

Any allocation of assets made in accordance with the provisions hereunder shall be final and binding on all persons entitled to benefits under the system.

(g)

Notwithstanding the provisions of this section, should there be a conflict between the termination provisions of this section and those contained in section 175.361, Florida Statutes, the provisions of section 175.361, Florida Statutes, shall prevail.

(Code 1964, § 9A-28; Ord. No. 1413, § 2, 8-27-86)