Placement: Second Reading of Ordinances / Public Hearing
Action Requested: Motion / Vote
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Ordinance 22-104, Public Hearing, An Ordinance of the City Council of the City of Port St. Lucie, Florida, Amending Chapter 32, Article VIII, Section 32.77 of the Code of the City of Port St. Lucie, Florida, Entitled "Police Officers' Retirement Trust Fund;" Amending Section (F) Benefit Amounts and Eligibility; Amending Section (G) Pre-Retirement Death; Amending Section (P) Minimum Distribution of Benefits; Amending Section (Q) Miscellaneous Provisions; Providing A Conflicts Clause, A Severability Clause, And Authority To Codify; Providing An Effective Date; And For Other Purposes.
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Submitted By: Sandra Steele, Pension Plan Administrator, Finance Department.
Strategic Plan Link: The City's Goal of a high-performing city government organization.
Executive Summary (General Business): On December 20, 2019, the Setting Every Community Up for Retirement Enhancement Act (the "Secure Act") was signed into law. The law is primarily intended to expand opportunities to increase individual retirement savings. Pertinent to pension plans, effective January 1, 2020, the Secure Act increased the age at which the required minimum distributions must begin from 70 1/2 to 72. This provision applies to qualified plans, traditional IRAs, and 401(k) plans. This new amendment applies to individuals who did not reach age 70 1/2 by December 31, 2019. As a governmental pension plan subject to the Internal Revenue Code ("IRS") requirement, the Plan must adopt these provisions to maintain tax qualification. The proposed Ordinance is to amend Section (F) Benefit Amounts and Eligibility, Section (G) Pre-Retirement Death, Section (P) Minimum Distribution of Benefits, and Section (Q) Miscellaneous Provisions.
Presentation Information: A member of the Finance Department will be available to answer any questions.
Staff Recommendation: Move that the Council adopt Ordinance 22-XX. ...
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