HomeMy WebLinkAboutO-2020-014 - Amending Sec. 18-29.14 General Employees Pension to Comply with Federal SECURE ActORDINANCE NO.2020=014
AN ORDINANCE OF THE CITY OF DANIA BEACH, FLORIDA,
AMENDING THE CODE OF ORDINANCES RELATING TO THE GENERAL
EMPLOYEES RETIREMENT PLAN AND TRUST; AMENDING CHAPTER
18, ARTICLE III, SECTION 18-29.14, INTERNAL REVENUE CODE
COMPLIANCE, TO PROVIDE FOR COMPLIANCE WITH THE FEDERAL
"SECURE ACT"; PROVIDING FOR CONFLICTS; FURTHER, PROVIDING
FOR AN EFFECTIVE DATE.
WHEREAS, the federal "Setting Every Community Up for Retirement Enhancement"
("SECURE") Act, signed into law on December 20, 2019, amended the definition of "Required
Beginning Date" under Section 401(a)(9) of the Internal Revenue Code; and
WHEREAS, amendments to the General Employees' Pension Plan are necessary to
conform the Retirement Plan and Trust to the requirements of the SECURE Act; and
WHEREAS, the Board of Trustees of the City of Dania Beach General Employees'
Retirement Plan and Trust has recommended an amendment to the Retirement Plan to comply
with the SECURE Act; and
WHEREAS, the Trustees of the City of Dania Beach General Employees Retirement
Plan and Trust have requested and approved the amendments provided in this Ordinance as being
in the best interests of the participants and beneficiaries and improving the administration of the
Fund; and
WHEREAS, the City Commission has received and reviewed an actuarial impact
statement related to this change; and
WHEREAS, the City Commission deems it to be in the public interest to provide this
change to the Retirement Plan and Trust for its general employees;
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COMMISSION OF THE
CITY OF DANIA BEACH, FLORIDA:
Section 1. That the foregoing WHEREAS clauses are ratified and confirmed as being
true and correct and they are made a specific part of this Ordinance.
Section 2, That Section 18-29.14, Internal Revenue Code Compliance, subsection
(b), Required beginning date, of the Dania Beach Code is amended to read as follows:
Sec. 18-29,14. —Internal Revenue Code Compliance.
(b) Required beginning date: Notwithstanding any other provision of the
pIan, payment of a participant's retirement benefits under the plan shall
commence not later than the participant's required beginning date, which is
defined as the of:
(1) With regard to distributions required to be made to a participant
who reaches age 70 1/2 before January 1 2020: April 1 of the calendar
year that next follows the calendar year in which the participant attains
or will attain the age of 70 1/2 years; or April 1 of the calendar year that
next follows the calendar year in which the participant retires, whichever
is later.
(2) With regard to distributions required to be made on or after January
1, 2020 to a participant who reaches the age of 70 1/2 on or after that
date: April 1 of the calendar year that next follows the calendar year in
which the participant attains or will attain the age of 72 years or April 1 of
the calendar year that next follows the calendar year in which the
participant retires, whichever is later.
Section 3. That if any section, clause, sentence or phrase of this Ordinance is for any
reason held invalid or unconstitutional by a court of competent jurisdiction, the holding shall not
affect the validity of the remaining portions of this Ordinance.
Section 5. That this Ordinance shall become effective upon passage; however, the
provisions of this Ordinance that are specified to take effect as of a date certain shall take effect
as of the date specified in this Ordinance.
PASSED on first reading on September 14, 2020.
PASSED and ADOPTED on second
ATTEST:
44-IL%,r ,,
THOMAS SCHNEIDER, CMC
CITY CLERK`
;q�llSWE'�
APPROVED AS TO CORM AND CORRE S
THOMAS J. ANSB
CITY ATTORNEY
on September 24, 2020.
n
MAYOR
2
ORDINANCE #2020-014