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2022-059 - Approving and Agreement Regarding Freeze of Fire Pension Fund & Authorizing the Mayor to Execute Same
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2022-059 - Approving and Agreement Regarding Freeze of Fire Pension Fund & Authorizing the Mayor to Execute Same
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8/10/2022 1:20:25 PM
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which is later than his DROP Eligibility Date as long as such date is prior to his <br /> actual retirement date and as long as such date results in an integer number <br /> of months between his DROP Eligibility Date and his actual date of retirement. <br /> b. The monthiy benefit of a Firefighter who elects to receive his benefits under the <br /> DROP will be based on his years of Service as of his DROP Eligibility Date (or <br /> such later date selected by the Firefighter in accordance with Section 5.04.a. <br /> c. In addition to his monthly retirement benefit a Firefighter who makes an <br /> election under the DROP will also be entitled to receive a lump sum amount <br /> (the"DROP payment"). The DROP payment will equal the sum of i and ii, below, <br /> where: <br /> i. is the Firefighter's monthly retirement benefit as of his DROP Eligibility <br /> Date (or such later date selected by the Firefighter in accordance with <br /> Section 5.04a) calculated without regard to any optional form of <br /> payment as set forth in Section 5.02 or 5.03, multiplied by the number <br /> of months, including fractional parts of a month, between the <br /> Firefighter's DROP Eligibility Date and the date the Firefighter elects to <br /> receive benefits; and <br /> ii. is equal to (A) minus (B), where (A) equals the amount of the <br /> Firefighter's accumulated contributions as of the date the Firefighter <br /> elects to receive benefits, and (B) equals the amount of the Firefighter's <br /> accumulated contributions as of his DROP Eligibility Date. <br /> d. In calculating the monthly benefit for a Firefighter who elects Option One or <br /> Option Two in addition to the DROP, the Firefighter's monthly benefit shall first <br /> be calculated under the DROP. Next, the appropriate factor for Option One or <br /> Option Two shall be applied to the Firefighter's monthly benefit under the DROP, <br /> based on the Firefighter's attained age at his actual date of retirement. <br /> e. General Rules for DROP Elections: <br /> 1. Election of a DROP is in lieu of Frozen Benefits. <br /> 2. If a Firefighter dies after electing a DROP but prior to the date his <br /> payments commence, the DROP election shall be null and void, and no <br /> DROP payment shall be made. <br /> f. Forms of Payment of DROP Benefits. A Firefighter who elects to receive benefits <br /> under a DROP shall receive the DROP payment in a single installment. <br /> 8 <br />
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