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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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The determination of the ��Annual Benefit" shall take into account Social <br /> Security supplements described in Code §411(a)(9) and benefits transferred <br /> from another defined benefit plan, other than transfers of distributable benefits <br /> pursuant Regulations §1.411(d)-4, Q&A-3(c), but shall disregard benefits <br /> attributable to Employee contributions or rollover contributions. <br /> Effective for distributions in Plan Years beginning after December 31, 2003, the <br /> determination of actuarial equivalence of forms of benefit other than a "Straight <br /> Life Annuity" shall be made in accordance with (1) or (2): <br /> (1) Benefit Forms not Subject to Code §417(e)(3). <br /> (i) For Limitation Years beginning before July 1, 2007, the "Straight <br /> Life Annuity" which is actuarially equivalent to the Firefighter's <br /> form of benefit shall be determined under this subsection (i) for <br /> all forms of benefit other than a "Straight Life Annuity". The <br /> actuarially equivalent "Straight Life Annuity" is equal to the <br /> annual amount of the"Straight Life Annuity" commencing at the <br /> same annuity starting date which has the same actuarial present <br /> value as the Firefighter's form of benefit computed using <br /> whichever of the following produces the greater annual amount: <br /> (I) the interest rate and mortality table (or other tabular factor) <br /> specified in the Fund for adjusting benefits in the same form; and <br /> (II) 5% interest rate assumption and the applicable mortality <br /> table defined in Section 9.02.g. <br /> (ii) For Limitation Years beginning on or after July 1, 2007, the <br /> "Straight Life Annuity" which is actuarially equivalent to the <br /> Firefighter's form of benefit shall be determined under this <br /> subsection (ii) if the form of the Firefighter's benefit is either (a) <br /> a non-decreasing annuity (other than a "Straight Life Annuity") <br /> payable for a period of not less than the life of the Firefighter, or <br /> (b) an annuity which decreases during the life of the Firefighter <br /> because of(i) the death of the survivor annuitant (but only if the <br /> reduction is not below 50% of the benefit payable before the <br /> death of the survivor annuitant), or (ii) the cessation or reduction <br /> of Social Security supplements or qualified disability payments <br /> (as defined in Code §401(a)(11)). The actuarially equivalent <br /> "Straight Life Annuity" is equal to the greater of (I) the annual <br /> amount of the "Straight Life Annuity" (if any) payable to the <br /> Firefighter under the Fund commencing at the same annuity <br /> starting date as the Firefighter's form of benefit; and (II) the <br /> annual amount of the "Straight Life Annuity" commencing at the <br /> same annuity starting date which has the same actuarial present <br /> value as the Firefighter's form of benefit, computed using a 5% <br /> interest rate assumption and the applicable mortality table <br /> defined in Section 9.02.g. <br /> 14 <br />
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