G-96-01-25-9A - 1/25/1996ORDINANCE NO. 0. - q CD -0) - (15. qh-
AN ORDINANCE AUTHORIZING AND ALLOWING, UNDER THE
ACT GOVERNING THE TEXAS MUNICIPAL RETIREMENT SYSTEM,
RESTRICTED PRIOR SERVICE CREDIT TO EMPLOYEES WHO ARE
MEMBERS OF THE SYSTEM FOR SERVICE PREVIOUSLY
PERFORMED FOR VARIOUS OTHER PUBLIC ENTITIES FOR
WHICH THEY HAVE NOT RECEIVED CREDITED SERVICE; AND
ESTABLISHING AN EFFECTIVE DATE FOR THE ORDINANCE.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ROUND
ROCK, TEXAS:
I.
Authorization of Restricted Prior Service Credit.
(a) On the terms and conditions set out in Sections 853.305
of Subtitle G of Title 8, Texas Government Code, as amended
(hereinafter referred to as the "TMRS Act"), each member of the
Texas Municipal Retirement System (hereinafter referred to as the
"System") who is now or who hereafter becomes an employee of this
City shall receive restricted prior service credit for service
previously performed as an employee of any of the entities
described in said Section 853.305 provided that (1) the person does
not otherwise have credited service in the System for that service,
and (2) the service meets the requirements of said Section 853.305.
(b) The service credit hereby granted may be used only to
satisfy length -of -service requirements for retirement eligibility,
has no monetary value in computing the annuity payments allowable
to the member, and may not be used in other. computations,
including computation of Updated Service Credits.
(c) A member seeking to establish restricted prior service
credit under this ordinance must take the action required under
said Section 853-305 while still an employee of this City.
II.
Effective Date
(a) This ordinance shall become effective on the first day
of February, 1996
C:\W PDOCS\ORDINANC\OR60125 A. W PD/sIs
III.
A. All ordinances, parts of ordinances, or resolutions in
conflict herewith are expressly repealed.
B. The invalidity of any section or provision of this
ordinance shall not invalidate other sections or provisions
thereof.
Alternative 1.
By motion duly made, seconded and passed with an affirmative
vote of all the Council members present, the requirement for
reading this ordinance on two separate days was dispensed with.
READ, PASSED, and ADOPTED on first reading this Q(' day
of
Alternative 2.
, 1996.
READ and APPROVED on first reading this the day of
, 1996.
READ, APPROVED and ADOPTED on second reading this the
day of , 1996.
ATTEST:
NNE LAND, City Secretary
CHARLES CULPJFP R, Mayor
City of Round Rock, Texas
2.
TMRS-PSC/Restricted
TEXAS MUNICIPAL RETIREMENT SYSTEM
AN ORDINANCE AUTHORIZING AND ALLOWING, UNDER THE ACT
GOVERNING THE TEXAS MUNICIPAL RETIREMENT SYSTEM, RESTRICTED
PRIOR SERVICE CREDIT TO EMPLOYEES WHO ARE MEMBERS OF THE
SYSTEM FOR SERVICE PREVIOUSLY PERFORMED FOR VARIOUS OTHER
PUBLIC ENTITIES FOR WHICH THEY HAVE NOT RECEIVED CREDITED
SERVICE; AND ESTABLISHING AN EFFECTIVE DATE FOR THE
ORDINANCE.
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF ROUND ROCK, TEXAS:
Section 1. Authorization of Restricted Prior Service Credit.
(a) On the terms and conditions set out in Sections 853.305 of Subtitle G of Title 8,
Texas Government Code, as amended (hereinafter referred to as the "TMRS Act"), each
member of the Texas Municipal Retirement System (hereinafter referred to as the "System")
who is now or who hereafter becomes an employee of this City shall receive restricted prior
service credit for service previously performed as an employee of any of the entities described
in said Section 853.305 provided that (1) the person does not otherwise have credited service
in the System for that service, and (2) the service meets the requirements of said Section
853.305.
(b) The service credit hereby granted may be used only to satisfy length -of -service
requirements for retirement eligibility, has no monetary value in computing the annuity
payments allowable to the member, and may not be used in other computations, including
computation of Updated Service Credits.
(c) A member seeking to establish restricted prior service credit under this ordinance
must take the action required under said Section 853.305 while still an employee of this City.
Section 2. This ordinance shall become effective on the first day of , 19
19
Passed and approved this the day of
ATTEST: APPROVED:
City Secretary or Clerk Mayor
CITY OF ROUND ROCK
INTEROFFICE MEMORANDUM
To: Joanne Land, Asst. City Manager
From: Linda Gunther, Personnel Manager
Date: 12/7/95
Subj: TMRS Restricted Prior Service Credit
As you can see from the attach information you requested if the city adopted this ordinance
there would be no cost to the city. The benefit for employees would be that the prior years or
months of forfeited service would bring them closer to eligible retirement or vested service.
The employees monthly retirement pay out benefit would not increase with the additional
prior service credit.
Restricted Prior Service credit can be granted for service performed in the following entities:
* A non-TMRS city in Texas or any incorporated municipality in the United States
* A Council of Governments (COG) in Texas
* The Dallas -Fort Worth International Airport
* Previously forfeited service under one of the five statewide retirement systems in
Texas (Texas Municipal Retirement System, Texas County and District Retirement System,
Teacher Retirement System of Texas, Employees Retirement System of Texas and Judicial
Retirement System of Texas).
Please let me know if you would like to get together regarding this information.
Thank you.
DATE: January 23, 1996
SUBJECT: City Council Meeting, January 25, 1996
ITEM: 9A. Consider an ordinance authorizing restricted prior service credit to
employees for service previously performed for other public
entities. (First Reading)
STAFF RESOURCE PERSON: Joanne Land
STAFF RECOMMENDATION: The Texas Municipal Retirement System (TMRS) now
allows cities to adopt an ordinance which grants members the opportunity to qualify for
additional restricted prior service credit. This means the employee can take their prior
years of service with another public entity, or months of forfeited service, to bring them
closer to eligible retirement or vested service. There will be no additional cost to the City
if this option is approved. Also, the employee's monthly retirement pay out benefit would
not increase because this option can only be used to satisfy length -of -service requirements
for retirement eligibility. This option will benefit many of our employees and staff
recommends approval of the ordinance.
ECONOMIC IMPACT: None.