TO THE RESIDENTS OF THE BOROUGH OF MIDDLETOWN
Notice is hereby given that the Borough Council of the Borough of Middletown will consider for adoption the following Ordinance at the Regular Business Meeting on May 2, 2017 at 7 P.M. in the Council Chambers of Middletown Borough Council located at Borough Hall, 60 West Emaus Street, Middletown, PA 17057.
ORDINANCE NO. _______
FOR THE YEAR 2017
AN ORDINANCE OF THE BOROUGH OF MIDDLETOWN ADOPTING AMENDMENTS TO THE BOROUGH OF MIDDLETOWN NON-UNIFORM PENSION PLAN
WHEREAS, the Borough of Middletown did adopt a Non-Uniform Pension Plan for the Borough and has on various occasions amended and/or restated the Plan document.
WHEREAS, the applicable law provides that the amendment of such pension plan may be by Ordinance and the most current amendment and restatement was April 16, 2012 (the "Plan"); and
WHEREAS, Borough of Middletown desires to update the Plan to maintain compliance with the Internal Revenue Code of 1986 and make other changes.
NOW, THEREFORE, BE IT ORDAINED AND ENACTED by the Borough Council of the Borough of Middletown, Pennsylvania, as follows:
Section 1: The Borough hereby confirms the Plan document dated April 16, 2012.
Section 2: The Borough hereby terminates its relationship with Standard Insurance (StanCorp.) related to Plan matters.
Section 3. The Borough hereby supersedes Ordinance No. 1325 and adopts the defined contribution provisions (Exhibit I) effective as follows:
A. Effective for all full-time non-bargaining unit employees appointed, hired, or re-hired on or after January 1, 2016, the defined contribution arrangement as set forth in Exhibit I attached is adopted.
B. Effective for all bargaining unit employees represented by the Teamsters Local Union No. 776 hired on or after May 17, 2016, the defined contribution arrangement as set forth in Exhibit I attached is adopted.
Section 4: The attached Article XII (Exhibit II), General Provisions, is adopted effective January 1, 2017.
Section 5: The Applicable Provisions of the Internal Revenue Code (IRC) (Exhibit III) are hereby adopted effective January 1, 2017. The provisions in Exhibit III supersede any contrary provisions in the existing Plan document including:
(i) The Compensation Limit in Section 1.11;
(ii) IRC "415 Compensation" definition in Section 1.20;
(iii) The "Leased Employee" definition in Section 1.29;
(iv) Section 1.44 "Section 401(a)l 7 Participant";
(v) IRC Section 401(a)(9) provisions in Section 5.6(c) (d) and (e);
(vi) Section 5.8 "Minimum Distribution Requirements";
(vii) Section 5.13 "Domestic Relations Order Distribution";
(viii)Section 5 .15 "Direct Rollover";
(ix) Article VI "Code Section 415 Limitations".
Section 6: All ordinances or resolutions, or parts of ordinances or resolutions inconsistent with this Ordinance are hereby repealed.
ORDAINED AND ENACTED this __ day of __________________________,2017.
If you would like to obtain a copy of the proposed Ordinance including Exhibits prior to the Regular Business Meeting, please contact the Borough Secretary at 717-902-0706 or at email@example.com.
BOROUGH OF MIDDLETOWN
Grace Miller, Borough Secretary
60 West Emaus Street
Middletown, PA 17057