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Ordinance No. 6,113911212 -25 ORDINANCE N0. 6113 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS, REPEALING ORDINANCE NO. 6044 ADOPTED OCTOBER 10, 1991, PROVIDING FOR UPDATED SERVICE CREDITS AND INCREASED ANNUITIES IN THE TEXAS MUNICIPAL RETIREMENT SYSTEM; PROVIDING FOR NEW PROVISIONS FOR UPDATED SERVICE CREDITS AND INCREASED ANNUITIES IN THE TEXAS MUNICIPAL RETIREMENT SYSTEM AND PROVIDING FOR THE EFFECTIVE DATE HEREOF. WHEREAS, by Ordinance No. 6044 adopted October 10, 1991, the City Council of the City of Baytown, Texas, did provide for updated service credits and an increase in annuities in the Texas Municipal Retirement System; and WHEREAS, the City Council has determined that an error was made in the maximum percentage of the change in the consumer price index the City could adopt in said ordinance; and WHEREAS, said ordinance should be repealed and new provisions for updated service credits and increases in retirement annuities should be enacted; NOW THEREFORE BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF BAYTOWN, TEXAS: Section 1: That Ordinance No. 6044 adopted October 10, 1991, is hereby repealed and new provisions for updated service credits and increases in annuities are enacted as follows: Section 2: Authorization of Updated Service Credits. (a) On the terms and conditions set out in Subtitle G of Title 8, Sections 853.401 through 853.403 of TEX.GOV.CODE ANN., as amended, each member of the Texas Municipal Retirement System who has current service credit or prior service credit in said System in force and effect on the 1st day of January, 1991, by reason of service in the employment of the City of Baytown, and on such date has at least 36 months of credited service with said system, shall be and is hereby allowed "Updated Service Credit" (as that term is defined in subsection (d) of Section 853.402 of said title) in an amount that is 100% of the "base Updated Service Credit" of the member (calculated as provided in subsection (c) of Section 853.402 of said title). The Updated Service Credit hereby allowed shall replace any Updated Service Credit, prior service credit, special prior service credit, or antecedent service credit previously authorized for part of the same service. (b) On the terms and conditions set out in Section 853.601 of said title, any member of the Texas Municipal Retirement System who is eligible for Updated Service Credits on the basis of service with this City, and who has unforfeited credit for prior service and /or current service with another participating municipality or municipalities by reason of previous service, and was a contributing member on January 1, 1992, shall be credited with Updated Service Credits pursuant to, calculated in 911212 -25a accordance with, and subject to adjustment as set forth in said 853.601. (c) In accordance with the provisions of subsection (d) of Section 853.401 of said title, the deposits required to be made to the Texas Municipal Retirement System by employees of the several participating departments on account of current service shall be calculated from and after the date aforesaid on the full amount of such person's earnings as an employee of the City. Section 2: Increase in Retirement Annuities. (a) On terms and conditions set out in Section 854.203 of Subtitle G of Title 8, TEX.GOV.CODE ANN., as amended, the City of Baytown hereby elects to allow and to provide for payment of the increases below stated in monthly benefits payable by the Texas Municipal Retirement System to retired employees and to beneficiaries of deceased employees of this City under current service annuities and prior service annuities arising from service by such employees to this City. An annuity increased under this Section replaces any annuity or increased annuity previously granted to the same person. (b) The amount of annuity increase under this Section is computed as the sum of the prior and current service annuities on the effective date of retirement of the person on whose service the annuities are based, multiplied by 50% of the percentage change in Consumer Price Index for All Urban Consumers, from December of the year immediately preceding the effective date of the person's retirement to the December that is 13 months before the effective date of this ordinance. (c) An increase in an annuity that was reduced because of an option selection is reducible in the same proportion and in the same manner that the original annuity was reduced. (d) If a computation hereunder does not result in an increase in the amount of any annuity, the amount of the annuity will not be changed hereby. (e) The amount by which an increase under this Section exceeds all previously granted increases to an annuitant is an obligation of this City and of its account in the municipality accumulation fund of the Texas Municipal Retirement System. Section 3: Effective Date. Subject to approval by the Board of Trustees of Texas Municipal Retirement System, the undated service credits and increases in retirement annuities granted hereby shall be and become effective on the 1st day of January, 1992. INTRODUCED, READ and PASSED by the affirmative vote of the City Council of the City of Baytown, this the 12th day of December, 1991. ETT O. HUTTO, Mayor - 2 - ATTEST: E'I E EN P. IIALL, City Clerk 911212 -25b ACIO RAMIREZ,, -Y., City Attorney - 3 -