§ 16-71. Definitions.

(a)

Actuarial equivalence, or actuarially equivalent. Actuarial equivalence or actuarially equivalent shall mean that any benefit payable under the terms of this plan in a form other than the normal form of benefit shall have the same actuarial present value on the date payment commences as the normal form of benefit. For purposes of establishing the actuarial present value of any form of payment, including a lump sum distribution, all future payment shall be discounted for interest and mortality by using seven and one-quarter (7¼) per cent interest and the 1983 Group Annuity Mortality Table as provided in Internal Revenue Service Rules, with ages set ahead five (5) years in the case of disability retirees.

(b)

Average final compensation. The term "average final compensation" means one-twelfth ( 1/12 ) of the average annual compensation of the sixty (60) months of service immediately prior to the employee's normal retirement date.

(c)

Board of trustees. The term "board of trustees" shall mean the trustees designated in this article, and any successor trustees selected as provided therein, acting in a group as the administrator of this pension plan.

(d)

City. The term "city" means the City of Cocoa Beach, Florida, a municipal corporation.

(e)

Covered service. The term "covered service" shall mean service for which an employee is obligated to pay contributions to this pension plan.

(f)

Pension. The term "pension" or "pension benefit" shall mean an early retirement benefit, a normal retirement benefit or a disability retirement benefit.

(g)

Pension plan. The term "pension plan" shall mean the City of Cocoa Beach General Employees' Pension Plan.

(h)

Plan year. The term "plan year" shall mean the twelve-month period from October 1 to the following September 30.

(i)

Employee. The term "employee" shall mean any full-time employee of the city who is not employed as a temporary or seasonal employee or as a firefighter, police officer, or city manager; however, a city manager who was a participant in the pension plan immediately before his or her appointment as city manager may, within thirty (30) days of such appointment and with the consent of the city commission, make an irrevocable election to remain a participant in the pension plan while serving as city manager.

(j)

Retirement. The term "retirement" or "retired" shall mean the complete withdrawal of a participant as an employee as defined in section 16-50(i).

(k)

Service.

(1)

The term "service" means years and completed months of continuous employment as a full-time employee of the city, as defined in section 16-50(i), commencing on the date of hire, for which a person is paid, or entitled to payment, by the city:

a.

for the performance of duties; or

b.

for reasons other than the performance of duties, including vacations, holidays, temporary disability, illness, jury duty, administrative leave, paid leave of absence; or

c.

as the result of backpay being awarded, or agreed to, by the city (irrespective of mitigation of damages).

d.

The term "service" shall also mean time spent in the military service of the United States or United States Merchant Marine by the employee on leave of absence as provided by law.

(2)

Non-covered service. A person who is paid, or entitled to payment, by the city shall also be credited with service for purposes of participation, vesting, and breaks in service but not for benefit purposes based on service in non-covered employment for the city, provided that the person worked for the city in covered employment immediately before or immediately after the non-covered employment, and further provided that no quit, discharge or retirement occurred between the covered employment and the non-covered employment.

(3)

Determination of amount of service. The amount of service shall be ascertained from the most accurate records available, including records of hours, work shifts, days or weeks for which payment is made or owing, as reported to the board of trustees.

(4)

Crediting period. Service shall be credited for each year for which duties were performed, or if no duties were performed, then during the year for which the payment relates.

(l)

Vested. The term "vested" shall mean a non-forfeitable right to a pension benefit under this pension plan.

(m)

Compensation. The term "compensation" shall mean only base wages and overtime payments and shall not include lump sum payments of accrued unused sick, vacation, paid time off, or other leave.

(Ord. No. 1222, § 1, 11-18-1999)