Agenda - Council - 05/24/2022 - Laserfiche WebLink

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Section S. Deferred Pension Benefit. A member who has otherwise met the eligibility requirements defined in Section 2 of this Article but who has not reached the age of 50 may not collect a service pension at the time of separation from active service. The member will be placed on deferred status and be entitled to receive the service pension upon reaching the age of 50 and following submission and approval of an Application for Distribution. The deferred service pension is governed by and must be calculated based on the State law, the Association bylaw provisions, and the Association articles of incorporation that are in effect on the date that the deferred member separates from active service with the Fire Department and active membership in the Association. The entire vested balance of that Deferred Members Account will be credited with net investment gains or losses at the rate actually earned by the Association on the investment of Special Fund assets, in accordance with Article IX, Section 3. Section 6. Supplemental Benefit. Contingent upon and consistent with the program outlined in Minn. Stat. § 424A.10, a supplemental benefit will be paid out of the Special Fund to individuals who receive a lump-sum distribution of a service pension. The amount of the supplemental benefit is ten percent of the regular lump-sum distribution, excluding any interest that may have been earned during the period of deferral, but not to exceed $1,000. ARTICLE XII Ancillary Benefits Section 1. Survivor Benefit Upon the death of a member of the Association and following the submission and approval of an Application for Distribution, a survivor benefit will be paid out of the Special Fund to the member's surviving spouse; if there is no surviving spouse, to the member's surviving children; if there is no surviving spouse and there are no surviving children,to the member's designated beneficiary. If no beneficiary has been designated and if the deceased member was active or deferred, the survivor benefit will be paid as a death benefit to the estate of the deceased member. If there are no surviving children, the member's surviving spouse may waive, in writing, wholly or partially,the spouse's entitlement to a survivor benefit, so that the survivor benefit may be paid directly to the member's designated beneficiary. A trust created under Chapter 501B may be a designated beneficiary if the survivor benefit will be distributed as a one-time lump-sum payment. If a trust was created and is payable to the surviving children and there is no surviving spouse, the survivor benefit will be paid to the trust. For all active service members if, upon death, the member had not yet separated from active service, a survivor benefit equal to the vested and non-vested amount of the member's account balance will be paid. For deferred members, a survivor benefit equal to the vested amount of the member's account balance will be paid. 16 Effective Date:{DATE}