Article XVI. Supplemental Retirement or Pension Plan.[88]
Sec. 2-200. Definitions.
For the purposes of this article, the following words and
phrases shall have the meanings respectively ascribed to
them by this section:
Continuous service. Service during which time an employee
was not absent from the payroll of the city for longer than
ninety days at any one time, except with the consent of the
city council. Should an absence for a longer period than ninety
days be caused by accident, illness or other event beyond
the control of the employee, the city council may authorize
such absence to be considered as continuous service.
Absence on account of service in the armed forces of the
United States in time of war or under any military training
law of the United States or any state, territory or district
thereof shall not be regarded as interrupting continuous service,
provided the employee returns to the service of the city
within ninety days after termination of his military service.
Should an employee leave the service of the city and later
be reemployed, the basis for computing time for retirement
pay purposes shall be from the time of reemployment.
Full-time employees of the city. Those employees who are
employed by the city on a full-time year-round basis, whether
paid by the hour, week, month or otherwise. Such term does
not include any person, judicial, professional or otherwise,
employed either on a part-time basis or on a seasonal basis;
nor does it include any official elected by the people or any
person employed in the office of such people; except, that it
does include the commissioner of revenue, the city treasurer,
the city sergeant, the clerk of the corporation court and their
full-time employees; and, it does include the judge of the municipal
court, the judge of the juvenile domestic relations
court and the commonwealth attorney, but not their employees.
Employees of the public school system of the city
and the employees of the joint health department are not
included since these departments participate in the state retirement
system. State officials and persons employed in the
office of such officials, regardless of whether or not the city
contributes to the salaries of such persons, are not included.
Regular annual salary. The annual amount of money paid
by the city to an employee. The regular annual salary of the
city commissioner of revenue, city treasurer, city sergeant,
the clerk of the corporation court and their full-time employees
shall be the amount set by the state compensation
board. The regular annual salary of an employee paid on an
hourly basis shall be computed at his regular hourly rate
times the regular number of working hours per week times
fifty-two. (11-2-59; 4-3-61.)
Sec. 2-201. Established; effective date; name.
Effective November 2, 1959, there is hereby established a
retirement or pension plan for city employees, to be known
as "The Supplemental Retirement or Pension Plan of the City
of Charlottesville, 1959." (11-2-59.)
Sec. 2-202. Contributions by employees not required; amount
of social security payments to be deducted from
benefits.
No contribution by city employees will be required in connection
with the retirement pay plan established under this
article, but the amount of any payments for primary social
security benefits to which such employee is entitled under the
old age or disability benefit provisions of the federal Social
Security Act, at the time he becomes eligible to receive retirement
or disability pay shall be deducted from the total
amount of such retirement pay due from the city as is set
forth in section 2-208 so that the primary social security benefits
to which the employee is entitled under the federal Social
Security Act together with the supplemental retirement pay
to be paid by the city to such employee, shall equal the total
amount of such retirement pay as is set forth in section 2-208,
and any increase in social security benefits to an employee subsequent
to the time he becomes eligible to receive retirement
or disability pay will not decrease the amount of retirement
pay due from the city. (11-2-59; 2-19-68.)
Sec. 2-203. Benefits from police, fire, etc., benefit associations
in addition to benefits under article.
Any payments or benefits received by an employee from
the police or fireman's benefit associations or other similar
organizations which are not financially dependent upon the
city are separate and in addition to any retirement pay to
be paid under the provisions of this article. (11-2-59.)
Sec. 2-204. Benefits not affected by employment after retirement.
The city makes no limitations on the activities of an employee
after retirement. The fact that he may be employed
elsewhere after retirement will not affect the payment of the
retirement pay herein provided. (11-2-59.)
Sec. 2-205. Minimum length of service prior to retirement.
No city employee shall be eligible for retirement unless such
employee has at least ten years of continuous full time service
with the city. (11-2-59; 2-2-70.)
Sec. 2-206. Applicability of plan; retirement age; reduced
benefits for retirement at sixty-two; retirement
of certain employees over sixty-two may be
requested.
The provisions of this article shall extend to all full-time
employees of the city who
(1) Remain in the continuous service of the city until they
reach the age of sixty-five years and have ten years or more of
continuous service with the city; or
(2) Meet the requirements of (1) above but decide to retire at
age sixty-two or over at reduced benefits as set forth in section
2-207; or
(3) Are forced to retire for reasons of disability as set forth in
section 2-209; or
(4) Are, having reached the age of sixty-two or over and having
at least twenty years of continuous service, requested to retire by
the city council, if appointed by them, or by the city manager, if
employed by him or his department heads; or
(5) Complete at least twenty years of continuous and full-time
employment with the city and terminate their employment either
voluntarily or involuntarily, prior to their reaching retirement
age. These persons shall be eligible to receive retirement pay from
the city when they reach the age of sixty-five, or at reduced
benefits at age sixty-two or over as provided in this article, at the
rates set forth in section 2-208.
Retirement pay under this section shall be based on the amount
of the employee's salary and the number of years of service
effective at the time his city employment is terminated.
Notwithstanding any other provision of this article or section,
any employee, regardless of age, who shall have been
continuously employed by the city on a full-time basis for a period
of forty-five years or more, shall be eligible to retire with full
benefits as set forth in this article. (11-2-59; 4-3-61; 2-19-68; 4-2-73.)
Sec. 2-207. Basis for retirement pay.
Retirement pay shall be based upon regular annual salary
received at the time of retirement, except as otherwise provided in
this article, and upon years of continuous service, not less than
ten, in accordance with the table set out in this article. Except in
those cases covered in subsection (a) of section 2-213, the
retirement pay of any employee who continues his service with
the city after reaching the age of sixty-five years shall be based on
rate of compensation and length of service at age of sixty-five,
regardless of any further service with the city, but subject to and
including any increase or decrease that the employee would have
received under the provisions of section 2-208 had he retired at
age sixty-five; provided, that if such retirement is done prior to
the age of sixty-five, the employee shall receive reduced benefit as
follows: If retired at the age of sixty-two, eighty per cent; if
retired at the age of sixty-three, eighty-six and two-thirds per
cent; if retired at the age of sixty-four, ninety-three and one-third
per cent of the amount he would receive if he retired at the age of
sixty-five. (11-2-59; 4-15-63.)
Sec. 2-208. Retirement pay rates.
Subject to the terms of this article, including the reduction for
primary social security benefits, as provided in section 2-202, the
city will pay retirement pay on a monthly basis to any person
eligible to receive such retirement pay in accordance with the
formula set forth below.
FORMULA FIXING RETIREMENT PERCENTAGES
BASED ON SALARY AND YEARS OF SERVICE
AND INCLUDING PRIMARY SOCIAL SECURITY
BENEFITS.
Annual Salary
At Time of
Retirement |
10 Yrs. Thru
14 Yrs. |
15 Yrs. Thru
19 Yrs. |
20 Years and
Over |
Up to $15,000
per yr. |
30% of salary,
plus 2% for each
full year of service
after 10th
thru 14th |
40% of salary,
plus 2% for each
full year of service
after 15th
thru 19th |
50% of salary,
plus ½ of 1% for
each full year of
service after the
20th |
On portion of
salary over
$15,000 |
The above plus—
On portion of
salary in excess
of $15,000, 20%,
plus 2% for each
full year of service
after 10th
thru 14th |
The above plus—
On portion of
salary in excess
of $15,000, 30%,
plus 2% for each
full year of service
after 15th
thru 19th |
The above plus—
On portion of
salary in excess
of $15,000, 40%,
plus ½ of 1% for
each full year of
service after the
20th |
| Minimum |
Minimum pay
from city, $30.00
per month |
Minimum pay
from city, $40.00
per month |
Minimum pay
from city, $50.00
per month plus
5% for each full
year in excess of
20 years |
(11-2-59; 4-15-63; 2-15-65; 7-29-66; 2-19-68; 2-2-70.)
Sec. 2-209. Disability retirement after ten years service.
A city employee shall be eligible for disability retirement
under the applicable conditions and terms of this article when
due to physical disability after at least ten years of continuous
employment such retirement is recommended by the
employee's physician and, at the city's option a physician
selected by the city concurs in the medical findings and recommendation
of the employee's physician and such retirement is
approved by the city council. (11-2-59; 4-15-63; 2-2-70.)
Sec. 2-210. Commencement date of retirement pay.
Any person entitled to retirement pay under this plan shall
be paid on a monthly basis, commencing with the last day of
the month in which he becomes eligible to receive retirement
pay. (11-2-59; 2-19-68.)
Sec. 2-211. Withholding from benefits for taxes.
Retirement pay provided under this article is taxed as income
to the employee under the present federal income tax
laws, and the city will withhold and remit the tax to the government
as is required by law. (11-2-59.)
Sec. 2-212. Continuation of employment after age sixty-five.
All employees who come under the terms of this article
will be retired upon reaching the age of sixty-five, except as
provided in section 2-206, unless their continued services are
requested by the department head in whose department such
employees are employed and agreed to by the city manager
and such employees. In the case of department heads, their
service may be continued by the city manager, with the approval
of the city council. In the case of city council appointees,
the commissioner of revenue, the city treasurer, the city sergeant,
the clerk of the corporation court and their employees,
continued service shall be approved by the city council. No
employee shall be required to serve beyond the retirement age
if he wishes to retire, and he shall be eligible for any retirement
pay to which his length of service, not less than ten
years, and rate of pay entitle him under the provisions of this
article. (11-2-59; 4-15-63.)
Sec. 2-213. Employees not having ten years of service at
age sixty-five.
(a) When an employee employed before November 2, 1959,
reaches the age of sixty-five years and does not have at least
ten years of continuous employment with the city, his
employment shall terminate forthwith unless his continued
service is requested as provided in section 2-212. If such employee's
service is continued until he does have at least ten
years or more of continuous service with the city, he shall
then become eligible for retirement under this article, with
his retirement pay being based on rate of annual salary at
age of sixty-five and length of service being computed at
ten years.
(b) When an employee employed after November 2, 1959,
reaches the age of sixty-five years and does not have at least
ten years of continuous employment with the city, his employment
shall terminate forthwith, except as provided in section
2-212. (11-2-59.)
Sec. 2-214. Employment after sixty-five deemed temporary.
If an employee continues his service with the city after reaching
the age of sixty-five years, such continued service is temporary
and may be discontinued at any time by recommendation of the
department head and the city manager, or by the city council, as
the case may be. (11-2-59.)
Sec. 2-215. Increase or decrease in retirement pay.
Whenever the city increases or decreases the pay of its active
employees, the retirement pay of all retired employees may be
increased or decreased by the city council in approximately the
same ratio as the active employees within the same compensation
group. (11-2-59.)
Sec. 2-216. When employees not eligible for retirement pay.
Any employee whose employment with the city is terminated
either voluntarily or involuntarily before becoming eligible for
retirement pay under section 2-206 and related provisions of this
article shall not be eligible for retirement pay under this article.
(11-2-59; 5-6-68.)
Sec. 2-217. Applicability of article to previous retirants.
Retirement pay being paid by the city to retired city employees
as of November 2, 1959, shall not be affected by this article;
except, that the provisions of sections 2-215 and 2-218 shall apply
thereto. (11-2-59.)
Sec. 2-218. Early retirement for police and firemen.
Notwithstanding the provisions of sections 2-200 through 2-217,
all police and firemen serving as such shall be retired at the end of
the month in which they attain the age of sixty years. The pension
payable shall be computed in accordance with section 2-208.
Upon the attaining of the age of sixty-five years, or upon earlier
accepting social security benefits, the contribution of the city
shall be reduced by an amount equal to the primary social
security benefits for which the retired employee is eligible or is
actually receiving. (6-21-71.)
Sec. 2-219. Right of council to make changes of policy; waiver
of strict application of policy.
The city council reserves the right, from time to time, to make
changes in the policy expressed in this article and to make
exceptions in individual cases where the strict application of the
policy herein expressed would, in the opinion of the city council,
cause an unjust hardship. (11-2-59; 6-21-71, § 1.)
