7
body of the agency and peti
tion of 60 percent of the mem
bers.6
III. FINANCING
1. Current and Future Service
a. Employees to contribute a per
centage of their salaries suffi
cient to provide approximately
one-half of the pension to be
paid on account of service ren
dered after the establishment
of the system. The rates of
contribution are to be actuar-
. ially computed so that annui
ties can be paid approximating
1-60 of the average salary for
the last five years multiplied
by the number of years of ser
vice for ordinary occupations
and approximately 1-50 of the
average salary for the last five
years multiplied by the num
ber of years of service for
police and firemen.7
b. Employing agency to contri
bute a percentage of payroll
calculated to match employee
contributions.
2. Prior Service
a. Employing agency to make an
additional contribution suffi
cient to amortize credit for
prior service within 25 or 30
years.8
b. Employees to receive full cre
dit for prior service. The full
amount required to be con
tributed by the employer, pro
vided that prior service will
not be credited to provide an
annuity in excess of 50 percent
of the average salary for last
five years.9
3. Service in Armed Forces
a. Employing agency to make ad
ditional contributions neces
sary to credit employees for
time spent in the Armed Ser-
The Association.
vices.10
4. Separate Accounts for Employees*
Contributions
a. Employees’ contribution to be
accumulated in separate ac
counts credited to the em
ployee making same.
IV. BENEFITS
1. Awnwi/y
a. Annuity payable at the time of
retirement for current service
to be calculated actuarially
from a c t u a l contributions
made by the employee and
matching contributions made
by the employing agency. Con
tributions to be actuarially
computed so that annuities
can be paid approximating
1-60 of the average salary for
the last five years, multiplied
by the number of years of ser
vice for ordinary occupations
and approximating 1-50 of the
average salary for the last five
years multiplied by the num
ber of years of service for po
lice or firemen.11
b. Prior service annuity payable
at the time of retirement for
prior service to be 1-60 of the
average salary for the last five
years of prior service, multi
plied by the years of prior ser
vice for ordinary occupation,
and 1-50 of the average salary
for the last five years of prior
service for police or firemen
and paid for entirely by con
tributions of the employer,
provided that prior service will
not be credited to provide an
annunity in excess of 50 per
cent of average salary for last
five years.
c. An employee at the timé of re
tirement to have the option of
(Continued on page 31)
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