§ 2.64.140. Participation in pension system—Certain employees not in the classified service.

Full-time employees who become employed by the city after June 3, 1997, the effective date of this section, and who are not in the classified civil service, including employees employed by the El Paso Water Utilities or the mass transit department board (except police officers, firefighters and officials elected by vote of the people) shall become fund participants. Regular part-time employees and eligible contract employees who elect to participate in the fund, and all employees of any other entity that with the city's consent adopts the pension fund ("other approved employer") may become participants by making an irrevocable election to participate or not participate which shall be made at the time that the person completes the paperwork required at the time of hire by the human resources department, or in the case of an employee of another approved employer, by submitting the irrevocable election to participate or not participate to the board of trustees on or before the first day of employment with such other approved employer. The following provisions shall additionally apply:

A.

Any full-time employee who was eligible to apply for membership in the fund at the time of his original appointment, but who did not submit his application within the ninety-day period after original appointment, and any employee appointed after May 24, 1984 and before June 3, 1997, may submit an application to the board of trustees at any time after original appointment. Applicants who are not grant-funded employees shall pay into the fund, in one lump sum at any time prior to submitting an application for retirement, the amount of contributions which they would have paid had they been members of the fund from the date of their original appointments, or any late date, but not to include any time during breaks in service, plus interest at the rate of seven and one-half percent per annum, compounded annually, on the total amount for the period from the date when the first contribution would have been made to the date when the total is actually paid. Any buy-back shall be made in one lump sum. In the case of nongrant-funded employees, the city will make corresponding contributions without interest, in accordance with the formula in effect at such previous time, provided, however, that such employees must pay interest at the current actuarial rate assumption approved by the board on the employer contributions for the portion of buy-back periods which are longer than five years, as well as the interest on participant contributions; provided, further, however, that this provision relating to paying interest on employer contributions shall not apply to employees in the unclassified service who are eligible for membership in the pension fund at the time Ordinance No. 11593 is adopted. Periods of buy-back on which interest on the employer portion of the contribution is payable shall cover continuous or intermittent service most immediately contiguous to the period of buy-back without payment of interest on the employer portion.

If such option is exercised, all rights or benefits under the fund which depend upon the length of service shall be determined as if the participant had been a member from the date of his original appointment, or such other period for which this option is exercised, excluding any time during a break in service, to which date his contributions have been made good. A participant may not make more than one election to buy-back service credit towards eligibility and benefits under this section.

B.

The employee's election to become a participant shall be irrevocable, and his rights and obligations as a participant shall terminate only in accordance with the provisions of this chapter applicable to employees in the classified service as set forth in Section 2.64.120.

C.

If the applicant is already a participant on July 25, 1968, the effective date of this section, his service with the city shall for all pension purposes be deemed to begin at the date of his application, unless he exercises the further option set forth in subsection D. of this section; provided, a participant who at a previous time was in the city's classified service and made contributions to the fund shall have the benefit of such previous time when allowable under subsections B. and C. of Section 2.64.260.

D.

Persons who are already employed by the city on July 25, 1968, the effective date of this section, and are qualified to become fund participants hereunder shall have the further option of paying into the fund the amount of contributions which they would have paid had they been participants from the date of their appointment. The interest will be seven and one-half percent per annum compounded annually. The city will make corresponding contributions without interest in accordance with the formula in effect at such previous time. Such option must be exercised before receiving any death, disability or pension benefits. If such option is exercised, all rights or benefits under the fund which depend upon length of service shall be determined as if the participant had been a participant from the date of his appointment, to which date his contributions have been made good.

E.

Employees who are otherwise eligible to become fund participants under this section, but whose salaries are paid partially or entirely from county, state or federal grant funds, may at their option become fund participants by making application to the board of trustees, only upon the applicable terms and conditions specified in this section and on the following additional terms and conditions:

1.

The employer's contribution must be paid from the relevant grant budget, if such an expenditure is allowable under the terms of said grant. If such expenditure is not allowable from the relevant grant budget in effect when the employee exercises this option, the participant shall have the option of making the corresponding employer's contribution without interest from the participant's personal funds. In no case shall the employer's contribution be paid from general city revenue not allocated to the relevant grant budget.

2.

Full-time grant funded employees not in the classified services who become fund participants, shall have the further option, at any time prior to submitting an application for retirement, of paying into the fund the amount of contributions which they would have paid had they been members from the date of their original appointments, but not to include any time during a break in service, plus interest at the rate of seven and one-half percent per annum, compounded annually, on the total amount for the period from the date when the first contribution would have been made to the date when the total is actually paid, on the following conditions: the employer's corresponding contributions, which shall be made without interest and in accordance with the formula in effect during the participant's time of previous service, must be made as an allowable expense in the relevant grant budget in effect when the employee exercises this option; provided, however, such participants must pay interest at the current actuarial rate assumption approved by the board on the employer contributions for the period of buy-back which is in excess of five years, as well as the interest on participant contributions; further provided, however, that this provision relating to paying interest on employer contributions shall not apply to such grant-funded employees who are eligible for membership in the pension fund on October 12, 1993, the time the ordinance codified in this subsection is adopted. Any buy-back shall be made in one lump sum. Periods of buy-back on which interest on the employer portion of contribution is payable shall cover continuous or intermittent service most immediately contiguous to the period of buy-back without payment of interest on the employer portion.

F.

Notwithstanding anything contained in this section to the contrary, the city or other approved employer shall not pick-up or pre-tax buy-back contribution payments made pursuant to this section.

G.

Any eligible contract employee who participates in the fund shall irrevocably elect to become a fund participant, and his rights and obligations as a fund participant shall terminate only in accordance with the provisions of this chapter applicable to employees in the classified civil service as outlined in Section 2.64.120.

H.

A person who becomes a fund participant pursuant to Section 2.64.140, shall be subject to Section 2.64.120 H. in its entirety, as germane depending on the applicable facts and circumstances.

I.

For purposes of the plan, an eligible contract employee means a contract employee whose contract with the city permits the employee to become a fund participant.

(Ord. 16619 § 4, 2007; Ord. 16474 § 4, 2006; Ord. 16076 §§ 4—6, 2005; Ord. 13219 (part), 1997; Ord. 11593 (part), 1993; Ord. 10897 (part), 1992; Ord. 9867 (part), 1989; Ord. 9031 §§ 1—3, 1987: prior code § 17-4.1)

(Ord. No. 17637, § 3, 8-30-2011; Ord. No. 18089, § 9, 10-29-2013)