Ordinances

ARTICLE 156

CITY OF BETHLEHEM PENSION FUND


156.01 Establishment.
156.02 Purpose of Fund.
156.03 Board of Managers.
156.04 Duties of Board of Managers
156.05 Aggregation of Funds; Accounting.
156.06 Effective Date of Aggregation of Funds; Effective Date of Initial Year Following Aggregation.
156.07 Appointment of Pension Fund Trustees.
156.08 Administrative Expenses.
156.09 Termination.

CROSS REFERENCES

Municipal Pension Plan Funding Standard and Recovery Act - Act 205
(53 P.S. Sec. 895.101)
Firemen's Pension Fund - See ADM. Art. 151
Police Pension Fund - See ADM. Art. 153
Officers' and Employees' Pension Fund - See ADM. Art. 155


156.01 ESTABLISHMENT.

There is hereby established the City of Bethlehem Pension Fund under authority of Act 205 of 1984, Municipal Pension Plan Funding Standard and Recovery Act, and any other statutes now or hereafter pertaining or applicable hereto, and any Ordinance that may be lawfully enacted for the purposes hereof.

156.02 PURPOSE OF FUND.

The City of Bethlehem Pension Fund is established for the purpose of managing all Municipal Pension Funds of the City of Bethlehem in order to qualify for aid from the Commonwealth of Pennsylvania under Act 205 of 1984, Municipal Pension Plan Funding Standard and Recovery Act.

156.03 BOARD OF MANAGERS.

(a) Establishment and Composition. There is created a City of Bethlehem Pension Fund Board of Managers, to be comprised of the Mayor; the Business Administrator; the City Treasurer; the City Controller; and all members of the Firemen's Pension Fund Board of Managers, Police Pension Fund Association, and the Officers' and Employees' Retirement Board, as they may exist at any time.

(b) Officers. The Mayor shall be Chairman of the Board of Managers, the Business Administrator shall be Vice-Chairman, and the City Treasurer shall be Treasurer of the City of Bethlehem Pension Fund Board of Managers. The officers and members of the Board of Managers shall not receive any compensation for their services to the City of Bethlehem Pension Fund. (Ord. 3393. Passed 2/19/91.)

(c) Minute Book and Records. The City of Bethlehem Pension Fund shall keep minutes, setting forth full and accurate accounts of all its transactions in a Minute Book provided for that purpose, which shall be known as the "Minutes of the City of Bethlehem Pension Fund Board of Managers." The books and records of the Board of Managers shall be open for inspection by any interested party and its accounts shall be audited by the City Controller.

(d) Meetings. The Board of Managers shall meet once every calendar quarter at 9:30 A.M. Eastern Standard Time or Eastern Daylight Time, according to which Standard Time is prevailing, on the first Friday of the following months: February, May, August, and November, and at such other times as the Board of Managers may designate, for the transaction of such business as may properly come before it. All meetings shall be open to the public.

(e) Quorum. A majority of the Board of Managers shall constitute a quorum and shall have the power to transact such business as may properly come before it. In the case of a tie vote, the decision of the Chairman shall be final, notwithstanding any previous vote cast by him as a member of the Board of Managers.

156.04 DUTIES OF BOARD OF MANAGERS.

It shall be the duty of the City of Bethlehem Pension Fund Board of Managers to aggregate the Funds of the Bethlehem Firemen's Pension Fund, the Bethlehem Police Pension Fund Association, and the Bethlehem Officers' and Employees' Retirement Fund and to manage those Funds in a consolidated manner, in order to qualify for aid from the Commonwealth of Pennsylvania, under the terms of Act 205 of 1984, Municipal Pension Plan Funding Standard and Recovery Act.

156.05 AGGREGATION OF FUNDS; ACCOUNTING.

The City of Bethlehem's Pension Fund Board of Managers may aggregate the assets to the credit of the Bethlehem Firemen's Pension Fund, the Bethlehem Police Pension Fund Association and the Bethlehem Officers' and Employees' Retirement Fund into a single Pension Trust Fund, to be known as the City of Bethlehem Pension Fund. Following this aggregation, the City of Bethlehem's Pension Fund shall be the funding mechanism for all three Pension Plans.

Each of the three individual Pension Plans shall have an undivided participation in the assets of the City of Bethlehem's Pension Fund. For accounting purposes, the value of the participation by each Plan shall be calculated annually. The value for the first fiscal year following aggregation shall be that portion of the total value of the Pension Trust Fund which bears the same relationship that the value of the assets of the Pension Plan, as of the date of the aggregation plus the contributions received by the Pension Trust Fund with respect to that Pension Plan since the date of aggregation and reduced by the amount of retirement annuities and benefits paid from the Pension Trust Fund for annuitants and benefit recipients of that Pension Plan since the date of aggregation, bears to the total value of all assets transferred to the Pension Trust Fund as of the date of aggregation plus the total contributions received by the Pension Trust Fund since the date of aggregation and reduced by the total amount of retirement annuities and benefits paid for all annuitants and benefits recipients since the date of aggregation.

The value of the participation for each year subsequent to the initial year following aggregation shall be that portion of the total value of the Pension Trust Fund which bears the same relationship that the value of the participation of the Pension Plan, as of the close of the preceding year plus the contributions received by the Pension Trust Fund with respect to that Pension Plan during the year and reduced by the amount of retirement annuities and benefits paid from the Pension Trust Fund for annuitants and benefit recipients of that Pension Plan during the year, bears to the total value of all participation in the Pension Trust Fund as of the close of the preceding year plus the total contributions received by the Pension Trust Fund during the year and reduced by the total amount of retirement annuities and benefits paid for all annuitants and benefit recipients during the year.

156.06 EFFECTIVE DATE OF AGGREGATION OF FUNDS;
EFFECTIVE DATE OF INITIAL YEAR FOLLOWING AGGREGATION.

As of September 30, 1987, the Funds of the Bethlehem Firemen's Pension Fund, the Bethlehem Police Pension Fund Association and the Bethlehem Officers' and Employees' Retirement Fund shall be aggregated under the control of the City of Bethlehem Pension Fund Board of Managers. The City of Bethlehem Pension Fund Board of Managers shall assume control of the aggregated fund as of October 1, 1987, and legal title to assets in the aggregated Fund shall be in the City of Bethlehem as Trustee, or its nominees as Trustee.

The "initial year following aggregation" of the City of Bethlehem Pension Fund shall end on December 31, 1987.

156.07 APPOINTMENT OF PENSION FUND TRUSTEES.

The City of Bethlehem Pension Fund Board of Managers may appoint a Trustee or Trustees to invest and manage the aggregated funds under the control of the City of Bethlehem Pension Fund Board of Managers, in such a manner as the Board of Managers shall direct. The Pension Fund Trustee shall report to the Board of Managers at each quarterly meeting, and provide detailed and accurate records of the investment and management of the Funds under the control of the City of Bethlehem Pension Fund Board of Managers.

156.08 ADMINISTRATIVE EXPENSES.

Administrative expenses associated with the Pension Fund may be
paid from the Fund, providing the following three conditions are satisfied:


(1) The administrative expense must be directly associated with
the Pension Plan.

(2) The members of the Pension Board must be informed and satisfied that the expenses are necessary, reasonable and have been incurred for the benefit of the Pension Plan.

(3) The expenses must be detailed and itemized.

156.09 TERMINATION.

When all the individual pension funds under the aggregate control of the City of Bethlehem Pension Fund Board of Managers shall become actuarily sound, all Funds under the control of the City of Bethlehem Pension Fund Board of Managers and its Trustees shall be transferred back to the individual control of the Bethlehem Firemen's Pension Fund, the Bethlehem Police Pension Fund Association and the Bethlehem Officers' and Employees' Retirement Fund, in accordance with the annual accounting procedures set forth in Section 156.05. (Ord. 3138. Passed 9/15/87.)