01/17/2013 Resolutions 2013-17 (A) RESOLUTION 2013-17(A)
WHEREAS, Article 10 of Chapter 16 of the Nebraska Revised Statutes sets forth
the laws governing the pensions of police officers of First Class Cities; and
WHEREAS, Section 16-1007(1) of the Nebraska Revised Statutes requires the
City of Grand Island to provide pension benefits to retired police officers "in the form of a
straight life annuity or any optional form of annuity benefit established by the retirement
committee"; and
WHEREAS, Section 16-1007(2)(b) of the Nebraska Revised Statutes states in
reference to police pension benefits, "[i]f the minimum pension benefit is paid in a form other
than a straight life annuity, such benefit shall be the actuarial equivalent of the straight life
annuity that would otherwise be paid to the officer..."
WHEREAS, beginning in 2005 the Police Pension Committee stopped calculating
police pension benefits based on a straight life annuity and began calculating said benefits based
on a joint life annuity; and
WHEREAS, Section 16-1014 of the Nebraska Revised Statutes states in reference
to police pension benefits, "[t]he governing body of the city shall continue to be responsible for
the general administration of such retirement system unless specific functions or all functions
with regard to the administration of the retirement system are delegated, by ordinance, to the
retirement committee."; and
WHEREAS, the Grand Island City Council as the governing body of the City of
Grand Island never approved the calculation of police retirement benefits based on a joint life
annuity nor has delegated that authority or function to the Police Pension Committee; and
WHEREAS, absent any official action on the part of the Council changing the
method of calculating police retirement benefits, those benefits were and are to be calculated on a
straight life annuity basis and any deviation from that standard was incorrect and illegal,
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL
OF THE CITY OF GRAND ISLAND, NEBRASKA,
That the Police Pension Committee and City staff are to calculate all pending and future police
retirement benefits on a straight life annuity basis unless directed otherwise by an official action
of the Grand Island City Council.
Approved as to Form 0
January 17,2013 0 Cit('
Adopted by the City Council of the City of Grand Island, Nebraska, January 17, 2013.
ay avrice r, Mayor
Attest:
PCXCThOS-
RaNae Edwards, City Clerk
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