San Jose Municipal Code Part 16 Service Retirement for Certain Members on and After Effective Date

A. The provisions of this Part 16 shall govern and be applicable only on and after the effective date of this part, and shall then apply only to the following members of the retirement system and to service retirement benefits payable to them after the effective date of this Part 16, as follows:

1. All persons who became members of this retirement system on or after the effective date of this part, excepting persons who on the effective date of this part are on service retirement or disability retirement under this retirement system who may subsequently be reinstated from such retirement;

2. Each person who became a member of the retirement system prior to the effective date of this part if he is a member of such system on said effective date and if, in addition, he is given the option hereinafter specified in Section 3.24.1560 and exercises such option in the manner and within the time specified in Section 3.24.1570 of this chapter.

B. Any person who became a member of the retirement system prior to the effective date of this Part 16 shall not be governed by any of the provisions of this part and shall not be entitled to any of the benefits provided for or specified in this part if he is not a member of the retirement system on the effective date of this part, or if he is not given the option hereinafter specified in Section 3.24.1560, or if he is given such option but refuses or fails to exercise such option in the manner and within the time specified in Section 3.24.1570; but any such person shall continue to be governed by the provisions of Part 15 of this chapter.

(Prior code § 2904.140h.)

A. Each member of this retirement system who became such prior to the effective date of this Part 16 shall have and is hereby given, if and only if he is a member on the effective date of this part, an option of being governed by the provisions of this Part 16 and of being entitled to such rights and benefits as are provided for in this part, subject to the conditions, limitations, restrictions and requirements mentioned or referred to in this part or elsewhere in this chapter, in lieu of being governed by the provisions of Part 15 and in lieu of being entitled to any of the rights or benefits provided for in Part 15. Such option is not given to any person who on the effective date of this part is on service retirement or disability retirement.

B. No such member to whom such option is given shall be governed by the provisions of this Part 16, nor be entitled to any of the rights or benefits provided for in this part, unless he exercises such option within the time specified in Section 3.24.1570, and no later, in the manner specified in said Section 3.24.1570.

C. Each such member who exercises said option within the time and in the manner specified in said Section 3.24.1570 shall, on and after the effective date of this Part 16, be governed by the provisions of this part, and be entitled to the rights and benefits provided for in this part, subject to the abovementioned conditions, limitations, restrictions and requirements, in lieu of being governed by the provisions of Part 15, and in lieu of any rights or benefits provided for in Part 15 of this chapter.

(Prior code § 2904.140i.)

Each such member who is given the option hereinabove specified in Section 3.24.1560 must, if he desires to exercise said option and in order to exercise the same, file with the secretary of the retirement board a written statement, on a form to be furnished to him on his request by said secretary, declaring that he elects to exercise such option. The statement shall be filed as aforesaid on or before, and no later than, the ninetieth day immediately following the effective date of this Part 16, excepting, however, that any such member who on the effective date of this part is on temporary leave from city service because of active service in the armed forces of the United States may file the statement exercising such option with the secretary on or before, and no later than, the ninetieth day immediately following the date of expiration of his said leave or his return to duty, whichever is earlier. Upon filing of said written statement with the secretary in the manner and within the time hereinabove specified, such person shall be deemed to have exercised his said option, effective from and after the effective date of this Part 16.

(Prior code § 2904.140j.)

Upon retirement for service, a member to whom the provisions of this Part 16 apply shall be entitled to receive a service retirement allowance which shall consist of:

A. His service retirement annuities;

B. His current service pension;

C. His prior service pension.

(Prior code § 2904.140k.)

The retirement allowance referred to in this section excludes that portion of a member's service retirement annuity that was purchased by his accumulated additional contributions. If a member enters this system with credit for prior service and retires for service after attaining age seventy, or if a member is entitled to be credited with twenty years of continuous city service and retires from service after attaining age sixty-five, and his service retirement allowance is less than one-half of his final compensation and less than seven hundred twenty dollars per year, his prior or current service pension, as the case may be, shall be increased so as to cause his retirement allowance to amount to one-half of such final compensation or seven hundred twenty dollars per year, whichever is less.

(Prior code § 2904.140q.)

Anything elsewhere to the contrary notwithstanding, the service retirement allowance of a member to whom the provisions of this Part 16 apply shall never exceed an amount equal to eighty-five percent of such member's final compensation. As used in this section, "service retirement allowance" means the sum of "his service retirement annuity," "his current service pension" and "his prior service pension" referred to in Section 3.24.1580 of this part, excluding, however, such portion of "his service retirement annuity" as is the actuarial equivalent of accumulated additional contributions made by a member pursuant to the provisions of Section 3.24.740.

(Prior code § 2904.140z.)

The service retirement annuity of a member who is governed by the provisions of this Part 16 is the sum of the annuities which are the actuarial equivalents of the normal prior service and the additional accumulated contributions of a member at the time of his retirement.

(Prior code § 2904.140l.)

A. Subject to other provisions of this chapter, the current service pension for a member governed by the provisions of this part is a pension derived from contributions of the city sufficient, when added to the service retirement annuity that is derived from the accumulated prior service contribution and the accumulated normal contributions of the member at the date of his retirement, and when also added to the prior service pension of such member, to equal the following: Two percent of his final compensation for each of the first twenty-five years of service (including both prior service and current service) for which such member is entitled to credit at the time of his retirement, plus one percent of his final compensation for each year of such member's service (including both prior service and current service) in excess of twenty-five years, multiplied by the retirement age factor in the second column of the following retirement age factor table opposite his age at time of retirement, taken to the preceding completed quarter year:

Retirement Age Factor Table

B. Fractions required for ages below fifty-five because of retirement for service under subsection B. of Section 3.24.1200, shall be determined by the board.

(Prior code § 2904.140m.)

A. If a member who is governed by the provisions of this Part 16 should retire for service pursuant to the provisions of this retirement system after the effective date of this part, and if, subsequent to being so retired for service he is reinstated to service, and if after such reinstatement to service he again retires for service hereunder, his current service pension, upon his latest retirement for service, shall be as follows:

1. If such member's latest service retirement occurs before such member renders at least one year of city service for which he is entitled to credit under this system following his preceding reinstatement from his preceding service retirement, then in that event his current service pension shall be the sum of:

a. A current service pension calculated in accordance with the provisions of Section 3.24.1620 on the basis of service rendered after such reinstatement; plus

b. His current service pension as it was prior to said reinstatement, adjusted in accordance with any change in the provisions governing the calculation of his current service pension, made after said reinstatement, which would have applied to him had he continued in retirement.

2. If such member's latest service retirement occurs after such member renders at least one year of city service for which he is entitled to credit under this system following his preceding reinstatement from his preceding service retirement, then in that event his "current service pension" shall be the sum of:

a. A current service pension calculated in accordance with the provisions of Section 3.24.1620 on the basis of service rendered after such reinstatement; plus

b. A current service pension calculated in accordance with the provisions of Section 3.24.1620 on the basis of:

i. Current service rendered prior to said reinstatement,

ii. His age at time of his latest service retirement (taken to the preceding completed quarter year but not less than the minimum retirement age applicable to him at his latest retirement) determined by deducting from his age at his subsequent retirement the aggregate time during which he was on retirement, and

iii. His final compensation as it was on the date of his first service retirement.

(Prior code § 2904.140n.)

If a member who is governed by the provisions of this Part 16 should retire for disability pursuant to the provisions of this retirement system after the effective date of this part, and if subsequent to being so retired for disability he is reinstated to service, and if after such reinstatement to service he retires for service hereunder, his current service pension, upon his latest retirement for service, shall be as follows:

A. If such member's latest service retirement occurs before such member renders at least one year of city service for which he is entitled to credit under this system following his preceding reinstatement from his preceding disability retirement, then in that event his current service pension shall be the sum of:

1. A current service pension calculated in accordance with the provisions of Section 3.24.1620 on the basis of current service rendered after such reinstatement; plus

2. A current service pension calculated in accordance with the provisions of Section 3.24.1620 on the basis of:

a. Current service rendered prior to his preceding disability retirement,

b. His age at the time he was retired for disability, and

c. His final compensation as it was on the date he was retired for disability.

B. If such members latest service retirement occurs after such member renders at least one year of city service for which he is entitled to credit under this system following his preceding disability retirement, then in that event his current service pension shall be the sum of:

1. A current service pension calculated in accordance with the provisions of Section 3.24.1620 on the basis of current service rendered after such reinstatement, plus:

2. A current service pension calculated in accordance with the provisions of Section 3.24.1620 on the basis of:

a. Current service rendered prior to his preceding disability retirement,

b. His age at the time of his latest service retirement (taken to the preceding completed quarter year but not less than the minimum retirement age applicable to him at his latest retirement) determined by deducting from his age at his subsequent retirement the aggregate time during which he was on retirement, and

c. His final compensation as it was on the date he was retired for disability.

(Prior code § 2904.140o.)

Subject to other provisions of this chapter, the prior service pension for a member governed by the provisions of this Part 16 is an annual pension derived from contributions of the city, sufficient, when added to the service retirement annuity that is derived from the accumulated prior service contributions of the member at the date of his retirement to equal the following: Two percent of his final compensation for each of the first twenty-five years of prior service for which such member is entitled to credit at the time of his retirement, plus one percent of his final compensation for each year at his prior service in excess of his first twenty-five years of such service, multiplied by the retirement age factor specified opposite his age at time of retirement, taken to the preceding quarter year, in the second column of the retirement age factor table which is set forth in Section 3.24.1620.

(Prior code § 2904.140p.)

The portion of prior service pensions which is not provided by members' prior service accumulated contributions is derived from contributions of the city.

(Prior code § 2904.140r.)

If a member who is governed by the provisions of this Part 16 should retire for service pursuant to the provisions of this retirement system after the effective date of this part, and if subsequent to being so retired for service he is reinstated to service, and if after such reinstatement to service he retires for service hereunder, his prior service pension, upon his latest retirement for service, shall be as follows:

A. If such member's latest service retirement occurs before such member renders at least one year of city service for which he is entitled to credit under this system following his preceding reinstatement from his preceding service retirement, then in that event his prior service pension shall be in the same amount as his prior service pension prior to his reinstatement, adjusted in accordance with any change in the provisions governing the calculation of such prior service pension made after said reinstatement and applicable to such pensions being paid at the date of the change.

B. If such member's latest service retirement occurs after such member renders at least one year of city service for which he is entitled to credit under this system following his preceding reinstatement from his preceding service retirement, then in that event his prior service pension shall be calculated on the basis of:

1. His age at the time of his latest retirement (taken to the preceding completed quarter year but not less than the minimum retirement age applicable to him at his last retirement) determined by deducting from his age at his subsequent retirement the aggregate time during which he was on retirement; and

2. If final compensation entered into the calculation of his prior service pension before his reinstatement, on the basis of his final compensation as it was at the date of his preceding service retirement.

(Prior code § 2904.140s.)

If a member who is governed by the provisions of this Part 16 should retire for disability pursuant to the provisions of this retirement system after the effective date of this part, and if subsequent to being so retired for disability he is reinstated to service, and if after such reinstatement to service he retires for service hereunder, his prior service pension upon his latest retirement for service, shall be as follows:

A. If such member's latest service retirement occurs before such member renders at least one year of city service for which he is entitled to credit under this system following his preceding reinstatement from his preceding disability retirement, then in that event his prior service pension shall be calculated on the basis of:

1. His age on the date he was previously retired for disability, taken to the preceding completed quarter year; and

2. His final compensation as it was on the date he was previously retired for disability.

B. If such member's latest service retirement occurs after such member renders at least one year of city service for which he is entitled to credit under this system following his preceding reinstatement from his preceding disability retirement, then in that event his prior service pension shall be calculated on the basis of:

1. His age at the time of his latest service retirement taken to the preceding completed quarter year but not less than the minimum retirement age applicable to him at his last retirement, determined by deducting from his age at his subsequent retirement the aggregate time during which he was on disability retirement; and

2. If his preceding disability retirement allowance included an annuity or pension derived from his accumulated prior service contributions and from the city's prior service contributions and his final compensation entered into the calculation of such annuity or pension, on the basis of his final compensation as it was at the date of his preceding disability retirement.

(Prior code § 2904.140t.)