San Jose Municipal Code Part 2 Administration

For creation of the retirement board, see Chapter 2.08, Part 4 of this Code.

(Prior code § 2904.34.)

The board may make such rules not inconsistent with this chapter as it deems proper, and each member and each person retired is subject to this chapter and such rules.

(Prior code § 2904.40.)

The board shall determine, within the scope of this chapter, the employees who are entitled to membership in the retirement system described in this chapter, and the board is the sole judge of the conditions under which persons may be admitted to and may continue to receive benefits under this system.

(Prior code § 2904.42.)

Subject to this chapter and its rules, the board shall determine and may modify benefits for service and disability and death.

(Prior code § 2904.41.)

The board shall secure and pay reasonable compensation for such medical service and advice as is necessary to discharge its duties respecting matters involving disability or death or both.

(Prior code § 2904.43.)

The board shall keep in convenient form such data as are necessary for the actuarial valuation of this system. The board shall cause an actuarial investigation to be made from time to time and as often as may be reasonably necessary to keep the plan actuarially sound, but not less frequently than once each five years commencing from and after January 1, 1971. The actuarial investigation shall consist of a report as to the mortality, service and compensation experience of members and persons receiving benefits, an actuarial valuation of the assets and liabilities of this system, and such other actuarial investigations as may be relevant to and for the benefit of the system.

From time to time the board shall determine the rate of interest being earned on the retirement fund.

(Prior code § 2904.44.)

Upon the basis of any or all of such investigation, valuation and determination, the board shall adopt such mortality, service and other tables and interest rates as it deems necessary and, subject to Sections 3.24.570, 3.24.580, 3.24.720 and 3.24.730 make revision in rates of contributions of members as it deems necessary to provide the benefits for which the rates for normal contributions are required to be calculated. No adjustment shall be included in the new rates for time prior to the effective date of such revision.

(Prior code § 2904.45.)

The board shall credit all contributions of members, retired members and the city, in the retirement fund, with interest at the current rate, compounded at each June 30th and December 31st.

(Prior code § 2904.46.)

As of June 30th, the board may credit to all contributions held in the retirement fund such interest in excess of the current rate as it deems proper in the light of the earnings on the retirement fund during the fiscal year, but not more than the difference between such earnings and the interest credited at the current rate to contributions during the fiscal year. In the calculation of benefits under any mortality table adopted by the board, only the current rate of interest is allowed on contributions under this chapter.

(Prior code § 2904.47.)

A. The board may, in its discretion, hold a hearing for the purpose of determining any question presented to it involving any right, benefit or obligation of a person under this chapter. Any applicant may file an application for rehearing of any application, within thirty days after written notice of the determination by the retirement board has been sent by registered mail to the applicant or his attorney of record, upon any of the following grounds:

1. That the retirement board acted without and in excess of its powers;

2. That the order, decision or award was procured by fraud;

3. That the evidence does not justify the determination of the retirement board;

4. That the applicant has discovered new evidence material to him which he could not, with reasonable diligence, have discovered or procured at the hearing.

B. The determination of the retirement board on any application for rehearing shall be made within sixty days after the filing thereof.

(Prior code § 2904.48.)

A board member or employee of the board shall not, directly or indirectly:

A. Have any interest in the making or any investment, or in the gains or profits accruing therefrom;

B. For himself, or as an agent or partner of others, borrow any funds or deposits of this system, nor use such funds or deposits in any manner except to make such current and necessary payments as are authorized by the board;

C. Become an endorser, surety or obligor on investments by the board.

(Prior code § 2904.33.)

A. If, under the provisions of this chapter, a person becomes entitled to an eligible rollover distribution, the person may elect to have the distribution or any portion thereof paid directly to an eligible retirement plan specified by the person.

B. The election made pursuant to this section shall be in accordance with terms and conditions established by the board.

C. Upon the exercise of the election by a person pursuant to this section, the distribution from the retirement fund of the amount designated by the person, once distributable under the provisions of this chapter, shall be made in the form of a direct transfer to the eligible retirement plan so specified.

D. For the purposes of this section, "eligible rollover distribution" means a distribution from the retirement fund which constitutes an eligible rollover distribution within the meaning of Section 401(a)(31)(C) of the Internal Revenue Code.

E. For purposes of this section, "eligible retirement plan" means a plan which constitutes an eligible retirement plan within the meaning of Section 401(a)(31)(D) of the Internal Revenue Code.

(Ord. 24814.)