HomeMy WebLinkAboutORDINANCE 2037-2004SUBSTITUTE
Suggested by: Councilwoman Porter
CITY OF KENAI
ORDINANCE N0. 203fi-2004
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AMENDING
KMC 23.40.080 TO PROVIDE FOR A FIVE YEAR MAXIMUM PERIOD OF
REEMPLOYMENT FOR THOSE PERSONS PARTICIPATING IN THE PERS OPT-OUT
AND REMPLOYMENT PROVISIONS OF AS 39.35.150(b).
WHEREAS, in 2001 the Alaska Legislature enacted AS 39.35.150(b) that allows
persons who take normal retirement in the PERS system to be re-employed by the
state or a municipality participating in the PERS system while keeping their retirement
benefits; and,
WHEREAS, the option allowed under AS 39.35.150(b) expires in June 30, 2005.
Therefore, persons eligible for normal retirement after June 30, 2005 are not eligible
under AS 39.35.150(b); and,
WHEREAS, re-employment of persons participating in AS 39.35.150(b) will save the
city thousands of dollars per employee per year since the city will not have to pay
PERS or medical insurance for the re-employed workers; and,
. ..
WHEREAS, adding afive-year hmitatlon on re-employment for persons participating in
AS 39.35.150(b) will limit disparity in treatment in those eligible for retirement before
and after June 30, 2005, while still saving the city money on personnel costs.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI,
ALASKA that KMC 23.40.080 is amended as follows:
KMC 23.40.080 Retirement
~ Employees are required to participate in the State Public Employees
Retirement System (PERS) unless the employee participates in the opt-
out provision of AS 39.35.150(b). See PERS Handbook for details.
,~ An employee who participates in the opt-out provisions of AS
39.35.150(b) shall work no more than five years in an~pacity after the
date of his/her reemployment with the City, unless that person
terminates employment with the City and is reemployed as an employee
within the PERS system. This section does not prohibit a former
employee from serving as a council, commission or committee member.
PASSED BY THE COUNCIL OF THE CITY OF KEN
2004.
ATTEST:
Carol L. Freas, City Clerk
HN
ALAS , ~ is 3rd day of May,
,~~
~: ILLIA S, MAYOR
Introduced: April 7, 2004
Adopted: May 5, 2004
Effective: June 5, 2004