ARTICLE IV. - RETIREMENT AND INSURANCE PLAN

Footnotes:

--- (2) --- Editor's note— Chapter 2559 of the Acts and Resolves of 1938 authorized the retirement fund; subsequently, the legislature passed an act in amendment of the 1938 act.

DIVISION 1. - GENERALLY#

Sec. 21-101. - Police department authorized to establish retirement fund and insurance contracts; applicability.#

(a)

The police department of the town shall have the power to establish a retirement fund to be known as the "Police Department Retirement Plan Fund" and to establish and maintain a group insurance contract or contracts, covering members of the police department of the town.

(b)

The police department retirement plan fund shall be available only to full time permanent members of the police force as of March 22, 1997, and current pensioners; however, the provisions of subsection 21-102(5) shall apply only to full time permanent members of the police force as of March 22, 1997. All full time permanent members hired after March 22, 1997, shall participate in the Rhode Island Employees Retirement System.

(Code 1972, § 16-51; Ord. No. 1998-08, 4-22-98)

Sec. 21-102. - Administration; contents of fund.#

The retirement plan fund shall be administered by a board of trustees as hereinafter provided. Such retirement plan fund shall consist of: (1)

All monies and securities in the police relief and pension fund.

(2)

On July first of each year, there shall be reserved and turned over to such fund, an amount taken from the salaries of the members of the police department who shall elect to come under the provisions of this plan, which amount shall be the percentage designated by the trustees (through use of their actuaries) of the total sum needed to provide the benefits as set forth herein. Such sum shall not exceed eleven percent of such policemen's salaries effective as of July 1, 1998, subject to subsection (5), below.

(3)

On July first of each year, the town will pay into such fund the percentage designated by the trustees (through use of their actuaries) of the total sum needed to provide the benefits as set forth in this article. Such sum shall not exceed 24 percent of the salaries paid in each fiscal year effective July 1, 1998, to all members of the police department who elect to participate in this retirement plan fund, minus the cost of the group insurance as provided by section 21-142, subject to subsection (5), below.

(4)

All interest, dividends and other income derived from the above.

(5)

Such retirement plan fund shall provide for a three percent cost of living adjustment, compounded annually, and applied on July 1 of each year for all full time permanent members of the police force as of March 22, 1997. Such cost of living adjustment shall not be applicable to any current pensioners as of April 22, 1998. In the event that actuaries determine that the percentages referenced in subsections (2) and (3), above, must be adjusted, such adjustment shall be made as follows:

a.

The town may by vote of the town council (budget approval and adoption shall serve as an affirmative vote of the town council) absorb any total contribution rate increase beyond 13 percent (the police department member contribution).

b.

The town shall not be obligated to make any contribution should the total contribution [acquired] fall below 13 percent.

(6)

The assets of the fund shall become the property of the town upon the death of the last remaining benefit recipient.

(Code 1972, § 16-52; Ord. No. 1998-08, 4-22-98; Ord. No. 2007-08, 2-28-07)

Secs. 21-103—21-120. - Reserved.#

DIVISION 2. - BOARD OF TRUSTEES#

Sec. 21-121. - Generally.#

(a)

The board of trustees of such fund shall consist of five members; four members, one of whom shall be designated by the police union, shall be appointed by the town council and the remaining member shall be the town treasurer then in office. At all times, at least three members of the board of trustees must neither be a police officer or a retired police officer nor have a spouse, child, more remote issue or any other relative who is a city police officer or a retired city police officer and any board of trustees that does not meet this requirement cannot act on behalf of the retirement plan. Members appointed by the town council shall serve for three-year staggered terms, except that the member designated by the police union shall serve the term designated by the union. Of the new members appointed under this section, one member shall be designated to serve a one-year term, one shall be designated to serve a two-year term, and one shall be designated to serve a three-year term. No member shall serve more than three consecutive terms. A member will continue as a trustee until the earliest of:

(1)

His/her removal or replacement by the town council (or, in the case of the town treasurer, when he/she ceases to be the incumbent of that office);

(2)

His/her resignation in writing is delivered to the town council;

(3)

His/her death; or

(4)

Expiration of his/her term.

(b)

If, at any time, there shall be a vacancy in the membership of the trustees, the remaining trustees shall not act until such vacancy is filled by action of the town council (or the swearing-in of a succeeding or temporary town treasurer). The compensation, if any, of a trustee shall be determined by the town council and shall be paid by the town.

(Code 1972, § 16-53)

Sec. 21-122. - Responsibilities.#

The trustees shall be responsible for the general administration of the retirement plan fund and for the payment of benefits out of it and may, from time to time, adopt bylaws, rules and regulations for its administration, and for the conduct and transaction of their business affairs as trustees. They shall have such power as may be necessary to discharge their duties, including, but not limited to, the power to interpret and construe the provisions hereof, determine all questions of eligibility, duration of service, continuity of service, dates of birth, participation or retirement, computation of benefits, value benefits, and similar related matters, and their determination of all questions shall be binding upon all participants or any others concerned. All matters falling outside of the scope of the powers and duties of the trustees and not otherwise provided for herein shall be referred to the town council which shall have the power to act thereon.

(Code 1972, § 16-54)

Sec. 21-123. - Fiscal powers.#

(a)

The board of trustees shall have, with respect to all monies and properties of the retirement plan fund, at any time held by them, power in their discretion to invest and reinvest in any property, real, personal or mixed, and wherever situated, including but not by way of limitation, common or preferred stocks, bonds, loans, notes, mortgages, certificates of deposit, interest or participation, and other forms of security or investment without being limited in any respect by statute or court rule or decision of any jurisdiction now or hereafter in force purporting to limit or otherwise affect investments by trustees and without regard to the proportion such property, or properties of a similar character so held or thereafter acquired, may bear to the entire amount of the fund, and to make such payment from such fund of benefits as herein provided.

(b)

The board of trustees shall have power and authority, in their discretion, to have a bank or trust company which is licensed in the state, or any other financial institution, if authorized by a vote of the town council, serve as their agent in keeping custody of the monies and securities in such fund, in keeping accounts and for other duties in connection with the administration of the fund; and they are further authorized, in their discretion, to employ such bank or trust company as agent in the investment of the fund and otherwise to assist in its management, and to pay for any of such foregoing services, such fee which to them seems proper. There shall be no liability on the part of the trustees in the management of the fund by such an agent selected by them in good faith.

(Code 1972, § 16-55)

Sec. 21-124. - Actuary to be employed.#

The trustees shall employ an actuary at such times as are necessary to assure the maintenance of the plan on a sound actuarial basis, which actuary shall make periodic actuarial computations for the purposes thereof, and may retain or consult counsel to the extent they deem expedient and necessary in the administration of the plan. Expenses of the trustees will be payable from the fund unless otherwise authorized by the town council.

(Code 1972, § 16-56)

Sec. 21-125. - Liability.#

The trustees shall use ordinary care and reasonable diligence in the performance of their duty and no trustee shall be personally liable for any error of omission or commission unless such error results from his own gross negligence, willful misconduct or lack of good faith; nor shall any trustee be personally liable for any act of any other trustee or trustees.

(Code 1972, § 16-57)

Secs. 21-126—21-140. - Reserved.#

DIVISION 3. - REQUIREMENTS#

Sec. 21-141. - Generally.#

The provisions of the retirement plan fund as provided within this article, shall be as set out in sections 21-142—21-155.

(Code 1972, § 16-58)

Sec. 21-142. - Effective date and applicability.#

The retirement plan fund as herein provided shall be deemed to be effective as of April 1, 1965. The retirement plan fund shall be applicable to: (1)

Participating members of the police department who retire on or after April 1, 1965 and who were full time permanent members of the police force as of March 22, 1997; and

(2)

Former members of the police department receiving pensions under this article or under the police relief and pension fund, subject to the provisions of subsection 21-101(b).

(Code 1972, § 16-58; Ord. No. 1998-08, 4-22-98)

Sec. 21-143. - Eligibility for participation.#

(a)

A person shall be eligible to participate in the plan who was a full time permanent member of the police force as of March 22, 1997, or a pensioner under this article subject to the provisions of subsection 21-101(b).

(b)

A pensioner under the police relief and pension fund who has been receiving a pension under such fund immediately prior to the effective date shall be deemed to be a pensioner hereunder as of the effective date. Such pensioner shall be entitled to continuance hereunder for the remainder of his lifetime of the amount of monthly pension he was receiving under such fund, but no other benefits hereunder provided shall be applicable to him.

(Code 1972, § 16-58; Ord. No. 1998-08, 4-22-98)

Sec. 21-144. - Retirement dates.#

(a)

A participating member of the police department retiring on or after January 1, 2002, shall normally retire on the date he has completed 20 years of service; such date shall be his "normal retirement date."

(b)

"Service" for all purposes of the plan shall mean the period of employment by the police department of the town commencing on the date on which the participant's probationary period begins and ending on the date when he actually retires, terminates employment with the police department, or dies, whichever first occurs.

(c)

In the case of a person who becomes a participant on the effective date and who, prior to such effective date, had terminated employment with the police department and was subsequently reemployed by the police department, it shall include the period of his service with the police department prior to such termination, but not the period between such termination and the date of his reemployment. In the case of any other participant whose employment has at any time been terminated and who has been reemployed, it shall include service with the police department prior to such a termination only provided that such participant is entitled to a retirement benefit by reason of having at least 20 years of service.

(d)

A participant who remains in active service after his normal retirement date will not be entitled to commencement of pension payments hereunder until he shall actually retire from such active service.

(e)

Salary shall mean base pay plus longevity pay plus holiday pay.

(f)

A participant who is not eligible for retirement by reason of total and permanent disability as hereinafter provided may retire before his normal retirement date as of the first day of any calendar month which is coincident with or subsequent to the date on which he completes at least 20 years of service.

(Code 1972, § 16-58; Ord. No. 2002-30, 1-8-03)

Sec. 21-145. - Form of pension payable.#

(a)

The normal form of pension payable to a pensioner will be an annuity payable for the remaining lifetime of such pensioner; provided that if such pensioner shall not live to receive such monthly payments for at least 60 months, such monthly payments shall be continued to the beneficiary designated by such pensioner until the aggregate of the number of monthly payments made to the pensioner and his beneficiary totals 60.

(b)

Subject to the conditions hereinafter set forth, a participant may elect one of the following optional forms of pension in lieu of the normal form set forth within this subsection:

(1)

A contingent annuitant form under which he shall receive, commencing on the same date as that on which his normal pension would otherwise commence, and ceasing with the payment due on the first day of the month in which his death occurs, a reduced amount of pension, and after his death a person designated by him as his contingent annuitant (if such person shall survive him) shall receive for life either the same reduced amount of pension, or, subject to the approval of the trustees, such percentage thereof as is specified by the participant in his election; provided, however, that if the spouse of such participant is named as contingent annuitant, the election of this optional form shall not be permitted if the aggregate of the survivor benefit to which such spouse is entitled under subsection (8), below, and the amount payable to her under this option would be a monthly payment greater than the pension to which the participant himself would be entitled under the option during his lifetime.

(2)

A form of pension under which the participant shall receive, commencing on the same date as that on which his pension would otherwise commence, and ceasing with the payment due on the first day of the month in which his death occurs, a reduced amount of pension, and after his death, if death occurs before he shall have received monthly payments for a period of ten years, or 15 years, whichever period the participant shall elect, the beneficiary designated by him shall receive the same reduced monthly pension for the remainder of such period.

(3)

The conditions under which such an option may be elected are:

a.

Election must be in writing and filed at least two years prior to the earlier of his actual retirement date or normal retirement date, except that in the case of a participant whose normal retirement date will occur within two years following the effective date, such participant shall have the right to make such election at any time prior to June 1, 1965. If a participant does not elect an option in accordance with the foregoing, any election subsequently made shall not become effective unless evidence of such participant's good health, satisfactory to the trustees, is furnished.

b.

An option elected will become effective on the earlier of the participant's actual or normal retirement date.

After the effective date of an option, such option may not be rescinded, nor may a contingent annuitant be changed.

c.

If the contingent annuitant dies before the effective date of the option, the election shall cease to be effective. If a beneficiary dies before the effective date of the option, the participant may rescind his election by filing a written request therefor with the trustees.

d.

The death of a contingent annuitant, or of a beneficiary, as the case may be, after the effective date of an option and while a pensioner is still living, shall not affect the amount of pension payable to such pensioner pursuant to an option elected.

e.

If a participant for whom an option is in effect continues in active employment after his normal retirement date and dies before he retires, his contingent annuitant, or beneficiary, as the case may be, shall be entitled to benefit payments in accordance with the option elected commencing on the first day of the month following the death of the participant, in the amount which would have been payable had the participant retired as of such first day of the month and immediately died.

f.

If a participant retires prior to his normal retirement date, anything herein to the contrary notwithstanding, the option elected shall not become effective unless evidence of the participant's good health satisfactory to the trustees is furnished.

g.

The amount of monthly pension payable under an option shall be of equivalent value, actuarially determined, to the amount of normal pension otherwise payable to the member as set forth in section 21-146.

(Code 1972, § 16-58)

Sec. 21-146. - Amount of normal pension.#

(a)

Participants benefits prior to 1986 shall remain as is. For participants retiring after April 1, 1986, the monthly pension payable to a participant, provided such monthly pension commences on a date which coincides with or is subsequent to his normal retirement date, shall be equal to 60 percent of the average monthly rate of his earnings for any period of 24 consecutive months which produces the highest average monthly rate, plus an additional one percent of such average rate of earnings for each completed year of service with the police department in excess of 20 years, (30 years or more will pay a maximum of 70 percent of the average monthly rate). Fractional periods of years shall be computed using 15 days and over as a month, under 15 days as not worked. As of July 1, 1998, such pension shall be compounded annually at the rate of three percent.

(b)

A participant who voluntarily terminates employment prior to his normal retirement date shall be eligible for either:

(1)

An amount of normal pension commencing on his normal retirement date which is in the ratio to that to which he would be entitled had he continued in active service to such normal retirement date at the same rate of earnings he was receiving on the date of his termination, as the number of his completed years of service to the date of his termination bears to the number of completed years of service he would have on his normal retirement date had he remained in active service until such normal retirement date; or

(2)

A reduced amount of normal pension commencing on the first day of the month coinciding with or next following the date of his termination, which reduced amount shall be of equivalent value, actuarially determined, to the amount of normal pension to which he would be entitled commencing on his normal retirement date as set forth in the foregoing subsection (1), above, had it been deferred accordance with such section 21-101 the reduction to reflect the number of months commencement of pension payments precedes such participant's normal retirement date.

(Code 1972, § 16-58; Ord. No. 1998-08, 4-22-98)

Sec. 21-147. - Total and permanent disability pension.#

(a)

Accidental disability: Work-related injury/illness. In the event that a participant becomes totally and permanently disabled as a natural and proximate result of injuries or illness sustained while in the performance of duty and such disability is not the result of willful negligence or wanton misconduct on the part of the participant, who has been examined by a physician appointed by the town and remained away from regular employment with the police department for a period of 18 months, such participant shall be entitled to receive disability benefits upon being found physically unfit for duty. The town shall direct the trustees to place such participant on a disability pension as of the first of the month following the participant's retirement date. In the event that a participant shall apply for a disability pension prior to the expiration of the 18-month period described above, the trustees shall cause the participant to submit to a medical examination as set forth in subsection (e) below. Such participant shall be considered to be totally and permanently disabled for purposes of this section if the third physician concludes that the said participant is physically or mentally disabled for the performance of duty and such disability is not due to age or length of service.

(b)

Ordinary disability: Non-work-related injury/illness. A participant who has not reached his normal retirement date and who has completed at least ten years of service with the police department of the town and who has become so disabled by any medically determinable physical or mental impairment which can be expected to be either of indefinite duration or result in death, which disability is not incurred in the performance of his duties for the police department, and which renders the participant unfit for duty as a police officer, may be retired on a disability pension.

(c)

The monthly disability benefit payable to a participant who becomes entitled thereto pursuant to subsection (a) shall be an amount equal to 72 percent of the participant's annual earnings at the time of the participant's retirement date. The benefit shall be payable monthly for the period of disability and shall be adjusted annually on July 1 of each year by a three percent compounded COLA. For the purposes of this section, "annual earnings" shall include annual salary, longevity and holiday pay.

The monthly disability benefit payable to a participant who becomes entitled thereto pursuant to subsection (b) shall be equal to 50 percent of the participant's average monthly rate of earnings over any period of two consecutive years which produces the highest average monthly rate. The benefit shall be payable monthly for the period of disability and shall be adjusted annually on July 1 of each year by a three percent compounded COLA.

(d)

The trustees may, from time to time, cause a participant who is receiving a disability pension to be examined by a qualified physician selected by the trustees; provided, however, that there may not be more than one annual examination after the first year of the participant's retirement date. If, in such physician's opinion, the participant's condition warrants him returning to police duty with the police department, and the participant meets the departments written and physical requirements for new employees, he shall be regarded as having recovered from such disability, he shall be reinstated to police duty forthwith, and further payment of a disability pension to him shall cease. The failure of the participant to submit to such examination, when so requested by the trustees, shall result in discontinuance of the payment of the disability pension to such participant until he shall comply to such request.

(e)

In the event a dispute shall arise as to whether a participant is, or continues to be disabled as provided by this subsection prior to cessation of benefits, he shall be examined by a qualified physician selected by the trustees and a qualified physician selected by such participant. The findings of such physicians shall be binding on the trustees, the participant and all others concerned. If such physicians shall not agree, the participant shall be examined by a third physician selected by the two other physicians, and the findings of such third physician shall be final and binding on the trustees, the participant and all others concerned. The trustees shall assume all expenses related to these examinations.

(f)

Any amounts paid or payable under the provisions of subsection (a) shall be deemed workers' compensation.

(Code 1972, § 16-58; Ord. No. 2001-20, 8-22-01; Ord. No. 2001-34, 10-24-01; Ord. No. 2001-42, 2-13-02)

Sec. 21-148. - Terminations of employment.#

(a)

If a participant voluntarily terminates his employment with the police department, or his employment is terminated by the department for nondisciplinary reasons prior to such participant having completed ten years of service with the police department, he shall be paid a severance benefit equal to two weeks' pay for each year of service; provided, that if his contributions to the fund, with interest at three percent compounded annually shall aggregate an amount greater than such severance benefit, his contributions, with interest, shall be paid in lieu of such severance benefit; provided, however, that if the participant's services with the police department are terminated while he is a probationer, the foregoing to the contrary notwithstanding, he shall be paid an amount equal to the amounts paid into the fund from his salary with three percent interest. Such payment of a severance benefit or return of the participant's contributions with interest shall be in lieu of any rights to other benefits under the plan.

(b)

If a participant voluntarily terminates employment, or his employment is terminated by the police department for nondisciplinary reasons, after such participant has completed ten years of service, he may elect either:

(1)

A pension commencing on his normal retirement date, the amount of which shall be equal to the pension he would expect to receive upon attaining such normal retirement date had he continued in active service with the police department until such normal retirement date at his rate of earnings on the date of termination, multiplied by a fraction, the numerator of which is his completed years of service to the date of his termination, and the denominator of which is the completed years of service he would have at normal retirement date if he had continued in active employment until such normal retirement date; or

(2)

To be paid as a severance benefit (in lieu of such pension as provided under subsection (1)), an amount equal to the greater of three weeks' pay for each year of service or the aggregate of his contributions to the fund with interest at three percent.

(c)

If a participant's employment with the police department is terminated for disciplinary reasons, irrespective of the foregoing provisions of this subsection, his contributions to the fund will be returned to him without interest and he shall have no further rights to benefits of any kind under the plan.

(d)

Interest, as provided in this subsection, shall be compounded annually from the April 1 next following the date on which each amount is paid into the fund from the participant's salary to the first of the month in which his employment is terminated.

(Code 1972, § 16-58)

Sec. 21-149. - Survivor benefits of eligible spouse.#

(a)

An eligible spouse is one who is legally married to the participant, or pensioner, as the case may be, and who, on the date of death of such participant or pensioner, is not divorced or legally separated from him.

(b)

Upon the death of the participant after attainment of his normal retirement date, the eligible surviving spouse of such participant shall be paid as a survivor's benefit, subject to the limitations hereafter set forth, a monthly pension the amount of which, provided such spouse is not more than three years younger than such participant, shall equal 67½ percent of the normal pension to which the participant is entitled in accordance with the first paragraph of section 21-146.

(c)

Upon the death of a participant who dies before attainment of his normal retirement date, and whose death occurs either as the result of injuries sustained in the performance of his duties for the police department, or after he has completed five years of service with the police department, the eligible surviving spouse of such deceased participant shall be paid as a survivor's benefit, subject to the limitations hereafter set forth, a monthly pension the amount of which, provided such spouse is not more than three years younger than such participant, shall be equal to 67½ percent of the amount of normal pension the participant would be expected to receive had he lived and continued in active service with the police department to his normal retirement date (with earnings at the same rate he was receiving on the date of his death, or retirement, if such precedes his death, multiplied by a fraction, the numerator of which is the participant's completed years of service on the date of his death, and the denominator of which is the number of completed years of service he would have had upon his normal retirement date had he continued in active service and survived to that date.

(d)

If the eligible surviving spouse is more than three years younger than the deceased pensioner or participant, as the case may be, the amount of survivor's benefit to which such eligible surviving spouse is entitled shall be a reduced amount which has the same value, actuarially determined, as the amount of survivor's benefit to which she would be entitled were she not more than three years younger than such pensioner or participant.

(e)

The survivor's benefit payable to an eligible surviving spouse shall be a pension payable monthly, commencing as of the first of the month next following the death of the participant, or pensioner, as the case may be, and ceasing with the payment due on the first day of the month next preceding the earlier of the date of death or remarriage of such eligible spouse; provided that if the death of a pensioner occurs during the period when pension payments are guaranteed under the normal form of pension or guaranteed under the option as provided by subsection 21-145(a), the survivor's benefit, if any, payable for any month during the period in which such pension payments are so guaranteed shall be the excess, if any, of the amount of the survivor's benefit over the amount of pension payment so continue to the beneficiary.

(Code 1972, § 16-58)

Sec. 21-150. - Survivor benefits of eligible children.#

(a)

An eligible surviving child is a natural child born in lawful wedlock of a participant not later than nine months subsequent to the earliest of the retirement date, normal retirement date, or death of such participant; a child adopted by the participant prior to the earliest of the retirement date, normal retirement date or death of such participant; or a stepchild of a participant by a marriage taking place not less than two years prior to the earliest of the retirement date, normal retirement date or death of such participant, which child was receiving his principal support from the participant at the death of such participant, is not married, and has either not attained his 18th birthday or is attending school or college and has not attained his 22nd birthday.

(b)

A natural child, adopted child, or stepchild, as defined by the foregoing, who is so disabled by a physical or mental infirmity as to be incapable of being self-supporting and who is wholly dependent upon the participant for support, shall be deemed to continue to be an eligible surviving child irrespective of the age of such child.

(c)

Upon the death of a participant after attainment of his normal retirement date, there shall be paid on behalf of each eligible surviving child of such participant as a surviving child's benefit, subject to the limitations hereafter set forth, a monthly benefit equal to 33⅓ percent of the monthly survivor's benefit payable to an eligible surviving spouse of such deceased participant as provided by the first paragraph of section 21-149, (without the actuarial reduction if such spouse is more than three years younger than the participant and irrespective of whether or not there is a surviving spouse); provided that such surviving child's benefits shall not be paid in any month on behalf of more than three such eligible children.

(d)

Upon the death of a participant who dies before attainment of his normal retirement date, and whose death occurs either as the result of injuries sustained in the performance of his duties for the police department, or after he has completed five years of service with the police department, there shall be paid on behalf of each eligible surviving child of such participant as a surviving child's benefit, subject to the limitations hereafter set forth, a monthly benefit equal to 33⅓ percent of the monthly survivor's benefit payable to an eligible surviving spouse of such deceased participant as provided by the second paragraph of section 21-149, (without the actuarial reduction if such spouse is more than three years younger than the participant and irrespective of whether or not there is a surviving spouse); provided that such surviving child's benefits shall not be paid in any month on behalf of more than three such eligible children.

(e)

The benefit payable on behalf of an eligible surviving child shall be a monthly benefit commencing as of the first of the month next following the death of the participant, or pensioner, as the case may be, and ceasing with the payment due on the first day of the month next preceding the earliest of:

(1)

The child's 18th birthday or, if such child is attending a school or college, the earlier of the date he ceases attending such school or college or his 22nd birthday;

(2)

The child's marriage; or

(3)

The child's death; provided that in the case of a disabled dependent eligible surviving child such payments shall continue to the first day of the month next preceding the earliest of:

a.

His death;

b.

His recovery from the disability which is the cause of such dependency; or

c.

His marriage, if such date is later than the date on which such surviving child's benefits would otherwise cease as provided by the foregoing; provided further that if the death of the participant occurs during the period when the participant's pension is guaranteed to be payable to his beneficiary under the normal form or during the period it is guaranteed to be payable under the option provided by subsection 21-145(b)(2), and no survivor's benefit is payable to an eligible surviving spouse, the aggregate amount of the child's benefits payable for any month during which the participant's pension is so payable shall not exceed the excess of such aggregate amount of child's benefits over such participant's pension so continued.

(Code 1972, § 16-58)

Sec. 21-151. - Death benefits.#

(a)

Upon the death of a participant who dies prior to the earlier of his normal retirement date, or the date of his voluntary termination (except when termination prior to normal retirement date is by reason of disability), and provided a survivor's benefit is not payable to a spouse of such participant under section 21-149, above, or to surviving children under section 21-150, above, there shall be paid to the participant's beneficiary as a death benefit, the amount paid from his salary into the retirement plan fund with interest thereon compounded at three and one-half percent from the April 1 next following the date on which each such amount is paid from his salary to the first of the month in which his death occurs.

(b)

Upon the death of a participant who dies on or after the earlier of his normal retirement date or date of voluntary termination, the benefit, if any, payable as a death benefit, shall be that as provided by the form of pension payable to such participant in accordance with section 21-145.

(c)

Upon the death of the surviving spouse of a deceased participant who dies prior to the earlier of his normal retirement date, or the date of his voluntary termination (except when such termination is by reason of disability), which spouse is receiving a survivor's benefit, if such death occurs prior to the time when the aggregate amount of survivor's benefits paid to such spouse is at least equal to the amount paid to the fund from the participant's salary, with compound interest as described in the next prior paragraph, and provided no child's survivor benefits are payable, the excess of such amount with interest over the aggregate of the survivor's benefit paid to such spouse shall be paid to the beneficiary of such spouse as a death benefit hereunder.

(d)

Upon the death of the last surviving eligible child of a deceased participant who dies prior to the earlier of his normal retirement date, or the date of his voluntary termination (except when such termination is by reason of disability), which child is receiving a surviving child's benefit, and provided there is not an eligible surviving spouse then living, if such death occurs prior to the time when the aggregate amount of all survivor's benefits paid is at least equal to the amount paid to the fund from the participant's salary with compound interest as provided by the first paragraph of this subsection, the excess of such amount with interest over the aggregate of the survivor's benefits paid shall be paid to the beneficiary of such child as a death benefit hereunder.

(e)

In addition to any other benefits payable under the normal form of pension, or under an option, and irrespective of whether a survivor's benefit is payable, upon the death of a pensioner after the earlier of his normal retirement date or the date of his actual retirement (except when such retirement prior to normal retirement date is by reason of disability), the sum of $2,500.00 shall be paid as a death benefit to the beneficiary named by such pensioner.

(f)

Each participant shall designate a beneficiary to whom the foregoing death benefit, and any other benefits payable upon the death of the participant (except survivor benefits) shall be paid. He may change his designation of beneficiary from time to time by filing written notice thereof with the trustees in such form as they may subscribe. He may also designate a contingent beneficiary to receive such death benefit if the designated beneficiary is not living at the time of his death. If a beneficiary designated does not survive the participant or pensioner, as the case may be, for more than 48 hours, and if no contingent beneficiary has been named, such death benefits shall be paid to the executors or administrators of the participant or pensioner, as the case may be.

(g)

If a beneficiary survives the participant or pensioner by more than 48 hours and there is no contingent beneficiary, any death benefit remaining unpaid at the death of the beneficiary shall be paid to the executors or administrators of such beneficiary. Each survivor who is a beneficiary of a participant who dies before all benefits payable upon the death of such participant, except survivors' benefits, have been paid, shall similarly designate a beneficiary and the foregoing provisions shall be applicable thereto.

(Code 1972, § 16-58; Ord. No. 1998-08, 4-22-98)

Sec. 21-152. - Pension, benefits not subject to sale, etc.#

No pension or other benefits provided for under this plan shall be subject, in any manner, to alienation, sale, transfer, assignment, pledge, attachment, or encumbrance of any kind. Any attempt to alienate, sell, transfer, assign, pledge or otherwise encumber any such pension or benefit, whether presently or thereafter payable, shall be void.

(Code 1972, § 16-58)

Sec. 21-153. - Payment of benefits when recipient is incapable of handling same.#

In the event it shall be determined by the trustees that a pensioner, surviving eligible spouse, surviving eligible child, contingent annuitant or beneficiary is unable to care for his affairs due to mental or physical incapacity, or due to being a minor, any pension or other benefit payable to him may be paid to the spouse, parent, brother or sister, or child or other person deemed by the trustees to have incurred expenses for such pensioner, surviving eligible spouse, surviving eligible child, contingent annuitant or beneficiary, unless prior claim therefor has been made by a qualified guardian or legal representative.

(Code 1972, § 16-58)

Sec. 21-154. - Misstatements of fact resulting in incorrect payment.#

If the age, date of birth, or other fact pertaining to a participant, surviving eligible spouse, surviving eligible child, or contingent annuitant shall be found to have been misstated, the true fact shall be used and any benefits affected by such misstatement shall be adjusted based on such true fact. The extent of any overpayment resulting from such misstatement shall be deducted from subsequent payments in the manner determined by the trustees, and any underpayment resulting therefrom shall be adjusted retroactively.

(Code 1972, § 16-58)

Sec. 21-155. - Insurance.#

Each person who has met the eligibility requirements for participation in the retirement plan fund, and who has elected to participate in such retirement plan fund shall be insured under a group insurance contract, which contract shall provide one year term life insurance (including a premium waiver disability benefit) in the amount of $8,000.00 and accidental death and dismemberment insurance providing for payment of $8,000.00 in event of accidental death or accidental loss of two members, or loss of sight of two eyes, or $2,500.00 in event of accidental loss of one member or one eye, whether such losses result from occupational or nonoccupational causes. Such insurance shall be maintained on the life of each participating member of the department until the earlier date of his voluntary termination (except by reason of total permanent disability) or attainment of his normal retirement date under the police department retirement fund of the town. The town shall pay the premiums required to be paid for such insurance, or shall turn over such amount to the police department for payment.

(Code 1972, § 16-59; Ord. No. 1998-08, 4-22-98)

Sec. 21-156. - Military time.#

Military time can be purchased at any time prior to an officer's retirement. The cost will be 100 percent of the amount computed by actuaries based upon actuarial assumptions, including future pay increases, included in the most recent actuarial report. The maximum military time allowable for purchase is 48 months. Military time must be active duty. An honorable discharge must have been obtained. Purchased military time does not effect an officer's hire date or normal retirement date. A minimum of ten years must be actually served with the Bristol R.I. Police Department as a police officer to obtain a pension, exclusive and in addition to, any buy-backs of military time.

(Ord. No. 1995-11, 9-15-95)