Accrued benefit means the amount of pension which a participant has earned up to any given date, computed pursuant to subsection 102-142(a), based upon compensation received and credited service rendered by such participant up to the date the accrued benefit is computed. The accrued benefit is payable at normal retirement date on a single life basis.

Actuarial accrued liability means the present value of benefits earned to date by all participants.

Actuarial equivalent or actuarially equivalent means equality in value of the aggregate amounts expected to be received under different manners of payment based on interest rate, mortality and cost-of-living assumptions defined as follows, effective January 1, 2021, unless otherwise specifically provided in the plan:

Actuarial value of assets means the fair value of assets after smoothing of investment gains and losses by the actuary.

Actuary means an actuary or actuarial firm selected by the board, which actuary shall be both an enrolled actuary and a member of the Society of Actuaries or the American Academy of Actuaries or which actuarial firm shall employ at least one such actuary.

Annual required contribution, or actuarially determined contribution means the total contribution that is equal to the normal cost for the current plan year plus an amortized portion of any unfunded actuarial accrued liability, expressed as a percentage of annual payroll.

Beneficiary means the person who becomes entitled to receive payments after the death of a participant.

Board means the board of trustees created pursuant to section 102-145 which is appointed to administer the plan in accordance with section 102-145, and to serve as trustee of the plan assets in accordance with section 102-148.

City means the City of Aurora, Colorado and, in the case of the general employees' retirement plan administrative staff, the general employees' retirement plan.

City council means the city council of the City of Aurora, Colorado.

Code means the Internal Revenue Code of 1986.

Compensation means the total base pay, including acting pay, paid to an employee of the city for personal services which are rendered to the City in accordance with the rules and practices determining regular remuneration, including longevity pay and compensation under sections 414(h) and 457 of the United States Internal Revenue Code, and an elective pre-tax employee contribution to the City's cafeteria plan under code section 125, but excluding overtime pay, single-sum payments received in lieu of accrued vacation and sick leave upon termination of employment or during the course of employment, and similar nonregular remuneration. There shall be included within any calculation to determine compensation the longevity credit, if any, to which an electing participant is entitled. Effective January 1, 1989, compensation for any plan year will be limited to the first $200,000.00 of compensation or such other amount determined in accordance with code section 415(d). Effective January 1, 1996, compensation for any plan year will be limited to the first $150,000.00 of compensation or such other amount determined in accordance with code section 401(A)(17). Compensation shall exclude pay received while not participating in this plan and employed in a council appointee or executive personnel position. Compensation shall also exclude pay received during a period for which credited service under this plan is canceled because of transfer of a participant's contribution accumulation to the trust for the executive personnel money purchase plan. For purposes of calculating benefits on or after January 1, 2002, the code section 401(a)(17) limit is increased to $200,000.00, as adjusted.

Contribution accumulation means a participant's aggregate employee contributions, plus interest accrued at the rate of three percent per annum to January 1, 1969; four and one-half percent per annum from January 1, 1969, through July 4, 1975; five percent per annum from July 5, 1975, through February 20, 1981; and at least six percent per annum compounded annually from February 20, 1981 through March 27, 2009. The rate to be credited subsequent to March 27, 2009, shall be established by the board at a rate of at least three percent per annum compounded annually. Interest shall be credited on all employee contributions until the later of pension commencement or the date that the refund request is made to the trust's custodian.

Credited service means the period of a participant's employment with the city used in determining, pursuant to section 102-139, eligibility for and the amount of benefits payable to the participant.

Custodian means an entity appointed by the board to hold plan assets.

Date of termination means the last date of employment with the City.

Deferred vested participant means a former participant whose employment has terminated and who is entitled to receive a deferred vested pension.

Deferred vested pension means the pension payable pursuant to subsection 102-141(d) to a deferred vested participant.

Delayed retirement date means the retirement date of a participant whose employment with the city continues beyond the normal retirement date.

Disability means a physical or mental condition for which a participant receives long-term disability insurance benefits from the City.

Disability retirement pension means the pension payable pursuant to subsection 102-141(f) to a participant whose employment with the city terminates because of disability.

Earliest retirement age means the earliest age at which, under the plan, the participant could elect to receive an immediate pension upon retirement.

Early retirement date means the retirement date of a participant whose employment with the city terminates on or after meeting the eligibility requirements for an early retirement pension pursuant to subsection 102-141(b) or a special early retirement pension pursuant to subsection 102-141(c) and prior to the normal retirement date.

Early retirement pension means the pension payable pursuant to subsection 102-141(b).

Effective date means March 1, 1967, for the initial plan; sometimes referred to as the "original effective date."

Electing participant means a participant who has received longevity pay from the city and who, in addition to all other contributions required by this article, has, for each year of employment with the city after the fifth year of employment, and before January 1, 2012, made additional contributions to the plan equal to five and one-half percent of the participant's longevity credit. The city shall match such additional contribution of an electing participant.

Employee means any person in the employ of the city for compensation, including nonelective officers of the city and employees appointed by the city council, but excluding police officers, paid firefighters, temporary employees and any elected officer or member of any commission or board appointed by the city council or any officer of the city unless the officer or member is also an employee of the city as defined in this section. Effective September 1, 1992, the term "employee" also means each full-time employee performing work for the city, funded by a minimum one-year grant which provides for retirement benefits. Effective June 30, 2003, the term "employee" shall include the administrative staff of the general employees' retirement plan.

Employment commencement date means the date on which an employee first performs an hour of service.

Executive personnel means any of the following persons: city manager, assistant city manager(s), deputy city manager(s) and department directors. "Department directors" are defined as directors who report to the city manager.

Fair value of assets means the value of plan net assets based on market prices or reasonable estimates.

Final average monthly compensation means an employee's compensation from the city during the 36 highest paid consecutive calendar months of the last 10 years of credited service, divided by 36. If an employee hired before January 1, 2021, was employed for fewer than 36 consecutive calendar months, such final average monthly compensation shall be based on the employee's compensation for all full months of credited service with the city. If an employee hired on or after January 1, 2021, is employed for fewer than 36 consecutive calendar months, such final average monthly compensation shall be the employee's compensation for all credited service with the city, divided by 36.

Funded ratio means the actuarial value of assets divided by the actuarial accrued liability.

Hour of service means an hour for which an employee is paid or entitled to payment for performance of duties for the City.

Investment manager means an investment advisor who renders investment advice to the board and is:

Leave of absence means an absence authorized by the city under its standard personnel practices provided that all persons under similar circumstances be treated alike in the granting of such leaves of absence. A leave of absence shall be either a:

Longevity credit means, for a participant who was an electing participant, an amount for each full year as an electing participant equal to the [single annual maximum longevity pay which was paid to the electing participant, for whom the calculation is being made, during such electing participant's employ with the City], minus [longevity pay received by the participant for the year which the calculation is made], but not less than zero. For a participant who was not an electing participant but who received longevity pay on or after January 1, 2012, longevity credit means an amount for each full year as a participant equal to $780.00 minus the longevity pay received by the participant in the year for which the calculation is made. Longevity credit shall be prorated for the year of the participant's termination of employment (based on the number of full months ended before the termination of employment date).

Money purchase pension means the pension payable pursuant to subsection 102-141(e).

Normal or delayed retirement pension means the pension payable pursuant to subsection 102-141(a).

Normal retirement date means the 65th birthday for tier 1 participants and the 67th birthday for tier 2 participants.

Participant means an employee who is eligible to participate in the plan in accordance with section 102-138 and who has made all required contributions to the plan, including terminated and retired participants whose interests in the trust have not been fully distributed.

Pension means a series of monthly payments, not a lump sum, to a person who is entitled to receive benefits under the plan.

Plan means the city general employees' retirement plan set forth in this article, as amended from time to time.

Plan year means the fiscal year of the plan commencing on January 1 and ending on December 31.

Prior plan means the city non-uniform employees' retirement plan.

Qualified joint and survivor annuity means an annuity for the life of the participant with a survivor annuity for the life of the surviving spouse that is equal to 50 percent of the amount of the annuity payable during the joint lives of the participant and surviving spouse. A qualified joint and survivor annuity shall be the actuarial equivalent of the benefit payable under the terms of the plan.

Reemployment commencement date means the first day on which a rehired employee performs an hour of service after termination of employment.

Retirement means termination of employment and subsequent commencement of benefits after a participant has fulfilled all requirements for a pension pursuant to section 102-141.

Special early retirement pension means the pension payable pursuant to subsection 102-141(c).

Spouse means:

Supplemental benefit means the benefit paid in addition to a pension, as calculated and defined in this chapter, pursuant to subsection 102-142(j).

Surviving spouse means the spouse to whom a participant is married on the earlier of the date payment of a participant's pension commences and the date of the participant's death.

Termination of employment means actual severance of connection with the city through resignation, dismissal or abandonment.

Tier 1. Participants in the plan prior to January 1, 2012, or any employee hired after December 31, 2011, who meets the eligibility requirements under subsection 102-138(a).

Tier 2. Participants hired or rehired after December 31, 2011, who do not qualify as tier 1 participants.

Trust means the trust set forth in and created by section 102-148 to carry out the purpose of the plan.

Trust fund means the assets of the plan held in trust by the board pursuant to this article.

Vested city contributions means the amount of accumulated city contributions and interest calculated pursuant to subsection 102-140(f) that is payable to a participant who receives a refund of the contribution accumulations. (Code 1979, § 15-43; Ord. No. 2022-25, § 1, 5-23-2022; Ord. No. 2020-35, § 1, 10-5-2020; Ord. No. 2019-72, § 1, 11-4-2019; Ord. No. 2018-04, § 1, 3-5-2018; Ord. No. 2017-41, § 1, 10-16-2017; Ord. No. 2015-07, § 1, 2-23-2015; Ord. No. 2014-17, §§ 1, 2, 6-2-2014; Ord. No. 2013-37, § 1, 10-28-2013; Ord. No. 2011-29, § 1, 9-12-2011; Ord. No. 2009-41, § 1, 9-28-2009; Ord. No. 2009-11, § 1, 3-23-2009; Ord. No. 2005-95, § 1, 1-9-2006; Ord. No. 2003-63, § 1, 9-29-2003; Ord. No. 2002-84, § 1, 1-6-2003; Ord. No. 2001-69, § 1, 11-19-2001; Ord. No. 97-77, § 2, 1-5-1998; Ord. No. 96-44, § 1, 10-7-1996; Ord. No. 96-38, § 1, 10-7-1996)