Inside City Government

POLICE OFFICERS’ PENSION PLAN SUMMARY
Courtesy of the City Auditor and Clerk

Each police officer employed by the City of Sarasota as a full time active police officer is a member of the Police Officers’ Pension Plan.

Members are required to contribute 8% of earnings. Contributions are deducted from each paycheck and credited to the members’ account. All employee contributions are pre-tax and deducted from the employee’s gross pay. The City of Sarasota contributes an amount determined by the actuary, but not less than 8% of payroll. The fund also receives a contribution from the State of Florida, Department of Insurance.

As of January 1, 2008, the investment portfolio totaled $157 million. The investment policy sets the asset allocation at 45% in U.S. large capitalization stocks, 10% in U.S. small/mid capitalization stocks, 10% in foreign stocks, 10% in real estate and 25% in bonds. The Funds are managed by:

ELIGIBILITY FOR RETIREMENT
A police officer is eligible for normal retirement after 25 years of credited service, regardless of age, or at age 50 with 10 years of credited service.

The amount of normal retirement pension is based on a police officer’s credited service and average compensation. It is calculated as average compensation multiplied by 3%, multiplied by the employee’s years of credited service.

Average compensation is the highest 3 years of the last 10 years of service before retirement. A year is defined as 12 consecutive months. Earnings are the total compensation paid to a police officer, excluding clothing, car and other allowances. Any lump sum payments paid at the time of retirement are also excluded.

DISABILITY RETIREMENT
Police Officers are considered disabled when they become totally and permanently disabled to perform useful and efficient service as a Police Officer. If a police officer becomes disabled in the line of duty, a pension equal to 75% of his or her average salary is paid to the police officer for life.

If an officer becomes disabled, but not in the line of duty, he or she will receive a pension equal to average salary times 2.5% multiplied by credited service. In addition, a payment equal to 5% of his or her last monthly salary will be paid to any minor children.

SURVIVOR BENEFITS
Death After Retirement
Upon the death of a retired police officer, 2/3 of the pension will be paid to the member’s spouse and a monthly payment equal to 5% of the member’s last monthly salary will be paid to each dependent child. If there is no surviving spouse, then that benefit will be divided equally among any dependent children and the 5% benefit will stop.

Death Before Retirement
If a police officer loses his or her life in the line of duty, the surviving spouse will be entitled to the same monthly pension as if the member had taken a normal retirement and then died.
If a police officer dies from causes not related to the duties of a police officer, the surviving spouse will be entitled to the same monthly pension as if the deceased member had taken a Not Line of Duty Disability Retirement, or Normal Retirement, if eligible, and then died.

TERMINATION BENEFITS
For termination under any condition, participants have the option to withdraw their accumulated employee contributions with interest. In doing so, they forfeIT any further benefits from the Fund.

If participants have 10 or more years of service at termination, a deferred benefIT is available.

COST OF LIVING BENEFITS
Pension benefits are adjusted each February by 3.2%.

ADMINISTRATION OF THE FUND
The Pension Fund is administered by a Board of Trustees that acts as the named fiduciary and administrator of the Fund as defined by Florida law. The exclusive administration of and responsibility for the proper operation of the retirement system are vested in the Board of Trustees.

The Board consists of 5 Trustees, 2 of whom are appointed by the City Commission, 2 of whom are police officers who are elected by the Plan members, and 1 that is selected by the other 4 members.

The address of the Board of Trustees (Administrator) is:
City of Sarasota Police Officers’ Pension Plan
1565 First Street, Room 110
Sarasota, Florida 34236

The Chairman of the Board of Trustees is designated for the service of legal process and can be served at the address listed above.

BOARD OF TRUSTEES
The employee Trustees are elected by a majority of the Members of the Plan who vote in an election. They serve for a 2 year period and may succeed themselves in office.

The Trustees of the Board are listed below with their type of position on the Board:
Member Elected: Jeffrey Karr,
Nadine Garber

Commission Appointed: Billy Robinson, Secretary/Treasurer
Jody Hudgins, Chairman