As Passed by the House 1
123rd General Assembly 4
Regular Session Sub. H. B. No. 275 5
1999-2000 6
REPRESENTATIVES VESPER-SULZER-WINKLER-BOYD-MAIER-JERSE- 8
HARTNETT-METELSKY-WILLAMOWSKI-BARRETT-O'BRIEN-CLANCY- 10
D. MILLER-PATTON-PADGETT-BEATTY-SCHULER-DePIERO-YOUNG-
KRUPINSKI-HOUSEHOLDER-CALLENDER-BENDER-PRINGLE-TERWILLEGER- 11
OGG-SCHURING-FLANNERY-JOLIVETTE-ROMAN-ALLEN-FERDERBER- 12
SULLIVAN-EVANS-OPFER-VERICH-FORD-TAYLOR-BRADING-BARNES-SMITH- 14
VAN VYVEN-GRENDELL-ASLANIDES-OLMAN-PERRY-METZGER-GARDNER-
SUTTON-HAINES-HARRIS-JORDAN-MOTTLEY-DISTEL-PETERSON- 15
DAMSCHRODER-CORBIN-MYERS-WILSON-CAREY-J. BEATTY-BUCHY- 16
NETZLEY-HOLLISTER-A. CORE-LOGAN-CALVERT-REDFERN-HOOPS- 17
GOODMAN-TRAKAS-GERBERRY-WOMER BENJAMIN-JACOBSON-HEALY- 18
AUSTRIA-SALERNO-BRITTON-GOODING 19
_________________________________________________________________ 20
A B I L L
To amend sections 742.37, 742.3711, 742.3715, 22
742.3717, and 742.3718 of the Revised Code to 25
increase benefits paid to certain surviving
spouses of members of the Ohio Police and Fire 27
Pension Fund (OPFPF) and to eliminate the 28
eligibility limits for cost-of-living allowances 29
that apply to certain OPFPF members. 30
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO: 32
Section 1. That sections 742.37, 742.3711, 742.3715, 34
742.3717, and 742.3718 of the Revised Code be amended to read as 37
follows:
Sec. 742.37. The board of trustees of the Ohio police and 46
fire pension fund shall adopt rules for the management of the 49
fund and for the disbursement of benefits and pensions as set 50
forth in this section and section 742.39 of the Revised Code. 51
2
Any payment of a benefit or pension under this section is subject 53
to the provisions of section 742.461 of the Revised Code. 54
Notwithstanding any other provision of this section, no pension 55
or benefit paid or determined under division (B) or (C) of this 56
section or section 742.39 of the Revised Code shall exceed the 58
limit established by section 415 of the "Internal Revenue Code of 59
1986," 100 Stat. 2085, 26 U.S.C.A. 415, as amended.
(A) Persons who were receiving benefit or pension payments 61
from a police relief and pension fund established under former 62
section 741.32 of the Revised Code, or from a firemen's relief 63
and pension fund established under former section 521.02 or 65
741.02 of the Revised Code, at the time the assets of the fund 67
were transferred to the Ohio police and fire pension fund, known 68
at that time as the police and firemen's disability and pension 70
fund, shall receive benefit and pension payments from the Ohio 71
police and fire pension fund in the same amount and subject to 74
the same conditions as such payments were being made from the 76
former fund on the date of the transfer. 77
(B) A member of the fund who, pursuant to law, elected to 79
receive benefits and pensions from a police relief and pension 80
fund established under former section 741.32 of the Revised Code, 82
or from a firemen's relief and pension fund established under 84
former section 741.02 of the Revised Code, in accordance with the 85
rules of the fund governing the granting of benefits or pensions 87
therefrom in force on April 1, 1947, shall receive benefits and 88
pensions from the Ohio police and fire pension fund in accordance 90
with such rules; provided, that any member of the fund who is not 91
receiving a benefit or pension from the fund on August 12, 1975, 92
may, upon application for a benefit or pension to be received on 93
or after August 12, 1975, elect to receive a benefit or pension 94
in accordance with division (C) of this section. 95
(C) Members of the fund who have not elected to receive 97
benefits and pensions from a police relief and pension fund or a 98
firemen's relief and pension fund in accordance with the rules of 100
3
the fund in force on April 1, 1947, shall receive pensions and 102
benefits in accordance with the following provisions:
(1) A member of the fund who has completed twenty-five 104
years of active service in a police or fire department and has 105
attained forty-eight years of age may, at the member's election, 107
retire from the police or fire department, and upon notifying the 108
board in writing of the election, shall receive an annual 109
pension, payable in twelve monthly installments, in an amount 111
equal to a percentage of the member's average annual salary. The 112
percentage shall be the sum of two and one-half per cent for each 114
of the first twenty years the member was in the active service of 115
the department, plus two per cent for each of the twenty-first to 117
twenty-fifth years the member was in the active service of the 118
department, plus one and one-half per cent for each year in 120
excess of twenty-five years the member was in the active service 121
of the department. The annual pension shall not exceed 122
seventy-two per cent of the member's average annual salary. 123
A member who completed twenty-five years of active service, 126
has resigned or been discharged, and has left the sum deducted 128
from the member's salary on deposit in the pension fund shall, 129
upon attaining forty-eight years of age, be entitled to receive a 131
normal service pension benefit computed and paid under division 132
(C)(1) of this section.
(2) A member of the fund who has served fifteen or more 134
years as an active member of a police or fire department and who 135
voluntarily resigns or is discharged from the department for any 137
reason other than dishonesty, cowardice, intemperate habits, or 138
conviction of a felony, shall receive an annual pension, payable 139
in twelve monthly installments, in an amount equal to one and 140
one-half per cent of the member's average annual salary 141
multiplied by the number of full years the member was in the 143
active service of the department. The pension payments shall not 144
commence until the member has attained the age of forty-eight 146
years and until twenty-five years have elapsed from the date on 147
4
which the member became a full-time regular police officer or 149
firefighter in the department. 150
(3) A member of the fund who has completed fifteen or more 152
years of active service in a police or fire department and who 153
has attained sixty-two years of age, may retire from the 154
department and, upon notifying the board in writing of the 155
election to retire, shall receive an annual pension, payable in 156
twelve monthly installments, in an amount equal to a percentage 157
of the member's average annual salary. The percentage shall be 159
the sum of two and one-half per cent for each of the first twenty
years the member was in the active service of the department, 161
plus two per cent for each of the twenty-first to twenty-fifth 163
years the member was in the active service of the department, 165
plus one and one-half per cent for each year in excess of 167
twenty-five years the member was in the active service of the 169
department. The annual pension shall not exceed seventy-two per 171
cent of the member's average annual salary. 172
(4) With the exception of those persons who may make 174
application for benefits as provided in section 742.26 of the 176
Revised Code, no person receiving a pension or other benefit 177
under division (C) of this section on or after July 24, 1986, 178
shall be entitled to apply for any new, changed, or different 179
benefit.
If a member covered by division (C) of this section or 181
section 742.38 of the Revised Code dies prior to the time the 183
member has received a payment and leaves a surviving spouse or 185
dependent child, the surviving spouse or dependent child shall 186
receive a pension under division (D) or (E) of this section. 187
(D)(1) Except as provided in division (D)(2) of this 190
section, a surviving spouse of a deceased member of the fund
shall receive a monthly pension as follows: 192
(a) For the period beginning July 1, 1999, and ending June 196
30, 2000, five hundred fifty dollars; 197
(b) For the period beginning July 1, 2000, and the first 200
5
day of July of each year thereafter and continuing for the 202
following twelve months, an amount equal to the monthly amount 203
paid during the prior twelve-month period plus an amount 204
determined by multiplying five hundred fifty dollars by the 206
average percentage change in the consumer price index, not 207
exceeding three per cent, as determined each year by the board 208
under section 742.3716 of the Revised Code. 210
(2) A surviving spouse of a deceased member of the fund 212
shall receive a monthly pension of four hundred ten dollars if 214
one of the following is the case: 215
(a) At the time of death, the deceased member had been 218
awarded a pension under this chapter based on age and service; 219
(b) The THE surviving spouse is eligible for a benefit 222
under section 742.3714 or division (B) or (D) of section 742.63 223
of the Revised Code. If the surviving spouse ceases to be 224
eligible for a benefit under division (B) or (D) of section 225
742.63 of the Revised Code, the pension shall be increased, 228
effective the first day of the first month following the day on 229
which the surviving spouse ceases to be eligible for the benefit,
to the amount it would be under division (D)(1) of this section 230
had the spouse never been eligible for a benefit under division 232
(B) or (D) of section 742.63 of the Revised Code. 235
(3) A pension paid under this division shall continue 238
during the natural life of the surviving spouse. Benefits to a 240
deceased member's surviving spouse that were terminated under a 242
former version of this section that required termination due to 243
remarriage and were not resumed prior to September 16, 1998, 245
shall resume on the first day of the month immediately following 246
receipt by the board of an application on a form provided by the 247
board.
(E) Each surviving child of a deceased member of the fund 250
shall receive a monthly pension of one hundred fifty dollars 252
until the child attains the age of eighteen years, or marries, 254
whichever event occurs first. A pension under this division, 256
6
however, shall continue to be payable to a child under age 257
twenty-two who is a student in and attending an institution of 258
learning or training pursuant to a program designed to complete 259
in each school year the equivalent of at least two-thirds of the 260
full-time curriculum requirements of the institution, as 261
determined by the board. If any surviving child, regardless of 264
age at the time of the member's death, because of physical or 265
mental disability, is totally dependent upon the deceased member 267
for support at the time of death, the child shall receive a 268
monthly pension under this division during the child's natural 271
life or until the child has recovered from the disability. 272
(F) If a deceased member of the fund leaves no surviving 274
spouse or surviving children, but leaves two parents dependent 275
upon the deceased member for support, each parent shall be paid a 277
monthly pension of one hundred dollars. If there is only one 278
parent dependent upon the member for support, the parent shall be 280
paid a monthly pension of two hundred dollars. The pensions 282
provided for in this division shall be paid during the natural
life of the surviving parents, or until dependency ceases, or 283
until remarriage, whichever event occurs first. 284
(G) Subject to the provisions of section 742.461 of the 286
Revised Code, a member of the fund who voluntarily resigns or is 288
removed from active service in a police or fire department is 289
entitled to receive an amount equal to the sums deducted from the 290
member's salary and credited to the member's account in the fund, 291
except that a member receiving a disability benefit or service 292
pension is not entitled to receive any return of contributions to 293
the fund.
(H) On and after January 1, 1970, all pensions shall be 295
increased in accordance with the following provisions: 296
(1) A member of the fund who retired prior to January 1, 298
1967, has attained age sixty-five on January 1, 1970, and was 299
receiving a pension on December 31, 1969, pursuant to division 300
(B) or (C)(1) of this section or former division (C)(2), (3), 302
7
(4), or (5) of this section, shall have the pension increased by 303
ten per cent.
(2) The monthly pension payable to eligible surviving 305
spouses under division (D) of this section shall be increased by 306
forty dollars for each surviving spouse receiving a pension on 307
December 31, 1969. 308
(3) The monthly pension payable to each eligible child 310
under division (E) of this section shall be increased by ten 311
dollars for each child receiving a pension on December 31, 1969. 312
(4) The monthly pension payable to each eligible dependent 314
parent under division (F) of this section shall be increased by 315
thirty dollars for each parent receiving a pension on December 316
31, 1969. 317
(5) A member of the fund, including a survivor of a 319
member, who is receiving a pension in accordance with the rules 320
governing the granting of pensions and benefits in force on April 321
1, 1947, that provide an increase in the original pension from 323
time to time pursuant to changes in the salaries of active 324
members, shall not be eligible for the benefits provided in this 325
division. 326
(I) On and after January 1, 1977, a member of the fund who 328
was receiving a pension or benefit on December 31, 1973, under 329
division (A), (B), (C)(1), or former division (C)(2) or (7) of 331
this section shall have the pension or benefit increased as 332
follows:
(1) If the member's annual pension or benefit is less than 334
two thousand seven hundred dollars, it shall be increased to 336
three thousand dollars. 337
(2) If the member's annual pension or benefit is two 339
thousand seven hundred dollars or more, it shall be increased by 341
three hundred dollars. 342
The following shall not be eligible to receive increased 344
pensions or benefits as provided in this division: 345
(a) A member of the fund who is receiving a pension or 347
8
benefit in accordance with the rules in force on April 1, 1947, 348
governing the granting of pensions and benefits, which provide an 349
increase in the original pension or benefit from time to time 350
pursuant to changes in the salaries of active members; 351
(b) A member of the fund who is receiving a pension or 353
benefit under division (A) or (B) of this section, based on 354
funded volunteer or funded part-time service, or off-duty 355
disability, or partial on-duty disability, or early vested 356
service; 357
(c) A member of the fund who is receiving a pension under 359
division (C)(1) of this section, based on funded volunteer or 360
funded part-time service. 361
(J) On and after July 1, 1977, a member of the fund who 363
was receiving an annual pension or benefit on December 31, 1973, 364
pursuant to division (B) of this section, based upon partial 365
disability, off-duty disability, or early vested service, or 366
pursuant to former division (C)(3), (5), or (6) of this section, 367
shall have such annual pension or benefit increased by three 368
hundred dollars. 369
The following are not eligible to receive the increase 371
provided by this division: 372
(1) A member of the fund who is receiving a pension or 374
benefit in accordance with the rules in force on April 1, 1947, 375
governing the granting of pensions and benefits, which provide an 376
increase in the original pension or benefit from time to time 377
pursuant to changes in the salaries of active members; 378
(2) A member of the fund who is receiving a pension or 380
benefit under division (B) or (C)(2) of this section or former 382
division (C)(3), (5), or (6) of this section based on volunteer 383
or part-time service.
(K)(1) Except as otherwise provided in this division, 385
every person who on July 24, 1986, is receiving an age and 386
service or disability pension, allowance, or benefit pursuant to 387
this chapter in an amount less than thirteen thousand dollars a 388
9
year that is based upon an award made effective prior to February 389
28, 1984, shall receive an increase of six hundred dollars a year 390
or the amount necessary to increase the pension or benefit to 391
four thousand two hundred dollars after all adjustments required 392
by this section, whichever is greater. 393
(2) Division (K)(1) of this section does not apply to the 395
following: 396
(a) A member of the fund who is receiving a pension or 398
benefit in accordance with rules in force on April 1, 1947, that 399
govern the granting of pensions and benefits and that provide an 400
increase in the original pension or benefit from time to time 401
pursuant to changes in the salaries of active members; 402
(b) A member of the fund who is receiving a pension or 404
benefit based on funded volunteer or funded part-time service. 405
(L) On and after July 24, 1986: 407
(1) The pension of each person receiving a pension under 409
division (D) of this section on July 24, 1986, shall be increased 410
to three hundred ten dollars per month. 411
(2) The pension of each person receiving a pension under 413
division (E) of this section on July 24, 1986, shall be increased 414
to ninety-three dollars per month. 415
Sec. 742.3711. (A) On application for retirement as 424
provided in section 742.37 of the Revised Code, a member of the 425
fund may elect to receive a retirement allowance payable 426
throughout the member's life, or may elect, on the application 428
for retirement, to receive the actuarial equivalent of the 429
member's retirement allowance in a lesser amount payable for life 431
and continuing after death to a surviving designated beneficiary 432
under one of the following optional plans, provided the amount 433
payable to the beneficiary shall not exceed the amount payable to 434
the retiring member of the fund, and is certified by the actuary 435
engaged by the board of trustees of the Ohio police and fire 436
pension fund to be the actuarial equivalent of the member's 437
retirement allowance and is approved by the board. 438
10
(1) Option 1. The member's lesser retirement allowance 440
shall be paid for life to the sole beneficiary designated at the 442
time of the member's retirement. 443
(2) Option 2. One-half or some other portion of the 445
member's lesser retirement allowance shall be paid for life to 447
the sole beneficiary designated at the time of the member's 449
retirement. 450
(3) Option 3. Upon the member's death before the 452
expiration of a certain period from the retirement date and 454
elected by the member and approved by the retirement board, the 456
member's lesser retirement allowance shall be continued for the 457
remainder of that period to the beneficiary the member has 459
nominated by written designation and filed with the retirement 461
board.
Should the nominated beneficiary designated in writing 463
become deceased prior to the expiration of the guarantee period, 464
then for the purpose of completing payment for the remainder of 465
the guarantee period, the present value of such payments shall be 466
paid to the estate of the beneficiary last receiving. 467
(B)(1) On or after February 28, 1980, the death of a 469
spouse nominated as beneficiary or the death of any other 470
nominated beneficiary following retirement shall cancel any 471
optional plan of payment to provide continuing lifetime benefits 472
to such nominated beneficiary and return the member of the fund 473
to the member's single lifetime benefit equivalent, as determined 475
by the board, to be effective the month following receipt by the 476
board of notice of the death. 477
(2) On divorce, annulment, or marriage dissolution, a 479
member receiving a retirement allowance under a plan that 480
provides for continuation of all or part of the allowance after 481
death for the lifetime of the member's surviving spouse may, with 483
the written consent of the spouse or pursuant to an order of the 484
court with jurisdiction over the termination of the marriage, 485
elect to cancel the plan and receive the member's single lifetime 487
11
benefit equivalent as determined by the board. The election 488
shall be made on a form provided by the board and shall be 489
effective the month following its receipt by the board. 490
(C) Following marriage or remarriage, a member of the fund 492
may elect not later than one year after the date of marriage or 493
remarriage a new optional plan of payment based on the actuarial 494
equivalent of the member's single lifetime benefit as determined 496
by the board. The plan and the member's lesser retirement 497
allowance shall become effective on the date the election is made 498
on a form approved by the board. 499
(D)(1) Unless one of the following occurs, an application 501
for retirement by a married person shall be considered an 502
election of a benefit under option 2 as provided for in division 503
(A)(2) of this section under which one-half of the lesser 504
retirement allowance payable during the life of the retirant will 505
be paid after death to the retirant's spouse for life as sole 507
beneficiary:
(a) The retirant selects an optional plan under division 509
(A) of this section providing for payment after death to the 511
retirant's spouse for life as sole beneficiary of more than 512
one-half of the lesser retirement allowance payable during the 513
life of the retirant; 514
(b) The retirant submits to the retirement board a written 516
statement signed by the spouse attesting that the spouse consents 517
to the retirant's election to receive a single lifetime 519
retirement allowance or a payment under an optional benefit plan 520
under which after the death of the retirant the surviving spouse 521
will receive less than one-half of the lesser retirement 522
allowance payable during the life of the retirant. 523
(2) An application for retirement shall include an 526
explanation of all of the following: 527
(a) That, if the member is married, unless the spouse 530
consents to another plan of payment, the member's retirement 531
allowance will be paid under "option 2" and consist of the 532
12
actuarial equivalent of the member's retirement allowance in a 533
lesser amount payable for life and one-half of the lesser 534
allowance continuing after death to the surviving spouse for the
life of the spouse; 535
(b) A description of the alternative plans of payment 538
available with the consent of the spouse;
(c) That the spouse may consent to another plan of payment 541
and the procedure for giving consent;
(d) That consent is irrevocable once notice of consent is 543
filed with the board. 544
Consent shall be valid only if it is signed, in writing, 547
and witnessed by an employee of the board or a notary public. 548
(3) If the retirant does not select an optional plan as 550
described in division (D)(1)(a) of this section and the board 551
does not receive the written statement provided for in division 552
(D)(1)(b) of this section, it shall determine and pay the 554
retirement allowance in accordance with division (A)(2) of this 555
section, except that the board may provide by rule for waiver by 556
the board of the statement and payment of the allowance other 557
than in accordance with division (A)(2) of this section if the 558
retirant is unable to obtain the statement due to absence or 559
incapacity of the spouse or other cause specified by the board. 560
(E) A member of the fund who has elected an optional plan 562
under this section or section 742.3715 of the Revised Code may, 563
with the consent of the designated beneficiary, cancel the 564
optional plan and receive the retirement allowance payable 565
throughout life the member would have received had the member not 567
elected the optional plan, if the member makes a request to 568
cancel the optional plan not later than one year after the later 570
of September 9, 1988, or the date on which the member first 571
receives a payment under this section or section 742.3715 of the 572
Revised Code. Cancellation of the optional plan shall be 573
effective the month after acceptance of the request by the 574
trustees of the fund. No payment or adjustment shall be made in 575
13
the retirement allowance payable throughout the member's life to 576
compensate for the lesser allowance the member received under the 577
optional plan.
The request to cancel the optional plan shall be made on a 579
form provided by the fund and shall be valid only if the 580
completed form includes a signed statement of the designated 581
beneficiary's understanding of and consent to the cancellation. 582
The signature shall be verified by the trustees of the fund prior 583
to their acceptance of the cancellation. 584
(F) Any option elected and payments made under this 586
section shall be in addition to any benefit payable under 587
divisions (D), (E), and (F) of section 742.37 of the Revised 588
Code. 589
(G)(1) Except as otherwise provided in this division, a A 591
person is eligible to receive an additional A benefit INCREASE 593
under this division if the person is receiving a retirement 594
allowance or benefit under an optional plan elected under this 596
section or section 742.3715 of the Revised Code based on an award 597
made prior to July 24, 1986, and it is the case that, had the 598
member who elected the optional plan elected instead to receive a 599
retirement allowance payable throughout the member's life, the 600
amount of that retirement allowance would be less than the amount 602
specified in division (G)(2) of this section. A person is not 603
eligible to receive an additional benefit INCREASE under this 604
section DIVISION if the person is receiving a pension or benefit 607
in accordance with rules in force on April 1, 1947, that govern 608
the granting of pensions and benefits and that provide an 609
increase in the original pension or benefit from time to time 610
pursuant to changes in the salaries of active members.
(2) In 1988, the amount used to determine eligibility 612
under division (G)(1) of this section shall be eighteen thousand 613
dollars. Each year thereafter, the amount shall be the prior 614
year's amount plus five hundred dollars. 615
(3) On or before the fifteenth day of April of each year, 617
14
the board shall determine the average percentage change in the 618
consumer price index prepared by the United States bureau of 619
labor statistics (U.S. city average for urban wage earners and 620
clerical workers: "all items 1982-84=100") for the twelve-month 622
period prior to the first day of January over the next preceding 623
twelve-calendar-month period, as reported by the bureau. On a 624
determination by the board that this change is an increase or 626
that the change plus the accumulation described in THIS division 628
(G)(3) of this section is an increase, the board shall increase 630
all benefits payable under this section or section 742.3715 of 631
the Revised Code to eligible persons by the actuarial equivalent 632
of an amount determined by multiplying twelve thousand dollars by 634
the percentage of the increase in the consumer price index, or 635
that percentage plus the accumulation, except that the percentage 636
shall not exceed three per cent and no benefit shall exceed the 637
limit established by section 415 of the "Internal Revenue Code of 638
1986," 100 Stat. 2085, 26 U.S.C.A. 415, as amended. 639
Any percentage of change in the consumer price index in any 641
year that is in excess of three per cent shall be accumulated and 642
used to determine increases under this section in succeeding 644
years. Any percentage of change in the consumer price index 645
accumulated by an eligible person prior to September 27, 1996, 647
shall be used in determining any future increases under this 648
section. The first additional benefit INCREASE is payable to all 649
eligible persons on July 1, 1988. The additional benefit 650
INCREASE is payable for the ensuing twelve-month period or until 652
the next increase is granted under this section, whichever is 653
later.
The date of the first additional benefit INCREASE payable 655
under this section shall be the anniversary date for future 657
additional benefits INCREASES. 658
Sec. 742.3715. (A) A member of the Ohio police and fire 668
pension fund who retired under section 742.37 of the Revised Code 669
before February 28, 1980, may elect to receive the actuarial 670
15
equivalent of the member's retirement allowance in a lesser 671
amount payable for the remainder of the member's life and 672
continuing after death to the member's spouse under one of the 674
optional plans described under division (A)(1) or (2) of section 675
742.3711 of the Revised Code, provided the amount payable under 676
the optional plan elected is certified by the actuary engaged by 677
the board of trustees of the Ohio police and fire pension fund to 679
be the actuarial equivalent of the member's retirement allowance 680
and is approved by the board FUND. The election shall be made as 682
follows:
(1) Not later than ninety days after September 26, 1984, 684
the member shall file with the board FUND a notice that the 686
member wishes to be eligible to make the election authorized by 687
this section. The board FUND shall advise the member with 688
respect to the choices available under the optional plans and 690
have a determination made of the monthly benefits payable under 691
the optional plan elected by the member for inclusion in the 692
statement to be filed under division (A)(2) of this section. 693
(2) Not later than one year after September 26, 1984, the 695
member shall file a statement, on a form provided by the board 696
FUND, that the member elects to receive benefits under the 698
optional benefit plan specified in the statement. 699
A request or form that is mailed to the board shall be 701
considered to have been filed on its postmark date. 702
(B) A member of the fund who retired under section 742.37 704
of the Revised Code prior to September 16, 1998, was married at 708
the time of retirement AND IS CURRENTLY MARRIED TO THE SAME
SPOUSE, and did not elect one of the optional plans under section 710
742.3711 of the Revised Code may elect to receive the actuarial 713
equivalent of the member's retirement allowance in a lesser 714
amount payable for the remainder of the member's life and
continuing after death to the member's spouse under one of the 715
optional plans described in division (A)(1) or (2) of section 717
742.3711 of the Revised Code, provided the amount payable under 720
16
the optional plan elected is certified by the actuary engaged by 721
the board FUND to be the actuarial equivalent of the member's 723
retirement allowance and is approved by the board FUND. 724
Not later than thirty days after December 21, 1998, the 726
board FUND shall provide to all members described in this 729
division written notice of the election available under this 730
division. The notice shall state that a member's failure to 731
elect an optional plan under this division will result in the 732
member's spouse, at the time of the member's death, being 733
eligible only for a benefit under division (D) of section 742.37 734
of the Revised Code. 736
The election shall be made as follows: 738
(1) Not later than one hundred twenty days after December 740
21, 1998, the member shall file with the board FUND a notice that 743
the member wishes to make the election authorized by this 744
section. The board FUND shall advise the member with respect to 746
the choices available under the optional plans and have a 747
determination made of the monthly benefits payable under the 748
optional plan elected by the member for inclusion in the 749
statement to be filed under division (B)(2) of this section. 750
(2) Not later than one year after December 21, 1998, the 753
member shall file a statement, on a form provided by the board 755
FUND, that the member elects to receive benefits under the 756
optional plan specified in the statement. A request or form that 757
is mailed to the board FUND'S PRINCIPAL PLACE OF BUSINESS shall 758
be considered to have been filed on its postmark date. Benefits 759
under the optional plan shall begin on the first day of the first 760
month following the date the statement is filed with the board 761
FUND.
(C)(1) The death of the member's spouse shall cancel any 763
plan elected pursuant to this section and return the member to 764
the member's single lifetime benefit equivalent, as determined by 766
the board FUND, to be effective the month following receipt by 767
the board FUND of notice of the death. 769
17
(2) On divorce, annulment, or marriage dissolution, a 771
member receiving a retirement allowance under a plan that 772
provides for continuation of all or part of the allowance after 773
death for the lifetime of the member's surviving spouse may, with 775
the written consent of the spouse or pursuant to an order of the 776
court with jurisdiction over the termination of the marriage, 777
elect to cancel the plan and receive the member's single lifetime 779
benefit equivalent as determined by the board FUND. The election 780
shall be made on a form provided by the board FUND and shall be 781
effective the month following its receipt by the board FUND. 782
(D) If the member remarries after cancellation under 784
division (C)(1) or (2) of this section of an optional plan, the 786
member may elect not later than one year after the date of 787
remarriage a new optional plan based on the actuarial equivalent 789
of the member's single lifetime benefit as determined by the 790
board FUND. The plan and the member's lesser retirement 792
allowance shall become effective on the date the election is made 793
on a form approved by the board FUND. 794
(E) Any option elected and payments made under this 796
section shall be in addition to any benefit payable under 797
division (D) of section 742.37 of the Revised Code. 798
Sec. 742.3717. (A)(1) Except as provided in division 808
(A)(2) of this section, as used in this section, "eligible 809
retirant PERSON" means a person who meets all BOTH of the 810
following conditions:
(a) The person is receiving an annual pension or benefit 812
under division (A), (B), or (C) of section 742.37 or division 814
(C)(2), (3), (4), or (5) of former section 742.37 of the Revised 815
Code based on an award made prior to July 24, 1986. 816
(b) The person has not elected under section 742.3711 of 818
the Revised Code to receive a retirement allowance under an 819
optional benefit plan. 820
(c) The amount of the annual pension or benefit is less 822
than the amount specified in division (B) of this section. 823
18
(2) A person is not an eligible retirant PERSON if the 825
person is receiving a pension or benefit in accordance with rules 827
in force on April 1, 1947, that govern the granting of pensions 828
and benefits and that provide an increase in the original pension 829
or benefit from time to time pursuant to changes in the salaries 830
of active members. 831
(B) In 1988, the amount used to determine eligibility 833
under division (A)(1)(c) of this section shall be eighteen 834
thousand dollars. Each year thereafter, the amount shall be the 835
prior year's amount plus five hundred dollars. 836
(C)(1) On or before the fifteenth day of April of each 838
year, the board of trustees of the Ohio police and fire pension 840
fund shall determine the average percentage change in the
consumer price index prepared by the United States bureau of 841
labor statistics (U.S. city average for urban wage earners and 842
clerical workers: "all items 1982-84=100") for the twelve-month 844
period prior to the first day of January over the next preceding 845
twelve-calendar-month period, as reported by the bureau. Upon a 846
determination by the board that this change is an increase or 849
that the change plus the accumulation described in division 850
(C)(B)(2) of this section is an increase, the board shall 852
increase all benefits payable to eligible persons by an amount 854
determined by multiplying twelve thousand dollars by the
percentage of the increase in the consumer price index, or that 855
percentage plus the accumulation, except that the percentage 856
shall not exceed three per cent and no benefit shall exceed the 857
limit established by section 415 of the "Internal Revenue Code of 858
1986," 100 Stat. 2085, 26 U.S.C.A. 415, as amended. 859
(2) Any percentage of change in the consumer price index 861
in any year that is in excess of three per cent shall be 862
accumulated and used to determine increases under this section in 864
succeeding years. Any percentage of change in the consumer 865
price index accumulated by an eligible person prior to September 867
27, 1996, shall be used in determining any future increases under 868
19
this section. The first additional benefit INCREASE is payable 869
to all eligible retirants PERSONS on July 1, 1988. The 870
additional benefit INCREASE is payable for the ensuing 872
twelve-month period or until the next increase is granted under 873
this section, whichever is later.
The date of the first additional benefit INCREASE payable 875
under this section shall be the anniversary date for future 877
additional benefits INCREASES. 878
Sec. 742.3718. (A) Except as otherwise provided in this 887
division, each person who on September 9, 1988, is receiving a 889
pension or benefit of less than five thousand dollars annually 891
under division (A) or (B) of section 742.37 of the Revised Code 892
on the basis of disability or service of twenty-five years or 893
more, under division (C)(1) of that section, or under division 894
(C)(2) or (5) of former section 742.37 of the Revised Code shall 895
have the pension or benefit increased to five thousand dollars a 897
year, effective July 1, 1988. This division does not apply to 898
any person receiving a pension or benefit based on funded 899
volunteer or funded part-time service.
(B) On and after July 1, 1988: 901
(1) The pension of each person receiving a pension or 903
benefit under division (D) of section 742.37 of the Revised Code 904
shall be increased to four hundred ten dollars a month. 905
(2) The pension of each person receiving a pension or 907
benefit under division (E) of section 742.37 of the Revised Code 908
shall be increased to one hundred eighteen dollars a month. 909
(C) Notwithstanding any average annual salary limitation 912
in section 742.37 of the Revised Code, each person who on July 1, 915
1999, is receiving an annual pension or benefit described in 916
division (A), (B), or (C)(1) or (3) of that section of less than 919
six thousand six hundred dollars shall have the pension increased 920
to that amount, effective July 1, 1999. The increase granted 922
under this division shall be included in a person's base for the 924
purpose of determining future increases under section 742.3716 of 925
20
the Revised Code. 926
(D)(1) This division applies to the following persons who 928
are receiving a pension under division (D) of section 742.37 of 930
the Revised Code: 932
(a) On July 1, 1999, the person is the surviving spouse of 936
a deceased member of the fund and is not receiving a benefit 937
under division (B) or (D) of section 742.63 of the Revised Code. 938
(b) No later than one year after July 1, 1999, the person 941
is the surviving spouse of a deceased member of the fund who was 943
retired under section 742.37 of the Revised Code with an 944
effective date of retirement before September 16, 1998. 945
(2) The EXCEPT AS PROVIDED IN DIVISION (D)(2) OF THIS 947
SECTION, THE monthly pension of each person WHO IS THE SURVIVING 948
SPOUSE OF A DECEASED MEMBER OF THE FUND AND ON THE EFFECTIVE DATE 949
OF THIS AMENDMENT IS RECEIVING A PENSION OF LESS THAN THE AMOUNT 950
described in division (D)(1) of this section 742.37 OF THE 952
REVISED CODE shall be increased as follows: 953
(a) For the period beginning July 1, 1999 ON THE FIRST DAY 956
OF THE FIRST MONTH FOLLOWING THE EFFECTIVE DATE OF THIS 957
AMENDMENT, and ending June 30, 2000, to five hundred fifty 959
dollars;
(b) For the period beginning July 1, 2000, and the first 962
day of July of each year thereafter and continuing for the 964
following twelve months, to an amount equal to the GREATER OF 965
FIVE HUNDRED FIFTY DOLLARS OR THE monthly amount paid during the 966
prior twelve-month period plus an amount determined by 968
multiplying five hundred fifty dollars by the average percentage 969
change in the consumer price index, not exceeding three per cent, 970
as determined each year by the board of trustees of the Ohio 971
police and fire pension fund under section 742.3716 of the 975
Revised Code. 976
(3) If (2) AN INCREASE UNDER DIVISION (D)(1) OF THIS 979
SECTION SHALL NOT BE PAID TO a person who is receiving a pension
under division (D)(2) of section 742.37 of the Revised Code and a 983
21
benefit under division (B) or (D) of section 742.63 of the 985
Revised Code UNTIL THE PERSON ceases to be eligible for a benefit 988
under division (B) or (D) of section 742.63 of the Revised Code, 991
the. THE person's monthly pension shall be increased, effective 993
the first day of the first month following the date on which the 994
person ceases to be eligible for the benefit, to the amount it 995
would be under division (D)(2)(1) of this section had the person 997
never been eligible for a benefit under division (B) or (D) of 998
section 742.63 of the Revised Code. 999
(E) The monthly pension of each person receiving a pension 1,002
under division (E) of section 742.37 of the Revised Code shall be 1,004
increased to one hundred fifty dollars effective July 1, 1999. 1,005
(F) Effective July 1, 1999, the monthly pension of each 1,008
person receiving a pension under division (F) of section 742.37 1,009
of the Revised Code shall be increased as follows: 1,012
(1) If there are two dependent parents, to one hundred 1,014
dollars;
(2) If there is one dependent parent, to two hundred 1,016
dollars.
Section 2. That existing sections 742.37, 742.3711, 1,018
742.3715, 742.3717, and 742.3718 of the Revised Code are hereby 1,021
repealed.
Section 3. Not later than the first day of the second 1,023
month after this act's effective date, the Police and Fire 1,024
Pension Fund shall make a one-time payment in accordance with 1,025
this section. 1,026
(A) To each person who became a surviving spouse after 1,028
December 21, 1998, and is eligible for the pension increase 1,029
provided under Am. Sub. H.B. 194 of the 122nd General Assembly 1,030
that took effect July 1, 1999, the payment shall be one hundred 1,031
forty dollars for each month the person was eligible to receive a 1,032
pension during the period beginning December 22, 1998, and ending 1,033
June 30, 1999. 1,034
(B) To each person who is eligible to receive the pension 1,036
22
increase provided under division (D) of section 742.3718 of the 1,037
Revised Code, as amended by this act, and is not eligible for the 1,038
pension increase provided under Am. Sub. H.B. 194 of the 122nd 1,039
General Assembly that took effect July 1, 1999, the payment shall 1,040
be an amount equal to the difference between the amount the 1,041
surviving spouse of a deceased member of the fund received under 1,042
division (D) of section 742.37 of the Revised Code and the amount 1,043
the surviving spouse would have received under section 742.3718 1,044
of the Revised Code, as amended by this act, had this act gone 1,045
into effect on July 1, 1999.