§ 43-57. Board of trustees.

(a)

Appointment, resignation, removal. The board of trustees of the plan shall consist of the following five members: two members, unless otherwise prohibited by law, shall be legal residents of the municipality, who shall be appointed by city council, and two members shall be firefighters who shall be elected by a majority of firefighters who are members of the fund. The fifth member shall be chosen by a majority of the previous four members, and such person's name shall be submitted to city council. The city council shall, as a ministerial duty, appoint such person to the board of trustees as its fifth member. The fifth member shall serve a term of two years and shall have the same rights as each of the other four members appointed or elected as herein provided and may succeed him/herself in office.

(b)

Procedures. The board of trustees shall act by agreement of a majority of its members, either by vote at a meeting or in writing without a meeting. By such action, it may authorize one or more of its members to execute documents on its behalf. In the event of a deadlock or other situation, which prevents agreement of a majority of the board of trustees, the matter shall be decided by the city council.

(c)

Powers and duties. The board of trustees shall have the power and duty to do all things necessary or convenient to affect the intent and purposes of the plan and not inconsistent with any of the provisions hereof whether or not such powers and duties are specifically set forth herein and, not in limitation but in amplification of the foregoing, shall have power to:

(1)

Provide rules and regulations for the administration of the plan, to include the establishment of a deferred retirement option plan (DROP) and from time to time, to amend or supplement such rules and regulations.

(2)

Construe the plan and/or trust agreement and its construction thereof in good faith, and act in the best interests of the participants.

(3)

Correct any defect or supply any omission or reconcile any inconsistency in the plan in such manner and to such extent, as it shall deem expedient to carry the same into effect.

(4)

Determine all questions that shall arise under the plan on all matters necessary for it to properly discharge its duties.

(5)

a.

Issue drafts upon the fund pursuant to this plan and rules and regulations prescribed by it. All such drafts shall be consecutively numbered, and be signed by the chairman and secretary and shall state upon their faces the purposes for which the drafts are drawn. The city treasurer or other depository shall retain such drafts when paid, as permanent vouchers for disbursements made, and no money shall otherwise be drawn from the fund.

b.

Any and all acts and decisions shall be by at least three members of the board of trustees; however, no trustee shall take part in any action in connection with his own participation in the fund, and no unfair discrimination shall be shown to any individual employee participating in the fund.

c.

Finally decide all claims to relief under the board of trustees’ rules and regulations and pursuant to F.S. ch. 175.

d.

Convert into cash any securities of the fund.

e.

Keep a complete record of all receipts and disbursements and of the board of trustees’ acts and proceedings.

f.

The sole and exclusive administration of, and the responsibilities for, the proper operation of the fund and for meeting the necessary requirements for F.S. § 175.061 are vested in the board of trustees.

g.

The board of trustees cannot amend any provisions of the fund without approval of the Ocala city council as specified and provided for in F.S. § 175.061.

h.

The board of trustees shall keep in convenient form such data as shall be necessary for an actuarial valuation of the fund and for checking the actual experience of the fund.

i.

An actuarial valuation of the Ocala Firefighters Supplemental Pension Fund must be made at least every three years. Such valuation shall be prepared by an enrolled actuary as provided by F.S. § 175.351.

1.

Cost of the actuarial valuation will be paid by the fund.

2.

A report of the valuation, including actuarial assumptions and type and basis of funding shall be made to the Department of Insurance within three months after the date of valuation. If any benefits are insured with a commercial insurance company, the report shall include a statement of the relationship of the retirement plan benefits to fund benefits and, in addition, include the name of the insurer, basis of premium rates and the mortality table, interest rate and method used in valuing retirement benefits.

j.

The board of trustees at least once every three years shall retain an independent consultant professionally qualified to evaluate the performance of professional money managers. The independent consultant shall make recommendations to the board of trustees regarding the selection of money managers for the next investment term. These recommendations shall be considered by the board of trustees at its next regularly scheduled meeting. The date, time, place and subject of this meeting shall be advertised in a newspaper of general circulation in the municipality at least ten days prior to the date of the hearing.

k.

No amendment to the fund shall be proposed without the proposed amendment containing an actuarial estimate of the costs involved. No such proposed amendment change shall be adopted without the approval of the Ocala City Council. Copies of the proposed change and the actuarial impact statement of the proposed change shall be furnished to the Department of Insurance prior to the last public hearing thereon. Such statement shall also indicate whether the proposed change is in compliance with [Section] 14, Art. X of the State Constitution and Part VII of Chapter 112.

l.

The board of trustees, on or before the applicable due date each year, must submit the information legally required to the division of retirement in order for the fund to receive a share of state funds.

m.

The secretary of the board of trustees shall keep a record of all persons enjoying a pension under the provisions of the fund, in which shall be noted the time when the pension is allowed and when the same shall cease to be paid, and in this book the secretary shall keep a record of all firefighters employed by the City of Ocala and a record shall be kept in such manner as to show the name, address, and time of employment of such firefighters and when such firefighters cease to be employed in the City of Ocala.

n.

The City of Ocala attorney shall give advice to the board of trustees in all matters pertaining to their duties in the administration of said fund whenever requested; and he shall represent and defend said board of trustees as its attorney in all suits and actions at law or in equity that may be brought against it, and bring all suits and actions in its behalf that may be required or determined upon by said board of trustees; provided, however, that if the board of trustees so elects, it may employ independent legal counsel at the fund's expense for the purposes contained herein, together with such other professional, technical, or other advisers as the board of trustees deems necessary.

(d)

Benefit application and claims procedure.

(1)

Participants and beneficiaries shall apply for benefits by filing with the board of trustees a signed, written request specifically identifying the benefits requested and describing all facts and circumstances entitling the applicant to payment.

(2)

Within 60 days after receipt of such an application, the secretary shall notify the applicant of the board of trustees’ decision. If special circumstances require an extension of time, the secretary shall notify the applicant of such circumstances within 60 days after receipt of the application, and the board of trustees shall thereafter notify the applicant of its decision within 180 days after receipt of the application. If the application is denied in whole or in part, the secretary's notice of denial shall be in writing and shall state:

a.

The specific reasons for denial with specific reference to pertinent plan provisions upon which the denial was based;

b.

A description of any additional materials or information necessary for the applicant to perfect his or her claim and an explanation of why the materials or information are necessary; and

c.

An explanation of the plan's claim review procedure.

(3)

During the 60-day period following an applicant's receipt of a notice of denial of the application for benefits, the applicant or a duly authorized representative may review pertinent documents and within sixty days submit a written request to the board of trustees for its review of the denial.

An applicant submitting a request for review shall be allowed to submit issues and comments in writing to the board of trustees’ chairman. Within 60 days after receipt of the request for review, the board of trustees shall issue its decision in writing to the applicant. If special circumstances require an extension of time, the board of trustees shall notify the applicant of such circumstances within 60 days after receipt of the request for review, and shall issue its decision in writing no later than 120 days after receipt of the request for review. The board of trustees shall include specific reasons for the decision, written in a manner calculated to be understood by the applicant, and contain specific references to the pertinent plan provisions upon which the decision is based.

(e)

Appointment of chairperson, secretary, and others. The board of trustees shall appoint one of its members as chairman and one as secretary.

(f)

Appointment of plan administrator. The board of trustees may (if necessary) hire a plan administrator to supervise administrative details of the plan that the board of trustees chooses to delegate to the plan administrator. The plan administrator shall serve at the pleasure of the board of trustees.

(g)

Duties of plan administrator. The duties of the plan administrator shall be as assigned to him/her by the board of trustees.

(h)

Liability of board of trustees. No member of the board of trustees nor the plan administrator (for purposes of this subsection, references to "the board of trustees" shall be deemed to include the plan administrator) shall be directly or indirectly responsible or under any liability by reason of any action or default by him/her as a member of the board of trustees, or the exercise of or failure to exercise any power or discretion as such member, except for his/her own fraud or willful misconduct; and no member of the board of trustees shall be liable in any way for the acts or defaults of any other member of the board of trustees or any of its advisors, agents, or representatives. Without limitation or restriction upon any other indemnification right at law or otherwise, the city shall indemnify and save harmless each member or former member of the board of trustees against any and all expenses and liabilities arising out of his/her membership on the board of trustees, except expenses and liabilities arising out of his/her own fraud or willful misconduct. The fact that any member of the board of trustees is an officer, or firefighter of the city, or a participant, shall not disqualify him/her from doing any act or thing which the plan authorizes or requires him to do as a member of such board of trustees (except as otherwise provided in subsection (b) with respect to a member who is a participant).

(i)

Compensation and expenses. The members of the board of trustees shall serve without compensation for their services, and shall be entitled to receive reimbursement of their reasonable expenses incurred in administering the plan. Any such expenses shall be paid by the trust fund.

(j)

Information furnished to board of trustees. The city shall furnish to the board of trustees, in writing, such information as the board of trustees may request in the exercise of its powers and duties in the administration of the plan. Such information may include, but shall not be limited to, the names of employees, their compensation and dates of birth, employment, termination of employment, retirement, or death. Such information shall be conclusive for all the purposes of the plan and the board of trustees shall be entitled to rely thereon; provided, however, that the board of trustees may correct any errors discovered in any such information.

(k)

Examination by participants. The board of trustees shall make available to each participant for examination by him/her, at the principal office of the employer, a copy of the plan and such of its records or copies thereof as may pertain to any benefits of such participant under the plan.

(l)

Nondiscriminatory action. In the exercise of any power or discretion under the plan or trust agreement, the trustees shall not take any action in respect to any of the rights, benefits, or obligations of a participant under the plan which would be discriminatory in favor of some participants over others in substantially similar situations or under substantially similar sets of facts.

(m)

Annual audit. Once each year, the trustees shall cause an audit to be made of the accounts and records of the trust fund by a firm of independent certified public accountants selected by the trustees. A copy of the audit report shall be furnished to the plan administrator, council, the actuary, and the trustees.

(Ord. No. 2891, § 8, 10-13-98)