FUNDING OF PLAN

Memphis Code of Ordinances tit. 4, ch. 4-32, art. 6

in effect

Memphis Code of Ordinances § 4-32-22 Establishment and composition of fund.

Sec. 4-32-22. - Establishment and composition of fund. A fund is created and established to be known as the "retirement fund of the Memphis and Shelby County Public Library and Information Center" which shall consist of all the moneys paid into it in accordance with the provisions of this article, whether such moneys shall take the form of cash, securities or other assets. (Code 1985, § 18-61; Ord. No. 4173, § 1, 4-16-1993)

Memphis Code of Ordinances § 4-32-23 Custodian of and payments from fund.

Sec. 4-32-23. - Custodian of and payments from fund. The board shall be the trustee of the retirement fund. All payments from such fund shall be made by the board. (Code 1985, § 18-62; Ord. No. 4173, § 1, 4-16-1993)

Memphis Code of Ordinances § 4-32-24 Investment of fund.

Sec. 4-32-24. - Investment of fund. The board shall provide for the proper investment of moneys of the retirement fund, and except to the extent provided by the board, invest and reinvest the principal and income of the retirement fund in any and all stocks (common or preferred), bonds, mutual funds, notes, debentures, equipment trust certificates and in other evidences of indebtedness or ownership and such other investments and securities of any kind, class, character or location, as well as in units of any commingled, collective, common pooled or mutual trust fund; provided that the total sum invested in common or preferred stocks, convertible bonds or debentures shall not exceed 65 percent of the total retirement fund; and further, provided, that all investments shall be of a quality grade, all commercial class "A" or comparable. Any fees arising from employment of investment counsel shall be paid from the income from the retirement fund itself. (Code 1985, § 18-63; Ord. No. 4173, § 1, 4-16-1993; Ord. No. 4487, § 1, 5-6-1997)

Memphis Code of Ordinances § 4-32-25 Deposit of fund.

Sec. 4-32-25. - Deposit of fund. Subject to such provisions as may be prescribed by law for the deposit of municipal funds in banks, cash belonging to the retirement fund may be deposited in any licensed national bank or national banks in this city, or in any bank, banks or corporations authorized or licensed to do banking business and organized under the laws of the state and approved by the city council. (Code 1985, § 18-64; Ord. No. 4173, § 1, 4-16-1993)

Memphis Code of Ordinances § 4-32-26 Contributions generally.

Sec. 4-32-26. - Contributions generally. A. 1. The rate of contribution for participants shall be five percent of compensation or for plan years beginning July 1, 1999, three percent of compensation. Such contribution shall be paid by all participants while employees in library service and until their respective dates of retirement. Such contributions which are paid on or after July 1, 1999, shall be designated as employee contributions, and no participant may receive current compensation in lieu of such contributions; and provided further, that all such contributions shall be paid by the director of libraries to the retirement fund, and shall be deemed "picked-up" (within the meaning of section 414(h)(2) of the Internal Revenue Code) by the employer. 2. The employer's rate of contribution shall be determined in accordance with actuarial funding principles. Except to the extent prohibited by law, however, in no event will the employer's rate of contribution be less than the participants' rate of contribution with respect to any period. B. Subject to the provisions of this article, the board shall adopt rules and regulations governing the making of deductions from the compensation of employees. The personnel officer shall apply the rate of contribution to the compensation of each participant, and shall certify to the director of libraries on each payroll the amount to be controlled; such amounts shall be deducted by the director of libraries and shall be paid into the retirement fund and credited to the individual accounts of the respective participants for whom the contributions were made. Every participant shall be deemed to have consented and agreed to the contributions provided and made hereunder. Payment, less such contribution, shall be a full and complete discharge of all claims and demands whatsoever for the service rendered by such person during the period covered by such payment, except his or her claims to the benefits to which he or she may be entitled under the provisions of this article. C. At the end of each pay period, the director of libraries shall determine the aggregate amount of the contribution of the participants for such period in the proper amount, and he or she shall then transfer to the retirement fund an amount equal to the aggregate contributions of all participants for such pay period. D. When preparing the library's annual budget request, the director of libraries shall estimate, with the advice of the board, the percentage of the salary budget for employees which will be required to provide the library's share of: 1. The disability retirement benefits, the death benefits and those portions of the service retirement benefits to be granted on account of current service; 2. The accrued liability contribution, which shall be an amortization of the unfunded accrued liability as determined by the actuary. (Code 1985, § 18-65; Ord. No. 4173, § 1, 4-16-1993; Ord. No. 4674, 6-1-1999)

Memphis Code of Ordinances § 4-32-27 Library's contributions constitute obligations; appropriations for payment of same.

Sec. 4-32-27. - Library's contributions constitute obligations; appropriations for payment of same. The payments of the library into the retirement fund, as provided in section 4-32-6, are made obligations of the library, and thus obligations of the city; and the city council, after examining the need for the percentage contribution requested by the director of libraries as provided in section 4-32-26, shall appropriate annually in the library's budget such amounts for the pension line item as are deemed necessary to make such payments. (Code 1985, § 18-66; Ord. No. 4173, § 1, 4-16-1993)

Memphis Code of Ordinances § 4-32-28 Prohibition of reversion.

Sec. 4-32-28. - Prohibition of reversion. Except as provided in section 4-32-44, contributions made by the city to the retirement system shall be made irrevocably and it shall be impossible for the assets of the plan to inure to the benefit of the city or to be used in any manner other than for the exclusive purpose of providing benefits to participants and beneficiaries, and for defraying reasonable expenses of administering the plan; provided however, that nothing herein shall be construed to prohibit the return to the city of all or part of a contribution which is made by the city by a mistake of fact, provided the return is made within one year after the payment thereof. (Code 1985, § 18-67; Ord. No. 4173, § 1, 4-16-1993)

Source: City of Memphis, Code of Ordinances and Charter and Related Laws (Municode Library, library.municode.com)URL: https://library.municode.com/tn/memphis/codes/code_of_ordinances?nodeId=TIT4PERESY_CH4-32RESYLIEM_ART6FUPLFetched: 10/28/2026