GENERAL EMPLOYEES DEFINED CONTRIBUTION PLAN

Jacksonville Ordinance Code tit. V, ch. 120, pt. V, subpt. A

in effect

Jacksonville Ordinance Code § 120.501A Plan established.

Sec. 120.501A. - Plan established. There is hereby created a General Employees Defined Contribution Plan, known as the GEDC plan, effective as of the beginning of the first full pay period after October 1, 2009. (Ord. 2017-258-E, § 1)

Jacksonville Ordinance Code § 120.502A Membership.

Sec. 120.502A. - Membership. (a) Membership shall be comprised of all general employees of the City as defined in Section 120.201(m), Ordinance Code, hired on or after October 1, 2017, including those JEA employees actively employed as of the effective date of the Recapitalization Event. The membership shall also include any employee hired prior to October 1, 2017 who pursuant to the provisions of Section 120.202 elects to become a member of the GEDC. (Ord. 2017-258-E, § 1; Ord. 2019-566-E, § 1)

Jacksonville Ordinance Code § 120.503A Contributions.

Sec. 120.503A. - Contributions. Member contributions shall be eight percent of earnable compensation as defined in Section 120.201(l) of the Ordinance Code. Member contributions shall be picked-up rather than contributed as provided in Section 414(h) of the Internal Revenue Code. A portion of the Member contributions, equal to 0.3 percent, shall be used to fund the disability and survivor benefits outlined below. The City shall contribute the minimum amount necessary to maintain the City's exemption from Social Security, but not less than 7.7 percent of earnable compensation. On and after October 1, 2017, the City's contribution shall be 12 percent. A portion of the City contributions, equal to 0.3 percent, shall be used to fund the disability and survivor benefits outlined below; however, the City shall contribute such additional sums, as necessary, to fund the disability and survivor benefits on a sound actuarial basis. Members may make additional contributions on an after-tax basis, to the extent permitted by law. Members may also rollover to the GEDC plan benefits accrued in other qualified plans consistent with the then prevailing provisions of the Internal Revenue Code. Members actively employed by JEA on the effective date of a Recapitalization Event, as defined in Section 120.201(hh), who are members of the GEDC Plan, will be deemed separated from service on that date and deemed fully vested in their employer contributions and earnings credited to that date pursuant to Section 120.504A. JEA will make no further contributions to the GEDC plan on behalf of such members following a Recapitalization Event. (Ord. 2017-258-E, § 1; Ord. 2019-566-E, § 1)

Jacksonville Ordinance Code § 120.504A Vesting.

Sec. 120.504A. - Vesting. Upon leaving employment, GEDC plan members will be entitled to 100 percent of their own contributions and earnings and will be entitled to the following percentages of the employer's contribution and earnings after the indicated number of years of service: Members of the GEDC plan shall be 25 percent vested upon the conclusion of two years of credited service and shall vest an additional 25 percent each year thereafter until fully vested upon the conclusion of five years of credited service. Provided, however, that Members actively employed by JEA on the effective date of a Recapitalization Event shall be deemed fully vested in their employer contributions and earnings credited to that date. (Ord. 2017-258-E, § 1; Ord. 2019-566-E, § 1)

Jacksonville Ordinance Code § 120.505A Administration of the GEDC Plan.

Sec. 120.505A. - Administration of the GEDC Plan. The City shall be responsible for the Administration of the GEDC plan. Notwithstanding any other provision of this Chapter, the Board of Trustees for the retirement system shall not manage or administer the GEDC Plan. (Ord. 2017-258-E, § 1)

Jacksonville Ordinance Code § 120.506A Investment of Member Accounts; New Employee Orientation; Member Education.

Sec. 120.506A. - Investment of Member Accounts; New Employee Orientation; Member Education. (a) All members of the GEDC plan shall have individual member accounts. Member accounts shall be invested in one or more commingled or mutual funds selected from a list chosen by the City. At least one such fund shall be a diversified model portfolio, with automatic rebalancing and limited volatility, and designed to minimize risk of loss. The City shall have continuing due diligence responsibility in the selection, monitoring and replacement of investment options, but not for the individual investment decisions of GEDC plan participants. (b) As part of New Employee Orientation, the City shall provide formal, intensive training, on such terms as the City deems most efficient, on the rights, benefits, and obligations of membership in a DB and GEDC plan to enable members to make a knowing and meaningful election as to the retirement program which best serves the needs of the individual employee. The City shall also provide ongoing training as part of the NEO program to reinforce the needed employee education. In addition, the City shall provide, on an ongoing basis, educational programs for members on investments and financial planning. Any failure by the City to provide training shall not result in any liability on the part of the City to any employee. (c) The System and the City shall not incur any liability arising from the investment decisions of GEDC plan participants or from the above education and training programs. (d) The City shall, at its own expense, arrange for all Members of the GEDC to meet with a financial advisor to provide financial counseling three times during each Member's career. These meetings will occur: (1) when the Member is in the initial 90 days of employment; (2) upon the Member's completion of ten years of employment; and (3) upon the Member's completion of 20 years of employment. (Ord. 2017-258-E, § 1)

Jacksonville Ordinance Code § 120.507A Loans and Qualified Domestic Relations Orders Prohibited; Exemption from Claims of Creditors.

Sec. 120.507A. - Loans and Qualified Domestic Relations Orders Prohibited; Exemption from Claims of Creditors. (a) Member loans shall not be permitted. (b) Qualified domestic relations orders (QDRO) for the distribution of marital property rights shall not be permitted; provided, however, this shall not alter the provisions of Florida law relating to equitable distribution. (c) All member accounts shall be exempt from claims of creditors, bankruptcy, insolvency, or legal process of any kind, except for the payment of alimony, child support, or federal tax levies as provided by law. Member accounts may not be pledged or assigned; provided however, retired members may elect direct payment of a portion of the accrued retirement benefit, upon separation from service, to the payment of any City-sponsored benefit program, or for the payment of dues for the retired employees association. (Ord. 2017-258-E, § 1)

Jacksonville Ordinance Code § 120.508A Reserved.

Jacksonville Ordinance Code § 120.509A Participation in City's Health Insurance Plan.

Sec. 120.509A. - Participation in City's Health Insurance Plan. Retiree members of the GEDC plan shall be entitled to participate in the City's health insurance plan in the same manner as a retiree of the DB plan, beginning on the next pay period following the date upon which the GEDC plan member retires from the City after attaining (a) age 50 with 20 years of credited service, (b) age 65 with five years of credited service, or (c) any age with 25 years of credited service. (Ord. 2017-258-E, § 1)

Jacksonville Ordinance Code § 120.510A Compliance with the Internal Revenue Code.

Sec. 120.510A. - Compliance with the Internal Revenue Code. The GEDC plan shall at all times be maintained as a qualified plan in accordance with the applicable provisions of the Internal Revenue Code. Contributions shall not exceed the maximum amount permitted under Section 415 of the Internal Revenue Code. Section 120.104 of the Ordinance Code, to the extent applicable, is incorporated by reference. (Ord. 2017-258-E, § 1)

Jacksonville Ordinance Code § 120.511A Surviving spouse benefits; children's benefits; orphans' benefits; dependent parents; funeral expenses.

Sec. 120.511A. - Surviving spouse benefits; children's benefits; orphans' benefits; dependent parents; funeral expenses. (a) In the event of the death of a fully vested, active, permanent member of the DC plan, the surviving spouse, as defined in subsection (i), shall receive 75 percent of 60 percent of the member's earnable compensation at the time of the member's death. (b) Unmarried children under the age of 18 years who are orphaned by the death of an employee shall receive the same benefit as a surviving spouse without children. The benefit shall continue until the earlier of the child's marriage or reaching age 18, unless the child is disabled, in which case the benefits will continue for the life of the child or during the presence of the disabling condition. In the case of a benefit paid to multiple children, the full amount shall continue to be paid to the orphan or orphans remaining eligible, in an amount not to exceed the maximum surviving spouse benefit provided in this Plan. At age 18, any unpaid employee contributions shall be distributed as a lump sum to the eligible child or children in equal shares. (c) If there is a surviving spouse, who chooses to receive the spousal benefit described above, unmarried children under the age of 18 years shall receive a benefit of $300 per child per month upon the death of the member, where no other survivorship benefit is available. The benefit shall continue until the earlier of the child's marriage or reaching age 18. At age 18, any unpaid employee contributions shall be distributed as a lump sum to the eligible child or children in equal shares. (d) In the event that any combination of survivorship benefits exceeds 80 percent of the deceased member's earnable compensation, the available benefits shall be prorated among the eligible recipients in a manner that will not exceed 80 percent of the deceased member's earnable compensation. That said, the survivor benefit will include an annual three percent cost of living adjustment, to begin five years after the commencement of the survivor benefit, to be applied each January 1. (e) In the event that a father or mother of a deceased member is solely dependent on the member for support, the dependent parent(s) shall receive the same benefit as a surviving spouse, outlined in subsection (a) above, only if there is no surviving spouse and no qualifying surviving children. The term dependent parent means that the dependent parent has no source of income other than the deceased member. (f) In the event of the death of a member with no survivor entitled to the receipt of a death benefit, the Plan will reimburse the estate of the member or the person paying the member's funeral expenses in an amount not to exceed $2,500 or one-half the accumulated member contributions, without interest, whichever is less. The remaining contributions will be paid to the estate of the member. (g) No application for benefits under this Section shall be valid unless filed within two years of the initial date of eligibility. (h) No survivor benefit shall be paid to any person who intentionally and unlawfully killed or participated in procuring the death of the retiree or member. (i) In order to be deemed a surviving spouse of a member under the terms of this Section, the spouse must have been married to and living with the member at the time of the member's death and have been married to the member for not less than 365 consecutive days immediately preceding the death of the member. A spouse shall be deemed living with the member if the member or spouse is confined to a nursing or hospital facility at the time of the member's death. (j) If death benefits are paid to any survivor, such benefits will be in lieu of the payment of the employee's contributions and earnings in the GEDC and any employer contributions and earning to which the employee had a vested right. (k) In the event of the death of a non-fully vested, active, permanent full-time employee or in the event that a fully vested employee's qualified survivors decline the benefits described above, the deceased employee's designated beneficiaries will receive the employee's contributions and earnings to the GEDC plan and any employer contributions and earnings to which the employee had a vested right. (Ord. 2017-258-E, § 1)

Jacksonville Ordinance Code § 120.512A Disability Benefits.

Sec. 120.512A. - Disability Benefits. (a) A member shall be disabled if the member has suffered an illness, injury or disease which renders the member permanently and totally incapacitated, physically or mentally, from regular and continuous duty as an employee or officer of the City. The term "regular and continuous" as used in the foregoing sentence shall not require that an employee or officer be able to perform all of the duties set forth in the job description, but shall mean the ability to perform work within the employee or officer's classification for which a position has been made available by the City, consistent with the physical or mental health of the member. A disability benefit cannot be based on a condition which pre-existed membership in the GEDC plan unless the nature of the injury or illness giving rise to the disability would reasonably be expected to give rise to a disability in a person without the pre-existing condition. (b) Disability Benefits shall be provided as follows: (1) In the case of a disability arising from an accident, injury or illness incurred in the performance of service with the City, the long-term disability benefits shall be equal to 50 percent of the member's earnable compensation at the time of disability. There shall be no minimum period of service for a service-related disability. (2) In the case of a disability not arising from an accident, illness or injury arising in the performance of service with the City, the long-term disability benefit shall be equal to 25 percent of the member's earnable compensation at the time of disability. In the event the member has more than five years of service, the non-service related disability benefit shall be increased by two and one-half percent of the member's earnable compensation for each year after five years of service to a maximum of 50 percent. There shall be no non-service-related disability benefits for members with less than five years of service at the time of disability. In that event, members separating from service shall receive a return of employee contributions. (3) Long-term disability benefits shall be payable until the earlier of recovery and return to work or death. Upon the death of a member receiving a long-term disability benefit, the benefit shall be paid at 75 percent to the eligible surviving spouse as defined in Section 120.511A, in lieu of the payment of the employee's contributions and earnings in the GEDC to which the employee had a vested right. (4) No member shall be eligible to receive disability benefits during any period of time that the member is receiving a salary from the City. Disability benefits shall not be reduced because the member is or was receiving workers' compensation payments unless the sum of the disability benefits and workers' compensation exceed the compensation on which workers' compensation benefits are computed. In such case, the disability benefits shall be reduced to an amount which when added to the workers' compensation payment will equal the compensation on which workers' compensation benefits are computed. (5) Disability benefits shall be paid bi-weekly. No benefit shall be paid until the City has actually considered and approved the members' entitlement to disability. (6) No disability benefit payable from the Disability Program shall be reduced by any outside income from any gainful employment or occupation engaged in while disabled. (c) No member shall be granted a disability benefit upon a determination that the disability resulted from: (1) Excessive and habitual use of drugs, intoxicants or narcotics; (2) Injury or disease sustained while willfully and illegally participating in fights, riots, civil insurrections or while committing a crime; (3) Injury or disease arising from service in the armed forces which entitles the member to disability benefits from the former employer; (4) Self-inflicted wounds or conditions. (Ord. 2017-258-E, § 1)

Source: City of Jacksonville, Ordinance Code and Charter and Related Laws (Municode Library, library.municode.com)URL: https://library.municode.com/fl/jacksonville/codes/code_of_ordinances?nodeId=TITVADPE_CH120GEEMCOOFPEPLALEMDECOREPL_PTVDECOPL_SPAGEEMDECOPLFetched: 10/27/2026