§ 13-32. Contributions.

(a)

Contributions by employees.

(1)

Amount.

(i)

On the first full pay period after adoption of this section on second reading, each Participant's contribution to the Plan will be increased from no contribution to a contribution of six percent of his or her Compensation, which shall be deposited in the Fund each pay period.

(ii)

Effective October 1, 2006, each Participant's contribution to the Plan will be seven percent of his or her Compensation, which shall be deposited in the Fund each pay period.

(iii)

Effective October 1, 2007, each Participant's contribution to the Plan will be eight percent of his or her Compensation, which shall be deposited in the Fund each pay period. This contribution rate shall continue unless and until further amended.

(2)

Payment by Village. The employee contributions provided in subsection (1) above, shall be paid and assumed by the Village in lieu of payroll deductions from employee earnings. No employee shall have the option of choosing to receive the contributed amounts directly instead of having them paid by the Village directly to the Plan. All such employee contributions by the Village shall be deemed and considered as part of the members' accumulated contributions. This Village "pick-up" of contributions is intended to comply with Section 414(h)(2) of the Internal Revenue Code.

(3)

Deductions authorized. Each Participant shall authorize the Village to make regular deductions from his Compensation and to reimburse the Village for an advance, if any, made to the Plan on his behalf.

(4)

Monthly deposit. In any event, contributions made by or on behalf of Participants shall be deposited into the trust fund on at least a monthly basis.

(5)

Determination of repayment. If any such Participant shall be discharged, resign or die, and at the time of his discharge, resignation or death, as the case may be, he shall not have fully repaid to the Village the amount of the contributions advanced for him, it shall be within the sole and uncontrolled discretion of the Village to decide whether or not such Participant, or his estate, shall be obligated to make repayment of the balance of any such indebtedness, and, if so, the manner and method of such repayment.

(b)

Contribution by Village.

(1)

Required. The Village shall contribute to the plan such amounts, with respect to past and future service benefits, as may be determined by actuarial valuation to be required of the Village, in addition to Participant contributions, to provide such benefits. Village contributions shall be deposited into the trust fund on at least a quarterly basis.

(2)

Actuary to determine Village contribution. The Retirement Board shall procure and use the services of a qualified actuary to determine the contributions required of the Village.

(Code 1974, § 13-22; Ord. No. 337, § 1(13-22), 9-19-89; Ord. No. 447, § 1, 11-16-99; Ord. No. 461, § 2, 3-20-01; Ord. No. 507, § 3, 3-21-06)