Effective - 28 Aug 2013, 3 histories
86.1540. Normal pension, amount — early retirement option, when — election for optional benefit for spouse — pension after five years of creditable service — felony conviction, effect of. — 1. (1) Upon retirement on or after a member's normal retirement date, such member shall receive a base pension in the amount of two percent of such member's final compensation times the number of years, including fractions thereof, of such member's creditable service.
(2) Such member may elect to receive a different base pension under an election permitted under this section or section 86.1580.
2. Tier I members may elect early retirement as follows:
(1) Beginning at age fifty-five, if the member has completed at least ten years of creditable service or at any later age after the member has completed at least ten years of creditable service. Unless subdivision (3) of this subsection shall be applicable, the benefit as computed under subsection 1 of this section shall be reduced by one-half of one percent for each full month the initial payment is prior to the first day of the month following that in which such member will attain age sixty;
(2) Beginning at age sixty, if the member has completed at least five but not more than ten years of creditable service or at any later age after the member has completed at least five years of creditable service. Unless subdivision (3) of this subsection shall be applicable, the benefit as computed under subsection 1 of this section shall be reduced by one-half of one percent for each full month the initial payment is prior to the first day of the month following that in which such member will attain age sixty-five; or
(3) At any time after the member's total of age and years of creditable service equals or exceeds eighty, in which event the benefit shall be as computed under subsection 1 of this section without any reduction.
If an election for early retirement results in a reduced benefit under subdivision (1) or (2) of this subsection, such reduced benefit shall become the member's base pension, subject to all other adjustments described in this section.
3. Tier II members may elect early retirement as follows:
(1) Beginning at age sixty-two, if the member has completed at least five years of creditable service, the benefit as computed under subsection 1 of this section shall be reduced by one-half of one percent for each full month the initial payment is prior to the first day of the month following that in which such member will attain age sixty-seven; or
(2) At any time after the member has completed at least twenty years of creditable service and is at least sixty-two years of age, in which event the benefit shall be as computed under subsection 1 of this section without any reduction; or
(3) At any time after the member's total of age and years of creditable service equals or exceeds eighty-five, in which event the benefit shall be as computed under subsection 1 of this section without any reduction.
If an election for early retirement results in a reduced benefit under subdivision (1) of this subsection, such reduced benefit shall become the member's base pension, subject to all other adjustments described in this section.
4. (1) A member who is married at the time of retirement may by a written election, with the written consent of such member's spouse, elect an optional benefit calculated as follows: such optional benefit shall be a monthly pension in the initial amount which shall be actuarially equivalent to the actuarial value of the pension described in subdivision (1) of subsection 1 of this section for such member at the date of retirement (including the value of survivorship rights of a surviving spouse, where applicable, under section 86.1610), upon the basis that the initial annuity for the member's spouse, if such spouse survives the member, shall be the same as the amount being paid the member on such annuity at the member's death, and, subject to cost-of-living adjustments thereafter declared on the spouse's base pension under section 86.1590, shall be paid to such surviving spouse for the lifetime of such spouse without regard to remarriage. If a member who makes an election of an optional benefit under this subsection has also elected an early retirement under either subdivision (1) or (2) of subsection 2 of this section or subdivision (1) of subsection 3 of this section, any reduction in benefit required for such early retirement election shall be calculated before calculating the initial amount of the optional benefit under this subsection.
(2) If a member who makes the election permitted by this subsection also makes an election permitted under section 86.1580, such optional benefit shall be reduced as provided in subdivision (3) of subsection 2 of section 86.1580.
(3) If a member makes the election permitted by this subsection, the amount calculated for such optional benefit under either subdivision (1) or (2) of this subsection shall be the base pension for such member and for such member's spouse for all purposes of sections 86.1310 to 86.1640.
(4) An election for an optional benefit under this subsection shall be void if the member dies within thirty days after filing such election with the retirement system or if the member dies before the due date of the first payment of such member's pension.
5. Subject to the provisions of subsection 7 of this section, whenever the service of a member is terminated after August 28, 1999, for any reason prior to death or retirement and the member has five or more years of creditable service, the member may elect not to withdraw such member's accumulated contributions and shall become entitled to receive a pension upon such member's normal retirement date under subdivision (1) of subsection 1 of this section or may elect to receive a pension commencing upon or after any date, prior to his or her normal retirement date, upon which early retirement would have been permitted under subsection 2 of this section for Tier I members or subsection 3 of this section for Tier II members if such member had remained a civilian employee of such police department, except that in calculating any qualification under subsection* 2 or 3 of this section, such member shall not be entitled to count any year of creditable service in excess of such member's total years of creditable service at the time of such member's termination of employment. The amount of any pension commenced upon the basis of a date permitted under subsection* 2 or 3 of this section shall be computed on the basis of the member's final compensation and number of years of creditable service, subject to such adjustments as may be applicable under the subdivision of subsection* 2 or 3 of this section upon which such member relies in electing such member's pension and subject to any other adjustments that such member may elect under this section. The amount of the initial pension calculated after all applicable adjustments shall be the base pension for such member, and for such member's spouse if such member shall elect the optional benefit permitted under subsection 4 of this section, for all purposes of sections 86.1310 to 86.1640. Payment of any benefits elected under this subsection shall commence as of the first day of the month next following the applicable date with no proration of such benefit for any initial partial month.
6. A member whose service was terminated on or before August 28, 1999, after five or more years of creditable service, and who permitted such member's accumulated contributions to remain in the pension fund, shall upon application to the retirement board be appointed as a consultant. For services as such consultant, such member shall, beginning the later of August 28, 1999, or the time of such appointment under this subsection, be entitled to elect to receive compensation in such amount and at such time as such member would have been entitled to elect under any of the provisions of subsection 5 of this section if such member had terminated service after August 28, 1999. Such member shall be entitled to the same cost-of-living adjustments following the commencement of such compensation as if such member's compensation had been a base pension.
7. Notwithstanding any other provisions of sections 86.1310 to 86.1640, any member who is convicted of a felony prior to separation from active service shall not be entitled to any benefit from this retirement system except the return of such member's accumulated contributions.
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(L. 2005 H.B. 323, A.L. 2011 H.B. 183 merged with H.B. 282, A.L. 2013 H.B. 116 merged with H.B. 418)
*Word "subsections" appears in original rolls.
Structure Missouri Revised Statutes
Title VII - Cities, Towns and Villages
Chapter 86 - Police Relief and Pension Systems
Section 86.017 - Membership regulations.
Section 86.020 - Service creditable.
Section 86.023 - Administration.
Section 86.027 - Vacancy, how filled — trustees to serve without compensation.
Section 86.033 - Voting — quorum.
Section 86.037 - Board to have exclusive original jurisdiction — judicial review.
Section 86.040 - Chairman, secretary, actuaries.
Section 86.043 - Data and records of the board.
Section 86.047 - Legal adviser and medical board — duties.
Section 86.050 - Actuary — duties.
Section 86.053 - Regular actuarial investigation.
Section 86.057 - Annual valuation of assets and liabilities.
Section 86.060 - Service retirement benefit.
Section 86.067 - Ordinary disability retirement benefit.
Section 86.070 - Allowance on ordinary disability retirement.
Section 86.073 - Accidental disability retirement.
Section 86.077 - Allowance on accidental disability retirement.
Section 86.080 - Reexamination of beneficiaries retired on account of disability.
Section 86.083 - Pension to be reduced, when.
Section 86.087 - Retirement allowance to cease, when.
Section 86.090 - Ordinary death benefit.
Section 86.093 - Accidental death benefit.
Section 86.097 - Return of accumulated contributions.
Section 86.100 - Optional allowances.
Section 86.103 - Pensions offset by compensation benefits.
Section 86.107 - Trustees to manage funds.
Section 86.110 - Interest on funds.
Section 86.113 - Treasurer of city to be custodian of funds — vouchers.
Section 86.117 - Ten percent of fund may be in available cash — how kept.
Section 86.120 - Trustees and employees not to be interested personally in investments.
Section 86.123 - Method of financing.
Section 86.127 - Annuity savings fund.
Section 86.130 - Rates of contribution.
Section 86.133 - Proportionate amount to be deducted from each payroll.
Section 86.137 - Factors in determining deductions.
Section 86.140 - Members deemed to consent to deductions — payable into annuity savings fund.
Section 86.143 - Additional contributions.
Section 86.147 - Annuity reserve fund.
Section 86.150 - Pension accumulation fund.
Section 86.153 - Contributions to and payments from such fund.
Section 86.157 - Actuary to determine normal contribution rate.
Section 86.160 - Accrued liability contribution rate.
Section 86.163 - Amount payable to pension accumulation fund.
Section 86.167 - Accrued liability contribution discontinued, when.
Section 86.170 - Pensions and benefits payable from pension accumulation fund — exceptions.
Section 86.173 - Sum transferred to reserve fund, when.
Section 86.177 - Pension reserve fund.
Section 86.180 - Expense fund.
Section 86.183 - Contributions by city.
Section 86.190 - Exemption from tax and execution.
Section 86.193 - Correction of errors in benefits, adjustments.
Section 86.203 - Establishment of system — name — effective date.
Section 86.210 - Service creditable.
Section 86.213 - Board of trustees to administer — members of board, selection — terms.
Section 86.217 - Vacancy on board, how filled — trustees to receive expenses.
Section 86.220 - Oath of trustees.
Section 86.223 - Quorum, number of trustees constituting — majority vote required, when.
Section 86.227 - Jurisdiction of board — decisions subject to judicial review.
Section 86.230 - Officers, selection — actuaries and employees, appointment, compensation.
Section 86.233 - Records of board — annual report.
Section 86.237 - Legal adviser — medical board — duties.
Section 86.240 - Actuary, duties.
Section 86.247 - Annual valuation of assets and liabilities.
Section 86.248 - Assets of fund retained for benefit of members.
Section 86.270 - Investigation and examination of applicants for disability benefits.
Section 86.277 - Disability allowance ceases on return to service — status as member.
Section 86.280 - Death benefit — dependents' allowances.
Section 86.287 - Accidental death benefit — dependents' allowances.
Section 86.288 - Contributions paid to surviving spouses, when.
Section 86.290 - Accumulated contributions refunded, when.
Section 86.292 - Accumulated contributions to remain system assets, when.
Section 86.293 - Disposition of difference between benefits paid and accumulated contributions.
Section 86.294 - Contributions to be accepted after January 1, 2002, limitations.
Section 86.295 - Death while performing qualified military service, benefit distribution, to whom.
Section 86.296 - Trustee to trustee transfers to be accepted after January 1, 2002.
Section 86.297 - Workers' compensation or other benefits offset against allowances.
Section 86.300 - Trustees to manage funds.
Section 86.303 - Interest on members' accounts.
Section 86.307 - Treasurer, custodian of assets — payments from, made how.
Section 86.310 - Ten percent may be kept in cash — maximum per depository.
Section 86.313 - Trustees and employees not to have direct interest in investments.
Section 86.320 - Contributions, rate of — deduction from compensation.
Section 86.330 - Normal rate of contribution, how determined.
Section 86.333 - Accrued liability contribution rate defined — calculated, when.
Section 86.337 - Amount payable to general reserve fund — city's contribution.
Section 86.340 - Accrued liability contribution discontinued, when.
Section 86.343 - Annual expenses — city, board each provide one-half — board, duties.
Section 86.350 - City obligated to pay cost of benefits and one-half of expenses.
Section 86.354 - Benefit vested and nonforfeitable, when — forfeitures, use of.
Section 86.357 - Fraud in obtaining benefits, a misdemeanor — adjustment of errors.
Section 86.359 - Retroactive payments to be lump sum with interest, rate.
Section 86.364 - Certain sections to terminate, when.
Section 86.500 - Police may form relief associations.
Section 86.503 - Fund, how created.
Section 86.511 - Pensions to be paid monthly.
Section 86.513 - First class cities may provide pension fund for police department.
Section 86.517 - Board of trustees of policemen's pension fund.
Section 86.520 - Board to have exclusive control and management of funds.
Section 86.523 - Refund of contributions, when — exceptions.
Section 86.527 - Board's decision on applications for relief or pension to be final.
Section 86.530 - Rewards, fees, gifts, shall be paid into pension fund.
Section 86.533 - Trustees may invest funds in certain bonds.
Section 86.537 - Trustees shall pay disabled members from pension fund, when.
Section 86.543 - Pension shall be paid after twenty years of service in certain cases.
Section 86.547 - Widow eligible for payments, when.
Section 86.549 - Special consultants, eligibility, compensation for.
Section 86.550 - Persons ineligible for membership.
Section 86.553 - Payments prorated if money insufficient for full payment.
Section 86.557 - Funeral expenses, when, amount.
Section 86.560 - Payments from pension fund by warrants only.
Section 86.563 - Payments from fund not to be diverted.
Section 86.567 - Pensioners may be recalled to duty in an emergency.
Section 86.570 - Pension may be terminated, when.
Section 86.573 - Books and accounts subject to inspection.
Section 86.577 - Annual report of pension fund.
Section 86.584 - Contributing members of retirement system to be represented on board of trustees.
Section 86.590 - Board of trustees authorized to invest funds, how.
Section 86.810 - Hancock provision to void sections.
Section 86.920 - Retirement board established, responsibility for operation of retirement system.
Section 86.930 - Membership of the board — election procedures — vacancies — oath.
Section 86.940 - Voting rights of board members.
Section 86.950 - Board to establish policies — officers and employees.
Section 86.951 - Board deemed a state agency — rulemaking authority.
Section 86.970 - Compensation of board members.
Section 86.980 - Board members in active police service, leave to attend educational seminars.
Section 86.990 - Board to certify amount to be paid by city, when.
Section 86.1010 - Members' retirement contributions, amount, how determined.
Section 86.1020 - Board to act as trustee of certain funds — powers of the board.
Section 86.1050 - Criminal liability not limited by retirement system laws — correction of errors.
Section 86.1060 - Board may sue and be sued — service of process, procedure.
Section 86.1070 - Findings of the board — review.
Section 86.1100 - Creditable service, board to fix and determine by rule.
Section 86.1110 - Military leave of absence, effect of — service credit for military service, when.
Section 86.1130 - Membership, terminated when.
Section 86.1150 - Retirement age — base pension amount.
Section 86.1151 - Tier II members, retire when — benefits, how computed.
Section 86.1160 - Termination of membership prior to death or retirement, effect of.
Section 86.1210 - Partial lump sum option plan distribution authorized.
Section 86.1220 - Cost-of-living adjustments in addition to base pension.
Section 86.1250 - Pensions of children of deceased members.
Section 86.1260 - Pensions of spouse and children of member who died in performance of duty.
Section 86.1280 - Early retirement incentives, effect of.
Section 86.1310 - Definitions.
Section 86.1350 - Voting by board, votes necessary to pass a motion.
Section 86.1390 - Contributions to retirement system by cities, amount.
Section 86.1410 - Board to be trustee of funds — powers and duties.
Section 86.1450 - Board may sue and be sued — service of process, procedure.
Section 86.1460 - Findings of board final and conclusive — judicial review.
Section 86.1470 - Board may purchase liability insurance — indemnification, when.
Section 86.1480 - Who shall be members.
Section 86.1490 - Creditable service, determination of — inclusions and exclusions.
Section 86.1510 - Members entitled to prior creditable service, when.
Section 86.1520 - Duration of membership.
Section 86.1530 - Normal retirement dates.
Section 86.1570 - Offset to workers' compensation payments — member's percentage defined.
Section 86.1590 - Cost-of-living adjustments — base pension defined.
Section 86.1620 - Funeral benefits, amount.
Section 86.1640 - Incentives for early retirement, board to administer and pay.