Pennsylvania Consolidated & Unconsolidated Statutes
Chapter 11 - Powers, Duties and Rights of Appointed Officers and Employees
Section 1131 - Police pension fund

(a) Authorization to establish.--If a police force of less than three full-time members is being maintained, the borough may, unless there is a private organization or association constituting and managing an existing pension fund for the members of the police force in the borough, by ordinance, establish a police pension fund into which each member of the police force shall pay an equal and proportionate monthly charge to be withheld from the pay of the member.
(b) Investment and insurance instruments as alternative.--In lieu of establishing a pension fund in accordance with subsection (a), the borough may, by ordinance, provide investment or insurance instruments for the purpose of the payment of pensions or annuities to the members of the police force who receive honorable discharge by reason of age or disability and to the families of police officers injured or killed in service.
(c) Administration.--
(1) All pension funds or investment or insurance instruments established under this section shall be under the direction of the council, or a committee as it may designate, and shall be applied under regulations as the council may, by ordinance, prescribe for the benefit of the members of the police force who receive honorable discharge by reason of age or disability and the families of police officers injured or killed in service.
(2) Council shall appoint by resolution a chief administrative officer who shall have the primary responsibility for the execution of the administrative affairs of the pension plan, subject to the direction of council.
(3) Any allowances made to individuals who retire by reason of disability or age shall be in conformity with a uniform scale.
(d) Eligibility.--The ordinance establishing the police pension fund shall prescribe a minimum period of total service, a minimum age or both after which members of the force may be eligible for retirement from active duty.
(e) Obligation of payments.--Payments made on account of police pensions shall not be a charge on any fund in the treasury of the borough or under its control except the police pension fund.
(f) Funding.--A borough establishing a police pension fund by ordinance under this section shall provide from any available borough revenue source funding of the police pension fund in an amount sufficient to meet the minimum obligation of the borough with respect to the police pension fund under the act of December 18, 1984 (P.L.1005, No.205), known as the Municipal Pension Plan Funding Standard and Recovery Act.
(g) Management.--
(1) A borough may take, by gift, grant, devise or bequest, any money or property, real, personal or mixed, in trust for the benefit of the police pension fund.
(2) The care, management, investment and disposal of the trust funds or property shall be vested in the officers as the borough shall direct by ordinance and shall be governed by the officers, subject to any directions not inconsistent with the ordinance as the donors of the funds and property may prescribe.
(h) Right to equal and proportionate share.--No person participating in the police pension fund and becoming entitled to receive a benefit from the fund may be deprived of the person's right to an equal and proportionate share of the fund upon the basis upon which the person first became entitled to the benefit.
(i) Applicable law.--The act of May 29, 1956 (1955 P.L.1804, No.600), referred to as the Municipal Police Pension Law, or the act of February 1, 1974 (P.L.34, No.15), known as the Pennsylvania Municipal Retirement Law, shall govern any borough police pension fund not established under the provisions of this section.

Structure Pennsylvania Consolidated & Unconsolidated Statutes