§ 62-139. Plan amendment, merger and termination.

(a)

Amendment by city. The city reserves the right, subject to subsection (b) of this section of the plan, to amend the plan at any time and from time to time. However, no amendment shall make it possible for any part of the funds of the plan to be used for, or diverted to, purposes other than the exclusive benefit of persons entitled to benefit under the plan. No amendment to the plan shall be effective to the extent that it has the effect of decreasing a participant's account balance or of reducing the non-forfeitable percentage of the balance of a participant's account below the non-forfeitable percentage computed under the plan as in effect on the date on which the amendment is adopted or, if later, the date on which the amendment becomes effective.

(b)

Termination by city. The city reserves the right to terminate this plan or completely discontinue contributions under the plan for any reason at any time. However, in the event of such termination no part of the trust shall be used or diverted to any purpose other than for the exclusive benefit of the participants or their beneficiaries. Upon plan termination or partial termination of the plan, or the complete discontinuance of the city's contributions to the plan, all participant accounts are 100 percent vested and the rights of all affected participants to their accounts shall be non-forfeitable and all account balances shall be valued at their fair market value and all affected participants' accounts shall be distributed to the participants as soon as administratively practicable following the plan's termination or partial termination. In lieu of distributing the participants' accounts on plan termination, the city may direct the plan to transfer all of the plan's assets to another plan maintained by the state or by a political subdivision, agency or instrumentality of the state, and the participants whose accounts are transferred are not eligible to defer further amounts under such plan unless they are performing services for the entity maintaining the plan, in accordance with the laws governing such transfer.

(c)

Mergers, consolidations, and transfer of assets. The plan shall not be merged into or consolidated with any other plan, nor shall any of its assets or liabilities be transferred into any such other plan, unless each participant in the plan would (if the plan then terminated) receive a benefit immediately after the merger, consolidation, or transfer that is equal to or greater than the benefit he would have been entitled to receive immediately before the merger, consolidation, or transfer (if the plan had then terminated).

(Ord. No. 4306-10, § 1, 2-22-2011)