§ 32-27. Retirement benefits, normal form and amount, early retirement benefit.

(a)

The normal form of retirement benefit payable hereunder from the pension plan (whether payment commences on a normal retirement date or an early retirement date) shall be an income payable monthly to the retired member for life, commencing on the first day of the month on which the first payment is due in accordance with the provisions hereof and ceasing with the payment due on the first day of the month in which the member's death occurs.

(b)

Each member in the pension plan upon retiring on or after the member's normal retirement date shall be entitled to receive, commencing on the first day of the calendar month coincident with or next following the member's retirement date, a monthly amount of retirement benefit equal to one-twelfth ( 1/12 ) of the product of one and one-half (1½) percent of the member's average compensation multiplied by the member's number of years of credited service.

(c)

Each member in the pension plan retiring before January 1, 1984, and before the member's normal retirement date in accordance with section 32-26 shall be entitled to receive, commencing on his or her normal retirement date, a monthly pension equal to one-twelfth of one and one-half ( 1/12 of 1½) percent of the member's average compensation multiplied by the member's number of years of credited service.

(d)

Each member who began participation in the pension plan prior to July 1, 2017, who holds a position that is not included in any collective bargaining agreement and who is retiring after January 1, 1984, and before the member's normal retirement date in accordance with section 32-26, shall be entitled to receive, commencing on the earlier of either the member's normal retirement date or the first day of the month following the birthday of a member which causes the sum of his or her age and number of years of service to equal eighty-five (85), a monthly pension equal to one-twelfth of one and one-half ( 1/12 of 1½) percent of the member's average compensation multiplied by the member's number of years of credited service.

(e)

Each member in the pension plan hired after July 1, 2017, who holds a position not included in any collective bargaining agreement, shall be entitled to receive, commencing on the member's normal retirement date, a monthly pension equal to one-twelfth of one and one-half ( 1/12 of 1½) percent of the member's average compensation multiplied by the member's number of years of credited service.

(f)

A member age fifty-five (55) or over and retiring prior to January 1, 1984, may elect to receive a reduced monthly amount of retirement benefit (commencing on the first day of any month on or after the member's early retirement date and before his or her normal retirement date) which shall be the monthly benefit which otherwise would commence on the member's normal retirement date reduced by one-half of one percent (½ of 1%) for each month by which the actual commencement of pension benefit payments precedes the normal retirement date.

(g)

Each member who began participation in the pension plan prior to July 1, 2017,who holds a position that is not included in any collective bargaining agreement, who has reached at least age fifty-five (55) and is retiring after January 1, 1984, and before both the member's normal retirement date and the first day of the month following the birthday of a member which causes the sum of the member's age and number of years of service as an employee of the City to be equal to eighty-five (85) may elect to receive an early retirement benefit equal to a reduced monthly amount of retirement benefit which shall be the monthly benefit which otherwise would commence on the earlier of either a member's normal retirement date or the first day of the month following the birthday of a member which causes the sum of the member's age and number of years of service as an employee of the City of Danbury to equal eighty-five (85), reduced by one-half of one percent (½ of 1%) for each month by which the actual commencement of pension benefit payments precedes the earlier of either the member's normal retirement date or the first day of the month following the birthday of a member which causes the sum of the member's age and number of years of service as an employee of the City of Danbury to equal eighty-five (85).

(h)

Each member who began participation in the pension plan after July 1, 2017, who holds a position that is not included in any collective bargaining agreement, who has reached at least age fifty-five (55) and is retiring before the member's normal retirement date, may elect to receive an early retirement benefit equal to a reduced monthly amount of retirement benefit which shall be the monthly benefit which otherwise would commence on the member's normal retirement date reduced by one-half of one percent (½ of 1%) for each month by which the actual commencement of pension benefit payments precedes the member's normal retirement date.

(i)

In lieu of the early retirement benefit specified in subsections (f), (g) or (h) of this section and provided none of the optional forms of retirement benefit described in section 32-28 is in effect, a member in the pension plan who is retiring in advance of the date on which he or she is eligible to receive his or her primary Social Security benefit may elect in writing, filed with the Board prior to the commencement of retirement benefit payments from the pension plan, a form of retirement benefit of equivalent actuarial value to the retirement benefits which would otherwise be paid to the member from the pension plan and under which he or she shall receive a greater amount of retirement benefit until the date on which it is expected he or she will become eligible to commence receiving Social Security benefit payments, and a smaller amount of retirement benefit from the pension plan or no retirement benefit from the pension plan thereafter, so that, insofar as is practicable, he or she may have a constant total amount of retirement income from the pension plan inclusive of his or her benefit payments under the Social Security Act.

(j)

The election of an early retirement benefit under this section must be in writing and filed with the Board, in such form as it shall prescribe, at least sixty (60) days prior to the date benefits are to begin.

(k)

If the monthly payment under this section to any person would amount to less than twenty dollars ($20.00) the Board may cause payment to be made to such person at less frequent intervals (but not less frequently than annually) in correspondingly greater amounts; provided, however, that if the annual rate of benefit payable to any person is less than one hundred dollars ($100.00), the Board may, at its sole discretion, direct the trustee to pay such person the then-present value of the retirement benefit in one sum forthwith or in installments with interest over such period of time as the Board may determine.

(l)

Those persons receiving pensions based on formulas in effect under this pension plan, prior to December 4, 1968, shall have their annual pensions increased by the sum of two hundred dollars ($200.00) effective July 1, 1971. All persons retiring prior to July 3, 1973, shall have their pension increased by ten (10) percent effective September 1, 1975, and all persons retiring prior to July 3, 1973, shall have their pensions increased by an additional ten (10) percent effective September 1, 1977. All persons retiring prior to July 3, 1973, shall have their pensions increased by an additional fifteen (15) percent effective January 1, 1982.

(m)

(1)

Except as otherwise provided in subsection (m)(2) of this section, persons retiring from service with the City of Danbury shall have their pensions increased from time to time for increases in the cost of living, as hereinafter described. For purposes of this section, the term "base month" shall mean the month of December next preceding the July 1 on which the most recent cost of living increase in pensions became effective, but the first base month shall be December 1, 1973; the term "cost of living index" shall mean the "Consumer Price Index for Urban Wage Earners and Clerical Workers," United States city average, all items—Series A (1967-100), published by the United States Department of Labor, Bureau of Labor Statistics. Each January, commencing January 1975, the cost of living index for the next preceding December shall be divided by the cost of living index for the base month; if the quotient equals or exceeds 1.15, all pensions shall be increased by multiplying the pension currently being paid by 1.15; such increase to be effective the following July 1. Such increases in pensions shall apply to surviving beneficiaries and surviving contingent annuitants to whom benefits are payable under the terms of this article, as well as to retired members.

(2)

No employee hired after July 1, 2017, who holds a position that is not included in any collective bargaining agreement, nor any surviving beneficiary or surviving contingent annuitant of such employee, shall be eligible for any increase to his or her pension, or any payments thereof, on account of increases in the cost of living, as otherwise described in subsection (m)(1) of this section.

(n)

In order to qualify for a cost of living adjustment as provided for in subection (m) of this section, a member must have retired prior to January 1 in the year during which said cost of living adjustment became effective.

(o)

A member in the retirement plan may elect to receive the normal form of retirement benefit that is available under the applicable plan document in effect for such retirement plan, if such plan document provides for a normal form of such benefit.

(Code 1961, § 14-5; Ord. No. 19-1963, 12-5-1963; Ord. No. 137, 12-4-1968; Ord. No. 166, 1-4-1972; Ord. No. 189, §§ 7—10, 7-3-1973; Ord. No. 211, 12-2-1975; Ord. No. 275, 11-5-1981; Ord. No. 312, 9-24-1984; Ord. No. 31, § 14-5, 12-6-2016)