HomeMy WebLinkAboutORDINANCE - 1021 - 9/23/1975 - AGREEMENT/POLICE OFFICER/RETIREMENTORDINANCE NO. 1021
AN ORDINANCE AUTHORIZING THE VILLAGE PRESIDENT AND VILLAGE
CLERK TO ENTER INTO AN AGREEMENT ENTITLED RETIREMENT PEN-
SION AND DEATH BENEFIT PLAN - WILLIAM A. ULKE.
WHEREAS, the Village of Elk Grove Village is desirous of entering
into an Agreement with William A. Ulke, a police officer employed by
the Village, said Agreement relating to the retirement, pension and
death benefits of said employee; and
WHEREAS, the Village of Elk, Grove Village is a Home Rule municipality
as defined by Section 6 of Article 7 of the Constitution of the State of
Illinois and is entitled to exercise such power and function of Home Rule
units as is contained therein; and
WHEREAS, the entering into of such contracts and agreements as
stated aforesaid is a proper function of a Home Rule municipality.
NOW, THEREFORE, BE IT ORDAINED by the President and Board of Trus-
tees of the Village of Elk Grove Village, Cook and DuPage Counties,
Illinois, as follows:
Section 1: That the Village President and the Village Clerk are
hereby authorized to execute the Retirement, Pension and Death Benefit
Plan Agreement between the Village of Elk Grove Village and police
officer, William A. Ulke, a copy of which is attached hereto as Exhibit A
and incorporated herein.
Section 2: That this Ordinance shall be in full force and effect
immediately after its passage and approval according to law.
PASSED this 23rd
APPROVED this 23rd
VOTE: AYES 6
ATTEST:
VILLV CLERK
day of September , 1975.
day of September , 1975.
NAYS 0 ABSENT 0
EXHIBIT A
THIS AGREEMENT, dated September 23, 1975, by and between the Village of
Elk Grove Village (hereinafter referred to as the Village) and Officer
William A. U1ke (hereinafter referred to as the Employee),
and
WITNESSETH, that
WHEREAS, the Employee was hired by the Village on September 14, 1970,
WHEREAS, at said date, the Employee was 39 years of age, and
WHEREAS, the Illinois Revised Statutes prohibited -the participation of
policemen who commence employment subsequent to their 35th birthday into the
Police Pension Fund, and
WHEREAS, the Employee has proved himself to'be an able, loyal and
trustworthy member of the Village Police Department, and
WHEREAS, the Village has purchased a whole life insurance policy on
December 5, 1973, known as Connecticut Mutual Life Policy No. 3,029,107, a
copy of which is attached hereto and made a part hereof (hereinafter
referred to as Life Policy), and
WHEREAS, it is the desire of the Parties hereto.to enter into an
Agreement whereby the proceeds of the above stated policy can be utilized
to provide pension and death benefits for the Employee similar to those
provided by the Policemen's Pension Fund, Article 3, Chapter 108-1/2 of the
Illinois Revised Statutes (1973),
IT IS HEREBY AGREED that for and in consideration of the mutual promises
herein set forth, the following Retirement Pension and Death Benefit Plan is
hereby adopted and shall go into effect upon the execution of this Agreement
by all Parties.
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Retirement Pension and Death Benefit Plan
William A. Ulke
I. RETIREMENT PENSION
A. Prior to 20 years creditable service - If the Employee is separated
from the Village Police Department prior to attaining twenty (20) years of
creditable service, Creditable Service being defined in Section 3-110 of
Chapter 108-1/2; then he shall be entitled, upon his written request, to a
lump sum payment of an amount equal to his contribution as hereinafter set
forth. The above payment shall be payable out of the .cash surrender proceeds
of the Life Policy, with the remaining proceeds, if any, to go to the Village.
B. Subsequent to twenty (20) years Creditable Service - if the Employee
shall retire after attaining twenty (20) years of creditable service, the
Village shall surrender the Life Policy for its existing cash value,
including accumulated dividends and deposit same in a special interest
bearing account and pay the Employee from said account as follows:
A pension equal to 1/2 of the salary attached to the rank he held on
the village Police Department for one (1) year immediately prior to his
retirement. The pension shall be increased by 2% of such salary for
each additional year of such service over twenty (20) years up to thirty
(30) years of service, then 1% per year over thirty (30) years to a
maximum limit of 75% of such salary. Upon the death of the Employee,
his surviving widow, if she remains unmarried, or his surviving minor
children shall be entitled to the pension to which the Employee was
entitled. If during the course of payment of the above pension, the
amount received by the surrender of the cash value becomes insufficient
to make further payments and is depleted, the village will continue to
make the above described pension payments out of its General Corporate
Fund.
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II. DEATH BENEFITS
If the Employee shall die while he is in active service in the Village
Police Department, leaving a widow, or child or children under age 18, the
Village shall pay a yearly pension of 1/2 of the salary attached to the rank
held by the Employee for one year immediately prior to his death, payable to
his widow during widowhood. If there is no widow, the pension shall be paid
to the children until they become 18 years of age. Upon the death of the
Employee, the Village shall immediately apply for all proceeds due the
Village as beneficiary of the Life Policy and, upon receipt thereof, shall
deposit same in an interest bearing account and make payments to the widow
or children of the Employee as above described.
If, during the course of payment of the above death benefits, the above
special account is depleted or otherwise contains insufficient funds from
which to make future payments, the Village will continue to make the above
designated death benefit payments out of its General Corporate Fund.
III. FINANCING - DURATION
The Life Insurance Policy contained in this Agreement shall be funded
as follows:
A. The Employee shall contribute an amount equal to 8-1/2% of his
salary, as defined in Section 3-125 of Chapter 108-1/2, said amount to be
deducted by the Village from the Employee's regualr salary payments.
B. The Village shall contribute an amount equal to the amount
contributed by the Employee but in no event shall the amount contributed
by the Village be greater than the amount contributed by the Employee.
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C.. If, as a result of increases in the Employee's salary and thus an
increase in the Village's contribution, as set forth above, resulting in
excess funds over and above the amount needed to finance the Life Policy,
the Village shall deposit such excess funds in an interest bearing account.
The proceeds of this account shall be used in conjunction with the proceeds
of the Life Policy in funding the terms of this Agreement.
A. If the Employee shall wish to cancel this Agreement and choose
not to contribute that portion of his salary above stated, then and in that
event th= Village shall cancel the above Policy and pay to the Employee all
amounts contributed by him with the remainder, if any, to go to the Village.
If the Employee shall terminate this Agreement, neither he, his wife nor
his minor children will be entitled to death or pension payments by the
Village.
VILLAGE OF ELK GROVE VILLAGE
WILLIAM A. ULKE
Attest:
VILLAGE PRESIDENT VILLAGE CLERK
41
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