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<br />~, - <br /> <br />R-12-23 <br /> <br />A RESOLUTION CERTIFYING THAT CITY OF PORTSMOUTH EMPLOYEES WHO <br />ARE VIRGINIA RETIREMENT SYSTEM MEMBERS ARE REQUIRED TO <br />CONTRIBUTE 5% OF THEIR CREDITABLE COMPENSATION BEGINNING ON <br />JULY 1, 2012. <br /> <br />WHEREAS, the City of Portsmouth employees who are Virginia Retirement System <br />members who commence or recommence employment on or after July 1,2012 ("FY2013 <br />Employees"), shall be required to contribute five percent of their creditable compensation by <br />salary reduction pursuant to Internal Revenue Code ~414(h) on a pre-tax basis upon commencing <br />or recommencing employment; and <br /> <br />WHEREAS, the City of Portsmouth employees who are Virginia Retirement System <br />members and in service on June 30, 2012, shall be required to contribute five percent of their <br />creditable compensation by salary reduction pursuant to Internal Revenue Code ~ 414(h) on a <br />pre-tax basis no later than July 1,2016; and <br /> <br />WHEREAS, such employees in service on June 30, 2012, shall contribute a minimum of <br />an additional one percent of their creditable compensation beginning on each July 1 of 20 12, <br />2013,2014,2015, and 2016, or until the employees' contributions equal five percent of <br />creditable compensation; and <br /> <br />WHEREAS, the City of Portsmouth may elect to require such employees in service on <br />June 30, 2012, to contribute more than an additional one percent each year, in whole <br />percentages, until the employees' contributions equal five percent of creditable compensation; <br />and <br /> <br />WHEREAS, the second enactment clause of Chapter 822 of the 2012 Acts of Assembly <br />requires an increase in total creditable compensation, effective July 1,2012, to each such <br />employee in service on June 30, 2012, to offset the cost of the member contributions, such <br />increase in total creditable compensation to be equal to the difference between five percent of the <br />employee's total creditable compensation and the percentage of the member contribution paid by <br />such employee on January 1, 2012. <br /> <br />NOW THEREFORE BE IT RESOLVED that the City of Portsmouth does hereby <br />certify to the Virginia Retirement System Board of Trustees that it shall effect the <br />implementation of the member contribution requirements of Chapter 822 of the 2012 Acts of <br />Assembly according to the following schedule for the fiscal year beginning July 1,2012: <br /> <br />Type of <br />Employee <br /> <br />Employer Paid <br />Member Contribution <br /> <br />Employee Paid <br />Member Contribution <br /> <br />Plan 1 <br />Plan 2 <br />FY 2013 Employees <br /> <br />0% <br />0% <br />0% <br /> <br />5% <br />5% <br />5% <br />