Pennsylvania Code › Title 16 - COMMUNITY AFFAIRS › Part IV - Public Employee Retirement Commission › Chapter 201 - GENERAL PROVISIONS › Section 201.2 - Definitions

Current through Register Vol. 54, No. 28, July 13, 2024
The following words and terms, when used in this part, have
				  the following meanings, unless the context clearly indicates otherwise:
Act
-The Municipal Pension Plan Funding
				  Standard and Recovery Act (53 P. S. §§
										895.101-895.803).
Amortization contribution requirement
-A
				  dollar value that represents the aggregate annual payment or credit toward the
				  unfunded accrued liability and is determined under section 302(b)(3) of the act
				  (53
				  P. S. §
										895.302(b)(3)).
Ancillary benefit
-An aspect of the benefit
				  plan other than either the retirement benefit or the provisions of the benefit
				  plan directly related to or directly affecting the retirement benefit.
Commission
-The Public Employee Retirement
				  Study Commission of the Commonwealth.
Distress determination
-The calculation of
				  the relative degree of financial distress existing for a municipal pension
				  system in a given year under the procedure specified in Chapter 5 of the act
				  (53
				  P. S. §§
										895.501-895.504).
Election form
-An individual form-PC-204D,
				  Act 205 Recovery Program Election Form-provided by the Commission for
				  completion by municipalities electing to participate in the recovery program
				  for financially distressed municipal pension systems established in Chapter 6
				  of the act (53 P. S. §§
										895.601-895.609).
Employer normal cost
-The normal cost of a
				  pension plan calculated under section 302 of the act (53 P. S. §
										895.302) less the amount of member
				  contributions anticipated receivable for the following year.
Firefighter
-A municipal employe who holds a
				  position or an office in the fire department of a municipality and has
				  retirement coverage provided by the firefighters' pension plan.
Funding adjustment
-A dollar value that, in
				  the case of a defined benefit plan self-insured in whole or in part, is equal
				  to one-tenth of the amount by which the actuarial value of assets exceeds the
				  actuarial accrued liability. In the case of a defined benefit plan insured in
				  whole by an insurance carrier, the funding adjustment is equal to the amount of
				  cash assets available for the payment of future insurance premiums.
Letter of intent
-A letter filed with the
				  Commission by a municipality disclosing the municipality's intention to
				  participate in the recovery program and requesting a distress determination to
				  establish the level of the recovery program applicable to the
				  municipality.
Municipality
-A city, borough, incorporated
				  town, township, home rule municipality, association of municipalities
				  cooperating under the act of July 12, 1972 (P. L. 762, No. 180), referred to as
				  the Intergovernmental Cooperation Law, or authority established by the actions
				  of a county, city, borough, town or township or jointly by these political
				  subdivisions.
Nonuniformed employe
-A municipal employe
				  other than a police officer or firefighter.
Pension plan
or
system
-The
				  various aspects of the relationship between a municipality and its employes
				  with respect to the retirement coverage provided by a municipality to the
				  employes. The term does not include a plan, program or arrangement that is
				  funded solely by municipal employe earnings or compensation reported as
				  municipal employe earnings or compensation to the Internal Revenue Service on
				  the Form W-2 Wage and Tax Statement or established under sections
				  8.1-8.3 of the act of March 30, 1811
				  (P. L. 145, 5 Sm.L. 228) (72 P. S. §§
										4521.1-4521.3) or section 408 of the Internal
				  Revenue Code ( 26 U.S.C.A.
				  §
										408.
Police officer
-A municipal employe who holds
				  a position or an office in the police department of a municipality and has
				  retirement coverage provided by the police pension plan.
Recovery program
-The remedial program for
				  financially distressed municipal pension systems established in Chapter 6 of
				  the act (53 P. S. §§
										895.601-895.609).
Regional
or
joint pension
				  plan
-A pension plan established and maintained by two or more
				  municipalities cooperating under the act of July 12, 1972 (P. L. 762, No. 180),
				  referred to as the Intergovernmental Cooperation Law.
Reporting form
-The individual form supplied
				  by the Commission and distributed to municipalities for use in the preparation
				  and submission of actuarial valuation reports under Chapter 2 of the act
				  (53
				  P. S. §§
										895.201-895.208).
The provisions of this §
											201.2 amended under section 609 of
					 the Municipal Pension Plan Funding Standard and Recovery Act (53 P. S. §
												895.609).