(a) Each covered firefighter employee shall be assessed and required to pay into the fund an amount equal to the cost of twenty (20) year service retirement benefits as established herein less six and seven tenths (6.7) per cent of the employee's compensation. The cost is hereby defined to be the cost of a retirement benefit permitting the retirement of a covered employee with twenty (20) years or more of covered service at the level of benefits herein established, less the cost of a retirement benefit at the established level allowing covered employees to retire at age sixty (60) with twenty-five (25) years or more service in covered employment. The calculation of the respective costs of providing and maintaining these benefits shall be calculated annually by an actuary chosen by the administrator, upon the recommendation of the FRB, and shall be reported to the city council by July first of each year. After October 1, 1996, tThe contribution of each firefighter employee shall be ten and fifty-five sixteen and twenty four hundredths (10.55 16.24) per cent of that employee's compensation.  

    (b) In addition to the contribution set forth in subparagraph (a) above, each covered firefighter employee shall pay into the FRF an amount equal to that which he would be required to pay if subject to Social Security tax.

    (c) The contributions of covered employees shall be deducted from the biweekly compensation paid to each by the administrator and placed in the FRF. Deduction of contributions shall be a term and condition of employment; acceptance and continuance in employment shall be deemed to be the assent of an employee to deductions.

    (d) The city shall pick up employee contributions required of fire employees for all compensation earned after the effective date of this provision. The contributions so picked-up shall be treated as employer contributions in determining tax treatment under the code. The city shall pick up these contributions from funds established and available, which funds would otherwise have been designated as employee contributions and paid to the retirement fund. Employee contributions picked-up by the city pursuant to this provision shall be treated for all other purposes, in the same manner and to the same extent, as employee contributions made prior to the effective date of this provision.

The effective date of this provision shall be the first day of the first pay period following at least thirty (30) days after the city has received notification from the Internal Revenue Service that pursuant to section 414(h) of the code, these employee contributions so picked up shall not be included in gross income for tax purposes until such time as they are distributed by refund or benefit payment.

    (e) Exclusive benefit; mistake of fact. Except as otherwise provided in this plan, the trust fund shall be retained for the exclusive benefit of employees and their beneficiaries, shall be used to pay benefits to such persons, to pay administrative expenses to the extent not paid by the city, and shall not revert to or inure to the benefit of the city. The trustee, shall return to the city the amount of the city's contribution made by mistake of fact.

    (f) In addition to other employee contributions set forth in this section, each covered firefighter employee shall be assessed and be required to pay into the fund one and seven hundredths (1.07) percent of the employee's compensation. This amount is to pay for the 1997 improvements in disability retirement benefits and is subject to periodic adjustment.

(Code 1964, § 9.1930; Ord. No. 10299, § 1, 9-4-84; Ord. No. 18868, § 1, 2-4-91; Ord. No. 13117 § 1, 9-16-91; Ord. No. 13555 § 1, 1-4-93; Ord. No. 13816 § 1, 9-20-93; Ord. No. 14597 § 1, 8-21-95; Ord. No. 14982, § 1, 9-16-96; Ord. No. 15381, § 1, 10-6-97)