MBTA Police Association Retirement Plan

Transcription

1 MBTA Police Association Retirement Plan Amended and Reinstated as of February 27, 2002

2 ~ i i MASSACHUSETTS BAY TRANSPORTATON AUTHORTY POLCE ASSOCATON RETREMENT PLAN (Amended and Restated as of February 27, 2002) ARTCLE - Definition of Terms in this Agreement The following words and phrases as used herein shall have the following meanings unless a different meaning is plainly required by context: "Plan" shall mean the Massachusetts Bay Transportation Authority Police Association Retirement Plan. "Rules" shall mean the Rules and Regulations of the Massachusetts Bay Transportation Authority Police Association Retirement Plan and, wherever "rules" appear herein, these refer to the rules established by the Retirement Board for the administration of the Plan and the transaction of its business. "Effective Date of the Plan" shall mean January 1. J 984. "Authority" shall mean the Massachusetts Bay Transportation Authority. 5. "Directors" shall mean the Board of Directors of the Authority. 6. "Fiduciary" shall mean the trustees by whom the assets of the Fund are held as provided in Article V. 7. "Retirement Board" shall mean the managing board of the Plan as provided in Article V. 8. The term "Association" shall mean the Massachusetts Bay Transportation Authority Police Association. 9. "Employee" shall mean any person regularly employed by the Authority who receives a regular stated compensation from the 1

3 Authority, other than a pension, severance pay, retainer or fee under contract. 10. "Member" shall mean any person included in the membership of the Fund as provided in Article. 11. "Retired Member" shall mean a former member who has been retired under this Agreement or the Rules, or a former employee retired from the service prior to the Fund and entitled to a benefit under Article V. 12. (a) "Compensation" shall mean the following parts of actual compensation received in any month: (i) base pay, (ii) longevity, (iii) education allowance, (iv) night shift differential, and (v) holiday pay (vi) firing range stipend. (b) Compensation shall exclude the Authority's cost for any public or private employee benefit plan, including this Plan, under rules uniformly applicable to all employees similarly situated. From within the pay categories described in paragraph (a) above, Compensation shall include amounts deducted from compensation (i) as pre-tax contributions under RC 414(h)(2) made to a qualified retirement plan sponsored by the Authority, and (ii) as pre-tax contributions made to a retirement plan under RC Section 457, and (iii) under RC Section 125 n no event shall a Member's Compensation taken into account under the Plan for any calendar year exceed $150,000 or such other amount as the Secretary of the Treasury may determine for such calendar year in accordance with Section 401 (a)(17) of the Code. Any change in the maximum compensation limit described above shall apply only to Compensation taken into account beginning with the calendar year in which such changed limit is effective. 2

4 For calendar years commencing on or after January 1, 2002, Compensation shall not exceed $200,000, as adjusted from time to time by the Secretary of the Treasury in accordance with Section 401(a)(17) or the nternal Revenue Code. 13. "Service" shall mean all services rendered to and paid for by the Authority or its predecessors. 14. "Membership service" shall mean the period of service rendered by an employee as a member for which credit is allowed as provided in Article ll, Section (2). 15. "Prior service" shall mean the period of service rendered by an employee prior to the Effective Date of the Plan for which credit is allowed as provided in Article ll, Section (3). 16. "Creditable service" shall mean the sum of any membership service and any prior service "Normal retirement date" shall mean the first day of the month coincident with or next following the sixty-fifth anniversary of an employee's date of birth. 18. "Retirement allowance" shall mean the annual payments for life hereunder. All retirement allowances shall be payable in monthly installments commencing at the end of the month in which the retirement allowance becomes effective and ceasing with the last monthly payment prior to death. Notwithstanding the above, upon the death of the retired member only, there shall be payable a fractional monthly payment based on the number of days during the month that the member survived. Upon direction of the Retirement Board, a lump sum payment which is the actuarial equivalent of the retirement allowance may be made in lieu of any retirement allowance amounting to less than $120 per annum. 19. "Regular nterest" shall mean interest at the rate stated in Article 3

5 V, Section (8)(e). 20. "Actuarial Equivalent" shall mean a benefit of equivalent value computed on the following basis: (a} an interest rate of 5% (b} the George B. Buck 1989 Mortality Table for Males for determining Members' mortality; and (c) the George B. Buck 1989 Mortality Table for Females for determining Beneficiaries' mortality. 21. "Early Normal Retirement Date" shall mean the first day of any month following the completion of twenty-three (23) years of service and attaining age fifty-two ( 52). 22. "Reduced Early Retirement Date" shall mean the first day of any month following the completion of twenty (20) years of service and attaining age fifty ( 50). 23. "Average Monthly Compensation" shall mean the monthly average of the highest three (3) years of compensation prior to retirement, termination, death or transfer to another bargaining unit. 24. "Accrued Benefit" shall mean, at any point in time, that benefit, commencing at Normal Retirement Date, computed according to the normal retirement formula but based on Average Monthly Compensation and Creditable Service through the date of determination. 25. "Primary Social Security Disability Benefit" shall mean the monthly disability benefit to which the member may be entitled as a Primary beneficiary under the Social Security Act. Once such benefit has been awarded, any subsequent increases in the benefit shall not be counted for the purposes of this Plan. 26. "Earliest Unreduced Early Normal Retirement Date" shall mean the first date of the month coincident with or next following the date 4

6 the member attained (or would have attained) age fifty-two ( 5 2) and completed twenty-three (23) years of Creditable Service (had he/she remained in active service). ARTCLE f- Membership 1. All employees who are within the Police Association bargaining unit and are not members of the MBT A Retirement Fund shall become members of the Plan on the Effective Date. Certain former members of the bargaining unit and all members of the bargaining unit who are now members of the MBT A Retirement Fund will join the plan on the Effective Date as special members eligible for benefits only as described in Article V, Sections (13) and (14). 2. All future employees shall become members of the Plan within 30 days of employment in the bargaining unit. 3. f an employee retires or ceases to be an employee for any reason whatsoever, his/her membership in the Plan shall thereupon terminate, and if he/she thereafter again becomes a member, he/she shall receive no benefits on account of service rendered prior to the date he/she last became a member, except as provided in Article ll, Section (5), and Article V, Section (5); provided that under rules uniformly applicable to all employees similarly situated, the Retirement Board may continue the membership of an employee during a period of absence from service without loss of creditable service, and shall continue membership for a period of not less than two years in the case of an employee laid off for lack of work, if such member does not withdraw his/her own contributions, but no credit shall be allowed for any such period, and no benefit shall become payable to or on account of any member during a period of absence, except the return of his/her own contributions, with interest, as defined in Article V, Section 8(e). Membership in the Plan shall terminate only as provided in this section. 4. Anything herein to the contrary notwithstanding, an employee 5

7 5. granted a leave of absence by the Authority for service with a union shall be deemed to be an employee in the service of the Authority during such leave, with compensation for the purposes of the Fund at his/her full regular rate of remuneration paid to him/her by such union, and if he/she is a member of the Plan, credit under the Fund shall be allowed, as in the case of other employees for the period of such leave provided all member contributions with respect thereto are made by him/her, and employer contributions with respect thereto are made on his/her account as provided herein. f the employee is engaged in union work exclusively among employees of the Authority, the employer's contributions shall be paid by the Authority. f the employee is not exclusively engaged in work among employees of the Authority, no credit shall be allowed unless the union pays the employer's contribution thereon. To the extent not prohibited by another bargaining unit's collective bargaining agreement or another pension plan's requirements, members who have been or will be promoted/appointed outside the bargaining unit(s) to either a position within the Police Department or to another Department within the Authority, shall continue to be members of the MBT A Police Association Retirement Plan. No member will be allowed to actively participate in two (2) retirement funds at the same time or receive double benefits. However, a former member required to participate in another retirement plan shall retain his/her right to benefits as provided by Article V, Section 7 of the Plan, based on his/her years of creditable service, up to the date of said promotion/ appointment. This section shall not apply to those individuals covered by either Special Minimum Benefit A or Bas set forth in Article V, Section 1 3 and 14 of the Plan. ARTCLE ll - Creditable Service 1. Creditable service shall consist of the sum of any membership service and any prior service. 2. Membership service shall include all service rendered by an employee prior to his/her normal retirement date since he/she became a member, or since he/she last became a member in the 6

8 event of a break in membership, for which contributions are made by the member and by the Authority or a union in accordance with Article 11, Section (5). 3. Prior service creditable hereunder shall be computed from the date of first employment as shown by Authority records to the Effective Date of the Plan, for each employee who becomes a member on the Effective Date. 4. A member whose creditable service is interrupted by reason of resignation or dismissal after the Effective Date shall be offered an opportunity promptly upon the completion of three years of creditable service after he/she has been rehired to repay to the Plan all amounts he/she has withdrawn from the Plan, together with an amount equal to their reasonable earnings (the average earnings of the Plan during the period of the aforementioned withdrawal). Upon the repayment of such withdrawn funds, the member shall be entitled to credit for the sum of both periods of service as though they had been a single period of creditable service. All members eligible to exercise this right shall be advised by the Authority of that fact at least 60 days in advance of the date on which they first become eligible to make such repayment. The member shall, upon notification, have a period of six months within which to exercise the right to make such repayment. 5. Time spent in service in the Armed Forces or the Merchant Marine of the United States or its allies shall be considered creditable service if: (a) the employee was a member of the Massachusetts Bay Transportation Authority Police Association Retirement Plan at the time when such leave of absence commenced; (b) the employee has returned or returns to service of the Authority after his/her honorable discharge within the period prescribed by law or within ninety (90) days after such discharge, if there is no period prescribed by law; and ( c) the employee did not voluntarily reenlist or consent to 7

9 active military service after the completion of the time he/she was required to remain in military service. Provided, however, that any absence from service of the Authority on the foregoing grounds exceeding four ( 4) years shall be deducted in computing the creditable service to be granted for such military service. Effective December 12, 1994, and notwithstanding any provision of this Plan to the contrary, contributions, benefits, and service credit with respect to military service will be provided in accordance with RC Section 414(u). 6. Unused sick leave accumulated at the time of a member's retirement shall be included in creditable service for the purpose of computing the amount of his/her retirement allowance, but not to establish eligibility for retirement. 7. Absence from work time due solely to inability of a member to work by reason of a compensable industrial accident shall not be considered a break in service. ARTCLE V - Benefits. Normal Retirement Allowance (a) Any member in service, who reaches his/her normal retirement date, shall be retired by the Retirement Board on a normal retirement allowance to become effective on his/her normal retirement date. Effective January 1, 1997, and notwithstanding any provision of the Plan to the contrary, payment of a member's Retirement Allowance shall commence no later than the April 1 of the calendar year following the calendar year in which the Member attains age 70 1 /2 or retires, if later. n addition, all distributions from the Plan shall conform to the regulations issued under Section 401 (a)(9) of the nternal Revenue Code. Further, such regulations shall override any provision of the Plan that is inconsistent with section 401 (a)(9) of the nternal Revenue Code. 8

10 (b) Effective July 1, 1997, a Member's Retirement Allowance shall be equal to 2.36% of the Average Monthly Compensation times years of Creditable Service, however, the maximum allowance shall not exceed seventy-three percent (73%) of Average Monthly Compensation. The minimum normal Retirement Allowance for a member who has completed at least 1 O years of Creditable Service shall be $1 00 per month, and for any member who has completed at least 1 5 years of Creditable Service shall be $1 SO per month. (c) Any member in service, who has not reached his/her Normal Retirement Date, but who has reached an Early Normal Retirement Date or a Reduced Early Retirement Date, may be retired by the Retirement Board on such Early Normal Retirement Date or Reduced Early Retirement Date. The retirement allowance for any member shall be equal to the member's accrued benefit, multiplied by the appropriate early retirement reduction factor from the chart below, interpolated to the nearest month of age: Early Retirement Reduction Factor Aae Early Normal Retirement Reduced Early Retirement % 98% 63 " 96% 62 " 94% % % 59 j " 88% 58 " 86% 57 ' f 84% % 55 " 80% 54 " 76% 53 " 72% 52 " 68% 51 Not Available 64% ~-~-- -~so Not Available 60% 9

11 ( d) Any member in service who retires on an Early Normal Retirement Date shall also be entitled to a Supplemental Benefit if such member retires from active service at or after age fifty-two (52) with at least twenty-three (23) years of service. Such Supplemental Benefit shall be payable from the date of retirement through the month the member attains age 62. The amount of the Supplemental Benefit shall be equal to (i) less (ii) (but not less than zero). (i) $500 per month payable from retirement to age 57; then $700 per month payable beginning the month the member attains age 5 7; (ii) 64% of any Primary Social Security Disability Benefits the member may in any month receive. 2. Disability Retirement Allowance (a) Any member in service who has not reached his/her normal retirement date and who files application for retirement, shall be retired by the Retirement Board on a disability retirement allowance as of the first day of the calendar month next following receipt by the Retirement Board of written application therefor made by the member or by the Authority; provided that a physician or physicians designated by the Retirement Board shall certify, and the Retirement Board shall find, that such member is incapacitated, mentally or physically, to perform the work of his/her job classification or any other suitable job classification( s) in which a job is available with the Authority and has been offered to such member by the Authority, and that such member should be retired. Such other suitable job classification shall have a base rate of pay at least equal to the base rate of pay of the member on his/her date of disability. The Authority will use every reasonable effort to place the employee within the Police Department before considering work elsewhere within the Authority. 10

12 The member shall be entitled to the disability retirement allowance upon the expiration of any Authority provided short-term disability benefits (excluding Worker's Compensation). f the disability is due to non-occupational causes, the disability retirement allowance shall be payable only if the member had completed 8 years of Creditable Service. No employee shall be entitled to receive a disability allowance if the disability results from: (A) Habitual and excessive use of intoxicants, drugs, narcotics; (B) njuries or diseases sustained while under the influence of intoxicants, drugs or narcotics habitually used to excess; (C) njuries or diseases sustained while willfully and illegally participating in fights, riots, civil insurrections outside the scope of employment or committing a crime; (D) njuries or diseases sustained while serving in the Armed Forces or the Merchant Marine of the United States or her allies; $ (E) njuries or diseases incurred while working for another employer (excluding paid details) and arising out of such other employment while also employed by the Authority; (F) njuries or diseases sustained while riding in aircraft, except as a fare-paying passenger on regularly licensed and scheduled airlines; (G) njuries or diseases sustained while the employee is on leave of absence for any reason other than (i) holding office in the Association, or (ii) sickness or accident; provided, however, that an employee while on leave of absence for the reasons listed under (i) and (ii) shall not be eligible to receive benefits if the injuries or diseases so sustained fall within subparagraphs (A) to (F) above. (b) The disability retirement allowance shall become effective immediately upon retirement as provided in the foregoing Section 11

13 (2)(a) of Article V and shall be computed as follows: (i) The monthly benefit payable prior to the member's Earliest Unreduced Early Normal Retirement Date shall equal 55%of the member's current Compensation less 55% of his/her Primary Social Security Disability Benefit. For the purposes of this paragraph only, Compensation shall mean one twelfth of (a)+(b)+(c)+(d)+(e) plus one day's holiday pay: (a) current annual base pay (b) current annual longevity ( c) current annual education allowance ( d) actual night shift differential over the last 1 2 months ( e) current firing range stipend (ii) The disability benefit of a member who retired on a disability retirement allowance prior to his/her Earliest Unreduced Early Normal Retirement Date will be converted on such date to: f disability due to occupational causes: A monthly income based on the regular retirement formula in effect on his/her date of disability using Average Monthly Compensation as of the date of disability. Creditable Service for this calculation will include the period while receiving disability benefits before this benefit conversion date. The disabled member will be entitled to the Supplemental Benefit as well. The Supplemental Benefit shall be computed according to the benefit level in effect on the date of disability. f disability due to non-occupational causes: A monthly income equal to the member's accrued benefit on the date of disability, but not less that $225 per month. (iii) A member disabled after attaining his/her Earliest Unreduced Early Normal Retirement Date will be entitled to a 12

14 disability benefit equal to his/her Early Normal Retirement Benefit, including the Supplemental Benefit. ( c} A member disabled for occupational causes who accepts other job classification employment with the Authority shall receive a pension at retirement, which, in combination with pension benefits from any other pension to which the Authority contributes, will not be less than a pension calculated as if he/she remained in his/her former position, and received the salary increases uniformly applicable to his/her former position. n order to be eligible for this special minimum benefit, the member must always participate in the retirement program to which the Authority contributes, applicable to the other job classification. ( d) Once each year the Retirement Board may require any retired member receiving a disability retirement allowance who has not reached his/her normal retirement date to undergo a medical examination by a physician or physicians designated by the Retirement Board, such examination to be made at the place of residence of such retired member or other place mutually agreed upon. Should any such retired member refuse to submit to such medical examination, his/her disability retirement allowance shall be discontinued by the Retirement Board until his/her withdrawal of such refusal, and should his/her refusal continue for a year, all his/her right in and to such disability retirement allowance shall cease. f it appears from such medical examination that the disability of a retired member who has not reached his/her normal retirement date has been removed or if the Retirement Board shall find that he/she has regained his/her earning capacity, his/her disability retirement allowance shall be discontinued by the Retirement Board, or if such disability has been partly removed and his/her earning capacity partly regained, such disability retirement allowance shall be reduced proportionately by the Retirement Board. No discontinuance or reduction shall be made unless the Authority shall offer to restore the retired member with accumulated seniority to his/her former position or, in the case of partial recovery, to a suitable other position the duties of which he/she may be able to perform. f a disability retirement allowance is discontinued or reduced and if the retired member again loses 13

15 his/her earning capacity because of the same disability, he/she shall be entitled to apply to the Retirement Board to have his/her original disability retirement allowance restored, and the Retirement Board may restore all or part thereof on the basis of a medical examination by a physician or physicians designated by the Retirement Board. Any retired member whose allowance has been discontinued and who has not accepted restoration to service may withdraw from the Plan and receive the amount of his/her contributions, with interest as defined in Article V, section B(e), less the sum of all retirement allowance payments previously made to him/her and no further payments to him/her or on his/her account shall be made. 3. Optional Benefits in Lieu of Regular Benefits (a) Any member may, by written notice received by the Retirement Board before retirement, elect to convert the retirement allowance otherwise payable on his/her account after retirement into a retirement allowance of equivalent actuarial value, in accordance with one of the optional forms named below, but subject to all of the provisions of this section. This conversion right shall not apply to the Supplemental Benefit. Spousal consent shall be required if a member elects an option other than Option B providing at least a 50% lifetime annuity to the spouse. The waiver of this option must be in writing and must be consented to by the member's spouse. The spouse's consent to a waiver must be witnessed by the plan administrator or a Notary Public; specify the beneficiary (if any); specify the alternative form of payment elected by the member; and acknowledge the effect of the consent. Notwithstanding this consent requirement, if the member establishes to the satisfaction of the plan administrator that such written consent may not be obtained because there is no spouse of the spouse cannot be located, the member may elect another option. Any consent necessary under this provision will be valid only with respect to the spouse who signs the consent. Additionally, a revocation of a prior waiver may be made by a member without the consent of the spouse at any time before the commencement of benefits. The number of revocations shall not be limited. 14

16 Option A - Term Certain A retirement allowance of lesser amount, payable to the member for his/her life and in the event of his/her death within a period of 5, 10 or 15 years after his/her retirement whichever period shall be specified by the member in his/her election, the same lesser amount shall be payable for the remainder of such period to a survivor designated by him/her. f the last designated beneficiary under this option is not alive at the time of the member's death, the balance of the payments for the specified term, if any, computed to a lump sum on the basis of regular interest, compounded annually, is paid to the member's estate; if the last designated beneficiary survives the member but dies before receiving the entire balance of the payments, the part of the balance still unpaid computed to a lump sum on the basis of regular interest, compounded annually, shall be paid to such beneficiary's estate. Option B A reduced retirement allowance during the retired member's life and, following his/her death, such lesser amount or 7 5 percent, or 66 2/3 percent or 50 percent, or 33 1 /3 percent or 25 percent of such lesser amount as the member may specify in his/her election, shall be payable to his/her designated joint pensioner for the life of such survivor. Option C A reduced retirement allowance during the retired member's life and following his/her death, such lesser amount or 7 5 percent, or 66 2/3 percent, or 50 percent, or 33 1 /3 percent or 25 percent of such lesser amount as the member may specify in his/her election, shall be payable to his/her designated joint pensioner for the life of such survivor. f the designated joint pensioner shall pre-decease the retired 15

17 member, the member's monthly pension shall increase to the monthly pension amount that would have been payable had the pensioner not chosen this option. This increase shall be effective with the first benefit payment due coincident with or next following the date of death of the designated joint pensioner. (b) The election of an optional form of benefit shall become effective upon the member's retirement. (c) f the member continues in service as an employee after his/her normal retirement date and the notice of his/her election is received by the Retirement Board prior to his/her normal retirement date, the election shall become effective on his/her normal retirement date. f the notice of the election is received by the Retirement Board after the member's normal retirement date, the election shall become effective when received by the Retirement Board. n the event of the death of a member in service as an employee on or after his/her normal retirement date and after his/her election has become effective, payments of the benefit under the option computed as of the time it became effective shall commence on the last day of the month of death if the beneficiary designated under the option is then living; or, upon the retirement of such a member the amount under the option computed as of the time it became effective shall be payable to the member, but no payments shall commence or accrue to him/her until the last day of the month of retirement. ( d) The election of an optional benefit, after having been filed, may be revoked or changed by the member only by written notice received by the Retirement Board before the election becomes effective. f, however, the member or the person designated under the option dies before the election has become effective, the election shall thereby be revoked. 4. Restoration to Service Anything to the contrary notwithstanding, if any retired member is restored to service, his/her retirement allowance shall cease, 16

18 he/she shall again become a member of the Plan and any Option elected under Section ( 3) of this Article V shall thereby be revoked. Any membership service or prior service standing to his/her credit when he/she retired shall be restored to him/her, and the amount of his/her contributions, with interest as defined in Article V, Section 8(e), less the sum of all retirement allowance payments previously made to him/her, shall be restored to him/her as contributions standing to his/her credit under the Plan provided, however, that if his/her first retirement was on an early normal retirement allowance, his/her retirement allowance upon subsequent retirement shall be reduced by the actuarial equivalent of the payments he/she received prior to his/her normal retirement date during his/her previous retirement. 5. Pre-Retirement Surviving Spouse Benefit Unless the spouse shall be eligible for the benefit described in Section 6, a benefit shall be payable under this paragraph. Upon the death of a member in service prior to his/her retirement but after becoming eligible for a Normal Retirement allowance, an Early Normal Retirement allowance or a Reduced Early Retirement allowance, there shall be payable to his/her surviving spouse and/or dependent children, 50% of the benefit that would have been payable to the member from the Plan had the member retired the day before his/her death choosing Option B - 50% (the 50% Joint and Survivor Option). 6. Accidental Death Benefit 7. Vesting Upon the death of a member resulting solely from an injury or injuries sustained in the performance of duty, including, but not limited to, injuries resulting from assault and/or battery, there shall be payable to the member's surviving spouse a lifetime monthly benefit equal to 50% of the member's current compensation. For the purposes of this paragraph, compensation shall have the same meaning as in Article V, Section (Z)(b)(i). 17

19 A member who has completed 1 0 or more years of Creditable Service and who terminates his/her service with the Authority prior to becoming eligible for a Normal or Early Normal Retirement allowance, shall be fully vested in a deferred retirement allowance which shall begin on his/her Normal Retirement Date. A member may elect to receive this allowance as early as Age 55, in which case the amount of monthly income shall be reduced one-half of one percent for each month by which the actual retirement date precedes the Normal Retirement Date. 8. Return of Contributions (a) Any member, upon ceasing to be an employee for any cause other than death or retirement, shall be paid in one sum within six months thereafter the amount of his/her own contributions, with interest as defined in Article V, Section 8(e). (b) Any member with 10 or more years of Creditable Service, upon ceasing to be an employee for any cause other than death or retirement, may, at his/her election, be paid in one sum within six months thereafter the amount of his/her own contributions, with interest as defined in Article V, Section 8(e). Such a refund election will result in the forfeiture of any deferred vested allowance to which the member had been entitled. (c) Upon receipt of proof, satisfactory to the Retirement Board, of the death of a member or retired member before his/her retirement allowance has become effective, the amount of his/her own contributions, with interest as defined in Article V, Section 8(e) shall be paid in one sum to the person, if any, nominated by him/her by written designation duly acknowledged and filed with the Retirement Board if such person is living, otherwise to the estate of such member. ( d) Upon receipt of proof, satisfactory to the Retirement Board of the death of a retired member, and of the survivor of a retired member, and of the person, if any, designated under an optional benefit pursuant to Section ( 3) of this Article V, after the retirement allowance has become effective, any excess of the 18

20 retired member's contributions at retirement with interest as defined in Article V, Section 8(e), over the sum of all retirement allowance payments made shall be paid in one sum to the person, if any, nominated by the retired member by written designation duly acknowledged and filed with the Retirement Board if such person is living, otherwise to the estate of the aforesaid survivor. (e) nterest on contributions shall be computed at a rate of 5% per year, compounded annually, up to the first day of the month in which the employee becomes separated from the Authority's service, dies, or retires, whichever occurs first. 9. Restrictions on Benefits f at any time prior to ten ( 1 0) years from the Effective Date the Plan is terminated or the full current costs of the Fund (consisting of normal contributions and regular interest on any unpaid prior service cost) have not been met. then, anything herein to the contrary notwithstanding, the contributions of the Authority which may be used for the benefit of any one of the 25 highest paid employees on the Effective Date whose anticipated annual retirement allowance provided hereunder at age 65 exceeds $1, shall not exceed the largest of the following amounts: (a) $20, Waiver of Benefits (b) an amount computed by multiplying the smaller of $10,000 or 20 percent of the member's average annual compensation during the last five years of service, by the number of years during which the current costs of the Plan are met. A retired member who is receiving a monthly retirement allowance, for personal reasons and without disclosure thereof, may make written request that the Retirement Board discontinue the payment of all or any part of such monthly retirement allowance payment to him/her by filing with the Retirement Board a written waiver thereof, in such form as the Retirement Board shall require. The 19

21 Retirement Board, on receipt of such waiver, shall authorize such discontinuance in which event the member or retired member shall forfeit all right to the amount or amounts waived but shall retain the right to have the retirement allowance otherwise payable to him/her hereunder reinstated in full or in part after receipt by the Retirement Board of written notice that the member has properly revoked or altered the waiver filed in accordance herewith. 11. Worker's Compensation Offset Any benefits payable to the member under this plan (or to the spouse under Article V, Section 6) will be offset by any benefits payable under Worker's Compensation for loss of wages. f benefits from Worker's Compensation are paid in a lump sum, the duration of the offset will be determined by dividing the lump sum by the awarded weekly benefit for loss of wages. Notwithstanding the above paragraph, after the member has attained age 65 no benefit payable to the member shall be reduced because of a Worker's Compensation offset to less than $100 per month. 12. Coordination with Other Plans Benefits payable under the Plan shall be reduced by any benefits payable under another retirement plan to which the member and the Authority contributed, prior to the employee becoming a member under this Plan, and for which Creditable Service under this Plan is granted for service also recognized under the other plan. Except as noted below, should the member cease to be covered under this Plan, benefits shall cease to accrue under this Plan. However, subsequent service with the Authority shall continue to count toward determining eligibility for a Vested Allowance, or early retirement. For members who transfer out of membership into another position with the Authority which requires them to join the MBT A Retirement Fund, or a member of the MBT A Retirement Fund who transfers to a position requiring membership in this Plan will receive benefits as follows: 20

22 (a) Transferred-Out Members. A member who accepts a position which requires him to join the MBA Retirement Fund shall become a Transferred-Out member of this Plan. Neither he nor the Authority shall make any further contributions to this Plan on his behalf. He shall not accrue any additional credited service in this Plan, but he shall retain the credited service accumulated to the date of transfer. (b) Transferred-n Members. A former member of the MBA Retirement Fund who accepts a position normally covered by this Plan shall become a Transferred-n member. Both he and the Authority shall make the regular contributions required by this Plan. (c) Upon the retirement or death of either a Transferred-Out member or a Transferred-n member, there shall be payable from this Plan a benefit determined under the then current provisions of the Plan using: ' (i) the member's compensation or average compensations of the date of death or retirement, (ii) for purposes of determining the amount of benefit under this Plan, the creditable service accumulated under this Plan, and (iii) for purposes of determining eligibility for benefits under this Plan, the sum of creditable service accumulated under this Plan plus creditable service under the MBT A Retirement Plan. The maximum benefit payable from this Plan will be the Plan's regular maximum benefit multiplied by a ratio the numerator of which is the members' creditable service under this Plan and the denominator of which is the sum of the member's Creditable Service under this Plan and the MBT A Retirement Plan. (d) Upon the disability retirement of either a Transferred-Out 21

23 member or a Transferred-n member there shall be payable from this Plan a benefit determined in a manner similar to the benefits determined under (c) above. However, if at any time while in receipt of disability benefits the benefit shall be determined under a formula part of which is not related to the employee's service, the benefit determined according to the non-service related part of the formula shall be multiplied by the ratio of the member's credited service in this Plan to the sum of the member's credited service in this plan and the MBTA Retirement Plan. 13. Special Minimum Benefit "A" for Current MBTA Retirement Fund Members This paragraph shall apply to members of the bargaining unit who, on the Effective Date, were also members of the MBT A Retirement Fund. These members will continue in membership under the MBT A Retirement Fund and will be eligible for benefits as special members under this Plan only as stated in this paragraph. Upon retirement, the special member shall receive his/her regular benefit under the MBT A Retire_ment Fund. f, however, the value of benefits that would have been payable under this Plan (had the special member been a regular member of this plan) exceeds the value of benefits payable under the MBT A Retirement Fund, the special member shall receive a benefit under this Plan equal to the actuarial equivalent of the excess of the value of benefits under the Plan over the value of the benefits payable under the MBT A Retirement Fund. This minimum benefit guarantee shall apply to all benefits provided under Article V. 14. Special Minimum Benefit "B" for Current Retirement Fund Members This paragraph shall apply only to former members of the bargaining unit who, on the Effective Date, were members of the MBT A Retirement Fund and are currently in the employ of the Police Department. These former bargaining unit members will continue in membership under the MBT A Retirement Fund and will be eligible for benefits as special members under this Plan only as stated in this paragraph. Upon retirement, the special member shall receive 22

24 his/her regular benefit under the MBTA Retirement Fund. From this plan, the member shall receive a benefit determined as follows: (a) Benefits shall be based on Average Monthly Compensation as of the date of benefit determination and the benefit provisions of the MBT A Retirement Fund as of the date of determination. (b) Creditable Service shall include Creditable Service under the MBTA Retirement Fund, plus years of service as a member of the bargaining unit which are not Creditable Service under the Retirement Fund. (c) Benefits payable under this paragraph shall be offset by the actuarial value of any benefits payable to the member under the MBT A Retirement Fund. l 5. Maximum Permissible Benefit n no event may a Retirement Allowance paid by the Plan exceed the maximum benefit permitted by Section 4 l 5 of the nternal Revenue Code. f a member is a participant in two or more qualified defined benefit plans maintained by the Authority, and those benefits in combination exceed the benefit permitted under Section 4 1 5, benefits under the Plan which supplements benefits under the other plan(s) shall be reduced, to the extent of the supplemental benefit, until the limits of Section 41 5 are met. f it is unclear which plan is the supplemental plan, the primary plan will be deemed to be the plan which covers all employees in the category under which the employee last worked and which provided the basic level of retirement benefits for that category of employees. f two plans are primary plans (e.g., because they provide a basic level of benefits for separate periods of service) any reductions required after reductions applied to supplemental benefits shall be shared pro rata to the actuarial value of the primary plan benefits. Benefit increases resulting from the increase in the limitations of nternal Revenue Code Section 41 S(b) effective January l, 2002 will be provided to all employees participation in the Plan who have at least one hour of Service on or after January 1,

25 As of January 1 of each calendar year commencing on or after January 1, 2002, the dollar limitation described in nternal Revenue Code Section 415(b)(1 )(A) of the Code as determined by the Commissioner of nternal Revenue for that calendar year shall become effective as the maximum permissible dollar amount of Retirement Allowance payable under the Plan during that calendar year, except Retirement Allowances payable to members who retired prior to that calendar year. 16. Retiree ncreases (a) All retirement Allowances (including survivors' benefits) in effect on June 30, 1985 shall be increased effective July 6, 1985 by two percent. (b) For those retirees who retired prior to July 1, 1991, the following benefit adjustments shall be made: (i) {ii) Disability Retirees The Retirement Allowance of those retirees (or their survivors under one of the options of the Plan) who retired on a disability retirement and are entitled to a payment for July 1991 shall be increased effective July 1, 1991 by 1 % for each full 1 2 month period which has elapsed since their retirement date. the benefit of any potential survivor under Options A, B, or C, as described in Article V, Section 3 shall also be increased by the same percentage. All other retirees The Retirement Allowance of all other retirees (or their survivors under one of the options of the Plan) who are entitled to a benefit payment for July 1, shall be increased, effective July 1, by a flat 3%. ( c) All retirement allowances, including survivor benefits, in effect on June 30, 1997 shall be increased effective July 1, 1997 as follows: 24

26 {a) a ten percent (10%) increase for benefits which commenced prior to July 1, 1988, {b) a six percent (6%) increase for benefits which commenced on or after July 1, 1988 and before July 1, 1994, and ( c) a three percent (3%) increase for benefits which commenced on or after July 1, 1994 and before July 1, Early Retirement ncentive Program (a) Eligibility A member is eligible for the Early Retirement ncentive Program if he is in active service on October 22, 1996 and retires during the period November 1, 1996 through January 22, 1997, having provided his department head with at least 30 days advance notice of his intent to retire. (b) Age and Service Requirements To be eligible for a benefit under this Section, the member, at retirement, must be at least age 45 and have completed at least 20 years of Creditable Service prior to any service adjustments described in paragraph {c) below. (c) Adjusted Creditable Service The Retirement Allowance of a Member who retires under this Section 1 7 shall be calculated using his Adjusted Creditable Service. Adjusted Creditable Service shall equal his Creditable Service increased by: (i) {ii) one year, plus one month for each year of actual Creditable Service. ( d) Retirement Benefit 25

27 The member retiring under this Section 1 7 shall receive a Retirement Allowance calculated as described in Article V, Section 1, paragraph (a) based on: (i) (ii) a benefit multiplier of %, and the member's Adjusted Creditable Service rather than his actual Creditable Service The actuarial reduction for early commencement of benefits, if any, which would otherwise have applied under the terms of Article V, Section 1 is waived. f the member is eligible for an immediate Retirement Allowance under the terms of the Plan without reference to this Article V, Section 17 that is larger than the benefit described above, he may apply for that larger benefit. (e) Temporary Supplement A member retiring under this Section 1 7 who is at least age 52 and who has completed 23 or more years of unadjusted Creditable Service shall also be eligible to receive the temporary Supplemental Benefit under Article V, Section 1 ( d). 18. Direct Rollover Distributions (a) Notwithstanding any provision of the Plan to the contrary, if any distribution to a Member, the Member's spouse, or the former spouse of a Member who is now alternate payee under a qualified domestic relations order (i) is made on or after January 1, 1993, (ii) totals $200 or more, and (iii) constitutes an "eligible rollover distribution" (within the meaning of Section 402(4) of the nternal Revenue Code) the individual may elect on a form provided by the Retirement Board 26

28 to have all or part of such eligible rollover distribution paid in a direct rollover to an "eligible retirement plan", as defined in paragraph (b) below. (b) for this purpose an "eligible retirement plan" means: (i) an individual retirement account as described in Section 408(a) of the nternal Revenue Code; (ii) an individual retirement annuity (other than an endowment contract) as described in Section 408(b) of the nternal Revenue Code; and (iii) with respect only to Members and alternate payees under qualified domestic relations orders: (A) a qualified defined contribution plan and exempt trust as described in Section 401 (a) and 501 (a) of the nternal Revenue Code, respectively, the terms of which permit the acceptance of rollover contributions, or (B) an annuity plan as described in Section 403(a) of the nternal Revenue Code. (iv) on or after January 1, 2002, (A) an annuity contract described in Section 403(b) of the nternal Revenue Code, and (B) an eligibje plan under Section 457(b) of the nternal Revenue Code which is maintained by a state, political subdivision of a state, or an agency or instrumentality of a state and which agrees to separately account for amounts transferred into such plan from this Plan. (c) A portion of a distribution shall not fail to be an eligible rollover distribution on or after January 1, 2002 merely because the portion consists of after-tax employee contributions which are not includable in gross income. However, such portion may be paid only to an individual retirement account or annuity described in Section 408(a) or 408(b) of the nternal Revenue Code, or to a qualified defined contribution plan described in Section 401 (a) or 403(a) of the nternal Revenue Code that agrees to separately account for amounts so transferred, including separately accounting for the portion of such 27

29 distribution which is includable in gross income and the portion of such distribution which is not includible. Direct rollover shall be accomplished in accordance with procedures established by the Retirement Board. f an election is made to have only a part of an eligible rollover distribution paid in a direct rollover, the amount of the direct rollover must total $500 or more. f the Member, the Member's surviving spouse, or the Member's alternate payee does not make a timely election whether or not to roll over the distribution, such distribution shall be made directly to the applicable individual. ARTCLE V - Contributions 1. Contributions by Members 2. Effective July 1, 1997 through June 30, 2002, the Authority shall contribute 9.50% of compensation. Members shall contribute 4. 12% of compensation. Contributions prior to July 1, 1997 shall be determined in accordance with any agreement(s) then in effect. Rates of contributions to this plan for both Association members and the Authority shall be determined by the Parties, either jointly or severally, based upon Actuarial Valuations. Any such changes in the contribution rates shall take effect the first payroll period of the calendar quarter following said determination. 3. ncreases and decreases in the rate of required contributions (as a percentage of compensation) will be shared equally by the Authority and the member. 4. The Authority shall deduct such contributions from the compensation of each member on each and every payroll, and shall transmit the sums so deducted to the Plan. For tax purposes, however, member contributions shall be deducted on a pre-tax basis as permitted by RC Section 414(h)(2). 5. To facilitate the making of deductions, in determining the compensation of a member in a payroll period, the Authority may, with 28

30 the approval of the Retirement Board, consider the rate of compensation payable to the member on the first day of the payroll period as continuing through the payroll period, and it may omit deductions from compensation for a period less than a full payroll period if an employee was not paid or was not a member as of the first day of the payroll period, and may make such other modifications as shall not substantially change the contributions of members. 6. Any and all contributions made to the Plan by the Authority shall be irrevocable and shall be transferred by the Authority to the Fiduciary, to be used in accordance with the provisions hereof in providing the benefits and paying the expenses of the plan and neither such contributions nor any income therefrom shall be used for or diverted to purposes other than exclusive benefit of members and retired members or their beneficiaries under the Plan. ARTCLE V - Administration of Plan 1. The general administration of the Plan and the responsibility for carrying out the provisions hereof shall be placed in a Retirement Board of five persons appointed or elected to office as follows: (a) Two persons appointed by the Authority from time to time to serve at the pleasure of the Authority, at least one of whom shall be a Director. (b) Two members of the Association to be designated by the Association to serve at the pleasure of the Association. (c) One person, to be known as the honorary member who shall have no vote except as hereinafter provided, to be elected, for such period as the Retirement Board may determine, by the other four members of the Retirement Board, with the first election to take place immediately upon the taking of office by the original four members of the Retirement Board. ( d) Each member of the Retirement Board other than the honorary member shall have an alternate who shall have been 29

31 elected or appointed in the same manner and for the same terms as his/her principal, and who may act as a member of the Retirement Board in the absence of his/her principal and when so acting shall be deemed a member of the Retirement Board. 2. Any person appointed or elected a member of the Retirement Board shall signify his/her acceptance by filing written acceptance with the Authority and with the Secretary of the Retirement Board. Any member of the Retirement Board may resign by delivering his/her written resignation to the Authority and the Secretary of the Retirement Board. f a vacancy occurs in the office of a member of the Retirement Board, it shall be filled in the same manner as the office was previously filled. 3. The members of the Retirement Board shall elect a Chairman, from its members, and a Secretary who shall not be one of the members of the Retirement Board, and may appoint from their number such committees with such powers as they shall determine; may authorize one or more of their number or any agent to execute or deliver any instrument or make any payment on their behalf, and may employ such actuarial and other special professional services not available in the Authority as they may require in carrying out the provisions hereof. 4. The Retirement Board shall hold monthly meetings upon such notice, at such place or places, and at such time or times as it may from time to time determine. A quorum shall consist of four ( 4) members, two (2) of whom shall be members appointed by the Board of Directors of the Massachusetts Bay Transportation Authority, and two (2) of whom shall be members designated by the Association. 5. At least four ( 4) votes, including the votes of at least two (2) members appointed by the Board of Directors of the Massachusetts Bay Transportation Authority and at least (2) members designated by the Association, shall be necessary for a decision of the Retirement Board, except that in the event of a failure to so reach a decision, the Retirement Board shall invite the honorary member to cast a vote at the next meeting of the Retirement Board. His/her 30

32 vote, together with the votes of at least two (2) members appointed by the Board of Directors of the Massachusetts Bay Transportation Authority or at least two (2) members designated by the Association shall be deciding. As used herein, "decision" shall include any action taken by the Retirement Board in the exercise of powers granted it under this Agreement. Whenever the Retirement Board is directed, in accordance with the provisions hereof, to invite the honorary member to cast a vote, any member of the Retirement Board is hereby specifically empowered to extend such invitation. 6. The Retirement Board shall have no power to adopt a less restrictive rule either as to the composition of a quorum than that specified in section ( 4) above, or as to the vote; required to reach a decision than that specified in section ( 5) above, notwithstanding any previous rule, regulation or precedent of any kind to the contrary. 7. No member of the Retirement Board shall receive any compensation for his/her services as such, except that the member of the Retirement Board elected pursuant to section ( 1) of this Article may receive such per diem compensation for attendance at meetings as the other members of the Retirement Board shall determine. No bond or other security need be required of any member of the Retirement Board in such capacity in any jurisdiction. 8. Subject to the limitations hereof, the Retirement Board from time to time shall establish rules for the administration of the Plan and the transaction of its business and shall publish, in the Annual Report, a statement of members' rights. The determination of the Retirement Board as to any disputed question not reserved to the Association or the Authority, shall be conclusive. 9. The Retirement Board shall engage an Actuary to make actuarial valuations of the Plan at the request of either the Authority or Association Retirement Board members. At the request of either the Association or the Authority, the Retirement Board shall provide access to data and information necessary for either party to conduct, at its own expense, an independent actuarial valuation of the Plan. 31

33 1 0. The Retirement Board shall maintain accounts showing the fiscal transactions of the Plan and shall keep in convenient form such data as may be necessary for actuarial valuations of the Plan. The Retirement Board shall prepare annually a report showing in reasonable detail the assets and liabilities of the Plan and giving a brief account of the operation of the Plan for the past year. Such report shall be filed in the office of the Plan where it shall be available for review by any member of the Plan. 11. The members of the Retirement Board shall use ordinary care and diligence in the performance of their duties, but no member shall be personally liable by virtue of any contract, agreement, bond or other instrument made or executed by him/her or on his/her behalf as a member of the Retirement Board; nor for any mistake of judgment made by himself or any other member of the Retirement Board; nor for any loss, unless resulting from his/her own gross negligence or willful misconduct; and no member of the Retirement Board shall be liable for the neglect, omissions or wrongdoing of any other member thereof, or of the agents or counsel of the Retirement Board. ARTCLE V - Management of Funds All of the assets of the Plan shall be held by the Fiduciary in trust under the Trust Agreement of the Massachusetts Bay Transportation Authority Police Association Retirement Plan entered into between the Authority, the Association and the Retirement Board as Fiduciary as of August 26, 1985 for use in providing the benefits and paying the expenses of the Plan, and no part of the corpus or income shall be used for, or diverted to, purposes other than for the exclusive benefit of members and retired members or their beneficiaries under the Plan until all liabilities of the Plan have been satisfied. No person shall have any interest in or under the Trust or any part of the assets thereof, except as and to the extent provided in the Rules and regulations and in the aforementioned Agreement and Declaration of Trust. ARTCLE V - Certain Rights and Limitations 1. n the event of termination of the Plan, all of the members of the 32

34 Plan shall be considered fully vested regardless of their years of Creditable Service. f there shall be insufficient assets in the Plan to provide for all benefits accrued, each member, and each retired member or his/her designated beneficiary in receipt of a retirement allowance, shall be entitled to such proportionate part of the assets of the Plan as the reserve required for his/her benefits bears to the total reserves the Plan as determined by the Retirement Board on the basis of actuarial valuation. The Retirement Board may require all such members and retired members or designated beneficiaries to withdraw such amounts in cash or in the form of immediate or deferred annuities, as it may determine. 2. The establishment of the Plan shall not be construed as conferring any legal rights upon any employee or other person for a continuation of employment, nor shall it interfere with the rights of the Authority to discharge any employee and to treat him/her without regard to the effect which such treatment might have upon him/her as a member of the Plan. 3. The Authority or the Association shall have no liability for the payment of the benefits under the Plan, nor shall they have any liability for the administration of the Plan or the assets paid over to the Fiduciary, and each member and retired member or other beneficiary under the Plan shall look solely to the assets of the Plan for any payments or benefits under the Plan. 4. n the event of the death of a member or retired member who is not survived by a person designated to receive any return of his/her contributions or in the event that the Retirement Board shall find that a retired member or other person entitled to a retirement allowance is unable to care for his/her affairs because of illness or accident, any benefit payments due may, unless claim shall have been made therefor by a duly appointed guardian, conservator or legal representative to his/her estate, be paid by the Retirement Board to the spouse, a child, a parent, or other blood relative, or to any person deemed by the Retirement Board to have incurred expense for such deceased or retired member, or other person entitled to a retirement allowance and any such payments so made shall be a complete discharge of the liabilities of the Plan therefor, anything 33

35 herein to the contrary notwithstanding. ARTCLE X - Non-alienation of Benefits No benefit under the Fund shall be subject in any manner to anticipation, alienation, sale, transfer, assignment, pledge, encumbrance or charge, and any attempt so to anticipate, alienate, sell, transfer, assign, pledge, encumber or charge the same shall be void, nor shall any such benefit be in any manner liable for or subject to the debts, contracts, liabilities, engagements or torts of the person entitled to such benefit, except as specifically provided hereunder, and in the event that the Retirement Board shall find that any member, retired member or any other beneficiary under the Fund has become bankrupt or has attempted to anticipate, alienate, sell, transfer, assign, pledge, encumber or charge any benefit under the Fund, except as specifically provided hereunder, then such benefit shall cease and determine, and in that event, the Retirement Board shall in its absolute discretion hold or apply the same to or for the benefit of such member or retired member or other beneficiary, his/her spouse, children or other dependents, or any of them. Notwithstanding the foregoing provisions, a member, or any other beneficiary under the Plan, may give to the Retirement Board written authorization for deductions from his/her benefit payments of specified sums for payment of his/her Association dues or assessments and for payment of sums due the MBT A Employees' Credit Union, or its successor, or sums due the Authority, and such deductions may be made in accordance with such authorization and paid over to the Authority, his/her Association and/or to the aforesaid Credit Union. Notwithstanding the foregoing provisions, a member, retired member or any other beneficiary under the Fund may give to the Retirement Board written authorization for deductions from his/her benefit payments of sums necessary for his/her share of the cost of any health, accident or insurance plan which may from time to time be in effect for him/her. Such deductions may be made in accordance with such authorizations and paid over to the payees designated or described in such authorizations. 34

36 Notwithstanding the foregoing provisions, upon written certification to the Retirement Board by the Association that a member or retired member has failed to make settlement with the Association for unpaid dues and assessments or upon written certification to the Retirement Board by the Authority that the member or retired member has failed to make settlement with the Authority for unpaid debts, the Retirement Board may deduct from his/her benefit payments or return of contributions and pay to the Authority and/or the Association the sum necessary to discharge indebtedness. Notwithstanding the foregoing provisions, the Plan will adhere to the terms of qualified domestic relations orders (as defined in Section 414(p) of the nternal Revenue Code as amended) issued by a court of competent jurisdiction. ARTCLE X - Amendments This plan and the individual provisions hereof shall continue in force and be binding upon the Authority and the Association. Pending the negotiation or arbitration of a successor agreement, the terms of this agreement shall remain in full force and effect. Amendments to the Plan may be made in accordance with the collective bargaining agreement as amended by and in accordance with applicable state law. No modification or amendment to the Plan may be made which will reduce the accrued benefit of any member or retired member. ARTCLE X - Construction 1. This Plan shall be construed and administered under the laws of the Commonwealth of Massachusetts. 2. The masculine pronoun shall mean the feminine wherever appropriate. 35

37 MASSACHUSETTS BAY TRANSPORTATON AUTHORTY POLCE ASSOCATON RETREMENT PLAN Rules for Claims Procedures 1. Any claim for a benefit under this Plan shall be in writing and shall be submitted on the application form(s) prescribed by the Retirement Board ("the Boarcn. 2. The completed application shall be submitted to the Board's Executive Director/Secretary at the address designated by the Board. 3. The Executive Director/Secretary shall present the application for consideration and action by the Board at the Board's next regularly scheduled meeting. The Board may defer action on the claim to a later meeting if the Board determines that additional time is needed to consider the claim. 4. f a claim is wholly or partially denied, written notice of the decision shall be furnished to the claimant no later than 90 days after the date such claim was..first presented to the Board. The notice shall set forth: (a) The specific reason or reasons for the denial; (b) Specific reference to pertinent plan provisions on which the denial is based; (c) A description of any additional material or information necessary for the claimant to perfect the claim and an explanation of why such material or information is necessary; and (d) Appropriate nformation as to the steps to be taken if the participant or beneficiary wishes to submit his or her claim for review. (See Paragraph 6, below.) 5. f notice of the denial of a claim is not furnished within 90 days in accordance with Paragraph 4, above, the claim shall be deemed denied and the claimant shall be permitted to proceed to the review stage described in Paragraph 6, below. 6. A claimant shall have tme opportunity to seek review by the Board of any claim that is denied in accordance with Paragraph 4, above. The claimant or his/her duly authorized representative may, no later than 60 days after receipt by the claimant of the notice described in Paragraph 4, above: (a) Request a review upon written application to the Executive Director/Secretary at the address designated by the Board; (b) Review pertinent documents; and (c) Submit issues and comments in writing to the Executive Director/Secretary at the address designated by the Board. f no timely request for review is submitted in accordance with this paragraph, the denial of the claim shall be final and binding. 7. The Executive Director/Secretary shall present the request for review for consideration and action by the Board at the Board's next regularly scheduled meeting. The Board may defer action on the request for review to a later meeting if the Board determines that additional time is needed to consider the request for review. 8. The Board shall act on and provide written notice of its action with respect to the request for review within 90 days after the date such request for review was first presented to the Board. f the Board does not provide written notice of its action within the 90 day period set forth in this paragraph, the request for review shall be deemed denied. 9. The Board's decision with respect to the request for review shall be a final and binding disposition of the claim. 10. All applications and requests for review shall be decided based upon the documents or other evidence submitted to or otherwise received by the Board. No claimant shall be entitled to an evidentiary hearing concerning an application or request for review and no claimant (or representative of a claimant) shall be entitled to attend any meeting of the Retirement Board.