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Home My WebLink AboutORD 7136 GMEBS RETIREMENT PLAN .. . .. ( AN ORDINANCE fI 7136 An Ordinance to amend the GMEBS Defined Benefit Retirement Plan for certain Employees of Augusta-Richmond County, Georgia (hereinafter "Augusta"), in accordance with and subject to the terms and conditions set forth in the attached amended Adoption Agreement and Addendum, the Georgia Municipal Employees Benefit System (GMEBS) Master Plan Document, and the GMEBS Trust Agreement, including any amendments thereto. When accepted by the authorized officers of the Augusta-Richmond County Commission and GMEBS, the foregoing shall constitute a Contract between the Commission and GMEBS, all as authorized and provided by O.C.G.A. S 47-5-1 et seq. BE IT ORDAINED by the Augusta-Richmond County Commission, and it is hereby ordained by the authority of the same as follows: Section 1. The March 1, 1987 GMEBS Defined Benefit Retirement Plan for certain Employees of Augusta, Georgia (Ordinance No. 5399; as amended by Ga. L 1988, p. 5415; Ordinance No. 5561, effective April 2, 1990; and Ordinance No. 5865) and the January 1, 1977 Defined Benefit Retirement Plan and Trust for certain Employees of Augusta (Ordinance No. 6655; as amended by Ordinance No. 6983 adopted June 19, 2007) (hereinafter referred to as "1977 Defined Benefit Retirement Plan" or "1977 DB Plan" or "1977 Plan") were previously amended and restated as set forth in and subject to the terms and conditions stated in the Adoption Agreement and the Addendum to the Adoption Agreement which became effective January 1, 2008. The January 1, 2008 Adoption Agreement and Addendum to the Adoption Agreement are hereby amended as set forth in and subject to the terms and conditions stated in the following Adoption Agreement and Addendum, the Georgia Municipal Employees Benefit System (GMEBS) Master Plan Document, and the GMEBS Trust Agreement, including any amendments thereto. [Ordinance continued on page 33] GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) ~ . ." .. GMEBS DEFINED BENEFIT PLAN ADOPTION AGREEMENT ADMINISTRATOR Georgia Municipal Employees Benefit System 201 Pryor Street, SW Atlanta, Georgia 30303 Telephone: 404-688-0472 Facsimile: 404-577-6663 ADOPTING EMPLOYER Name: Augusta, Georgia GOVERNING AUTHORITY Name: Augusta-Richmond County Commission Address: 530 Greene St., Augusta, GA 30911-4406 Phone: (706) 821-1820 Facsimile: (706) 821-1838 PLAN REPRESENTATIVE [To represent Governing Authority in all communications with GMEBS and Employees] (See Article II, Section 44 of Master Plan) Name: Augusta-Richmond County Administrator Address: 530 Greene St., Augusta, GA 30911-4406 Phone: (706) 821-2400 Facsimile: (706) 821-2819 E-mail: GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 2 - , . 1 'I: PENSION COMMITTEE [Please designate members by position. If not, members of Pension Committee shall be determined in accordance with Article XIV of Master Plan] The "Pension Committee" when referred to in this Plan shall be the members of the Pension and Audit Committee of the Augusta-Richmond County Commission as currently constituted to include the following office-holders: Mayor, Mayor Pro Tern, Administrator, Finance Director and the Finance Committee Chair. Pension Committee Secretary: Clerk of the Augusta-Richmond County Commission Address: 530 Greene St., Augusta, GA 30911-4406 Phone: (706) 821-1820 Facsimile: (706) 821-1838 TYPE OF ADOPTION This Adoption Agreement is for the following purpose ( check one): o This is a new defined benefit plan adopted by the Adopting Employer for its Employees. This plan does not replace or restate an existing defmed benefit plan. o This is an amendment and restatement of the current GMEBS defined benefit plan or other defined benefit plan of the Adopting Employer. 18I This is an amendment of the Adoption Agreement previously adopted by the Employer (please specify type below): o This is an amendment to change one or more of the Adopting Employer's benefit design elections in the Adoption Agreement. o This is an amendment to add a new Department or a new class of Eligible Employees (If this box is checked, special addendum must be requested from GMEBS to be completed as part of amendment). o This is an amendment to discontinue participation in the Plan by one or more Departments or classes of Employees (If this box is checked, special addendum must be requested from GMEBS to be completed as part of amendment). 18I Other (please specify): This is an amendment to provide that: 1) Participants in this Plan who hold a senior executive service (SES) position listed in Addendum Section 7.42(c) on or after Januarv 1. 2009 will be considered immediately vested in their accrued normal retirement benefit (see AA P. 28. Addendum Section 7.42): and 2) subiect to the preconditions specified in Addendum Section 7.42(b). if a Participant in this Plan is involuntarily terminated from employment with AU2usta-Richmond County on March 1. GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 3 - .' , . 2009 due to a reduction in force while holdin2 a senior executive service (SES) position listed in Addendum Section 7.42(c). the Participant will be treated as havin2 an additional five (5) years of Credited Service for purposes of computin2 the amount of any retirement or pre-retirement death benefit payable to or on behalf of the Participant under this Plan. and for purposes of meetin2 the minimum service requirements for retirement and pre-retirement death benefit eli2ibilitv. EFFECTIVE DATE (1) Complete this item (1) only if this is a new defined benefit plan which does not replace or restate an existing defined benefit plan. The effective date of this Plan is (insert effective date of this Adoption Agreement not earlier than January 1, 1997). (2) Complete this item (2) only if this is an amendment and complete restatement of the Adopting Employer's existing GMEBS defined benefit plan. Except as otherwise specifically provided in the Master Document or in this Adoption Agreement or the Addendum, the effective date of this restatement shall be (insert effective date of this Adoption Agreement not earlier than January 1, 1997). The employee election provisions of the Addendum and the provisions concerning certain Employees initially employed or reemployed after October 1, 2007 shall be effective October 1, 2007. This Plan is adopted as an amendment and restatement of the Employer's preexisting GMEBS plan, which became effective on (insert original effective date of preexisting GMEBS plan) and which was last restated effective (3) Complete this item (3) only if this Plan is being adopted to replace a non-GMEBS defined benefit plan. Except as otherwise specifically provided in the Master Document or in this Adoption Agreement or the Addendum, the effective date of this restatement shall be (insert effective date of this Adoption Agreement not earlier than January 1, 1997). (4) Complete this item (4) only if this is an amendment of the Adoption Agreement previously adopted by the Employer. The effective date of this amendment shall be upon adoption by the Augusta-Richmond County Commission (see p. 32). GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 4 - . . PLAN YEAR Plan Year means ( check one): D Calendar Year D Employer Fiscal Year commencing 1:8:1 Other (must specify): January 1- December 31. CLASSES OF ELIGIBLE EMPLOYEES Only Employees of the Adopting Employer who meet the Master Plan's definition of "Employee" may be covered under the Adoption Agreement. Independent contractors, leased employees, and nonresident aliens may not participate in the Plan. Elhdble Re2ular Employees Regular Employees include Employees, other than elected or appointed members of the Governing Authority or Municipal Legal Officers, who are regularly employed in the services of the Adopting Employer. Subject to the other conditions of the Master Plan and the Adoption Agreement, the following Regular Employees are eligible to participate in the Plan (check one): D ALL - All Regular Employees, provided they satisfy the minimum hour and other requirements specified under "Eligibility Conditions" below. 1:8:1 ALL REGULAR EMPLOYEES EXCEPT for the following employees (must specify): any Employee who is not included in an Eli2ible Class specified below: any Employee who participates in any other City of AU2usta or Richmond County retirement plan: any person who is not a "Re2ular Employee" as defined in the AU2usta-Richmond County Personnel Policies and Procedures. See Addendum Section 7.37 on treatment of employees of the AU2usta-Richmond County Tax Commissioner's office. ELIGIBLE CLASSES OF EMPLOYEES The following description of classes of Eligible Employees shall control in administering the Plan. The Class to which a person belongs will be determined based upon the records of the Employer as reported to GMEBS. Employees shall qualify for paticipation by meeting the eligibility requirements specified under "Eligibility Conditions" on p. 8 of the Adoption Agreement (said requirements shall not apply to elected or appointed members of the Governing Authority): GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 5 - . . Class 1 (Class 1 Public Safety Personnel under former GMEBS Plan who Elect New Plan): This class includes: 1) Public Safety Personnel who were employed on the original effective date of the GMEBS Plan (March 1, 1987) and who are not participants in any other . Employer-sponsored retirement plan and 2) Public Safety Personnel who were hired after March 1, 1987 and before December 17, 1996, who elect in accordance with the procedures specified in Sections 7.11-7.15 of the Addendum to this Adoption Agreement (affirmatively or by default) to be bound by the terms of the restated GMEBS Plan that apply to Class 1 Employees effective January 1, 2008. For purposes of this Adoption Agreement, the term "Public Safety Personnel" shall mean a police officer who is a Full-Time Employee and is certified under the Georgia Peace Officer Standards and Training Act, or a fire-fighter who is a Full-Time Employee and is certified under the Georgia Fire Fighter Standards and Training Act. The term "Full-Time Employee" shall mean an Employee who meets the minimum "hours per week" and "months per year" requirements specified under "Eligibility Conditions" below. Class 2 (Class 1 Public Safety Personnel under former GMEBS Plan Who Do Not Elect New Plan): This class includes: 1) Public Safety Personnel who were employed on the original effective date of the GMEBS Plan (March 1, 1987) and who are not participants in any other Employer-sponsored retirement plan and 2) Public Safety Personnel who were hired after March 1, 1987 and before December 17, 1996, who elect in accordance with procedures specified in Sections 7.11-7.15 of the Addendum to this Adoption Agreement not to be bound by the terms of the restated GMEBS Plan that apply to Class 1 Employees effective January 1, 2008. Class 3 (Class 2 Non-Public Safety Personnel under former GMEBS Plan Who Elect New Plan): This class includes: Employees, other than Public Safety Personnel, who were employed on the effective date of the GMEBS Plan (March 1, 1987) who are not participants in any other Employer-sponsored retirement plan, and Employees, other than Public Safety Personnel, who were hired after March 1, 1987 and before December 17, 1996, who elect in accordance with procedures specified in Sections 7.11-7.15 of the Addendum to this Adoption Agreement (affirmatively or by default) to be bound by the terms of the restated GMEBS Plan that apply to Class 3 Employees effective January 1, 2008. Class 4 (Class 2 Non-Public Safety Personnel under former GMEBS Plan Who Do Not Elect New Plan): This class includes: Employees, other than Public Safety Personnel, who were employed on the effective date of the GMEBS Plan (March 1, 1987) who are not participants in any other Employer-sponsored retirement plan, and Employees, other than Public Safety Personnel, who were hired after March 1, 1987 and before December 17, 1996, who elect in accordance with procedures specified in Sections 7.11-7.15 of the Addendum to this Adoption Agreement not to be bound by the terms of the restated GMEBS Plan that apply to Class 3 Employees effective January 1, 2008. GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 6 - . . Class 5 (Participants under former 1977 DB Retirement Plan Who Elect New Plan): This class includes Employees who are participants under the 1977 DB Retirement Plan immediately prior to January 1, 2008 and who elect in accordance with procedures specified in Sections 7.11-7.15 of the Addendum to this Adoption Agreement (affirmatively or by default) to be bound by the terms of the restated GMEBS Plan that apply to Class 5 Employees effective January 1,2008. Class 6 (Participants under former 1977 DB Retirement Plan Who Do Not Elect New Plan): This class includes Employees who are participants under the 1977 DB Retirement Plan immediately prior to January 1, 2008 and who elect in accordance with procedures specified in Sections 7.11-7.15 of the Addendum to this Adoption Agreement not to be bound by the terms of the restated GMEBS Plan that apply to Class 5 Employees effective January 1,2008. Class 7 (Participants under former 1998 DC Plan Who Elect New Plan) This class includes: Employees who are participants under the City of Augusta-Richmond County 1998 Defined Contribution Retirement Plan immediately prior to January 1, 2008 (including elected or appointed members of the Governing Authority who participate under the 1998 DC Plan) who elect in accordance with procedures specified in Sections 7.11-7.15 of the Addendum to this Adoption Agreement (affirmatively or by default) to transfer their defined contribution plan account balance to GMEBS and to participate under the terms of the restated GMEBS Plan that apply to Class 7 Employees effective January 1, 2008. Class 8 (Employees Who Do Not Participate in Any Plan): This class includes Employees who are actively employed as of October 1, 2007 and who as of said date are not participating in any defined benefit retirement plan or defined contribution plan or other retirement plan which is funded in whole or part by Augusta-Richmond County (as reflected in the records of Augusta and as reported to GMEBS). Class 9 (Employees Hired or Re-hired after October 1.2007): This class includes Eligible Regular Employees who are hired or re-hired by Augusta-Richmond County after October 1, 2007, and elected or appointed members of the Governing Authority who take office or return to office after October 1, 2007 (subject to any applicable election requirements or other limitations on participation by members of the Governing Authority or other special classes referred to on pp. 9-10). Elected or Appointed Members of the Governin2: Authoritv An Adopting Employer may elect to permit participation in the Plan by elected or appointed members of the Governing Authority and/or Municipal Legal Officers, provided they otherwise meet the Master Plan's definition of "Employee" and provided they satisfy any other requirements specified by the Adopting Employer. Municipal Legal Officers to be covered must be specifically identified by position. Subject to the above conditions, the Employer hereby elects the following treatment for elected and appointed officials: GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 7 - Elected or Appointed Members of the Governin2 Authoritv (check one): D ARE NOT eligible to participate in the Plan. 181 ARE eligible to participate in the Plan. Please specify any limitations on eligibility to participate here (e.g., service on or after certain date): With respect to elected or appointed members of the Governin2 Authoritv who hold office as of October 1. 2007. they will participate in this Plan only if they have elected (affirmatively or by default) to participate in this Plan in accordance with and subiect to the election provisions of the Addendum to this Adoption A2reement (see Addendum Section 7.36 concernin2 effect of later termination and return to Service). Elected or appointed members of the Governin2 Authoritv who initially take office after October 1. 2007 will participate in this Plan. provided they affirmatively elect (or elect bv default) to participate in this Plan. in accordance with and subiect to the 30-day time limit and other election requirements specified on P. 9 of the Adoption A2reement (See Addendum Section 7.36 concernin2 effect of later termination and return to Service). If a former elected or appointed member of the Governin2 Authoritv who is not in office as of October 1. 2007 returns to Service as an elected or appointed member of the Governin2 Authoritv after said date. he will participate in this Plan. provided he affirmatively elects (or elects bv default) to participate in this Plan. in accordance with and subiect to the 30-day time limit and other election requirements specified on p. 9 of the Adoption A2reement (See also Addendum Section 7.36). Municipal Le2al Officers (check one): 181 ARE NOT eligible to participate in the Plan (except for Augusta-Richmond County Law Department General Counsel and Law Department staff attorneys who meet the applicable eligibility conditions and election requirements- see below). D ARE eligible to participate in the Plan. The term "Municipal Legal Officer" shall include only the following positions (must specify): Please specify any limitations on eligibility to participate here (e.g., service on or after certain date): ELIGIBILITY CONDITIONS HOURS PER WEEK (REGULAR EMPLOYEES) The Adopting Employer may specify a minimum number of hours per week which are required to be scheduled and worked by Regular Employees in order for them to become and remain "Eligible Regular Employees" under the Plan. It is the responsibility of the Adopting Employer to determine whether these requirements are and continue to be satisfied. The Employer hereby elects the following minimum hour requirement for Regular Employees: GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 8 - . . o No minimum i:8I 20 hours/week (regularly scheduled) o 30 hours/week (regularly scheduled) o Other: Exceptions: If a different minimum hour requirement applies to a particular class or classes of Regular Employees, please specify below the classes to whom the different requirement applies and indicate the minimum hour requirement applicable to them. Class(es) of Regular Employees to whom exception applies (must specify): Minimum hour requirement applicable to excepted Regular Employees: o No minimum o 20 hours/week (regularly scheduled) o 30 hours/week (regularly scheduled) o Other: (must not exceed 40 hours/week regularly scheduled) MONTHS PER YEAR (REGULAR EMPLOYEES) The Adopting Employer may specify a minimum number of months per year which are required to be scheduled and worked by Regular Employees in order for them to become and remain "Eligible Employees" under the Plan. It is the responsibility of the Adopting Employer to determine whether these requirements are and continue to be satisfied. The Employer hereby elects the following minimum requirement for Regular Employees: o No minimum i:8I At least 2. months per year (regularly scheduled) (any Employee classified as a temporary or seasonal employee is not eligible to participate). WAITING PERIOD Re2ular Emplovees Unless otherwise specified by the Adopting Employer in an addendum to this Adoption Agreement, Regular Employees shall be required to complete one (1) year of continuous, uninterrupted Service with the Adopting Employer before they qualify for participation in the Plan. The determination as to whether the waiting period has been satisfied shall be made in accordance with provisions of the Master Plan. [30-day waiting period - See Addendum Section 7.17] GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 9- \ . . ESTABLISHING PARTICIPATION IN THE PLAN Participation in the Plan is considered mandatory for all Eligible Employees who satisfy the eligibility conditions specified in the Adoption Agreement. However, the Employer may specify below that participation is optional for certain classes of Eligible Employees, including elected or appointed members of the Governing Authority, the Administrator, Assistant Administrators, Department Directors, Assistant Department Directors, and/or Augusta-Richmond County Law Department General Counsel and Law Department staff attorneys. If participation is optional for an Eligible Employee, then he must make an election to participate in either this Plan or the Georgia Municipal Association (GMA) Defined Contribution Plan, on a form provided by the Employer for such purpose and in accordance with procedures specified by Employer, within 30 days after employment or taking office. The election is irrevocable, and the failure to make the election within the 30-day time limit shall be deemed an irrevocable election to participate in this Plan rather than the GMA Defined Contribution Plan. Classes for whom participation is optional: [8J Elected or Appointed Members of Governin2: Authoritv - Any Employee who initially takes office (no prior service with Augusta-Richmond County) as an elected or appointed member of the Governing Authority (member of the Board of Commissioners of Augusta-Richmond County) after October 1,2007 or who returns to said office after October 1, 2007. However, those employed or in office as of October 1, 2007 will be bound by their plan election made in accordance with and subject to Addendum Sections 7.11-7.15 (See Addendum Sec. 7.36 concerning effect oflater return to service). [8J Law Department Staff Attornevs - Any Employee who is initially employed (no prior service with Augusta-Richmond County) as an Augusta-Richmond County Law Department General Counselor Law Department staff attorney or who is reemployed in said position after October 1, 2007. However, those employed as of October 1, 2007 will be bound by their plan election made in accordance with and subject to Addendum Sections 7.11-7.15 (See Addendum Sec. 7.36 concerning effect of later return to service). [8J Administrator. Assistant Administrators - Any Employee who is initially employed (no prior service with Augusta-Richmond County) as an Augusta Administrator or Assistant Administrator, or who is reemployed in said position after October 1, 2007. However, those employed as of October 1, 2007 will be bound by their plan election made in accordance with and subject to Addendum Sections 7.11-7.15 (See Addendum Sec. 7.36 concerning effect oflater return to service). [8J Department Directors. Assistant Dept. Directors - Any Employee who is initially employed (no prior service with Augusta-Richmond County) as a Department Director or Assistant Department Director, or who is reemployed in said position after October 1,2007. However, those employed as of October 1,2007 will be bound by their plan election made in accordance with and subject to Addendum Sections 7.11-7.15 (See Addendum Sec. 7.36 concerning effect of later return to service). GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 10 - ...- ... [gI Other (must specify): Notwithstanding the above provisions allowing for optional participation, participaton in this Plan will be mandatory for any person who is a member of Class 8 (see pp. 5-7 for description of classes). Note: See Addendum Section 7.36 concerning treatment of classes for whom participation is optional and mandatory participation in GMEBS DB Plan in the event of later termination and return to Service. CREDITED SERVICE In addition to Current Credited Service the Adopting Employer may include as Credited Service the following types of service: CREDITED PAST SERVICE Credited Past Service means the number of years and complete months of Service with the Adopting Employer prior to the date an Eligible Employee becomes a Participant which are treated as credited service under the Plan. Eligible Employees Employed on Effective Date of GMEBS Plan. With respect to Eligible Employees who are employed by the Adopting Employer on the original Effective Date of the Employer's GMEBS Plan (March 1, 1987), Service with the Adopting Employer prior to the date the Eligible Employee becomes a Participant (including any Service prior to the Effective Date of the Plan) shall be treated as follows (check one): [See Addendum Section 7.25 concerning treatment of Service prior to original effective date of GMEBS Plan for those who are Participants in GMEBS Plan immediately prior to January 1, 2008; see Addendum concerning treatment of Service prior to January 1, 2008 for other Participants.] D All Service prior to the date the Eligible Employee becomes a Participant shall be credited (as Credited Past Service). D All Service prior to the date the Eligible Employee becomes a Participant shall be credited (as Credited Past Service), except for Service rendered prior to D All Service prior to the date the Eligible Employee becomes a Participant shall be credited (as Credited Past Service), except for (must specify other limitation): Previously Employed, Returning to Service after Effective Date. If an Eligible Employee is not employed on the original Effective Date of the Employer's GMEBS Plan, but he returns to Service with the Adopting Employer sometime after the Effective Date, his Service prior to the GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 11 - , date he becomes a Participant (including any Service prior the Effective Date) shall be treated as follows (check one): [See Addendum Section 7.25 concerning treatment of Service prior to original effective date of GMEBS Plan for those who are Participants in GMEBS Plan immediately prior to January 1, 2008; see Addendum concerning treatment of Service prior to January 1, 2008 for other Participants.] o All Service prior to the date the Eligible Employee becomes a Participant shall be credited (as Credited Past Service), subject to any limitations imposed above with respect to Eligible Employees employed on the Effective Date. o All Service prior to the date the Eligible Employee becomes a Participant shall be credited (as Credited Past Service), provided that after his return to employment, the Eligible Employee performs Service equal to the period of the break in Service or one (1) year, whichever is less. Any limitations imposed above with respect to Eligible Employees employed on the Effective Date shall also apply. o Other limitation(s) (must specify): Eligible Employees Initially Employed After Effective Date. If an Eligible Employee's initial employment date is after the original Effective Date of the Employer's GMEBS Plan, his Credited Past Service shall include only the number of years and complete months of Service from his initial employment date to the date he becomes a Participant in the Plan. Newly Eligible Classes of Employees. If a previously ineligible class of Employees becomes eligible to participate in the Plan, the Employer must specify in an addendum to this Adoption Agreement whether and to what extent said Employees' prior service with the Employer shall be treated as Credited Past Service under the Plan. PRIOR MILITARY SERVICE Note: This section does not concern military service required to be credited under USERRA - See Article III, Section 2 of the Master Plan for rules on the crediting of USERRA Military Service. The Adopting Employer may elect to treat military service rendered prior to a Participant's initial employment date or reemployment date as Credited Service under the Plan. Unless otherwise specified by the Employer under "Other Conditions" below, the term "Military Service" shall be as defmed in the Master Plan. Except as otherwise required by federal or state law or under "Other Conditions" below, Military Service shall not include service which is credited under any other local, state, or federal retirement or pension plan. Military Service credited under this section shall not include any service which is otherwise required to be credited under the Plan by federal or state law. Prior Military Service shall be treated as follows (check one): GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 12 - , . I8l Prior Military Service is not creditable under the Plan (if checked, skip to next section - Prior Governmental Service). o Prior Military Service shall be counted as Credited Service for the following purposes (check one or more as applicable): o Computing amount of benefits payable. o Meeting minimum service requirements for vesting. o Meeting minimum service requirements for benefit eligibility. Maximum Credit for Prior Military Service. Credit for Prior Military Service shall be limited to a maximum of _ years (insert number). Rate of Accrual for Prior Military Service. Credit for Prior Military Service shall accrue at the following rate (check one): o One month of military service credit for every number) of Credited Service with the Adopting Employer. m'onth( s) (insert o One year of military service credit for every _ year(s) (insert number) of Credited Service with the Adopting Employer. o All military service shall be creditable (subject to any caps imposed above) after the Participant has completed years (insert number) of Credited Service with the Employer. o Other requirement (must specify): Payment for Prior Military Service Credit(check one): o Participants shall not be required to pay for military service credit. o Participants shall be required to pay for military service credit as follows: o The Participant must pay _% of the actuarial cost of the service credit (as defined below). o The Participant must pay an amount equal to (must specify): Other Conditions for Award of Prior Military Service Credit (must specify): GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 13 - , . Limitations on Service Credit Purchases. For purposes of this section and the following section concerning prior governmental service credit, the term "actuarial cost of the service credit" means the present value of the Accrued Benefit relating to such additional service credit determined as of the payment date and calculated based upon the assumptions specified in Article XII, Section 7 of the Master Plan. In the case of a service credit purchase, the Participant shall be required to comply with any rules and regulations established by the GMEBS Board of Trustees concerning said purchases. The Employer may elect to allow Employees to make the purchase through payroll deduction and the Employer may pick-up the amount to be contributed by the Employee in accordance with Internal Revenue Code Section 414(h) and the Plan, subject to any conditions contained in GMEBS' rules and regulations concerning service credit purchases. PRIOR GOVERNMENTAL SERVICE Note: Prior service with other GMEBS employers shall be credited as provided under the Master Plan, this Adoption Agreement, and the Addendum. This Section concerns credit for service with governmental employers other than Augusta-Richmond County. The Adopting Employer may elect to treat governmental service rendered prior to a Participant's initial employment date or reemployment date as creditable service under the Plan. Subject to any limitations imposed by law, the term "prior governmental service" shall be as defined by the Adopting Employer below. The Employer elects to treat prior governmental service as follows (check one): 181 Prior governmental service is not creditable under the Plan (if checked, skip to next section - Unused SicklVacationlPersonal Leave). D Prior governmental service shall be counted as Credited Service for the following purposes under the Plan (check one or more as applicable): D Computing amount of benefits payable. D Meeting minimum service requirements for vesting. D Meeting minimum service requirements for benefit eligibility. Definition of Prior Governmental Service. Prior governmental service shall be defmed as follows: (must specify): Unless otherwise specified above, prior governmental service shall include only full-time service (minimum hour requirement same as that applicable to Eligible Regular Employees). GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 14- . . Maximum Credit for Prior Governmental Service. Credit for prior governmental service shall be limited to a maximum of number). years (insert Rate of Accrual for Prior Governmental Service Credit. Credit for prior governmental service shall accrue at the following rate (check one): o One month of prior governmental service credit for every _ month( s) (insert number) of Credited Service with the Adopting Employer. o One year of prior governmental service credit for every _ year(s) (insert number) of Credited Service with the Adopting Employer. o All prior governmental service shall be creditable (subject to any caps imposed above) after the Participant has completed _ years (insert number) of Credited Service with the Adopting Employer. o Other requirement (must specify): Payment for Prior Governmental Service Credit. o Participants shall not be required to pay for governmental service credit. o Participants shall be required to pay for governmental service credit as follows: o The Participant must pay _% of the actuarial cost of the service credit. o The Participant must pay an amount equal to (must specify): UNUSED SICK/V ACATION/PERSONAL LEAVE An Adopting Employer may elect to treat accumulated days of unused leave for which a terminated Participant is not paid as Credited Service. The Pension Committee shall be responsible to certify to GMEBS the total amount of unused leave which is creditable hereunder. The Employer elects the following treatment of unused leave: ~ Unused leave shall not be treated as Credited Service (if checked, skip to next section - Retirement Eligibility). o The following types of unused leave for which the Participant is not paid shall be treated as Credited Service under the Plan (check one or more as applicable): GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 15 - o Unused sick leave o Unused vacation leave o Unused personal leave o Other (must specify): Minimum Service Requirement. In order to receive credit for unused leave, a Participant must meet the following requirement at termination (check one): o The Participant must be 100% vested in a normal retirement benefit. o The Participant must have at least years (insert number) of Total Credited Service (not including leave otherwise creditable under this section). o Other (must specify): Use of Unused Leave Credit. Unused leave shall count as Credited Service for the following purposes under the Plan (check one or more as applicable): o Computing amount of benefits payable. o Meeting minimum service requirements for vesting. o Meeting minimum service requirements for benefit eligibility. Maximum Credit for Unused Leave. Credit for unused leave shall be limited to a maximum of _ months (insert number). Computation of Unused Leave. Unless otherwise specified by the Adopting Employer under "Other Conditions" below, each twenty (20) days of creditable unused leave shall constitute one (1) complete month of Credited Service under the Plan. Partial months shall not be credited. Other Conditions (please specify): GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 16- RETIREMENT ELIGIBILITY EARLY RETIREMENT QUALIFICATIONS Early retirement qualifications are (check one or more as applicable): ~ Attainment of age 50 (insert number) ~ Completion of ~ years (insert number) of Total Credited Service with Augusta, Georgia. Exceptions: If different early retirement eligibility requirements apply to a particular class or classes of Eligible Employees, the Employer must specify below the classes to whom the different requirements apply and indicate below the requirements applicable to them. Eligible Employees to whom exception applies (must specify): Class 2. Class 4. Class 6 (see PP. 5-7 for description of classes). Early retirement qualifications for excepted class(es) are (check one or more as applicable): Early retirement qualifications for Class 2 and Class 4: ~ Attainment of age 55 (insert number) ~ Completion of 10 years (insert number) of Total Credited Service with Augusta, Georgia. Early retirement qualifications for Class 6: ~ Attainment of age 50 (insert number) ~ Completion of 15 years (insert number) of Total Credited Service with Augusta, Georgia. GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 17 - NORMAL RETIREMENT QUALIFICATIONS Note: Please complete this section and also list "Alternative" Normal Retirement Qualifications, if any, in next section. Re2:ular Emplovees Normal retirement qualifications for Regular Employees are (check one or more as applicable): 181 Attainment of age 65 (Retirement must occur no later than age 70 for Public Safety Personnel) o Completion of _ years (insert number) of Total Credited Service Exceptions: If different normal retirement qualifications apply to a particular class or classes of Regular Employees, the Employer must specify below the classes to whom the different requirements apply and indicate below the requirements applicable to them. Class(es) of Regular Employees to whom exception applies (must specify): Normal retirement qualifications for excepted class(es) are (check one or more as applicable): o Attainment of age _ (insert number) o Completion of _ years (insert number) of Total Credited Service Elected or Appointed Members of Governin2: Authority Complete this section only if elected or appointed members of the Governing Authority or Municipal Legal Officers are permitted to participate in the Plan. Normal retirement qualifications for this class are (check one or more as applicable): 181 Attainment of age 65 (insert number) o Completion of years (insert number) of Total Credited Service ALTERNATIVE NORMAL RETIREMENT QUALIFICATIONS Please skip to the next section (Disability Benefit Qualifications) if the Adopting Employer does not offer alternative normal retirement benefits under the Plan. The Employer may elect to permit Participants to retire with unreduced benefits after they satisfy service and/or age GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 18 - requirements other than the regular normal retirement qualifications specified above. The Employer hereby adopts the following alternative normal retirement qualifications: Alternative Normal Retirement Qualifications (check one or more, as applicable): ~ Alternative Minimum Age & Service Qualifications. (if checked, please complete one or more items below, as applicable): ~ Attainment of age 55 (insert number) ~ Completion of25 years (insert number) of Total Credited Service This alternative normal retirement benefit is available to: o All Participants who qualify. ~ Only the following Participants (must specify): Participants in Class 1. Class 2. Class 5. Class 7. Class 8. and Class 9 who are Public Safetv Personnel. provided they are at least a2e 55 and have at least 25 years of Total Credited Service as Public Safetv Personnel with AU2usta. Geor2ia (see PP. 5-7 for description of classes ). A Participant (check one): 0 is required ~ is not required to be in the service of the Employer at the time he satisfies the above qualifications in order to qualify for this alternative normal retirement benefit. o Rule of (insert number). The Participant's combined Total Credited Service and age must equal or exceed this number. Please complete additional items below: To qualify for this alternative normal retirement benefit, the Participant (check one): 0 must have attained at least age (insert number) 0 must not satisfy any minimum age requirement. This alternative normal retirement benefit is available to: o All Participants who qualify. o Only the following Participants (must specify): A Participant (check one): 0 is required 0 is not required to be in the service of the Employer at the time he satisfies the Rule in order to qualify for this alternative normal retirement benefit. GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 19- D Alternative Minimum Service. A Participant is eligible for an alternative normal retirement benefit if he has at least years (insert number) of Total Credited Service, regardless of the Participant's age. This alternative normal retirement benefit is available to: D All Participants who qualify. D Only the following Participants (must specify): 18I Other Alternative Normal Retirement Benefit. Must specify qualifications: 18I Attainment of age 62 (insert number) 18I Completion of 25 years (insert number) of Total Credited Service with Augusta, Georgia This alternative normal retirement benefit is available to: D All Participants who qualify. 18I Only the following Participants (must specify): Participants in Class 1. Class 3. Class 5. Class 6. Class 7. Class 8. and Class 9 (see pp. 5-7 for description of classes). A Participant (check one): D is required 18I is not required to be in the service of the Employer at the time he satisfies the above qualifications in order to qualify for this alternative normal retirement benefit. DISABILITY BENEFIT QUALIFICATIONS Please skip to the next section (Retirement Benefit Computation) if the Adopting Employer does not offer disability retirement benefits under the Plan. Subject to the other terms and conditions of the Master Plan, disability retirement qualifications are based upon Social Security Administration award criteria or as otherwise provided under Article II, Section 19 of the Master Plan. To qualify for a disability benefit, a Participant must have the following minimum number of years of Total Credited Service: D No minimum. D years (insert number) of Total Credited Service. GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 20- 1:81 Other requirement (must specify): No mInImum. except for Class 6 Participants with respect to non-employment connected disability (see Addendum Section 7.29(c) for eli2ibilitv requirements applicable to Class 6). RETIREMENT BENEFIT COMPUTATION MAXIMUM TOTAL CREDITED SERVICE The number of years of Total Credited Service which may be used to calculate a benefit is (check one): 1:81 not limited. D limited to years. D limited to years as an elected or appointed member of the Governing Authority or Municipal Legal Officer. MONTHLY NORMAL RETIREMENT BENEFIT AMOUNT Re2ular Emplovees The monthly normal retirement benefit for Eligible Regular Employees shall be 1/12 of (check one): 1:81 Flat Percentage Formula. 1.4% (1.65% for Participants employed with Augusta after January 1, 2010, except with respect to employee classes listed under "Exceptions" below) of Final Average Earnings multiplied by years of Total Credited Service as an Eligible Regular Employee. D Split Formula (Dynamic Break Point). ~ % (insert percentage) of Final Average Earnings up to the amount of Covered Compensation as defmed in Article II, Section 15 of the Master Plan (Dynamic Break Point), plus _ % (insert percentage) of Final Average Earnings in excess of said Covered Compensation, multiplied by years of Total Credited Service as an Eligible Regular Employee. D Split Formula (Table Break Point). % (insert percentage) of Final Average Earnings up to the amount of Covered Compensation as defmed in Article II, Section 16 of the Master Plan (Table Break Point), plus % (insert percentage) of Final Average Earnings in excess of said Covered Compensation, multiplied by years of Total Credited Service as an Eligible Regular Employee. GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 21 - D Grandfathered Split Formula. For Eligible Regular Employees employed on or after , (insert date) and for Eligible Regular Employees employed prior to said date only when application of this formula would result in a higher benefit than the benefit as determined under the following sentence, % (insert percentage) of Final Average Earnings up to the amount of Covered Compensation as defined in Article II, Section 15 of the Master Plan (Dynamic Break Point), plus % (insert percentage) of Final Average Earnings in excess of said Covered Compensation, multiplied by years of Total Credited Service as an Eligible Regular Employee. For Regular Employees employed prior to , (insert date) only when application of this formula would result in a higher benefit than the benefit as determined under the preceding sentence, % (insert percentage) of Final Average Earnings up to the amount of Covered Compensation as defined in Article II, Section 16 of the Master Plan (Table Break Point), plus % (insert percentage) of Final Average Earnings in excess of said Covered Compensation, multiplied by years of Total Credited Service as an Eligible Regular Employee. D Other Formula (must specify): Exceptions: If a formula other than that specified above applies to a special class( es) of Eligible Regular Employees, the Employer must specify below the class( es) to whom the different formula applies and indicate below the formula applicable to them. Class(es) of Regular Employees to whom exception applies (must specify): Class 2 and Class 4. The split 1.25%-2.0% formula (see below) will also apply to Class 1 and Class 3. but only if it results in hi2her benefit than the flat percenta2e formula (see above). Benefit formula for excepted class(es) (must specify): The monthly normal retirement benefit shall be 1/12 of 1.25% of Final A vera2e Earnin2s up to the amount of Covered Compensation as defined in Article II. Section 15 of the Master Plan (Dynamic Break Point). plus 2.0% of Final A vera2e Earnin2s in excess of said Covered Compensation. multiplied by years of Total Credited Service as an Eli2ible Re2ular Employee. Class(es) of Regular Employees to whom exception applies (must specify): Class 6. Benefit formula for excepted class(es) (must specify): The monthly normal retirement benefit shall be 1/12 of 1.0% of Final Avera2e Earnin2s multiplied by years of Total Credited Service as an Eli2ible Re2ular Employee. GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 22- Final A vera2e Earnin2s Final Average Earnings is defined as (check one): ~ The annual average of Earnings paid to a Participant by the Adopting Employer for the ~ (insert number not to exceed 5) consecutive years (12 month periods) of Credited Service preceding the Participant's most recent Termination in which the Participant's Earnings were the highest. Note: GMEBS has prescribed forms for calculation of Final Average Earnings that must be used for this purpose. D Other method of calculation (must specify): Elected or Appointed Members of the Governin2 Authority Complete this section only if elected or appointed members of the Governing Authority or Municipal Legal Officers are permitted to participate in the Plan. The monthly normal retirement benefit for members of this class shall be as follows (check one): D $ (insert dollar amount) per month for each year of Total Credited Service as an elected or appointed member of the Governing Authority or Municipal Legal Officer or major fraction thereof (6 months and I day). ~ Other formula (must specify): The monthly normal retirement benefit shall be 1/12 of 1.4% (1.65% for Participants who hold office after January 1.2010) of the Participant's Final Avera2e Earnin2s multiplied by years of Total Credited Service as an elected or appointed member of the Governin2 Authority. Exceptions: If a different formula from that specified above applies to a particular class of elected or appointed members of the Governing Authority or Municipal Legal Officers, the Employer must specify below the class to whom the different formula applies and indicate below the formula applicable to them. Those to whom exception applies (must specify): Benefit formula for excepted class (must specify): MONTHLY EARLY RETIREMENT BENEFIT AMOUNT (check one): D The monthly Early Retirement benefit shall be computed in the same manner as the monthly Normal Retirement benefit, but the benefit shall be reduced on an Actuarially Equivalent basis in accordance with Article XII, Section 1 of the Master Plan to account for early commencement of benefits. GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 23 - ~ The monthly Early Retirement benefit shall be computed as follows (must specify): For all Emplovee classes except Class 6. the monthly Earlv Retirement benefit shall be computed in the same manner as the monthly Normal Retirement benefit. but the benefit shall be reduced in accordance with the actuarial factors in Article XII. Section 1 of the Master Plan to account for early commencement of benefits. For Class 6. the monthy Early Retirement benefit shall be reduced in accordance with the early retirement factors that applied under the 1977 Defined Benefit Retirement Plan in effect immediately prior to Januarv 1. 2008 which are incorporated herein by reference. MONTHLY LATE RETIREMENT BENEFIT AMOUNT (check one): ~ The monthly Late Retirement benefit shall be computed in the same manner as the Normal Retirement Benefit, based upon the Participant's Accrued Benefit as of his Late Retirement Date. D The monthly Late Retirement benefit shall be the greater of: (1) the monthly retirement benefit accrued as of the Participant's Normal Retirement Date, actuarially increased in accordance with the actuarial table contained in Article XII, Section 6 of the Master Plan; or (2) the monthly retirement benefit accrued as of the Participant's Late Retirement Date, without further actuarial adjustment under Article XII, Section 6 of the Master Plan. MONTHLY DISABILITY BENEFIT AMOUNT Complete this section only if the Adopting Employer elects to provide Disability retirement benefits. The amount of the monthly Disability Benefit shall be computed as follows (check one): D The monthly Disability benefit shall be computed in the same manner as the Normal Retirement benefit, based upon the Participant's Accrued Benefit as of his Disability Retirement Date. ~ Other method (must specify): For all Employee classes except Class 6. the monthly Disability benefit shall be computed in the same manner as the Normal Retirement benefit. based upon the Participant's Accrued Benefit as of his Disability Retirement Date. For Class 6. the Disability benefit shall be computed as provided in Section 7.29(c)(4) or 7.29(c)(9) of the Addendum to the Adoption A2reement. as applicable. Minimum Disability Benefit. The Adopting Employer may set a minimum Disability Benefit. The Employer elects the following minimum Disability benefit (check one): D No minimum is established. GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 24- .. "J ~ No less than (check one): ~ 20% D 10% D _% (if other than 20% or 10% insert percentage amount) of the Participant's average monthly Earnings for the 12 calendar month period immediately preceding his Termination of Employment as a result of a Disability (this provision does not apply to Class 6 Employees). D No less than (check one): D 66 2/3 % D % (if other than 66 2/3%, insert percentage amount) of the Participant's average monthly Earnings for the 12 calendar month period immediately preceding his Termination of Employment as a result of a Disability, less any benefits paid from Workers Compensation, federal Social Security benefits as a result of disability, any state compulsory disability plan, and any disability income plan paid by the Employer. D Other Minimum (must specify): BENEFIT CAP FOR ELECTED OFFICIALS Complete this section only if elected or appointed members of the Governing Authority participate in the Plan. In addition to any other limitations imposed by federal or state law, the Employer may impose a cap on the monthly benefit amount that may be received by elected or appointed members of the Governing Authority. The Employer elects (check one): ~ No cap. D Monthly benefit for Service as an elected or appointed member of the Governing Authority may not exceed 100% of the Participant's fmal salary as an elected or appointed member of the Governing Authority. D Other cap (must specify): DISTRIBUTIONS FOR THOSE WHO REMAIN IN SERVICE AFTER NORMAL RETIREMENT The Employer may elect to permit active Participants who have satisfied the Employer's qualifications for Normal Retirement or Alternative Normal Retirement to begin drawing their retirement benefit even though they have not yet terminated employment with Employer, subject to the terms of the Master Plan. The Employer makes the following election in this regard (check one): ~ Distribution of retirement benefits is not permitted until the Participant has terminated employment and otherwise qualifies for receipt of benefits. D Participants who have satisfied the qualifications for Normal Retirement or Alternative Normal Retirement may begin drawing their Normal Retirement GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 25 - benefit even though they remain in the service of the Employer. This provision applies to (check one): D All Participants D Only Participants in the following classes (in-service distributions not permitted for any others) (must specify): COST OF LIVING ADJUSTMENT The Employer may elect to provide for a cost-of-living adjustment (COLA) in the amount of benefits being received by Retired Participants and Beneficiaries, which shall be calculated and paid in accordance with the terms of the Master Plan. The Employer hereby elects the following: ~ No cost-of-living adjustment (applies to Class 2 and Class 4 only). ~ Variable annual cost-of-living adjustment not to exceed 5% (applies to Class 6 only). ~ Fixed annual cost-of-living adjustment equal to 1.5% (applies to Class 1, Class 3, Class 5, Class 7, Class 8, and Class 9 only). The above cost-of-living adjustment shall apply with respect to Participants (and their Beneficiaries) who terminate employment on or after (insert date). RE-EMPLOYMENT AFTER RETIREMENT Reemployment After Normal Retirement. In the event a Retired Participant is reemployed with the Employer as an Eligible Employee after his Normal Retirement Date, the following rule shall apply (check one): D The Participant's benefit shall be suspended in accordance with Article VI, Section 6(a) of the Master Plan for as long as the Participant remains employed. ~ The Participant may continue to receive his retirement benefit in accordance with Article VI, Section 6(c) of the Master Plan. This rule shall apply to (check one): D all Retired Participants ~ only the following classes of Retired Participants (must specify - benefits of those Retired Participants not listed shall be suspended in accordan-ce with Article VI, Section 6(a) of the Master Plan if they return to work with the Employer): Retired Participants who return to employment with the Employer pursuant to a written reemployment a2reement with the Employer. This limitation shall also apply with respect to reemployment after Early Retirement (see below). GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 26- Reemployment After Early Retirement. In the event a Participant retires with an Early Retirement benefit and is reemployed with the Employer as an Eligible Employee before his Normal Retirement Date, the following rule shall apply (check one): D The Participant's Early Retirement benefit shall be suspended in accordance with Article VI, Section 6(a) of the Master Plan for as long as the Participant remains employed. ~ The Participant's eligibility to continue receiving Early Retirement benefits shall be subject to the following limitations (if this item is checked, check one of the following): D The Participant's Early Retirement benefit shall be suspended. However, the Participant may again begin receiving benefits after he satisfies the qualifications for Normal Retirement or alternative Normal Retirement in accordance with Article VI, Section 6( d) of the Master Plan. ~ The Participant may continue receiving his Early Retirement benefit in accordance with Article VI, Section 6( e) of the Master Plan, provided his initial retirement was in good faith and he does not return to employment with the Employer for a minimum of ~ months (insert number no less than 6) following his effective Retirement date. If this requirement is not met, the Participant's benefit shall be suspended until he satisfies the qualifications for Normal Retirement or alternative Normal Retirement in accordance with Article VI, Section 6( d) of the Master Plan. TERMINATION OF EMPLOYMENT BEFORE RETIREMENT; VESTING Eli2ible Re2ular Employees Subject to the terms and conditions of the Master Plan, a Participant who is an Eligible Regular Employee and whose employment is terminated for any reason other than death or retirement shall earn a vested right in his accrued retirement benefit in accordance with the following schedule (check one): D No vesting schedule (immediate vesting). ~ Cliff Vesting Schedule. Benefits shall be 100% vested after the Participant has a minimum of~ years (insert number not to exceed 10) of Total Credited Service. Benefits remain 0% vested until the Participant satisfies this minimum. D Graduated Vesting Schedule. Benefits shall become vested in accordance with the following schedule (insert percentages): GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 27- COMPLETED YEARS OF TOTAL CREDITED SERVICE 1 2 3 4 5 6 7 8 9 10 VESTED PERCENTAGE % % % % % % % % % % Exceptions: If a vesting schedule other than that specified above applies to a special class( es) of Regular Employees, the Employer must specify the different vesting schedule below and the class( es) to whom the different vesting schedule applies. Regular Employees to whom exception applies (must specify): (1) Class 2 and Class 4 (see PP. 5-7 for description of classes); and (2) Participants who are employed in a senior executive service (SES) position listed in Addendum Section 7.42(c) on or after January 1. 2009. provided the preconditions specified in Addendum Section 7.42(a) are sastisfied. Vesting Schedule for excepted class (must specify): (1) For Class 2 and Class 4. benefits shall be 100% vested after the Participant has a minimum of 10 years of Total Credited Service. Benefits remain 0% vested until the Participant satisfies this minimum. (2) Subject to the preconditions specified in Addendum Section 7.42(a). Participants in this Plan who hold a senior executive service (SES) position listed in Addendum Section 7.42(c) on or after January 1. 2009 will be considered immediately vested in their accrued normal retirement benefit (no vestin2 schedule). Elected or Appointed Members of the Governin2 Authority Complete this Section only if Elected or Appointed Members of the Governing Authority are permitted to participate in the Plan. Subject to the terms and conditions of the Master Plan, a Participant who is an elected or appointed member of the Governing Authority or a Municipal Legal Officer shall earn a vested right in his accrued retirement benefit for Credited Service in such capacity in accordance with the following schedule (check one): ~ No vesting schedule (immediate vesting). D Other vesting schedule (must specify): GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 28 - PRE-RETIREMENT DEATH BENEFITS IN-SERVICE DEATH BENEFIT Subject to the terms and conditions of the Master Plan, the Employer hereby elects the following in-service death benefit, to be payable in the event that an eligible Participant's employment with the Employer is terminated by reason of death prior to Retirement (check and complete one): ~ Auto A Death Benefit. A monthly benefit payable to the Participant's Pre- Retirement Beneficiary, equal to the decreased monthly retirement benefit that would have otherwise been payable to the Participant, had he elected a 100% joint and survivor benefit under Article VII, Section 3 of the Master Plan. In order to be eligible for this benefit, a Participant must meet the following requirements:: ~ The Participant must be vested in a normal retirement benefit. D The Participant must have Credited Service. years (insert number) of Total ~ The Participant must be eligible for Early or Normal Retirement (this requirement applies to Class 2 and Class 4 only). D Other eligibility requirement (must specify): D Actuarial Reserve Death Benefit. A monthly benefit payable to the Participant's Pre-Retirement Beneficiary, actuarially equivalent to the reserve required for the Participant's anticipated Normal Retirement benefit, provided the Participant meets the following eligibility conditions (check one): D The Participant shall be eligible immediately upon becoming a Participant. D The Participant must have _ years (insert number) of Total Credited Service. D Other eligibility requirement (must specify): Imputed Service. For purposes of computing the actuarial reserve death benefit, the Participant's Total Credited Service shall include (check one): D Total Credited Service accrued prior to the date of the Participant's death. D Total Credited Service accrued prior to the date of the Participant's death, plus (check one): D one-half (~) D (insert other GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 29- fraction) of the Service between such date of death and what would otherwise have been the Participant's Normal Retirement Date. Exceptions: If an in-service death benefit other than that specified above applies to one or more classes of Participants, the Employer must specify below the death benefit payable, the class( es) to whom the different death benefit applies, and the eligibility conditions for said death benefit. Alternative Death Benefit (must specify): see Addendum Section 7.29(d) for description of in-service death benefit applicable to Class 6 Participants. Participants to whom alternative death benefit applies (must specify): Class 6 Eligibility conditions for alternative death benefit (must specify): see Addendum Section 7.29(d). TERMINATED VESTED DEATH BENEFIT Complete this Section only if the Employer offers a terminated vested death benefit. The Employer may elect to provide a terminated vested death benefit, to be payable in the event that a Participant who is vested dies after termination of employment but before Retirement benefits commence. Subject to the terms and conditions of the Master Plan, the Employer hereby elects the following terminated vested death benefit (check one): ~ Auto A Death Benefit. A monthly benefit payable to the Participant's Pre- Retirement Beneficiary, equal to the decreased monthly retirement benefit that would have otherwise been payable to the Participant had he elected a 100% joint and survivor benefit under Article VII, Section 3 of the Master Plan. D Accrued Retirement Benefit. A monthly benefit payable to the Participant's Pre- Retirement Beneficiary which shall be actuarially equivalent to the Participant's Accrued Normal Retirement Benefit determined as of the date of death. Exceptions: If a terminated vested death benefit other than that specified above applies to one or more classes of Participants, the Employer must specify below the death benefit payable, the class(es) to whom the different death benefit applies, and the eligibility conditions for said death benefit. Alternative Death Benefit (must specify): None - no terminated vested death benefit available to Class 2. Class 4. or Class 6 (see PP. 5-7 for description of classes). Participants to whom alternative death benefit applies (must specify): Eligibility conditions for alternative death benefit (must specify): GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 30- EMPLOYEE CONTRIBUTIONS Employee contributions (check one): D Are not required. D Are required in the amount of (insert percentage) of Earnings for all Participants. ~ Are required in the amount of 3.5% (insert percentage) of Earnings for Participants in the following classes (must specify): Class 1. Class 2. Class 3. Class 4 (employee contribution rates are subject to chan2e). ~ Are required in the amount of 4.0% (insert percentage) of Earnings for Participants in the following classes (must specify): Class 5. Class 6. Class 7. Class 8. Class 9 (employee contribution rates are subject to chan2e). Pre-Tax Treatment of Employee Contributions. If employee contributions are required, an Adopting Employer may elect to "pick-up" employee contributions to the Plan in accordance with IRC Section 4l4(h). In such case employee contributions shall be made on a pre-tax rather than a post-tax basis, provided the requirements of Section 4l4(h) are met. If the Employer elects to pick-up employee contributions, it is the Employer's responsibility to ensure that employee contributions are paid and reported in accordance with Section 4l4(h). The Employer hereby elects (check one): ~ To pick-up employee contributions. D Not to pick-up employee contributions. When elected by the Adopting Employer to be picked up, the Adopting Employer shall pick up and pay Employee contributions in accordance with Code Section 414(h)(2) as follows: (1) the contributions, although designated as Employee contributions, shall be paid by the Adopting Employer in lieu of contributions by the Employee as elected by the Adopting Employer in the Adoption Agreement, which shall be effective on a prospective basis and constitute written formal action to implement the pick-up; and (2) the Employee must not be given the option, on or after the effective date of the pick-up, to have a cash or deferred election right (within the meaning of Treasury Regulation Section 1.401(k)- 1(a)(3)) with respect to designated Employee contributions, which includes not having the option of receiving the amounts directly instead of having them paid to the Plan. GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 31 - Interest on Employee Contributions. The Adopting Employer may elect to pay interest on any refund of Employee Contributions. D Interest shall not be paid. ~ Interest shall be paid on a refund of Employee Contributions at a rate established by GMEBS from time to time (this provision applies to Class 2 and Class 4 only. See Addendum Section 7.29(a) for provisions on crediting interest for Class 6 and Addendum Section 7.33 on crediting interest for other classes). EMPLOYER ADOPTION The Adopting Employer hereby agrees to abide by the Master Plan, Trust Agreement, bylaws, and rules and regulations adopted by the Board of Trustees of GMEBS, as each may be amended from time to time, in all matters pertaining to the operation and administration of the Plan. It is intended that the Act creating the Board of Trustees of GMEBS, the bylaws of the Board, the rules and regulations of the Board, and this Plan are to be construed in harmony with each other. In the event of a conflict between the provisions of any of the foregoing, they shall govern in the following order: (1 ) The Act creating the Board of Trustees of the Georgia Municipal Employees Benefit System, O.C.G.A. Section 47-5-1 et seq. and any other applicable provisions ofO.C.G.A. Title 47; (2) The bylaws of the Board; (3) The rules and regulations of the Board; (4) This Ordinance and Adoption Agreement. In the event that any section, subsection, sentence, clause or phrase of this Plan shall be declared or adjudged invalid or unconstitutional, such adjudication shall in no manner affect the previously existing provisions or the other section or sections, subsections, sentences, clauses or phrases of this Plan, which shall remain in full force and effect, as if the section, subsection, sentence, clause or phrase so declared or adjudicated invalid or unconstitutional were not originally a part hereof. The Governing Authority hereby declares that it would have passed the remaining parts of this Plan or retained the previously existing provisions if it had known that such part or parts hereof would be declared or adjudicated invalid or unconstitutional. The Adopting Employer understands that failure to properly complete this Adoption Agreement may result in the Adopting Employer's plan not being qualified under the Internal Revenue Code. The Adopting Employer also agrees it will inform the Board of any amendments to this Adoption Agreement, its Plan, or the discontinuance, abandonment or termination of its Plan. GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 32 - oj AN ORDINANCE (continued from page 1) Section 2. Except as otherwise specifically required by law or by the terms of the Master Plan, Adoption Agreement, or Addendum, the rights and obligations with respect to persons whose employment or term of office with Augusta, Georgia was terminated for any reason whatsoever prior to the effective date of this Ordinance are fixed and shall be governed by such Plan, if any, as applied to the person and was in effect at the time of such termination. Section 3. The effective date of this Ordinance shall be upon adoption by the Augusta- Richmond County Commission (see below). Section 4. All Ordinances and parts of ordinances in conflict herewith are expressly repealed. Approved by the Augusta-Richmond County Commission, this 1 fi TnTIE> ,2009. 1st Reading May 19, 2009 Attest: iJfl~~/ day of AUGUSTA-RICHMOND COUNTY ~.V- ~or 'w101 (SEAL) The terms of the foregoing Adoption Agreement are approved by the Board of Trustees of the Georgia Municipal Employees Benefit System. IN WITNESS WHEREOF, the Board of Trustees of the Georgia Municipal Employees Benetf ~ystem h. as cau d its Sea and the signatures of its duly authorized officers to be affixed this ~ day of , 2of2!1-. Board of Trustees Georgia Municipal Employees ,!~nefit System ~~fl 'L- '.. ..ecr. etary .c..c-" -_.-~". (SEAL) 915486v2 Publish in the Augusta Chronicle June 25, 2009 GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) - 33 - .' GEORGIA MUNICIPAL EMPLOYEES BENEFIT SYSTEM DEFINED BENEFIT PLAN ADOPTION AGREEMENT for AU2usta.. Geor2ia GMEBS - Defined Benefit Plan Adoption Agreement (Amended May, 2009) RECtO JUL 09 2009 .. ' TABLE OF CONTENTS PAGE AN ORDINANCE .......................................................................................................................... 1 ADMINISTRATOR ....................................................................................................................... 2 ADOPTING EMPLOyER.............................................................................................................. 2 GOVERNING AUTHORITY ........................................................................................................ 2 PLAN REPRESENTA TIVE........................................................................................................... 2 PENSION COMMITTEE ............................................................................................................... 3 CLASSES OF ELIGIBLE EMPLOYEES ................. ..... ....... ..................... ................ .............. ...... 5 TYPE OF ADOPTION.. .................................... .................. ................... ................... ........ ............. 3 EFFECTIVE DA TE........................................................................................................................ 4 PLAN YEAR .................................................................................................................................. 5 ELIGIBILITY CONDITIONS..... ............... ............... ......... ........... ......... ...... ...... ......... .......... ......... 8 HOURS PER WEEK (REGULAR EMPLOYEES) ................................................................... 8 MONTHS PER YEAR (REGULAR EMPLOYEES) ................................................................ 9 WAITING PERIOD........................................................................................................................ 9 CREDITED SERVICE ................ ............... .................... ....... ....... .................... .......... .................. 11 CREDITED PAST SERVICE ................. .......... .................. ........................ ............... ........ ...... 11 PRIOR MILITARY SERVICE.............. ............ .................. ........................ ............. .......... ...... 12 PRIOR GOVERNMENTAL SERVICE................................................................................... 14 UNUSED SICKlY ACATIONIPERSONAL LEAVE .............................................................. 15 RETIREMENT ELIGIBILITy......... ............................. ............ ................. ........ ......... ..... ....... ..... 17 EARLY RETIREMENT QUALIFICATIONS.............................. ....... ..... .......... ....... .............. 17 NORMAL RETIREMENT QUALIFICATIONS... ............. ........................ ..... ..... ........ ........... 18 ALTERNATIVE NORMAL RETIREMENT QUALIFICATIONS........................................ 18 DISABILITY BENEFIT QUALIFICATIONS ..... ......... ....... ................... ...... ....... ....... ............ 20 RETIREMENT BENEFIT COMPUTATION ........................ ...... ...... ...... ..... ........... ........ ....... ..... 21 MAXIMUM TOTAL CREDITED SERVICE ......................................................................... 21 MONTHLY NORMAL RETIREMENT BENEFIT AMOUNT ..............................................21 MONTHLY EARLY RETIREMENT BENEFIT AMOUNT .................................................. 23 - 1 - MONTHLY LATE RETIREMENT BENEFIT AMOUNT ..................................................... 24 MONTHLY DISABILITY BENEFIT AMOUNT ................................................................... 24 BENEFIT CAP FOR ELECTED OFFICIALS ........................................................................ 25 DISTRIBUTIONS FOR THOSE WHO REMAIN IN SERVICE AFTER NORMAL RETIREMENT ......................................................................................................................... 25 COST OF LIVING ADJUSTMENT ........................ ............. ......... ...... ................ ......... ........... 26 RE- EMPLOYMENT AFTER RETIREMENT.. .................................... .............. .................... 26 TERMINATION OF EMPLOYMENT BEFORE RETIREMENT; VESTING .......................... 27 PRE-RETIREMENT DEATH BENEFITS .......... ................. ...... ...... ................ ........................... 29 IN-SERVICE DEATH BENEFIT ......................... ....... ......................... ............... .................... 29 TERMINATED VESTED DEATH BENEFIT ........................................................................ 30 EMPLOYEE CONTRIBUTIONS ................................................................................................ 31 EMPLOYER ADOPTION............................................................................................................ 32 -11- ., ADDENDUM TO THE GEORGIA MUNICIPAL EMPLOYEES BENEFIT SYSTEM DEFINED BENEFIT PLAN ADOPTION AGREEMENT This is an Addendum to the May 2009 amended Adoption Agreement for AU2usta-Richmond County. It modifies the May 2009 amended Adoption Agreement in the following ways: 1. Addition of a new Department or a new class of Eligible Employees (for amendment of Adoption Agreement only - see pages 4 and 5 of Adoption Agreement): 2. Discontinuance of participation in the Plan by one or more Departments or classes of Employees (for amendment of Adoption Agreement only - see page 5 of Adoption Agreement): N/A 3. Special eligibility service requirement for Regular Employees (see page 5 of Adoption Agreement regarding Waiting Period): N/A 4. Credited Past Service under the Plan for newly eligible classes of employees (see page 8 of Adoption Agreement regarding Past Credited Service): N/A 5. One-time or ad-hoc cost-of-living adjustments (see Article VI, Section 5(d) of Master Plan regarding Cost of Living Adjustment): N/A 1 REC'D JUL 09 2009 (Amended May, 2009) 6. Alternative early retirement actuarial reduction table for one or more classes of Eligible Employees (see Article VI, Section 2 of Master Plan regarding Early Retirement Benefit): N/A 7. Other: 7.1 New GMEBS Plan Election by 1998 Defined Contribution Plan Participants: Generally Augusta-Richmond County (hereinafter "Augusta") has previously maintained a defined contribution plan known as the 1998 Augusta Money Purchase Plan (Nationwide Retirement Solutions Governmental Defined Contribution Plan, hereinafter referred to as the "1998 Defined Contribution Plan" or "DC Plan"). Employees who are actively employed (as reflected in the records of the Employer) as of October 1, 2007, including elected or appointed members of the Governing Authority, who are Participants in the 1998 Defined Contribution Plan and including any Employees who would be eligible to participate under the DC Plan as of October 1, 2007 but who have not yet satisfied the 30- day waiting period under the DC Plan as of October 1, 2007, shall make a one-time, irrevocable election on a form provided by Augusta for such purpose and in accordance with the procedures specified in Sections 7.11-7.15 below (concerning the employee election process) to either: 1) continue participating in the DC Plan, subject to the terms and conditions of the DC Plan, as amended and restated effective January 1, 2008; or 2) waive their benefits under the DC plan, transfer their DC Plan account balance to this Plan (new GMEBS DB Plan), and begin participating under this Plan subject to the terms and conditions of this Plan and in particular those terms and conditions applicable to Class 7 Employees (see Adoption Agreement pp. 5-7, "Eligible Classes of Employees"). Terminated Employees and former Participants under the DC Plan (as of October 1,2007) shall not be permitted to make an election and shall continue to be subject to the terms of the DC Plan, as amended and restated effective January 1, 2008, with respect to their period of participation under the DC Plan, except as otherwise provided in Section 7.18 below (concerning reemployment). 7.2 Effect of New GMEBS DB Plan Election by 1998 DC Plan Participants (Class 7) If an Employee participant under the DC Plan as of October 1, 2007 elects (affirmatively or by default) to waive his participation under the DC Plan in favor of participation under this Plan (new GMEBS DB Plan): 1) he will be required as part of said election to authorize and direct (or he will be deemed to have authorized and directed in the case of a default election) the transfer of the value of all accounts maintained on behalf of the Employee under the DC Plan as of December 31, 2007 (including all employer contributions, employee contributions, and earnings thereon up until the transfer date, but excluding any rollover contributions and earnings thereon) from the DC Plan to this Plan, for the purpose of funding benefits payable under this Plan (no partial account transfers will be permitted); 2) he will be subject to the terms of the GMEBS Master Plan, the Adoption 2 (Amended May, 2009) Agreement and this Addendum generally, and the plan benefits and features that apply to Class 7 Employees in particular (as reflected in the GMEBS Adoption Agreement and this Addendum); 3) the period of service with Augusta-Richmond County prior to January 1, 2008 during which the Employee made required employee contributions to the DC Plan, as reflected in the records of the Employer and as reported to GMEBS, excluding any periods for which the Employee did not make employee contributions to the DC Plan and provided the Employee has not previously withdrawn or received a distribution of his DC Plan account funds (in the event of a partial withdrawal, the employee's credit for prior service will be prorated), will be taken into account under this Plan for purposes of determining the amount of any retirement or death benefit payable to or on behalf of the Employee under this Plan and for purposes of meeting this Plan's minimum service requirements for vesting, and eligibility for retirement or death benefits, except as otherwise provided in Section 7.34 below (concerning employee withdrawal of contributions); 4) he will be considered vested in his transferred employer contributions as of December 31, 2007 to the extent he was vested in said contributions under the terms of the DC Plan as of December 31,2007 and he will be considered 100% vested in said employer contributions when he has at least 5 years of combined Credited Service under the former DC Plan and the new GMEBS DB plan; 5) he will be 100% vested in his transferred employee contributions as of December 31, 2007, and the Employee will have a guaranteed minimum benefit, payable in accordance with the benefit payment options available under the new GMEBS DB Plan, equal to the value of his transferred employee contributions under the DC Plan as of December 31, 2007, plus 5% interest per year after December 31, 2007, computed in accordance with Section 7.33 below (this provision shall not be interpreted to permit lump sum distributions, except as otherwise permitted in the Master Plan); 6) if the Employee terminates employment with Augusta-Richmond County before becoming 100% vested under the GMEBS DB Plan, the amount of his employee contributions, including employee contributions transferred from the 1998 DC Plan, together with interest computed in accordance with Section 7.33 below, will be paid to the Employee (or to the Employee's estate in the case of termination due to death) in a lump sum in lieu of any other benefit under the GMEBS DB Plan; 7) if the Employee terminates employment, retires, or dies after becoming 100% vested under the Plan, the total amount of benefits paid to the Employee (and/or his Beneficiary, as applicable) cannot be less than the value of the Employee's transferred employee contributions as of December 31,2007 plus any employer contributions transferred from the 1998 DC Plan, plus interest on such amounts, computed in accordance with Section 7.33 below, reduced by any benefits previously paid to the Employee (or his Beneficiary) under the Plan; 8) the Employee's Credited Service with other GMEBS member employers (apart from Augusta-Richmond County) will be counted in determining whether the Employee has satisfied the minimum service requirements for vesting under this Plan; and 9) if the Employee has credited service under the 1977 DB Plan or Old GMEBS Plan prior to January 1, 2008 (excluding any periods for which the Employee did not make employee contributions and provided the Employee has not previously withdrawn or received a distribution of his employee contributions) such credited service will also be counted under this Plan for purposes of determining the amount of any retirement or death benefit payable to or on behalf of the Employee under this Plan and for purposes of meeting this Plan's minimum service requirements for vesting and eligibility for retirement or death benefits. 3 (Amended May, 2009) 7.3 Treatment of Transferred DC Plan Account Funds 1998 Defined Contribution Plan account balances transferred to this Plan (new GMEBS DB Plan) pursuant to Section 7.2 above will be used to help fund benefits payable to the Employee (and/or his Beneficiary under this Plan, as applicable) under this Plan. Amounts transferred to this Plan shall not otherwise be distributable to the Employee or any other person or entity, except as otherwise provided in Section 7.2 above or Section 7.34 below (concerning employee withdrawal of contributions). Upon the transfer of DC account funds to this Plan, Employees who elect the new GMEBS Plan shall have no further right, title, or interest under the DC Plan in its then current form or as amended, except with respect to any rollover contributions and earnings thereon remaining in the DC plan. 7.4 Effect of Election to Remain in DC Plan If an Employee participant under the DC Plan as of October 1, 2007 elects not to transfer to this Plan (new GMEBS DB Plan), then he will not be permitted to participate in this Plan or receive any benefit from this Plan, except as otherwise provided in this Section 7.4 or under Section 7.19 below (concerning reemployment). If a DC Plan participant elects not to transfer to this Plan and he has previously participated under the 1977 Plan or the old GMEBS Plan, then his eligibility for early or normal retirement benefits and the amount of any retirement benefit payable with respect to his prior period of participation under such plan (including cost-of-living adjustments), if any, shall be determined based upon the benefit formula and the other terms of 1977 Plan or the old GMEBS plan (as applicable) in effect as of the date that he ceased participating in said plan as an active employee, and his final average earnings as of said date. In no event will a DC Plan participant who elects not to transfer to this Plan be eligible for disability benefits or pre- retirement death benefits under this Plan based on his prior old GMEBS Plan or 1977 Plan service, except as otherwise provided below with respect to reemployment. 7.5 New GMEBS Plan Election by 1977 Defined Benefit Plan Participants: Generally Augusta-Richmond County has previously maintained a defined benefit plan known as the January 1, 1977 Retirement Plan (hereinafter referred to as the "1977 DB Plan" or "1977 Plan"). Employees who are actively employed and who are Participants in the 1977 Plan as of October 1, 2007 (as reflected in the records of the Employer) shall make a one-time, irrevocable election on a form provided by Augusta for such purpose and in accordance with the procedures specified in Sections 7.11-7.15 below to either: 1) be subject to the plan benefits and features that apply to 1977 Plan Employees who elect the new GMEBS DB Plan (as reflected in the GMEBS Adoption Agreement and Addendum provisions applicable to Class 5 Employees); or 2) continue to be subject to certain plan benefits and features that previously applied under the 1977 Plan (as reflected in the GMEBS Adoption Agreement and Addendum provisions applicable to Class 6 Employees). Terminated Employees and former Participants under the 1977 Plan (as of October 1,2007) shall not 4 (Amended May, 2009) be permitted to make an election and the amount of benefits payable to them upon normal retirement, if any, will be determined based upon their vested accrued normal retirement benefit as determined under the terms of the 1977 Plan in effect as of the date that they terminated participation under the 1977 Plan as an active employee, and their final average earnings determined under the terms of the 1977 Plan as of said termination date (except as otherwise provided in Section 7.20 below (concerning reemployment)). Except as otherwise provided in Addendum Section 7.20 below (concerning reemployment), said former Participants under the 1977 Plan shall otherwise be subject to the terms and conditions of the GMEBS Adoption Agreement and Addendum that apply to Class 6 Employees with respect to eligibility requirements for early or normal retirement, cost-of- living adjustments, early retirement reduction factors, terminated vested death benefits (none available), benefit payment options (except that Retirees and beneficiaries in pay status as of December 31, 2007 will be bound by the retirement benefit payment option previously selected by the Retiree), interest on employee contributions, the grandfathered 415 limit (see Addendum Section 7.29(c)), and termination of disability retirement benefits. 7.6 Effect of New GMEBS Plan Election by 1977 DB Plan Participants (Class 5) If an Employee participant under the 1977 Defined Benefit Plan as of October 1, 2007 elects (affirmatively or by default) to waive certain benefits payable under the terms of the 1977 DB Plan in favor of participation under this Plan (new GMEBS DB Plan): 1) he will be required as part of said election to authorize (or in the case of a default election, he will be deemed to have authorized) the use of all employee contributions made to the 1977 Plan (and accumulated interest thereon) to help fund benefits payable under this Plan; 2) he will be subject to the terms of the GMEBS Master Plan, this Adoption Agreement and Addendum generally, and the plan benefits and features that apply to Class 5 Employees in particular (as reflected in the GMEBS Adoption Agreement and this Addendum); 3) his credited service as determined under the terms of the 1977 Plan in effect immediately prior to January 1, 2008 (as reflected in the records of the Employer and as reported to GMEBS), excluding any periods during which the Employee did not make required contributions to the 1977 Plan or any period for which the Employee has withdrawn or received a refund of employee contributions, will be taken into account under this Plan for purposes of determining the amount of any retirement or death benefit payable to or on behalf of the Employee under this Plan and for purposes of meeting the minimum service requirements for vesting and eligibility for retirement or death benefits applicable to Class 5 Employees; 4) his Credited Service with other GMEBS member employers (apart from Augusta-Richmond County) will be counted in determining whether the Employee has satisfied the minimum service requirements for vesting under this Plan; and 5) if the Employee has previously participated under the old GMEBS Plan, his credited service under the old GMEBS Plan prior to January 1, 2008, if any (excluding any periods for which the Employee did not make employee contributions and provided the Employee has not previously withdrawn or received a distribution of his employee contributions) will be taken into account under this Plan for purposes of determining the amount of any retirement or death benefit payable to or on behalf of the Employee under this Plan and for purposes of meeting this Plan's minimum service requirements for vesting and eligibility for retirement or death benefits. 5 (Amended May, 2009) 7.7 Effect of Election to Remain Subject to Certain 1977 DB Plan Provisions (Class 6) If an Employee participant under the 1977 Defined Benefit Plan as of October 1, 2007 elects not to be subject to the terms of new GMEBS Plan that apply to Class 5 Participants: 1) he will continue to be subject to certain plan benefits and features that previously applied under the 1977 Plan (as reflected in the GMEBS Adoption Agreement and Addendum provisions applicable to "Class 6" Employees); 2) employee contributions previously made to the 1977 DB Plan (and accumulated interest thereon) will be used to fund Class 6 benefits payable to the Employee under this Plan; 3) he will be subject to the applicable terms of the GMEBS Master Plan, the Adoption Agreement and this Addendum generally, and the plan benefits and features that apply to Class 6 Employees in particular (as reflected in the GMEBS Adoption Agreement and Addendum), except as otherwise provided in this Section and in Section 7.29 (concerning certain 1977 Plan provisions that will remain in effect for Class 6 Employees) and Section 7.21 (concerning reemployment); 4) his credited service under the 1977 Plan as determined under the terms of the 1977 Plan in effect immediately prior to January 1, 2008 (as reflected in the records of the Employer and as reported to GMEBS), excluding any periods during which the Employee did not make required contributions to the 1977 Plan or any period for which the Employee has withdrawn or received a refund of employee contributions, will be taken into account under this Plan for purposes of determining the amount of any retirement or death benefit payable to or on behalf of the Employee under this Plan and for purposes of meeting the minimum service requirements for vesting and eligibility for retirement or death benefits applicable to Class 6 Employees; 5) his Credited Service with other GMEBS member employers will not be counted in determining whether the Employee has satisfied the minimum service requirements for vesting under this Plan; and 6) if he has previously participated under the old GMEBS Plan prior to January 1, 2008, then his eligibility for early or normal retirement benefits and the amount of any retirement benefit payable with respect to his period of participation under the old GMEBS plan (including cost-of-living adjustments), if any, shall be determined based upon the benefit formula and the other terms of the old GMEBS plan in effect as of the date that he ceased participating in said plan as an active employee, and his final average earnings as of said date, except as otherwise provided below with respect to reemployment. 7.8 New Plan Election by Current GMEBS DB Plan Participants: Generally Employees who are actively employed and who are Participants in Augusta's GMEBS Defined Benefit Plan as of October 1, 2007 (as reflected in the records of the Employer) shall make a one-time, irrevocable election on a form approved for such purpose and in accordance with the procedures specified in Sections 7.11-7.15 below to either: (1) be subject to the plan benefits and features that apply to current GMEBS Plan participants who elect the new GMEBS Plan (as reflected in the new GMEBS Adoption Agreement and Addendum provisions applicable to Class 1 Employees (public safety employees formerly known as "Class 1" Employees under old GMEBS Plan who elect new GMEBS Plan) and Class 3 Employees (non-public safety employees formerly known as "Class 2" Participants under old GMEBS Plan who elect new GMEBS Plan); or (2) continue to be subject to 6 (Amended May, 2009) certain plan benefits and features that applied under the GMEBS Plan prior to January 1, 2008 (as reflected in the new GMEBS Adoption Agreement and Addendum provisions applicable to Class 2 Employees (public safety employees formerly known as "Class 1" Participants under old GMEBS Plan who do not elect new GMEBS Plan) and Class 4 Employees (non-public safety employees formerly known as "Class 2" Participants under old GMEBS Plan who do not elect the new GMEBS Plan). Terminated Employees and former Participants under the GMEBS Plan (as of October 1, 2007) shall not be permitted to make an election and shall be subject to the old GMEBS plan terms and conditions, benefits and features that were in effect as of the person's termination date (as applicable, depending on the person's classification under the old GMEBS Plan), except as otherwise provided in Section 7.22 below (concerning reemployment). 7.9 Effect of New Plan Election by Current GMEBS Participants (New Class 1 and Class 3) If an Employee Participant under the GMEBS Plan as of October 1, 2007 elects (affirmatively or by default) to waive benefits payable under the terms of the former GMEBS Plan in favor of benefits payable under the terms of the new GMEBS Plan that becomes effective January 1, 2008: 1) he will be subject to the terms of the GMEBS Master Plan, the Adoption Agreement and this Addendum generally, and the plan benefits and features that apply in particular to Class 1 Employees (public safety Employees formerly known as "Class 1" Employees under old GMEBS Plan who elect new GMEBS Plan) or Class 3 Employees (non-public safety Employees formerly known as "Class 2" Participants under old GMEBS Plan who elect new GMEBS Plan) as applicable and as reflected in the GMEBS Adoption Agreement and this Addendum; and 2) if the Employee has previously participated under the 1977 Plan, his credited service under the 1977 Plan prior to January 1, 2008, if any (excluding any periods for which the Employee did not make employee contributions and provided the Employee has not previously withdrawn or received a distribution of his employee contributions) will be taken into account under this Plan for purposes of determining the amount of any retirement or death benefit payable to or on behalf of the Employee under this Plan and for purposes of meeting this Plan's minimum service requirements for vesting and eligibility for retirement or death benefits. 7.10 Effect of Old Plan Election by Current GMEBS Participants (Class 2 and Class 4) If an Employee Participant under the GMEBS Plan as of October 1, 2007 elects not to waive benefits payable under the terms of the former GMEBS Plan in favor of benefits payable under the terms of the GMEBS Plan that become effective January 1, 2008: 1) he will be subject to the terms of the GMEBS Master Plan, the Adoption Agreement and this Addendum generally, and the plan benefits and features that apply in particular to Class 2 Employees (public safety Employees formerly known as "Class 1" Employees under old GMEBS Plan who do not elect new GMEBS Plan) or Class 4 Employees (non-public safety Employees formerly known as "Class 2" Participants under old GMEBS Plan who do not elect new GMEBS Plan), as applicable and as reflected in the GMEBS Adoption Agreement and this Addendum; and 2) if he has previously participated under the 1977 Plan prior to January 1, 2008, then his eligibility for early or normal retirement benefits and the amount of any retirement benefit payable with respect to his period of 7 (Amended May, 2009) participation under the 1977 Plan (including cost-of-living adjustments), if any, shall be determined based upon the benefit formula and the other terms of the 1977 plan in effect as of the date that he ceased participating in said plan as an active employee, and his final average earnings as of said date. 7.11 Window Period for Election Employees (including elected or appointed members of the Governing Authority) who are eligible to make an election under Section 7.1, 7.5, or 7.8 above must submit a completed, signed election on an Employer-approved form pursuant to any procedures established by the Interim Human Resources Director. The election period shall not exceed forty-five (45) days. Employees who have terminated employment may not make an election. 7.12 Resolution of Election Discrepancies Any discrepancies with regard to the determination of whether an Employee has made an effective election shall be resolved by the Interim Human Resources Director within a reasonable time following the election period. 7.13 Effect of No Election (Default Election) - Participation in New GMEBS DB Plan If a 1998 DC Plan participant, a 1977 DB Plan participant, or a GMEBS Plan participant is eligible to make an election but he fails or refuses to submit a signed election form within the prescribed election period pursuant to any procedures established by the Interim Human Resources Director, the Employee will be deemed to have irrevocably elected to participate under the terms of the new GMEBS DB Plan and he will be subject to the provisions of the Adoption Agreement and this Addendum that apply to Class 1, Class 3, Class 5, or Class 7 Participants, as applicable. 7.14 Death or Termination Prior to Effective Date or Transfer of Account Funds If an Employee elects to transfer to the new GMEBS DB Plan (affirmatively or by default) but he dies, terminates employment, or vacates office prior to January 1, 2008 or before his DC Plan account funds are received by GMEBS, then his election to transfer to the new GMEBS Plan will not be effective and will be considered null and void. 7.15 Employees on Leave of Absence: Election If an Employee participant in the 1998 DC Plan, the 1977 DB Plan, or the GMEBS Plan would otherwise be eligible to make an election but is on an approved leave of absence that includes any part of the election period (and assuming the Employee does not submit an election form before the end of the election period), the Employee will be given the opportunity to make the irrevocable election referred to in Section 7.11 above, if and when 8 (Amended May, 2009) the Employee returns to active employment with Augusta immediately upon expiration of said leave of absence. Said election must be submitted by the Employee to the Interim Human Resources Director within one (1) calendar month of the Employee's return to active employment. If the Employee does not return to active employment with Augusta immediately following expiration of the leave of absence, the Employee will be deemed to have irrevocably elected not to participate under the terms of the new GMEBS DB Plan. If the Employee returns to active employment as an Eligible Regular Employee immediately upon expiration of the leave of absence but does not make an election within one (1) calendar month after return to active employment, the Employee will be deemed to have elected the new GMEBS Plan and will be subject to the terms of the Plan applicable to Class 1, Class 3, Class 5 or Class 7, as applicable. 7.16 Eli2ible Re2ular Employees Initially Employed or Reemployed Between October 1. 2007 & January 1. 2008 If an Eligible Regular Employee is initially employed or reemployed after October 1, 2007 and before January 1, 2008, he or she will not be eligible to participate in the 1998 DC Plan. Assuming he meets the applicable requirements for participation in this Plan, the Employee will commence participation in this Plan as of January 1, 2008, and the Employee will begin making employee contributions to the Plan as of January 1, 2008. However, assuming the other terms and conditions of the Plan are satisfied, Eligible Regular Employees who are initially employed or reemployed after October 1, 2007 and before January 1, 2008 and who become Participants in this Plan will receive credit for Service between October 1,2007 and January 1, 2008, notwithstanding the fact that their employee contributions will not commence until January 1, 2008. 7.17 30-Day Waitin2 Period for Participation under New GMEBS DB Plan Notwithstanding any provision in the Adoption Agreement to the contrary, effective January 1, 2008 with respect to Eligible Employees initially employed or reemployed on or after said date, there will be a thirty (30) day waiting period for participation under the new GMEBS DB Plan. Eligible Employees shall commence participation in the Plan as of the first day of the month coinciding with or following the date that they satisfy the 30-day waiting period, except as otherwise provided in the Adoption Agreement with respect to Eligible Employees for whom participation is optional and who elect in accordance with the terms of the Adoption Agreement not to participate in this Plan (see "Establishing Participation in the Plan," Adoption Agreement p. 9). Employee contributions to the Plan shall commence as of the first full payroll period that begins on or after the date that the Employee's participation in the Plan begins. 7.18 Reemployment of Former 1998 DC Plan Participants after October 1. 2007 (No Election Opportunity): Participation in GMEBS DB Plan: Prior Service Credit Purchase 9 (Amended May, 2009) This Section will not apply to any Employee who had an opportunity to make an election under Section 7.1 (active employee election) or 7.15 (election by employees on leave of absence). Except as otherwise provided in Section 7.36(c), if a former 1998 DC Plan Participant is reemployed as an Eligible Regular Employee after October 1,2007, he will be governed by the terms of the new GMEBS DB Plan applicable to Class 9 Employees. Said Eligible Regular Employees will not receive any credit under this Plan with respect to their Service with Augusta-Richmond County prior to their reemployment date for any purpose (vesting, benefit eligibility, or benefit computation) under this Plan, except as otherwise permitted under Section 7.27 below (concerning service credit purchases). 7.19 Reemployment of DC Plan Participants Who Elect DC Plan: Mandatory Participation in GMEBS Plan If a 1998 DC Plan Participant elects to remain in the DC Plan in accordance with Section 7.1 (active employees) or Section 7.15 (election by employees on leave of absence) above and is later terminated and reemployed by Augusta as an Eligible Employee, he will be governed by the terms of the new GMEBS Plan applicable to Class 9 Employees, notwithstanding his prior election. Said Eligible Employees will not receive any credit under this Plan with respect to their Service with Augusta-Richmond County prior to their reemployment date for any purpose (vesting, benefit eligibility, or benefit computation) under this Plan, except as otherwise permitted under Section 7.27 below (concerning service credit purchases). 7.20 Reemployment of Former 1977 DB Plan Participants after October 1. 2007 (No Election Opportunity): Mandatory Participation in GMEBS DB Plan This Section will not apply to any Employee who had an opportunity to make an election under Section 7.5 (active employee election) or 7.15 (election by employees on leave of absence). Except as otherwise provided in Section 7.36(c), if a former 1977 DB Plan Participant is reemployed as an Eligible Regular Employee after October 1,2007, he will be governed by the terms of the new GMEBS DB Plan applicable to Class 9 Employees. Said Employees will not receive any credit under this Plan with respect to their Service with Augusta-Richmond County prior to their reemployment date for any purpose (vesting, benefit eligibility, or benefit computation), if they have previously withdrawn their employee contributions to the 1977 DB Plan, except as otherwise permitted under Section 7.27 below (concerning service credit purchases). If returning Eligible Regular Employees have not withdrawn or received a refund of employee contributions made to the 1977 DB Plan prior to their reemployment, they will receive credit under this Plan for credited service under the 1977 Plan relating to said contributions prior to reemployment (the amount of such credited service will be determined based on the records of the Employer as reported to GMEBS), excluding any periods during which the Employee did not make required contributions to the 1977 Plan, provided they satisfy this Plan's break in service rules, if applicable. Such credit will be taken into account under this Plan for purposes of determining the amount of any retirement or death benefit payable to or on behalf of the Eligible Employee under this Plan and for purposes of meeting the minimum service 10 (Amended May, 2009) requirements for vesting and eligibility for retirement or death benefits, unless the Employee later withdraws his employee contributions (see Section 7.34 below). 7.21 Reemployment of 1977 Plan Participants Who Elect Old 1977 Plan If a 1977 DB Plan Participant elects the old 1977 DB Plan in accordance with Section 7.5 (active employees) or Section 7.15 (leave of absence) above and is later terminated and reemployed by Augusta as an Eligible Regular Employee, he will be governed by the terms of the new GMEBS Plan applicable to Class 9 Employees, notwithstanding his prior election. This rule will also apply to a DC Plan participant or GMEBS Plan participant who makes an old plan election (see Section 7.4 and 7.10) if he has credited service prior to January 1, 2008 under the 1977 Plan, for purposes of determining eligibility and entitlement to benefits, if any, with respect to said prior credited service under the 1977 Plan. 7.22 Reemployment of Former GMEBS Participants after October 1. 2007 (No Election Opportunity): Mandatory Participation in New GMEBS DB Plan This Section will not apply to any Employee who had an opportunity to make an election under Section 7.8 (active employee election) or Section 7.15 (election by employees on leave of absence). Except as otherwise provided in Section 7.36(c), if a former GMEBS Plan Participant is reemployed as an Eligible Regular Employee after October 1,2007, he will he will be governed by the terms of the new GMEBS DB Plan applicable to Class 9 Employees. If returning Eligible Regular Employees have not withdrawn or received a refund of their employee contributions made to the GMEBS Plan prior to their reemployment, they will receive credit under this Plan for Credited Service under the GMEBS Plan prior to reemployment, subject to Section 7.25 below (concerning credit for Service prior to March 1, 1987) and subject to this Plan's break in service rules, if applicable. If they have withdrawn their contributions prior to reemployment, they will be governed by the provisions of the Master Plan concerning the effect of withdrawal. 7.23 Reemployment of GMEBS Participants who Elect Old GMEBS Plan If a GMEBS Plan Participant elects the old GMEBS Plan in accordance with Section 7.10 (active employee election) or Section 7.15 (election by employees on leave of absence) above and is later terminated and reemployed by Augusta as an Eligible Regular Employee, he will be governed by the terms of the new GMEBS Plan applicable to Class 9 Employees, notwithstanding his prior election. This rule will also apply to a DC Plan participant or 1977 Plan participant who makes an old plan election (see Section 7.4 and 7.7) if he has credited service prior to January 1, 2008 under the old GMEBS Plan, for purposes of determining eligibility and entitlement to benefits, if any, with respect to said prior credited service under the old GMEBS Plan. 11 (Amended May, 2009) 7.24 Reemployment of Former Participants under 1945. 1949 Plans If a former Participant in the Augusta-Richmond County 1945 Pension Plan or the Augusta-Richmond County 1949 Pension Plan (not including those who became participants in the 1977 Plan prior to January 1, 2008) is reemployed by Augusta- Richmond County as an Eligible Regular Employee after October 1, 2007, he will be governed by the terms of the new GMEBS Plan applicable to Class 9 Employees. His service with Augusta-Richmond County prior to his reemployment date will not be taken into account for any purpose (vesting, benefit eligibility, or benefit computation) under the terms of this Plan, except as otherwise permitted in Section 7.27 below (concerning service credit purchases). 7.25 Classes 1-4: No Credit for Service Prior to Ori2inal Effective Date of GMEBS Plan With respect to Participants in Classes 1, 2, 3, and 4, Credited Service does not include Service with Augusta prior to March 1, 1987 (the original effective date of the GMEBS Plan), except to the extent that credit for such service is purchased in accordance with and subject to Section 7.27 below (concerning service credit purchases). However, Service by such Participants prior to March 1, 1987 will be taken into account in determining whether the Participant has met the minimum service requirements for vesting and benefit eligibility under this Plan. This provision will apply regardless of the Participant's reemployment after January 1,2008. 7.26 Class 8 Employees: No Credit for Service Prior to January 1.2008 With respect to Class 8 Employees as described in the Adoption Agreement (p. 7), Service prior to January 1, 2008 will not be taken into account for any purpose under this Plan, except to the extent that credit for such Service is purchased in accordance with and subject to Section 7.27 below (concerning service credit purchases). 7.27 Prior Service Credit Purchase 7.27 (a) Purchase of Credit for Prior Service Not Creditable Under Any Plan: Generally. Subject to the terms and conditions specified in this Section 7.27, Participants in this Plan who are actively employed on or after January 1, 2008 may purchase credit under this Plan for any period of prior full-time service with Augusta-Richmond County (as defined in the Augusta personnel policies and procedures), provided the Service is not otherwise creditable under this Plan or any other Augusta retirement plan (i.e., the Participant has not received and has no potential to receive a retirement benefit or distribution under any Augusta retirement plan, including the GMEBS Plan, that is attributable to such service or attributable to employer contributions made during such service), and provided the other requirements of this Section 7.27 are satisfied. The purchase of prior service credit is permitted but not required under this Plan. Participants may purchase all of their prior service that is eligible for purchase, or only a portion of such service on a pro rata basis. Such purchases will be allowed to the extent permitted by law, subject to any conditions, 12 (Amended May, 2009) proofs, or acceptance that the Augusta Human Resources Director and GMEBS deem appropriate. Service credit purchased hereunder will be counted as Credited Service for purposes of computing the amount of benefits payable and meeting the minimum service requirements for vesting and benefit eligibility, except as otherwise provided in this Section or Section 7.34 below (concerning withdrawal of contributions). 7.27(b) Application to Purchase Service Credit. A Participant who wishes to purchase prior service credit may apply for such purchase by completing and submitting to the Human Resources Director an application form provided for such purpose. Participants will be responsible for providing the Human Resources Director with any information or documentation that the Human Resources Director deems necessary to establish that the Participant's service is eligible for purchase under Section 7.27(a) above. 7.27(c) Annual Window Period for Application: July 1 - AU2ust 31. In order to purchase service credit, Participants must submit the application referred to in Section 7.27(b) above within the two-month period beginning July 1 and ending August 31. If a Participant fails to submit a completed application to purchase service credit within the designated window period, the Participant will not be permitted to purchase service credit until the next year's window period for application. Participants may not apply to purchase service credit after termination of employment. 7.27(d) Human Resources Director's Confirmation of Service Eli2ible for Purchase. The Human Resources Director will certify on the Participant's application to purchase service credit the number of years and months of prior full-time Service that are eligible for purchase under Section 7.27(a) above. 7.27(e) Participant Must Pay Fee for Cost Study. In connection with their application to purchase service credit, Participants may be required to pay a fee (to be set by Augusta- Richmond County) for completion of the cost study to determine the cost to purchase the Participant's eligible prior service credit. This fee must be submitted with the Participant's application before the end of the annual window period referred to in Section 7.27(c) above. 7.27(f) Actuarial Study to Determine Cost of Purchase. If the Participant's application to purchase prior service credit (and the cost study fee) are submitted within the two-month window period for application, and if the Participant's application to purchase is approved by the Human Resources Director, a cost study will be undertaken as soon as reasonably practicable after the close of the application window period to determine the actuarial cost relating to the Participant's prior service that is eligible for purchase. 7.27(g) Lump Sum Payment Required Within 120 Days After Receipt of Cost Study Results. Upon completion of the cost study, the Human Resources Director will notify the Participant of the lump sum amount required to purchase prior service credit, as reflected in the cost study. Within 120 days after receipt of said notice, the Participant shall remit said lump sum amount in the form and manner required by Sections 7.27(h)-G), the Human Resources Director, and GMEBS. The Participant may remit less than the full lump amount necessary to purchase all of the prior service credit which is eligible for 13 (Amended May, 2009) purchase, in which case the percentage of service credit awarded will be equal to the percentage of the full amount remitted. The Human Resources Director shall have the authority to extend the 120-day time period for payment of lump sum amounts required to purchase service credit if, for reasons outside the control of the Participant, payment cannot be made within the 120-day period. However, the time limit for payment will not be extended any later than the start of the next annual two-month window period for application (see Section 7.27(c) above). 7.27(h) Method of Payment. To the -extent permitted by the Internal Revenue Code and regulations issued thereunder, the lump sum amount referred to in Section 7.27(g) above may be paid via one or more of the following sources: (1) a direct trustee-to-trustee transfer from a 401(a) qualified retirement plan, governmental 457(b) deferred compensation plan or a 403(b) tax sheltered annuity; (2) a qualified rollover from a governmental 457(b) plan, 401(a) qualified plan, 403(a) annuity plan, or a 408(a)(b) individual retirement account or annuity (traditional IRA); or (3) a lump sum contribution of after-tax funds. Participants shall be solely responsible for effecting the payment referred to herein. Participants will not be permitted to purchase credit via payroll deduction. 7.27(i) Limitation on Amount of Lump Sum Payment. If the lump sum amount referred to in Section 7.27(g) is paid via any method other than as described under Section 7.27(h)(1) or 7.27(h)(2) above, then the Participant shall not be permitted to contribute to the plan in any calendar year an amount which exceeds any applicable limit specified in Internal Revenue Code Section 415. 7.270) IRC 415. Other Limitations. Notwithstanding any other provision of the Adoption Agreement or this Addendum to the contrary, the Plan will not accept and shall return without interest any contribution (or portion of a contribution) made to purchase service credit if such contribution would result in a violation of the applicable limitations established under Internal Revenue Code ~415(b), (c), or (n) or any other provision oflaw or the Plan, or if it is later determined that the Participant's prior service is not eligible for purchase, and any prior service credit attributable to said contribution or portion of a contribution will be forfeited. 7.27(k) Return of Contributions. Contributions made to purchase prior service credit shall be used to fund retirement and death benefits payable under the Plan relating to such credit. Contributions shall not otherwise be refundable to the Participant or any other person, except as otherwise provided in Section 7.34 (concerning withdrawal of contributions). 7.27(1) Definition of Actuarial Cost. The cost to purchase qualifying prior service credit shall be determined based upon the actuarial cost of said prior service credit. In applying the provisions of the Adoption Agreement and this Addendum concerning the purchase of prior service credit, and notwithstanding any provision of the Adoption Agreement to the contrary, the term "actuarial cost of prior service credit" means the present value of projected additional benefits relating to such prior service credit, as determined based on factors supplied by the GMEBS actuary and calculated using the actuarial assumptions and methods employed in performing the Employer's annual plan valuation. 14 (Amended May, 2009) 7.27(m) Additional Payment for Future Benefit Enhancements. Following adoption by Augusta-Richmond County of a future benefit enhancement, Participants who have previously purchased credit for prior service and who wish to be covered by any such future benefit enhancement under the Plan may be required by Augusta-Richmond County to pay an additional amount equal to the additional actuarial cost attributable to the benefit enhancement (e.g., an increase in the benefit formula) as applied to service credit which has previously been purchased by the Participant. If such additional amount necessary to fund future benefit enhancements is not paid by the Participant within 120 days after the Participant receives notice of the required payment from Augusta-Richmond County and prior to termination of employment, the benefit enhancement will not apply with respect to any period of service credit previously purchased by the Participant. 7.28 Disability Retirement Benefits. Disability retirement benefits under this Plan shall be administered in accordance with the provisions of the GMEBS Master Plan, except as otherwise provided in this Section or Section 7.29 below (concerning disability benefits for Class 6 Participants). If a Participant (other than a Class 6 Participant) is not disabled in accordance with the GMEBS Master Plan Article II, Section 19(a) definition solely because he lacks the quarters of Social Security coverage required to receive disability insurance benefits under the Federal Social Security Act, as amended, Disability shall mean a physical or mental disability of a Participant if the Pension Committee shall determine that he is permanently incapacitated on the basis of a certificate signed by a physician selected and engaged by the Participant, stating that: (1) such Participant is permanently and totally physically or mentally disabled by anatomical, physiological, or psychological abnormalities that are demonstrable by medically acceptable clinical and laboratory diagnostic techniques, so as to be prevented from engaging in any occupation or employment whatsoever for remuneration or profit; (2) such disability commenced on a specified date during the period of the Participant's employment with Augusta, Georgia; (3) such disability will be permanent and continuous during the remainder of the Participant's life; and (4) such disability was not self-inflicted, incurred in military service, incurred in the commission of a felonious enterprise, or the result of the use of narcotics or drugs or habitual use of alcohol. The Pension Committee shall have the right to require the Participant who applies for Disability Retirement or who is receiving Disability Retirement benefits to be examined by a physician chosen by the Pension Committee to confirm the Participant's initial disability or continuation of disability. Should the physician chosen by the Pension Committee not confirm the Participant's initial disability or continuation of disability, then such physician and the physician selected by the Participant shall select a third physician by mutual agreement, who shall determine finally and unalterably whether the Participant is disabled as defined herein. 7.29 Certain Old 1977 DB Plan Provisions Preserved for Class 6 Participants 7.29(a) Class 6 Interest on Employee Contributions. Notwithstanding any provision of this Plan to the contrary, for Class 6 Participants interest shall be credited on Employee Contributions from the January 1 next following the date of which such Contributions are made until the earlier of: (a) the date oftermination of employment for any reason; and (b) 15 (Amended May, 2009) the Participant's Normal Retirement Date, with such interest compounded annually at the rate of 5% per annum. 7.29(b) Class 6 Early Retirement Factors. Notwithstanding any provision of this Plan to the contrary, for Class 6 Participants, the monthly Early Retirement benefit shall be computed in the same manner as the Normal Retirement benefit, but the benefit shall be reduced by 5/12% for each complete month by which the Early Retirement Date of a Participate precedes his Normal Retirement Date or Alternative Normal Retirement Date (age 65, or age 62 if the Participant has 25 years of Credited Service). 7.29(c) Class 6 Disability Retirement 7.29(c)(1) Employment-Connected Disability. A Class 6 Participant may retire with a Disability Retirement benefit under the Plan if he becomes totally and permanently disabled with a "Disability" as defined in GMEBS Master Plan Article II, Section 19 (based on Social Security disability determination, except where Participant has insufficient quarters of Social Security coverage) from a cause arising out of and in the course of employment, as determined by the Pension Committee. If Master Plan Article II, Section 19(b) applies (due to insufficient quarters of Social Security coverage) and the physician chosen by the Pension Committee does not confirm the Participant's disability, then such physician and the physician chosen by the Participant shall select a third physician by mutual agreement, who shall determine finally whether the Participant is disabled within the definition of GMEBS Master Plan Article II, Section 19(b). Payment of the Disability Retirement benefit to Class 6 Participants shall be governed by the following provisions of this Section 7.29(c), notwithstanding any other provision of the GMEBS Master Plan to the contrary. 7.29(c)(2) Class 6 Non-Admissible Causes of Disability. Notwithstanding anything in this Section 7.29(c) or the Master Plan to the contrary, a Class 6 Participant shall not be entitled to receive any Disability Retirement benefit if the Pension Committee determines that the Participant's disability is a result of any of the following: excessive and habitual use by the Participant of drugs or narcotics; injury or disease sustained by the Participant while willfully participating in acts of violence, riots, civil insurrections, or while committing a criminal offense; injury or disease sustained by the Participant while serving in any armed forces or as the result of warfare; injury or disease sustained by the Participant after his employment has terminated; injury or disease sustained by the Participant while working for anyone other than Augusta-Richmond County and directly attributable to such employment; or intentional, self-inflicted injury. 7.29(c)(3) Class 6 - Continuin2 Examination. Once each year after commencement of Disability Retirement benefits, the Pension Committee may require proof of the continued total and permanent disability of the Class 6 Participant. The decision of the Pension Committee on all such questions shall be final and binding. 7.29(c)(4) Class 6 - Amount of Employment-Connected Disability Retirement Benefit. The monthly retirement benefit payable to a Class 6 Participant on his Disability Retirement Date, if he is entitled to an employment-connected disability benefit under Section 7.29(c)(1) above, shall be 1/12 of fifty-percent (50%) of his Final Average Earnings 16 (Amended May, 2009) determined as of his Disability Retirement Date, reduced by any monthly payment received under worker's compensation law (as determined by the Human Resources Director and reported to GMEBS), or if worker's compensation is paid in a lump-sum payment, the monthly payments otherwise payable to the Participant under the Plan shall be reduced by an amount which equitably adjusts, as determined by the Human Resources Director, for the amount to which the Participant is eligible under worker's compensation. 7.29(c)(5) Class 6 - Payment of Employment-Connected Disability Retirement Benefit. The retirement benefit to which a Class 6 Participant is entitled in the event of Disability shall be payable on the first day of each month. The first payment shall be made on the Participant's Disability Retirement Date and the last payment shall be the payment due next preceding the earlier of (a) the Participant's date of death, or (b) the cessation of his Disability prior to his Normal Retirement Date. The Disability Retirement Date shall be the first day of the month which coincides with or next follows the date the Pension Committee approves payment of the disability benefit. 7.29(c)(6) Class 6 - Termination of Disability Retirement Benefit. If a Class 6 Participant's Disability ceases prior to his Normal Retirement Date and he does not become reemployed by Augusta-Richmond County within 60 days after his recovery, all rights of the Participant in and to a Disability Retirement benefit shall cease and he shall be entitled to: 1) an Early Retirement benefit, if he had satisfied the requirements for early retirement as of the date on inception of his Total and Permanent Disability, or 2) a Normal Retirement benefit, if he has satisfied the requirements for Normal Retirement. Either such benefit shall be based on his Credited Service and Final Average Earnings as of the date of inception of the Participant's Disability. If the Participant's Disability ceases, his employment will be deemed to have been continuous, provided that the period beginning with the first month for which he received a disability payment and ending with the date of reemployment will not be considered as Credited Service for purposes of the Plan. 7.29(c)(7) Class 6 Non-Employment Connected Disability: 5 Year Eli2ibility Requirement. If a Class 6 Participant becomes Disabled from a cause: (1) not arising out of and in the course of his employment and (2) other than specified in Section 7.29(c)(2) above (concerning non-admissible causes of disability) after the completion of five (5) or more years of Credited Service, he shall be entitled to a Disability Retirement benefit in accordance with Sections 7.29(c)(8)-(10) below. 7.29(c)(8) Class 6 Retirement Date. Proof of Non-Employment Connected Disability. The Disability Retirement Date of a Participant shall be the date defined in Section 7.29(c)(5) above. Proof of Disability shall be the same as that required in Sections 7.29(c)(1)-(3) above. 7.29(c)(9) Class 6 Amount of Non-Employment Connected Disability Benefit: Accrued Benefit. In the case of a non-employment connected Disability, the monthly retirement benefit payable to a Participant on his Disability Retirement Date shall be an amount equal to 1/12 of 1 % of his Final Average Earnings multiplied by his Credited Service up to his Disability Retirement Date, reduced by any monthly payment received under worker's compensation law (as determined by the Human Resources Director and reported to GMEBS), or if worker's compensation is paid in a lump-sum payment, the monthly 17 (Amended May, 2009) payments otherwise payable to the Participant under the Plan shall be reduced by an amount which equitably adjusts, as determined by the Human Resources Director, for the amount to which the Participant is eligible under worker's compensation. 7.29(c)(10) Class 6 Payment of Non-Employment Connected Disability Benefit: Termination of Benefits. The provisions of Sections 7.29(c)(5) and 7.29(c)(6) above concerning payment and termination of Disability Retirement Benefits shall also apply to Class 6 Participants who are receiving non-employment connected Disability Retirement benefits. 7.29(d) Class 6 Pre-Retirement Death Benefits (In-Service Death Benefits Only: No Terminated Vested Death Benefit) 7.29(d)(1) Class 6 Duty-Connected Death: 25% of Final Avera2e Earnin2s Payable to Spouse/Minor Children. If the employment of a Class 6 Participant is terminated by reason of his death while actively performing the prescribed duties of his job and not resulting from any misconduct or willful negligence of the Participant, as determined by the Pension Committee, the surviving Spouse as defined in GMEBS Master Plan Article II, Section 56 (if any) of such deceased Participant will receive a monthly benefit equal to 1/12 of twenty-five (25%) of the Participant's Final Average Earnings as of the date of death. Such benefit will commence on the first day of the month following the last payment of: any monthly benefits provided under state worker's compensation law (as determined by the Human Resources Director and reported to GMEBS) or if worker's compensation benefits are paid in lump-sum amount, the last monthly payment which would otherwise be payable if such lump-sum payment is equitably adjusted on the basis of the monthly amount to which the Participant would be entitled under state worker's compensation law, as determined by the Human Resources Director and reported to GMEBS. The monthly benefit shall be payable until the Spouse of the deceased Participant dies or remarries; provided however, that in the event of the Spouse's death while a Minor Child or Minor Children (as defined in GMEBS Master Plan Article II, Section 9, except that the age of majority shall be 18) of the deceased Participant survive, the monthly benefit otherwise payable to the Spouse shall continue for the benefit of such Minor Child or Children, in equal monthly shares, until the earlier of marriage, death, or attainment of age 18 as to each child. If the Class 6 Participant does not leave a surviving Spouse but leaves a surviving Minor Child or Minor Children, the legal guardian of such child(ren) shall receive on their behalf the benefit that would have otherwise been payable to the Spouse, divided into equal monthly shares for the surviving Minor Child(ren), and payable until the earlier of marriage, death, or attainment of age 18 as to each child. If no Spouse or Minor Child(ren) survive the deceased Participant, a lump-sum cash amount equal to the total amount of the Participant's employee contributions with interest shall be paid to the Participant's Pre-Retirement Beneficiary as determined under the GMEBS Master Plan, or if there is no Pre-Retirement Beneficiary, to the Participant's estate. 7.29(d)(2) Class 6 Non-Duty Connected Death (Return of Contributions Only). If the employment of a Class 6 Participant is terminated by reason of his death prior to his Normal Retirement Date and such death was not the result of the Participant actively performing the prescribed duties of his job, as determined by the Pension Committee, there shall be payable to his surviving Spouse (as defined in GMEBS Master Plan Article II, 18 (Amended May, 2009) Section 56) or, ifno Spouse survives the Participant, then to his Pre-Retirement Beneficiary (as determined under the GMEBS Master Plan), a lump-sum cash amount equal to the total amount of the Participant's employee contributions with interest. If there is no surviving Spouse or Pre-Retirement Beneficiary, said amount will be paid to the Participant's estate. 7.29(e) Grandfathered 415 Limit for Class 6 and Class 5. In accordance with Internal Revenue Code Section 415(b)(10), notwithstanding any provision of the Master Plan to the contrary, with respect to Class 5 and Class 6 Participants who became participants in the 1977 DB Plan before January 1, 1990, the maximum annual benefit payable in accordance with the IRC 415 benefit limitations contained in the Master Plan shall not be less than such Participant's Accrued Benefit under this Plan (as determined without regard to any plan amendment made after October 14, 1987). 7.29(f) Vestin2 for Class 6 and Class 5 Department Heads. A Class 5 or Class 6 Participant who was appointed a department head by Richmond County prior to January 1, 2008 shall be 100% vested, notwithstanding the 5-year vesting requirement otherwise applicable under the Plan. 7.30 Definition of Earnin2s for Purposes of Determinin2 Employee Contributions and Benefits. For purposes of administering the Plan, "Earnings" shall be as defined in GMEBS Master Plan Article II, Section 22, but shall not include compensation for reimbursed expenses, severance pay, or lump sum vacation pay. 7.31 Benefits Payable As of 1st of the Month for the Month. Notwithstanding any provision of the GMEBS Master Plan to the contrary, retirement benefits (including Normal Retirement, Early Retirement, and Disability Retirement Benefits) and death benefits shall be payable on the first day of the month for the month (rather than the last day). 7.32 COLA Applied as of February 1. Notwithstanding any provision of the GMEBS Master Plan to the contrary, the annual cost-of-living adjustment provided for in the Adoption Agreement will be applied as of February 1 each year (with February payment). The cost-of-living adjustment will otherwise be determined in accordance with the GMEBS Master Plan and the COLA provisions of the Adoption Agreement. 7.33 Interest on Employee Contributions. Except as otherwise provided in the Adoption Agreement and this Addendum with respect to Participants in Classes 2, 4, and 6, employee contributions shall be credited with interest at the rate of 5% per annum, compounded annually. 7.34 Effect of Withdrawal of Employee Contributions. If a Participant terminates Service with Augusta after January 1, 2008 and he withdraws or receives a refund of his employee contributions to this Plan following said termination (including employer and employee contributions transferred to this Plan from the DC plan, any employee contributions made to the 1977 Plan, any employee contributions made under the old or new GMEBS Plan, and/or any contributions made to purchase prior service credit), then the Participant will forfeit for himself, his heirs and assigns all of his rights, title, and interest in the Plan in accordance with Master Plan Article XIII, Section 3, except as otherwise provided in this 19 (Amended May, 2009) . Section with respect to repayment in the event of reemployment. A partial withdrawal or refund of employee contributions is not permitted. A Participant may not withdraw his employee contributions as long as he remains in Service and he may not borrow against his employee contributions at any time. Notwithstanding any provision of the Master Plan to the contrary, if a Participant withdraws his employee contributions after January 1, 2008, and if he later returns to Service with Augusta as an Eligible Employee, then any service credit or benefit amount forfeited by virtue of the withdrawal or refund may be reinstated, provided that within six (6) months after his reemployment date (or prior to his termination date following reemployment, if earlier), he repays to this Plan in a lump sum any and all amounts previously withdrawn or refunded, plus interest calculated at the rate of 8% per annum. Partial repayment is not permitted. In no event will the time the Participant was absent be taken into account in calculating the amount of any benefit payable under this Plan. Said Participants will also be required to satisfy the break in service requirements of Article IV, Section 6 of the Master Plan, if applicable. 7.35 Public Safety Retirement by A2e 70. Public Safety Personnel (as defined on p. 6 of the Adoption Agreement) shall not delay their Retirement beyond age seventy (70). 7.36 Treatment of Classes for Whom Participation is Optional 7.36(a) Initially Employed After October 1.2007. This provision applies only with respect to the classes for whom participation is optional (see Adoption Agreement pp. 9-10). If an Eligible Employee is initially employed or initially takes office with Augusta-Richmond County (with no prior service for Augusta-Richmond County) as an elected or appointed member of the Governing Authority (member of the Board of Commissioners of Augusta- Richmond County), Administrator, Assistant Administrator, Department Director, Assistant Department Director, or Law Department General Counselor Law Department staff attorney after October 1, 2007, he must make an irrevocable election whether to participate in this Plan or the DC Plan, (as amended and restated effective January 1, 2008 and subject to any future amendments) in accordance with the 30-day election time limit and other procedures referred to on p. 9 of the Adoption Agreement. If he fails or refuses to make an election within the 30-day time limit, it will be deemed an irrevocable election to participate in this Plan (not the DC Plan). If the Employee is initially employed between October 1, 2007 and January 1, 2008 and he elects (affirmatively or by default) to participate in this Plan rather than the DC Plan, the provisions of Addendum Section 7.16 (concerning commencement of employee contributions and credit for service prior to January 1,2008) will apply. If he elects (affirmatively or by default) to participate in this Plan rather than the DC Plan, then in the event he terminates or leaves office and later returns to Service with Augusta-Richmond County as an Eligible Employee, he will be required to participate in this Plan upon reemployment, and will be subject to the break in service provisions (if applicable) and other applicable provisions of this Plan concerning reemployment. If he elects to participate in the DC Plan (rather than this Plan) as provided in the Adoption Agreement, then in the event he terminates or leaves office and later returns to Service with Augusta-Richmond County as an Eligible Employee, he will not be able to make a plan election upon his reemployment and he will be required to participate in this Plan, notwithstanding his prior election to participate in the DC Plan. In such case, he will not receive any credit under this Plan with respect to Service with Augusta- 20 (Amended May, 2009) . Richmond County prior to said reemployment date for any purpose (vesting, benefit eligibility, or benefit computation), except as otherwise permitted under Addendum Section 7.27 above (concerning service credit purchases). 7 .36(b) Employed as of October 1. 2007: Return to Service After Election Elected or appointed members of the Governing Authority, the Administrator, Assistant Administrators, Department Directors, Assistant Department Directors, Law Department General Counsel and Law Department staff attorneys who are employed or in office as of October 1, 2007 will be bound by their plan election made (affirmatively or by default) in accordance with and subject to Addendum Sections 7.11-7.15 (unless they are a member of Class 8 in which case participation under the new GMEBS Plan will be mandatory). However, in the event they terminate or leave office after January 1,2008 and later return to Service with Augusta-Richmond County as an Eligible Employee, they will not be permitted to make a plan election upon return to Service and will be required to participate under the terms of the new GMEBS Plan applicable to Class 9 Employees, notwithstanding any prior election, in the same manner and subject to the same conditions as other Employees who have made an election (affirmatively or by default) during the election period referred to in Section 7.11 (see Addendum Section 7.19, 7.21, or 7.23 as applicable). 7.36(c) Reemployed After October 1.2007: No Election Opportunity Subject to any applicable election limitations under the Internal Revenue Code, if a former Employee who is not employed as of October 1, 2007 (not including those who have had an election opportunity (See Addendum Sections 7.11, 7.36(a) and 7.36(b) above)) returns to Service with Augusta-Richmond County after October 1, 2007 as an Eligible Employee and as an elected or appointed member of the Governing Authority, Administrator, Assistant Administrator, Department Director, Assistant Department Director, Law Department General Counselor Law Department staff attorney, he must make an irrevocable election within the 30-day election period referred to on p. 9 of the Adoption Agreement to participate in accordance with and subject to either: 1) the terms of the new GMEBS DB Plan applicable to Class 9; or 2) the DC Plan as amended and restated effective January 1, 2008, subject to any future plan amendments. Said returning Employees who last participated under the 1977 DB Plan may elect to participate under the terms of the new GMEBS DB Plan applicable to Class 6, or the terms of the new GMEBS DB Plan applicable to Class 9, or the DC Plan). If the Employee fails or refuses to make an election within the 30-day time limit, it will be deemed an irrevocable election to participate under the terms of the new GMEBS DB Plan applicable to Class 9. If the Employee elects (affirmatively or by default) to participate in the new GMEBS DB Plan, he will not receive any credit under this Plan with respect to Service with Augusta-Richmond County prior to said return to Service for any purpose (vesting, benefit eligibility, or benefit computation), except as otherwise permitted under Section 7.27 above (concerning service credit purchases). However, the provisions of Addendum Section 7.20 concerning the effect of prior withdrawal or refund of employee contributions shall apply to returning former 1977 DB Plan participants who participate in the new GMEBS DB Plan upon return to Service. The provisions of Addendum Section 7.22 concerning the effect of withdrawal or refund of employee contributions shall apply to returning former GMEBS Plan participants who participate in the new GMEBS DB Plan with respect to employee contributions withdrawn before said return. In the event the Employee terminates or leaves office after making said 21 (Amended May, 2009) , election, and he later returns to Service with Augusta-Richmond County as an Eligible Employee, he will not be able to make a plan election upon his reemployment and he will be required to participate under the terms of the new GMEBS Plan applicable to Class 9 Employees, notwithstanding any prior election. He will not receive any credit under this Plan with respect to Service while a participant under the DC Plan prior to said reemployment date for any purpose (vesting, benefit eligibility, or benefit computation), except as otherwise permitted under Section 7.27 above (concerning service credit purchases) and the provisions of Section 7.34 (concerning the effect of withdrawal of employee contributions) will apply with respect to those who have previously elected to participate in the new GMEBS DB Plan. 7.37 Treatment of Tax Commissioner's Office Employees. Employees initially employed or rehired after October 1, 2007 as employees of the Augusta-Richmond County Tax Commissioner's office will be eligible to participate in this Plan only if they are considered "Regular Employees" as defined in the Augusta-Richmond County Personnel Policies, and only if they meet the GMEBS Master Plan definition of "Employee" and this Plan's definition of "Eligible Employee." If the Employee satisfies these requirements, participation in this Plan will be mandatory and the Employee will commence participation in this Plan after he satisfies the 30-day waiting period in accordance with Section 7.17 above. However, if the Employee elects to participate in the Employees Retirement System of Georgia (ERS) within the 180-day time limit (or other prescribed time limit) for said election, then the Employee's participation in this Plan will be terminated retroactively to the date that participation commenced, and any contributions the Employee made to this Plan will be refunded. Augusta will notify GMEBS if an Employee of the Tax Commissioner's Office elects to participate in the ERS plan as soon as reasonably practicable after the Employee makes such election. Former Employees of the Augusta- Richmond County Tax Commissioner's office who are rehired after October 1, 2007 into a department other than Augusta-Richmond County Tax Commissioner's office shall be governed by the terms of the new GMEBS DB Plan applicable to Class 9 Employees. 7.38 Plan Year Chan2e for GMEBS Plan. Notwithstanding the Plan Year election in the Adoption Agreement, prior to January 1, 2008, the Plan Year for the Employer's GMEBS defined benefit plan was (1) the twelve (12) month periods beginning each March 1 through the following February 29, ending with February 28, 2007; and (2) the short Plan Year starting on March 1,2007 and ending on December 31, 2007. 7.39 IRC 401(a)(17) Limit Applied to Short Plan Year. For purposes of applying the IRC 401(a)(17) limit on annual Earnings that can be taken into account under the GMEBS defined benefit Plan (the Plan), annual earnings means Earnings during the Plan Year or such other consecutive twelve (12) month period over which Earnings are otherwise determined under the Plan (the determination period). The 401(a)(17) cost-of-living adjustment for a calendar year applies to annual earnings for the determination period that begins with or within such a calendar year. For the short Plan Year applicable to the Plan, the annual earnings limit is an amount equal to the otherwise applicable earnings limit, multiplied by a fraction, the numerator of which is the number of months in the short Plan Year, and the denominator of which is twelve (12). 22 (Amended May, 2009) ~ " .. , 7.40 Amendment with Respect to 1977 DB Plan Provisions. Notwithstanding Master Plan Article XVIII, with respect to provisions of the Plan relating to the merged 1977 DB Plan, effective on an after January 1, 2008, the Employer shall have the right at any time to amend the Plan, subject to approval of such amendment by the GMEBS Board; provided, however, that no such amendment shall authorize or permit any part of the Trust Fund to be diverted to purposes other than the exclusive benefit of Participants and their beneficiaries; and further provided, that no amendment shall have the effect of revesting in the Employer an portion of the Trust Fund expect such amounts which remain in Fund after termination of the Plan and after all liabilities under the Plan have been satisfied. 7.41 Actions by AU2usta-Richmond County to Facilitate Transfer. Augusta will make every reasonable effort to assure that its staff, contract professionals, and vendors cooperate with GMEBS to facilitate the transfer of assets and plan administration from the 1977 DB Plan and the 1998 DC Plan to GMEBS as of January 1, 2008. Augusta will provide GMEBS with records and information reasonably requested or necessary to facilitate the timely transfer of Plan administration and assets, including but not limited to the following information and records on active employees, terminated employees and beneficiaries: name, address, social security number, birth date, years and months of credited service as of January 1, 2008, accrued monthly normal retirement benefits, employee account balances (including earnings), beneficiary designation forms, retirement or death benefit applications, direct deposit forms, participant tax withholding forms, and 1099 tax reporting information for 2007. In particular with respect to terminated vested participants under the 1977 Plan (as of January 1, 2008), Augusta will provide a listing indicating the amount of each such terminated participant's accrued normal retirement benefit under the 1977 Plan, and their normal retirement eligibility date. Benefits will be paid to said terminated participants based upon said information (unless the participant returns to Service with Augusta after January 1,2008). Augusta will also provide GMEBS with the information and documents included in the retirement plan conversion timeline by January 1, 2008, and it will complete any IRS filings that GMEBS reasonably requests in order to protect the 401(a)-qualified status of the GMEBS volume submitter plan or to confirm the 401(a)-qualified status of the new Augusta Adoption Agreement or Addendum. 7.42 Immediate Vestin2 for Senior Executive Service (SES) Participants; Additional Service Credit for SES Participants Terminated Due Reduction in Force. 7.42(a) Immediate Vestin2 for Senior Executive Service (SES) Participants - Notwithstanding any provision in the Adoption Agreement or this Addendum to the contrary, Participants in this Plan who hold a senior executive service position listed subsection 7.42(c) below on or after January 1, 2009 will be considered immediately vested in their accrued normal retirement benefit under this Plan, including any portion thereof that is attributable to non-SES Credited Service (see also AA p. 28). If an individual holds a SES position but is not a Participant in this Plan, this subsection shall not apply. 7.42(b) Additional Service Credit for Certain SES Participants - Notwithstanding any provision in the Adoption Agreement or this Addendum to the contrary and provided the requirements of this subsection 7.42(b) are satisfied, Participants in this Plan who were involuntarily terminated from employment with Augusta-Richmond County on March 1, 23 (Amended May, 2009) . . ' .; " 2009 due to a layoff or reduction in force while holding a senior executive service (SES) position listed in subsection 7.42(c) below will be treated as having an additional five (5) years of Credited Service (in addition to their actual years of Credited Service) for purposes of computing the amount of any retirement or pre-retirement death benefit payable to or on behalf of the Participant under this Plan, and for purposes of meeting the minimum service requirements for retirement and pre-retirement death benefit eligibility under this Plan. In order to be eligible for the additional five (5) years of Credited Service under this subsection 7.42(b), the following requirements must also be satisfied: (1) The Participant's termination of employment must not be related to the Participant's conduct, as determined by the Human Resources Director; (2) the Participant must not return to employment with Augusta-Richmond County for at least one (1) year following termination of employment; (3) the Participant must execute any and all waivers and/or releases required by Augusta-Richmond County in connection with the layoff or reduction in force; and (4) the Human Resources Director must provide GMEBS with written certification of the Participant's eligibility for additional Credited Service under this subsection 7.42. If an individual is not a Participant in this Plan upon termination of employment, this subsection shall not apply. 7.42(c) Senior Executive Service (SES) Positions POSITION DEPARTMENT Director Information Technology Director Board of Elections Director Recreation-Administration Director Human Relations Director Daniel Field Director Animal Control Director Water & Sewer Administration Director Facilities Maintenance - General Government Chief Appraiser Tax Assessor Director Transit Operations Director Public Works - Solid Waste Director Public Works - Highways and Streets Warden Richmond County Correctional Institution Director Human Resources Director Procurement Director Building Inspections Director Emergency Telephone Response Director Community Development Fire Chief Fire Department Director Emergency Management Agency Director Airport-Bush Field Deputy Administrator Administrator Administrator Administrator General Counsel Law Department Disadvantaged Business Enterprise Coordinator Disadvantaged Business Enterprise Equal Emnlovment Opportunity Coordinator Equal Employment Opportunity Clerk of Commission Clerk of Commission Finance Director Finance Department 24 (Amended May, 2009) , " '1 '-0 The Addendum to the Adoption Agreement previously approved by the Augusta-Richmond County Commission on December 18, 2007 is hereby repealed and shall be superseded by this amended Addendum. The terms of this amended Addendum to the Adoption Agr~~p'wnt are approved by the Augusta-Richmond County Commission this '(,-fI'J day of i~ , 2009. J1P)1@!Y/ C er AUGUSTA-RICHMOND COUNTY ~~ M yor (SEAL) ~~o4 Approved: ~.~. City ounty At~rney The terms of the foregoing Addendum are approved by the Board of Trustees of the Georgia Municipal Employees Benefit System. IN WITNESS WHEREOF, the Board of Trustees of the Georgia Municipal Employees Benefit System has caused its Seal andl~fjsignatures of its uly authorized officers to be affixed this Lt: '5.- day of , ,20~. Board of Trustees Georgia Municipal Employees Benefit System (SEAL) ~l:i 25 (Amended May, 2009)