51.1-131 - Local pension systems; transfer to retirement system.
§ 51.1-131. Local pension systems; transfer to retirement system.
The members of any annuity fund, benevolent association, or retirement systemof any political subdivision, hereafter referred to as a local pensionsystem, may elect to become members of the retirement system by submitting tothe Board a petition duly signed by a majority of the members. The Board mayapprove the participation of such members in the retirement system as thoughthe local pension system was not in operation, and the provisions of thisarticle shall thereupon apply. Existing pensioners or annuitants of thelocal pension system who are being paid pensions on the effective date ofcoverage and former employees whose rights are vested may retain their rightsunder the local pension system and be paid at their existing rates by theretirement system. After the local pension system is discontinued, the ratesmay be increased by all future percentage increases which are granted tobeneficiaries retired under the provisions of this chapter.
If deemed practicable by the Board, any cash and securities credited to thelocal pension system shall be transferred to the retirement system as of theeffective date of coverage. The administrative head of the local pensionsystem shall certify the proportion of the funds of the system thatrepresents the accumulated contributions and the relative shares of themembers. If appropriate, the accumulated contributions and shares shall becredited to the individual accounts of the members in the members'contribution account. The operation of the local pension system shall bediscontinued as of the effective date of coverage.
If the Board determines that the transfer of funds is not practicable, theBoard may enter into an agreement with the employer to coordinate anybenefits payable under this chapter with any vested benefits payable underthe discontinued local system.
(1952, c. 157, § 51-111.34; 1960, c. 604; 1973, c. 523; 1976, c. 654; 1978,c. 841; 1990, c. 832.)