§ 15-35. Vesting.

(a)

The vesting of benefits under this plan shall be as follows:

(1)

An employee's accrued benefit derived from employer contributions shall be fully vested upon the earlier of:

a.

Attainment of his normal retirement date, or

b.

Total and permanent disability, or

c.

Death.

(2)

In the event the employment of a participant is terminated, whether voluntarily or involuntarily, with or without cause on his part, prior to his normal retirement date, for any reason other than death or permanent and total disability, a participant shall have an interest in his accrued benefit in accordance with the vested percentage such participant has accrued. Except as provided in subsection (3) hereof, a participant's vested percentage derived from employer contributions shall not be less than the percentage determined in accordance with the following schedule:

Years of Credited Service	Vested Percentage
0	0%
1	0%
2	25%
3	50%
4	75%
5	100%

 

(3)

The accrued benefit derived from contributions made to the trust fund by a participant shall be fully vested at all times.

(b)

Forfeitures. A participant's accrued benefit derived from employer contributions shall be forfeited, to the extent that such participant does not have a vested interest in his accrued benefit according to subsection (a)(2) of this section, on the last day of the plan year during which such participant incurs a break in service. Such forfeitures shall be allocated during such plan year according to section 15-32(a)(4).

(c)

Computation of years of credited service. For purposes of computing years of credited service under the plan to determine the vested percentage under subsection (a) of this section, all of an employee's years of credited service shall be taken into account, except that the following years of credited service shall be excluded:

(1)

In the case of any participant who has a break in service, years of credited service before such break shall not be required to be taken into account until he has completed one (1) year of credited service after his return.

(2)

Years of credited service after a break in service shall not be required to be taken into account for purposes of determining the vested percentage of a participant's accrued benefit derived from employer contributions which accrued before such break in service.

(3)

In the case of a participant who does not have any vested right to an accrued benefit derived from employer contributions, years of credited service before a break in service shall not be required to be taken into account if the number of consecutive breaks in service equals or exceeds the aggregate number of such years of credited service prior to such break in service. Such aggregate number of years of credited service before such break in service shall be deemed not to include any years of credited service not required to be taken into account under this subsection (c) by reason of a prior break in service.

(d)

Hours of service requirement. A participant who has more than five hundred (500) hours of service but less than one thousand (1,000) hours of service in any plan year and who has not separated from the service of employer shall not advance on the vesting schedule.

(Ord. No. 87-20, § 34.10, 6-3-87; Ord. No. 89-20, 6-21-89)