(a) Except as provided in subsection (d) of this section, the assets of the Funds may not be invested in the following:
(1) Interest-bearing bonds, notes, bills, or certificates of indebtedness of the government of the District of Columbia, the government of the Commonwealth of Virginia, or the government of the State of Maryland, or the government of any political subdivision thereof, or of any entity subject to control by any such government or any combination of any such governments;
(2) Obligations fully guaranteed as to the payment of both principal and interest by the government of the District of Columbia, the government of the Commonwealth of Virginia, or the government of the State of Maryland, or the government of any political subdivision thereof, or of any entity subject to control by any such government or any combination of any such governments;
(3) Real property in the District of Columbia, Virginia, or Maryland;
(4) Loans, mortgages, bonds, notes, bills, or certificates of indebtedness secured, in whole or in part, by real property in the District of Columbia, Virginia, or Maryland;
(5) Repealed.
(b) Until such time as the members of the Board are first selected and the Board certifies pursuant to § 1-711(h) that it is assuming responsibility for the Funds established by this chapter, the assets of such Funds may only be invested in the following:
(1) Interest-bearing bonds, notes, bills, or certificates of indebtedness of the United States government, or obligations fully guaranteed as the payment of both principal and interest by the United States government; and
(2) Interest-bearing certificates of deposit issued by national, state, or District of Columbia savings and loan institutions.
(c)(1) Any assets of the Funds invested after March 16, 1993, in stocks, securities, or other obligations of any institution or company doing business in or with Northern Ireland or with agencies or instrumentalities of Northern Ireland shall be invested to reflect advances to eliminate discrimination made by these institutions and companies pursuant to paragraph (2) of this subsection.
(2) The Mayor shall consider the following criteria, referred to as the MacBride Principles, to determine the advances to eliminate discrimination made by companies and institutions doing business in or with Northern Ireland or with agencies or instrumentalities of Northern Ireland:
(A) Increasing the representation of individuals from under represented religious groups in the work force, including managerial, supervisory, administrative, clerical, and technical jobs;
(B) Providing adequate security for the protection of minority employees both at the workplace and while traveling to and from work;
(C) Banning provocative religious or political emblems from the workplace;
(D) Publicly advertising all job openings and making special recruitment efforts to attract applicants from underrepresented religious groups;
(E) Providing that layoff, recall, and termination procedures should not in practice favor particular religious groups;
(F) Abolishing job reservations, apprenticeship restrictions, and differential employment criteria that discriminate on the basis of religion or ethnic origin;
(G) Developing training programs that will prepare substantial numbers of current minority employees for skilled jobs, including the expansion of existing programs and the creation of new programs to train, upgrade, and improve the skills of minority employees;
(H) Establishing procedures to assess, identify, and actively recruit minority employees with potential for further advancement; and
(I) Appointing senior management staff members to oversee affirmative action efforts and the setting up of timetables to carry out affirmative action principles.
(3)(A) On or before the 1st day of October of each year, the Mayor shall determine the existence of affirmative action taken by all institutions and companies doing business in or with Northern Ireland, in which Funds are or will be invested, in adhering to the MacBride Principles as enumerated in paragraph (2) of this subsection and provide an annual report of his or her findings for presentation to the Council, which report shall be made available for public inspection.
(B) In making the determination pursuant to subparagraph (A) of this paragraph, the Mayor may rely on reference sources, such as the Investor Responsibility Research Center (IRRC), in making a determination with respect to the affirmation action taken by the institutions and companies.
(d) The limitations on investments under subsection (a) of this section shall not apply to any of the following investments; provided, that the Board has no discretionary authority for investment decisions in specific geographical regions or political subdivisions, and further provided, that not more than 25% of the interests in pooled or commingled real estate investment vehicles is held by the Fund in:
(1) Pooled or commingled real estate investment vehicles;
(2) Publicly-traded real estate investment trusts and real estate operating companies; or
(3) Pooled or commingled real estate investment vehicles holding pass-through securities that contain mortgages, loans, bonds, notes and other similar instruments issued by private institutions, and that are guaranteed by the federal government or any of its agencies or government-sponsored enterprises.
(Nov. 17, 1979, 93 Stat. 866, Pub. L. 96-122, § 141; Mar. 8, 1984, D.C. Law 5-50, § 4, 30 DCR 5916; July 22, 1992, D.C. Law 9-127, § 4, 39 DCR 3828; Mar. 16, 1993, D.C. Law 9-185, § 4, 39 DCR 8221; June 28, 1994, D.C. Law 10-134, § 3, 41 DCR 2597; Apr. 8, 2005, D.C. Law 15-300, § 2(c), 52 DCR 1504.)
HISTORICAL AND STATUTORY NOTES
Prior Codifications
1981 Ed., § 1-721.
1973 Ed., § 1-1821.
Effect of Amendments
D.C. Law 15-300, in subsec. (a), rewrote the lead-in sentence which had read: "The assets of the Funds established by this chapter may not be invested in the following:"; and added subsec. (d).
Temporary Amendments of Section
For temporary (225 day) amendment of section, see § 3 of South Africa Sanctions Repeal Act 1993 (D.C. Law 10-75, March 8, 1994, law notification 41 DCR 1518).
Legislative History of Laws
Law 5-50 was introduced in Council and assigned Bill No. 5-18, which was referred to the Committee on Consumer and Regulatory Affairs. The Bill was adopted on first and second readings on September 6, 1983 and October 4, 1983, respectively. Signed by the Mayor on November 9, 1983, it was assigned Act No. 5-76 and transmitted to both Houses of Congress for its review.
Law 9-127, the "Namibia Sanctions Repeal Amendment Act of 1992," was introduced in Council and assigned Bill No. 9-361, which was referred to the Committee on Consumer and Regulatory Affairs. The Bill was adopted on first and second readings on April 7, 1992, and May 6, 1992, respectively. Signed by the Mayor on May 28, 1992, it was assigned Act No. 9-211 and transmitted to both Houses of Congress for its review. D.C. Law 9-127 became effective on July 22, 1992.
Law 9-185, the "Public Funds Investment Policy in Financial Institutions and Companies Making Loans to or Doing Business with Northern Ireland Amendment Act of 1992," was introduced in Council and assigned Bill No. 9-311, which was referred to the Committee on Consumer and Regulatory Affairs. The Bill was adopted on first and second readings on July 7, 1992, and October 6, 1992, respectively. Signed by the Mayor on November 2, 1992, it was assigned Act No. 9-305 and transmitted to both Houses of Congress for its review. D.C. Law 9- 185 became effective on March 16, 1993.
Law 10-134, the "South Africa Sanctions Repeal Act of 1994," was introduced in Council and assigned Bill No. 10-427, which was referred to the Committee on Consumer and Regulatory Affairs. The Bill was adopted on first and second readings on March 1, 1994, and April 12, 1994, respectively. Signed by the Mayor on April 28, 1994, it was assigned Act No. 10-234 and transmitted to both Houses of Congress for its review. D.C. Law 10-134 became effective on June 28, 1994.
For Law 15-300, see notes following § 1-702.
Delegation of Authority
Delegation of authority under D.C. Law 9-185, "Public Funds Investment Policy in Financial Institutions and Companies Making Loans to or Doing Business with Northern Ireland Amendment Act of 1992", see Mayor's Order 93-76, June 16, 1993.
Miscellaneous Notes
Independent audit of Retirement Board: Section 135 of Public Law 103-334, 108 Stat. 2588, the District of Columbia Appropriations Act, 1995, provided that the District of Columbia Retirement Board shall enter into an agreement with an independent firm meeting certain qualifications to prepare and submit to the Retirement Board a written set of findings and recommendations not later than 6 months after the date of enactment of this Act regarding the appropriateness and adequacy of the Retirement Board's fiduciary, management, and investment practices and procedures, and provided for expenditure of funds.
Board to conduct study: Section 6 of D.C. Laws 8-97 provided that the Board shall conduct a study to determine the feasibility and advisability of direct investment in real estate in the District of Columbia, Maryland, and Virginia, including providing mortgage loans to participants and beneficiaries of the Funds for the purpose of financing residential home ownership for participants and beneficiaries of the Funds. The Board shall transmit the results of the study to the Council no later than 180 days from the effective date of this act.
(a)(1) The Board shall engage an enrolled actuary, who may be the enrolled actuary engaged pursuant to § 1-732(a)(4)(A), who shall, on the basis of the entry age normal cost funding method and in accordance with generally accepted actuarial principles and practices, make the following determinations with respect to each Fund:
(A) At the times specified in paragraph (2) of this subsection, the actuary shall determine the level percentage of payroll, expressed as a percentage (hereinafter in this chapter referred to as the "net normal cost percentage"), which shall be the percentage such that the amount equal to the product of such percentage and the present value of future compensation for participants in the retirement program, if paid annually into the Fund from the date of hire of each participant in the retirement program until the date of such participant's death, retirement, or other withdrawal from employment covered by the retirement program, is equal to the amount of the difference between (i) the present value of the future benefits payable from the Fund to such group, and (ii) the present value of all future employee contributions to the Fund;
(B) At the times specified in paragraph (2) of this subsection, the actuary shall determine the amount (hereinafter in this chapter referred to as the "accrued actuarial liability") that is the difference between (i) the present value (as of the date of the determination) of the future benefits payable from the Fund, and (ii) the sum of the present value of all future employee contributions to the Fund, and the product of the net normal cost percentage and the present value of future compensation for participants in the retirement program;
(C) At the times specified in paragraph (2) of this subsection, the enrolled actuary shall determine the current value of the assets in the Fund;
(D) Each year, not later than 60 days prior to the date on which the Mayor is required to submit the annual budget for the government of the District of Columbia to the Council under § 1-204.42(a), the enrolled actuary shall determine:
(i) An estimate of the current annual active duty payroll;
(ii) The amount (hereinafter in this chapter referred to as the "future federal obligation") that is the amount of the present value of the sum of the amounts authorized by § 1-724(a) to be appropriated to the Fund for fiscal years beginning on or after the date of the determination; and
(iii) The amount (hereinafter in this chapter referred to as the "net pay-as-you-go cost") that is the difference between the amount of the obligation of the Fund during the next fiscal year for the payment of benefits payable from the Fund during such year, and the amount of employee contributions to the Fund for such year;
(E) The actuary shall also determine such additional information as the Board may require in order to make the determinations specified in paragraph (4) of this subsection and in subsection (b) of this section.
(2) The actuary engaged by the Board pursuant to paragraph (1) of this subsection shall make the determinations described in subparagraphs (A), (B), and (C) of such paragraph at the following times:
(A) Not later than 60 days after the date of the enactment of this chapter;
(B) Upon a request by the Board or by the Director of the Office of Management and Budget;
(C) Not later than the end of the 90-day period beginning on the 1st day of the 3rd fiscal year occurring after the fiscal year in which the last such determination was made pursuant to any subparagraph of this paragraph.
(3)(A) On the basis of the most recent determinations made under paragraph (1) of this subsection, the enrolled actuary shall certify to the Board each year, at a time specified by the Board, the following information with respect to each Fund for the next fiscal year:
(i) The net normal cost, which shall be computed as the product of the net normal cost percentage and the estimate by the actuary of the current annual active duty payroll;
(ii) The accrued actuarial liability;
(iii) The current value of assets in the Fund;
(iv) The future federal obligation;
(v) The net pay-as-you-go cost;
(vi) The unfunded actuarial liability, which shall be computed as the difference between the accrued actuarial liability and the sum of the current value of the assets in the Fund, and the future federal obligation; and
(vii) The amount equal to the difference between the accrued actuarial liability as of January 2, 1975 (in future value as of the end of the fiscal year for which the determination is made), and the sum of the future federal obligation, the current value of previous federal contributions, and (in the case of the District of Columbia Teachers' Retirement Fund and the District of Columbia Judges' Retirement Fund) the current value of any assets in the predecessor to such Fund as of January 2, 1975, which amount is the difference between the amount that the federal government would pay to the Fund if the federal government had assumed the funding responsibility for all accrued unfunded liabilities as of January 2, 1975, and the amount actually to be paid by the federal government.
(B) For the purposes of sub-subparagraph (vi) of subparagraph (A) of this paragraph, the term "current value of the assets in the Fund" shall be deemed to include (i) the present value of any payments to be made to the Fund by the District in accordance with subsection (b)(1)(C)(i) of this section, and (ii) the present value of the amount of any reduction in the amount of future District payments to the Fund determined in accordance with subsection (b)(1)(D) of this section.
(4) The Board shall determine:
(A) The amount of the federal payment for the next fiscal year for each Fund authorized to be appropriated under § 1-724(a); and
(B) On the basis of the most recent certification submitted by the enrolled actuary under paragraph (3) of this subsection, the amount of the District payment for the next fiscal year for each Fund, as described under subsection (b) of this section.
(b)(1)(A) For the District payment for each Fund for each fiscal year through fiscal year 2004, the Board shall determine:
(i) The unfunded actuarial liability for such Fund as of the end of fiscal year 2004;
(ii) The unfunded actuarial liability as of October 1, 1979, in future value as of the end of fiscal year 2004 for such Fund; and
(iii) The amount equal to the lesser of the net pay-as-you-go cost, and the sum of the net normal cost and the amount of annual interest (computed at the valuation rate used in the determination under subsection (a)(3)(A)(vi) of this section.
(B) If the amount determined under subparagraph (A)(i) of this paragraph is equal to the amount determined under subparagraph (A)(ii) of this paragraph, the amount of the District payment for the fiscal year for such Fund shall be the amount determined under subparagraph (A)(iii) of this paragraph.
(C)(i) If the amount determined under subparagraph (A)(i) of this paragraph is greater than the amount of the District payment for the fiscal year for such Fund shall be the amount equal to the sum of the amount determine under subparagraph (A)(iii) of this paragraph, and the amount of the level amortization payment that, if paid annually into the Fund through the next 10 fiscal years (and accrued at the rate of interest used in determinations under subsection (a)(1) of this section), would reduce the amount determined under subparagraph (A)(i) of this paragraph to the amount determined under subparagraph (A)(ii) of this paragraph by the end of such 10 fiscal years.
(ii) A level amortization payment shall not be required under this subparagraph for any fiscal year to the extent that the difference between the amount determined under subparagraph (A)(i) of this paragraph and the amount determined under subparagraph (A)(ii) of this paragraph for such fiscal year is attributable to the failure of the federal government (other than a failure because of § 1-724(d) or § 1-725) to make all or any part of the federal payment to such Fund for any fiscal year.
(D) If the amount determined under subparagraph (A)(ii) of this paragraph is greater than the amount of the District payment for such Fund shall be the amount determined under subparagraph (A)(iii) of this paragraph reduced by the amount of level amortization payment that, if paid annually for the next 10 fiscal years, would have a future value of the end of fiscal year 2004 equal to the difference between the amount determined under subparagraph (A)(ii) of this paragraph and the amount determined under subparagraph (A)(i) of this paragraph.
(E) The amount of a District payment determined under subparagraph (C) of this paragraph may not exceed the amount determined under subparagraph (A)(iii) of this paragraph by more than 10 percent of the net pay-as-you-go cost, in the case of a payment to the District of Columbia Police Officers and Fire Fighters' Retirement Fund, or by more than 30 percent of the net pay-as-you-go cost, in the case of a payment to the District of Columbia Teachers' Retirement Fund or to the District of Columbia Judges' Retirement Fund.
(F) Determinations under subparagraph (A) of this paragraph shall be made in accordance with generally accepted actuarial principles and practices.
(2) The amount of the District payment to each Fund for fiscal year 2005 and for each fiscal year thereafter shall be the sum of (A) the net normal cost, and (B) the amount of annual interest (computed at the valuation rate used in the determination pursuant to subsection (a)(1) of this section) on the unfunded actuarial liability.
(c)(1) On the basis of the most recent determinations made under subsection (a)(4) of this section, the Board shall:
(A) Not later than March 15th of each year through calendar year 2003, submit to the President and to the Congress a request for appropriation of the federal payment for the next fiscal year for each Fund; and
(B) Not less than 30 days prior to the date on which the Mayor is required to submit the annual budget for the government of the District of Columbia to the Council under § 1-204.42(a), certify to the Mayor and the Council the amount of the District payment for each Fund.
(2) The Mayor, in preparing each annual budget for the District of Columbia pursuant to § 1-204.42(a), and the Council of the District of Columbia, in adopting each annual budget in accordance with § 1-204.46, shall include in such budget not less than the full amount certified by the Board under paragraph (1)(B) of this subsection as being the amount of the District payment for the next fiscal year for each Fund. The Mayor and the Council may comment and make recommendations concerning any such amount certified by the Board.
(d)(1) Whenever any change in benefits under a retirement program is made, the Mayor shall engage an enrolled actuary, who may be the enrolled actuary engaged pursuant to § 1-732(a)(4)(A), to estimate the effect of such change in benefits over the next 5 fiscal years on: (A) The net normal cost percentage with respect to the retirement program; (B) the accrued actuarial liability with respect to the retirement program; (C) the net pay-as-you-go cost with respect to the retirement program; and (D) the level of the District payments to the Fund. The Mayor shall transmit the estimates of the actuary under the preceding sentence to the Board and to the Speaker and the President pro tempore, and such change in benefits may not go into effect until the end of the 30-day period beginning on the date such transmittals are completed. Whenever any change in benefits under a retirement program is made to either, but not both, the Metropolitan Police Department or the Fire and Emergency Medical Services Department, the Mayor shall engage an enrolled actuary to perform the same study contemporaneously for the other employee group for which the change was not made.
(2) In the event a change in benefits under a retirement program is made that increases the present value of benefits payable from the Fund, a level amortization payment for a period not to exceed 25 years shall be paid by the District to the Fund such that the present value of the sum of such level amortization payments equals the increase in the present value of such benefits. Such payments shall be made in addition to any other payment to the Fund required to be made by the District, and such increase in present value of benefits payable from the Fund and such payments shall be disregarded in calculating the unfunded actuarial liability under subsection (b)(1)(A) of this section.
(e) Whenever the amount authorized to be appropriated to the District of Columbia Police Officers and Fire Fighters' Retirement Fund for any fiscal year under § 1-724(a)(1) is reduced under § 1-725(c), the District shall, beginning with the next fiscal year, pay a level amortization payment to such Fund for a period not to exceed 10 years such that the present value (determined as of the beginning of the fiscal year for which such authorization is reduced) of the sum of such level amortization payments equals the amount of such reduction. Such payments shall be made in addition to any other payment to such Fund required to be made by the District and shall be disregarded in calculating the unfunded actuarial liability under subsection (b)(1)(A) of this section.
(f) The Comptroller General of the United States shall have access to all books, accounts, records, reports, files, and other papers necessary to carry out the responsibility of the Comptroller General under § 47-118 and under § 1-724(e).
(Nov. 17, 1979, 93 Stat. 866, Pub. L. 96-122, § 142; Sept. 10, 1992, D.C. Law 9-145, § 401(b), 39 DCR 4895; Oct. 29, 1993, 107 Stat. 1349, Pub. L. 103-127, § 139(a); Oct. 1, 2002, D.C. Law 14-190, § 3732, 49 DCR 6968.)
HISTORICAL AND STATUTORY NOTES
Prior Codifications
1981 Ed., § 1-722.
1973 Ed., § 1-1822.
Effect of Amendments
D.C. Law 14-190 added the last sentence to subsec. (d)(1).
Emergency Act Amendments
For temporary (90 day) amendment of section, see § 3632 of Fiscal Year 2003 Budget Support Emergency Act of 2002 (D.C. Act 14-453, July 23, 2002, 49 DCR 8026).
Legislative History of Laws
For legislative history of D.C. Law 9-134, see Historical and Statutory Notes following § 1-711.
For legislative history of D.C. Law 9-145, see Historical and Statutory Notes following § 1-711.
Law 10-135, the "Full Funding of Pension Liability Retirement Reform Amendment Act of 1994," was introduced in Council and assigned Bill No. 10-515, which was referred to the Committee of the Whole. The Bill was adopted on first and second readings on March 1, 1994, and April 12, 1994, respectively. Signed by the Mayor on May 4, 1994, it was assigned Act No. 10-239 and transmitted to both Houses of Congress for its review. D.C. Law 10-135 became effective on June 30, 1994.
For Law 14-190, see notes following § 1-301.131.
References in Text
"The date of enactment of this chapter," referred to in (a)(2)(A), is November 17, 1979.
Section 47-118 [1981 Ed.], referred to in subsection (f) of this section, was repealed by § 5(b) of the Act of September 13, 1982, Pub. L. 97-258. Present provisions similar to repealed § 47-118 [1981 Ed.] are codified as § 1-207.36 and 31 U.S.C. § 715.
Miscellaneous Notes
Repeal of Title IV of D.C. Law 9-145: Section 139(a) of Pub. L. 103-127, 107 Stat. 1349, provided that Title IV of the District of Columbia Omnibus Budget Support Act of 1992 (D.C. Law 9-145) is hereby repealed, and any provision of the District of Columbia Retirement Reform Act amended by such title is restored as if such title had not been enacted into law.
Section 139(b) of Pub. L. 103-127 provided that subsection (a) of that section shall apply beginning September 10, 1992.
Mayor authorized to issue actuarial study: Section 3 of D.C. Law 8-145 provided that to carry out the purposes of this act, the Mayor shall, pursuant to § 1-722(d)(1), appoint an enrolled actuary to perform the required actuarial study. The cost of the actuarial study shall be borne by the District of Columbia Police Officers' and Fire Fighters' Retirement Fund. The actuarial study shall be completed by June 10, 1990.
Accrual of benefits under D.C. Law 8-145: Section 4 of D.C. Law 8-145 provided that the increased benefits provided for in this act shall begin to accrue on April 10, 1990, but shall not be paid until the change in benefits becomes effective pursuant to § 1-722(d)(1).
Mayor authorized to hire actuary: Section 143(b) of Pub. L. 104-194, 110 Stat. 2376, the District of Columbia Appropriations Act, 1997, provided that the Mayor, within 30 days after the enactment of this act, shall engage an enrolled actuary, to be paid by the District of Columbia Retirement Board, and shall comply with the requirements of §§ 1-722(d) and 1-724(d).
Full Funding of Pension Liability Retirement Reform Amendment Act of 1994: Section 401 of D.C. Law 10-135 provided that notwithstanding any other law, title 1 §§ 101 (b)(1) and (2), and titles II and III, shall apply to any action or transaction taken or undertaken with respect to the Police Officers and Fire Fighters' Retirement Fund, the Teachers' Retirement Fund and the Judges' Retirement Fund on and after October 1, 1995.
Pursuant to the effective date language in § 501 of D.C. Law 10-135, the amendments made by that act have not been given effect.
Short title of subtitle C of title XXXVII of Law 14-190: Section 3731 of D.C. Law 14-190 provided that subtitle C of title XXXVII of the act may be cited as the Retirement Reform Consolidated Actuarial Engagement Amendment Act of 2002.
Upon a request of the Board, the Mayor, the Chief Financial Officer, the Chairman of the District of Columbia Public Charter School Board, the President of the Board of Education, or their successors shall furnish to the Board such information with respect to retirement programs and post employment benefit programs to which this chapter applies as the Board considers necessary to enable it to carry out its responsibilities under this chapter and to enable the enrolled actuary engaged pursuant to § 1-722(a) to carry out the responsibilities of the enrolled actuary under this chapter.
(Nov. 17, 1979, 93 Stat. 866, Pub. L. 96-122, § 143; Dec. 7, 2004, D.C. Law 15-205, § 1012(c), 51 DCR 8441.)
HISTORICAL AND STATUTORY NOTES
Prior Codifications
1981 Ed., § 1-723.
1973 Ed., § 1-1823.
Effect of Amendments
D.C. Law 15-205 substituted "Mayor, the Chief Financial Officer, the Chairman of the District of Columbia Public Charter School Board, the President of the Board of Education, or their successors shall furnish to the Board such information with respect to retirement programs and post employment benefit programs" for "Mayor shall furnish to the Board such information with respect to retirement programs".
Legislative History of Laws
For Law 15-205, see notes following § 1-702.
Miscellaneous Notes
For conditional applicability of subtitle B of Title I of D.C. Law 15-205, see notes under § 1-911.04a.
(a) There is authorized to be appropriated from the revenues of the United States for fiscal year 1980 and for each fiscal year thereafter through fiscal year 2004:
(1) As the federal payment to the District of Columbia Police Officers and Fire Fighters' Retirement Fund, the sum of $34,170,000, reduced by the amount of any reduction required under § 1-725(c);
(2) As the federal payment to the District of Columbia Teachers' Retirement Fund, the sum of $17,680,000; and
(3) As the federal payment to the District of Columbia Judges' Retirement Fund, the sum of $220,000.
(b)(1) Amounts appropriated as a federal payment to a Fund established by this chapter shall not be subject to apportionment and shall be deposited in the appropriate Fund not more than 30 days after they are appropriated or 30 days after the beginning of the fiscal year for which they are appropriated, whichever is later.
(2) Amounts appropriated as a District of Columbia payment to a Fund established by this chapter shall be deposited in the appropriate Fund in equal quarterly installments, the 1st of which shall be made not more than 30 days after amounts are appropriated or 30 days after the beginning of the fiscal year for which amounts are appropriated, whichever is later. The remaining installments shall be made on the 1st day of succeeding quarters of the fiscal year. If the District is late in making an installment, the Board shall charge the District daily interest, at a rate consonant with the Board's fiduciary duty.
(c) If at any time the balance of any Fund established by this chapter is not sufficient to meet all obligations against such Fund, such Fund shall have a claim on the revenues of the District of Columbia to the extent necessary to meet such obligations.
(d) If, for any fiscal year, the Mayor and the Council do not carry out the requirements of subsections (c)(2), (d), and (e) of § 1-722 with respect to a Fund, no funds authorized to be appropriated for such Fund by this section shall be available for such Fund for such fiscal year.
(e)(1) In the year 2004, the Comptroller General shall determine whether the federal share with respect to each Fund has been paid in full by payments made pursuant to appropriations authorized under subsection (a) of this section and, in the case of the District of Columbia Police Officers and Fire Fighters' Retirement Fund, by payments made or to be made under § 1-722(e).
(2) For the purposes of this subsection, the term "federal share", with respect to a retirement program, means the sum of:
(A) Eighty percent of the accrued unfunded liability as of October 1, 1979, for participants in the retirement program who retired before January 2, 1975, under a provision of law authorizing retirement and entitlement to an annuity based upon the years of creditable service of the participant (and for the beneficiaries of such participants under the retirement program); and
(B) Thirty-three and one-third percent of the accrued unfunded liability as of October 1, 1979, for participants in the retirement program who retired before January 2, 1975, under a provision of law authorizing retirement and entitlement to an annuity based upon a disease or disability from which the participant is suffering (and for the beneficiaries of such participants under the retirement program).
(f) Notwithstanding any other provision of this Act, no Federal payments may be made to any Fund established by this chapter for any fiscal year after fiscal year 1997.
(Nov. 17, 1979, 93 Stat. 866, Pub. L. 96-122, § 144; Mar. 24, 1990, D.C. Law 8-97, § 2(d), 37 DCR 1046; Aug. 5, 1997, 111 Stat. 730, Pub. L. 105-33, § 11084(a)(2).)
HISTORICAL AND STATUTORY NOTES
Prior Codifications
1981 Ed., § 1-724.
1973 Ed., § 1-1824.
Legislative History of Laws
For legislative history of D.C. Law 8-97, see Historical and Statutory Notes following § 1-702.
For legislative history of D.C. Law 10-135, see Historical and Statutory Notes following § 1-722.
References in Text
"This Act," referred to in (f), is the Act of November 17, 1979, 93 Stat. 866, Pub. L. 96-122.
Miscellaneous Notes
Mayor authorized to hire actuary: Section 143(b) of Pub. L. 104-194, 110 Stat. 2376, the District of Columbia Appropriations Act, 1997, provided that the Mayor, within 30 days after the enactment of this act, shall engage an enrolled actuary, to be paid by the District of Columbia Retirement Board, and shall comply with the requirements of §§ 1-722(d) and 1-724(d).
Full Funding of Pension Liability Retirement Reform Amendment Act of 1994: Section 401 of D.C. Law 10-135 provided that notwithstanding any other law, title 1 §§ 101 (b)(1) and (2), and titles II and III, shall apply to any action or transaction taken or undertaken with respect to the Police Officers and Fire Fighters' Retirement Fund, the Teachers' Retirement Fund and the Judges' Retirement Fund on and after October 1, 1995.
Pursuant to the effective date language in § 501 of D.C. Law 10-135, the amendments made by that act have not been given effect.
(a)(1) After January 1st, and before March 1st, of each year beginning with calendar year 1984 and ending with calendar year 2004, the enrolled actuary engaged pursuant to § 1-722 shall, with respect to the District of Columbia Police Officers and Fire Fighters' Retirement Fund:
(A) Determine, in accordance with paragraph (2) of this subsection, the disability retirement rate for the preceding calendar year; and
(B) Determine if such disability retirement rate for such preceding calendar year is greater than eight tenths of a percentage point.
(2) For the purposes of subparagraph (A) of paragraph (1) of this subsection, the disability retirement rate for the applicable calendar year shall be an amount equal to a fraction, the numerator of which is the number of officers and members of the Metropolitan Police force and the Fire Department of the District of Columbia who first became officers or members on or before February 14, 1980, and who retired on disability during such applicable year under § 5-709(a) or § 5-710(a) (but such numerator shall not include any such officer or member whose retirement is ordered by a court of competent jurisdiction), and the denominator of which is the total number of such officers and members who were on active duty on January 1st of such applicable calendar year.
(3) The enrolled actuary shall report the determinations (including related documents and information) made under paragraph (1) of this subsection to the Board and to the Comptroller General of the United States not later than March 1st of each year.
(b) The Board shall transmit a copy of each such report by the enrolled actuary under subsection (a) of this section to the Speaker of the House of Representatives, the President pro tempore of the Senate, the chairman of the Committee on Governmental Affairs of the Senate, the chairman of the Committee on the District of Columbia of the House of Representatives, the chairman of the Committee on Appropriations of the Senate, the chairman of the Committee on Appropriations of the House of Representatives, the Mayor of the District of Columbia, and the Council of the District of Columbia, not later than March 31st of the calendar year in which the report is made, and shall submit comments on such report.
(c)(1) Notwithstanding any other provision of this chapter, with respect to the fiscal year commencing October 1, 1984, and each fiscal year thereafter through the fiscal year commencing October 1, 2004, the authorization under § 1- 724(a)(1) for each such fiscal year shall be deemed, for purposes of such section, to be reduced in the amount hereafter provided, if the report, submitted by the enrolled actuary pursuant to subsection (a) of this section in the calendar year in which such fiscal year commences, states that the disability retirement rate under subsection (a) of this section for the preceding calendar year is greater than eight tenths of a percentage point. The amount of such reduction shall be 1 1/2 per centum for each whole tenth of a percentage point by which the disability retirement rate is greater than eight tenths of a percentage point.
(2) There shall be no reduction pursuant to § 1-724(a)(1) and paragraph (1) of this subsection for any such fiscal year, if, in computing the disability retirement rate under subsection (a) of this section for the calendar year preceding the calendar year in which such fiscal year commences, the numerator is less than 8.
(3)(A) If the Board determines, on the basis of substantial facts, that unordinary circumstances or events of catastrophic magnitude, such as a fire or civil disorder, caused or significantly contributed to the number of disability retirements under § 5-710(a) during a calendar year covered by the report submitted by the enroll ed actuary pursuant to subsection (a) of this section, it shall submit a detailed statement on such circumstances and events to the Federal Emergency Management Agency. Such statement shall be submitted on or before July 1st of the calendar year next following the calendar year covered by such report. The statement shall contain, among other matters, data on the total number of disability retirements under §§ 5-709(a) and 5-710(a) for the applicable calendar year, the number of such retirements under § 5- 710(a) which, in the opinion of the Board, were caused or significantly contributed to by such circumstances or events, and an explanation as to why the Board considers such events or circumstances to be unordinary and of a catastrophic magnitude.
(B) The Federal Emergency Management Agency shall review the Board's report and provide the Board its assessment within 60 days of receipt of the Board's report, of the scope, nature, involvement, and impact on District of Columbia police officers and firefighters of the events determined by the Board to be of unordinary and of a catastrophic nature. The Agency shall submit copies of its assessment to the Board and the offices and officers set forth in subsection (b) of this section.
(C)(1) The Board, on the basis of such reports from the Federal Emergency Management Agency, shall determine the extent to which such disability retirements which such Agency determined were caused or contributed to by such events and circumstances caused a reduction in the amount appropriated to the Fund as provided under this subsection. The Board shall report the amount of such reduction so caused to the offices and officers set forth in subsection (b)(1) of this section. Such reports shall be submitted on or before December 31st of the calendar year in which the Board receives such report of the Federal Emergency Management Agency.
(2) In addition to the amount authorized to be appropriated to the Fund for any fiscal year under § 1-724(a)(1), there is authorized to be appropriated for the fiscal year commencing October 1, 1984, and each fiscal year thereafter, such sum as may be necessary to pay to the Fund an amount equal to the amount of any reduction, plus interest lost to the Fund because of the reduction, for a fiscal year as reported to the offices and officers of the Congress pursuant to paragraph (1) of this subsection, but in no case shall any moneys be appropriated on the basis of the authorization pursuant to this paragraph except to the extent that any such reduction was actually made.
(Nov. 17, 1979, 93 Stat. 866, Pub. L. 96-122, § 145; Sept. 30, 1983, 97 Stat. 727, Pub. L. 98-104; June 30, 1994, D.C. Law 10-135, § 201(b)(2), 41 DCR 2618; Oct. 29, 1997, 110 Stat. 3841, Pub. L. 104-316, § 129.)
HISTORICAL AND STATUTORY NOTES
Prior Codifications
1981 Ed., § 1-725.
1973 Ed., § 1-1825.
Miscellaneous Notes
Exclusion for certain retirees: Section 133(a) of Pub. L. 102-111, the District of Columbia Appropriations Act, 1992, provided that up to 75 officers or members of the Metropolitan Police Department who were hired before February 14, 1980, and who retire on disability retirement under subsection (a) of this section, for purposes of reducing the authorized Federal payment to the District of Columbia Police Officers' and Fire Fighters' Retirement Fund pursuant to subsection (c) of this section.
Mayor authorized to hire actuary: Section 143(b) of Pub. L. 104-194, 110 Stat. 2376, the District of Columbia Appropriations Act, 1997, provided that the Mayor, within 30 days after the enactment of this act, shall engage an enrolled actuary, to be paid by the District of Columbia Retirement Board, and shall comply with the requirements of §§ 1-722(d) and 1-724(d).
