11088• %
ORDINANCE NO. 11,088
AN ORDINANCE AWARDING A CONTRACT TO THE MUTUAL LIFE
INSURANCE COMPANY OF NEW YORK TO FURNISH A GROUP
ANNUITY FOR THE GROUP RETIREMENT AND PENSION PLAN
OF NON - UNIFORM EMPLOYEES OF THE CITY OF LITTLE ROCK,
PURSUANT TO THE PLAN OF SAID CITY AS PROVIDED FOR BY
RESOLUTION NO. 2551 ; DECLARING AN
R
EMERGENCY; AND P OTHER PURPOSES.
WHEREAS, the City of Little Rock has, by Resolution No.
z g51 , adopted a Group Retirement and Pension Plan
for the non - uniform employees of said City; and
WHEREAS, based on said Plan and specifications contained in
an advertisement for bids to furnish a Group Annuity to carry out
the provisions of said Plan, the Mutual Life Insurance Company
of New York has offered the lowest and best bid to furnish said
service; and
WHEREAS, the City of Little Rock desires to award the contract
for such Group Annuity to the Mutual Life Insurance Company of New
York;
NOW THEREFORE, BE IT ORDAINED BY THE BOARD OF DIRECTORS OF
THE CITY OF LITTLE ROCK, ARKANSAS:
SECTION 1, The Mutual Life Insurance Company of New York is
hereby awarded a contract, which the Mayor and City Clerk are hereby
authorized and directed to execute, to furnish, pursuant to provisions
of Resolution No. 2551 of the City of Little Rock, a Group
Annuity for the benefit of the non - uniform employees of said City,
which contract shall be in words, form and figures as follows:
boo -l�
- —
- -
--
r
• %
ORDINANCE NO. 11,088
AN ORDINANCE AWARDING A CONTRACT TO THE MUTUAL LIFE
INSURANCE COMPANY OF NEW YORK TO FURNISH A GROUP
ANNUITY FOR THE GROUP RETIREMENT AND PENSION PLAN
OF NON - UNIFORM EMPLOYEES OF THE CITY OF LITTLE ROCK,
PURSUANT TO THE PLAN OF SAID CITY AS PROVIDED FOR BY
RESOLUTION NO. 2551 ; DECLARING AN
R
EMERGENCY; AND P OTHER PURPOSES.
WHEREAS, the City of Little Rock has, by Resolution No.
z g51 , adopted a Group Retirement and Pension Plan
for the non - uniform employees of said City; and
WHEREAS, based on said Plan and specifications contained in
an advertisement for bids to furnish a Group Annuity to carry out
the provisions of said Plan, the Mutual Life Insurance Company
of New York has offered the lowest and best bid to furnish said
service; and
WHEREAS, the City of Little Rock desires to award the contract
for such Group Annuity to the Mutual Life Insurance Company of New
York;
NOW THEREFORE, BE IT ORDAINED BY THE BOARD OF DIRECTORS OF
THE CITY OF LITTLE ROCK, ARKANSAS:
SECTION 1, The Mutual Life Insurance Company of New York is
hereby awarded a contract, which the Mayor and City Clerk are hereby
authorized and directed to execute, to furnish, pursuant to provisions
of Resolution No. 2551 of the City of Little Rock, a Group
Annuity for the benefit of the non - uniform employees of said City,
which contract shall be in words, form and figures as follows:
boo -l�
y --
1 f �
16. 1s 1,
SECTION 2. The City Manager and Director of Finance are
hereby authorized to make such payments, as are provided for in
Section 1 of this Ordinance, as from time to time the Board of
Directors, by Budget appropriations, provide.
SECTION 3. The immediate need for a retirement and pension
plan for the non - uniform employees in the employ of the City of
Little Rock creates a condition detrimental to the welfare of
the City; now therefore, an emergency is hereby declared to
exist and this ordinance being necessary for the preservation of
the public peace, health and safety shall be in full force and
effect from and after its passage.
PASSED: June 20, 1960
ATTEST:
City Clerk
APPROVED:
f Zyo
4
.-- The utuAI F
• f
LIFE INSURANCE COMPANY E W I OR K
HOME OFFICE —1740 BROADWAY, NEW YORK 19, N.Y.
The City of Little Rock, Arkansas
0
State or Province of Delivery Contract Date C06tract No,
Arkansas 7 -1 -60 1 -3645
(Signed at the Home Office In New York City.,
IL
— MODULE CONTRACT
(A Group Annuity Contract)
THE MUTUAL LIFE INSURANCE COMPANY OF NEW YORK, (here called Mutual Of New
York) will pay the benefits provided herein, subj t rovisions on this
and the following pages of this Contract. �T
The provisions of this Contract 7461 \foi n the following order;
Article 1. Definiti0
" 2, Benefits
" 3• Annuin a ions, Purchase of Annuities
is + • ends
it 5. atIM of Participation
if Te tion or Amendment of Contract
" Ben ci
ary Provisions
General Provisions
Contract y , months and anniversaries are reckoned from the Contract
Date.
This Contract is governed by the laws of the State or Province of
Delivery.
ROGER HULL, President Countersigned ROBERT R. STROUD, Secretary
AC -22 MOD.
�
4
a
i
�
Article 1. DEFINITIONS
I, '
Whenever the following Terms are used in this Contract, they shall have the meanings
indicated below:
Term Meaning
"Age" Age at nearest birthday.
"Deposit Account" A fund maintained by the Employer with Mutual
Of New York for the sole benefit of Partici-
pants and their beneficiaries under this Con-
tract. The credits to the Account shall be
(a) annuity considerations paid by the Em-
ployer before their due dates or more than 31
days after their due dates and (b) any credits
arising from the provisions of this Contract.
The debits to the Account shall be those aris-
ing from the provisions of this Contract.
Mutual Of New York may allow a discount credit
to the Account, at such rate as it may deter-
mine from time to time, on amounts deposited
in this Account and subsequently applied to-
ward payment of annuity considerations.
The President, a Vice - President or a Secretary
"Executive Officer" of Mutual Of New York.
"Normal Retirement Date" The Participant's retirement date as specified
in the Plan.
"Participant" An individual who is covered or receiving ben-
efits under the Plan.
"Period Certain" 5 years.
"Plan" The Group Retirement Plan for Non Uniform
Employees of the City of Little Rock dated
July 1, 1960. Mutual Of New York shall not
be deemed a party to such Plan, and reserves
the right to disregard any amendment to the
Plan or any successor Plan.
-36+5 Article I
Page 1
Article 2. BENEFITS
Section A. Summary of Annuity Benefits
(1) Normal Retirement Annuit
The Normal Retirement Annuity is a monthly income to a Participant
during his lifetime, commencing with his Normal Retirement Date and ending
with the last payment due before his death.
A garticipanVs Normal Retirement Annuity consists of (a) his
Basic Retirement Annuity and (b) his Contributory Retirement Annuity.
(2) Amounts of Normal Retirement Annuity Benefits_
The amounts of Normal Retirement Annuity Benefits for each Par-
ticipant shall be determined as follows:
(a) Basic Annuity Benefits
The monthly amount of Basic Annuity shall be the sum
of the amounts of monthly income purchased each year by
Annuity charges for Basic Annuity Benefits as provided
in Section A of Article 3.
(b) Contributory Annuity11enefits
The monthly amount of Contributory Annuity shall be
the sum of the amounts of monthly income purchased each
year by Annuity charges for Contributory Retirement
Annuity as provided in Section A of Article 3-
Section B. Payment of Normal Retirement Annuity Benefits
(1) From Normal Retirement Date
Each Participant shall be paid the Normal Retirement Annuity des-
cribed above.
If such a Participant dies during the Period Certain beginning on
his Normal Retirement Date,, his monthly Retirement Income shall be paid to his
beneficiary for the balance of such Period Certain. If such beneficiary dies
while entitled to receive such Retirement Income-payments, the commuted value,
at 3 % interest, compounded annually, of the Retirement Income for the balance
of such Period Certain shall be paid in one sum to the estate of said benefic-
iary.
(2) Before Normal Retirement Date
If a Participant dies on or before his Normal Retirement Date, a
Death Refund shall be paid to his beneficiary.
The amount of the Death Refund shall be equal to the sum of the
Annuity Charges for his Contributory Annuity Benef its' with interest at
the rate of 2 -1/2% a year, compounded annually, from the end of the
-36+5 Article 2
REV Page 1
contract year in which each charge is received to his date of death.
Section C. Optional Method of Payment of Annuity Benefits
Instead of the benefits being paid as provided in Section B above, a Par-
ticipant with Normal Retirement Annuity Benefits may elect to receive an alternative
form of life income of equivalent actuarial value as may then be made available by
Mutual Of New York. Such alternative forms of income shall include, but need not be
restricted to (a) a contingent annuity option, (b) a social security adjustment option
and (c) a life income with a 10 year period certain.
Such an election shall be effective only if Mutual Of New York receives the
Participant's written notice at its Home Office (a) within 90 days after the Contract
Date, or (b) not-later than 3 years before his Normal Retirement Date, and if the re-
quirements for the election of any such option are met. The amount of the income of
the alternative form shall be calculated by Mutual Of New York at the end of the
period allowed for such election.
Section D. Relationship to Federal Social Security Benefits
The benefits provided by this Contract are independent of, and in addition
to, any benefits under the Federal Social Security Act.
-3645 Article 2
REV Page 2
I
i
11
I
I
contract year in which each charge is received to his date of death.
Section C. Optional Method of Payment of Annuity Benefits
Instead of the benefits being paid as provided in Section B above, a Par-
ticipant with Normal Retirement Annuity Benefits may elect to receive an alternative
form of life income of equivalent actuarial value as may then be made available by
Mutual Of New York. Such alternative forms of income shall include, but need not be
restricted to (a) a contingent annuity option, (b) a social security adjustment option
and (c) a life income with a 10 year period certain.
Such an election shall be effective only if Mutual Of New York receives the
Participant's written notice at its Home Office (a) within 90 days after the Contract
Date, or (b) not-later than 3 years before his Normal Retirement Date, and if the re-
quirements for the election of any such option are met. The amount of the income of
the alternative form shall be calculated by Mutual Of New York at the end of the
period allowed for such election.
Section D. Relationship to Federal Social Security Benefits
The benefits provided by this Contract are independent of, and in addition
to, any benefits under the Federal Social Security Act.
-3645 Article 2
REV Page 2
Article 3. ANNUITY CONSIDERATIONS PURCHASE OF ANNUITIES AND RATE GUARANTEES
Section A. Annuity Considerations and Grace Period
Annuity Considerations for this Contract shall be the sum of (a) Annuity Charges
for Basic Annuity Benefits; (b) Annuity Charges for Contributory Annuity Benefits; (-c)
Case Administration Charges; and (d) such amount as may be determined by Mutual Of New
York at the beginning of each contract year to cover any increases, subsequent to the
Contract Date, in any amounts required of Mutual Of New York as assessments or taxes
imposed by a governmental authority on account of the coverages provided by this Contract;
such increases, if any, are to be paid by the Employer.
All such annuity considerations are due on the Contract Date and on the correspond-
ing day of each month thereafter. All annuity considerations may be paid to Mutual Of New
York at its Home Office.
If any such annuity consideration is not paid on or before its due date or during
the 31 days thereafter, such annuity consideration shall be paid by being debited to the
Deposit Account as of its due date.
In the interest of economical administration, Mutual Of New York may use equitable
group approximations in computing annuity considerations.
(1) Annuity Charges for Basic Annuity Benefits
The Annuity Charges for Basic Annuity Benefits shall be in such amounts
as are to be paid on behalf of each Participant in accordance with the Plan.
Such Annuity Charges shall be applied under Schedule A at the end of this
Contract as of their due dates to purchase Normal Retirement Annuity with
respect to each Participant for whom such charges are paid.
(2) Annuity Charges for Contributory Annuity Benefits
The Annuity Charges for Contributory Annuity Benefits shall be in
such amounts as are contributed by each Participant in accordance with the
Plan and shall be applied under Schedule B at the end of this Contract as
of their due dates to purchase Normal Retirement Annuity with respect to
each Participant for whom such charges are paid.
(3) Case Administration Charges
The amount of this annual charge shall be $700. However, if pay-
ments made during the contract year under (1) and (2) above exceed
$25,000, the Case Administration Charge shall be reduced by 2% of the
excess over $25,000. There shall be no Case Administration Charge in any
contract year in which the total of such payments for that year exceeds
60,000.
During each contract year the Case Administration Charge shall
be payable in equal monthly installments of the amount estimated by Mutual
Of New York at the beginning of that year. At the end of each such year
-36+5 Article 3
REV Page 1
there shall be an adjustment to reflect the actual incidence of payments.
The Case Administration Charge shall not become a part of the Deposit.
Account but, upon adjustment at the end of each contract year, any over-
payment shall be credited and any underpayment debited to such account..
Section B. Rate Guarantees
The Case Administration Charges described in subsection (3) of Section A
of this Article are guaranteed for the first 5 contract years.
The rates contained in the Schedules are guaranteed with respect to any
annuity considerations which become due and are paid during the first 5 contract years,
Interest rates with respect to all Annuity Benefits provided from annuity considerations
paid during such 5 year period are also guaranteed.
Except as specifically provided above, Mutual Of New York reserves the right
to change the Case Administration Charge, the rates contained in the Schedules, and
related interest rates from time to time after the 5th contract year upon 31 days
advance written notice to the Employer, but not more ofter than once in any 12 -month
period.
Section C. Optional Methods of Payment of Annuity Considerations
Annuity considerations may be paid quarterly, semi - annually or annually in ad-
vance, instead of monthly. Annuity considerations other than monthly shall be apprgpriately
calculated by Mutual Of New York.on the same basis as the monthly charges described in
this Article. The frequency of annuity consideration payments may be changed from time to
time by written notice from the Employer provided, however, that such change shall not
become effective until the contract anniversary immediately fallowing receipt of such
notice.
Mutual Of New York may agree to accept payment of annuity considerations on a
basis other than that described in this Contract. Under any alternative method of
annuity consideration payments agreed to by Mutual Of New York and the Employer, the
annuity considerations and annuity consideration components shall be as determined by
Mutual Of New York.
-3645 Article 3
Page 2
Article 4. ANNUAL DIVIDENDS
The share, if any, of the divisible surplus accruing on this Contract shall
be determined by Mutual Of New York and allotted as a dividend at the end of each
contract year for which all premiums have been paid.
Dividends shall be credited to the Deposit Account when allotted. Such
dividends shall be apportioned in an equitable manner among Participants and
applied as Annuity Charges under the provisions of Section A of Article 3 to
provide increases in amounts of Normal Retirement Annuity.
Note: No dividend should be anticipated at the end of the
first contract year.
_3645 Article 4
Page 1
A.i•ticle 5. T%RMINATION OF PARTIuIPATION
Section A. Former Participant,
All coverages and benefits provided under this Contract with reopoct to
a Participant shall cease upon termination of his particitiation in the Plan ex-
cept as specifically provided in this Article, and he shall i.,hen become a Former
Participant.
Section B. Termination Values
(1) Former Participant's Paid -Up Normal Retirement Annuity
A portion of the Former Participant's Normal Retirement Annuity shall be
continued in force on his life, without further premium payments being required.
The portion continued shall be designated his Former Participant's Share and
shall consist of;
(a) The Contributory Retirement Annuity Benefits which have
been purchased on his behalf; plus
(b) The portion, if any, determined in accordance with the
Plan, of the Basic Retirement Annuity Benefits which
have been purchased on his behalf.
If the Former Participant's Share would provide an income of less than $5
a month, Mutual Of New York reserves the right to terminate all, paid -up Annuity
Benefits on his life and immediately pay him an amount equal to the full reserve
on his Former Participant's Share.
(2) Employer's Credit to Deposit Account
Any portion of the Basic Annuity Benefits which are not included in
the Former Participant's Share shall terminate and the following amount, deter -
minded from (a) or (b) below as appropriate, shall be credited to the Deposit
Account, provided that, within 31 days of the date of termination of partici-
pation, Mutual Of New York receives evidence, satisfactory to it, that the
Former Participant is in good health at the time of such termination.
(a) Termination Prior to Completion of 2 Years Participation
If termination occurs before the Former Participant has
been a Participant under this Contract for 5 full years,, the
amount credited shall be;
100, of the Annuity Charges for Basic Annuity Benefits being
terminated, accumulated with interest at the rate of 3%, com-
pounded annually, from the end of the contract year in which
the respective Charges were received to the date of termination
less 4% of the Annuity Charges for Contributory Annuity Benefits
accumulated at 2 -1/4 interest, compounded annually, from the
end of the contract year in which they were received to the
date of termination.
-3645 Article 5
Page 1
RE7
(b) Termination on or after Completion of 5 Years Participation
If termination of Participation occurs on or after the
Former Participant has been a Participant under this Contract
for 5 or more full years, the amount credited shall be:
100% of the Annuity Charges for Basic Annuity Benefits being
terminated, accumulated with interest at the rate of 3%, com-
pounded annually, from the end of the contract year in which
the respective Charges were received to the date of termination.
Any amount credited to the Deposit Account under this subsection (2) which is not re-
quired to eliminate or reduce any negative balance in that Account shall be applied
toward payment of the premium next due before any future payments received by Mutual
Of New York are so applied.
(3) Right to Early Retirement Income
The Former Participant may elect, by written notice to Mutual Of New York
during the 31 days following termination of-his participation, that all paid -up Normal
Retirement Annuity in force on his life in accordance with Section B (1) above be im-
mediately terminated and that a retirement income, reduced so as to be actuarially
equivalent to the paid -up Normal Retirement Annuity terminated, shall begin on the
first day of the month following the date of such termination of participation but
not earlier than the first day of the month following receipt of notice of the election
of this Option. Unless another method of payment of Retirement Income satisfactory to
Mutual Of New York has been elected, such Early Retirement Income shall end with the
last payment due before the Former Participant's death, and, if such Participant dies
during the Period Certain following the date as of which such Income began, his monthly
Retirement Income shall be paid to his beneficiary for the balance of such Period Cer-
tain. If such beneficiary dies while entitled to receive such Retirement Income pay-
ments, the commuted value, at 3—,'% interest, compounded annually, of the Retirement
Income for the balance of such Period Certain shall be paid in one sum to the estate
of said beneficiary. However, if another method of payment of Retirement Income has
been elected, the Annuity Benefits otherwise payable shall be adjusted in conformity
with the method elected.
Such election shall take effect if Mutual Of New York receives the Former
Participant's written notice at its Home Office during such 31 days, but only if the
amount of the reduced income will be at least $10 a month.
(4) Former Participant's Optional Cash Payment
If the Former Participant has not exercised the Right to Early Retirement Income,
he may, by written request to Mutual Of New York during the 31 days following termina-
tion of his participation, elect to surrender his Former Participant's Share of Paid -
up Normal Retirement Annuity and receive a Cash Payment therefor.
The Cash Payment shall be an amount equal to the Annuity Charges paid for his Con-
tributory Annuity Benefits, accumulated with interest at the rate of 2- 1/2%, compounded
annually, from the end of the year in which the respective charges were received to
the date of termination of participation.
-36+5 Article 5
REV Page 2
The Cash Paynient EilialL he hi lieu of all other benefits available to him
as a Former Part ic1pajit.
Payment may be deferred by MiLual Of New York up to 6 months (or any
shorter period required by Jaw) ai'brt Participation terminates.
-36115 Article 5
Page 3
Article 6. TERMINATION OR AMENDMENT OF CONTRACT
Section A. Termination of Contract
This Contract may be terminated:
(a) by written notice from the Employer to Mutual Of New York; or
(b) by written notice from Mutual Of New York to the Employer where
the Deposit Account remains negative for 31 days or more; or
(c) by written notice from Mutual Of New York to the Employer where
the number of living Participants who have not reached their re-
spective Normal Retirement Dates is either (1) less than 125 or
(2) less than 75% of the employees eligible for memberships
Upon termination of this Contract, the participation of each Participant
who has.not reached his Normal Retirement Date shall terminate and the provisions
of Article 5 shall be effective, subject however to the following provisions of
this Section.
If the termination of this Contract is coincident with the termination
of the Plan, an employee who becomes a Former Participant by virtue of such ter-
mination shall, in determining benefits under Article 5 be deemed to have a Former
Participant's Share of 100, and he shall be entitled to a paid -up Normal Retirement
Annuity based on such Share. However, if he elects to take the Optional Cash Pay-
ment as provided in Article 5, such Annuity shall be reduced to reflect the Cash
Payment paid him and the provisions for additions to the Deposit Account shall
not apply.
Upon termination of this Contract before the 11th contract year, Mutual Of
New York shall debit the Deposit Account with an amount not greater than that shown
below for the contract year in which termination occurs:
Contract Contract
Year Amount Year Amount
1 $2,000 6 $10000
2 1,800 7 800
3 1,600 8 600
4 1,400 9 400
5 1,200 10 200
If, at the end of 31 days after termination of this Contract, a positive'
balance remains in the Deposit Account, it shall be paid in cash to each Participant
who is living at the date of termination, in an amount determined upon the basis
of the proportion that the reserve for his Annuity Benefits bears to the total such
reserves for all Participants living at the date of termination who have not reached
their respective Normal Retirement Dates.
If, at the end of 31 days after termination of this Contract, a negative
balance remains at that time, and if the Employer does not immediately pay Mutual
Of New York an amount equal to such balance, each such Former Participant's Basic
-3645 Article 6
Page 1
Annuity Benefits shz:1.11 be approprititely reduced by Mutual. Of New York Aso as to
eliminate as far as possible such negative balance.
Section B. Amendment cif' Contract
This Contract may be a.a,ended by Mutual Of New York as provided by its te)-ms
or by agreement betwr:en Mutual_ Of New York and thi. Employer, but, subject to the
rights of Mutual Of New York, no amendment shall be made by which any funds under
this Contract can be used for, or diverted to, purposes other than for the exclu-
sive benefit of the Participants covered by it and their beneficiaries.
Unless the amendment is necessary to permit the Contract or the Plan to
meet the requirements for Treasury approval under the Internal Revenue Code or
under any subsequent revenue law or to meet the requests of any other governmental
authority under any other applicable law or unless the consent of the Participant
is obtained, the Contract, after amendment, shall provide each Participant with
annuity values that are at least the equivalent of the values that would have been
available to him immediately before the amendment if his Participation had then
terminated.
Section C. Rights of Participants and Beneficiaries
No Participant, Former Participant,beneficiary or other person shall be
deemed to have any right of consulation or approval of termination or amendment
of this Contract.
The rights of any such person entitled to benefits because of retirement
or death occurring before the termination or amendment of the Contract shall not
be impaired by any such termination or amendment.
Section D. Limitation on Active Participants
Mutual Of New York reserves the right at any time after the twenty -fifth
contract anniversary to decline to accept new Participants.
-36+5 Article 6
Page 2
I
Article 7. BENEFICIARY PROVISIONS
Section A. Change of Beneficiary
Beneficiary changes may be made during the lifetime of a Participant,or
Former Participant by written notice from him to Mutual Of New York through the
Employer. Any change will take effect as of the date the notice was signed, upon
acceptance and recording at Mutual Of New York's Home Office, subject to any pay-
ment made by Mutual Of New York or action taken by it before receipt of the notice
at the Home Office. Endorsement of such a change will not be necessary unless re-
quired by Mutual Of New York.
Section B. Payment to Beneficiary
Payment to a beneficiary as provided in this Contract will be made in ac-
cordance with the beneficiary designation effective at the time of payment.
If no beneficiary designation is effective at the death of the Participant
or Former Participant, or if no beneficiary is living at his death, payment will be
made to the estate of the Participant or Former Participant. However, instead of
making payment to his estate, Mutual Of New York may at its option make payment to
any one or more of his following relatives: spouse, parent, child, brother or sister.
Before making payment to the beneficiary, Mutual Of New York may require due
proof of the death of the Participant or Former Participant.
-36+5 Article 7
Page 1
Page 1
Section F. Change in Frequency of Inane Payments
Where any income payment under this Contract would be less than $25, Mutual
Of New York may at its option change the income to a less frequent basis. The
amount of income will then be recomputed by Mutual Of New York on an equivalent
actuarial basis.
Section G. Purpose
The purpose of this Contract is to provide benefits to the Participant employees
and their beneficiaries. Subject to the rights of Mutual Of New York, no funds under
this Contract shall ever be used for, or diverted to, purposes other than for their
exclusive benefit.
Section H. Actions of Employer
Mutual Of New York shall not be bound by any of the provisions of the Plan or
of any other instrument under which the Employer purports to act.
Payments by Mutual Of New York in accordance with the terms of this Contract
or in reliance on any action, notice or advice of the Employer shall fully discharge
Mutual Of New York for the amount so paid.
_3645 Article 8
Page 2
Schedule A
Basic Retirement Annuity Purchase Rates
i
Participant's Age at Begin- Rate of monthly Basic Retirement Annuity
ning of Contract Year in (described in Section A of Article 2) pur-
which Annuity Charges are chased by Annuity Charges of $120.00 per
Due. contract year payable in monthly install-
ments of $10.
-3645 Schedule A.
Page 1.
Males
Females
�5
$ 3.66
$ 2.89
26
3.54
2.79
27
3.42
2.71
28
3.31
2.62
29
3.21
2.53
30
3.10
2.45
31
3.00
2.37
32
2.91
2.30
33
2.81
2.22
34
2.72
2.15
35
2.63
2.08
36
2.55
2.01
37
2.46
1.95
38
2.38
1.89
39
2.30
1.82
4o
2.23
1.77
41
2.15
1.71
42
2.08
1.65
43
2.01
1.6o
44
1.94
1.54
45
1.87
1.49
46
1.81
1.44
47
1.75
1.4o
48
1.68
1.35
49
1.62
1.30
50
1.56
1.26
-3645 Schedule A.
Page 1.
Schedule, cont'd.
Males Females
51
$.1.50
-: $1.21
52
1.45
1.17
53
1.39
1.13
54
1.34
1.09
55
1.28
1.05
56
1.23
1.01
57
1.18
•97
58
1.13
•93
59
1.08
60
1.03
.86
61
.98
.83
62
•94
•79
63
•89
.76
64
.85
•72
The above figures are applicable to Participants whose Normal Retire-
ment Birthday is 65. Appropriate figures for other retirement birthdays or
for ages not shown will be quoted by Mutual Of New York upon request.
-3645 Schedule A.
Page 2.
Schedule B
Contributory Retirement Annuity Purchase Rates
Participant's Age at Begin-
Rate of monthly Contributory Retirement An-
ning of Contract Year in
nuity (described in Section A of Article 2)
which Annuity Charges
purchased by Annuity Charges of $120.00 per
are Due.
contract year payable in monthly installments
of $10.
Males Females
25
$ 2,93 $ 2.51
26
2.84 2.43
�7
28
2.75 2.35
2.66 2.28
�9
2.58 2.21
30
2.50 2.14
31
2.42 2.07
32
2.34 2.01
33
2.27 1.94
34
2.20 1.88
35
2.13 1.82
36
2.o6 1.76
37
2.00 1.71
38
1.93 1.65
39
1.87 1.6o
4o
1.81 1.55
41
1.76 1.50
42
1.70 1.46
43
1.65 1.41
44
1.6o 1.37
45
1.55 1.32
46
1.50 1.28
47
1.45 1.24
48
1.40 1.20
49
1.36 1.16
50
1.32 1.13
_3645 Schedule B
Page 1.
The above figures are applicable to Participants whose Normal Retirement
Birthday is 65. Appropriate figures for other retirement birthdays or for ages
not shown will be quoted by Mutual Of New York upon request.
-36+5
Schedule B.
Page 2.
Schedule, cont'd.
Males
Females
51
$ 1.28
$ 1.09
52
1.24
1.06
53
1.20
1.02
54
1.16
•99
55
1.12
.96
56
1.09
•93
57
1.05
.90
58
1.02
.87
59
•99
•85
60
.96
.82
61
-93
•79
62
.90
•77
63
•87
.74
64
.84
-72
The above figures are applicable to Participants whose Normal Retirement
Birthday is 65. Appropriate figures for other retirement birthdays or for ages
not shown will be quoted by Mutual Of New York upon request.
-36+5
Schedule B.
Page 2.
Contract (Contd.) - Ord. #11,088
Rider No. 1 attached to and forming a part of Group Annuity Contract No. -36+5 issued
by Mutual Of New York on July 1, 1960. This Rider is subject to all the provisions of
the Group Annuity Contract which are not inconsistent with this Rider.
PAST SERVICE RETIREMENT ANNUITY COVERAGE
Article I. Extension of Deposit Accounts
Section A. Special Debits and Credits to Deposit Account
The Deposit account maintained by the Employer with Mutual Of New York shall,
in addition to the debits and credits provided for elsewhere in this contract, be
debited and credited the following special items:
(1) Special Credits as follows:
(a) Deposits made by the Employer as provided in Section B below.
(b) Interest allotted under the provisions of Article III of this
Rider.
(2) Special withdrawals as follows:
(a) Withdrawals to purchase Past Service Annuity benefits as
provided in Section C. below.
(b) Withdrawals to reimburse Mutual Of New York for any taxes
which it is required to pay to any governmental body as a
result of the deposit, investment, administrative, or other
operation of this Rider.
Mutual Of New York shall furnish from time to time a statement of the total
credits and debits to the Account. Such statements shall be furnished upon the request
of the Employer, but not more often than once in any month.
Section B. Deposits
The Employer shall make an initial Deposit of at least $1,000 into the Deposit
Account on acceptance of this Rider and shall make further Deposits from time to time
during each contract year. Except with the consent of Mutual Of New York, or as provided
in the next paragraph, the Deposits made in any contract year shall not be less than 2%
of the aggregate Annual Earnings of all Participants. The Annual Earnings of each Partic-
ipant shall be his rate of compensation from the Employer, excluding overtime, commissions,
bonuses, deductions for absences, and any other additions to or deductions from regular
compensation.
If at the end of any contract year prior to discontinuance of this Rider the
amount of the Deposit Account shall be less than $1,000, a Deposit sufficient to increase
the Deposit Account to $1,000 shall be payable to Mutual Of New York, and shall be due
immediately upon written notice by Mutual Of New York.
MOD R -2860 Article I.
REV Page 1
Duo °/7
f) - z
Any Deposit made pursuant to this Section B shall be considered to be
Annuity Charges solely for the purposes of determining the Case Administration Charges.
Section C. Withdrawals to Purchase Retirement Benefits
When a Past Service Retirement Annuity is to be purchased for a Participant
as provided in Article II of this Rider, the amount required under Table 1 of Article
IV of this Rider to purchase such retirement benefit in full shall be withdrawn from
the Deposit Account and applied to effect such purchase. If purchases are to be made
for two or more Participants on the same date, withdrawals shall be made for them in
the order of their dates of birth, the oldest first.
Withdrawals shall be made under this section only to the extent that they
do not reduce the balance in the Deposit Account below $1,000.
-3645
Article I
Page 2
Article II. PURCHASE AND PAYMENT OF PAST SERVICE RETIREMENT BENEFITS
Section A. Purchase of Benefits
The Employer shall notify Mutual Of New York in writing of the amounts of
Past Service Retirement Annuity benefits to which each Participant is entitled on
retirement, in accordance with the Plan. Such written notice shall be given at least
31 days before each Participant's Normal Retirement Date and shall provide such informa-
tion as Mutual Of New York may reasonably require, including satisfactory evidence of
the Participant's date of birth.
If the Participant is living on his Normal Retirement Date, an immediate
life annuity providing an income of the amount to which he is entitled in accordance
with the Plan, as specified in the notice, shall be purchased on the Participant's
life by a Withdrawal from the Deposit Account as provided in Article I.
Section B. Payment of Benefits
Each Participant for whom Past Service Retirement Annuity has been purchased
shall be paid a monthly income during his lifetime. The income shall begin on the date
the Past Service Retirement Annuity is purchased and shall end with the last payment due
before his death. No benefit shall be payable by reason of his death.
The Past Service Retirement Annuity payments shall be included with the
Normal Retirement Annuity payments made to the Participant during his lifetime.
Section C. Optional Method of Payments of Benefits
Instead of the benefits being paid as provided in the preceding Section, a
Participant may elect to receive an alternative form of life income in accordance
with Section C of Article 2 of the Group Annuity Contract.
Section D. Right to Audit
Mutual Of New York shall have the right, at any reasonable time, to inspect
all records of the Employer which have a bearing on the coverages available under this
Contract in order to determine to its satisfaction that all retirement benefits provided
for in the Plan are being purchased in accordance with this Contract. If it shall appear
that such is not the case, Mutual Of New York shall have the right to require that all
such retirement benefits which have not then been purchased be immediately purchased.
Except for this purpose, Mutual Of New York shall have no right and no duty
to inquire into the administration of the Plan.
Article II
_3645 Page 1
Article III. INTEREST CREDITS TO THE DEPOSIT ACCOUNT
As of the last day of each Contract year during which this Rider is
in force, Mutual Of New York shall credit interest on the Deposit Account at
the rate determined by Mutual Of New York for such contract year. Such interest
credit shall not be less than that guaranteed under Article IV of this Rider,
nor less than that obtained by application of the rate declared by Mutual Of New
York for the class of contracts to which this Contract belongs.
In crediting interest to the Pension Deposit Fund, interest will start
to be earned on each amount credited to the Fund on the date such credit is added
to the fund, and interest on amounts withdrawn will cease on the date such With-
drawals are made.
-36+5 Article III
Page 1
Article IV: Rates and Guarantees
So long as the Deposit Account continues to qualify as "Pension Plan Re-
serves" (as defined in I.R.C. Section 805(d)) under the Life Insurance Company
Income Tax Act of 1959 or any successor provisions of the Internal Revenue Code
to the same effect, Mutual Of New York guarantees that:
A. Interest credits made to the Deposit Account shall be at least
the following:
1. With respect to deposits and credits made during the first
contract year, Mutual Of New York shall credit interest at
the rate of 4 -1/2%, compounded annually, during the first 5
contract years, and thereafter at the rate of 3%, compounded
annually.
2. With respect to deposits and credits made during the second,
third, fourth or fifth contract years, Mutual Of New York
shall credit interest as follows:
(a) Prior to the end of the 5th contract year:
At the rate of 4 -1/2%, compounded annually. However,
Mutual Of New York may, upon 31 days written notice to
the Employer, reduce the rate applicable to deposits and
credits made more than 31 days after the date of notice.
Such reduced rate shall in no event be less than 3 -1/2%,
compounded annually.
(b) Sixth and later contract years: 3%, compounded annually.
3. With respect to deposits and credits made during the sixth
and subsequent contract years:
At the rate of 310 compounded annually. However,
Mutual Of New York reserves the right to change, from
time to time, the rate applicable to such deposits and
credits. Any such change shall become effective after
90 days written notice to the Employer.
Any amount withdrawn from the Deposit Account shall be
charged against the deposits and credits (with interest
thereon) first becoming a part of such Fund (first in --
first out rule) .
B. The, maximum Annuity Purchase Rates shall be:
1. The rates shown in Part A of Table I for retirement benefits
purchased during the first 5 contract years.
-3645 Article IV
Page 1
-3645
2. The rates shown in Part B of Table I for retirement benefits
purchased after the first ; contract years and until the total
amount required for purchases after the 5th contract year first
equals or exceeds the balance held in the Deposit Account at the
end of the 5th contract year.
The rates shown in Part B of Table I shall remain in effect
thereafter. However, Mutual Of New York reserves the right
to change, from time to time, the maximum :Annuity Purchase
Rates effective thereafter. Any such change shall become ef-
fective after 90 days written notice to the Employer.
Article IV
Page 2
TABLE I
Annuity
Purchase
Rates for Immediate Life Annuit�r
Participant's Age
Amount Required to Purchase $10 Monthly
Nearest Birthday on
IaQnediate Life Annuity - First.Monthly
Date of Purchase
Payment Due on
e of Purchase
A. For annuities purchased
B. For annuities
purchased
..during the first 5 con -
after the first 5 con-
tract
Xears
tract years
Males
Females
Males
Females
55
$1851
$2070
$1900
$2132
56
1806
2027
1852
2086
57
1760
1984
1804
2041
58
1714
1941
1756
1994
59
1667
1896
17o6
1948
6o
1620
1851
1657
1900
61
1.572
1806
1606
1852
62
1523
1760
1556
1804
63
1474
1714
1505
1756
64
1425
1667
1453
1706
65
1375
1620
14o2
1657
66
1326
1572
1351
1606
67
1277
1523
1301
1556
68
1229
1474
1251
1505
69
1181.
1.4 25
1202
1453
70
1133
1375
1152
1402
71
lo86
1326
1103
1351
72
lo4o
12-77
1055
1301
73
993
1229
1007
1251
74
948
11.81
961
1202
75
903
1.133
916
1152
Annuity Purchase Rates not shown will be quoted by Mutual Of New York upon request.
Article IV
Page 3
Article V. ANNUAL DIVIDENDS
Whenever a dividend is allotted to this Contract., Mutual Of New York
shall determine the portion, if any, of such dividend which is attributable
to this Rider. Such portion shall be credited to the Deposit Account when
allotted, and not apportioned among Participants Article 4 of this Contract
to the contrary ndtwithstanding.
Article V
_36+5 Page 1
Article VI. DISCONTINUANCE AND TERMINATION OF RIDER
Section A. Discontinuance of Deposits after Effective Date of Discontinuance
(1) Effective Date of Discontinuance
An Effective Date of Discontinuance shall be established in the
event this Contract is terminated.
An Effective Date of Discontinuance may also be established=
(a) By written notice from the Employer to Mutual Of New
York; or
(b) By written notice from Mutual Of New York to the Employer
at any time after the first of the following occurs;
(i) Any deposit required to increase the amount of
the Deposit Account to $1,000 as provided in
Section B of Article I of this Rider remains.
unpaid for 31 days after it is due; or
(ii) The Employer fails to supply Mutual Of New
York with a Certification of Actuarial Soundness,
requested by Mutual Of New York in accordance
with Section A of Article VII of this Rider during
the time provided for furnishing such statement; or
(iii) Mutual Of New York shall determine that retirement
benefit purchases are not being made in accordance
with Article Hof this Rider; or
(iv) No deposits have been made into the Deposit AccountGpursuant
to Section B of Article I of this Rider for a period
of 36 consecutive months;; or
(v) The 25th anniversary of this Contract.
Except where discontinuance occurs as a result of the Emplo er'a
failure to make a required deposit as provided in item b (i� above,
the Effective Date of Discontinuance shall be as specified in the
written notice, but not earlier than 90 days from the date of notice.
If discontinuance occurs as a result of the Employer's failure to
make a required deposit as provided in item b (i) above, the
Effective Date of Discontinuance shall be as specified in the
written notice, but not earlier than 31 dayo from the date of
notice.
If more than one written notice has been given pursuant to this sub-
section, the Effective Date of Discontinuance shall be the earliest
determined in accordance with the immediately preceding paragraph;
however, in no event shall the Effective Date of Discontinuance be
later than the date of termination of this Contract.
Article VI
-3645 Page 1
i
(2) Discontinuance of Deposits
No further deposit into the Deposit Account pursuant to Section A of
Article I of this Rider shall be payable after the "Effective Date. of
Discontinuance, nor shall Mutual Of New York be required to accept
any Deposit received by it after the Effective Date of Discontinuance.
Acceptance of any such Deposit by Mutual Of New York after the Effec-
tive Date of Discontinuance shall in no way obligate Mutual Of New
York to accept further such deposits to the Deposit Account.
Section B. Effect of Discontinuance
The amount defined in the next paragraph will be apportioned among Partci-
pants in accordance with the provisions of the Plan and applied to purchase deferred
Past. Service Retirement Annuities on the lives of such Participants, notwithstanding
the provisions of Article 6 of the Contract. The rates at which such purchases
will be made shall be calculated on the same actuarial basis as the rates shown in
Table A of the Contract. Rates will be quoted by Mutual Of New York on request.
The amount to be applied to purchase deferred Past Service Retirement
Annuities in accordance with the foregoing paragraph shall be the excess, if any,
of the balance remaining in the Deposit Account on the Effective Date of Discontinuance
over the sum of the following amounts determined as of the Effective Date of Discon-
tinuance.
(a) Any surrender charge which may be due pursuant to Article
6 of the Contract.
(b) Any annuity considerations paid into the Deposit Account before
their due dates, which are not yet due.
(c) Any dividend, or portion there of, attributable to Normal Re-
tirement Annuity Benefits, which has been credited but has not
yet been debited to the Deposit Account.
-36+5 Article VI
Page 2.
Article VII. GENERAL PROVISIONS
Section A. Information to be Furnished by the Employer
The Employer shall be responsible for providing Mutual Of New York,
at least 31 days before each Participant's Normal Retirement Date, with the
written notice described in Section A of Article II of this Rider. The Employer
shall furnish such other facts and information as Mutual Of New York shall reasonably
require for the administration of this Rider. Mutual Of New York shall be entitled
to rely conclusively upon all information and facts furnished by the Employer.
If a Certification of Actuarial Soundness is requested by Mutual Of New
York,the Employer shall provide such Certification within 90 days of such request.
Such a Certification must be made by an :Associate or Fellow of the Society of Actuaries
in accordance with sound Actuarial assumptions and principles. It shall certify
that the funding basis and methods adopted will provide a Deposit Account balance
which should ordinarily be adequate to cover all withdrawals anticipated for the pur-
pose of providing Past Service Retirement Benefits under the Plan, together with any
other withdrawals anticipated under'Section A of Article I.
Section B. Misstatements
If it shall be determined to the satisfaction of Mutual Of New York that
the age, sex, or any other fact affecting the coverage or the amount of benefits has
been misstated with respect to any Participant on whose life a retirement benefit has
been purchased, the Past Service Retirement Annuity Benefits payable under this Rider
by Mutual Of New York at any time shall be such as the amount used to purchase the
benefits would provide on the basis of the correct facts. However, if the misstate-
ment is discovered while this Contract is in force and correct facts would result in
decreasing the amount of the Participant's benefit, his benefits shall not be re-
duced below those provided by the Plan if an equitable adjustment in the Deposit
Account is mutually agreed upon. In the event of such a misstatement Mutual Of New
York reserves the right to refuse to alter the due date of the first benefit payment
with respect to any Participant's retirement benefit, in which case an equitable
adjustment in the Deposit Account shall be made.
Any overpayments by Mutual Of New York may be charged against, and any
underpayments added to, any benefit payments made with respect to the Participant
involved. Any overpayment which cannot be charged against the Participant's benefit
payment shall be charged against the Deposit Account.
Section C. Special Calculations
Mutual Of New York will perform a calculation based upon a single set of
assumptions necessary for performing such calculation of the aggregate liabilities
for Past Service Retirement Benefits under the Plan upon request of the Employer but
not more than three such calculations will be furnished in any one contract year. The
Employer's request for such a calculation shall be accompanied by a list of all of the
Participants entitled to such benefits and the requested set of assumptions. Such
list shall show each Participant's date of birth and sex, and the Past Service Retire -
ment Benefits to which the Participant will be entitled at his Normal Retirement Date.
If this Rider shall be discontinued, any calculation furnished by Mutual
Of New York after the effective date of discontinuance shall be limited to a state-
ment of the reserves held for retirement benefits which have been purchased.
-3645 Article VII
REV Page 1
..
♦ � .r
t r , � � • f
tb
1
Section D. Adequacy of the Deposit Account
Whether or not it is requested to furnish a calculation of the liabilities
under the Plan, Mutual Of New York shall not be liable for the adequacy of the
Deposits made by the Employer to provide the Past Service annuity Benefits of the Plan.
-3645
Article VII
Page 2