Number
031148
Version
ORIGINAL
Reference
Sponsor
THE CHAIR
Title
A charter ordinance relating to rollover distributions under the employes' retirement system.
Sections
36-10-2 am
36-10-3 am
Analysis
This charter ordinance clarifies provisions relating to rollover distributions under the employes' retirement system.
Body
The Mayor and Common Council of the City of Milwaukee do ordain as follows:
Part 1. Section 36-10-2 and 3 of the charter is amended to read:
36-10. Exemption from Taxation, Execution and Assignment.
2. Notwithstanding sub. 1, a beneficiary who was a member may elect to have a taxable distribution except: annuities paid over life or life expectancy; installments for a period spanning 10 years or more; and minimum distributions under s. 401(a)(9) of the Internal Revenue Code; paid directly to an individual retirement account or bona fide defined contribution account that accepts contributions (Internal Revenue Code s. 401(a) and (31) and Internal Revenue Code s. 404(a)(2) >>, including an eligible plan under s. 457(b) of the Internal Revenue Code which is maintained by a state, political subdivision of a state, or any agency or instrumentality of a state or political subdivision of a state and which agrees to separately account for amounts transferred into such plan,<< or a tax sheltered annuity that accepts rollovers (Internal Revenue Code s. 403(b)(10)).
3. Notwithstanding sub. 1, a beneficiary who is the surviving spouse of a member or beneficiary who was a member may elect to have a taxable distribution except: annuities paid over life or life expectancy; installments for a period spanning 10 years or more; and required minimum distributions under s.401(a)(9) of the Internal Revenue Code; paid directly to an individual retirement account >>or a bona fide defined contribution account that accepts contributions (Internal Revenue Code s.401(a) and (31) and Internal Revenue Code s. 404(a)(2), including an eligible plan under s. 457(b) of the Internal Revenue Code which is maintained by a state, political subdivision of a state, or any agency or instrumentality of a state or political subdivision of a state and which agrees to separately account for amounts transferred into such plan, or a tax sheltered annuity that accepts rollovers (Internal Revenue Code s. 403(b)(10))<<.
Part 2. This is a charter ordinance and shall take effect 60 days after its passage and publication, unless within such 60 days a referendum petition is filed as provided in s. 66.0101(5), Wis. Stats., in which event this ordinance shall not take effect until submitted to a referendum and approved by a majority of the electors voting thereon.
LRB
LRB
APPROVED AS TO FORM
________________________
Legislative Reference Bureau
Date:______________________
Attorney
IT IS OUR OPINION THAT THE ORDINANCE
IS LEGAL AND ENFORCEABLE
_____________________________
Office of the City Attorney
Date:________________________
Requestor
Drafter
LRB03521-1
TWM/cac
11/12/2003