Pension Benefits for Ordinary Disability Pensioners (Non-MERS. The monthly disability benefit payable to these pensioners shall be equal to fifty percent (50%) of the employee’s average monthly salary over any period of three (3) consecutive years which produces the highest average monthly rate as of the employee’s retirement date and calculated as set forth in the second paragraph of Section 3(C)(i) of this Article. The disability benefit shall be payable monthly until the earlier of (a) the disability ends or (b) the retiree reaches what would have been his normal retirement date (i.e. completion of 20 years of service). If the disability benefit ends because the retiree reaches what would have been his normal retirement date, then the disability pension will be converted to a normal service retirement pension in which case that normal service retirement pension shall be calculated as though the retiree had worked during the period of his disability pension. For purposes of clarity, he would receive creditable service for the time he was receiving disability pension benefits and his annual salary will be based on what other employees holding a comparable position in the Department were earning at the time of his 20th year anniversary. For example: At the time of ordinary disability retirement, the employee’s highest average annual salary based upon any three (3) consecutive years of salary is $ 48,000.00. The annual disability pension amount is $24,000.00 and the monthly disability pension amount is $2,000.00. The actuary’s normal annuity valuation of the employee’s 401(a) Plan is determined to be $200.00 per month. The monthly accidental disability payment would be reduced by $200.00 per month. The retiree would receive $1,800.00 per month from the disability pension plan (until such time as the employee reaches his normal retirement date) and would be able to draw $200.00 from the 401(a) Plan to produce the total fifty percent (50%) ordinary disability pension. Once the retiree reaches his normal retirement date, he would then begin taking distributions exclusively from the 401(a) Plan.
