The process for exiting the Deferred Retirement Option Plan and terminating employment will be discussed at Wednesday’s meeting of the Apache Junction Public Safety Personnel Retirement Board.
It is to be held at 4 p.m. March 31 in the City Clerk's Conference Room, 300 E. Superstition Blvd.
The Deferred Retirement Option Plan is a voluntary and irrevocable benefit program that offers the opportunity to receive a one-time lump sum payment, at the time of retirement, in addition to a monthly retirement benefit, according to the Public Safety Personnel Retirement System’s website.
The Apache Junction Public Safety Personnel Retirement Board is also to consider a request to terminate employment at the end of the Deferred Retirement Option Plan period on behalf of Apache Junction Police Sgt. Paul L. Newman, with:
“As a ‘Tier 1 Member,’ at any time after you attain 20 years of credited service ... you may elect to participate in the Deferred Retirement Option Plan,” according to the Public Safety Personnel Retirement System’s website.
“The process to enter into DROP is that at the time you elect to participate, your monthly retirement benefit is calculated/solidified based on the salary and service at the time of your participation and then that monthly amount is deferred each month while you continue to work with your employer up to a maximum of 60 months. Then, either before or at 60 months, you would terminate your employment with your employer and officially retire, thus receiving your previously calculated accumulated DROP retirement payments, plus interest, and you would also begin to receive your monthly retirement benefit payments,” it states.
The purpose of the Apache Junction Public Safety Personnel Retirement Board is to administer the Apache Junction Police Public Safety Personnel Retirement System. In this regard, the board, according to the city’s website: