BY COUNCILOR STEWART:
The city of Duluth does ordain:
Section 1. That Section 2-167 of Article XXXII of Chapter 2 of the Duluth City Code, 1959, as amended, be amended to read as follows:
Article XXXII. Housing Investment Fund Program.
Sec. 2-167. Fund - duration.
This Article governs the administration of the fund of money created by City Council Resolution Number 05-0269, hereinafter the fund, and this Article shall terminate, cease having effect and repeal at the time the fund is completely spent, or on December 31, 2011, whichever occurs earlier. Any money in the fund at the time of termination shall be returned to the community investment trust fund.
Article XXXII. Partial Funding Retiree Healthcare.
Sec. 2-167. Fund - duration.
This Article governs partial funding of healthcare benefits for retired city employees. It shall continue in force until terminated by the council, or until the mayor and city finance director certify to the council by document filed with the clerk that no funds exist in the source set out in Resolution No. 05-0269 and so no money is available to continue the funding, whichever occurs earlier.
There is hereby created a fund of money, which shall consist only of the money transferred to it under authority of Resolution No. 05-0269. In that regard, the council has determined that all requirements of Resolution 05-0269 were met, and that the transfers out of the community investment trust fund were proper and shall continue. The fund shall be administered by the city officials in compliance with applicable regulations and accounting standards in order to contribute to funding healthcare benefits for retired employees. The finance director may create a separate fund or designate this fund to be part of an existing fund in Agency 700 - other post employment benefits fund, or part of a irrevocable trust for this purpose, which is authorized by law. In any event, the annual transfer of $600,000 shall be used only for the purpose of funding retiree healthcare benefits and not for the purpose set out in Resolution 05-0269, and to that extent this ordinance amends and supersedes Resolution 05-0269.
Section 2. That Section 2-168 of the Duluth City Code, 1959, as amended, be amended to read as follows:
Sec. 2-168. Source.
The fund shall consist only of money transferred to it, pursuant to Resolution Number 05-0269, from the community investment trust fund, created by Section 54(E) of the Charter, or its successor.
Sec. 2-168. Projects funded - exception.
Any project for which funding had on or before February 21, 2007, been finally and entirely approved as set out in former Article XXXII (housing investment fund program) shall be funded as approved out of the money identified in Resolution No. 05-0269, as an exception to the requirements of this Article. However, no such project funding shall extend beyond February 21, 2008.
Section 3. That Sections 2-169, 2-170, 2-171, 2-172, 2-173 and 2-174 of the Duluth City Code, 1959, as amended, be repealed in their entirety.
Section 4. That this ordinance shall take effect 30 days after its passage and publication.
STATEMENT OF PURPOSE: This ordinance requires seven votes for passage. It ends one expenditure program and directs the money to be used for funding retirement benefits.