Title 28 - MUnicipal Employees'Retirement Plan TITLE 28 THE MUNICIPAL EMPLOYEES' RETIREMENT PLAN

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1 Ch.l, Pg. 1 Title 28 - MUnicipal Employees'Retirement Plan TITLE 28 THE MUNICIPAL EMPLOYEES' RETIREMENT PLAN Supp. 18 (7 II/OS) CHAPTER 1. CHAPTER 2. CHAPTER 3. CHAPTER 4. CHAPTER 5. CHAPTER 6. CHAPTER 7. CHAPTER 8. CHAPTER 9. CHAPTER 10. CHAPTER 11. CHAPTER 12. CHAPTER 13. EXHIBIT A EXHIBIT B INTRODUCTION AND DEFINITIONS PARTICIPATION CONTRIBUTIONS ELIGIBILITY FOR VESTING MEASUREMENT OF YEARS OF CREDITED SERVICE ELIGIBILITY FOR AND CALCULATION OF VARIOUS TYPES OF RETIREMENT INCOME FORMS OF PENSION RETIREMENT INCOME DEATH BENEFITS BENEFIT RESTRICTIONS ADMINISTRATION OF PLAN ADMINISTRATION OF TRUST FUND AMENDMENT AND TERMINATION MISCELLANEOUS TRUST AGREEMENT FOR THE MUNICIPAL EMPLOYEES' RETIREMENT PLAN FIRST AMENDMENT TO TRUST AGREEMENT FOR THE MUNICIPAL EMPLOYEES' RETIREMENT PLAN CHAPTER 1 INTRODUCTION AND DEFINITIONS Section 100. Introduction. Section 101. Definitions. Section 102. Construction. SECTION 100. INTRODUCTION The City of Tulsa,.. Oklahoma, a municipal corporation, pursuant to Oklahoma stattltorye11abling legislation then codified as 11 O.S.Supp.1957, 1531, et seq., and now codified as 11 0.S.1991, , et seq., as amended, adopted an ordinance to provide a pension and retirement system. for eligible employees of the City and related govern.mental. entities effective May 1,. 1960,. which has been amended from time to time. This title shall be operative retroactive to January 1,. 1989, except as may thereafter be amended, and shall be named "The Municipal Employees' Retirement Plan." All rights and benefits of an employee whose Termination of Employment, as herein.defined, occurred prior to January I, 1989, shall be determined solely by the provisions in effect at the time of that Termination of Employment, including the benefit

2 Ch. 1, Pg. 2 Title 28 - Municipal Employees' Retirement Plan Supp, 18 (7/1/08) rate in effect at the time of such Termination of Employment, unless otherwise specifically provided herein. Ord. No SECTION 101. DEFINITIONS For the purpose of this title.. the following words and phrases shall have the meanings stated in this section. A. Actuarial Equivalent. The benefit of equivalent value, computed on the basis of an appropriate Mortality Table as approved by the Board of Trustees. The mortality table used for purposes of adjusting any benefit or limitation under 415(b)(2)(B), (C), or (D) of the Internal Revenue Code of 1986, as amended, is the table prescribed in Rev. Rul B. Trustees. Actuary. An independent, qualified actuary selected by the Board of C. Basic Employee Contributions. The mandatory contributions described in Section 301 hereof. D. Board oftrustees. The Board of Trustees of The Municipal Employees' Retirement Plan provided forin Section 1000 hereof. Eo Continuous Employment. A period or periods of employment by an Employee While making Basic Employee Contributions to the Plan, plus periods of employment by an Employee during which the Employee is no~ allowed to make Basic Employee Contributions to the Planbecause the Employee does not satisfy the Plan's minimum service requirements or (prior to September 1, 1990) the Plan's minimum age requirements. F. Credited Interest. 1. Basic Employee Contributions. Credited Interest on Basic Employee Contributions shall mean interest at an annual percej1tage rate of three and one-half percent (3.5%) for the period May 1,1960, through December 31, 1972; four percent (4%) for the period January I" 1973, through December 31, 1974; and five percent (5%) for periods on and after January I , or such other rate as may be established from time to time by the Board of Trustees. 2. Optional Employee Contributions. Credited Interest on Optional Employee Contributions shall mean interest of an annual percentage rate of three and one-half percent (3.5%) for the period May 1, 1960, through December 31, 1972; five percent (5%) for the period January 1, 1973, through December 31, 1974; and six percent

3 Ch.1, Pg. 3 Title 28 - Municipal Employees' Retirement Plan Supp. 18 (7/1/08) (6%) for periods on and after January 1, 1975, or such other rate as may be established by the Board of Trustees. Such percentage rate shall not exceed the percentage of interest, dividends and realized and unrealized capital gains earned by the Fund in the preceding calendar year. The accumulated interest credited on Optional Employee Contributions shall not be less than the interest that would have been credited on Basic Employee Contributions during the same period. 3. Computation of Interest. Computation of Credited Interest shall be based on the total amount of each Participant's Basic and Optional Employee Contributions and previously Credited Interest, if any, on deposit in the Fund immediately before the first day of the preceding calendar year. Such Credited Interest shall be computed annually and credited to each Participant's share of the Fund effective the first day of each calendar year, except that in the event of a Participant's Termination of Employment or death on any day other than December 31st, Credited Interest shall be computed, including credit for all completed months of employment, during such partial Plan Year. G. Credited Service. A period which is included in the calculation of the amount of a Participant's retirement income. A Participant's Credited Service shall be defermined in accordance with Chapter 5 herein. H. Earnings. The monthly base earnings payable to a Participant by the Employer, excluding payments for overtime, reimbursement for travel or other expenses, service payor other special payments. On and after January 1,1989, such Eamings shall include any amounts defined as Basic Employee Contributions. Earnings shall also include amounts which would be payable as bclse earnings but for election by the Participant to defer such earnings under a plan deemed to be a qualified plan described in Sections 125, 401, 403, or 457 of the Internal Revenue Code of 1986, as amended. Effective January 1, 1989, Earnings for any Plan Year will be limited to the first $200,000 of Earnings (or such other amount determined in accordance With Code Section 415(d». Effective January 1, 1996, for each Participant who first becomes a Participant in the Plan after 1995, Earnings for any Plan Year will be limited to the first $150,000 of Earnings (or such other amount determined in accordance with Code Section 401(a)(17». For purposes of calculating Earnings received on or after January I, 2002, the limitation under Section 401(a){17) of the Code is increased to $200,000, as adjusted. I.. Employee. A permanent and full time, classified or unclassified employee of the Employer. Employees shall be considered full time if their position contemplates a normal. work week of forty (40) hours or more. However, employees who were participating in the Plan and required to work less than forty (40) hours per week on January I, 1974, shall be eligible to continue such participation in the Plan so long as they are otherwise eligible. J. Employer. The City of Tulsa, Oklahoma; the Indian Nations Council of Governments; the City of Tulsa-Rogers County Port Authority; the Tulsa Airport

4 Ch.1, Pg.4 Title 28 - Municipal Employees' Retirement Plan Supp. 18 (7/1/08) Improvement Trust; the Tulsa City-County Library; the Metropolitan Tulsa Transit Authority; and the Tulsa River Parks Authority. K. Final Average Earnings. 1. The average monthly earnings of a Participant during the thirty (30) months, whether consecutive or not, in which his aggregate Earnings shall have been highest, selected from the last sixty (60) m.onths prior to his Termination of Employment, excluding any part of the Participant's employment during which no Earnings were payable to the Participant. If the Participant has fewer than. thirty (30) months of earnings during such sixty (60) month period, the thirty (30) month average shall be taken over additional months of Earnings during such sixty (60) month period, excluding any mon.ths during which no Earnings were paid to the Participant. If the Participant shall have been employed fot fewer than thirty (30) complete months, or if the period of average Earnings is reduced to less than thirty (30) months in accordance with the previous sentence, all of the complete months during the total period of employment or during the period as So reduced shall be used for the purpose of determining Final Average Earnings. 2. For purposes of computing Final Average Earnings of a Participant who retires after July 1, 2002,and whose Earnings Were reduced by the fiscal year temporary, general wage rollback of approximately 2.7%, the Participant's Earnings fot the month of June 2002 shall be the Participant's Earnings during months within fiscal yeat for which the Participant's Earnings were so reduced, unless the Participant has attained higher Earnings, in which event, the higher monthly Earnings shall be used. L Legislative Body. The governing body of the City of Tulsa, Tulsa, Oklahoma, a municipal corporation; as established by the currently existing or any subsequently amended Charter of the City of Tulsa, Oklahoma. M. Long-Term Disability. Disability of a Participant which results in such Participant's becorn.ing qualified for and receiving Long-Term Disability Benefits under the terms of an insurance program, then available through the Employer to its Employees, or which disability results in such Participant's receiving disability benefits under the provisions of the Social Security Act. N. Normal Retirement Date. The first day of the month after a person reaches sixty-five (65) years of age or on the sixty-fifth birthday, if that is the first day of the month. O. Optional Employee Contributions. Contributions which a Participant may make, but is not.required to make, to the Plan as described in Subsection 301.Bhereof.

5 Ch. 1, Pg. 5 Title 28 - Municipal Employees' Retirement Plan Bupp. 18 (7/1/08) P. Participant. An Employee who has met all the requirements for eligibility to participate in the Plan, has become included in the Plan, as provided in Chapter 2 herein, and who continues to have rights or contingent rights to benefits payable under the Plan. Q. Plan. The Municipal Employees' Retirement Plan as established by the provisions of this title. R. Plan Year. The calendar year. S. Retirement Fund or Fund. The Employee Retirement Fund described in Section 1100 hereof held in trust and established to provide the benefits and administrative costs required by the Plan. T. Staff Member. The City personnel who assist the Board of Trustees in carrying out the duties. and responsibilities of the Municipal Employees' Retiremen.t Plan.. U. Termination of Employment. The retirement, resignation or other voluntary or involuntary cessation of an Employee's employment with the Employer. Ord. Nos. 1719~, 17389, 17981, 18364, 18513, 19320, 19899, 19988, 20420, 20497, 20812, 21204, SECTION 102. CONSTRUCTION Whenever herein used, the masculine gender shall include the feminine gender and, if applicable, the singular shall include the plural. The words "hereof," "herein," "hereunder," or any other compounding of the word "here" shall mean and refer to the entire Plan rather than to.any particular provision or section of this title, unless specifically delineated as such.

6 Ch. 2, Pg. 1 Title 28 - Municipal Employees' Retirement Plan CHAPTER 2 PARTICIPATION Section 200. Commencement of Participation. Section 201. Termination of Contributing Participation. Section 202. Reinstatement of Participation. Supp. 11 (7/1/02) SECTION 200. COMMENCEMENT OF PARTICIPATION Any Employee as defined by Subsection 101.J (except Excluded Employees as defined hereinafter) shall become a Participant according to the following provisions. A. Service Requirement. Each Employee shall become a Participant in the Plan on the first day of the month coinciding with or next following such Employee's satisfaction of the following eligibility requirements. 1. General Rule. a. Employees initially employed by the Employer on or after September I, 1990, shall have satisfied eligibility requirements upon the completion of twelve (12) consecutive months of employment with the Employer, regardless of the age of the Employee. b. Employees initially employed by the Employer on or after January I, 1997, shall have satisfied eligibility requirements on the first day of the month coinciding with or next following their first day of employment by the Employer, regardless of the age of the Employee. c. Employees initially employed by the Employer on or after January I, 1996, shall have satisfied eligibility requirements effective January I, 1997, regardless of the age of the Employee. 2. Retroactive Application of the General Rule. a. Employees employed by the Employer prior to September I, 1999, who were still actively employed by the Employer or who were on an authorized Leave of Absence under the provisions of Section 504 hereof on September I, 1999, and who entered the Plan on the first date they became eligible to enter the Plan under then existing Participation requirements, shall be deemed to have satisfied eligibility requirements the first day of the month coinciding with or next following their first day of employment with the Employer. Such Employees shall receive Credited Service and/or Continuous Employment for periods of Employment as an Employee

7 Ch. 2, Pg. 2 Title 28 - Municipal Employees' Retirement Plan Supp. 11 (7/1/02) (other than as an Excluded Employee as defined hereinafter) before September 1, 1999, as if Basic Employee Contributions had begun upon the first day of the month coinciding with or next following the first day of Employee's employment. b. Employees employed by the Employer prior to January 1,2002, who were still actively employed by the Employer or who were on an authorized Leave of Absence under the provisions of Section 504 hereof on January 1, 2002, and who entered the Plan on a date other than the first date they became eligible to do so shall receive Credited Service and/or Continuous Employment for periods of Employment as an Employee (other than as an Excluded Employee as defined hereinafter) before January 1, 2002, as if Basic Employee Contributions had begun one year prior to the date that such employees actually entered the Plan; provided, however, that such Credited Service and/or Continuous Employment shall begin no earlier than the first day of the month coinciding with or next following the employee's first day of employment by the Employer. c. No retroactive Basic Employee Contribution shall be required of Employees who gain additional Continuous Employment and/or Credited Service for Past Service or Future Service as the result of this retroactive application of the General Rule. 3. Rules for Participants No Longer Employed on September 1, Participants who were employed by the Employer prior to September 1, 1990, but who were neither employed by the Employer nor on an authorized Leave of Absence under Section 504 hereofon September 1, 1990, shall be subject to the Participation, Continuous Employment and Credited Service requirements which were in effect at the time such Participants originally became eligible to participate in the Plan as follows: a. Past Service. Employees who were hired prior to May 1, 1960 (the original Effective Date of the Plan) and who entered the Plan on May 1, 1960, received Credited Service for those full years and/or calendar months employed prior to May 1, 1960, only after such Employees attained thirty (30) years of age and completed three (3) years of Employment. b. Future Service. (1) Between May 1, 1960, and July 1, 1967, an Employee employed by the Employer (regardless of when such Employee was hired) became eligible for Participation in the Plan after attainment of twenty-five (25) years of age and completion of three (3) years of Continuous Employment with the Employer.

8 Ch. 2, Pg. 3 Title 28 - Municipal Employees' Retirement Plan supp. 11 (7/1/02) (2) Between July I, 1967, and September I, 1990, an Employee employed by the Employer (regardless of when such Employee was hired) became eligible for Participation in the Plan after attainment of twenty-five (25) years of age and completion of twelve (12) consecutive months of employment with the Employer. B. Excluded Employees. The following Employees are excluded from becoming Participants in the Plan: 1. Employees of the Police and Fire Departments of the City of Tulsa, Oklahoma, who are eligible to participate in the "Oklahoma Police Pension and Retirement System" or the "Oklahoma Firefighter's Pension and Retirement System" established by the state of Oklahoma; 2. Employees of the Metropolitan Tulsa Transit Authority who are eligible to participate in the retirement program negotiated by the bargaining unit which represents all employees of such authority other than administrative and clerical employees; and 3. Elected officials of the City of Tulsa, Oklahoma. Ord. /Vas ,18782,19633,20273 SECTION 201. TERMINATION OF CONTRIBUTING PARTICIPATION A Participant shall cease to be a contributing Participant hereunder on the day of the Participant's Termination of Employment as an Employee, or the Participant's commencement of employment as an Employee excluded from Participation under Subsection 200.B hereof, or the Participant's cessation of qualification as an Employee as defined in Subsection 101.J hereof. SECTION 202. REINSTATEMENT OF PARTICIPATION An Employee who ceases to be a contributing Participant according to Section 201 hereof and who subsequently returns to employment as an Employee not excluded from participation under Subsection 200.B hereof shall resume Basic Employee Contributions as of the first day of the month following such return as an Employee.

9 Ch. 3, Pg. 1 Title 28 - Municipal Employees' Retirement Plan CHAPTER 3 CONTRIBUTIONS Section 300. Contributions by the Employer. Section 301. Contributions by Participants. Section 302. Return of Contributions. Supp. 15 (7/1/04) SECTION 300. CONTRIBUTIONS BY THE EMPLOYER The Employer shall make contributions to the Fund in such amounts and at such times as shall be necessary to provide the benefits set forth herein and in accordance with the provisions of any law applicable to the Plan. Subject to the provisions of Section 302 hereof, all contributions made by the Employer to the Fund shall be irrevocable and shall be used solely for the exclusive benefit of Participants and their beneficiaries and to defray reasonable expenses of the Plan or Fund. Forfeitures arising because of death or Termination of Employment before a Participant becomes eligible for a benefit from the Plan or arising for any other reason shall be applied to reduce the cost of the Plan, not to increase the benefits otherwise payable to Participants. Employer contributions shall be deposited in the Fund semimonthly, no later than five (5) calendar days following each payday, and in such amounts as the Board of Trustees in conjunction with the annual actuarial examination shall determine necessary to keep the Fund actuarially sound, subject to the appropriation of funds by the Employer. Ord. Nos ,20812 SECTION 301. CONTRIBUTIONS BY PARTICIPANTS A. Basic Employee Contributions. Each Participant shall be required to contribute toward the cost of the Plan an amount equal to two percent (2%) of Earnings. This contribution rate shall increase to the percentages as follows: Effective Date 8/1/89 7/1/90 Amount of Contribution 3% of Earnings 4% of Earnings The contributions shall be made by each Participant on each payroll date to the Retirement Fund and shall be designated as Employer contributions pursuant to Section 414(h)(2) of the Internal Revenue Code of Such designation is contingent upon the contributions being excluded from the Participant's gross income for federal income tax purposes. For all other purposes of the Plan, such contributions shall be considered to be Employee contributions. Credited Interest shall be earned on Basic Employee Contributions. B. Optional Employee Contributions.

10 Ch. 3, Pg. 2 Title 28 - Municipal Employees' Retirement Plan Supp. 15 (7/1/04) 1. A Participant shall be eligible to make Optional Employee Contributions to the Plan on a monthly basis if the Participant was making Optional Employee Contributions to the Plan before January 1, Optional Employee Contributions shall not be less than two percent (2%) nor more than ten percent (10%) of Earnings. Credited Interest shall be earned on Optional Employee Contributions. 2. The Optional Employee Contributions provided for in this section may be changed, discontinued or withdrawn or any combination of such acts may be performed at the election of the Participant; provided, however, that: a. A Participant may make any such change or combination of changes only once within any twelve (12) month period; b. A Participant who withdraws must also discontinue and may not resume contributions; and c. A Participant who withdraws his Optional Employee Contributions for any reason other than Termination of Employment shall receive Credited Interest earned thereon, subject to a forfeiture of six percent (6%) of the total amount of such Credited Interest earned on such Optional Employee Contributions. C. General Provisions. 1. Authorization to change, discontinue or withdraw Optional Employee Contributions shall be made in writing on such form or forms as may be prescribed for that purpose by the Board of Trustees. 2. The contributions of each Participant shall be deducted from the Participant's pay. The contributions shall be paid to the Treasurer of the City of Tulsa, Oklahoma, for se~imonthly deposit in the Retirement Fund. 3. On and after January 1, 1989, any amounts deducted from Earnings of a Participant as Basic Employee Contributions must be accounted for separately from amounts deducted prior to such date. Ord. No SECTION 302. RETURN OF CONTRIBUTIONS The Board of Trustees shall return to the contributing Employer a contribution made by the Employer due to mistake of fact if the Board of Trustees determines that such mistake existed at the time of the contribution and the contribution is returned within twelve (12) months of the date it was made. Ord. No

11 Ch. 4, Pg. 1 Title 28 - Municipal Employees' Retirement Plan CHAPTER 4 ELIGIBILITY FOR VESTING (1/1/1997) Section 400. Attainment of Sixty-Five (65) Years of Age while a Participant. Section 401. Termination of Employment Prior to Sixty-Five (65) Years of Age. Section 402. Non-Vested Termination. SECTION 400. ATTAINMENT OF SIXTY-FIVE (65) YEARS OF AGE WHILE A PARTICIPANT A Participant who attains sixty-five (65) years of age while making contributions to the Plan shall be one hundred percent (100%) vested in a retirement income regardless of the number of years of Continuous Employment and shall be eligible to receive a retirement income calculated according to Chapter 6 hereof, unless payment of the benefit is suspended during employment according to Section 706 hereof. SECTION 401. TERMINATION OF EMPLOYMENT PRIOR TO SIXTY FIVE (65) YEARS OF AGE A. A Participant whose Termination of Employment occurs prior to sixty-five (65) years of age and before January 1, 1995, shall be eligible to receive a vested retirement income equal in value to the following percent ofthe Participant's retirement income as determined in Section 600 hereof. Years of Continuous Employment Less than Percent Vested 0% 50% 60% 70% 80% 90% 100% For each completed month in excess of completed Years of Continuous Employment, an additional.833 shall be added to the above Percent Vested, provided no Participant shall be vested in excess of one hundred percent (100%). B. A Participant whose Termination of Employment occurs prior to sixty-five (65) years of age and after December 31, 1994, shall be eligible to receive a vested

12 Ch.4, Pg. 2 Title 28 - Municipal Employees' Retirement Plan (1/1/1997) retirement income equal in value to the following percent of the Participant's retirement income as determined in Section 600 hereof. -Years of Continuous Employment Less than 5 5 or more Percent Vested 0% 100% C. A Participant who shall have attained fifty-five (55) years of age on or before July 15, 1983, and who was a Participant as of July 15, 1983, shall be one hundred percent (100%) vested in the Participant's Early Retirement Income, including an Early Retirement Income, as calculated in Subsection 601.B hereof and a Normal Retirement Income as calculated in Section 600 hereof. Ord. Nos , SECTION 402. NON-VESTED TERMINATION A Participant whose Continuous Employment terminates before the Participant shall have acquired a vested interest, as provided in Sections 400 or 401 hereof, shall receive a return of his Basic and Optional Employee contributions with Credited Interest thereon. Upon receipt of such payment, the Participant's Continuous Employment shall be canceled for all periods before the payment. The Continuous Employment may be reactivated only pursuant to Section 504.E hereof. Ord. No

13 Ch. 5, Pg. 1 Title 28 - Municipal Employees' Retirement Plan CHAPTER 5 MEASUREMENT OF YEARS OF CREDITED SERVICE Section 500. General Rule. Section 501. Past Servke. Section 502. Future Service. Section 503. Excluded Periods. Section 504. Temporary Breaks in Credited Service. Supp. 8 (1/1/01) SECTION 500. GENERAL RULE Years of Credited Service, for purposes of calculating a Participant's retirement income according to Chapter 6 hereof, shall equal the sum of the Participant's Past Service and Future Service as defined in Sections 501 and 502 hereof, except for periods excluded according to Section 503 hereof. Credited Service shall be measured in years and completed calendar months, disregarding fractions of calendar months and counting each completed calendar month as eight hundred thirty-three ten thousandths (.0833) of a year. SECTION 501. PAST SERVICE Past Service shall be the number of full years and/or calendar months of employment prior to May I, 1960, following the completion of twelve (12) months of employment, applicable only to a Participant who entered the Plan on May I, 1960, or on the date the Participant first became eligible thereafter, provided that the Participant was a Contributing Participant on September I, For Participants employed prior to May I, 1960, who experienced a Termination of Employment prior to September I, 1990, Past Service shall be limited to full years and completed months of employment prior to May I, 1960, following the completion of the age and service requirements described in paragraph 200.A.3. Ord. No SECTION 502. FUTURE SERVICE Future Service shall be the number of full years and/or calendar months of Continuous Employment on and after May I, 1960, during which time an Employee was a contributing Participant in the Plan, or otherwise received Credited Service under Subsection 200.A, or during periods of absence for which Credited Service is granted according to Section 504 hereof. Ord. No

14 Ch. 5, Pg. 2 Title 28 - Municipal Employees' Retirement Plan Supp. 8 (1/1/01) SECTION 503. EXCLUDED PERIODS Years of Credited Service shall exclude the following periods: A. Any period credited for a similar purpose under any other retirement system of the Employer shall not be included in years of Credited Service, except that this exclusion shall not apply if the other retirement system is a Plan maintained under Sections 403 or 457 of the Internal Revenue Code; B. If a Parti,cipant withdraws his Basic Employee Contributions as described in Section 705 hereof, the Participant's Credited Service for all periods before the withdrawal shall be canceled; and C. If a Participant has no vested interest at a time of Termination of EmploYment and receives payment in accordance with Section 402 hereof, the Participant's Credited Service for all periods before the payment shall be canceled. SECTION 504. TEMPORARY BREAKS IN CREDITED SERVICE A. Leave of Absence Generally. A Participant's absences from work other than as set forth in Subsections B, C or D of this Section 504 shall be Leaves of Absence if authorized by the Employer. During such Leaves of Absence, a Participant shall continue to accrue Credited Service and Continuous EmploYment through the end of the month in which the Participant's Earnings cease and for a period of thirty (30) days immediately following cessation of payment of Earnings.,_ B. Layoffs. Credited Service shall be preserved during layoffs authorized by the Employer, unless the Participant elects to withdraw contributions as described in Sections 402 or 705 hereof. Time while on such leave or while so laid off shall not be deemed to be Credited Service for the purposes of the Plan if thirty (30) days or more in duration, but temporary absence for which pay is received during a Leave of Absence or Layoff of less than thirty (30) days shall be counted as Credited Service. C. Military Service. Effective on and after December 12, 1994, notwithstanding any provision of this Plan to the contrary, contributions, benefits and service credit with respect to qualified military service will be provided in accordance with section 414(u) of the Internal Revenue Code of 1986, as amended. D. Long-Term Disability. 1. A Participant who has five (5) or more years of Continuous Employment at the time of a Leave of Absence or Termination of Employment due to a disability that

15 Ch. 5, Pg. 3 Title 28 - Municipal Employees' Retirement Plan Supp. 16 (1/1/05) is subsequently determined to be a Long-Term Disability shall continue to accrue Credited Service during such disability retroactively to the last day the Participant received Earnings. 2. A Participant with five (5) or more years of Continuous Employment at the time of a Leave of Absence or Termination of Employment due to disability that is subsequently determined to be a Long-Term Disability, who later becomes fifty-five (55) years of age while still receiving benefits for Long-Term Disability or during the period pending approval of benefits for Long-Term Disability after proper application therefor, may become eligible for the special joint and survivor's income option as defined in paragraph 701.A.3 hereof upon proper application. 3. If a Participant with five (5) or more years of Continuous Employment with the Employer at the time of a Leave of Absence or Termination of Employment due to disability that is subsequently determined to be a Long-Term Disability dies during a period of Long-Term Disability or, if fifty-five (55) years of age or older, dies after having made proper application for Long-Term Disability benefits but prior to approval of such benefits, such Participant shall, for the purposes of computing any survivor's benefits in this title (including the Automatic Spouse's Death Benefit in Section 801 hereof), receive Credited Service for all time spent on such Long-Term Disability up to the first day of the month which coincides with or immediately precedes such Participant's death, if the Board of Trustees determines the applicant would have been determined eligible for Long-Term Disability. 4. A Participant who has five (5) or more years of Continuous Employment at the time of a Leave of Absence or Termination of Employment due to a disability that is subsequently determined to be a Long-Term Disability and who: a. Subsequently recovers from a Long-Term Disability or who ceases to be eligible for benefits for Long-Term Disability and who does not return to active employment for the Employer within thirty (30) days immediately following such cessation of benefits, or b. Attains fifty-five (55) years of age while on Long-Term Disability and elects to take early retirement while still on Long-Term Disability or within the thirty (30) days immediately following a cessation of benefits for Long-Term Disability, shall receive Credited Service toward calculation of benefits for all time spent on such Long-Term Disability.

16 Ch. 5,Pg. 4 Title 28 - Municipal Employees' Retirement Plan Supp. 16 (1/1/05) E. Reemployment after Termination 1. A Participant who terminated employment prior to becoming vested in the Plan as described in Section 401 hereof and who subsequently returns to employment shall be eligible to repurchase the Credited Service and Continuous Employment from his initial term of employment. If an Employee is a Participant on July I, 1995, he must make the repurchase prior to July I, Otherwise, such a purchase must be made within twelve months of the Employee's resumption of contributions to the Plan. The Employee may not repurchase portions of the Credited Service and Continuous Employment; it must be repurchased in its entirety. The repurchase is made pursuant to actuarial determinations based on the age of the Employee and the period of Credited Service subject to repurchase. 2. A Participant who has terminated employment after becoming vested as described in Section 401 hereof and who has not withdrawn his Employee Contributions and who subsequently returns to employment will resume accrual of Credited Service upon his resumption of contributions to the Plan. Ord. Nos , 18364, 18513, 19988, 20908

17 Ch.6, Pg.l Title 28 - Municipal Employees' Retirement Plan CHAPTER 6 ELIGIBILITY FOR AND CALCULATION OF VARIOUS TYPES OF RETIREMENT INCOME Supp. 18 (7/1/08) Section 600. Normal Retirement Income. Section 601. Early Retirement Income. Section 602. Supplemental Retirement Income from Optional Employee Contributions. Section 603. Vested Deferred Retirement Income. Section 604. Vested Deferred Supplemental Retirement Income. Section 605. Cost-of-Living Increases. SECTION 600. NORMAL RETIREMENT INCOME A. Eligibility. Each Participant whose Continuous Employment terminates at sixty-five (65) years of age or later, shall thereupon become entitled to receive a Normal Retirement Income payable monthly for life. B. Benefit Formula. The amount of Normal Retirement Income payable monthly as a life annuity shall equal two and thirty-five one hundredths percent (2.35%) times Final Average Earnings times years and monthly fractions thereof of Credited Service. C. Pre-1974 Minimum Benefit. Nothing in Subsection B of this section shall cause a Participant in the Plan prior to January I, 1974, to receive a lesser amount of retirement income for service on or after May 1, 1960, than such Participant would have receiveciunder the formula used to calculate such retirement income prior to January I, 1974,.such. guaranfee utilizing the assumption that such Participant's monthly Earnings effective December 31, 1973, will remain constant until retirement and the maximum annual Earnings counted for Social Security purposes in effect December 31, 1973, shall also remain constant until such Participant's retirement. Ord. Nos; 17758, 18782, 19320, 20175, 20404, SECTION 601. EARLY RETIREMENT INCOME A. Eligibility. APartidpant, who attains fifty-five (55) years of age while a contributing Participant or while on Long-Term Disability, shall be entitled to receive the vested portion of that Participant's Early Retirement Income, as calculated in accordance with Subsection 601.B hereof and in accordance with the vesting rules in Section 401 hereof. B. Benefit Formula. The amount of Early Retirement Income shall be calculated by the formula for computing a Normal Retirement Income as described in

18 Ch. 6; Pg.2 Title 28 - Municipal Employees' Retirement Plan Supp. 18 (7/1/08) Section 600 hereof, except the calculations of Normal Retirement Income in accordance with Section 600 hereof shall be reduced by two and one-half percent (2.5%) for each year which the early retirement date precedes the otherwise Normal Retirement Date of the Participant, with a proportionate reduction for each month of early retirement which is less than a full year. C. Rule of Eighty (80). Effective on and after August I, 1996, any Participant who is contributing to the Plan and whose years of Continuous Employment, measured in full years and completed months, when added to the Participant's age, measured in full years and completed months, equals or exceeds eighty (80), shall be entitled to receive an Early Retirement Income without the reduction described in Subsection 601.B hereof. Ord. Nos , SECTION 602. SUPPLEMENTAL RETIREMENT INCOME FROM OPTIONAL EMPLOYEE CONTRIBUTIONS Accumulated Optional Employee Contributions with Credited Interest shall be paid at the same time and in the same manner as Retirement Income described in Chapter 7 hereof, applying the interest and mortality assumptions described in the definition of Actuarial Equivalent. SECTION 603. VESTED DEFERRED RETIREMENT INCOME A. Deferred to Normal Retirement Date. A Participant who incurs a Termination of Employment for any reason other than death.shall be entitled to receive the vested portion of the Normal Retirement Income commencing on the Participant's Normal Retirement Date, if the Participant elects to leave his Basic. Employee Contributions in the Retirement Fund. Such benefit is called a Vested Deferred Retirement Income. Effective with all terminations on or after July 15, 1983, for reasons other than death, the Vested Deferred Retirement Income payable at the Normal Retirement Date shall be determined according to the appropriate benefit formula oil.the basis of the Participant's Credited Service, Final Average Earnings and benefit formula in effect at the time of Termination of Employment and the vested portion determined according to Section 401 hereof. B.. Early Retirement Income. A Participant entitled to a Vested Deferred Normal Retirement Income as provided in Subsection 603.A hereof may elect to receive an Early Retirement Income as provided in Section 601. hereof with the exception that such Vested Deferred Early Retirement Income shall be actuarially reduced according to the interest and mortality assumptions described in the definition of Actuarial Equivalent/instead of the limited maximum of two and one-half percent (2.5%) per annum provided in Section 601 hereof.

19 Ch.6, Pg. 3 Title 28 - Municipal Employees' Retirement Plan Supp. 18.(7/1/08) C. Optional Benefit Forms. A Participant entitled to a Vested Deferred Normal Retirement Income as provided in Section 603 hereof may elect a regular joint and survivor income option as provided in Subsection 701.A hereof, subject to all of the terms and conditions of such optional form of retirement income provided in this title. Such a Participant may not elect a special joint and survivor benefit, as provided in paragraph 701.A.3 hereof, nor shall such Participant's surviving spouse be eligible to receive an Automatic Spouse's Benefit as provided in Section 801 hereof, Ord. No SECTION 604. VESTED DEFERRED SUPPLEMENTAL RETIREMENT INCOME If a Participant incurs a Termination of Employment after the Participant is eligible for a Vested Deferred Normal or Early Retirement Income as provided in Section 603 hereof, the Participant shall have the right to withc.iraw the Participant's Optional Employee Contributions, together with Credited Interest thereon, in a single sum, without prejudice to the Participant's remaining rights under the Plan with respect to Vested Deferred Normal or Early Retirement Income if the Participant has not withdrawn the Participant's Basic Employee Contributions, or if the Participant so desires, the Participant may leave such Optional Employee Contributions in the Fund, in which case the Participant shall be entitled to the full value of the benefits at retirement which can be provided from such Optional Employee Contributions. SECTION 605. COST-OF-LIVING INCREASES The Board of Trustees is authorized to recommend to the Mayor of the City of Tulsa, Oklahoma, the granting of cost-of-living increases to retired Participants in accordance with Section 1001 hereof. A. Amounts. The following are the effective dates and amounts of each increase: Effective Date of Increase (To be paid initially in the check received one month later) January 1, 1975 September 1, 1976 September 1, 1977 August I, 1978 September 1, 1979 September 1, 1980 September 1, 1981 September 1, 1982 Amount of Increase 3.0% 3.0% 6.0% 6.5% 6.5% 2.0% 3.0% 2% or $5.00, if greater

20 Ch.6, Pg.4 Title 28 - Municipal Employees' Retirement Plan Supp. 18 (7/1/08) September 1, 1983 October 1, 1984 September 1, 1985 September 1, 1986 September 1, 1987 July 1, 1989 September 1, 1990 September 1, 1991 April 1, 1994 August 1, 1996 August 1, 1998 September 1, 1999 October 1, 2000 Augustl, 2001 August 1, 2002 September 1, 2004 January 1, 2006 January 1, % 3.0% 3.7% 1.7% or $5.00, if greater 3.7% or $5.00, if greater 3.0% 3.0% 3.0% 4.0% 2.5% 2.5% 2% or $5.00, if greater 2.25% 2.0% 1.5% 1.5% 2.0% 1.8% B. Application. The increases are granted to each retired Participant or beneficiary ofa.participant then receiving an. income from the Food an.d the resulting increased retirement income shall be paid monthly from the Fund. Provided, however: 1. That the increase effective January 1, 2006, is granted only to retired Participants with a retirement date prior to January 1, 2005, or to the beneficiaries of such retired Participants; and 2. That the increase effective January 1, 2007, is granted only to retired Participants with a retirement date prior to Jan.uary 1, 2006, or to the beneficiaries of such refired Participants. Ord. Nos ,17592, 18189,18782, 19320, 19633,19914,20175,20404,20908,21.173,21390

21 Ch. 7, Pg.l Title 28 - Municipal Employees' Retirement Plan CHAPTER 7 FORMS OF PENSION RETIREMENT INCOME Supp. 16 (1/1/05) Section 700. Section 70l. Section 702. Section 703. Section 704. Section 705. Section 706. Section 707. Section 708. Appendix A Normal Forms of Retirement Income. Optional Forms of Retirement Income. Conditions Relative to Optional Benefits. Level Income Option. General Requirements. Withdrawal of Contributions by Vested Participant. Reemployment of a Retired Participant. Small Payment. Direct Rollover Partial Lump Sum Distribution Option Factors Deferred SECTION 700. NORMAL FORMS OF RETIREMENT INCOME A. Joint & Survivor Form for Married Participants. The normal form of retirement income payable under the Plan to a Participant who is married at the time payments commence shall be a joint and survivor income which shall be the Actuarial Equivalent of the Participant's benefit calculated as a life annuity form of payment. The joint and survivor income shall be payable monthly for the Participant's life and shall continue after the Participant's death at one-half (1/2) the Participant's then current monthly rate, payable to the surviving spouse, subject to the death benefits payable according to Chapter 8 hereof. B. Life Annuity Form for Unmarried Participants. The normal form of retirement income payable under the Plan to a Participant who is not married at the time payments commence shall be a life annuity, payable monthly for the Participant's life, subject to the death benefits payable according to Chapter 8 hereof. Ord. No SECTION 701. OPTIONAL FORMS OF RETIREMENT INCOME In lieu of the normal form of retirement income payable to a Participant under the terms of the Plan, such Participant may elect to receive a retirement income of Actuarial Equivalent in anyone of the following forms. A. Joint and Survivor Income Options. 1. Regular Form. The regular form of a joint and survivor income option shall be a regular joint and survivor income to continue during the lifetime of the retired Participant and further to continue after the retired Participant's death at three-fourths

22 Ch. 7,Pg. 2 Title 28 - Municipal Employees' Retirement Plan supp. 16 (1/1/05) (3/4), two-thirds (2/3) or one-half (1/2) rate, according to the election of the Participant, to a surviving spouse or other designated contingent annuitant during the lifetime of such annuitant. The Normal Retirement Income of a Participant who elects the regular joint and survivor income option shall be an Actuarial Equivalent to the life annuity form of payment. 2. Regular Form with Pop-Up. The regular form of a joint and survivor with pop-up income option shall be available only where the contingent annuitant is the spouse of the Participant. The regular form of a joint and survivor with pop-up income option shall be the regular joint and survivor income described in the previous paragraph, provided further that if the spouse dies on or after the date that the joint and survivor income benefit has commenced and before the death of the Participant, the Participant's benefit shall convert to a life annuity benefit following the death of the spouse. The regular form of a joint and survivor with pop-up income shall be available for election by the Participant regardless of whether the Participant elects the three-fourths (3/4), two-thirds (2/3), or one-half (1/2) rate. The Normal Retirement Income of a Participant who elects the regular joint and survivor with pop-up income option shall be an Actuarial Equivalent to the life annuity form of payment. 3. Special Form. A special form of a joint and survivor income option shall be a special joint and survivor income formally elected in writing by a Participant either prior to or upon attainment of fifty-five (55) years of age or anytime thereafter, naming the Participant's spouse as contingent annuitant, to be paid at three-fourths (3/4) or twothirds (2/3) rate, according to the election of the Participant, to the Participant's surviving spouse in the event Participant dies after having attained fifty-five (55) years of age but prior to start of retirement income payments from the Plan. The benefits resulting from this election are in lieu of the automatic spouse benefit described in Section 801 hereof and are as described below. a. The surviving spouse of a Participant who has elected this special option and dies while it is in effect shall receive three-fourths (3/4) or twothirds (2/3) of the monthly benefit that would have been paid to the Participant in the form of a life annuity starting the first of the month in which the Participant died. This amount shall be reduced by seventy-five hundredths of one percent (.75%) for each full year in excess of five (5) years by which the age of the spouse is less than the age of the deceased Participant. b. If the Participant lives to receive retirement income payments from the Plan, the life annuity form of such payments shall be reduced as follows:

23 Ch. 7, Pg. 3 Title 28 - Municipal Employees' Retirement Plan Supp. 16 (1/1/05) Reduced Income to be Paid to Surviving Spouse Under Option Elected 2/3 3/4 Percentage Reduction in Retirement Income for Each Full, Twelve-Month Period the Election was in Effect.32%.48% c. The election of this special joint and survivor income shall also be considered an election of a regular joint and survivor's income in the event the Participant survives until actual retirement, unless specifically revoked by the Participant prior to death or start of retirement income payments, in accordance with the provisions of Section 702 hereof. B. Guaranteed Period Income. A guaranteed period income shall be a monthly retirement income payable during the lifetime of the retired Participant and guaranteed to continue to a designated beneficiary for at least five (5) or ten (10) years after the commencement of payments, if the Participant dies within the five (5) or ten (10) year period, according to the election of the Participant. This benefit shall be calculated as the Actuarial Equivalent of the life annuity form of payment. The Participant may designate a primary beneficiary to receive this retirement income if the Participant dies within the five (5) or ten (10) year period and a secondary beneficiary to receive this retirement income if both the Participant and the primary beneficiary die within the five (5) or ten (10) year period. C. Partial Lump Sum Payment. 1. Eligibility. A Participant whose benefit payments begin on or after March 1, 2000, and who is eligible for a Normal Retirement Income according to Section 600 or an Early Retirement Income according to Section 601 is eligible to elect a partial lump sum payment. Also, the surviving spouse of a Participant who is eligible for a benefit under Section 801 and whose benefit payments begin on or after March 1,2000, is eligible to elect a partial lump sum payment. 2. Amount of Lump Sum Payment. An eligible Participant or surviving spouse may elect a partial lump sum payment equal to one, two or three times the annual benefit the Participant or surviving spouse would otherwise receive from the Plan in the form of a life annuity. The lump sum will be paid at the same time as the first annuity payment. 3. Amount of Annuity Payment. The factors in Appendix A will apply to determine the reduced percentage of the life annuity benefit payable to a Participant or surviving spouse who elects a partial lump sum benefit, based on the age of the

24 Ch. 7, Pg. 4 Title 28 - Municipal Employees' Retirement Plan Supp. 16 (1/1/05) Participant or surviving spouse when benefit payments begin and the number of years of annuity benefits paid as a partial lump sum. Ord. Nos , 19730, SECTION 702. CONDITIONS RELATIVE TO OPTIONAL BENEFITS A. Election Deadline. To become effective, an election of any optional form of retirement income must be made formally and in writing prior to start of payment of such retirement income. A Participant may elect an optional form of retirement income or change the contingent annuitant at any time prior to start of payment. B. Spouse Consent. If a Participant is married at the time benefits commence, the Participant's election of a partial lump sum payment or a form of retirement income other than a joint and survivor income payable to the Participant and spouse shall not be effective unless the spouse consents in writing to the partial lump sum, to the form of retirement income, and to the contingent annuitant or beneficiary the Participant elects for that form of retirement income. The spouse's written consent must acknowledge the effect of the election and must be witnessed by a Plan representative or a notary public. The spouse's written consent shall not be required if it is established to the satisfaction of a Plan representative that there is no spouse or the spouse cannot be located. Any consent by a spouse obtained under this provision shall be effective only with respect to such spouse. C. Contingent Annuitant Designation. To elect a joint and survivor annuity or to change the designation of a contingent annuitant, the Participant shall designate the contingent annuitant on a form provided for that purpose and shall furnish to the Board of Trustees within six (6) months thereafter, but not later than the date of start of payment, proof satisfactory to the Board of Trustees of the age of the contingent annuitant. D. Change in Election. The election of an optional form of retirement income shall become irrevocable upon commencement of payment from the Plan. E. Death. If a Participant shall have elected an optional form of retirement income; and 1. If the contingent annuitant shall die and the Participant shall notify the Plan Administrator of the death before the start of Participant's retirement income payments, the election shall be void; 2. Except as provided in paragraph 701.A.3 hereof, if the Participant shall die before the start of the Participant's retirement income payments, the election shall be void and the contingent annuitant shall not be entitled to an income under such option; or