86.1570. Offset to workers' compensation payments--member's percentage defined.
Offset to workers' compensation payments--member's percentagedefined.
86.1570. 1. Any periodic payment, excluding payments for medicaltreatment, which may be paid or payable by cities under the provisions ofany workers' compensation or similar law to a member or to the dependentsof a member on account of any disability or death shall be offset againstany benefits payable to the recipient of the workers' compensation paymentsfrom funds provided by cities under the provisions of sections 86.1310 to86.1640 on account of the same disability or death. However, in no eventshall the amount paid from funds under the provisions of sections 86.1310to 86.1640 be less than the amount which represents the member'spercentage, as defined in this section, of total benefits payable undersections 86.1310 to 86.1640, before any offset for workers' compensationbenefits.
2. Any lump sum amount, excluding payments for medical treatments,which may be paid or payable by cities under the provisions of any workers'compensation or similar law to a member or to the dependents of a member onaccount of any disability or death shall be offset against any benefitspayable from funds provided by cities under the provisions of sections86.1310 to 86.1640 on account of the same disability or death. The amountsby which each periodic payment made under the provisions of sections86.1310 to 86.1640 is offset or reduced shall be computed as the periodicamount necessary to amortize as an annuity over the period of timerepresented by the respective workers' compensation benefits the totalamount of the lump sum settlement received as a workers' compensationbenefit by a beneficiary of the retirement system. Such computation shallbe based upon the same interest rate and mortality assumptions as used forthe retirement system at the time of such computation. However, in noevent shall the amount paid from funds under the provisions of sections86.1310 to 86.1640 be less than the amount which represents the member'spercentage, as defined in this section, of total benefits payable undersections 86.1310 to 86.1640, before any offset for workers' compensationbenefits.
3. As used in this section, the term "member's percentage" shall bethe fraction of which the numerator is the percentage of compensationcontributed by a working member to the retirement pension system undersection 86.1400 during the pay period immediately preceding such member'sdeath or disability which created entitlement to benefits and thedenominator is the sum of percentages of a member's compensationcontributed by a working member under section 86.1400 and the city undersection 86.1390 to the retirement pension system during such pay period.Such percentage shall identify the portion of any benefits due under theprovisions of sections 86.1310 to 86.1640 which is deemed to have beenprovided by the member's own contributions.
(L. 2005 H.B. 323)