May an Act 600 police pension plan continue to eliminate employee contributions, if all of the state aid is deposited in the non-uniformed pension plan?
Act 600 provides that police pension plans can only eliminate employee contributions if contributions are not required by the municipality. Therefore, if the police pension plan requires contributions and the state aid is not deposited in the police pension plan, then employees of the police pension plan must contribute. This is true even if contributions for previous years were eliminated. Officials should be aware that Act 600 requires that elimination of member contributions can be made only on a year-to-year basis. The act requires the adoption of an annual ordinance or resolution to eliminate member contributions.
