CHAPTER 119

AN ACT TO FURTHER AMEND CHAPTER 208, VOLUME 26, LAWS OF DELAWARE, AS AMENDED, ENTITLED "AN ACT TO ESTABLISH A RETIREMENT FUND FOR PENSIONING TEACHERS OF THE PUBLIC SCHOOLS IN THE CITY OF WILMINGTON, AND TO REGULATE THE COLLECTION, MANAGEMENT AND DISBURSEMENT THEREOF", BY ALLOWING THE RETIREMENT FUND TO BE TURNED OVER TO A PRIVATE INSURANCE COMPANY AND BY ALLOWING THE BOARD OF RETIREMENT TO DISBAND.

Be it enacted by the General Assembly of the State of Delaware (two-thirds of the Members elected to each Branch thereof concurring therein):

Section 1. Section 1, Chapter 208, Volume 26, Laws of Delaware, is amended by Chapter 134, Volume 38, Laws of Delaware, by adding the following subsection:

(f) A group annuity with an insurance company qualified to do business in the State of Delaware and whose assets exceed $200,000,000.00.

Section 2. Section 8, Chapter 208, Volume 26, Laws of Delaware, be and is hereby amended by striking out Section 8 thereof and by inserting in lieu thereof a new section to be known as Section 8, as follows:

Section 8. The Board of Retirement may under power granted in Section 6 hereof liquidate the plan of retirement created under this act or make changes as follows:

(a) The Board of Retirement may make a contract with an insurance company qualified to do business in the State of Delaware and whose assets exceed $200,000,000.00. Under said contract all of the assets of the Board of Retirement may be turned over to said insurance company upon receipt of the said insurance company's guarantee that it will pay benefits at least equal to the benefits available to members of the retirement fund.

(b) If the current assets of the fund should be insufficient to cover the actuarial liabilities, the Board of Education of the City of Wilmington and The Mayor and Council of the City of Wilmington may agree to contribute sufficient funds to the Board of Retirement or to an insurance company which takes over the assets of said Board of Retirement to make the same actuarially sound.

() The Board of Retirement may at its discretion refrain from entering into any new retirement agreements after August 31, 1965.

(a) If the Board of Retirement exercised the powers granted in this subsection it may at its discretion disband and terminate its existence. However, if the Board of Retirement should elect to disband and terminate its existence it shall turn over all of its records, books and minutes to the Board of Education of the City of Wilmington and any duties or powers of the Board of Retirement shall be taken over by the Board of Education of the City of Wilmington.

Section 3. Chapter 208, Volume 26, Laws of Delaware, is amended by adding the following additional section to be known as Section 9.

Section 9. If the Board of Retirement exercises the powers granted under Section 8 any suit at law or in chancery which attempts to challenge the legality of such action must be brought within one year of said action.

Section 4. Chapter 208, Volume 26, Laws of Delaware, is amended by re-enacting section 8 of the original act as Section 10 of the act as amended.

Approved June 10, 1965.