Section 896.502-1 - Reimbursement by Commonwealth for 2002 special ad hoc adjustment(a)General rule.--(1) Except as provided in subsection (b), beginning in the year following the year in which the amortization contribution requirement attributable to a special ad hoc postretirement adjustment under Chapter 4 is first reflected in the financial requirements of the retirement system determined under Chapter 3 of the act of December 18, 1984 (P.L. 1005, No. 205), known as the Municipal Pension Plan Funding Standard and Recovery Act, the Auditor General shall determine the Commonwealth reimbursement payable to the municipality representing the amortization contribution requirement attributable to the special ad hoc postretirement adjustment under Chapter 4 that was paid with revenues of the municipality other than general municipal pension system State aid provided under the Municipal Pension Plan Funding Standard and Recovery Act.(2) The determination of the reimbursable amount of the amortization contribution requirement attributable to the special ad hoc postretirement adjustment under Chapter 4 in any year shall be calculated as the amortization contribution requirement attributable to the special ad hoc postretirement adjustments under Chapter 4 and reflected in the determination of the financial requirements of the pension plan under Chapter 3 of the Municipal Pension Plan Funding Standard and Recovery Act for the immediate prior year less the product of that amortization contribution requirement multiplied by the ratio of the amount of general municipal pension system State aid allocated to the retirement system in the immediate prior year to the total amount of municipal contributions made to the retirement system from all sources other than employee contributions in the immediate prior year. Where a municipality has issued bonds or notes to fund an unfunded actuarial accrued liability under 53 Pa.C.S. Pt. V Subpt. B (relating to indebtedness and borrowing) or under other laws applicable to the municipality, the general municipal pension system State aid and municipal contributions used by the municipality to make debt service payments on the bonds or notes, or both, issued to fund an unfunded actuarial accrued liability shall be included in the calculation of the ratio applied to the amortization contribution requirement.(3) The Commonwealth shall reimburse a municipality, from the special account established under section 701, for the reimbursable amount determined for each year under this paragraph.(b)Limitation of eligibility.--(1) The Commonwealth shall not reimburse any municipality for a special ad hoc adjustment paid under Chapter 4 if the information required under section 901(a)(2) either was not certified to the Auditor General or was certified after April 1 of the year the certification was due.(2) The Commonwealth shall not reimburse a municipality for the reimbursable amount of the amortization contribution requirement attributable to the special ad hoc postretirement adjustment under Chapter 4 if the municipality fails to submit a complete certification of the reimbursable amount of the amortization contribution requirement determined under subsection (a) to the Auditor General before April 1 of the year in which the reimbursement is payable.(c)Variable definition of amortization contribution requirement.--For purposes of this section, the term "amortization contribution requirement" shall have the meaning specified in this subsection as follows: (1) In a municipal pension plan with defined benefits for which the municipality determines the financial requirements of the pension plan under section 302 of the Municipal Pension Plan Funding Standard and Recovery Act, the term "amortization contribution requirement" shall mean the amortization contribution requirement attributable to the special ad hoc postretirement adjustments under Chapter 4 that was reflected in the financial requirements of the pension plan determined for the immediate prior year.(2) In a municipal pension plan without defined benefits for which the municipality determines the financial requirements of the pension plan under section 303 of the Municipal Pension Plan Funding Standard and Recovery Act, the term "amortization contribution requirement" shall mean the sum of the payments made to the retirement system in the immediate prior year in order to provide the special ad hoc postretirement adjustments under Chapter 4 in that year. 1988, Dec. 14, P.L. 1192, No. 147, § 502.1, added 2002, June 19, P.L. 434, No. 64, § 8, imd. effective.