b'Gary Apodaca Photo1993 The Board of Pension Commissioners was given author-ity to increase investments under the prudent person provisions of the Charter from 25% to 50% of the stock portfolio.Retired Tier 2 members may be recalled for up to one year after retirement.1995 The amount of salary to be used to calculate pension benefits was capped at $150,000 (adjusted annually) for members hired on or after July 1, 1996.The City Council was authorized to enact ordinances required to maintain the tax-qualified status of Tier 3 under federal law.1996 In January 1996, a new federal law prohibited states from taxing retirement income of nonresidents.EffectiveDecember5,1996,pensionbenefitstothe qualified surviving spouse of a deceased firefighter or police officer continue even if the spouse remarries.The City implemented an Internal Revenue Code provi-sion that required the System to collect member contri-butions on a pre-tax basis. Previously, member pension contributions were collected after-tax from July 1, 1982 to December 21, 1996; and pre-tax before July 1, 1982.1997 A new Tier 4 pension plan (formerly Article XXXV, Plan 2) was established effective July 1, 1997. All Tier 3 members hiredbetweenDecember8,1980andJune30,1997 were given until June 30, 1998 to make an irrevocable transfer to Tier 4. The Charter was also amended to allow, at the discretion of the City Council, administrative expenses, which shall include investment management expenses, to be paid from fund assets.The City Council approved an ordinance lowering the eligibility age to 55 for the health insurance premium subsidy for members retiring on or after July 1, 1998 with at least 10 years of service.SECTION 9MILESTONES 171'