Alabama § 45-37A-51.225 - Ordinary Disability Allowance.

§ 45-37A-51.225. Ordinary Disability Allowance.

(a) In the event a participant, after having accrued five or more years of credited service, shall become totally disabled to perform his or her customary duties as an employee of the city and not be entitled to an extraordinary disability allowance, he or she shall in such event be entitled to a monthly ordinary disability allowance equal to two percent of such participant’s final average salary multiplied by his or her years of credited service at the date of disability.

(b) Notwithstanding anything to the contrary contained in this section, yet subject to subsections (e) and (f), for all participants who first become participants on or after July 1, 2017, in the event a participant, after having accrued 10 or more years of credited service, becomes totally disabled to perform his or her customary duties as an employee of the city and who is not entitled to an extraordinary disability allowance, he or she shall in that event be entitled to a monthly ordinary disability allowance equal to two percent of the participant’s final average salary multiplied by his or her years of credited service at the date of disability.

(c) Benefits payable hereunder shall commence upon the cessation of the disabled participant’s drawing a salary from the city and shall continue until such time as the participant is no longer totally disabled to perform his or her customary duties or substantially comparable duties with an employer.

(d) Except as provided in subsection (g), the maximum ordinary disability allowance payable hereunder shall be two percent of final average salary per credited year of service, not to exceed 60 percent of final average salary.

(e) Anything herein to the contrary notwithstanding, an ordinary disability allowance shall be computed and paid throughout the continuance of such disability as provided and at the rate prescribed by the law in effect at the time of the commencement of such disability. If any disability beneficiary should become separated from the service and withdraw such disability beneficiary’s contributions, his or her right to continuance of disability benefits shall immediately cease.

(f) Notwithstanding anything to the contrary contained in this section, for all participants who incur a disability on or after July 1, 2021, other than fire and police employees, in the event the participant, after having accrued 10 or more years of credited service, becomes totally disabled to perform his or her customary duties as an employee of the city and who is not entitled to an extraordinary disability allowance, he or she shall in that event be entitled to a monthly ordinary disability allowance equal to 1.75 percent of his or her final average salary multiplied by his or her years of credited service at the date of disability.

(g) Notwithstanding anything to the contrary contained in this section, for all participants who incur a disability on or after July 1, 2021, other than fire and police employees, the maximum ordinary disability allowance payable hereunder shall be 1.75 percent of final average salary per year of credited service, not to exceed 52.5 percent of final average salary.