PB 02/13/2007 Minutes - Laserfiche WebLink

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Police/Fire Pettsrot2 Beard of Trustees' February 13, 2007 Page 3 First Improvement -Reducing the 25 and out Normal Retirement Date. After using the Reserve Account, the annual cost of changing the unreduced Normal Retirement Date to 21 years of Credited Service, regardless of age, is $53,028. The Frozen State Monies could be increased from the current $183,117 to $236,145 and there rvould be no change in the City's bottom line funding requirements. If the 21 and out were implemented and the City made a $428,285 lump sum deposit to the Fund in additio3~ to the current Excess State Monies Reserve, there rvould be no change to the Total Required Contribution to the Plan, if a 20 and out rvere implemented and the City made a $717,160 lump sum deposit to the Fund in addition the current Excess Monies Reserve, there rvould be no change to the Total Required Contribution to the Plan. Second Improvement _ Increasing the 3% benefit accrual rate 3.50%. After using up the Reserve Account, tlae annual cost of increasing the benefit accrue! rate to 3.50% of Average Final Compensation for each year of Credited Service is $76,578. The Frozen State Monies could be increased from the current $183,117 to $259,695 and there rvould be no change in the City's bottom line funding requirements. If the 3.50% annual rate was implemented and the City made a $682,700 lump sum deposit to the fund, in addition to the current Excess State Manias Reserve, there would be no change to the total Required Contribution to the Plan. The Board members present agreed that a "Drop Program" should be included in the benefit package for the Police Officers' and Firefighters' Pension Plan. The Board Attorney also recommended the Board consider the benefits of the new "Partial Lump Sum Drop Program". Mr. Christiansen rvill circulate information to the Board regarding the new program. Tl~e Board requested that Patrick Donlan from Faster & Faster be present at the May 15, 2007 Meeting to answer any further concerns by the Board regarding benefit enhancements. 9. Approval of Expenditure Report In a memorandum dated February 6, 2007 from Mark Glover, City Interim Finance Director, the following expenditures were submitted for approval: a) Bogdahn Consultants - $4,100 b} Christianse~a & Dehner- $1,656.50 c) Manning & Napier -$2,999.50 d) Salem Trust _$750.00 MOTION; Moved by Sgt. Wil[iant Nas to approve the expenditures as presented in the February b, 20071etter fe•om Mark Glover. Motion was seconded by Chief John Pavlis and approved unanimously by voice vale. (3 - 4}