HomeMy WebLinkAboutDocumentation_Pension Public Safety_Tab 7E_6/7/1996 117
Florida League of Cities,Inc. Florida League of Cities, Inc.
201 West Park Avenue Public Risk Services
Post Office Box 1757 135 East Colonial Drive
Tallahassee, FL 32302-1757 Post Office Box 530065
Telephone (904) 222-9684 Orlando, FL 32853-0065
• Suncom 278-5331 E�FLORIDA LEAGUE Of CITIES Telephone (407) 425-9142
FAX (904) 222-3806 Suncom 344-6767
Er Reply to —- _ -— ❑ Reply to
March 6, 1996
Mr. Bill Kascavelis
Finance Director
Village of Tequesta
P.O. Box 3273
Tequesta, FL 33469-0273
RE: Village of Tequesta Municipal Firefighters' Pension Fund
Actuarial Valuation Report - October 1, 1995
For use During Fiscal Year Beginning October 1, 1995
Dear Mr. Kascavelis:
It is our pleasure to forward theVillage of Tequesta Municipal Firefighters' Pension
Fund Actuarial Review for use during Fiscal Year Beginning October 1, 1995 as
prepared by Boggs & Associates for the Florida League of Cities.
The report has been forwarded to the Division of Retirement pursuant to Chapter
187.35, Fl. Stat.
If you should have any questions, please do not hesitate to contact our office.
Sincerely,
Joy e Case
`‘,,P sion Services Manager
enclosure
cc: Mr. Charles Slavin, State of Florida, Division of Retirement
Florida Municipal Self Florida Municipal Health Florida Municipal Pension Florida Municipal Insurance
Insurers Fund (Workers' Trust Fund Trust Fund Trust(Liability and
Compensation) Property)
•
Florida League of Cities,Inc. Florida League of Cities, Inc.
201 West Park Avenue Public Risk Services
Post Office Box 1757 135 East Colonial Drive
Tallahassee, FL 32302-1757 Post Office Box 530065
Telephone (904) 222-9684 Orlando, FL 32853-0065
Suncom 278-5331 R�FIARIU4 LEAGUEOF CITIES
Telephone (407) 425-9142
FAX (904) 222-3806 Suncom 344-6767
Reply to -- _ = _ - Reply to
•
DATE: 04/06/96 INVOICE: 96-031
TO: Mr. Bill Kascavelis
Finance Director
Village of Tequesta
P.O. Box 3273
Tequesta, FL 33469-0273
DESCRIPTION:
Village of Tequesta Municipal Firefighters' Pension Plan
Actuarial Valuation - October 1, 1995 $4.000.00
TOTAL AMOUNT DUE $4,000.00
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•
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Florida Municipal Self Florida Municipal Health Florida Municipal Pension Florida Municipal Insurance
Insurers Fund (Workers' Trust Fund Trust Fund Trust(Liability and
Compensation) • Property)
FLORIDA MUNICIPAL
PENSION TRUST FUND
Village of Tequesta
Municipal Firefighters' Pension
Fund
Actuarial Review - October 1, 1995
For Fiscal year October 1, 1995 -
September 30, 1996
Sponsored and Administered by:
FLORIDA LEAGUE OF CITIES, INC.
201 West Park Avenue, P.O. Box 1757
Tallahassee, FL 32302-1757 * (904) 222-9684
Suncom 289-5331 * Fax (904) 222-3806
•
PENSION CONSULTANTS BOGGS & ASSOCIATES
Murray Cohen, Ph.D., ASA, MSPA, EA 4325 Middle Lake Drive
Tampa, FL 33624
—J (813) 963-5352.
March 29, 1996
Board of Trustees
Village of Tequesta Municipal
Firefighters' Pension Fund
P.O. Box 3273
Tequesta, FL 33469-0273
Gentlemen:
Village of Tequesta, Florida
Tequesta Municipal Firefighters' Pension Fund
Actuarial Review-October 1, 1995
For Use During Fiscal Year Beginning 10/1/95
It is our pleasure to forward our Actuarial Review of the Retirement System for the
Firefighters of the Village of Tequesta, Florida.
Our report is divided into the following six sections:
Review of Costs
Actuarial Concepts
Cost Certification
Funded Status
Analysis of Assets
Plan Outline
This report should be considered as a single document and figures extracted from it
should not be used out of context.
Very truly ours,
u yE. Cn
MEC/cw
Enclosure
IAPR 5 15ii
REVIEW OF COSTS
Summary of Valuation Results 10/1/94 10/1/95
Number Covered
Active 14 17
Retired 0 0
Disabled (Receiving Benefits from System) 0 0
Vested Terminations 0 0
Beneficiaries Receiving Death Benefits 0 0
Covered Annual Payroll
Total 396,888 544,583
Under Assumed Retirement Age 396,888 544,583
Present Value of Retirement Benefits
Total 1,128,492 1,558,396
Accrued to Date and Vested 21,384 44,832
Assets
Market 83,601 222,632
Actuarial 70,543 189,922
Unfunded Accrued (Past Service) Liability 0 0
Total Normal (Current Year's) Cost 86,471 112,732
% of Payroll 21.8% 20.7%
Minimum Funding of the Unfunded
Accrued Liability 0 0
% of Payroll 0.0% 0.0%
Deficit 0 0
% of Payroll 0.0% 0.0%
Total Required Annual Contribution 86,471 112,732
% of Payroll 21.8% 20.7%
Source of Contributions
Members 19,844 27,229
% of Payroll 5.0% 5.0%
Non-Employee Contribution* 66,627 85,503
% of Payroll 16.8% 15.7%
*See page 8 for details.
ACTUARIAL BASIS
What is an Actuarial Valuation?
An Actuarial Valuation is a mathematical device for measuring the
liabilities under a pension plan and to determine a schedule of contributions to
finance the plan. The actual cost of a pension plan cannot be determined until
its entire experience is complete; however, actuarial techniques determine a
pattern of contributions which will finance the liabilities in an orderly
fashion. Assumptions are made regarding future experience in regard to the rate
of investment return on invested funds, the probability of death, disability and
other terminations from employment, the rate of future salary increases, etc.
The set of actuarial assumptions and the valuation method selected by the actuary
become the basis for making a valuation of the pension plan. The degree of
conservatism to be reflected in the actuarial assumptions is a matter of judgment
of the actuary, who is charged by the Employee Retirement Income Security Act
with the responsibility of selecting assumptions which, in the aggregate, offer
his best estimate of anticipated experience under the plan.
An actuarial valuation does not determine ultimate pension plan costs; only
the actual experience in regard to the many variables involved will establish the
true cost of the plan. An Actuarial Valuation, however, reveals the year to year
incidence of contributions necessary to soundly fund pension benefits. The
incidence of contributions, or "funding schedule," may be increasing, level or
decrease from year to year as a percent payroll, depending on the actuarial
funding method utilized. Annual actuarial valuations are made to adjust
contributions gradually as actual experience emerges. Changes in the assumptions
may be required if the experience consistently departs from the valuation
assumptions.
Description of Aggregate Actuarial Cost Method
The valuation method used in this report is the "Aggregate Actuarial Cost"
funding method. Under this method of actuarial valuation, the present value of
benefits, less all assets, are equarted to the present value of future employer
contributions, and of future employee contributions, if any. The required
contribution is then expressed as a percentage of current payroll.
Because actuarial assumptions will not prove to be exactly correct in the
future, the actual contribution rate will vary from year to year either up or
down as actual experience departs from that assumed.
In other words, there will be actuarial gains or losses each year arising
from mortality, turnover rates, salary increases, new entrants and investment
gains or losses, as experience differs from the actuarial assumptions made in the
valuation. Under the aggregated actuarial cost method, the funfunded value of
future benefits, adjusted for these gains and losses is, in effect, amortized
over the future active working years of the employees. The effect of this
procedure is to spread the gains and losses over future years, thus avoiding
sharp fluctuations in the rate of employer contributions.
2
I ,
COST CERTIFICATION
As requested, I have determined the costs arising under the Village of
Tequesta, Florida -- Municipal Firefighters' Pension Fund for the year beginning
October 1, 1995.
Calculations have been based on the employees' data and other information
furnished by the Florida League of Cities and asset information furnished by the
City and the Florida League of Cities and NationsBank.
A copy of the costs determined, together with the calculation method and
assumptions used, is attached.
This actuarial calculations were prepared by me and I acknowledge
responsibility for the results. To the best of my knowledge, the results are
complete and accurate, and in my opinion, the techniques and assumptions used are
reasonable and meet the requirements and intent of Part VII, Chapter 112, Florida
Statutes. There is no benefits or expense to be provided by the plan and/or paid
from the plan's assets for which liabilities or current costs have not been
established or otherwise taken into account in the valuation. All known events
or trends which may require a material increase in plan costs or required
contribution rates have been taken into account in the valuation.
Enrollment I.D. Number 2423-94
76.
Mur ay ./Cohen Date
--I
1 I
1
I, E 3
ACTUARIAL ASSUMPTIONS FOR VALUATION OF LIABILITIES
1. Assumptions Concerning Future Events
Sample Values
(Rates are per 1,000 lives)
Age: 20 30 40. 50 60
Mortality Rate
Before and After Retirement: The 1983 Group Annuity Mortality Table(GAM-83)
(Set back 5 years for females)
Disability Rate
Male: 0.30 0.40 0.70 4.80 0.00
Female: 0.30 0.40 0.70 4.80 0.00
Withdrawal Rate
Male: 80.0 64.0 20.0 00.0 0.00
Female: 80.0 64.0 20.0 00.0 0.00
Salary Scale
6.0 Per Annum
Rate of Death and Recovery
Among Disabled Lives 1983 Group Annuity Mortality Table
(Set forward 5 years)
Rate of Retirement
Assume retirement occurs at the later of normal retirement date or the valuation date.
Rate of Early Retirement
Age: 52 51 52 12 54 55
.10 .15 .20 .20 .20 1.00
Interest Rate
8% Per Annum
Disability Benefit Assumptions 75% Service, 25% Non-Service
Death Benefit Assumptions 20% Service, 80% Non-Service
Termination Benefit Assumptions Vested Participants are assumed to elect a
deferred benefit.
Normal Form of Payment 10 year certain and life.
4
Expenses $7,000
Valuation of Assets Market value for equities.
Market value for bonds, cash and cash
equivalents.
The valuation of assets is in conformity
with Florida Statute 112.
Funding Method
Normal Retirement Benefits Aggregate Actuarial Cost Method.
Ancillary Benefits Aggregate Actuarial Cost Method. •
•
5
VILLAGE OF TEQUESTA, FLORIDA
MUNICIPAL FIREFIGHTERS' PENSION FUND
PRESENT VALUE OF EXPECTED BENEFITS
AS OF OCTOBER 1, 1995
•
Active ive Participants 10/1/94 10/1/95 10/1/95*
- Retirement 928,162 1,283,963 1,359,360
Vesting & Refunds 60,347 62,035 64243
Disability 78,325 83,433 86,486
Death 61,658 59,218 48,307
Total 1,128,492 1,488,649 1,558,396
Retired and Separated
•
Longevity 0 0 0
Disability 0 0 0
Beneficiaries 0 0 0
Vested Terminated 0 0 0
Total 0 0 0
Present Value of Expected Benefits 1,128,492
1,488,649 1,558,396
Present Value of Future Salaries 4,970,779 6,997,306 7,048,436
'*Revised mortality assumption (from the UP 84 to GAM 83)
•
II
6
NORMAL COST DEVELOPMENT FOR PLAN YEAR
BEGINNING OCTOBER 1, 1995
10 1 95 10/1/94
1. Present Value of Expected Benefits 1,558,396 1,128,492
2. Actuarial Value of Assets 189,922 70,543
3. Present Value of Future Contributions (1) - (2) 1,368,474 1,057,949
4. Present Value of Future Employee Contributions 352,422 248,539
5. Present Value of Future Non-employee Contributions
(3) - (4) 1,016,052 809,410
6. Present Value of Future Payroll 7,048,436 4,970,779
7. City Normal Cost Rate (5) - (6) 14.4152% 16.2834%
8. Expenses 7,000 2,000
9. Normal Cost Payroll 544,583 396,888
10. Non-Employee Benefit Normal Cost 78,503 64,627
11. Non-Employee Normal Cost (7) x (9) + (8)
Beginning of Fiscal Year - 10/01/95 85,503 66,627
End of Fiscal Year - 09/30/96 92,343 71,957
7
DEVELOPMENT OF NON-EMPLOYEE COSTS
FOR PLAN YEAR BEGINNING
OCTOBER 1, 1995
I
Cost % of Pact
Non-Employee Normal Cost (10/01/95) 85,503 15.7%
Amortization of Unfunded Liability 0 0.0%
Total Non-Employee Benefit Cost (10/1/95) 85,503 15.7%
Deficit as of 10/1/95 0 0.0%
Total Non-Employee Contribution for Plan Year
(1) Beginning of Fiscal Year (10/1/95) 85,503 15.7%
(2) End of Fiscal Year (9/30/96) 92,343 17.0%
Estimated State Contributions
(1) Beginning of Fiscal Year (10/1/95) 16,500 3.0%
(2) End of Fiscal Year (9/30/96) 17,820 3.3%
Estimated City Contributions
(1) Beginning of Fiscal Year (10/1/95) 69,003 12.7%
(2) End of Fiscal Year (9/30/96) 74,523 13.7%
Surplus Non-Employee Contribution
(1) Beginning of Fiscal Year (10/1/95) 32,710 6.0%
(2) End of Fiscal Year (9/30/96) 35,327 6.5%
Estimated Minimum City Contribution*
(1) Beginning of Fiscal Year (10/1/95) 36,293 6.7%
(2) End of Fiscal Year (9/30/96) 39,196 7.2%
*This is the minimum amount which must be contributed to the trust excluding employee
contributions. It includes payments from the State.
III
8
PAST CONTRIBUTIONS
FOR YEAR ENDING 9/30/95
Required Payments - Non-Employee
9/30/95
Normal Cost for Benefits 64,627 69,797
Pension Board Expenses 5,347 5,561
Total Normal Cost 69,974 75,358
Amortization'Cost 0 0
Total Required Contribution - Non-Employee 69,974 75,358
Contributions - Non-Employee
City 76,161 78,956
State of Florida 14,959 15,009
Total Contributions - Non-Employee 91,120 93,965
Non-Employee Contribution Surplus (10/1/94) 13,058 14,103
Non-Employee Contribution Surplus (10/1/95) 32,710
Estimated Contributions - Employee 19,844 21,432
Actual Contributions - Employee 26,445 27,503
9
COMPARATIVE SUMMARY OF PRINCIPAL VALUATION RESULTS
Valuation Valuation
A. participant Date 10/1/9i 10/1/95
Number Included
Active 14 17
Retirees 0 0
Beneficiaries 0 0
Disabilities 0 0
Vested Terminated 0 0
Total Annual Payroll
All Actives Included 396,888 544,583
Below Retirement Age 396,880 544,583
Total Annual Payment of Benefits to
Retirees and Beneficiaries 0 0
B. Assets
Actuarial Value 70,543 189,922
Statement Value (using MV of Stocks,
Market Value of Bonds) 83,601 222,632
C. Liabilities
Present Value of Benefits Total (Future) 1,128,492 1,558,396
Accrued to Date and Vested 21,864 44,832
Unfunded Actuarial Accrued Liability 0 0
Employee Contributions 21,384 44,832
D. pension Cost
Normal Cost (Total) 86,471 112,732
21.8% 20.7%
Payment Required to Amortize
Unfunded Liability 0 0
0.0% 0.0%
Total Required Contributions 86,471 112,732
21.8% 20.7%
i
Deficit 0 0
0.0% 0.0%
1 Total Required Contributions (including normal
costs, amortization payment(s) , and interest,
if any 86,471 112,732
As a % of Payroll 21.8% 20.7%
10
i 1
1
1I
Estimated Member Contributions 19,844 27,229
5.0% 5.0%
Non-Member Contributions 66,627 85,503
16.8% 15.7%
Estimated Premium Tax Refund 12,000 16,500
3.0% 3.0%
Remaining Amount to be Contributed by City 54,627 69,003
As a % of Payroll (Beginning of Year) 13.8% 12.7%
Surplus Non-Employee Contribution 13,058 36,293
3.3% 6.7%
• E. Schedule Illustrating the Amortization of Unfunded Liabilities •
Projected Unfunded
Year Accrued Liability % of Payroll
10/1/95 0 0.0%
10/1/96 0 0.0%
10/1/97 0 0.0%
10/1/98 0 0.0%
•
F. Comparison of Actual and Assumed Annual Salary Increases*
Year Ended Actual Assumed
9/30/95 14.1% 6.0% •
9/30/94 • 13.3% 6.0%
3. Comparison of Actual and Assumed Annual Investment Return
Year Ended Actual Assumed
•
9/30/95 21.6% 8.0%
9/30/94 (0.1%) 8.0%
•
_ H. Entry Age Present Values
10/1/95
Benefits 1,065,453
Salaries 6,539,863
Employee Contributions 326,993
Li
11 •
VILLAGE OF TEQUESTA, FLORIDA
MUNICIPAL FIREFIGHTERS' PENSION PLAN
PENSION BENEFIT OBLIGATION
AS OF OCTOBER 1, 1995
GASB NO. 5 INFORMATION
A. Valuation Date 10/1/95 10/1/94
B. Actuarial Assumptions - The discount rate and
projected salary increases used in the calculation
of the Pension Benefit Obligation are the same as
those used for funding purposes. The annual rate
of return used for discounting is 8.0% and the
annual rate of salary increases is 6.0% •
C. Number of Members Included in the Calculations:
1. Retirees & Beneficiaries currently receiving
benefits and terminated employees entitled
to benefits but not yet receiving them. 0 0
2. Current Employees
a. Vested 0 0
b. Non-Vested 17 14
c. Total 17 14
D. Projected Benefit Obligation
Inactive 10/1/95 10/1/94
Retirees and beneficiaries currently receiving benefits 0 0
Terminated employees not yet receiving benefits 0 0
Current Employees
Employee Contributions 44,832 21,384
Vested Benefits - Employer Financed 0 0
Non-Vested Benefits - Employer Financed 105,959 45,407
Total Pension Benefit Obligation 150,791 66,791
Net Assets Available for Benefits at Market* 222,632 83,601
Unfunded Pension Benefit Obligation 0 0
E. Effect on. the Pension Benefit Obligation
of any Current Year Changes
1. Actuarial Assumptions 5,271 (556)
( 2. Benefit Provisions 0 1,074
*Market value of assets is listed here. However, the plan or the employer may choose to use
a value of assets other than market value in its disclosures.
•
12
CHANGE IN PENSION BENEFIT OBLIGATION
a. Pension Benefit Obligation as of 10/1/94 66,791
b. Increase due to Benefit Accruals for Additional
Service, Time and Salary Increases. This also
includes deviations from expected actuarial
contingencies. 81,726
c. Benefit Payments to Pensioners and Refunds (2,997)
d. Increase due to Change in Actuarial Assumptions 5,271
e. Increase due to Change in Benefit Provisions 0
f. Pension Benefit Obligation as of 10/1/95 150,791
r
13
ANALYSIS OF LIVES
I. Key Statistics Relating to Estimated Active Employees 10/1/94 10/1/95
Number of Employees 14 17
Annual Earnings 396,888 544,583
Annual Earnings Under Retirement Age 396,888 544,583
Average:
Current Age 32.5 32.8
Past Service 1.1 1.8
Age at Hire 31.4 34.6
Annual Earnings 28,349 32,034
II. Key Statistics Relating to Retired Employees
Number of Employees 0 0
Total Annual Pensions 0 0
Average Annual Pension 0 0
III. Key Statistics Relating to Terminated Employees with
Deferred Vested Pensions
Number of Lives 0 0
Total Annual Pension 0 0
Average Annual Pension 0 0
IV. Key Statistics Relating to Beneficiaries Receiving
Benefits
Number of Lives 0 0
Total Annual Pensions 0 0
Average Annual Pension 0 0
V. Key Statistics Relating to Disabled Employees
Receiving Benefits
Number of Lives 0 0
Total Annual Pensions 0 0
Average Annual Pension 0 0
14
RECONCILIATION OF PARTICIPANT DATA
VALUATION GROUP
Terminated
Active Retired Vested Disabled
Participants Participants Beneficiaries Participants Participants Total
1. As Reported in 10/1/94 14 0 0 0 0 14
2. Terminated
(a) with vested benefits (0) (0)
(b) without vested benefits (1) - (1)
3. Died
(a) with eligible spouse 0 0
(b) without eligible spouse 0 0
4. Lump sum Distributions 0 0
5. Disabled 0 0
6. Retired & Vested Retired 0 0
7. Re-employed 0 0
8. New Entrants 4 4
9. Cessation of Benefit Payments 0 0
10. As Reported in 10/1/95 Valuation 17 0 0 0 0 17
15
ACTIVE MEMBERS - YEARS OF PAST SERVICE
Age 0-1 2-4 5-9 10-14 15-19 20-24 25 & Over Total
16-20 0 0 0 0 0 0 0 0
21-25 2 1 0 0 0 0 0 3
26-30 1 2 0 0 0 0 0 3 -
31-35 2 5 0 0 0 0 0 7
36-40 1 2 0 0 0 0 0 3
41-45 0 0 0 0 0 0 0 0
46-50 0 1 0 0 0 0 0 .1
51-55 0 0 0 0 0 0 0 0
56 & Over 0 0 0 0 0 0 0 0
TOTAL 6 11 0 0 0 0 0 17
16
SUMMARY OF RECEIPTS AND DISBURSEMENTS
SEPTEMBER 30, 1994 - SEPTEMBER 30, 1995
Market Value of Assets as of September 30, 1994 • 83,601
Receipts:
Interest, Realized and Unrealized Gain 29,810 •
Contributions -
Employees 26,445
City 76,161
State 14,959
Other 0 117,565
Adjustments 0 0 147,375
Disbursements:
Contribution Refunds 2,997
Benefit Payments -
Retirement 0
Beneficiary 0
Disability 0 0
Expenses 5,347
Other 0 5,347
Total Disbursements 8,344
Market Value of Assets as of September 30, 1995 222,632
•
l �
17
DETERMINATION OF ACTUARIAL VALUE OF ASSETS
OCTOBER 1, 1995
Market Value of Stocks and Other Securities 122,666
Market Value of Government Obligations and Corporate Bonds
and Debentures 95,323
Cash and Cash Equivalents 5,150
Other
(1,431)
Total Assets in Trust (10/1/95) 221,708
Interest Receivables 924
Accounts Receivable
0
Accounts Payable 0
Total Market Value of Assets (10/1/95) 222,632
Non-Employee Contribution Surplus 32,710
Actuarial Asset Value (10/1/95) 189,922
18
PLAN OUTLINE FOR THE MUNICIPAL FIREFIGHTERS'
RETIREMENT PLAN AND TRUST FUND OF THE VILLAGE OF TEQUESTA, FLORIDA
•
Plan: The Village of Tequesta Municipal Firefighters'
Pension Trust Fund as amended through September
30, 1994.
Eligibility: All Firefighters, as of the effective date and
all future new Firefighters when hired, shall
become a participant.
Salary: With respect to a Firefighter, compensation
means, base compensation to include regular
earnings, vacation pay, sick pay, longevity and
periodical inactive pay, plus all tax deferred
items; excludes lump sum payments.
Credited Service: Total number of years and fractional parts of
years of service in completed months measured
from date of employment.
Final Monthly Compensation: One-twelfth of the highest average earnings
during the five best successive years out of the
last ten years of creditable service prior to
separation as an active member.
Accrued Benefit: Means a fraction of the normal retirement benefit
to which a participant would be entitled at their
Normal Retirement Date based on final monthly
compensation. The numerator of the fraction is
the years of participation at the time of
severance and the denominator is the years of
participation in the Plan that would have accrued
at their Normal Retirement Date.
Normal Retirement Date: The first of the month coincident with or next
following the date of attainment of age 55 and 10
years of service or earlier attainment of age 52
and 25 years of service.
Normal Retirement Benefit: The monthly retirement benefit shall be equal to
number of years of credited service multiplied by
3.0% and multiplied by final monthly
compensation.
Normal Form of Benefit: The normal form of benefit is a ten (10) year
certain and life annuity.
Early Retirement Date: The first of the month coincident with or next
following the later of the attainment of age
fifty and the completion of ten years of credited
service.
Early Retirement Benefit: The monthly retirement benefit shall equal the
accrued benefit as calculated for normal
retirement but actuarially reduced for starting
before the normal retirement date. The reduction
for any year may not be greater than 5%.
19
Termination of Service Benefit: If a member terminates before completing 10 years
of credited service all contributions are
returned. After the completion of 10 years of
credited service, any member who elects to leave
their contributions in the fund will receive
their accrued benefit at their normal retirement
date.
Disability (On-Duty) : A member deemed to be totally and permanently
disabled from service connected injury or disease
will receive the greater of (a) or (b) :
(a) Monthly pension equal to 42% of average
compensation based on final 5 years of
service, or
(b) An amount equal to years of credited
service multiplied by 3% of average monthly
salary based upon final. 5 years of service.
Disability (Off-Duty) : A member deemed to be totally and permanently
disabled from a Non-service cause shall be
entitled to the greater of (a) or (b) :
(a) Monthly pension equal to 25% of average
compensation based upon final 5 years of
service, or
(b) An amount equal to the number of years of
his credited service multiplied by 3% of
his average monthly salary based upon final
5 years of service.
Pre-Retirement Death Benefit: Firefighters' beneficiary shall receive:
(a) Line-of-Duty Death: Benefit of 50% of
average compensation for life.
(b) Non-Line-of-Duty Death: Benefit to the
spouse of a member with 10 years of
credited service is the actuarial
equivalent of the accrued normal retirement
benefit.
Post-Retirement Death Benefit: Optional forms that are actuarial equivalent to
the normal form of benefit may be chosen with
Board and beneficiary approval.
Employee Contributions: All participants contribute 5% of their
compensation.
THIS IS INTENDED AS AN OUTLINE OF PLAN PROVISIONS AND DOES NOT ALTER THE INTENT OR
MEANING OF THE PROVISIONS CONTAINED IN THE PLAN DOCUMENT (ORDINANCE) .
20