HomeMy WebLinkAboutDocumentation_Pension Public Safety_Tab 16_08/03/2009Public Safety Officers' Pension Trust Fund Quarterly Board Meeting Minutes
November 3, 2008 5
10. Status of Ordinance 13-08 (re-stating Public Safety Officers'
Pension Plan) changing the Firefighters' member contribufion
from 6.1 % to 5%
Pension Coordinator Lori McWilliams reported the Village Council approved the
Firefighter contribution going from 6.1 % back to 5%; however, they mirrored the
language of the IAFF contract language so that in the event there were not
enough funds to keep the fund liquid, the contribution would revert back to 6.1 %.
The ordinance had been approved by the Village Council on fast and second
reading. Attorney Jensen advised they had added that language because this
was being funded by the 175 monies, so the actuary would have to include an
analysis of whether the 175 monies were sufficient.
11.
Consideration of approval of incorporation of the mandatory
i'•T~:T~ Act provisions into the pension plan
Attorney Bonni Jensen commented at the last meeting it had been discussed i~
was mandatory that the plan provide the benefit the individual would have been
entitled to had they remained employed, or people who left employment to serve
in active duty military service and died while in service. There was an optional
benefit for individuals who left and became disabled and were unable to return to
their employment, as to whether the plan would treat them to be able to be re-
hired under the federal Uniformed Services Employment and Reemployment
Rights Act of 1994 "USERRA", and treat them as if they retired the day before
they became disabled and give them the benefits they would have been entitled
to. This optional benefit would require obtaining a cost impact statement.
Attorney Jensen advised most other pension plans had included the optional
benefit. This was required to be in place September 30, 2011. Consensus was
to include this in the next actuarial evaluation.
12. Recent Legislative Changes IRS Determination Letters
Attorney Bonni Jensen advised the Board this was afollow-up from the last
meeting; the IRS had asked that pension plans file for determination letters. The
letter was a decision by the IRS that the plan met the requirements of the Internal
Revenue System. The IRS was encouraging plans to file; with a deadline of
January 31, 2009. If governmental plans did not file, in 2009 the IRS would issue
mandatory surveys and would be much less willing to deal with those plans in
resolving any problems. The Board's choices were to do nothing, or file for a
determination letter with a $1,000 fee to the IRS plus fees incurred to have the
letter prepared. Attorney Jensen advised she could prepare the letter; others
were available who could also prepare the letter. She reported about 2/3 of the
plans she worked with were filing. Finance Director Forsythe reported she
understood from the auditors that the IRS wanted to determine that the plan met
IRS requirements as it stood right now, and that any changes that had been