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HomeMy WebLinkAboutDocumentation_Pension Public Safety_Tab 05A_11/09/2004~C~bL`> Village Of're9uesta * Department of Fire-Rescue Services V 357 Tequesta Drive P.O. Box 3273 ~ Tequesta, FL 33469 P: (561) 744-4051 ~ F: (561) 575-6239 James M. Weinand, Fire Chief October 20, 2004 J. Stephen Palmquist Gabriel, Roeder, Smith & Company 301 East Las Olas Boulevard Suite 200 Ft. Lauderdale, FL 33301 Dear Mr. Palmquist: On August 10, 2004, I send you a letter stating that the Board of Trustees of the Village of Tequesta Public Safety Officers' Pension Trust Fund has accepted your firm's proposal to conduct an Actuarial Valuation Report for the Village of Tequesta Public Safety Officers' Pension Trust Fund for October 1, 2004. Please disregard this directive until I receive further direction from the Board of Trustees. The Board was under the assumption that we did not have an Actuarial Valuation Report for October 1, 2003. I understand that we have a contractual agreement with your firm to prepare annual reports and that you have completed this report. The Board of Trustee may want to continue with annual reports or implement biennial reports starting in 2005. The October 1, 2003, Actuarial Valuation Report that I have seen needs to be corrected. First, the valuation results need to be split; Firefighters separated from Police Officers, which is in accordance with our plan. Secondly, please double check the data used for this actuarial report; to my knowledge the Village of Tequesta does not have an employee in the 60-64 age-range in either the police or fire departments. The Board of Trustees did authorize your firm to prepare cost estimates (impact statements) for the possibility of adding the following benefit or benefits to our existing pension plan. Please base these estimates from the October 1, 2003, data that you have already complied. First, we would like you to look at a twenty-five and out provision, similar to the FRS provision where an employee would work twenty- five consecutive years and be eligible to retire regardless of age. M:\Administration Documents\Pension File\Palquist Letter 10202004.doc Second, we would like you to look at the cost associated with raising the multiplier for years sixteen (16) through twenty-one (21) to 3.Oo instead of the 2.5o multiplier. Third, in case we do not implement the twenty-five and out provision, we would like you to look at the cost associated with raising the multiplier for years twenty-five and up to a 3.Oo multiplier instead of the 2.Oo provision. Forth, the membership is interested in increasing the Monthly Supplemental Benefit to $20.00 per year of service to a maximum of $600.00 per month. Steve, the Board would also like to know how much state supplemental money has been spent to date. I understand that since the Village of Tequesta gave the six-year vesting provision to all employees (including general employees) that the state supplemental funds for extra benefits for Police and Fire should not be charged the extra costs associated with adding this provision. Please let me know if this is wrong. The Actuarial Valuation Report for October 1, 2003, is scheduled to be on the next Tequesta Public Safety Pension Trust Meeting, which is scheduled for November 9, 2004, at 8:00 a.m. Your presence is requested for this meeting to answer any questions the Board Members may have on this subject. Please bring any corrected reports or impact statements that you have completed to this meeting. Please let me know the results of you study. I can be reached by E- mail @ ,Tweinand@tequesta.org, phone @ (561) 744-4056 or mail at the above address. Sincerely, ~/[~I Weinand, Chairman is Safety Officers Board of Trustee's Cc: Board Member's agenda package Hanson, Perry & Jensen, P.A. M:\Administration Documents\Pension File\Palquist Letter 10202004.doc