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HomeMy WebLinkAbout2021-104 Council ResolutionCITY OF LINO LAKES RESOLUTION NO, 21404 RESOLUTION AUTHORIZING THE ALLOCATION OF FIRE STATE AID TO COVER EMPLOYER CONTRIBUTIONS TO THE PERA POLICE AND FIRE PLAN WHEREAS, the City of Lino Lakes Statewide Volunteer Firefighter Plan meets the requirements of a combined fire department as defined in Minnesota Statute 47713.041; WHEREAS, the City of Lino Lalces is eligible to allocate a portion of fire state aid for employer contributions to the PERA Police and Fire Plan: NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Lino Lalces, Minnesota: 1. The City hereby approves the terms of the aid allocation plan; and 2. The City Clerk and Mayor are hereby authorized to execute all documents necessary to effectuate the intent of this resolution. Adopted by the City Council of the City of Lino Lakes this 27r�' day of September, 2021. The motion for the adoption of the foregoing resolution was introduced by Councilmember Cavegn and was duly seconded by Councilmember Stoesz and upon vote being taken thereon, the following voted in favor thereof: Cavegn, Stoesz, Ruhland, Lyden, Rafferty The following voted against same: None ATTEST: Julianne�B�r•teil, City Clerk CITY COUNCIL AGENDA ITEM 3C STAFF ORIGINATOR: Meg Sawyer, Human Resources and Communications Manager MEETING DATE: September 275 2021 TOPIC: Consider Resolution No. 21-104, Authorizing the Allocation of Fire State Aid to Cover Employer Contributions to the PERA Police and Fire Plan VOTE REQUIRED: 3/5 INTRODUCTION The City Council is being asked to consider Resolution No. 21-104, Authorizing the Allocation of Fire State Aid to Cover Employer Contributions to the PERA Police and Fire Plan, BACKGROUND Staff has reviewed recent Legislative changes related to the Statewide Volunteer Firefighter Retirement Plan (SVFRP) and the City's ability to seek reimbursement for pension related costs to full-time fire personnel. Minnesota Statute 477B.041 was amended during the 2021 legislative session and signed into law by Governor Walz allowing municipalities in Minnesota that provide fire services with a combination department (fire services provided with POC and full-time fire personnel) to petition for reimbursement for pension costs paid by the municipality for full-time staff. Prior to this law, municipalities that utilized POC firefighters to provide fire services were not able to seek any funding for pension costs paid by the municipality for full-time fire personnel. RECOMMENDATION Staff is recommending approval of Resolution No. 21-104. ATTACHMENTS Resolution 21-104 Aid Allocation Plan Your Statewide Volunteer Firefighter (SVF) Plan meets the requirements of a combined fire department as defined in Minn. Stat, 477B.041. As a result, the governing body and fire department are eligible to share fire state aid. The provision is effec- tive for Fire State Aid payable beginning in 2022. To share state aid, law requires that you have an allocation plan. You may use this completed form as your allocation plan. After it is complete, return it to PERA. 1. Municipality: City of Lino Lalces 2. Are you a combined department: 121 Yes O No STOP. If you answered NO, you are NOT eligible to share state aid. Number of Active Firefighters in Police &Fire an 1 and SVF Plan 21 as of December 31. 3. Distribution method of fire state aid: O Percent of Fire State Aid paid to City O Dollar amount paid to City $ X Transfer formula selected: Employer contributions for firefighters, aid proceeding calendar year 4. Length of allocation plan: Start Date 1/1/2022 End Date 12/31/2024 5. Date allocation plan approved by governing body: 6. Notice given to SVF Firefighters: O Yes. Date delivered to SVF Firefighters O Provide a copy of notice to PERA 7. Signature of municipal clerk or secretary: Name (please print) nature 9/27/2021 S A closer look at your numbers:`: Here's how we arrived at the amount of state aid you have to share. The law requires the maximum amount of state aid that may be shared is the lessor of these three calculations: 1. Employer contributions for firefighters paid proceeding calendar year....., $211703 2. Amount of Fire State Aid estimated due Oct. 1, 2022 .... $114,820 3. Fire State Aid plus Supplemental Aid less Financial Requirement $113,014 See the email for the explanation of what each of these terms mean. RETURN COMPLETED FORM TO: Email: David.Andrews(7mnpera.org Or mail to: PER/A, ATTIN: SVF 60 Empire Drive, Suite 200, St. Paul, MN 55103-2088