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<br /> <br /> <br />REQUEST FOR COUNCIL CONSIDERATION <br /> <br /> <br />Meeting Date: March 8, 2016 <br /> <br /> <br />Consent Agenda-Accepting Fire Relief’s Recommendation of No Change in Pension Benefit <br /> <br /> <br />OVERVIEW: <br /> <br />Each year the Fire Relief Association (FRA) reviews its financial position to determine if the existing <br />benefit level should be adjusted according to their policy. For 2016 no change to the benefit level was <br />determine by this process. <br />The FRA uses the state formula to determine its pension liability. Using the State formula the pension <br />fund was 102.3% at 12/31/2015. With the adoption of GASB 67 the FRA was required to get an <br />outside actuarial report for it pension plan. The pension liability determined by the actuarial report is <br />now the amount used in the annual Financial Statements. The pension funding level reported in the <br />2015 audited Financial Statements is 120.4%. <br />Therefore the FRA’s use of the State’s computation of pension liability is the conservative practice. I <br />recommend that the Mayor and City Council approve $3,300 as the 2016 benefit level reflecting no <br />increase from 2015, per the FRA letter attached. <br /> <br /> <br /> <br /> <br />27