The URL can be used to link to this page

Home My WebLink AboutFinal Agenda Packet CITY OF RENTON FIREMEN'S PENSION BOARD Regular Meeting 7th Floor-Mayor's Conference Room 21-May-03 10:00 A.M. 1. CALL TO ORDER 2. APPROVAL OF MINUTES OF APRIL 16, 2003 3. CORRESPONDENCE 4. MONTHLY STATEMENT TO 4/30/2003 5. MONTHLY BILLS AND PENSION PAYMENTS 6. OLD BUSINESS Revised Premium Distribution Report 7. NEW BUSINESS Actuarial Study Distribution 8. ADJOURNMENT MINUTES FIREMEN'S PENSION BOARD CITY OF RENTON April 16, 2003 Jesse Tanner, Mayor King Parker, Council Finance Committee Chair Bonnie Walton, City Clerk Ray Barilleaux, Fire Department Representative William Henry, Fire Department Representative William Larson, Fire Department Alternate The regular meeting of the Firemen's Pension Board was called to order by Chairman Jesse Tanner at 10:00 a.m. in the Mayor's conference room, 7th floor of Renton City Hall. In attendance were Board members Jesse Tanner, King Parker, Ray Barilleaux, Bill Henry and Bonnie Walton; and Jill Masunaga, Finance Department Representative MINUTE APPROVAL MOVED BY PARKER, SECONDED BY HENRY, THE PENSION BOARD APPROVE THE MINUTES OF THE MARCH 19, 2003, MEETING. CARRIED. CORRESPONDENCE Letters regarding distribution of Fire Insurance Premiums were reviewed. Bonnie Walton stated that because of misinterpretation by the payroll department, an incorrect number of"98" firemen employed as of 12/31/2002 was submitted to the Office of the State Treasurer. A revised certificate will be sent to indicate the correct number of"105" paid firemen employed as of 12/31/2002. MONTHLY STATEMENT The financial report as of March 31, 2003, was reviewed. Total cash/investment balance was $5,221,488.69. MONTHLY BILLS AND PENSION PAYMENTS MOVED BY PARKER, SECONDED BY BARILLEAUX, THE BOARD APPROVE THE PENSION/MEDICAL PAYMENTS FOR APRIL 2003, IN THE TOTAL AMOUNT OF $29,126.96. CARRIED. MOVED BY HENRY, SECONDED BY BARILLEAUX, THE BOARD APPROVE A PAYMENT OF $500 FOR FUNERAL EXPENSES AS ALLOWED BY RCW 41.18.140, TO MARILYN WOOTEN, SURVIVING SPOUSE OF EDGAR WOOTEN, JR. CARRIED. (continued) +rrr OLD BUSINESS Pension benefit eligibility for survivor, Marilyn Wooten, was discussed. It was determined that, though Edgar Wooten, Jr. had less than 25 years of service, he was vested by having over twenty years of service, and therefore his surviving spouse would be eligible for continuation of his benefit. ADJOURNMENT MOVED BY PARKER, SECONDED BY HENRY, THE MEETING OF THE FIREMEN'S PENSION BOARD BE ADJOURNED. CARRIED. Time: 10:12 a.m. Bonnie I. Walton, City Clerk Member and Secretary, Firemen's Pension Board 2 c� 5` ~` Nee4:11CITOF RENTON City Clerk Bonnie I.Walton Jesse Tanner,Mayor April 18, 2003 REVISED NOTICE Office of the State Treasurer Faxed to: 360-902-9044,with Attn: Linda Lund hard copy to follow in postal mail P.O. Box 40209 Olympia,WA 98504-0209 Re: May 2003 Fire Insurance Premium Distribution Dear Ms.Lund: In response to your letter, the following information is provided in compliance with RCW 41.16.050 in order for the City of Renton to receive the annual fire insurance premium tax: There were 105 paid firemen employed in the.City of Renton Fire Department as of December 31, 2002. (Please note that this is,a revised,corrected number from my letter of 4/11/03). . Sincerely, &7J. bJaI t-+4'".. Bonnie I. Walton City Clerk/Cable Manager CERTIFICATION f. I,Bonnie I.Walton, duly appointed and qualified City Clerk/Cable Manager of and for the City of Renton,Washington, do hereby certify that the above-cited information is true and correct as appearing on file in the records of the Finance Department. Signed and sealed this 18th day of April, 2003. ' mun Set 186k 'llierfr• Wattd-ro Q. Bonnie I.Walton, City Clerk/Cable Manager _* SEAL *E cc: Mayor Tanner King Parker N4„„, hD SF1�6 a�a\ Ray Barilleauxl�RlIBINIIIiiO vv Bill Henry Jill Masunaga 1055 South Grady Way-Renton,Washington 98055-(425)430-6510/FAX(425)430-6516 R E N T O N 122%r�,:-...,..o....,..��:..�sn/rnrvrJert material_:i()%noel ransomer AHEAD OF THE CURVE CITY RENTON - FIREMEN'S PENSIOV UND CASH & INVESTMENT ACTIVITY REPORT AS OF APRIL 30, 2003 Fireman's Pension Fund Comparison of Cash and Investment Activity 7 s P.m 5 • -:- ! ! ! ! .!_ Ek I 6 4 - w c 0 3 - $ 0 2 - 1 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 132003 ■2002 CURRENT 2003 2003 LAST YEAR 2002 2002 ACTIVITY: MONTH YTD BUDGET CURR MO YTD ADJ BUDGET BEGINNING CASH/INV BALANCE $5,221,488.69 $5,312,164.41 $5,312,164 $5,403,212.90 $5,491,105.38 $5,491,105 RECEIPTS: Property Taxes 0.00 0.00 $0 0.00 0.00 $0 Fire Insurance Premium Tax 0.00 0.00 $32,000 0.00 0.00 $32,000 Investment Interest 830.61 2,425.88 $115,000 1,345.31 4,120.04 $80,000 Interfund Loan Repmt/Golf Crs 0.00 0.00 $0 0.00 0.00 $0 DISBURSEMENTS: Fire Pension 28,790.61 119,439.60 $355,000 27,076.29 116,168.50 $345,000 Office/Operating Supplies 0.00 0.00 $400 0.00 0.00 $400 Actuarial/Firemen's Pens 4,575.00 4,575.00 $4,000 0.00 0.00 $0 Repairs&Maintenance 0.00 0.00 $0 0.00 0.00 $0 Reimb General/Clerical&Acct 542.00 2,164.00 $6,500 525.00 2,100.00 $6,300 ENDING CASH/INV BALANCE $5,188,411.69 $5,188,411.69 $5,093,264 $5,376,956.92 $5,376,956.92 $5,251,405 • CURRENT PREVIOUS LAST YEAR LAST YEAR ACTIVITY: MONTH MONTH CURR MO PREV MO CASH $113,873.63 $146,950.63 $47,267.07 $23,523.05 INVESTMENTS CD's&State Investment Pool 749,767.46 749,767.46 749,767.46 849,767.46 Snohomish County Housing Authority 98,272.00 98,272.00 98,272.00 98,272.00 Treasury Strips&Zero Coupon Bonds 4,226,498.60 4,226,498.60 4,481,650.39 4,431,650.39 Corporate Bonds 0.00 0.00 0.00 0.00 Convertable Bonds 0.00 0.00 0.00 0.00 Mutual Funds 0.00 0.00 0.00 0.00 TOTAL CASH AND INVESTMENTS $5,188,411.69 $5,221,488.69 $5,376,956.92 $5,403,212.90 The State Investment Pool interest 1.2381% I?86�",, 1.8773% 1.8420% Now FIREMEN'S PENSION BOARD PENSION/MEDICAL PAYMENTS FOR JULY, 2003 Recipient Pension Amt Medicals Total ANKENY, Charlie (Captain) $28.48 28.48 ASHURST, James (Assistant Chief) $3,813.00 - 3,813.00 BANASKY, George (Captain) $753.57 753.57 BEATTEAY, Karlen (Widow) $129.89 129.89 BERGMAN, Claudette (Widow) $65.95 65.95 CHRISTENSON, Chuck(Firefighter) $206.98 206.98 COLOMBI, Jack(Captain) $293.12 293.12 CONNELL, Robert(Captain) $541.73 541.73 GOODWIN, Charles (Captain) $3,459.50 - 3,459.50 GOODWIN, Donald (Firefighter) $771.30 771.30 * HAWORTH, Constance (Widow) $2,435.52 2,435.52 HAWORTH, Jack(Firefighter) $2,609.50 - 2,609.50 HENRY, Teresa A. (Widow) $180.14 180.14 HENRY, William, Jr. (Captain) $1,018.61 1,018.61 HURST, Gerald (Firefighter) $387.03 387.03 JONES, Gerald D. (Firefighter) $142.76 142.76 LAVALLEY, Theodele (Captain) $217.17 217.17 MC LAUGHLIN, JACK(Battalion Chief) $577.19 577.19 NEWTON, Gary (Lieutenant) $153.05 153.05 NICHOLS, Gerald (Battalion Chief) $222.35 222.35 PARKS, Arlene (Widow) $200.62 200.62 PARKS, John (Firefighter) $2,708.00 - 2,708.00 PHILLIPS, Bruce H. (Deputy Chief) $0.00 - PRINGLE, Arthur(Captain) $316.81 316.81 * PRINGLE, S. Joan (Widow) $2,092.38 2,092.38 RIGGLE, David E. (Firefighter D Step) $5.03 5.03 SMITH, Leroy (Firefighter) $280.23 280.23 STROM, Karl (Firefighter) $2,609.50 - 2,609.50 TODD, Franklin (Firefighter) $330.38 330.38 VACCA, Nick (Lieutenant) $189.17 189.17 WALLS, Kenneth (Firefighter D Step) $54.80 54.80 WALSH, David (Firefighter) $810.34 810.34 WALSH, Patrick(Captain) $739.37 739.37 WEISS, Larry (Battalion Chief) $389.61 389.61 WOOTEN, Marilyn E. (Widow) $137.59 137.59 Total Expenses: Pension/Medical 28,870.67 0.00 28,870.67 Prior Year Pension/Medical Payments: Total Pension Payments for July, 2002 27,230.85 Total Medical Bills Reimbursed in July, 2002 314.80 Total Expenses: Medical/Pension 27,545.65 * Received a 1.8% CPI increase effective July 1. 4_SUMMARY 2003 7/9/2003 11:23 AM vat %.► wr+` FIREMEN'S PENSION BOARD PENSION/MEDICAL PAYMENTS FOR MAY, 2003 Recipient Pension Amt Medicals Total ANKENY, Charlie(Captain) $28.48 28.48 ASHURST, James (Assistant Chief) $3,813.00 447.16 4,260.16 BANASKY, George (Captain) $753.57 753.57 BEATTEAY, Karlen (Widow) $129.89 129.89 BERGMAN, Claudette (Widow) $65.95 65.95 CHRISTENSON, Chuck(Firefighter) $206.98 206.98 COLOMBI, Jack(Captain) $293.12 293.12 CONNELL, Robert(Captain) $541.73 541.73 GOODWIN, Charles (Captain) $3,459.50 - 3,459.50 GOODWIN, Donald (Firefighter) $771.30 771.30 HAWORTH, Constance(Widow) $2,392.46 2,392.46 HAWORTH, Jack(Firefighter) $2,609.50 1,600.00 4,209.50 HENRY, Teresa A. (Widow) $180.14 180.14 HENRY, William, Jr. (Captain) $1,018.61 1,018.61 HURST, Gerald (Firefighter) $387.03 387.03 JONES, Gerald D. (Firefighter) $142.76 142.76 LAVALLEY, Theodele (Captain) $217.17 217.17 MC LAUGHLIN, JACK(Battalion Chief) $577.19 577.19 NEWTON, Gary (Lieutenant) $153.05 153.05 NICHOLS, Gerald (Battalion Chief) $222.35 222.35 PARKS, Arlene (Widow) $200.62 200.62 PARKS, John (Firefighter) $2,708.00 336.35 3,044.35 PHILLIPS, Bruce H. (Deputy Chief) $0.00 - PRINGLE, Arthur(Captain) $316.81 316.81 PRINGLE, S. Joan (Widow) $2,055.38 2,055.38 RIGGLE, David E. (Firefighter D Step) $5.03 5.03 SMITH, Leroy (Firefighter) $280.23 280.23 STROM, Karl (Firefighter) $2,609.50 - 2,609.50 TODD, Franklin (Firefighter) $330.38 330.38 VACCA, Nick(Lieutenant) $189.17 189.17 WALLS, Kenneth (Firefighter D Step) $54.80 54.80 WALSH, David (Firefighter) $810.34 810.34 WALSH, Patrick (Captain) $739.37 739.37 WEISS, Larry (Battalion Chief) $389.61 389.61 WOOTEN, Marilyn E. (Widow) $137.59 137.59 * WOOTEN, Marilyn E. (Widow) $500.00 500.00 Total Expenses: Pension/Medical 29,290.61 2,383.51 31,674.12 Prior Year Pension/Medical Payments: Total Pension Payments for May, 2002 2;,076.29 Total Medical Bills Reimbursed in May, 2002 962.95 Total Expenses: Medical/Pension 28,039.24 * Funeral expenses per RCW 41.18.140. 4_SUMMARY 2003 5/14/2003 10:51 AM %le 'too FIREMEN'S PENSION BOARD MEDICAL BILLS TO BE REIMBURSED IN MAY, 2003 PAYMENT Page Name Pharmacy/Medical Facility Amount of Bill 2 James Ashurst Safeway 123.29 2 James Ashurst Safeway 14.39 2 James Ash urst Safeway 52.99 2 James Ashurst Safeway 256.49 447.16 4 Jack Haworth Hearing Aid Consultants 1,600.00 1,600.00 7 John Parks Toledo Pharmacy 111.40 7 John Parks Toledo Pharmacy 18.00 7 John Parks Toledo Pharmacy 115.25 7 John Parks Toledo Pharmacy 91.70 336.35 TOTAL 2,383.51 3_2003 FP Medical 5/14/2003 11:16 AM CITY OF RENTON FIREMEN'S PENSION CLAIM FOR REIMBURSEMENT FORM NAME JAMES F. ASHURST DATE APRIL '16 2003 AMOUNT OF CLAIM $ 4 4 7. 1 6 Reason for medication/hospitalization/physician's exam: HYPFRTENSTf1N, HIGH BLOOD PRESSURE REACTION TO MEDICATION I have not been and will not be compensated by any other organization/ Insurance Carrier or Medicare for the above mentioned claim for reimbursement other that the City of Renton. All of the above are related to my disability from the Fire Department. Signature , • Note: Proper Documentation must accompany this claim form. Mail forms to: City of Renton Finance Department—Fire Pension 1055 South Grady Way Renton, WA 98055 Revised �12/24/02 VAEI • .. ,r w CS) SAFEWAY PHARMACY SAFEWAY PHARMACY 200 SOUTH 3RD STREET RENTON,WA 98055 ISJ 1 200 SOUTH 3RD STREET RENTON,WA 98055 #1563 (425)226-0325 #1563 (425)226-0325 Official Receipt-Please retain for tax or insurance Official Receipt- Please retain for tax or insurance ASHURST,JAMES (425)255-6154 ASHURST,JAMES (425)255-6154 223 GARDEN AVE N. 02/17 223 GARDEN AVE N. 02/1 7 RENTON, WA 98055 RENTON, WA 98055 DR. GRAVES,DANIEL L. [RF] DR. GRAVES,DANIEL L. [RF] 17900 TALBOT RD S. 17900 TALBOT RD S. RENTON, WA 98055 RENTON, WA 98055 Rx:6626266 Feb 15, 2003 Safety Cap: No Rx:8801221 Feb 15, 2003 Safety Cap: No NDC: KP ZESTRIL 20MG32 10 TAB (ASTR)Qty: 100 TAB PE CIKPNDC: D AC710MG 60 TAB (J&J )/Qty: 120 TAB HEALTH CLUB 55 HEALTH CLUB 55 Amount Due: $123.29 Amount Due: $52.99 Ii it II II II II 111111 Iii IlllIHuI Ref:30464423670999 IlU till lIIlillIlllliililIiIII Ref:30464430020999 181/ SAFEWAY PHARMACY SAFEWAY PHARMACY 200 SOUTH 3RD STREET 200 SOUTH 3RD STREET RENTON,WA 98055 IS) SAFEWAY WA 98055 #1563 (425)226-0325 itl561 (425)226-0325 Official Receipt - Please retain for tax or insurance Official Receipt-Please retain for tax or insurance ASHURST,JAMES (425)255-6154 ASHURST,JAMES (425)255-6154 223 GARDEN AVE N. 02/17 223 GARDEN AVE N. 02/17 RENTON, WA 98055 RENTON, WA 98055 DR. GRAVES,DANIEL L. [RF] DR. GRAVES,DANIEL L. [RF] 17900 TALBOT RD S. 17900 TALBOT RD S. RENTON, WA 98055 RENTON, WA 98055 Rx:6626264 Feb 15, 2003 Safety Cap: No Rx:6626267 Apr 15, 2003 Safety Cap: No NDC: 00172-2908-80 KP/ NDC: 00024-1075-01 HSG/ FUROSEMIDE 20MG TAB (ZENI) Qty: 100 TAB KAYEXALATE POW (SANO)Qty: 454 GM Generic for: FUROSEMIDE 20MG TAB ZENI HEALTH CLUB 55 HEALTH CLUB 55 Amount Due: $14.39 Amount Due: $256.49 ��lU'1�1�'' till lilt 11111 IIII II III I III I III Ref:30464435308998 IIii„II II IIN ,i limy P '440A Naie CITY OF RENTON FIREMEN'S PENSION CLAIM FOR REIMBURSEMENT FORM NAME JACK E. HAWORTH DATE AMOUNT OF CLAIM $ 1,600.00 Reason for medication/hospitalization/physician's exam: HEARING AID — LEFT EAR I have not been and will not be compensated by any other organization/ Insurance Carrier or Medicare for the above mentioned claim for reimbursement other that the City of Renton. All of the above are related to my disability from the Fire Department. Signature Note: Proper Documentation must accompany this claim form. Mail forms to: City of Renton Finance Department—Fire Pension 1055 South Grady Way Renton, WA 98055 Revised 12/24/02 P?A 3 Billed to: PLEASE • City of Renton LE _,F T-dit)� O 17"-,--.1o;'APPROVEDOMB-0938-0008 A DO NOT �-SF'C�!t'CJ STAPLE Human Resources Rik Mgmt. cc IN THIS MMEMMOMMEMEMMEMMEMOIM 1055 S. Grady �,, ,- .( �� a AREA Renton, WA 98055 a Attn: Sharon Riggins c PICA HEALTH INSURANCE(CLAIM FORM r-'' PICA ., 1 MEDICARE MEDICAID CHAMPIIS CHAMPVA GROUP FECA OTHER to INSURED'SiI D--NDMBER - ' (FOR PROGRAM IN ITEM 1) HEALTH PLAN __ ELK LUNG 141 I ' fledw,);e rIa ',Medc,ii,1 re i ISeonaor s USNI : ,VA File N --i 1 ISSN ar ID! !SSN) --1 (IDI PATIENT'S NAME(Last Name First Name Middle Inillall 13 PATIENT'S BIRTH DATE SEX 4 INSURED'S NAME(Last Name.First Name Middle Initial)Haworth, Jack 0 14 1923 mm X F - - 'nil[1)1 S°I aa'(it->H,,Ni. ';eiiiit, J„ PA i II 111 REL A'IC)NS(iIP TO INSIJFFG 7 IIJSIJRFD S ADDRESS iNo Street: PO Box 864 I s,-,u , -,i:, , - -- - -- - StAI l ------- - -------- e, Pn1r til lhiAitii. CITY sTnTF____-- Ocean Shores , WA WA i F Mi , 1)1 1,,I ,r,•1F-111)17(0Int ARt,V ";-,E 98569 I , i (0 ---- 111?FE LA P1UMitt N - C L. ,')iii•i I':h,Ii;i i' iii ii • ,ti r,Fi i I Pi NI i-. - - a F_L41V'(St 1EN r',cure HE NI,)R PRE..'h_lhe d INSURE L'S DAIL iar BIRTH __--- `,E X--- __ _ - -- 11C trIM GU i'll 1- -- - - - - - _ ______ YES • NO f�1' F 'C ,,,E r, r,. rile^ 't)Ii, L Alli',A,.,.ICIFNI ' FLA-E,StaO' b EMPLOYER 5 NAME OR SCHOOL.NAME---- -- C MM DD + M 1 F 'VE' NO - r, EMPLCNEF?t,NA1.1E r-:f`',_ti,IOL NAME r. 11HFR ACCIDEN I, c INSURANCE PLAN NAME OR PROGRAM NAMEI F I YES ',NO i L 1 INE'IR.NCE PLuN NAME OR PROGRAM NAME 410d RESERVED FOR LOCAL USEF RESERVED d IS THERE ANOTHER HEALTH BENEFIT PLAN, I C ' YES j NO If yes return to and complete item 9 a d READ BACK OF FORM BEFORE COMPLETING&SIGNING THIS FORM. 13 INSURED S OR AUTHORIZED PERSON'S SIGNATURE I authorize IL I'AT!ENT b,-?R Al,THOR+ICED PERSON S SIGNATURE I authorize the release of any medical or other Information,ecessaiy payment of medical benefits to the undersigned physician or supplier for to process flus 7h„11' I,-iivn r.-quest payment of government benefits either to myself or In the party who accepts assanment services described below below (iIhNED DATE SIGNED Assignment on file I ~ .A ` TE(-/f-(-/f-,.ILHRLNT ILL NESS{East symptom,OR 1 15 IF PAI IENT HAS HAD SAME OR SIMILAR ILLNESS 16 DATES PATIENT UNABLE TO WORK IN CURRENT OCCUPATION I 'AtJI DD 7 5 t IN,1l1RY Accident,OR GIVE FIRST DATE MM DD YY MM DD XX MM DO XX PHEGNANC YILMPI FROM TO 17 NAME OF REFERRING PHYSICIAN OR OTHER SOURCE 173 I D NUMBER OF REFERRING PHYSICIAN 18 HOSPITALIZATION DATES RELATED TO CURRENT SERVICES MM DD YY MM DD YY I FROM TO 1'9 RESERVED F OR LOCAL USE 20 OUTSIDE LAB, $CHARGES I Pi YES [ NO 21 DIAGNOSIS OR NATURE OF ILLNESS OR INJURY (RELATE ITEMS 12.3 OR 4 TO ITEM 24E BY LINE) 22 MEDICAID RESUBMISSION CODE ORIGINAL REF NO 1389 .9 31 .__ 23 PRIOR AUTHORIZATION NUMBER 2 La$9.4 4 1 4 24-- A _ B C D E F G H I J K 2 ATEiSI OF SERVICETo Place Type PROCEDURES,SERVICES OR SUPPLIES DIAGNOSIS DAYS EPSDY RESERVED FOR C From of of (Explain Unusual Circumstances) CODE $CHARGES OR Family EMG COB LOCAL USE MM DO YY MM _ DO YY ServiceService CPT/HCPCS 1 MODIFIER UNITS Plan C 1104 07 03 04 07 03 11 9 V5256 LT 389 .9_ 2800 .00 1 u 1 2104 07 03 04 07 03 11 9 V5266 (Batteries) 389. 9 41 .60 40 0 I 0 U 1 C ,1 - , z l a 51_ - a a of 25 FEDERAL TAX I D NUMBER SSN EIN 26 PATIENT'S ACCOUNT NO 27 ACCEPT ASSIGNMENT, 28 TOTAL CHARGE 29 AMOUNT PAID 30 BALANCE DUE (For govt claims see back) 91-1620761 [ ] [ ) YES [_ NO $ 2841 .60 $ 00 .00 $2841 .60 31 SIGNATURE OF PHYSICIAN OR SUPPLIER 32 NAME AND ADDRESS OF FACILITY WHERE SERVICES WERE 33 PHYSICIAN'S.SUPPLIER S BILLING NAME ADDRESS,ZIP CODE INCLUDING DEGREES OR CREDENTIALS RENDERED(If other than home or office) &PHONE# fl certify that the statements on the reverse apply,othis bllland are made apanthereof) Hearing Aid Consultants 15707 NE 28th Court ateo)( �� -;/��' Z3 Vancouver, WA 98686 SIG—RTEk DATE PIN# GRP# ,APPROVE D 150 BY AMA COUNCIL ON MEDICAL SERVICE 8'881 PLEASE PRINT OR TYPE FORM 112-90J FORM OWCP 5g0 FORM RRB 1500 Pk,--e" 4- JQL� ak,t% r�f�(J 11 *tair:Eorp cbn ge so a\ic cs v_ts-L iO 55 S , fi ?()S 5 J 5g_yoi/11c � r � S J-1 s f--- Uri5— 0-7Cc&G S/\(\(.40Y1 CdS'011 1 VvOirl-S R.D.RUSSELL,M.D. E nose P.A.GILMER,M.D. R.W.SEAMAN,M.D. R.E.JENSEN,M.D. D.A.LIVINGSTONE,M.D. Intl" throat ASSOCIATES ■ SOUTHWEST INCORPORATED• P.S. 404 Yauger Way#150,Olympia,WA 98502 500 Lilly Road NE#180,Olympia,WA 98506 611 N T'St.,Aberdeen,WA 98520 Phone:360 357-6314•Fax:360 705-3745 Phone:360 357-6314•Fax:360 413-8150 Phone:36060 532-2882•Fax 360 532-2884 NAME\_ .,_cam 41j `'e-�+ -- DATE:C ! G/. ADDRESS 1:3( 7r--7 ej-) REFILL TIMES PRN NR / SUBSTITUTION PERM 11,D DISPEN WRITTEN D.EA.# -pikfre S torr :;::... . ' _. CITY OF RENTON ::::FIREMEN'S PENSION CLAIM FOR REIMBURSEMENT FORM RECEIVED NAME \/o h m I• / 9-2,12 S MAY - 6 2003 DATE � 3 p 0 . City of Renton Accounts Payable AMOUNT OF CLAIM $ 3 3 .,, �� J --f0--i- Reason for medication/hospitalization/physician's exam: 112 t'U 'r ' 71 s -rii a <4/i 444/ re/#r#d p1''' 6 / e 5 I have not been and will not be compensated by any other organization/Insurance Carrier or Medicare for the above mentioned claim for reimbursement other than the City of Renton. All of the above are related to my disability from the Fire Department. cP Signature C.,,.i„,t,„, , ...,.."44.2 Note: Proper Documentation must accompany this claim form. • PAi - G TOLEDO PHARMACY Box 249 Toledo, Wash. 98591 ANIMAL HEALTH SUPPLIES GIFTS PRESCRIPTIONS Phone 864-4100 TOLEDO 241 COWLITZ ST. jj -�Q PHARMACY TOLEDO,WA 98591 864-4100 JOHN PARKS 4/10/03 NAM!' �yc_1 BOX 626 TOLEDO WA 98591 Rx#238308 Dr. J RICHARDS ADDRE OMEPRAZOLE 20MG CAP NDC# 62175-0118-32 #30 I CASH I CHARGE I ON ACCT. SEND ( WILL CALL 1 CASH I Price: 123.78 - -10% $ 1114Qi.78 - - / 023 3cDk 3 / . (Del TOLEDO 241 COWLITZ ST. 864_4100 �3 / 7 / 1 /5 PHARMACY TOLEDO,WA 98591 ► BOX 626PARKS OL� WA 98591 Rx#C2. 4/10/03 c"?a3o2a a 9/ '77)''33283 Dr. J RICHARDS ALPRAZOLAM 0.5MG TAP NDC# 59762-3720-01 #90 CASH BC /Bf Price: 20.00 - -10% $ 18.00 c1 ( TOLEDO 241 COWLITZ ST. `7J�� I E' PHARMACY TOLEDO,WA 98591 864-4100 JOHN PARKS 4110/03 BOX 626 TOLEDO WA 98591 Rx#C239794 Dr.J RICHARDS AMBIEN 10MG TAB NDC# 00024-5421-31 #45 CASH BC /11c Price: 128.06 - -10% $ 115.250 TOLEDO 241 COWLITZ ST. PHARMACY TOLEDO,WA 98591 864-4100 JOHN PARKS 4/10/03 BOX 626 TOLEDO WA 98591 Rx#23k212 Dr.A ARONSKY REMERON 30MG TAB NDC# 00052-0107-30 #30 CASH BC /1 Price: 101.89 - -10% $ 91.70 m • Pe 1 L L L L ACTUARIAL VALUATION OF Firefighter's Pension Fund City of Renton January 1, 2003 L L L Prepared by Karen I. Steffen, F.S.A., M.A.A.A. Fellow, Society of Actuaries Member,American Academy of Actuaries and Carl I. Hansen, F.S.A., M.A.A.A. Fellow, Society of Actuaries Member,American Academy of Actuaries L a L L fpfe0653.doc 14 003 FPF 71/14.0003.FPF.71.2003/KIS/C1H/mla Milliman usA 1.110 A MtLLtMAN GLOBAL FIRM NO COO Milliman USA, Consonants and Actuaries 1301 Fifth Avenue,Suite 3800 Ir Seattle,WA 98101-2605 Tel +1 206 624.7940 Fax +1 206 623.3485 www.milliman.com April 8, 2003 City of Renton 1055 S. Grady Way Renton, WA 98055 Re: 2003 Valuation Report is Dear Members of the Board: As requested, we have made an actuarial valuation of the City of Renton's Firefighter's Pension Fund. The major findings of the valuation are contained in this report. This report reflects the benefit provisions in effect as of January 1, 2003. 1�r In preparing this report, we relied, without audit, on information (some oral and some in writing)supplied by Ms. Victoria Runkle. This information includes, but is not limited to, statutory provisions, employee data and financial information. In our examination of these data, we have found them to be reasonably consis tent and comparable with data used for other purposes. If any data or other information is inaccurate or incomplete, our work may need to be revised. 1.110 On the basis of the foregoing,we hereby certify that, to the best of our knowledge and belief, this report is complete and accurate and has been prepared in accordance wi th generally recognized and accepted actuarial principles and practices which are consistent with the principles prescribed by the Actuarial Standards Board (ASB)and the Code of Professional Conduct and Qualification Standards for Public Statements of Actuarial Opinion of the American Academy of Actuaries. We further certify that all costs, liabilities, rates of interest, and other factors for the Fund have been determined on the basis of actuarial assumptions and methods which are individually reasonable (taki ng into account the experience of the Fund and reasonable 1011, expectations); and which, in combination, offer our best estimate of anticipated experience affecting the Fund. Nevertheless, the emerging costs will vary from those presented in this report to the extent that actual experience differs from that projected by the actuarial .1101 assumptions. ni fpfa0653.doc-2 6fx3CES 34 f'U.C3PAL CITIES WORLDWADE 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla tib ar err Firefighter's Pension Fund City of Renton April 8, 2003 Page Two Actuarial computations presented in this report are for purposes of determining the recommended funding amounts for the Fund. Any distribution of this report must be in its entirety, including this cover letter, unless prior written consent from Milli man USA is obtained. Actuarial computations under GASB Statements No. 25 and 27 are for purposes of fulfilling financial accounting requirements. The computations prepared for these two purposes may differ as di sclosed in our report. The calculati ons in the enclosed report have been made on a basis cons istent with our understanding of the Fund's funding requirem ents and goals, and of GASB Statements No. 25 and 27. Determinations for purposes other than meeting these requirem ents may be significantly different from the results contained in this report. Accordingly, additional determinations may be needed for othe r purposes. a We, Karen I. Steffen and Carl I. Hansen, are mem bers of the American Academy of Actuaries and Fellows of the Society of Actuaries, and meet the Qualification Standards of the American Academy of Actuaries to render the actuarial opinion contained herein. us We respectfully submit the following report, and we look forward to disc ussing it with you. err Sincerely, , -- . MI Karen I. Steffen, F.S.A., M.A.A.A. Carl I. Hansen, F.S.A., M.A.A.A. is Consulting Actuary Consulting Actuary KIS/CIH/mla a a us fpfa0653.doc-3 (FFIc;=5 1rt OFriNCIPAL C171E5 WWILDWIOE 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mIE ON NO Actuarial Valuation of Firefighter's Pension Fund City of Renton ■r January 1, 2003 Table of Contents Mr Page SECTION 1 Scope of the Report 1 SECTION 2 Conclusions and Recommendations 2 SECTION 3 Cost of Pension Benefits 3 TABLE 1 Actuarial Present Value of All Future Pension X111 Benefits Not Provided by LE OFF System 6 TABLE 2 Derivation of Contributions Required for Pension B enefits 7 SECTION 4 Actuarial Information for Accounting Purposes 8 rr TABLE 3 GASB Statement No. 27 Annual Pension Cost and Net Pension Obligation....10 TABLE 4 GASB Statements No. 25 and N o. 27 Schedule of Funding Progress 11 TABLE 5 GASB Statement No. 25 Schedule of Employer Contributions 12 TABLE 6 GASB Statement No. 27 Three-Year Trend Information 13 TABLE 7 GASB Statement No. 27 Annual Development of Pension Cost 14 SECTION 5 Supplemental Information 15 TABLE 8 Projection of Future Excess Pension Benefits 16 APPENDIX A Actuarial Procedures and Assumptions 17 Irru TABLE A-1 Summary of Valuation Assumptions 20 TABLE A-2 Service Retirement Annual Rates 21 TABLE A-3 Disablement Annual Rates 22 TABLE A-4 Mortality Annual Rates 23 APPENDIX B Provisions of Governing Law 24 r.r APPENDIX C Valuation Data 30 TABLE C-1 Firefighters Disabled in the Line of Duty Before March 1, 1970 31 TABLE C-2 Survivors of Firefighters Retired Before March 1, 1970 31 TABLE C-3 Firefighters Retired for Service S ince March 1, 1970 31 TABLE C-4 Firefighters Disabled In Line of Duty Since March 1, 1970 32 TABLE C-5 Survivors of Firefighters Retired Since March 1, 1970 32 • fpfa0653.doc 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla Miiliman USA r +� Actuarial Valuation of Firefighter's Pension Fund City of Renton January 1, 2003 SECTION 1 Scope of the Report ,r This report presents the results of an actuarial valuation of the City's Firefighter's Pension Fund. Particular attention is given to the cost of providing the"excess benefit", a benefit under FPF available to active members as of March 1, 1970. On that date, the Washington Law Enforcement Officers'and Firefighters' System (LEOFF) was established. Under the terms of governing law, active members of the City's FPF on that date are entitled to payment from the FPF of the excess of benefits calculated under the F PF law over those calculated under the LEOFF law. The City's FPF also pays the entire pensions of those err members retired prior to M arch 1, 1970 and their survivors. The employer costs given in the report are those that are the responsibility of the City; they exclude those costs payable under the LEOFF system. The following section of this report gives the conclusions and recommendations arrived at as a result of the valuation of the City's FPF. Section 3 gives a brief description of the ■r implications of the method employed in carrying out the valuati on. It also contains a presentation of the computations discussed in Section 2. Section 4 gives the disclosure required by the Fund under Statement No. 25 of the Governmental Ac counting Standards Board (GASB)and information for complying with Statement No. 27 for the employer's reporting purposes. Section 5 shows the projected cash payments the City will be required to pay for its pension obligations of the FPF. 0I/ There are three appendices attached to the report. The actuarial assumptions used in the valuation are summarized in Appendix A. Appendix B gives a summary of the benefit provisions of both FPF and LEOFF, as interpreted for the purposes of this study. Appendix C contains tables showing the distribution of retirees wi th their income by age. i• Ir INN I�r fpfa0653.doc 1 14 003 FPF 71/14.0003.FPF.712003/KIS/CIH/mla rr 0 Milliman USA OW Actuarial Valuation of Firefighter's Pension Fund City of Renton January 1, 2003 am SECTION 2 Ir. Conclusions and Recommendations The City's obligations under the Firefighter's Pension Fund are limited to the benefits provided to firefighters retired prior to March 1, 1970, plus payments of exc ess retirement benefits to active members as of that date. To meet these obligati ons, the City may contribute annually to the Fund the amo unt raised by levying all or part of a tax of up to $0.45 per $1,000 of true and fair market value, the maximum provided by law for maintaining 'r° the Fund. Contributions also include donations and income from the state fire insurance premium collection. „I. On the basis of the actuarial assumpti ons used in this valuation, we estimate that the current assets of the Fund, along with future revenues from state fire insurance taxes (assumed to be paid until the youngest firefighter is 65)and inv estment earnings, will be sufficient to pay all future FPF pension benefits. Accordingly, we recommend that the City make no contributions to the Fund until the next ac tuarial valuation is performed. By law, firefighter's medical and long-term care benefits may be paid either from the City's general revenues or from its Firefighter's Pension Fund. Since the Fund is larger than the value of the expected FPF pension benefits, a portion of the excess could be used to pay these benefits. If medical and long-term care benefits or other nonpension expenses are to be paid from the FPF, we recommend they be limited to $530,000 per year. um As of January 1, 2003, the actuarial present value of future retirement benefits to be provided by the City is $6,472,000. es The present value of the excess pension benefits i s 6.6% smaller than expected based on the 2001 valuation. This is the net effect of a gain due to smaller than expected i ncreases in •• excess benefits during the last two years and a loss due to no retiree deaths. Ir 1r fpfa0653.doc 2 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla MillimanUSA tier via Actuarial Valuation of Firefighter's Pension Fund en City of Renton January 1, 2003 im SECTION 3 Or Cost of Pension Benefits Income from the Firefighter's Pension Fund comes from the following sources, as described in R.C.W.41.16.050: owo 1. Bequests, fees, gifts, emoluments, or donations. NO 2. Forty-five percent of all monies received by the state from taxes on fire insurance premiums, prior to January 1, 2000. Twenty-five percent after January 1, 2000. 3. Taxes paid pursuant to the provisions of R.C.W.41.16.050 (see below). 4. Interest on the investments of the Fund. o 5. Contributions by firefighters as provided herein. The provisions referred to in item (3) require that each municipality levy up to $0.45 per $1,000 of assessed valuation, based on reports by a qualified actuary, to maintain the Fund. At the time that the Law Enforcement Officers'and Firefighters' (LEOFF) System was installed, the state assumed the major portion of the obligation to provide future retirement +w benefits for members still in active service at the date of the inception of LE OFF, March 1, 1970. Each of the cities maintaining a Firefighter's Pension Fund (FPF) retained the responsibility for all benefits payable to members (or to their survivors)who retired prior ON to that date. In addition, each city retained the responsibility for a portion of the benefits payable to members who were active on that date. These me mbers are entitled to benefits under either the FPF formula or the LEOFF formula, whichever is greater. If the FPF benefit is greater, the City's FPF must meet the cost of the excess of the FPF benefit over the LEOFF benefit. Upon the establishment of LEOFF, the total pension I iability of each FPF was expected to decrease rapidly from year to year because of the clos ed, diminishing nature of the group of retirees and survivors. However, the excess pension benefits paid by each city's FPF have generally been much larger than anticipated. This is I argely due to the way postretirement +rrr adjustments to benefits are calculated. NO err fpfa0653.doc 3 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla Millimanusa 1r rr Under LEOFF, the benefit is adjusted after retirement in proportion to the change in the Consumer Price Index. U nder FPF, most adjustments are based on the change in s alary for the active firefighters in the rank the mem bers held at retirement. Wages have essentially always increased more rapidly than prices. The pattern is illustrated by the following table: SO Average Annual Wage Average Annual CPI Increases for the Increases for the United Decade United States States 1988-1998 4.1% 3.3% 1978-1988 6.2 6.1 1968-1978 6.6 6.5 1958-1968 4.3 1.8 1948-1958 4.5 1.8 +nrll Average Annual Wage Average Annual CPI Cumulative Increases for the Increases for the United Period United States States OS 1988-1998 4.1% 3.3% 1978-1998 5.2 4.7 1968-1998 5.6 5.3 1958-1998 5.3 4.4 1948-1998 5.1 3.9 rrr 1926-1998 4.6 3.1 The wage information is based on statistics from the Social Security System back to 1951 and the Total Private N onagricultural Wages prior to 1951. T he CPI figures are based on the national Consumer Price Index, U .S. City Average and All Urban Consumers. Over all years considered, wages have increased 1.5%faster than CPI but more recent history suggests a one percent difference. OW The current actuarial assumptions assume wages increase 5% per year and CP I increases will be 4%, reflecting more recent trends. The actuarial ass umptions are monitored for reasonableness and periodi c changes are made when appropriate. Table 1 presents an analy sis of the actuarial present value of future pension and medic al benefits to be paid by the FPF. The entire pension benefit of members retiring before the u11 establishment of the LEOFF System is paid by the City. The City's actuarial accrued liability for members retiring after establishment of LEOFF is only for exc ess pension benefits, which can be substantial. a�rr Table 2 develops the Fund's actuarial deficiency for pension benefits, which is zero. +r fpfa0653.doc 4 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla Milliman USA As long as the Firefighter's Pension Fund provides for benefits to covered members, the City will be eligible to receive a share of the State's distribution of the fire insurance premium taxes. For purposes of this valuation, the funding of pens ion benefits is assumed to be completed by the year the youngest firefighter reaches age 65. We have as sumed the fire insurance premium taxes increase at the s ame rate as prices, 4.0% per year, based on a study of historical increases. Thus, for funding purposes, w e have assumed only fire insurance premiums received prior to January 1, 2009 are applied to fund the reserves for pension benefits. Taxes received after that date are assumed to be used for other purposes, such as payment of medical benefits. 4111111 1rr OW IN U. 10 U. U. U. C fpfa0653.doc 5 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla U. Milliman USA rrr ilio Actuarial Valuation of Firefighter's Pension Fund or City of Renton January 1, 2003 er, TABLE 1 Actuarial Present Value of All Future Pension Benefits Not Provided by LEOFF System or Active Members Hired Prior to March 1, 1970: Retirement Benefits $ 0 Disability Benefits 0 Death Benefits 0 Separation Benefits 0 $ 0 er Retired Members Retirements prior to March 1,1970 $ 1,138,000 r Retirements since March 1,1970 5,334,000 6,472,000 Total Present Value of Future Benefits $ 6,472,000 or or or or or or er err fpfa0653.doc 6 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla Milliman USA .r >t.rr OW Actuarial Valuation of Firefighter's Pension Fund City of Renton January 1, 2003 rIr TABLE 2 OW Derivation of Contributions Required for Pension Benefits A. Actuarial present value of all future pension benefits not provided by the LEOFF System (Table 1): For active members $ 0 For retirees and survivors 6,472,000 $ 6,472,000 B. Assets of the Fund: Market Value en Cash $ 987,000 Investments 6,863,000 1I1 Other Assets 1,339,000 $ 9,189,000 se Less liabilities 0 $ 9,189,000 sir C. Present value of future fire insurance premiums to be allocated to the Fund through 2008* 324,000 $ 9,513,000 Nr D. Actuarial deficiency: Actuarial present value of amount to be funded from City appropriations, beginning in 2003[A-C, not less than zero]: $ 0 * Based on amount of total fire insurance premium taxes allocated to the Fund in 2002. The fire insurance premium is assumed to be payable to the City until the youngest firefighter turns 65. sio OW fpfa0653.doc 7 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla IMO Milliman usA err Actuarial Valuation of Firefighter's Pension Fund City of Renton January 1, 2003 imp SECTION 4 Actuarial Information for Accounting Purposes Reporting Standards rtr For fiscal years beginning after June 15, 1996, GASB reporting standards are required for defined benefit pension plans reporting and disclosures (Statement No. 25). The City has 'r"I adopted the reporting standards. The requirements for Statement No. 25 i nclude certain supplementary information to the financi al statements. These include: ,rr (1) A Schedule of Funding Progress, and (2) A Schedule of Employer Contributions. rlr The Schedule of Funding Progress compares the amount of Unfunded Actuarial Accrued Liability(UAAL)from year to year, and measures the progress of the employer's contributions in reducing this amount. The required Schedule of Employer Contributions compares the employer contributions required based on the actuarial required contribution, or ARC, with those employer contributions actuall y made. GASB Statement No. 27, is effective for fiscal years beginning after June 15, 1997, and is .Ir required for pension accounting by state and local governmental employers. The disclosures include the measurement of an annual pensi on cost(APC). For the Fund, the APC is equal to the employer's annual required contributions (A RC), as actuarially determined by the funding methods and assumptions for pension benefi is used for GASB purposes. If the City is required to make a contribution (A PC)and does not make a contribution equal to the ARC, then a Net Pens ion Obligation (NP 0)account would be established and the APC would reflect adjustments made to the NPO account, as well as t' the ARC. For GASB purposes, the ARC must be calculated based on certain parameters required for P disclosure purposes. However, the acceptable actuarial funding methods under these parameters all require the retirement be nefits to be funded by the time a m ember exits the retirement program. The acceptable funding methods required by GASB are reasonable for ongoing retirement programs but no excepti ons or special considerations are made for a closed off plan such as the Firefighters P ension Fund. Thus, in order to comply wit h the GASB reporting requirements, we have computed the ARC using an alternate funding method, the Entry Age N ormal Cost Method. Under this method the projected benefits are rr allocated on a level basis as a percentage of salary over the earnings of each i ndividual between entry age and assumed exit age. The am ount allocated to each year is cal led the Normal Cost and the portion of the Actuarial Present Value of al I benefits not provided for by future Normal Cost payments i s called the Actuarial Accrued Liability. Since all members fpfa0653.doc 8 14 003 FPF 71/14.0003.FPF.71.2003I KIS/CIH/mla Milliman USA +rr ter 11111 have already retired, the am ount of the Normal Cost is zero. The Unfunded Actuarial Accrued Liability(UAAL) is the Actuarial Accrued Liability minus the actuarial value of the Fund's assets. For GASB reporting purposes, Table 3 presents the annual Normal Cost and the ARC as of the valuation date, assuming the UAAL is amortized as a level dollar amount over a closed 30-year period beginning January 1, 2000 (no to at December 31, 2000, the UAAL was amortized over 30 years; at December 31, 2003, over 27 years, etc.). The estimated NPO at the end of the period December 31, 2003 is based on an assumed employer contribution as described in the footnote. Actual employer contributions w ill be different and the determination of the NPO at the end of the year should be re-deter mined based on the actual amounts received by the Fund. 1111 The UAAL and the percentage fund ed by assets are shown in Table 4, the S chedule of Funding Progress. Amounts shown in Table 5, the Schedule of Employer Contributions and in Table 6, the Three-Year Trend information should also be updated to reflect actual "r' employer contributions, including amounts received from the fire insurance premiums. After the first year, the redetermination of the NPO for future years, as shown in Table 8, WO Annual Development of Pens ion Cost will require the use of an amortization factor. We can assist the City in this determination at the end of the year. Annual redeterm inations of the NPO are required by GASB No. 27, but only biennial actuarial val uations are needed to determine the ARC. 1111 For actual funding purposes, as compared to GAS B reporting purposes, our continued recommendation is to use the modified aggregate cost method desc ribed in Appendix A. 111111 The modified aggregate cost method was used to determine the funding basis of this report. 1111 11111 1111 1N OP fpfa0653.doc 9 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla Milkman usa v• Actuarial Valuation of Firefighter's Pension Fund - City of Renton January 1, 2003 mg TABLE 3 GASB Statement No. 27 Annual Pension Cost and wi Net Pension Obligation (rounded to thousands) Fiscal Year Ending 2001 2002 2003 Annual required contribution(ARC) 1. Annual Normal Cost(BOY) $ 0 $ 0 $ 0 2. Amortization of UAAL(BOY) (19,675) (19,675) (194,038) 3. Interest to EOY[(1)+(2)] (1,180) (1,180) (11,642) Irr 4. ARC at EOY[(1)+(2)+(3)],not less than zero $ 0 $ 0 $ 0 5. Interest on NPO $ (867) $ (3,781) $ (7,086) 6. Adjustment to ARC (943) (4,435) (8,433) 7. Annual pension cost[(APC)] [(4)+(5)-(6)] $ 76 $ 654 $ 1,347 8. Employer Contributions** 50,703 55,730 58,000 * 9. Change in NPO [(7)-(8)] (50,627) (55,076) (56,653) * 10. NPO at BOY[(11)prior year] $ (12,392) $ (63,019) $ (118,095) 11. NPO at EOY[(9)+(10)] $ (63,019) $ (118,095) $ (174,748) * Ir * Assumed amounts will be replaced at year end with actual amounts. ** Fire Insurance Premiums. r or Ire se fpfa0653.doc 1 0 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla irs Milliman USA f ! f I i [ t I I I I I I I I I I 1 t Actuarial Valuation of Firefighter's Pension Fund City of Renton January 1, 2003 TABLE 4 GASB Statements No. 25 and No. 27 Schedule of Funding Progress (rounded to thousands) Actuarial Accrued Unfunded Actuarial UAAL As A Actuarial Value Liabilities Entry Accrued Liabilities Covered Percentage of Valuation Date of Assets Age (UAAL) Funded Ratio Payroll Covered Payroll January 1, 1997 $ 5,238 $ 6,444 $ 1,206 81 % $ 260 464 % January 1,2001 7,067 6,780 (287) 104 0 N/A January 1, 2003 9,189 6,472 (2,717) 142 0 N/A fpfa0653.doc 1 1 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla t Milliman usa t t I I I I I I t I I f I I I I f I Actuarial Valuation of Firefighter's Pension Fund City of Renton January 1, 2003 TABLE 5 GASB Statement No. 25 Schedule of Employer Contributions (rounded to thousands) Actual Actual Fire Annual Percentage of Employer Insurance Total Employer Required ARC Fiscal Year Ending Contributions Premiums Contributions* Contribution Contributed December 31, 1997 $ 161,000 $ 69,305 $ 230,305 $ 99,516 231 % December 31, 1998 0 61,775 61,775 99,516 62 December 31, 1999 0 75,340 75,340 99,516 76 December 31, 2000 0 44,582 44,582 99,516 45 December 31, 2001 0 50,703 50,703 0 N/A December 31,2002 0 55,730 55,730 0 N/A December 31,2003 0 * 58,000 * 58,000 * 0 N/A * * Assumed amounts will be replaced at year-end with actual amounts. fpfa0653.doc 12 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla (+) Milliman USA MIN Actuarial Valuation of Firefighter's Pension Fund City of Renton January 1, 2003 TABLE 6 GASB Statement No. 27 Three-Year Trend Information (rounded to thousands) Contribution as a Annual Percentage of Net Pension Fiscal Year Ending Pension Cost(APC) APC Obligation (NPO) December 31, 2001 $ 76 66,714.47 % $ (63,019) December31, 2002 654 8,521.41 (118,095) or December 31, 2003 1,347 4,305.86 * (174,748) Assumed amounts will be replaced at year-end with actual amounts. rlr us aw 1rr ea fpfa0653.doc 13 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla rr" Millimanusa �rrl I I I t $ I $ I I I I f I I I I I $ ! Actuarial Valuation of Firefighter's Pension Fund City of Renton January 1, 2003 TABLE 7 GASB Statement No. 27 Annual Development of Pension Cost (rounded to thousands) Fiscal Year ARC Interest on Annual Pension Total Employer Amort. Ending at EOY NPO ARC Adjustment Cost(APC) Contributions Change in NPO NPO Balance Gain/Loss Factor* Amort.of Gain/Loss Ending Balance (2)= (3)= (1) [Prior yr(7)] [prior yr(7)] (1)+(z)-(3) (5) (6)=(4)-(5) ri. itot yr* (8)=(1)-(5) (9) (10)= (11)=(7) x(interest%) !(9) [prior yr(7)] [prior yr(11)]/(9) 12/31/1997 $ 99,516 $ 0 $ 0 $ 99,516 $ 230,305 $ (130,789) $ (130,789) $ (130,789) 13.2777 $ 0 $ (130,789) 12/31/1998 99,516 (9,155) (9,850) 100,211 61,775 38,436 (92,353) 37,741 13.2777 (9,850) (92,353) 12/31/1999 99,516 (6,465) (6,956) 100,007 75,340 24,667 (67,686) 24,176 13.2777 12/31/2000 99,516 (6,956) (67,686) (4,738) (5,098) 99,876 44,582 55,294 (12,392) 54,934 13.2777 (5,098) (12,392) 12/31/2001 0 (867) (943) 76 50,703 (50,627) (63,019) (50,703) 13.1371 (943) (63,019)19 12/31/2002 0 (3,781) (4,435) 654 55,730 (55,076) (118,095) (55,730) 14.2105 (4,435) (118,095) 12/31/2003 0 (7,086) (8,433) 1,347 58,000 ' (56,653)' (174,748)' (58,000)' 14.0032 (8,433) (174,748)' * The 12/31/2003 contribution is an estimate and will need to be updated after the 12/31/2003 end of year financial statements are completed. ** Based on 30-year closed amortization as of January 1, 2000. fpfa0653.doc 14 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla • Minima»USA NW I•• Actuarial Valuation of Firefighter's Pension Fund City of Renton January 1, 2003 SECTION 5 Supplemental Information Cash-Flow Projections The following Table 8 illustrates the projected excess annual pension payments for currently active and retired members eligible for retirement benefits under FPF. The table is based on the actuarial assumptions stated in Appendix A. err IIII. or err rr rr fpfa0653.doc 15 14 003 FPF 71/14.0003.FPF.712003/KIS/CIH/mla 41110 Milliman USA 1m UN est Actuarial Valuation of Firefighter's Pension Fund 110 City of Renton January 1, 2003 Irl TABLE 8 Projection of Future Excess Pension Benefits um Current Retired Total mo Year Ending Active Members and Estimated December 31 Members Survivors Payouts up 2003 $ 0 $ 366,000 $ 366,000 2004 0 397,000 397,000 2005 0 417,000 417,000 2006 0 436,000 436,000 o' 2007 0 452,000 452,000 2008 0 479,000 479,000 2009 0 489,000 489,000 r 2010 0 495,000 495,000 2011 0 500,000 500,000 2012 0 501,000 501,000 lir 2013 0 498,000 498,000 2014 0 494,000 494,000 2015 0 487,000 487,000 u 2016 0 480,000 480,000 2017 0 470,000 470,000 2018 0 448,000 448,000 r• 2019 0 435,000 435,000 2020 0 422,000 422,000 2021 0 409,000 409,000 2022 0 394,000 394,000 imi me ow rr or fpfa0653.doc 16 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla Si 0 Milliman Usk rr — Actuarial Valuation of Firefighter's Pension Fund City of Renton January 1, 2003 APPENDIX A .Ir Actuarial Procedures and Assumptions The actuarial procedures and assumpti ons used in this valuation are described i n this I, appendix. The actuarial ass umptions are intended to estimate the future exper ience of the members of the City's Firefighter's Pension Fund. The turnover assumptions were based on the 1985-88 and the 1989-1994 Experience Studies for the Law Enforcement Offi cers'and Fire Relief and Retirement Sys tem prepared by the Office of the State A ctuary. Any - variations in future experience from that expected under these assumptions will result in corresponding changes in t he estimated costs of the S ystem's benefits. Table A-1 gives a brief summary of the assumptions. The ra tes of mortality, retirement, and other terminations of employment are illustrated in Tables A-1 through A-4. Where numerical rates are provided in the tabl es, these are technical ly central rates of �1d decrement, referred to in actuarial notation by the general symbol "m." The underlying theory involved is described more fully in Jordan, Life Contingencies, Society of Actuaries (Second Edition, 1967), page 273. irr Actuarial Cost Method For funding purposes and accruing costs, all benefits are measured by a modified aggregate me projected benefit method, with the annual cost spread over the period ending December 31, 2008, the valuation year-end befor e the youngest member attains age 65. Under this method, the required contribution is the portion of the actuarial present val ue of benefits allocated to a valuation year. The actuarial accrued liabi lity is equal to the actuarial value of assets. Since this funding method does not meet the param eters required for GAS B disclosure purposes, the accounting disclosures in Section 4 are based on a different actuarial method as described in that section. rrr Records and Data The data regarding active members, retirees, survivors and the financial information used in rrr this valuation were supplied by the City and are accepted for valuati on purposes without audit. MN Replacement of Terminated Members The City's FPF is a closed group. No new members are permitted. us fpfa0653.doc 17 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla r'°' Milliman USA +rr rirrr Appendix A (continued) Valuation of Assets (where applicable) All assets are carried on a market value bas is. Investment Earnings am The future investment earnings of the assets of the C ity's FPF are assumed to accrue at an annual rate of 6.0%. Future Salaries Salaries are assumed to increase at the rate of 5.0% per ann urn. This assumption is for future inflation increases only. Since the members have at least 20 years of service, no rrr additional increase is assumed for merit increases. Postretirement Benefit Increases Certain benefits increase at the same rate as the salaries for active members of the same rank the retiree had attained at retirement. These salaries were assumed to increase at the rate of 5.0% per annum. • Other benefits increase at the same rate as the Consumer Price Index increases. The CPI was assumed to increase at the rate of 4.0% per annum. 111110 Service Retirement All members who attain, or who have attained, age 65 in active service are assumed to retire immediately. Other members eligible for service retirement are assumed to retire at the rates shown i n Table A-2. tar Disablement The rates of disablement used i n this valuation are illustrated in Table A-3. 41111 Mortality The mortality rates used in this valuation are illustrated in Table A-4. Contributing Members and The mortality rates are based on the 1994 Group Members Retired from Service: Annuity Mortality Table for Males, with ages set forward one year. oso Disabled Members: The mortality rates are based on the 199 4 Group Annuity Mortality Table for Males, with ages set forward two years and a .005 minimum. Spouses: The mortality rates are based on the 1994 Group Annuity Mortality Table for Females, with ages set wr forward one year. Other Terminations of Employment The rate of assumed future withdrawal from active service for reasons other than dea th, disability, or retirement is 0.3% per year for all ages. fpfa0653.doc 18 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla Milliman USA rllr IW. Appendix A (continued) Vesting Terminating members may forfeit a vested right to a deferred benefit if they withdraw their accumulated contributions. For the purposes of the valuation, it is assumed that no such I�r forfeitures wilt occur. Family Composition All active members are assumed to be married, with no chil dren, when they retire. Marital status of retirees was supplied by the City. Wives are assumed to be three years younger than their husbands. Surviving spouses are assumed not to r emarry. I. Fire Insurance Premiums Future fire insurance premium tax revenues are assumed to increase at the rate of 4.0% per year. rrr • wrr air * IMO fpfa0653.doc 19 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla H Milliman USA ler elr or Actuarial Valuation of Firefighter's Pension Fund ONO City of Renton January 1, 2003 err TABLE A-1 Summary of Valuation Assumptions UM IMO I. Economic assumptions A. Salary increases (inflation only) 5.0% * B. Investment earnings 6.0% C. Growth in membership 0.0% D. Postretirement benefit increases 1. Related to salaries 5.0% 2. Related to Consumer P rice Index 4.0% WI II. Noneconomic assumptions A. Service retirement Table A-2 B. Disablement Table A-3 C. Mortality Table A-4 1. Active and service- IMP retired members 1994 Group Annuity Mortality Table for Males, with ages set forward one year. 2. Disabled members 1994 Group Annuity Mortality Table for Males, with ages set forward two years and a .005 minimum. errr 3. Spouses 1994 Group Annuity Mortality Table for Females, with ages set forward one year. VW D. Other Terminations of 0.3% per year prior to age 50, when Employment retirement is assumed. er err GNI fpfa0653.doc 20 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla sag Milliman USA rrr oar Actuarial Valuation of Firefighter's Pension Fund City of Renton January 1, 2003 i• TABLE A-2 Service Retirement Annual Rates Age Rate 50 14% i1a 51 5 52 10 53 15 54 15 ar 55 15 56 10 • 57 10 58 10 59 20 sw 60 20 61 40 62 40 aro 63 25 64 25 65 ire Immediate retirement is assumed for every person who attains age 65. 4111 OP fpfa0653.doc 21 14 003 FPF 71/14.0003.FPF.71.2003/KIS/GH/mla �" Milliman usa lir ""' Actuarial Valuation of Firefighter's Pension Fund u" City of Renton January 1, 2003 TABLE A-3 lrr Disablement Annual Rates ow Age Rate wr 30 0.8% 35 1.5 40 2.1 45 3.9 50 6.8 w. 55 9.6 60 11.3 +rr U. Ur U. er Irl fpfa0653.doc 22 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla 1 Milliman USA Actuarial Valuation of Firefighter's Pension Fund City of Renton January 1, 2003 err TABLE A-4 er Mortality Annual Rates �rlr Contribution Members and Members Retired Disabled Age From Service Members Spouses +r 30 .082% .500% .037% 35 .086 .500 .051 40 .116 .500 .077 45 .172 .500 .103 50 .287 .500 .157 UP55 .495 .558 .256 60 .899 1.015 .509 65 1.624 1.803 .969 70 2.595 2.848 1.495 Imo 75 4.086 4.517 2.533 80 6.862 7.553 4.395 85 10.579 11.567 7.535 it so fpfa0653.doc 23 14 003 FPF 71/14.0003.FPF.71.2003/KIS/GH/rola up t MillimanUSA OW "' Actuarial Valuation of Firefighter's Pension Fund am City of Renton January 1, 2003 rrr APPENDIX B Provisions of Governing Law air All actuarial calculations are based on our understanding of R CW 41.16 and 41.18, the statutes establishing the Firefighter's Pension Fund, and RCW 41.26, the statute establishing the Washington Law Enforcement Officers' and Firefighters' Retirement System. ow Each firefighter in service on March 1, 1970 r eceives the greater of the benefit payable under the Washington Law E nforcement Officers'and Firefighters' Reti rement System and the benefits available under the provisi ons of prior law. Where benefits under the old law exceed those under the new for any firefighter, the excess benefi is are paid from the Firefighter's Pension Fund of the city employing him on March 1, 1970. ow The benefit provisions of the Firefighter's P ension Fund are summarized briefly bel ow for reference purposes. This summary does not attempt to cover all of the detailed provisions of the laws. For comparative purposes, the bracketed statements desc ribe the corresponding LE OFF law. ow Definitions Salary: Basic salary attached to rank of firefighter at time of retirement. I"rl [Same if he had the rank for at least 12 months; otherwis e, the highest 24-month average from the last ten years of service.] ,r, Spouse: Unremarried surviving spouse who was married to a disabled firefighter at time of disablement or to a r etired firefighter for five years prior to retirement. [Same, except marriage to retired firefighter for one year prior to retirement qualifies.] r Child: Firefighter's unmarried child under age 18. [Firefighter's unmarried child under age 18 or up to age 22 whi le attending an educational liw institution accredited or approved by the state of W ashington.] ow fpfa0653.doc 24 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla se 'Willman USA NIP r. u" Appendix B (continued) isService Retirement Benefit Member's Benefit: me Eligibility Age 50 and 25 years of service. [Age 50 and five years of service.] Amount of 50%of salary plus an additional 2% for each year of service in excess benefit of 25 years. Maximum benefit of 60%of salary. [2% of salary for each year of service if 20 or more years; 11%z% of salary for each year of service if at least ten but less than 20 years of service; 1% of salary for each year of service if at least five but less than ten years of service. Maximum benefit of 60% of salary.] Survivor's Benefit: rrr Eligibility Spouse or child. [Same.] Amount of Continuation of firefighter's benefit. [If spouse-same plus additi onal benefit 5% of salary per child. If no spous e-30% of salary for first chi Id, 10% for each additional child. Maximum benefit in either case-60% of salary.] aim Duty Disability Retirement Benefit Member's Benefit: Eligibility Disabled after six-month waiting period, during whi ch time salary is payable from the Fund. [Same, except salary is payable by city during the waiting period.] Amount of Determined same as Service Retirement Benefit. [50% of salary plus benefit an additional 5%for each child; maximum benefit of 60%o f salary.] Recovery Restoration to service. [Upon recovery before age 50, restoration to from disability service with full credit for service while disabled. Upon recovery after age 50, benefit continues as the greater of service retirement benefit or current benefit.] Survivor's Benefit: See Survivor's Benefit section under Service Retirement. err fpfa0653.doc 25 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla GCS Milliman USA Ir. Appendix B (continued) Non-Duty Disability Retirement Benefit Member's Benefit: Eligibility Disabled after 90-day waiting period, during which ti me salary is payable from the F und. [Disabled after six-month waiting period, during which time salary is payable by the city.] no Amount of 50% of salary. [50% of salary plus an additional 5% for each child; benefit maximum benefit of 60% of salary.] Recovery See section under Duty Disability Retirement. from disability Limitations No benefits payable if firefighter employed elsewhere when disabled. [All benefits are reduced by workers' compensation, S ocial Security, or insurance provided by another employer. Allowance cannot exceed difference between w age from current gainful employment and salary currently attached to rank held at retirement.] Survivor's Benefit: Irr Eligibility Spouse or child. [Same.] Amount of Percentage of salary, as follows: benefit 33.3% to widow onl y 45.8%to widow and one c hild 47.6%to widow and two children .r 50.0%to widow and three children 33.3%to children only [Determined same as under Service Retirement Survivor's Benefit.] Ir. Orr fpfa0653.doc 26 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla Q00 Milkman usa , Irr es Appendix B (continued) Duty Death Benefit Eligibility Spouse or child. [Same.] Amount of If spouse-50% of salary plus an additional 5% of salary per chil d; benefit maximum benefit 60% of salary. If no spouse-50% of salary to children. [If spouse- same. If no spouse-30% of salary for first child; 10% for each additional child. Maximum benefit in either case of 60% of salary.] "r Non-Duty Death Benefit Provisions same as Survivor's Benefit under Non-Duty Disability Retirement. [Provisions same as Survivor's Benefit under Duty Death Retirement.] Special Provisions Under disability or death benefits, a surviving spouse may elect a lump-sum payment of $5,000 in lieu of future monthly benefits. [If firefighter's contributions are not exhausted by payments to survivors, the balance goes to the firefighter's legal heirs. Applies to service, up disability and death benefits.] Vesting Eligibility Termination after 20 years of service. [Termination after five years of service.] rr Deferred Benefit Commences When firefighter would have had 25 years of service. [A ge 50.] es Amount of 2%of salary for each year of service. [Same, if at least 20 years of benefit service; 1.5% of salary for each year of service if at I east ten but less than 20 years of service; 1% of sala ry for each year of service if at es least five but less than ten years of service.] s• rlr fpfa0653.doc 27 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla Milliman USA INN Appendix B (continued) Death while vested prior to commencement of benefits: Payment of firefighter's deferred benefit to his spouse or child. +ir a. Firefighter with 20 or more years of service: If spouse-firefighter's deferred benefit plus an additional 5% of dr, salary per child. If no spouse -30% of salary for first child, 10% for each additional child. Maximum benefit in either case-60% of salary. b. Firefighter with I ess than 20 years of servi ce: i'r Payment to spouse or estate of accumulated contribut ions less any payments made to firefighter.] lir Withdrawal Eligibility Termination with no other benefit. [S ame.] us Benefit Return of accumulated contributions les s any benefit paid. [Same.] rr Postretirement Increase Type 1. Escalation by salary in proportion to current salary of rank "r from which firefighter retired. 2. Increase proportionate to the inc rease in the Seattle-area Consumer Price Index, with change computed annu ally. Regardless of the increase (or decrease) in the CPI, the benefits are increased at least 2% each year. [Increase or decrease proportionate to the increase or decrease in the Seattle-area Consumer Price Index,with change computed annually. No benefit may decrease below original amount.] Applicability Escalation Type 1 applies to firefighters who retired from Irl service after 1969, their survivors, and to firefighters w ho retired for duty disability after 1961. The second type applies to all other types of monthly benefits. [A II monthly benefits.] rr Minimum Benefit After April 25, 1973, a minimum benefit of$300 per month to all retired firefighters and their us survivors. [No provision.] err O fpfa0653.doc 28 14 003 FPF 71 114.0003.FPF.712003/KISICIHImIa Milliman USA Appendix B (continued) Funeral Benefit $500 to defray funeral expenses. [No provision.] Medical Benefits For any active firefighter hired prior to March 1, 1970—medical, hos pita!, and nursing care as long as a disability exists. Salary continued for period not exceeding six months. For any retired firefighter—medical, hospital, and nursing care at discretion of retirement board. Members retired for other than duty disablement prior to 1961 are not eligible for medical benefits during retirem ent. [For any active or retired LEOFF I mem ber, the necessary hospital, medical, and nursing care expenses not payable by workers' compensation, Social Security, etc. The employer may pay for such benefits for firefighters from its FPF.] Both FPF and LEOFF I medical benefits are liabilities of the City but are not included i n the actuarial valuation report. wr Irrl IW OW OW w OW fpfa0653.doc 29 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla OW 03) Milliman USA WO wr Actuarial Valuation of Firefighter's Pension Fund 111 City of Renton January 1, 2003 so APPENDIX C OP Valuation Data This valuation is based on the membership of the City's FPF as of January 1, 2003. It is our understanding that, as of the valuati on date, the only liabilities for future benefits to present or retired firefighters or their survivors are those alloc able to the persons included i n Tables C-1 through C-5. Tables C-1 through C-5 present the distributi ons of retirees receiving servi ce and disability Ir retirement pensions. Shown in the tables are the number receiving benefits and the monthly benefits received. Summary of Membership Data me Active Members Retired Members and Survivors Monthly Pension Annual Average Number Salaries Annual Salaries Number Paid by City Paid by LEOFF 0 $ 0.00 $ 0.00 43 $ 30,216.33 $ 115,754.17 Irr IMO Ile tr it fpfa0653.doc 30 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla Milliman USA 1r Actuarial Valuation of Firefighter's Pension Fund is City of Renton January 1, 2003 i• TABLE C-1 Firefighters Disabled in the Line of Duty Before March 1, 1970 Age Number Monthly Pension 85—90 2 $ 7,272.50 aro Total 2 $ 7,272.50 TABLE C-2 sr Survivors of Firefighters Retired Before March 1, 1970 Age Number Monthly Pension 65—70 1 $ 2,055.38 Total 1 $ 2,055.38 TABLE C-3 Firefighters Retired for Service Since March 1, 1970 so Monthly Pension Age Number Paid by City Paid by LEOFF rn 55—60 1 $ 0.00 $ 5,204.82 60—65 1 0.00 3,392.19 65—70 4 467.19 14,923.70 ern 70—75 1 26.67 4,608.33 75—80 1 0.00 4,838.50 80—85 3 1,023.65 9,473.70 up Total 11 $ 1,517.51 $ 42,441.24 No rr fpfa0653.doc 31 14 003 FPF 71/14.0003.FPF.712003/KIS/CIH/mla Milliman Lisa ar •• Actuarial Valuation of Firefighter's Pension Fund ••" City of Renton January 1, 2003 ■• TABLE C-4 Firefighters Disabled In Line of Duty Since March 1, 1970 Monthly Pension Age Number Paid by City Paid by LEOFF err 55—60 3 $ 510.92 $ 9,206.85 60—65 5 1,449.52 14,824.63 65—70 3 552.66 9,074.34 70—75 3 1,043.73 8,484.77 75—80 6 10,289.35 7,717.45 80—85 3 2,419.18 8,560.12 Total 23 $ 16,265.36 $ 57,868.16 TABLE C-5 NW Survivors of Firefighters Retired Since March 1, 1970 Monthly Pension Age Number Paid by City Paid by LEOFF 60—65 1 $ 174.17 $ 2,446.33 Ir 65—70 2 2,502.75 2,449.71 70—75 1 255.10 3,009.98 75—80 2 173.56 7,538.75 Iwr Total 6 $ 3,105.58 $ 15,444.77 ow ow rr raw Ir fpfa0653.doc 32 14 003 FPF 71/14.0003.FPF.71.2003/KIS/CIH/mla Milliman USA Ilr