HomeMy WebLinkAboutCity Council Committees - Fireman's Relief Pension Board - 01/16/2018
Firemen’s Relief & Pension Board
Agenda
Board Members: Dana Ralph, Mayor,
Kimberley A. Komoto, City Clerk, Les Thomas, Chair of the Operations Committee,
Sam Grubbs, Retired Firefighter, Al Bond, Retired Firefighter
January 16, 2018
3:30 p.m.
Item Description Action Speaker Time
1. Call to order Mayor Ralph 1 Min
2. Roll Call Kim Komoto 1 Min
3. Changes to the Agenda
MOVE TO APPROVE THE AGENDA
Yes Mayor Ralph 1 Min
4. Approval of Minutes of October 17, 2017
MOVE TO APPROVE THE MINUTES OF
October 17, 2017
Yes 1 Min
5. Financial Report
MOVE TO APPROVE THE FINANCIAL
REPORT ENDING DECEMBER 31, 2017
Yes Lavina Brennecke 5 Min
6. Benefit adjustment to reflect Puget Sound
Regional Fire Authority COLA increase
MOVE TO APPROVE THE BENEFIT
ADJUSTMENT TO REFLECT THE PUGET
SOUND REGIONAL FIRE AUTHORITY
COLA INCREASE
Susanne Shaw 5 Min
7. Adjournment
MOVE TO ADJOURN THE MEETING OF
January 16, 2018
Yes Mayor Ralph 1 Min
Unless otherwise noted, the Firemen’s Relief and Pension Board meets quarterly at 3:30 p.m.
in the Mayor’s Office located in the City Hall Building, 220 Fourth Ave S, Kent, WA 98032.
For additional information please contact Kimberley A. Komoto at 253-856-5788 or via email
at Kkomoto@KentWA.gov.
Any person requiring a disability accommodation should contact the City Clerk’s
Office at 253-856-5725 in advance. For TDD relay service call Washington
Telecommunications Relay Service at 1-800-833-6388.
Firemen’s Relief and Pension Board October 17, 2017
Minutes Kent, Washington
Approval Pending
BOARD MEMBERS PRESENT: Board Chair, Mayor Suzette Cooke, board members
Dana Ralph, Sam Grubbs, Al Bond and Kim Komoto, Secretary.
STAFF MEMBERS PRESENT: Lavina Brennecke, Accounting and Reporting
Manager
1. Call to Order
The meeting was called to order at 3:34 p.m., with Committee Chair Mayor Cooke
presiding.
2. Roll Call
Mayor Suzette Cooke – Present
Councilmember Dana Ralph – Present
Kim Komoto – Present
Al Bond – Present
Sam Grubbs - Present
3. Changes to the Agenda
Sam Grubbs moved to approve the agenda as submitted, and Al Bond seconded the
motion.
The motion passed unanimously by a vote of 5-0.
4. Approval of Minutes, dated July 18, 2017
Sam Grubbs moved to approve the minutes dated July 18, 2017, and Al Bond
seconded the motion.
The motion passed unanimously by a vote of 5-0.
5. 3rd Quarter 2017 Financial Transactions
Lavina Brennecke, Accounting & Reporting Manager provided details regarding the
Firemen’s Relief and Pension Trust Fund Executive Summary, ending September 30,
2017. Details were provided regarding cash, local investment pool, other
investments, and FHLM allocations. Lavina reviewed the revenues and expenses
and indicated the increased earnings are due to the City’s more robust investment
program.
Lavina Detailed the operating expenses including payments to retirees and health
insurance premiums.
Page | 1
Firemen’s Relief and Pension Board October 17, 2017
Minutes Kent, Washington
Approval Pending
Al Bond moved to approve the financial transactions for the Third Quarter of 2017
and Sam Grubbs seconded the motion.
The motion passed unanimously with a vote of 5-0.
6. Amendments to Operating Policies
Kimberley Komoto detailed the proposed amendments to the Operating Policies.
Additional revisions included revising section 3.2 to refer to the Operations
Committee rather than the Finance Committee.
Kimberley Komoto moved to approve the amendments to the Firemen’s Relief and
Pension Board Operating Policies, as further amended, Sam Grubbs seconded the
motion.
The motion passed unanimously with a vote of 5-0.
7. Adjournment
At 3:47 p.m., Chair, Mayor Cooke declared the meeting adjourned.
Kimberley A. Komoto
Firemen’s Relief and Pension Board Secretary
Page | 2
KENT
WaSHTNGToN
CITY OF KENT
FIREMEN'S RELIEF & PENSION TRUST FUND
FINANCIAL REPORT
December,2O17
MANAGEMENT REPORTS
Cash and Investments as of December 31,2017
5 year comparison and breakdown of current investments
Statement of Revenues and Expenses
for the Year Ended December 31, 2017
1
2
Date Presented: t/ t6/2OL8
City of Kent
Firemen's Relief & Pension Trust Fund
Executive Summary
December,2017
Cash & Investments - December 31. 2017
The total cash & investments has decreased about 560,000 since the same period in
2016. Historically, the pension funds decrease about 590,000 per year.
The listing of investments is in the chart on the same page. lt shows the Checking and
LGIP (Local Government lnvestment Pool) balances first, followed by the longer term
investments and their maturities.
The pie chart shows each investment in relation to the total investment.
Statement of Revenues and enses - December ?1,.2O17
The year to date interest income Íor 2OI7 (582,859) is an estimate. We anticipate the
actual interest earnings will be very close to this number. lnterest earnings increased
about 56,000 over the prior year. This was mostly due to rising interest rates during the
year in the LGIP and in our investments. We anticipate that in 2018 interest should stay
very consistent with 2OI7 or decrease slightly as balances in the LGIP go down.
Pension costs for the year to date are $162,942. Pension costs represent the difference
between what firefighters would have received under the city pension vs. their current
LEOFF pension benefits. Pension costs for 2OL7 are about 54,000 greaterthan 2016
costs.
Health insurance costs are set by the actuarial. For 20L7, the total annual health
insurance cost was 5200,000. This is a decrease of 526,000 from 2016 costs. These costs
are a portion of the cost of health insurance and long-term care insurance costs that are
paid by the City.
a
a
a
a
Date Presented: I/L6/2OL8
12131t13
$ 2,048,550
614,535
$ I,852,659 73.520/o
667,260 26.480/0
_$ e19p19__l9o.oo%-
12t31t15
$ 683,032
1,738,163
76.92o/o
23.QÙo/o
City of Kent
Firemen's Relief & Pension Trust Fund #620
Cash & lnvestments
December 31,2017
Five Year Comparison
12t31t14 '12t31t16
$ 719,1r 5 30.88%
1,609,989 69.12%
_g_?,32s,19!__49.00%_
12131t17
$ 955,370 42.11%
1,313,512 57.89Vs
_9_2,26E,882__l 00.00%_
28.210/
71.79%
CASH & INVESTMENTS
Gash in Ghecking & LGIP
Investments, at Gost
TOTAL CASH & INVESTMENTS
LIABIL]TIES AND RETANED EARNINGS
Accrued Expenses
Held in trust for Pension Benefits
TOTAL LIABILITIES & RETAINED EARNINGS
$ 2.663.085 100.00%
$ 5,025 O.19Yo $ S,S3Z
2,658,060 99.817o 2,513,982 99.760/0
_$_2,663,09!___l!9.00%_ _üfle,srs 100.00%.
J 2.421.195 100.00%
o.24% $ o,¿zt 0.270/o $ 6,596 0.28% $ 6.676 0.290/o
2,414,724 99.73o/o 2,322,508 99.720/o 2,262,206 99.710/o
_!_?,26E,99?_!0.00%_s 2.421.195 100-00%j 2,329,104 100.00%
r Cash in Chec*ing
I Local Gov't lnvestment Pool
r Other lnvestments
r FHLM from 1987
CITY OF KENT
FIREMEN'S RELIEF AND PENSION FT]ND INVESTMENTS
December 31,, 2017
Invest ^ntPuchase
Securitv De Yield Maturity TotalDate
t2/3t/17
t2/3t/t7
\2/31/17
04/r0/87
CashinChecking
I-ocal Gof t Investnerú Pool
Other Invest¡ents
Federal Horne Loan Mortgage
0.000% $
1.127% Ovemigtn $
0.750-3.125Yo 2 mo.-5 ys. $
8.508% rr/29/t9 $
163,639
791,731
459,159
854,353
s 2,268,882
Date Presenteù Ot/I6l2Ot8
City of Kent
Firemen's Relief and Pension Trust Fund #620
Statement of Revenues and Expenses
Forthe Year Ended December 31,2017
Five Year Comparison
12131t1412131t13
$ 51,800 25.050/o
155,012 74.95o/o
$ 206,Er2 100.00%100.00% i 2E7,311 100.00%
12t31t16
$ 76,528 25.16%
227,665 74.84o/o
$ 304,193 100.00%$ 305,642 100.00%
12t31t15 '12131t17
OPERATING REVENUES
lnterest lncome
Fire lnsurance Premium Tax
TOTAL REVENUES
OPERATING EXPENSES
Pension Palments to Retirees
Health lnsurance
Actuarial Study
TOTAL EXPENSES
NET TNCOME (LOSS)
$54,673
r 78,899
s 233,s72
23.41o/o
76.59%
68,279
219,032
23.760/o
76.24o/o
82,859
222,783
27.11o/o
72.89o/o
$$
124,148
197,000
38.66%
61.34o/o
0.00%
143,325
226,OOO
8,325
37.95o/o
59.84o/o
2.20%
157,121
226,000
3,000
4O.690/o
58.53%
0.78o/o
162,942
200,000
3,000
44.53o/o
54.650/o
0.82%
158,944 40.060/0
226,000 56.96%
11,825 2.980/o
$ 396,769 100.00%
@
$ 365,942 100.00%
$ (60.300)
$ 32l,r4E 100.00% s 377,650 IOO.OO% $ 386,121 1oO.OO%
$ (r14,336)$ (l¡14.07E)$ (9E,E10)
2Date Presented: O1 11612018