The URL can be used to link to this page

Home My WebLink About1998-09-24 - Agendas - FinalFIRE PENSION AGENDA Thursday, September 24, 1998 City Administration Building, Room 326 1. Call to order 2. Approval of minutes 3. Pension List 4. Investment Report a) Richard Yada b) NM Capital management, Inc. letter 5. State Insurance Turn Back 6. Old Business a) Benefit Summary Request 7. Information .J MINUTES OF FIRE PENSION BOARD A meeting of the Fayetteville Firemen's Pension and Relief Board was held on Thursday, August 27, 1998 at 11.00 A. M. in room 326 of the City Administration Building, 113 W. Mountain, Fayetteville, Arkansas. PRESENT: Mayor Hanna, Marion Doss, Darrel Judy, Bill Morris, Pete Reagan, Ron Wood, City Clerk/Treasurer Heather Woodruff Richard Yada and Curtis Williams of Merrill Lynch. CALL TO ORDER Mayor Hanna called the meeting to order. APPROVAL OF THE MINUTES Mr. Reagan moved to approve the minutes. Mr. Doss seconded the motion. The motion carried unanimously. PENSION LIST Mr. Morris moved to approve the minutes. Mr. Reagan moved to second the motion. The motion passed unanimously. INVESTMENT REPORT Mr. Yada reported the market was down for the months of July and August. This drop had caused a loss of $213,000 in the Fire Pension Fund. The Capitol is up 1.77% from July The income account is up 3.34. New Mexico Capitol is still down and will investigate further. Ashland is out performing the market. Mr. Williams stated the average stock is down as much as 30% from its high. He explained most of the world's countries are in recession. Latin American countries were having problems with their currency and it would affect the United States because of the large trade circle with Mexico. The United States economy was still sound. He stated the Federal Reserve needed to lower interest rates at the end of this year. Over all the market was still sound. OLD BUSINESS Mayor Hanna asked Ms Woodruff if she had received an answer from Ms. Hinshaw. Ms. Woodruff replied no answer has been received yet. Mr. Reagan asked Ms. Woodruff to request information on what other cities paid their full time retirees. Mr. Yada stated he was supposed to get in contact with Steve Osburn and had attempted to reach him several times but had not made contact. Mr. Reagan made the motion to grant Ashland Management permission to pnnt Fayetteville Fire Pension's name in their brochure. Mr. Judy seconds the motion. The motion carried unanimously. The meeting adjourned at 12:05 P. M. • u FIREMEN'S RELIEF AND PENSION FUND SEPTEMBER 1998 alITHE FOLLOWING ARE THE OBLIGATIONS OF THE FIREMEN'S RELIEF FUND FOR THE ONTH OF SEPTEMBER 1998. YOU ARE HEREBY INSTRUCTED TO ISSUE CHECKS TO THE PAYEES, IN THE AMOUNTS SHOWN, AND FOR THE PURPOSE SO STATED. • • • DATE OF EMP# RETIREMENT 43 3/86 2 3/75 63 5/72 44 9/86 45 9/86 49 7/88 4 6/67 5 5/72 57 5/90 6 4/68 8 10/76 61 6/66 10 2/66 11 2/76 38 5/84 33 5/80 34 6/79 64 4/95 47 5/88 37 3/84 54 5/89 12 3/60 13 10/67 14 7/74 51 10/88 60 12/89 55 12/89 40 9/85 50 9/88 39 4/85 35 2/82 15 4/77 29 8/81 42 2/86 17 2/66 16 4/64 62 10/68 48 7/88 58 9/90 46 5/88 53 2/89 20 12/52 22 4/73 30 3/81 41 9/85 23 4/71 24 4/56 56 2/90 36 5/76 25 2/75 NAME BAIRD, RICHARD H. BLACKARD, PAUL BOLAIN, ANN BOUDREY, BETTY MRS. BOUDREY, HOWARD BOUDREY, JACK CARL, FLOYD JR CASELMAN, ARTHUR CATE, ROY CHRISTIE, ARNOLD COUNTS, WAYNE DAVIS, BEULAH F. DEARING, EMMA MRS. FARRAR, ALONZO FRALEY, JOSEPH G. HARRIS, BILL C. HARRIS, JAMES E. JORDAN, CHARLIE JUDY, DARRELL KING, ARNOLD D. KING, ARVIL LANE, HOPE MRS LAYER, MERLIN LEE, HAROLD LEWIS, CHARLES LEWIS, MARVIE LEWIS, ROGER LOGUE, PAUL D. MASON, LARRY MC ARTHUR, RONALD A. MC CHRISTIAN, DWAYNE MC WHORTER,CHARLES MILLER, DONALD MOORE, JAMES H. MORRIS, WILKIE MRS. MORRIS, WILLIAM H. MORRISON, ELIENE MULLENS, DENNIS W. OSBURN, EDWARD OSBURN, TROY POAGE, LARRY POLLY, GRACE A. MRS. REED, JOE SCHADER, EARVEL SCHADER, TROY SKELTON, BURL L. SKELTON, LEE SKELTON, ROY SPRINGSTON, CARL STOUT, ORVILLE GROSS 1,191.06 55.00 55.00 1,641.57 1,383.66 1,088.98 55.00 75.00 1,182.35 55.00 55.00 377.50 55.00 707.84 1,171.39 55.00 55.00 1,525.81 1,088.98 1,008.97 1,131.00 55.00 417.50 55.00 1,088.98 570.91 570.92 1,902.69 1,078.16 1,159.11 55.00 886.19 863.01 55.00 55.00 70.00 80.00 1,448.31 1,646.01 1,255.55 1,556.57 55.00 55.00 923.01 1,007.92 692.50 390 00 1,626.02 609.88 590 36 • FED. TAX ST. TAX NET 100.00 1,091.06 55.00 55.00 180 00 1,461.57 1,383.66 287.68 50.00 751.30 55.00 75.00 1,182.35 55.00 55.00 377.50 55.00 707.84 100.00 10.00 1,061 39 55.00 55.00 1,525.81 1,088.98 100.00 10.00 898.97 130.00 1,001.00 55.00 417.50 55.00 1,088.98 570.91 50.00 10.00 510.92 200.00 25.00 1,677.69 78.16 1,000.00 100.00 1,059.11 30.00 25.00 80.00 806.19 125.00 738.01 55.00 55.00 70.00 80.00 1,448.31 160.00 1,486.01 65.81 1,189.74 210.00 60.00 1,286.57 55.00 55.00 923.01 57.00 950.92 42.50 650.00 390.00 210.00 63.40 1,352.62 50.00 9 88 550.00 50.00 • 540.36 • 27 3/71 TUNE, MILDRED MRS. 26 3/66 TUNE, BILLIE SUE 28 7/68 WATTS, DONALD 59 5/91 WATTS, WAYNE 52 9/88 WRIGHT, RANDALL DROP EMPLOYEES JOHNSON, ROBERT MILLER, KENNETH WARFORD, THOMAS BONADUCE, MICHAEL DILL, GARY GAGE, TOMMY FREEDLE LARY 80.00 80.00 400.00 1,191.51 1,128.98 96.17 150.00 80.00 80.00 400.00 1,095.34 978.98 37,713.20 2,652.32 238.28 34,822.60 2,042.47 2,129.57 1,659 70 1,975.38 2,396.21 1,716.25 2,550.40 WE, THE UNDERSIGNED, DO SOLEMNLY SWEAR THAT THE ABOVE OBLIGATIONS ARE JUST AND CORRECT; THAT NO PART THEREOF HAS BEEN PREVIOUSLY PAID; THAT THE PENSION PAYMENTS SO CHARGED ARE IN ACCORDANCE WITH THE ACTIONS OF THE BOARD OF TRUSTEES OF THE FIREMEN'S RELIEF AND PENSION FUND; THAT THE SERVICES OR SUPPLIES FURNISHED, AS THE CASE MAY BE, WERE ACTUALLY RENDERED OR FURNISHED; AND THAT THE CHARGES MADE THEREFORE DO NOT EXCEED THE AMOUNT ALLOWED BY LAW OR THE CUSTOMARY CHARGE FOR SIMILAR SERVICES OR SUPPLIES. ) ,e.wit I S CRETARY CHAIRMAN AND PRESIDENT • ACKNOWLEDGEMENT STATE OF ARKANSAS ) COUNTY OF WASHINGTON) )SS SWORN TO AND SUBSCRIBED BEFORE ME THIS DAY OFS2p , 1998. NOTARY PUBLIC MY COMMISSION EXPIRES: �' / 2-2)Ot • 0 """°mmrnni, aP_B RO Yi AP / 1.1OTARy'.tn . a: ;a au): .N= 2 Z c ? y ;' PUBLIC �Q 4)c ....•• QQ\,o NM CAPITAL MANAGEMENT, INC. INVESTMENT COUNSEL a, Americas Parkway NE • Suite 950 • Albuquerque, NM 87110-8120 • (505) 888-9500 • (505) 888-9455 fax • September 10 1998 Ms Traci Paul City of Fayetteville Fire Dept 113 W Mountain St Fayetteville, AR 72701 Dear Ms. Paul: RECEIVED - BSEP 1 5 1998 CUT CLERKS OFFM In what was a brilliant stroke of marketing, the video of the movie "Titanic" was released on August 31. That same day, the stock market pitched, rolled and looked as if it was going to sink after running into some rocky economic news. The problems in Russia, and what they may portend for other countries, as well as the projected slowdown in corporate earnings, looked as if it would cause the Dow Jones to dive into Davy Jones' locker. On September 1, the market righted itself and steamed forward recapturing more than half of Monday's 512 point submergence. What does all this volatility mean? We believe the market is telling us what it always tells us — anything can happen to markets in the short term. Think long term. What happened to the bow Jones and S&P on August 31 has been happening to most stocks over the, past few,months. It ,'was widely reported in June that the market's record setting performance was'corifinedao the'Ia4esfbf "the' S&P stocks. The indices, heavily weighted in large capitalization stocks, were climbing not because of favorable economics but because mutual funds and foreign investors, loaded with cash and needing liquidity, confined their buying to those larger issues. In fact, large stocks continued to rally until the middle of July, while small and medium stocks began their decline in April. This underperformance of small and mid -cap companies, the vast majority of our stocks, adversely affected NM Capital Management's portfolios. In the short term, the market can be punishing to stocks whose prices are, based more on euphoria than economics. NM Capital's approach, regardless of market conditions, Is to look for -companies -whose -intrinsic value Lis greater than -their market pricer—We see-the•greatest value in the smaller and mid capitalization stocks. Historically, both have outperfomed big cap stocks. Given that our value philosophy has served us well in the past, and the fact that history is on our side, we believe the smaller and mid -cap stocks are still where we should be investing. Feel free to call us if you have any questions at 1-800-869-1156. Sincerely,:. .; • Thomas S. Christopher, CFA Chief Investment Officer s:\salesmgtlbruno\midgtr.doc John Hancock Advisers, Inc. • John Hancock Funds, Inc.* • The Patriot Group, Inc. John Hancock Advisers International. Ltd. • NM Capital Management, Inc. • Sovereign Asset Management Corporation '101 Huntington Ave., Boston, MA 02199 Member ofNational Association ofSecuririer Dealers, /nc 0❑ 0 O JOHN HANCOCK FUNDS A acid /mmv,.s Mi ymm limp FAYETTEVILLE THE CITY OF FAYETTEVILLE, ARKANSAS • • DEPARTMENTAL CORRESPONDENCE • To: Mayor Fred Hanna and Fire Pension Board members From: Ben Mayes, Administrative Services Director Subject: State Insurance Turnback Date: September 11, 1998 The City received $260,156.23 in State Insurance Turnback funds on September 03, 1998. The funds were divided between the Firemen's Pension and Relief Fund and LOPFI as follows: Plan participants: Active Retired Total Firemen's Pension and Relief Fund 21 55 76 LOPFI 52 52 Total participants 128 Funds received $260,156.23 divided by 128 = $2,032.4705 Firemen's Pension and Relief Fund $2,032.4705 x 76=$154,467.76 LOPFI $2,032.4705 x 52=$105,688.47 Total $260,156.23 The Firemen's Pension and Relief Fund portion of the funds are currently in the regular checking account. A cash flow projection indicates a balance of approximately $135,000.00 will be available for transfer to the money manager at the Pension Board's direction. Please discuss this at the September 24, 1998 Pension Board meeting. City of Fayetteville Fire Pension Fund Cash Flow Projection — City held funds only • 9/01/98 — 12/31/98 Cash on hand beginning of month September October November December 1998 1998 1998 1998 9,113 5,668 3,480 71,342 Receipts: Property Taxes 4,000 25,000 95,000 10,000 Employee Contribution 3,500 3,500 3,500 3,500 Employer Contribution 7,000 7,000 7,000 7,000 Interest —Checking 300 25 75 50 State Insurance Turnback 154,468 Total Receipts 169,268 35,525 105,575 20,550 Total Cash Available 178,381 41,193 109,055 91,892 Expenditures: Pension payments (37,713) (37,713) (37,713) (37,713) Total Cash expended (37,713) (37,713) (37,713) (37,713) Transfers (to)/from Money Manager (135,000) •Cash balance end of month 5,668 3,480 Note: Does not take into consideration any potential retirements and/or pension withdrawals. • 71,342 54,179 • SEP -08-98 TUE 15:17 *Osborn, Carreiro & Associates, Inc: ACTUARIES • CONSULTANTS • ANALYSTS • • September 8, 1998 Ms. Cathym Hinshaw, Executive Director Arkansas Fire and Police Pension Review Board One Union National Plaza Suite 940 Little Rock, AR. 72201 Re: Fayetteville benefit summary request Dear Cathym: 1A• P.01 One Union National Plaza.Suite 1690 124 West Capitol Avenue Little Rock. Arkansas 72201 (501)376-8043 . • N9g Attached is the benefit summary that was requested by the City of Fayetteville. It shows the minimum benefit and the percent of pay for full paid employees and volteer/part-paid employees. V-925> If you have any questions or comments, please let me know. Sincerely, Steve Osborn, F.S.A., M.A.A.A. • :';.. t�^7G • ASE, T r �� c SEP -08-98 TUE 15:17 • ARKANSAS FIRE & POLICE PENSION FUNDS SUMMARY OF BENEFITS PAID Alma Altheimer Altus Amity Arkadelphia Arkansas City Ashdown Atkins Augusta Bald Knob Barling Batesville Batesville Bay. Bearden Beebe Bella Vista Belleville Benton Benton Bentonville Berryville Biscoe Blytheville Blytheville Booneville Bradford Bradley Brinkley Brinkley Bryant Bull Shoals Cabot Cabot Caddo Valley Caldwell Calico Rock Calion Camden Camden Carlisle Carthage Cash Cave City Centerton Charleston Chidester t• Volunteer/Part-Paid Full Paid Percent of Pay 50 50 50 50 50 50 50 50 50 50 50 50 N/A 50 50 50 50 50 N/A 50 50 50 50 N/A 50 50 50 50 N/A 50 50 50 N/A 50 50 50 50 50 N/A 50 50 50 50 50 50 50 50 Minimum Benefit 125 30 30 50 30 30 180 100 60 65 125 90 N/A 50 30 70 30 50 N/A 30 30 50 30 NIA 100 160 30 30 N/A 66 50 105 N/A 75 30 30 50 30 N/A 30 30 30 50 50 30 50 30 Percent of Pay N/A N/A N/A N/A 50 N/A N/A N/A N/A N/A N/A 75 135 N/A N/A 50 50 N/A 100 50 50 N/A N/A 50 60 N/A N/A N/A 50 85 N/A N/A 50 50 N/A N/A N/A N/A 55 50 N/A N/A N/A N/A N/A N/A N/A Minimum Benefit N/A N/A N/A N/A 250 N/A N/A N/A N/A N/A N/A 675 700 N/A N/A 350 250 N/A 350 250 250 N/A N/A 250 250 N/A N/A N/A 250 350 N/A N/A 350 350 N/A N/A N/A N/A 350 250 N/A N/A N/A N/A N/A N/A N/A P.02 SEP -08-98 TUE 15:18 • • ARKANSAS FIRE & POLICE PENSION FUNDS SUMMARY OF BENEFITS PAID Clarendon Clarendon Clarksville Clinton Coal Hill Conway Conway Corning Cotter Cotton Plant Crawfordsville Crossett Crossett Danville Dardanelle De Queen Decatur Dermott Des Arc DeValls Bluff DeWitt Diaz Dover Dumas Earle East Camden Elaine Elkins Emmet England Eudora Eureka Springs Farmington Fayetteville Fayetteville Fisher Flippin Fordyce Foreman Forrest City Garland Gassville Gentry Gentry Gillett Glenwood Gosnell Volunteer/Part-Paid Full ' = id Percent Minimum of Pay 50 N/A 50 50 50 50 N/A 50 50 50 50 50 N/A 50 50 50 50 50 50 50 50 50 50 50 50 50 50 50 50 50 50 50 50 N/A 50 50 50 50 50 50 50 50 N/A 50 50 50 50 Benefit 100 N/A 175 70 0 50 N/A 70 50 30 65 50 N/A 50 95 130 50 55 50 30 175 30 200 250 115 0 30 30 30 45 50 50 70 N/A 55 95 97 115 75 55 50 155 N/A 50 30 30 40 Percent of Pay N/A 60 N/A N/A N/A 50 50 N/A • N/A N/A N/A 70 100 N/A N/A N/A . N/A N/A N/A N/A 50 N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A 50 N/A 50 65 N/A N/A N/A N/A 50 N/A N/A 50 N/A N/A N/A N/A minium Benefit N/A 350 N/A N/A N/A 350 250 N/A N/A N/A N/A 350 350 N/A N/A N/A N/A N/A N/A N/A 350 N/A N/A TWA N/A N/A N/A N/A N/A N/A N/A 350 N/A 350 350 N/A N/A N/A N/A 350 N/A N/A 30 N/A N/A N/A N/A P. 03 • SEP -08-98 TUE 15:18 ARKANSAS FIRE & POLICE PENSION FUNDS SUMMARY OF BENEFITS PAID Volunteer/Part-Paid Full Paid Percent Minimum Percent imum of Pay Benefit of Pay Benefit Gould 50 0 N/A N/A Grady 50 50 N/A N/A Gravette 50 80 N/A N/A Green Forest 50 90 N/A N/A Greenwood 50 95 N/A N/A Greers Ferry 50 100 N/A . N/A Grover Township 50 55 N/A N/A Grubbs 50 30 N/A N/A Gurdon 50 50 N/A N/A Hamburg 50 65 N/A . N/A Hampton 50 30 N/A N/A Hardy 50 330 N/A . N/A Harrisburg 50 70 N/A N/A Harrison N/A N/A 90 350 Harrison 50 30 60 250 Hanford 50 40 N/A N/A Havana 50 • 30 N/A N/A Hazen 50 70 N/A N/A Heber Springs 50 200 50 350 Heber Springs N/A NIA 50 250 Helena N/A N/A 50 250 Helena N/A N/A 55 350 hickory Ridge 50 200 N/A N/A Holiday Island 50 50 N/A N/A Holly Grove 50 30 N/A N/A Holly Grove N/A N/A 50 250 Hope 50 50 50 350 Horatio 50 50 N/A N/A Hot Springs Village 50 30 50 250 Hoxie 50 120 60 350 Hughes 50 105 N/A N/A Humphrey 50 50 N/A N/A Huntington 50 30 N/A N/A Huntsville 50 30 N/A N/A Huttig 50 30 N/A N/A Imboden 50 30 N/A N/A Jacksonville 50 30 50 250 Jacksonville N/A N/A 50 350 Jasper 50 30 N/A N/A Joiner 50 30 N/A N/A Jonesboro N/A N/A 60 610 Jonesboro 50 30 50 250 Judsonia 50 35 N/A N/A Junction City 50 30 N/A N/A Keiser 50 30 N/A N/A Kcnsett 50 30 N/A N/A Lake City 50 75 N/A N/A P.04 SEP -08-98 TUE 15:19 • • • ARKANSAS FIRE & POLICE PENSION FUNDS SUMMARY OF BENEFITS PAID Lake Village Lavaca Leachville Lepanto Lewisville Lincoln Little Rock Little Rock Lockesburg Lonoke ' Lowell Luxora Magazine Magnolia Magnolia Malvern Malvern Mammoth Spring Manila Mansfield Marianna Marianna Marion Marked Tree Marshall Marvell Mc Crory Mc Crory Mc Gehee Mc Gehee Mc Neil Mc Rae Mena Mineral Springs Monette Monticello Montrosc Moro Monilton Mount Ida Mountain View Mountainburg Mulberry Murfreesboro Nashville Newark Newport Volunteer/Part-Paid Percent of Pay 50 50 50 50 50 50 N/A N/A 50 50 50 50 50 N/A 50 N/A 50 50 50 50 50 N/A 50 50 50 50 50 N/A N/A 50 50 50 50 50 50 50 50 50 100 50 50 50 50 50 50 50 50 Minimum Benefit 90 125 30 55 100 50 N/A N/A 35 135 30 95 30 N/A 67.5 N/A 30 50 55 30 30 N/A 225 50 30 30 45 N/A N/A 50 30 30 80 30 30 130 50 30 250 50 85 95 50 30 50 45 75 Hill Paid Percent of Pay N/A N/A N/A N/A N/A 50 50 50 N/A N/A 50 N/A N/A 60 65 100 50 N/A N/A N/A 50 50 N/A N/A N/A N/A N/A 50 50 50 N/A N/A 50 N/A N/A 50 N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A 65 Minimum Benefit N/A N/A N/A N/A N/A 350 350 350 N/A N/A 250 N/A N/A 350 350 250 250 N/A N/A N/A 250 250 N/A N/A N/A N/A N/A 250 250 350 N/A N/A 250 N/A N/A 700 N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A 350 P.05 SEP -08-98 TUE 15:19 • • ARKANSAS FIRE & POLICE PENSION FUNDS SUMMARY OF BENEFITS PAID Volunteer/Part-Paid Newport Norman Norphlet North Little Rock North Little Rock Ola OppeIo Osceola Osceola Ozark Palestine Pangburn Paragould Paragould Paris Parkin Perla Perryville Piggott Pine Bluff Pine Bluff Plainview Plumerville Pocahontas Portland Prairie Grove Prescott Pulaski F P Dist 5 Rector Rison Rogers Rogers Russell Russellville Russellville Salem Searcy Searcy Shannon Hills Sheridan Siloam Springs Smackover Sparkman Springdale Springdale Stamps Star City Percent of Pay N/A 50 50 N/A N/A 50 50 N/A 50 50 50 50 50 N/A 50 50 50 50 50 N/A N/A 50 50 50 50 50 50 50 50 50 N/A 50 50 50 N/A 50 50 N/A 50 50 50 50 50 50 N/A 50 50 Minimum Benefit N/A 50 30 N/A N/A 30 60 N/A 30 135 0 30 30 N/A 120 30 30 30 75 N/A N/A 30 30 30 50 160 50 85 50 30 N/A 50 30 400 N/A 155 100 N/A 95 75 30 50 225 100 N/A 30 55 Full Percent of Pay 75 N/A N/A 50 50 N/A N/A 50 50 N/A N/A N/A 50 85 N/A N/A N/A N/A N/A 50 50 N/A N/A 50 N/A N/A N/A N/A N/A N/A 85 50 N/A 70 80 N/A 70 85 N/A N/A 50 N/A N/A 65 70 50 N/A Paid Minimum Benefit 350 N/A N/A 250 250 N/A N/A 250 250 N/A N/A N/A 250 350 N/A N/A N/A N/A N/A 250 250 N/A N/A 250 N/A N/A N/A N/A N/A N/A 350 350 N/A 400 350 N/A 350 350 N/A N/A 250 N/A N/A 350 250 250 N/A P,06 SEP -08-98 TUE 15:19 • ARKANSAS FIRE & POLICE PENSION FUNDS SUMMARY OF BENEFITS PAID Stephens Strong Stuttgart Stuttgart St. Francis Sulphur Springs Swifton Taylor Texarkana Texarkana Thornton Tillar Tracy Area Trumann Tuckerman ' Turrell Van Buren Vilonia Viola Waldo Waldron Walnut Ridge Warrcn Washington Weiner West Helena West Helena West Memphis West Memphis West Point Wheatley White Hall Wilmot Wilson Wynne Yelleville • Volunteer/Part-Paid Full Paid Percent Minimum of Pay Benefit 50 50 N/A 50 50 50 50 50 N/A N/A 50 50 50 50 50 50 N/A 50 50 50 50 50 50 50 50 • N/A 50 N/A N/A 50 50 50 50 50 50 50 50 30 N/A 60 30 30 30 30 N/A N/A 30 0 30 50 110 30 N/A 30 30 30 30 30 30 30 50 N/A 50 N/A N/A 30 50 50 50 30 150 40 Percent of Pay N/A N/A 85 85 N/A N/A N/A N/A 50 50 N/A N/A N/A 50 N/A N/A 50 N/A N/A N/A N/A 50 50 N/A N/A 50 50 50 50 N/A N/A N/A N/A N/A 65 N/A Minimum Benefit N/A N/A 350 250 N/A N/A N/A N/A 250 500 N/A N/A N/A 350 N/A N/A 250 N/A N/A N/A N/A 250 250 N/A N/A 250 250 250 250 N/A N/A N/A N/A N/A 350 N/A P.07 N•C•PSEURES NATIONAL CONFERENCE ON PUBLIC EMPLOYEE RETIREMENT ssysit • August 17, 1998 GENT \VOID from WASH:NGTON AUG 2 7 CLIJ • •fin 1620 Eye Street, N.W. Suite 220 • Washington, D.C. 20006-4005 NCPERS Attends Hill Meetings • ` . 13 20223-83ZT s€i 3Pn; CITY CLERK'S OFFICE TheNCPERS legislative team recently finished a round of Hill visits to high-ranking Democrat and Republican members and staff of the House Ways and Means Subcommittee on Social Security. We scheduled these meetings on the basis of discussing the issues of portability and began discussion on mandatory coverage for public employees in the Social Security system. We were joined by several other groups interested in retirement issues. The following is a brief summary of these meetings. Portability - We discussed two bills concerning portability, the Pomeroy/Kolbe, Retirement Account Portability {RAP) Act (H.R` 3505) land the Portman/Cardin, Retirement Security, for the 21St. Century Act of 1998 (H.R: 3788) Botli Democrats'and Republicans speculated that these, bills would , probably move if a tax bill is introduced when Congressteturns from the recess. While both sides expressed that the idea of pension portability is good, there are some differences of opinion on how to make them portable.' The'Portman/Cardin bill is more comprehensive than the RAP Act and incorporates many of the provisions contained in the RAP Act. This would likely be the bill that moves should Congress decide to act quickly. However, it is not without its critics. As one high-level staff member for the majority put it, "everyone has their own piece that they want out of this bill." Another staff member expressed that the issue of portability needs to be explored more stating, " there is no clear consensus on some of the provisions in the Portman/Cardin legislation, we may need more hearings to flush it out." . MandatorySocial Security — The issue of mandatory coverage of public employees in the Social Security system was discussed as well. No action on Social Security is expected during this Congress. However, a high-ranking House committee staff member told NCPERS that "you never know what Congress might do when they return:" One thing became clear as we met with the staff members from both parties: There is little understanding of how mandatory coverage would affect systems that do not participate in Social Security. More than one representative was not aware that all the bills introduced in the House and Senate have a mandatory coverage provision. Everyone agreed that there needs to be more dialogue. We told the staffers that NCPERS will be leading the charge to begin the process of educating representatives and staff members. about the problems associated with mandatory coverage. } - Be on. . I T I}. r .. :' I!i iJ' Y. . . �':A. ' •i :. ;!1;. .,Uli•I • nthe lookout for September's Monthly Monitor. This will be a special issue with;an;ppdate and summary of anti -le -legislation we }nave been`following this year As always, be sure to alert us of any pertinent legislation in your; state.' Ed Braman can be reached at 202-429-2230. PIM ElwinEm-