Loading...
HomeMy WebLinkAbout1996-04-18 - Agendas - Final FAYETTEVILLE •THE CITY OF FAYETTEVILLE, ARKANSAS TRACI PAUL, CITY CLERK TO : Policemen ' s Pension Board Members FROM : Traci Paul , City Clerk /Treasurer Tp DATE : April 15 , 1996 SUBJECT : Police Pension Board Meeting . The next -Police Pension Board meeting is Thursday , April 18 , 1996 , at 2 : 30 p . m . , in room 326 of City Hall . Attached , please find a copy of the agenda for the upcoming meeting , the minutes from the January 18 regular meeting and the February 15 special meeting and pension lists for March , April , and May , 1996 . Attachment 113 WEST MOUNTAIN 72701 501 575.8323 F • AGENDA POLICEMEN ' S PENSION AND RELIEF BOARD April 18 , 1996 2 : 30 p . m . City Ball Room 326 1 . Approval of the minutes of the January 18 , regular meeting and the February 15 , special meeting . 2 . Old Business 3 . New Business A . Report from Longer Investment B . Report from Mike Kirkland C . Other 4 . Adjournment i MINUTES OF A POLICE PENSION BOARD MEETING A meeting of the Police Pension Board was held on January 18 , 1996 , at 2 : 30 p . m . in room 111 of the City Administration Building , 113 West Mountain , Fayetteville , Arkansas . PRESENT : Mayor Fred Hanna , Randy Bradley , Jerry Friend , Dr . James Mashburn , Eldon Roberts , and City Clerk /Treasurer Traci Paul . ABSENT : Hollis Spencer CALL TO ORDER The meeting was called to order by Mayor Hanna . MINUTES Roberts stated the Board voted at the October 19 meeting to transfer state insurance turnback funds of $ 150 , 000 to Longer Investments . The turnback check was for $ 163 , 000 . Roberts asked what happened to the remaining $ 13 , 000 . Administrative Services Director Ben Mayes explained that a cash flow is done to determine what the Board can afford to invest long term . Mayes explained projected pension payments are deducted from the state turnback money , property taxes and employee contributions . Mayes stated the additional money available to invest is not always equal to the amount of the state turnback check . This time , the projection was $ 150 , 000 . Mashburn , seconded by Roberts , made a motion to approve the minutes of the August 9 regular meeting and the October 19 regular meeting . The motion passed unanimously . NEW BUSINESS INVESTMENT REPORT Dean Witter Investment Report Mike Kirkland , Dean Witter , stated last year was a good year for stock and bond markets . In reviewing the Cash Account , Kirkland stated there is over $ 77 , 000 in the money fund . All the CD ' s are maturing this year . In May , $ 90 , 000 will be maturing and $ 114 , 000 in June . Roberts asked what the Board would get if those are reinvested right now . Kirkland stated 5 % - 6 % . • • January 18 , 1996 Kirkland reviewed a list of the current holdings in the Madison Account , the fixed income account . Kirkland pointed out that since inception , Madison has kept volatility down . He stated they are right in line with what other managers have done . Kirkland reviewed a list of holdings in the balanced Account with TCW . He explained that in the future the Board might consider moving some of the fixed income money over to a fixed income manager and having the stock side with a stock manager . It would give a clear picture of what the fixed income side did and what the stock side did . In answer to a question from Mayes , Kirkland explained he would have to look at the numbers before he could decide whether to use TCW or another manager . Kirkland stated he wanted to talk about a different strategy at the next meeting . In answer to a question from Mayes regarding 1996 , Kirkland stated we are still looking for things to be up . We are looking for rates to be down . Corporate earnings may be affected some by the slow down of the economy . MAYES - COST BASIS SUMMARY Mayes distributed a cost basis summary and explained that the numbers are just about where the investment policy says they need to be . In answer to a question from Roberts , Mayes stated City held investments is $ 28 , 000 . Mike and his cash fund has $ 77 , 000 . That is right at $ 106 , 000 . Our goal is to keep three months of pension benefits . JERRY FRIEND RETIREMENT Friend presented a request for pension to the Board . Roberts stated Friend ' s retirement is to be effective February 3 , 1996 . On Saturday , February 3 , Friend would go off City pay and go on police pension pay . Roberts , seconded by Bradley , .made a motion to accept the retirement request by Sergeant Jerry Friend effective February 3 , 1996 . The motion passed unanimously . January 18 , 1996 DISCUSSION REGARDING COMPOSITION OF THE BOARD Roberts stated the retirement of Jerry Friend will change the percentages of the active members and the retired members in the fund . There is a law that states as the percentages change , the composition of the Board must change . Roberts stated there will be 14 active members and 45 retired members when Jerry retires . Paul stated she would check the pension laws . INVESTMENT REPORT Longer Investments Elaine Longer , Longer Investments , distributed the portfolio appraisal and other reports . Addressing the Combined Account , Longer stated the equity part of the portfolio at year end was 46 . 51 . Corporate bonds were 9 . 6 % and Government bonds were 37 . 31 . The total market value on the portfolio at year end was just $ 26 , 000 shy of $ 4 million . The income yield on the portfolio is $ 165 , 000 . Equity as a percentage of the Stock Account is 73 . 6 % . Longer explained that the reserves are good . Longer reviewed a list of the largest holdings , the top five stocks in the equity portfolio . She stated as a percent of the portfolio , based on historical cost , we drop to 1 . 8 % of total after the top five . There is no stock as a percent of total portfolio that makes up more than 2 . 40 . Longer stated the portfolio is well diversified with good , high quality companies . Longer reviewed to portfolio parameters . Longer stated the performance history report goes back to account inception . For 1995 stocks were up 28 % and the fixed income part of the portfolio was up 15 % . The total account was up 19 . 5 % . Longer explained that the account reconciliation shows beginning portfolio value , net deposits , and withdrawals . Ending value at year end was 3 . 9 million . Total investment return for 1995 was about $ 628 , 000 . From account inception to date , total investment return has been $ 1 , 254 , 489 . Longer reviewed the portfolio income and yield report . Longer stated the weighted average maturity on the entire bond portfolio is right at about 5 years with 28 % maturing in 3 years . In reviewing the 1995 expense summary , Longer stated management • fees plus custody fees are . 97 % of the portfolio . Total expenses ratio is 1 . 42 % . • January 18 , 1996 Looking on to 1996 , Longer stated before the collapse of the budget talks we were looking at another growth type year in the economy . Longer explained the effects that the government has had on the market . Longer explained that not having a budget deal in place hangs a grey cloud of uncertainty over many of the issues . Longer stated she is being careful . • The main thing is to preserve the gains from the last year . Mayor Hanna left the meeting at 3 : 23 p . m . The Board briefly discussed the status of Walmart stock . The meeting adjourned at 3 : 30 p . m . • _ MINUTES OF A POLICE PENSION BOARD MEETING • A special meeting of the Police Pension Board was held on February 15 , 1996 , at 1 : 30 p . m . in room 111 of the City Administration Building , 113 West Mountain , Fayetteville , Arkansas . PRESENT : Mayor Fred Hanna ( arrived late ) , Hollis Spencer , Randy Bradley , Eldon Roberts , Dr . James Mashburn , and City Clerk /Treasurer Traci Paul . CALL TO ORDER The meeting was called to order at 1 : 55 p . m . by Eldon Roberts . BUSINESS Benefit Increases Eldon Roberts stated the purpose of the meeting is to discuss benefit increases for members of the pension fund . Bradley , seconded by Spencer , made a motion to request a benefit increase for retired officers , In answer to a question from Roberts , Bradley stated retired officers only , excluding those receiving $ 350 per month . • Eldon Roberts distributed a list of the retirees who are currently receiving $ 350 per month . Roberts stated according to Cathyrn Hinshaw , there is a cap on retired salaries . A person cannot receive a monthly benefit of more than 100 % of his salary at retirement . Roberts explained that the list that was distributed is a list of people that have received mandated increases and a computation of what percentage of salary they are earning . Roberts stated two of the nine people listed are over 100 % of salary , they are drawing more on retirement per month than they were drawing when they were actively employed . Those two people would not be entitled to any kind of an increase that is requested by the Board . The other seven retirees listed would be entitled to a benefit increase . In answer to a question from Roberts , Bradley stated he is not in favor of the people who are drawing $ 350 getting another I ncrease . They just received a 40 % increase of $ 100 . Roberts stated the two people who are drawing more than 100 % are not in question but the others are not up to 100 % of salary . In answer to a question from Spencer , Roberts agreed that if the Board votes for an increase , it would not affect the two people who are already drawing over 100 % . I' February 15 , 1996 Roberts explained that if the Board votes to request a percent of salary increase , the people who are drawing more than 100 % of their salary would not receive any increase . Bradley stated without some kind of legislation , they would never be entitled to another increase . Roberts suggested the Board attempt to change legislation in the future to avoid excess money in the fund when everyone is at 100 % . Spencer asked if any projections had been done on what an increase might cost the fund . Roberts explained that the actuaries will determine how much an increase will cost the fund and if the fund can stand it . Spencer asked if the Board is going to make a specific request or a request for what the actuaries think the fund can stand . Roberts stated it will cost $ 475 for the first request and $ 250 each for the second , third , and forth request . For $ 450 the Board may submit a request for an increase of 55 % of salary . Along with the first request , the Board may request an increase • of 53 % of salary if the actuaries find that the fund cannot withstand 551 of salary . The second request will cost the Board $ 250 . The pension fund will be billed for the actuarial evaluation . Mashburn asked if Bradley ' s motion contained an amount or a percentage . Bradley explained his motion was for an increase . He stated the amount of the increase should be whatever the Board can agree on . Mashburn stated the Board needs more information before a decision can be made . He suggested the Board ask the actuaries what amount of an increase the fund could stand . Roberts explained that the actuaries would not approve an increase that would not be financially sound . He stated full paid police and fire cannot request a random search . This Board must request a specific amount . In answer to a question from Spencer regarding a memo from Cathyrn Hinshaw , Roberts explained the section addressing a random search is for volunteer pension plans . Mashburn stated the investments have gone well this past year . It can be like a rollercoaster . He suggested the Board be • cautious with their request . e February 15 , 1996 • Roberts stated if a request is denied , it can be appealed to the Pension Review Board . The Pension Review Board has never overruled what the actuaries have suggested . Mashburn asked if there was a waiting period before the Board could make another request if the first action is denied . After some discussion the Board concluded that there was not a waiting period for a full paid pension funds . Chief of Police Richard Watson stated the motion on the floor is unfair to the 14 officers who are still working . Any request for increased retirement benefits should be for retirees and future retirees on the pension plan . In answer to a question from Spencer , Roberts stated if 55 °1 of salary was approved , then all retirees would go to 55 °1 of salary . when officers retire in the future , they would retire at 550 . Spencer asked if there will be any more mandated increases . Roberts stated that is a possibility . City Attorney Jerry Rose is researching that issue . It appears to be special legislation . The same people are getting the pay raise every time . They are • drawing a small amount but they only paid a small amount into the pension fund . Mashburn stated it would be helpful to know the ages of the people receiving pension funds . In answer to a question from Spencer , Roberts stated the Board could be mandated to increase benefits if a law is passed to do SO . In answer to a question from Bradley regarding the charge for submitting a request , Roberts explained that the recent mandated increase would not count as a requested increase . Roberts stated he could not support Bradley ' s motion . Future retirees should be included in the motion . The Board could decide not to include spouses . The Board has the option to request an increase for current retirees only ; current retirees and future retirees ; or current retirees , future retirees and spouses . Mashburn stated the Board needs to establish an amount . Assistant Chief of Police - Administration Rick Hoyt urged the Board to include future retirees in the motion . . Paul asked Bradley why he did not include future retirees in his notion . _ February 15 , 1996 • Bradley explained that he was considering changing his motion and stated the active members of the pension fund will get a raise in the future . In answer to a question from Paul , Roberts agreed that anyone who . retired after an increase was approved would retire at 500 of salary . Roberts stated the fairest way to give a benefit increase is an across the board percentage . Every person on the plan contributed a percentage of their salary . The increase in salaries over the years has had an effect on contributions . Some people have contributed a small amount to the fund . To be fair , they should not get a big raise for contributing a small amount . Looking at the moral issue , some people are not making much money to live on . Spencer pointed out the only way the Board can find out what an increase is going to cost is to submit a request for a benefit increase . In answer to a question from Bradley , Roberts stated the Board can submit as many proposals as they wish . It will cost the Board $ 475 for the first request . The second request will cost • $ 250 . The Board can submit a first and second choice for a requested increase at one time . The actuaries will compute an increase using the first amount and if it is denied they will compute an increase using the second amount . The Board discussed two ideas for benefit increases . The first was the difference in requesting an increase of a certain amount of money per month and in requesting an increase of a certain percentage of salary . In answer to a question from Chief Watson , Roberts stated we became actuarially sound in July of last year when the Pension Review Board changed the definition of actuary soundness . At that time , we were mandated to raise everyone to a $ 350 minimum . Roberts explained that at that time he asked the actuary about a benefit increase for everyone . Roberts stated without crunching any numbers , he did not think we would be financially sound enough for that . Roberts urged the Board to request an increase and get a feel for where it is at . In answer to a question from Mashburn , Roberts stated a specific amount must be requested . That amount will either be approved or denied . February 15 , 1996 Roberts suggested someone research old records and find each retired policeman ' s monthly salary at retirement . The amounts documented should be the base salary before retirement . The Board reviewed and discussed a list of retired policemen who are receiving over 50 % of there salary at retirement . The Board agreed that anyone who is receiving a percentage of their salary at retirement that is more than the requested increase would be excluded from the request . Spencer stated the Board may need to get more figures together before a request is made . Roberts reminded the retired members of the Board that they need to elect another representative to sit on the Pension Board . Mashburn suggested the motion be amended to include future retirees . Bradley withdrew his motion to raise benefits for retired members . Spencer withdrew his second . Administrative Services Director Ben Mayes explained that research could be done to establish base salaries for each policeman at retirement but it really will not give an actuarial assumption . The Board discussed percentage possibilities for the request for a benefit increase . Mayor Hanna arrived . Bradley stated the Board should determine a realistic figure and submit it with an alternate . The Board discussed the possibility of additional mandated increases . In answer to a question from Bradley , Roberts stated as a member of the State Board he gets notification of any pending legislation that pertains to pension . Mashburn suggested the Board take input from others regarding the proposed increase . Mashburn explained that Mayes could run some figures to help the Board see the impact of an increase on the fund . February 15 , 1996 Roberts stated the figure that Mayes submits to the Board of what it would cost to raise everyone to 55 % of salary may be an astronomical figure but that does not mean the fund cannot stand it . The figure is insignificant . Discussion ensued regarding what percentage increase to request . Chief of Police Watson requested the Board include future retirees as well as current retirees in the request for an increase . The Board discussed the possible financial impact an increase would have on the fund . Discussion ensued regarding a 50s increase and how it would increase the pay out to retirees . Bradley requested a list of the final salaries of each retired officer . In response to a concern from Mashburn , Roberts stated the actuaries will deny any request that they feel the fund cannot stand . • Spencer , seconded by Bradley , made a motion to increase benefits for current retired members and the future retired members of the Fayetteville Police Pension fund to 55 % of their original salary at the time of their retirement , excluding all members who are already receiving mandated increases which put them over the 55% of salary mark . If the fund is determined not to be able to withstand a 55% of salary increase , the Board requests a 53 % of salary increase . Both proposals are without any spousal benefits . In answer to a question from Mashburn , Roberts stated it is the Board ' s option to include spouses or not . Upon a show of hands , the motion passed unanimously . The meeting adjourned at 2 : 55 p . m . :t 4� POLICE PENSION FUND MARCH 1996 • EMP# NAME GROSS FED. TAX ST. TAX NET 131 ARNOLD, R D 838.00 838.00 130 BAYLES, DON 760.73 760.73 107 BLACK, JOE P 539.44 539.44 120 BOWEN , J R 350.00 10.00 340.00 147 BRADLEY, GERALD 2,345.47 300.00 45.47 2,000.00 139 BRADLEY, RANDALL 1 ,388.45 11388.45 101 BROOKS, BILL 728.22 728.22 109 COOPER, ADRIAN 350.00 350.00 111 DAY, LUCILLE 350.00 350.00 108 DENNIS, WARREN 666.51 666.51 125 FLOWERS, HAROLD 413.39 413.39 140 FOSTER, BILLIE D. 1 ,563.71 150.00 50.00 1 ,363.71 148 FRIEND, JERRY 1 ,510.85 1 ,510.85 145 HANNA, MARK 1 ,311 .73 120.00 35.00 1 , 156.73 124 HASKINS, RONALD 374.85 374.85 146 HUTCHENS, BERNICE 874.85 130.00 744.85 143 JOHNSON , CHARLES 1 , 176.74 36.70 1 , 140.04 103 JOHNSON , WENDELL 375.30 375.30 118 JONES, BOB 1 ,581 .67 11581 .67 144 KILGORE, DONALD 980.73 19.72 961 .01 129 LAWSON , FORREST 751 .38 50.00 701 .38 114 LITTLE, LOYD F 350.00 350.00 119 LORCH , EARL 350.00 350.00 128 MCCAWLEY, LARRY 812. 19 70.00 742. 19 116 MCCHRISTIAN, MARIE 350.00 350.00 126 MCWHORTER, KAREN 485.02 485.02 136 MITCHELL, MICHAEL 1 , 104.75 150.00 954.75 141 MUELLER, ROSEMARY 989. 10 989. 10 112 MURPHY, JAKE 350.00 350.00 137 PERDUE, LARRY 1 , 113.09 100.00 1 ,013.09 132 PHILLIPS, HOMER GENE 843.00 300.00 543.00 105 PRESTON, GEORGE DAVID 767.43 67.43 700.00 135 RICKMAN , LOREN 10069. 19 169.00 20.00 880. 19 104 RIGGINS, RAYMOND C 806.67 100.00 706.67 115 RITCHIE, LIZZIE 350.00 350.00 122 SKELTON, FRANK 398.70 398.70 123 SPENCER, HOLLIS 659.25 50.00 609.25 121 STOUT, WAYNE 415.25 415.25 133 SURLES, JERRY 1 ,304. 17 138.00 11166. 17 142 TAYLOR, DENNIS 989. 10 60.00 15.00 914. 10 106 UPTON , FRANKLIN 506.56 10.00 496.58 110 WATTS, BEULAH 350.00 350.00 138 WILLIAMS, BOBBY 1 ,217.07 217.07 11000.00 134 WITT, DON 846.72 64.00 782.72 127 WOOD, PAUL J 757.62 757.62 ----------------------------------- $36,416.92 $2,255.50 $221 .89 $33,939.53 • I _ POLICE PENSION FUND APRIL 1996 • EMP# NAME GROSS FED. TAX ST. TAX NET 131 ARNOLD, RD 838.00 838.00 130 BAYLES, DON 760.73 760.73 107 BLACK, JOE P 539.44 539.44 120 BOWEN , J R 350.00 10.00 340.00 147 BRADLEY, GERALD 21345.47 300.00 45.47 2,000.00 139 BRADLEY, RANDALL 1 ,388.45 11388.45 101 BROOKS , BILL 728.22 728.22 109 COOPER, ADRIAN 350.00 350.00 111 DAY, LUCILLE 350.00 350.00 108 DENNIS, WARREN 666.51 666.51 125 FLOWERS, HAROLD 413.39 413.39 140 FOSTER, BILLIE D. 1 ,563.71 150.00 50.00 11363.71 148 FRIEND, JERRY 11510.85 11510.85 145 HANNA, MARK 1 ,311 .73 120.00 35.00 11156.73 124 HASKINS, RONALD 374.85 374.85 146 HUTCHENS, BERNICE 874.85 130.00 744.85 1i 143 JOHNSON , CHARLES 1 , 176.74 36.70 11140.04 103 JOHNSON , WENDELL 375.30 375.30 118 JONES , BOB 1 ,581 .67 11581 .67 144 KILGORE, DONALD 980.73 19.72 961 .01 129 LAWSON, FORREST 751 .38 50.00 701 .38 114 LITTLE, LOYD F 350.00 350.00 119 LORCH , EARL 350.00 350.00 128 MCCAWLEY, LARRY 812. 19 70.00 742. 19 116 MCCHRISTIAN, MARIE 350.00 350.00 126 MCWHORTER, KAREN 485.02 485.02 136 MITCHELL, MICHAEL 1 , 104.75 150.00 954.75 141 MUELLER, ROSEMARY 989. 10 989. 10 112 MURPHY, JAKE 350.00 350.00 137 PERDUE, LARRY 10113.09 100.00 11013.09 132 PHILLIPS, HOMER GENE 843.00 300.00 543.00 105 PRESTON, GEORGE DAVID 767.43 67.43 700.00 135 RICKMAN , LOREN 1.,069. 19 169.00 20.00 880. 19 104 RIGGINS, RAYMOND C 806.67 100.00 706.67 115 RITCHIE, LIZZIE 350.00 350.00 122 SKELTON , FRANK 398.70 398.70 123 SPENCER, HOLLIS 659.25 50.00 609.25 121 STOUT, WAYNE 415.25 415.25 133 SURLES, JERRY 1 ,304. 17 138.00 1 , 166. 17 142 TAYLOR, DENNIS 989. 10 60.00 15.00 914. 10 106 UPTON , FRANKLIN 506.58 10.00 - 496.58 110 WATTS , BEULAH 350.00 350.00 138 WILLIAMS, BOBBY 11217.07 217.07 11000.00 134 WITT, DON 846.72 64.00 782.72 127 WOOD, PAUL J 757.62 757.62 ---------------------------------------- $36,416.92 $2,255.50 $221 .69 $33,939.53 i POLICE PENSION FUND MAY 1996 EMP# NAME GROSS FED. TAX ST. TAX NET 131 ARNOLD, RD 838.00 838.00 130 BAYLES, DON 760.73 760.73 107 BLACK, JOE P 539.44 539.44 120 BOWEN , J R 350.00 10.00 340.00 147 BRADLEY, GERALD 2,345.47 300.00 45.47 21000.00 139 BRADLEY, RANDALL 1 ,388.45 11388.45 101 BROOKS, BILL 728.22 728.22 109 COOPER, ADRIAN 350.00 350.00 111 DAY, LUCILLE 350.00 350.00 108 DENNIS, WARREN 666.51 666.51 125 FLOWERS, HAROLD 413.39 413.39 140 FOSTER, BILLIE D. 1 ,563.71 150.00 50.00 11363.71 148 FRIEND, JERRY 1 ,510.85 11510.85 145 HANNA, MARK 1 ,311 .73 120.00 35.00 11156.73 124 HASKINS, RONALD 374.85 374.85 146 HUTCHENS, BERNICE 874.85 130.00 744.85 143 JOHNSON , CHARLES 1 , 176.74 36.70 1 , 140.04 103 JOHNSON , WENDELL 375.30 375.30 118 JONES, BOB 1 ,581 .67 1 ,581 .67 144 KILGORE, DONALD 980.73 19.72 961 .01 129 LAWSON, FORREST 751 .38 50.00 701 .38 114 LITTLE, LOYD F 350.00 350.00 119 LORCH , EARL 350.00 350.00 128 MCCAWLEY, LARRY 812. 19 70.00 742. 19 116 MCCHRISTIAN, MARIE 350.00 350.00 126 MCWHORTER, KAREN 485.02 485.02 136 MITCHELL, MICHAEL 1 , 104.75 150.00 954.75 141 MUELLER, ROSEMARY 989. 10 989. 10 112 MURPHY, JAKE 350.00 350.00 137 PERDUE, LARRY 1 , 113.09 100.00 1 ,013.09 132 PHILLIPS, HOMER GENE 843.00 300.00 543.00 105 PRESTON, GEORGE DAVID 767.43 67.43 700.00 135 RICKMAN , LOREN 1 ,069. 19 169.00 20.00 880. 19 104 RIGGINS, RAYMOND C 806.67 100.00 706.67 115 RITCHIE, LIZZIE 350.00 350.00 122 SKELTON , FRANK 398.70 398.70 123 SPENCER, HOLLIS 659.25 50.00 609.25 121 STOUT, WAYNE 415.25 415.25 133 SURLES, JERRY 1 ,304.17 138.00 1 , 166. 17 142 TAYLOR, DENNIS 989. 10 60.00 15.00 914. 10 106 UPTON , FRANKLIN 506.58 10.00 496.58 110 WATTS, BEULAH 350.00 350.00 138 WILLIAMS, BOBBY 1 ,217.07 217.07 1 ,000.00 134 WITT, DON 846.72 64.00 782.72 127 WOOD, PAUL J 757.62 757.62 --------------------------------- $36,416.92 $2,255.50 $221 .89 $33,939.53 • • March 22 , 1996 Arkansas Fire & Police Pension Review Board P . O . Drawer 34164 Little Rock, AR 72203 Dear PRB: The City of Fayetteville Policemen' s Pension Board approved a resolution to increase benefits for current and future retired members of the Fayetteville Police Pension Fund at their February 15 , 1996 meeting. Please find attached a copy of the resolution, a copy of the minutes from the February 15 meeting, and a list of members who are already receiving • over 50 % of their final salary . Please call me at 575-8323 if you have any questions. Sincerely , Traci Paul City Clerk/Treasurer Attachments d City of Fayetteville Police Pension Monthly Date Salary Current Benefit of at Monthly as a % of Name Retirement Retirement Benefit Final Salary - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - Bowen , John R 8 / 73 664 . 65 350 . 00 52 . 66 % Cooper , Adrian J . 4 / 73 611 . 90 350 . 00 57 . 20 % Day , William R . 1 / 64 330 . 00 350 . 00 106 . 060 Little , Loyd F . 5 / 68 410 . 00 350 . 00 85 . 37006 Lorch , Earl E . 7 / 72 630 . 00 350 . 00 55 . 560; McChristian , Richard H . 12 / 68 414 . 00 350 . 00 84 . 54 °06 Murphy , Jake 7 / 65 310 . 00 350 . 00 112 . 90 % Ritchie , Elmo / 68 * * 485 . 00 350 . 00 72 . 16 % Watts,, -Pearl 3 / 62 412 . 50 350 . 00 84 . 85 % * * The month of Mr . Ritchie ' s retirement is unknown ; however , the Personnel Action Sheet fog iiis final pay increase was effective January 1 , 1968 and his date of death was October 16 , 1968 . 0 0) t -P j \\ t\ >4 a k \ . tE AZg3 Gk 6 2 ) § � Elkk Elu . / ; ) / Q a . . D Rr 0 ( ) . , m 25 ! R 2 0 t \ $40 \ ` ) 3 a k t © ) $4 \ \ ) \ \ & \ . . \ k 0 . . � j § � ■ a � � � 2 ƒ k \ . u . . . 5 72 \ Cr Ll / A § _ ! \ Lak r-4 \ Q G ® £ » " \ \ 2 ) § 2 , � > m ° ( k k e ) ) . . k }2 £ a > / 2 \ / STATEMENT For Actuarial Services Date : rmdkE.& a- g� IMP City : F4ty& fj"iNw�._ TYPE OF FUND Police Paid Fire Paid/Volunteer Volunteer Fire Fire Standard ( ) Standard ( ) Standard ( ) Standard ( ) on-Standard ( ) Non-Standard ( ) Non-Standard ( ) Non-Standard Actuarial Fee : $ (7 Additional Proposal ( s ) : $ 2 !50 Processing Fee : $ h 5` Total Fee : $ h a g PLEASE MARE CHECKS PAYABLE TO : ARKANSAS LOCAL POLICE & FIRE RETIREMENT SYSTEM SEND ALL INFORMATION AND CHECK TO : ARKANSAS FIRE & POLICE PENSION REVIEW BOARD P . O . DRAWER 34164 LITTLE ROCK , ARKANSAS 72203 • p, �t'`�\t�'hr�c r}�iay' p� ii{f.'�� ".�N' '�.'.' fi1.#6�y�L,s,+'��'•'v�6 S ,�Fy tri f ��"t� .. X �' rf • ,{p� j� ,u�M'�` E� � � ` t� a Ty�T '�n,+. rk, 'rh'r`i.�,�"iyy � +�'�2.M.� ?t�IJ,�+>t,�'��i. �'R� e_ lawn v :j„?t+�6 yi`'p $t�rs`.. 3L i'�, •�` rA.'tii:` swC, vs - N'44'wE,�`._ "t� .AY � ...�..I t_�.._ � ` tiSi__w »�+..w2� t. .t` _JYFJd-fiUi��.es5-uz ai't—2c_ �. "� ♦. . 704196: ACCOUNT NUMBER AMOUNT I DATE I REFERENCE INVOICE AMOUNT AND RETURN DISCOUNT NET AMOUNT X` 2 a e { T CITY OF FAYETTEVILLE, FAYETTEVILLE, ARKANSAS 72701 .+,x- tea. r,r +ds"a THIS CI�ECIC MUST 9E y� wffRm $0.bA .. Y.4�FAaieI BATE � ii6 McILROY BANK , AYETTFVILLL ANS► Mv S �,`, � w 'M,7• >vti ♦ �. . it ¢' N� � � ,{,f SY \ B�". V. ii�.�aw._s� `� QU�i+�� R Y c+-s'W •'�' T�y�y�^v,'�x6Y,� i dM,j.:b. 1. r `f( . . � , )ATE •§ N@T'AMO1utrt�Aery�as.4��e yRt . f �I _ ^? �� . �Nm 19 � -to / ow a ' pARKLOCAL ���' i`c .t��twYTT'E.��Ftlit�#S��"" '��a � \� � � a'' �� t � ;• ` '_� ' r� �9 �' La�`�"T�-�'�"W ":'��I •"" � :i F ��+s�a.:.m>"''s". �._ � ? - N.4 NO NEGO IABLE�i > ,"�`� -' t Wj .� x { {S e y t f 4 "� ¢ Vf ?S � •�T.P' � R � .h . �"+�=irv�14�i;"���5'.Feu.�� �n f F +I• . �HC+� Ar��v. ��j I t I a t 'y � { iY� \}� , ,� ti>+�`< :T-k✓� ,.>#rR +a.. ".�ii'�.^ r-e. �'P`}�i [ fo; �s�,f�/ t - J1yi,�:.w+ � } 'M1�4 .$%' 04 ij•\ 4 i�r Zi, < $ L �.kt•/C �e •'�?A^a. a��, y @�����/�a � s n b u �, fi � R I a'lf Y .Ilk 141, >h' !{f�^ A` 4. v. a._...0 c . ._tr.! �'i > .� R <� .r f -::'WDM - xut� s.5-.�•. . . .isR., a.^S ty.. . • . _ i �I LONGER INVESTMENTS INCORPORATED City of Fayetteville Police Pension Board Meeting April 18, 1996 s. `s: a • Longer Investments, Incorporated PORTFOLIO APPRAISAL City of Fayetteville Police Pension Fund Combined Account March 31, 1996 Unit Total Market Market Pet. Unit Annual Cur. Quantity Security Cost Cost Price Value Assets Income Income Yield COMMON STOCK 1,400 AT & T 56.79 792511 .75 61 .12 852575.00 2.2 1 .320 15848.00 2.2 1,500 ADT Limited 13.57 20,355.00 17.62 269437.50 0.7 0.000 0.00 0.0 2,000 Aeroflex, Inc. 4.58 9,166.67 4.62 9,250.00 0.2 0.000 0.00 0.0 1,800 Barrick Gold Corp. 19.26 342673.50 30.37 54,675.00 1 .4 0.120 216.00 0.4 600 Bristol Myers Squibb 88.20 52,923.00 85.59 51 ,356.25 1 .3 2.960 12776.00 3.5 1 ,600 Clayton Homes 17.31 27,692.00 20.87 332400.00 0.9 0.000 0.00 0.0 1 ,900 DII Group (Formerly 30.72 58}76.26 30.37 57,712.50 1 .5 0.000 0.00 0.0 Dovatron Intl.) 800 DSC Communications 29.57 232656.00 27.00 21 ,600.00 0.6 0.000 0.00 0.0 1 ,087 Diebold, Inc. 20.34 22,112.58 39.62 43,072.37 1 . 1 0.680 739. 16 1 .7 900 Dover Corp. 44.08 39,675.00 45.75 41 ,175.00 1 . 1 1 .040 936.00 2.3 900 Emerson Electric 55.07 49,564.37 80.75 72,675.00 1 .9 1 .960 15764.00 2.4 1,300 Esterline Technology 22.07 28,692.50 22.37 29,087.50 0.7 0.000 0.00 0.0 1,000 Federal Signal _ 22.50 22,500.00 25.62 25,625.00 0.7 0.580 580.00 2.3 700 Gandalf Technologies 15.37 10,762.50 14.75 10,325.00 0.3 0.000 0.00 0.0 1,625 General Electric 52.85 85,874.31 77.87 126,546.87 3.2 1 .840 2,990.00 2.4 600 General Nutrition 21 .87 13,125.00 25.00 15,000.00 0.4 0.000 0.00 0.0 1,500 Inco, Ltd. 33.53 50,290.00 31 .62 47,437.50 1 .2 0.400 600.00 1 .3 11500 Interdigital 10. 15 15,223.50 8.75 13,125.00 0.3 0.000 0.00 0.0 Communications 1,500 International Rectifier 15. 12 22,678.97 18.00 27,000.00 0.7 0.000 0.00 0.0 100 L.T.V. Corp. 14.88 23,802.68 13.00 20,800.00 0.5 0.000 0.00 0.0 2,000 Lifeline Systems, Inc. 11 .25 22,500.00 12.25 24,500.00 0.6 0.000 0.00 0.0 1 ,000 Mercury Finance 13.50 13,500.00 14.12 14,125.00 0.4 0.300 300.00 2.1 12300 Mobil Corp. 101 .76 132,293.00 115.87 1502637.50 3.8 3.700 4,810.00 3.2 800 Molex Inc 32.12 25,700.00 34.87 27,900.00 0.7 0.040 32.00 0.1 800 Motorola, Inc. 58.50 46,800.00 53.00 42,400.00 1 .1 0.400 320.00 0.8 19100 Newell Co Inc 20.93 23,025.75 26.75 29,425.00 0.8 0.560 616.00 2.1 700 Northern Trust Corp. 41 .16 28,813.08 54.00 372800.00 1 .0 1 .240 868.00 2.3 1 ,100 Park Electrochemical 33.41 362750.00 29.75 32,725.00 0.8 0.320 352.00 1 . 1 1 ,700 Periphonics Corp. 24.76 42,090.90 23.75 4075.00 1 .0 0.000 0.00 0.0 17800 Personnel Group of 15.06 27,105.00 18.25 32,850.00 0.8 0.000 0.00 0.0 America 1 ,500 Philip Morris 54.03 81,038.50 87.75 1312625.00 3.4 4.000 6,000.00 4.6 1 ,500 Placer Dome, Inc. 26.44 39,667.50 28.87 43,312.50 1 .1 0.300 450.00 1 .0 600 Rubbermaid, Inc. 28.87 17,325.00 28.37 17,025.00 0.4 0.450 270.00 1 .6 800 Starbucks Corp. 17.33 13,864.00 23.31 18,650.00 0.5 0.000 0.00 0.0 600 Tyson Foods 22.67 13,604.77 23.25 13,950.00 0.4 0.080 48.00 0.3 1,000 Varian Associates. 47.35 47,346.67 49.87 49,875.00 1 .3 0.320 320.00 0.6 1,100 VeriFone, Inc. 24.64 27,100.93 42.00 46,200.00 1 .2 0.000 0.00 0.0 700 Watkins Johnson 42.32 2%623.48 35.75 25 025.00 0.6 0.480 336.00 1 .3 1 ,3583804. 16 1 ,590,275.50 40.6 26,171 . 16 1 .6 CALLS -8 Philip Moms April 95 2.50 -1 ,996.48 0.62 -500.00 0.0 Calls - 1 ,996.48 -500.00 0.0 • I . Longer Investments, Incorporated PORTFOLIO APPRAISAL City of Fayetteville Police Pension Fund Combined Account March 31, 1996 Unit Total Market Market Pct. Unit Annual Cur. Quantity Security Cost Cost Price Value Assets Income Income Yield CORPORATE BONDS 100,000 Philip Morris 100.54 1002543.50 104.78 104,781.25 2.7 9.250 9250.00 8.8 (Non-callable) Rated A2/A 9.250 % Due 12-01-97 55,000 Pepsico (Non-callable) 99.31 54,618.30 100.19 552103.12 1 .4 6.125 3,368.75 6.1 Rated Al/A 6.125 % Due 01-15-98 140,000 Wal-Mart Stores 101 .83 142,565.75 98.66 138,118.75 3.5 6.500 9,100.00 6.6 (Non-callable) Rated AAl/AA 6.500 % Due 06-01-03 752000 J.P. Morgan 99.90 742925.75 89.59 679195.31 1 .7 5.750 42312.50 6.4 (Non-callable) Rated AA3/AA 5.750 % Due 10-15-08 Accrued Interest 8,816.39 0.2 3722653.30 374,014.83 9.6 26,031 .25 7. 1 GOVERNMENT BONDS 200,000 U. S. Treasury Note 99.94 199,884.00 100.28 200,562.50 5. 1 6.125 12,250.00 6.1 6.125 % Due 07.31-96 100,000 U. S. Treasury Note 99.96 99,958.00 101 .16 1012156.25 2.6 7.250 7,250.00 7.2 7.250 % Due 11-30-96 225,000 U. S. Treasury Note 99.89 224,751 .75 101 .53 2285445.31 5.8 7.500 16,875.00 7.4 7.500 % Due 12-31-96 150,000 U. S. Treasury Note 99.94 1495910.50 102.47 1532703.12 3.9 7.375 112062.50 7.2 7.375 % Due 11-15-97 100,000 U. S. Treasury Note 99.36 99,359.37 100AI 100,406.25 2.6 6.000 62000.00 6.0 6.000 % Due 11-30-97 75,000 U. S. Treasury Note 99.99 74,995.25 99.16 74,367.19 1 .9 5.250 39937.50 5.3 5.250 % Due 12-31-97 50,000 U. S. Treasury Note 99.56 49,781 .50 100.53 50,265.62 1 .3 6.250 39125.00 6.2 6.250 % Due 08-31-00 100,000 U. S. Treasury Note 99.00 992000.00 108.09 1082093.75 2.8 8.000 81000.00 7.4 8.000 % Due 05-15-01 100,000 U. S. Treasury Note 101 .50 1015500.00 100.62 1002625.00 2.6 6.375 61375.00 6.3 6.375 % Due 08-15-02 155,000 U. S. Treasury Note 98.34 152,425.98 105.47 1633476.56 4.2 7.250 11 ,237.50 6.9 7.250 % Due 05-15-04 50,000 U. S. Treasury Note 99.97 49,984.38 109.69 54,843.75 1 .4 7.875 3,937.50 7.2 7.875 % Due 11-15-04 50,000 U. S. Treasury Note 99.87 49,937.50 100.56 50,281 .25 1 .3 6.500 3,250.00 6.5 6.500 % Due 08-15-05 100,000 U. S. Treasury Note 100.09 100,093.75 96.37 96,375.00 2.5 5.875 5,875.00 6.1 5.875 % Due 11-15-05 50,000 U. S. Treasury Note 99.83 49,914.06 92.47 467234.37 1 .2 6.250 39125.00 6.8 6.250 % Due 08-15-23 • 2 lam' A' Longer Investments, Incorporated PORTFOLIO APPRAISAL City of Fayetteville Police Pension Fund Combined Account March 31, 1996 Unit Total Market Market Pct. Unit Annual Cur. Quantity Security Cost Cost Price Value Assets Income Income Yield Accrued Interest 28,546.84 0.7 135013496.05 1 ,557,382.78 39.8 102,300.00 6.7 GOVERNMENT AGENCY 60,000 Federal Home Loan Bank 100.06 60,035.00 98.66 59,193.75 1 .5 7.350 4,410.00 7.5 (Call 6-14-96 @ 100) 7.350 % Due 06-14-05 Accrued Interest 1 ,310.75 0.0 60,035.00 60,504.50 1 .5 4,410.00 7.5 CASH AND EQUIVALENTS Dividends Accrued 3,086.50 3,086.50 0.1 0.000 0.00 0.0 Money Market 3287715.24 328,715.24 8.4 4.940 16,238.53 4.9 3312801 .74 331 ,801 .74 8.5 16,238.53 4.9 TOTAL PORTFOLIO 396229793.77 39913,479.34 100.0 1759150.94 4.5 • 3 • Longer Investments, Incorporated PORTFOLIO APPRAISAL City of Fayetteville Police Pension Fund Stock Account March 31, 1996 Unit Total Market Market Pct Unit Annual Cur. Quantity Security Cost Cost Price Value Assets Income Income Yield COMMON STOCK 1,400 AT & T 56.79 79,511 .75 61.12 85,575.00 3.5 1 .320 11848.00 2.2 1,500 ADT Limited 13.57 20,355.00 17.62 26,437.50 1 .1 0.000 0.00 0.0 2,000 Aerotlex, Inc. 4.58 99166.67 4.62 9,250.00 0.4 0.000 0.00 0.0 1,800 Barrick Gold Corp. 19.26 34,673.50 30.37 54,675.00 2.2 0.120 216.00 0.4 600 Bristol Myers Squibb 88.20 52,923.00 85.59 51 ,356.25 2.1 2.960 1 ,776.00 3.5 17600 Clayton Homes 17.31 27,692.00 20.87 33,400.00 1 .4 0.000 0.00 0.0 1,900 DII Group (Formerly 30.72 58,376.26 30.37 57,712.50 2.3 0.000 0.00 0.0 Dovatron Intl.) 800 DSC Communications 29.57 23,656.00 27.00 21 ,600.00 0.9 0.000 0.00 0.0 1,087 Diebold, Inc. 20.34 22,112.58 39.62 43,072.37 1 .7 0.680 739.16 1 .7 900 Dover Corp. 44.08 39,675.00 45.75 41 ,175.00 1 .7 1 .040 936.00 2.3 900 Emerson Electric 55.07 49,564.37 80.75 72,675.00 2.9 1 .960 1 ,764.00 2.4 1,300 Esterline Technology 22.07 28,692.50 22.37 29,087.50 1 .2 0.000 0.00 0.0 1,000 Federal Signal 22.50 22,500.00 25.62 255625.00 1 .0 0.580 580.00 2.3 700 Gandalf Technologies 15.37 10,762.50 14.75 10,325.00 0.4 0.000 0.00 0.0 1,625 General Electric 52.85 85,874.31 77.87 126,546.87 5. 1 1.840 25990.00 2.4 600 General Nutrition 21 .87 13,125.00 25.00 15,000.00 0.6 0.000 0.00 0.0 1,500 Inco, Ltd. 33.53 50290.00 31 .62 47,437.50 1.9 0.400 600.00 1 .3 1,500 Interdigital 10.15 15,223.50 8.75 135125.00 0.5 0.000 0.00 0.0 Communications J 1 ,500 International Rectifier 15.12 22,678.97 18.00 275000.00 1 . 1 0.000 0.00 0.0 1 ,600 L.T.V, Corp. 14.88 23,802.68 13.00 205800.00 0.8 0.000 0.00 0.0 2,000 Lifeline Systems, Inc. 11 .25 222500.00 12.25 24,500.00 1 .0 0.000 0.00 0.0 1 ,000 Mercury Finance 13.50 132500.00 14.12 147125.00 0.6 0.300 300.00 2.1 1 ,300 Mobil Corp. 101 .76 132,293.00 115.87 1507637.50 6.1 3.700 4,810.00 3.2 800 Molex Inc 32. 12 25,700.00 34.87 275900.00 1.1 0.040 32.00 0.1 800 Motorola, Inc. 58.50 46,800.00 53.00 42,400.00 1 .7 0.400 320.00 0.8 1 ,100 Newell Co Inc 20.93 233025.75 26.75 293425.00 1 .2 0.560 616.00 2.1 700 Northern Trust Corp. 41 . 16 28,813.08 54.00 37,800.00 1.5 1 .240 868.00 2.3 1 ,100 Park Electrochemical 33.41 369750.00 29.75 325725.00 1.3 0.320 352.00 1 .1 1 ,700 Periphonics Corp. 24.76 423090.90 23.75 40,375.00 1.6 0.000 0.00 0.0 1 ,800 Personnel Group of 15.06 273105.00 18.25 32,850.00 1 .3 0.000 0.00 0.0 America 1 ,500 Philip Morris 54.03 81 ,038.50 87.75 131 ,625.00 5.3 4.000 61000.00 4.6 15500 Placer Dome, Inc. 26.44 39,667.50 28.87 43,312.50 1 .8 0.300 450.00 1 .0 600 Rubbermaid, Inc. 28.87 17,325.00 28.37 17,025.00 0.7 0.450 270.00 1 .6 800 Starbucks Corp. 17.33 133864.00 23.31 18,650.00 0.8 0.000 0.00 0.0 600 Tyson Foods 22.67 13,604.77 23.25 13,950.00 0.6 0.080 48.00 0.3 15000 Varian Associates 47.35 477346.67 49.87 49,875.00 2.0 0.320 320.00 0.6 1 ,100 VeriFone, Inc. 24.64 27,100.93 42.00 46,200.00 1 .9 0.000 0.00 0.0 700 Watkins Johnson 42.32 292623.48 35.75 25,025.00 1 .0 0.480 336.00 1 .3 1 ,358,804. 16 1 ,590,275.50 64.5 26,171 . 16 1 .6 CALLS -8 Philip Morris April 95 2.50 -11996.48 0.62 -500.00 0.0 Calls -1 ,996.48 -500.00 0.0 • 1 i i" • Longer Investments, Incorporated PORTFOLIO APPRAISAL City of Fayetteville Police Pension Fund Stock Account March 31, 1996 Unit Total Market Market Pct. Unit Annual Cur. Quantity Security Cost Cost Price Value Assets Income Income Yield GOVERNMENT BONDS 125,000 U. S. Treasury Note - 99.88 124,853.75 101 .53 126,914.06 5. 1 7.500 9,375.00 7.4 7.500 % Due 12-31-96 50,000 U. S. Treasury Note 99.96 497978.50 102.47 51 ,234.37 2. 1 7.375 3,687.50 7.2 7.375 % Due 11-15.97 100,000 U. S. Treasury Note 99.36 99,359.37 100.41 100,406.25 4. 1 6.000 6,000.00 6.0 6.000 % Due 11-30-97 100,000 U. S. Treasury Note 101.50 101,500.00 100.62 100,625.00 4. 1 6.375 61375.00 6.3 6.375 % Due 08-15-02 110,000 U. S. Treasury Note 97.95 107,747.48 105.47 116,015.62 4.7 7.250 72975.00 6.9 7.250 % Due 05-15-04 50,000 U. S. Treasury Note 99.97 497984.38 109.69 54,843.75 2.2 7.875 31937.50 7.2 7.875 % Due 11-15-04 Accrued Interest 11 ,051 .67 0.4 533,423.48 561 ,090.73 22.8 37,350.00 6.8 CASH AND EQUIVALENTS Dividends Accrued 37086.50 31086.50 0. 1 0.000 0.00 0.0 Money Market 312,273.77 312,273.77 12.7 4.940 15,426.32 4.9 3153360.27 315,360.27 12.8 15,426.32 4.9 TOTAL PORTFOLIO 24059591.44 21466,226.50 100.0 78,947.48 3.2 • 2 T • Longer Investments, Incorporated PORTFOLIO APPRAISAL City of Fayetteville Police Pension Fund Bond Account March 31, 1996 Unit Total Market Market Pct. Unit Annual Cur. Quantity Security Cost Cost Price Value Assets Income Income Yield CORPORATE BONDS 100,000 Philip Morris 100.54 1009543.50 104.78 104,781.25 7.2 9.250 9,250.00 8.8 (Non-callable) Rated A2/A 9.250 % Due 12-01-97 55,000 Pepsico (Noncallable) 99.31 54,618.30 100.19 55,103.12 3.8 6.125 3568.75 6.1 Rated Al/A 6.125 % Due 01-15-98 140,000 Wal-Mart Stores •101 .83 1429565.75 98.66 138,118.75 9.5 6.500 91100.00 6.6 (Non-callable) Rated AAI/AA 6.500 % Due 06-01-03 75,000 J.P. Morgan 99.90 74,925.75 89.59 67095.31 4.6 5.750 4,312.50 6.4 (Non-callable) Rated AA3/AA 5.750 % Due 10-15-08 Accrued Interest 8,816.39 0.6 372,653.30 374,014.83 25.8 26,031 .25 7. 1 &VERNMENT BONDS t 200,000 U. S. Treasury Note 99.94 199,884.00 100.28 200,562.50 13.9 6. 125 12,250.00 6.1 6.125 % Due 07-31-96 100,000 U. S. Treasury Note 99.96 99,958.00 101 .16 101 ,156.25 7.0 7.250 7,250.00 7.2 7.250 % Due 11-30-96 100,000 U. S. Treasury Note 99.90 99,898.00 101 .53 101 ,531 .25 7.0 7.500 7,500.00 7.4 7.500 % Due 12-31-96 100,000 U. S. Treasury Note 99.93 99,932.00 102.47 102,468.75 7.1 7.375 77375.00 7.2 7.375 % Due 11.15-97 75,000 U. S. Treasury Note 99.99 74,995.25 99.16 74,367.19 5. 1 5.250 3,937.50 5.3 5.250 % Due 12-31-97 50,000 U. S. Treasury Note 99.56 49,781 .50 100.53 50,265.62 3.5 6.250 3025.00 6.2 6.250 % Due 09-31-00 100,000 U. S. Treasury Note 99.00 99,000.00 108.09 108,093.75 7.5 8.000 8,000.00 7.4 8.000 % Due 05-15-01 45,000 U. S. Treasury Note 99.29 44,678.50 105.47 47,460.94 3.3 7.250 3,262.50 6.9 7.250 % Due 05-15-04 50,000 U. S. Treasury Note 99.87 492937.50 100.56 50,281 .25 3.5 6.500 3,250.00 6.5 6.500 % Due 08-15-05 100,000 U. S. Treasury Note 100.09 100,093.75 96.37 96,375.00 6.7 5.875 52875.00 6. 1 5.875 % Due 11-15-05 50,000 U. S. Treasury Note 99.83 49,914.06 92.47 46,234.37 3.2 6.250 39125.00 6.8 6.250 % Due 08-15-23 Accrued Interest 17,495. 17 1 .2 968,072.56 996,292.05 68.8 64,950.00 6.6 GOVERNMENT AGENCY 60,000 Federal Home Loan Bank 100.06 60,035.00 98.66 59,193.75 4. 1 7.350 4,410.00 7.5 (Call 6-14-96 @ 100) 7.350 % Due 06-14-05 1 Longer Investments, Incorporated PORTFOLIO APPRAISAL City of Fayetteville Police Pension Fund Bond Account March 31, 1996 Unit Total Market Market Pct. Unit Annual Cur. Quantity Security Cost Cost Price Value Assets Income Income Yield Accrued Interest 1,310.75 0. 1 60,035.00 60,504.50 4.2 4,410.00 7.5 CASH AND EQUIVALENTS Money Market 16,441 47 16,441 .47 1 .1 4.940 812.21 4.9 16,441 .47 16,441 .47 1 . 1 812.21 4.9 TOTAL PORTFOLIO 1,4179202.33 19447,252.84 . 100.0 96,203.46 6.8 • • 2 City of Fayetteville Police Pension Fund Largest Holdings March 31 , 1996 Percent of Percent of Equity Portfolio Total Portfolio (Historical Cosh (Historical Cosh Mobil 6 .0% 3 .7% General Electric 3 .9% 2 .4% Philip Morris 3 . 7% 2 .2% AT & T 3 .6% 2 .2% DII Group 2 .6% 1 .6% Bristol Myers-Squibb 2 .4% 1 . 5% City of Fayetteville Police Pension Fund Portfolio Parameters March 31, 1996 Price/Earnings Multiple 21.7X Return on Equity 19.5% Debt to Capital Ratio 18.9% Expected Return 14.0% Beta 1.05 Standard & Poor's Rating A- Market Capitalization (Percent of Equities) Large Cap. (Greater than $5 Billion) 40 . 8% Mid Cap. ($400 Million - $5 Billion) 31 .7% Small Cap. (Less than $400 Million) 27 . 5 % 1996 REALIZED GAINS (Through 3/31) $60,244. 95 1996 RETURN (Through 3/31) - 1 . 5% t