Fort Walton Beach Council agenda — 08-22-2007 special agenda — reading text

Date - Age 52 and 10 years of Credited Service. Benefit - Accrued Benefit payable as of the Early Retirement Date, reduced by 0. 25% for each month by which the Early Retirement Date precedes the Normal Retirement Date. 11. 1999 Early Retirement Incentive: Eligibility Date - Age 52 and 25 years of Credited Service as of December I, 1998, upon written election submitted on or before April 5, 1999, to retire within 12 months following election. Benefit - monthly benefit payable for life A starting at retirement, equal to 2.75% of Final Average Monthly Earnings times Credited Service, but notgreater than 100% of Final Average Monthly Earnings. L LUL:l I':...:: Conc~~ ts  APPENDIX A-4 12. 2005 Early Retirement Incentive: Date - Eligibility Age 52 and 25 years of Credited Service as of September I, 2005, upon written election submitted within 15 days following June 14, 2005, to retire within 12 months following election. Benefit - monthly benefit payable for life A starting at retirement, equal to 2. 75% of Final Average Monthly Earnings times Credited Service, but not greater than 100% of Final Average Monthly Earnings. Accrued Benefit of the date of disability, 13. Disability Benefit: as subject to the following minimum benefits: Line- of-Duty Disability - for all Employees, 50% of current Compensation. of-Duty Not-in-Line- Disability - for vested Employees only, 40% of current Compensation. Disability benefits are not subject to the cost- of- living increases. Disability benefits terminate on the earliest of i) death; ( ii) cessation of disability; ( iii) the normal retirement date ( age 65 for employees who became disabled at age 60 or less, and five years after disablement for employees who became disabled after age 60). 14. Deferred Retirement: Eligibility Date - After the Normal Retirement Date. Benefit - Accrued Benefit at Deferred Retirement Date. 15. Death Benefit before Retirement: If an Employee with two or more years of Credited Service should die before retirement, the beneficiary shall be entitled to 50% of the benefit the Employee would have received had a;; iii'='-=='=': I;"': = L :.. :..: :....; = Conc~ Rts  APPENDIX A-5 he( she) survived to the Normal Retirement Date, based on current Compensation at the date of death. For an Employee with less than two years of Credited Service, the benefit shall be a refund of the Employee' s contributions with interest. 16. Death Benefit after Retirement: Subject to the terms of the optional benefit form (if any) elected. 17. Termination Benefit: A terminating Employee with less than 100% vesting will receive a refund of contributions with interest compounded at 3% on the balance at the just previous September 30 to the date of termination and contributions made after the just previous September 30 without interest. A terminating Employee with 100% vesting of may elect to receive the lump- sum refund contributions with interest as described above or to receive the Accrued Benefit as of the termination date payable at the Normal Retirement Date. 18. Cost- of-Living Adjustment: Adjustment on April 1 of each year of up to 3% for all retirees. If the Consumer Price Index for December of the preceding year is less than 3%, the cost- of-living adjustment will be reduced accordingly, but not less than zero. The cost- of-living adjustment does not apply to disability benefits. 19. Normal (Unreduced) Form of Payment: Life annuity. a, -- 1.. 1: : 1... :":": u: Conc~ Rts  APPENDIX B- 1 CITY OF FORT WALTON BEACH GENERAL EMPLOYEES' RETIREMENT FUND ACTUARIAL ASSUMPTIONS AND ACTUARIAL COST METHOD SUMMARY Actuarial Assumptions 1. Investment Return: 8.0% per annum, compounded annually. Rate 2. Salary Increase Rate: Age 24 and under 8% 25- 34 7 35- 44 6 45- 54 5 55 and over 4 3. Mortality Rates: RP- 2000 Mortality Table Probability of Death Within One Year After Attaining Age Shown Age Male Female 25 0.04% 0. 02% 35 0. 08 0.05 45 0. 15 0. 11 55 0. 36 0.27 65 1.27 0. 97 4. Termination Rates: Probability of Terminating Service for reasons other than death, disability or retirement) Within One Year Age After Attaining Age Shown 25 7.7% 35 6.9 45 5.2 55 4A 4.'=: e;:! ::.~:::! Conc~ 2ts  APPENDIX B- 2 5. Disability Rates: Probability of Disability Within One Year After Attaining Age Shown Age Male Female 25 0. 15% 0. 09% 35 0. 26 0. 26 45 0.62 0.58 55 1. 82 1.53 Assumed 100% in line of duty. 6. Early Retirement Rates: Probability of Early Retirement Within One Year Age After Attaining Age Shown 50 4. 3% 52 4.2 55 4.4 57 4.7 7. Normal Retirement Age: Age 62 and 10 years of service. 8. Marital Status and Spouse' s Age: 100% of employees assumed married. Male spouses assumed three years older than female employees, and female spouses assumed three years younger than male employees. 9. Actuarial Value of Assets: The actuarial value of assets is determined by adjusting the expected value of assets as of the valuation date by a portion of the cumulative differences of the market value of assets and the expected value of assets as of the previous four valuation dates. Each difference is fully recognized over a period not to exceed five years. The