AGENDA MEMORANDUM

Meeting Date: April 27, 2009

From:                          Jerry Boop, Finance Director, CPA, CGFO

Subject:                      Resolution authorizing a contribution of up to $266,581 to fund the 175 Fire Pension Plan

Staff Recommendation:

Staff recommends approval of a contribution of up to $266,581, which is the actuarial amount needed to fund the 2006-07 plan year.

Analysis:

Because of  the health concerns of the previous actuary, the Fire Pension Board hired Foster and Foster  to take over the Fire Pension valuation process during the summer of 2008.  In order to understand the funding position of the plan, Foster and Foster performed a valuation for plan year 2007 which was completed March 10, 2009.  The valuation for plan year 2006-07 resulted in an actuarial shortfall of $266,581. Florida Statutes, Chapter 175.091(d) requires the City to maintain certain minimum benefit levels and fund any actuarial deficiency shown by an actuarial valuation as provided in part VII of Chapter 112.

Options:

1.  Approve the contribution to the 175 Fire Pension Plan; or

2.  Such alternative action as the Commission may deem appropriate

Fiscal Impact: 

Funding of the $266,581 will need to be provided from the Fund Balance of the General Fund.

Submission Date and Time:    4/23/2009 9:01 AM____

Department: _Finance________________ Prepared by:  Jerry Boop____________                      Attachments:         Yes__X_   No ______ Advertised:   ____Not Required ______ Dates:   __________________________                      Attorney Review :       Yes___  No ____ _________________________________            Revised 6/10/04

Reviewed by: Dept. Head __JB____ Finance  Dept. ____________JB____                                    Deputy C.M. ___________________                                          Submitted by: City Manager ___________________

Account No. _001-2220-522-2210__ Project No. ___________________ WF No. ______________________ Budget  ______________________ Available _____________________

RESOLUTION NO._______________

A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA, AUTHORIZING A CONTRIBUTION OF UP TO $266,581 TO THE 175 FIRE PENSION PLAN; AND PROVIDING AN EFFECTIVE DATE.

BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA:

            THAT the Finance Department is hereby authorized to fund the designated contribution to the 175 Fire Pension Plan for the 2006-07 fiscal year in an amount up to $266,581 as required by Florida Statute 175.

 THAT this resolution shall become effective immediately.

PASSED AND ADOPTED by the City Commission of the City of Leesburg, Florida, at a regular meeting held the 27th day of April 2009.

                                                                            __________________________

                                                                             Mayor

ATTEST:

__________________________

City Clerk