5.1. ERMUSR 06-14-2016 - Laserfiche WebLink

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PEPFF. PERA provides retirement and disability benefits to its members, and to survivors upon death of eligible members. Benefits are established by State statute;vest after three years of service; and are based on a member's highest average salary for any five successive years of allowable service, age, and a formula multiplier based on years of credit at termination of service. The City's contributions to GERF and PEPFF are equal to the contractually required contributions for each year as set by State Statute,and are as follows for the past five years: GERF PEPFF 2014 $615,331 $418,280 2013 584,075 383,545 2012 553,395 369,421 2011 528,696 355,670 2010 501,726 357,977 Two Council members of the City are covered by the Public Employees Defined Contribution Plan (PEDCP),a multiple-employer deferred compensation plan administered by PERA. The PEDCP is a tax- qualified plan under Section 401(a) of the Internal Revenue Code and all contributions by or on behalf of employees are tax deferred until the time of withdrawal. Plan benefits depend solely on the amounts contributed to the plan plus investment earnings less administrative expenses. An eligible elected official who chooses to participate in the plan contributes 5% of their salary, which is matched by the elected official's employer. For salaried employees, employer contributions are determined by the employer and must be a fixed percentage of salary. Employees who are paid for their services may elect to make member contributions in an amount not to exceed the employer share. PERA receives 2% of employer contributions and 0.025% of the assets in each member's account annually for administering the plan. The City's contributions to PEDCP for the past three years are as follows: PEDCP 2014 $ 940 2013 940 2012 1,405 2011 1,380 2010 1,470 The Elk River Fire Relief Association(the "Association")is the administrator of a single employer public employee defined benefit retirement system established to provide benefits for members of the Elk River Fire Department. The Association maintains a separate special fund to accumulate assets to fund the retirement benefits earned by the Fire Department's membership. Funding for the Association is derived primarily from an insurance premium tax in accordance with the Volunteer Firefighter's Relief Association Financing Guidelines Act of 1971 (Chapter 261 as amended by Chapter 509 of Minnesota Statutes 1980). The financial requirements of the special fund are determined in accordance with Minnesota Statutes, which requires the payment of pension benefits in a lump sum or optionally in annual installments. The Association is comprised of volunteers and, therefore, members do not have any contribution requirements. The payments made by the State of Minnesota to the City for the Association for the past five years are as follows: Firefighter's Association 2014 $164,825 2013 167,103 2012 118,465 2011 118,522 2010 101,255 -32 - 150