|
<br />Elk River Fire Department Relief Association
<br />March 17, 2006
<br />
<br />Funding Status
<br />
<br />The amount of the total accrued pension liability is based on a standardized measurement established by the Governmental
<br />Accounting Standards Board (GASB) that, with some exceptions, must be used by the relief associations for financial statement
<br />presentations. This standardized measurement is based on Minnesota statute 69.772. This pension valuation method reflects the
<br />present value of estimated pension benefits that will be paid in future years as a result of service years performed by the members
<br />of the Association. A standardized measure of the accrued pension liability was adopted by GASB to enable the readers of relief
<br />association financial statements to (a) assess the relief association's funding status on a going-concern basis, (b) assess progress
<br />being made in accumulating sufficient assets to pay benefits when due, and (c) make comparisons among relief associations.
<br />
<br />Because the standardized measure is used only for disclosure purposes by the Association, the measurement is independent of an
<br />actuarial computation made to determine contributions to the Association. The following represents the percentage funded trend
<br />for the last six years.
<br />
<br /> Funding
<br />Year Assets Liabilities Percentage
<br />2000 $ 1,273,996 $ 1,305,344 97.6 %
<br />2001 1,093,828 1,223,881 89.4
<br />2002 1,037,180 1,267,510 81.8
<br />2003 1,354,326 1,378,916 98.2
<br />2004 1,646,533 1,664,129 98.9
<br />2005 1,886,585 1,781,082 105.9
<br />
<br />Prior Six Years Funding Process
<br />
<br />$3,000,000
<br />
<br />$2,500,000
<br />
<br />$2,000,000
<br />
<br />105.9%
<br />
<br />$1,664,129
<br />
<br />$1,500,000
<br />
<br />$1,305,344
<br />
<br />$1 267,510
<br />
<br />$1,378,916
<br />
<br />
<br />$1,781,082
<br />
<br />m;;i!~imiiiiii!i!i!iiii;i!;I;;!;!;!!im!!*;"~ffi'';'':''
<br />
<br />
<br />$1,223,881
<br />
<br />$1,000,000
<br />
<br />97.6%
<br />
<br />.:i<minl''&'''i!!5il;lliitl!tilliilill!lillj;,Ulil;:I;i:i:i;;"
<br />
<br />89.4%
<br />
<br />81.8%
<br />
<br />$500,000
<br />
<br />$- .
<br />
<br />2000
<br />
<br />2001
<br />
<br />2002
<br />
<br />2003
<br />
<br />2004
<br />
<br />2005
<br />
<br />I,.,.,.,...,.'....>."-'"As t """.,.,....,".'''N.L. b'l'ti' I
<br />"""""'''~~- se s ,.,.,.,,,,,,, ',...,,,.,.,,, la lIes
<br />
<br />-v-
<br />
|