11-10-1966 Regular MeetingMIAMI SHORE'S VILLAGE
PENSION BOARD MEETING -- NOVEMBER 10, 1966
A meeting of the Miami Shores Village Pension Board was
held on November 10, 1966, 4:00 P.M., at the Village Hall.
The following members were present:
Mayor Dean R. Claussen, Chairman
C. Lawton McCall, Village Manager
Ray L. Clement, Councilman
Mrs. David Cunningham, citizen
Stuart A. Senneff, Chief of Police
John W. McIntyre, employee representative
Also present: Mr. R. James Methven of the Wyatt Co.
Absent: Mr. J. Harrell Powell, citizen.
Minutes of the last meeting were read and approved as
written.
Mr. R. James Metheven explained the January 1st, 1966
Actuarial Valuation Report.
Motion made by John W. McIntyre to accept the report,
seconded by Mrs. Cunningham and passed.
After a discussion of new benefits for the plan it was agreed
that Mr. McCall should write Wyatt Co. and ask for the cost of
adding $2,000.00 double indemnity death benefit, a 60% of salary
disability after 90 days integrated with social security and
workman's compensation, and a credit of first year service after
ten years. Also the cost of lowering eligibility for pension to
age 60 without actuarial reduction.
The meeting adjourned at 5:30 P.M.
APPROVED
jij1,ts
rman
Res - - . tfully ubmitted,
CHICAGO
CLEVELAND
DALLAS
DETROIT
FORT WORTH
HONOLULU
HOUSTON
LOS ANGELES
THE `��/iall COMPANY
ACTUARIES AND EMPLOYEE BENEFIT CONSULTANTS
308 EXECUTIVE BLDG. OF CORAL GABLES
316 ARAGON AVENUE
CORAL GABLES, FLORIDA 33134
Mr. C. Lawton McCall
Village Manager
Village of Miami Shores
Miami Shores, Florida
(303) 444-e2a3
May 10, 1966
MIAMI
NEW YORK
OKLAHOMA CITY
PHILADELPHIA
SAN FRANCISCO
WASHINGTON
OTTAWA
TORONTO
• Actuarial Valuation'of the Village of Miami
Shores Pension Plan as of January 1, 1966.
Dear Mr. McCall:
Enclosed are Tables I and II covering our valuation of the above
plan. Table I is'a summary of the results of the valuation, and Table II
compares the results with the previous year's valuation.
The annual contribution to pay the normal cost and to fund the
net actuarial deficiency in 4+0 years from January 1, 1965 is $30,980, as
shown in Item 11 of Table I. This is also the minimum contribution re-
quirement on the basis of the current actuarial assumptions under the ap-
plicable Statutes of the State of Florida to maintain the retirement plan
on a currently funded basis.
A review of Table II shows a reduction in pension plan costs
since last year. The lower costs are the result of fewer participants in
the plan and a decrease in annual compensation which resulted in a reduc-
tion in the prospective retirement income, as shown in Items 1 and 2. As
may be seen from Item 7, the current year's cost decreased from $32,122 in
1965 to $30,980 in 1966, however,•when expressed as a percentage of covered
annual compensation, the costs have remained relatively constant.
If you have any questions concerning this information, don't
hesitate to call or write.,
•
R. James Methven
Consultant
Sineerely,
Table
VILLAGE OF MIAMI SHORES PENSION PLAN
Summary of Retirement Plan Costs
tValuation as of January 1, 1966)
Basis of Calculations: 1965 Projected Annuity Mortality Table; 3-1/2% interest;
salary scale 6 all employees; withdrawals 155 for males
and 255 for females; entry -age -normal -cost method of valu-
ation.
1. Number of covered employees
2. Annual payroll for covered employees
3. Estimated aggregate annual retirement income
4. Number of retired employees
5. Annual retirement income being paid
6. Past service liability as of valuation date
a. Individuals receiving benefits from trust fund
b. Return of accumulated employee contributions
c.' Active employees at or under normal retirement
d. Total
7. Assets in trust fund as of valuation date
-8. Net past service liability as of valuation date
9. Future service cost for year
• a. Retirement benefits
b. Return of employee contributions
c. Total future service cost
d. Total estimated employee contributions
e. Future service cost to Village (c minus d)
Contribution to fund the net past service liability.
in 40 -year funding period from ,January 1, 1965
Total Village Contribution (Sum'of Items 9e and 10)
Cost Data
90 '
$450,376
$281,143
8
$ 6,051
age
$ 56,217
$ 8,972 ..
$6480758.,
$713,947.
$447,564
$266,38i
$ 41,866
$ 3,939
$ 45,805
$ 27,021
^$18,784-'
$12,196'_
$30,980
Does not include costs tor expenses of administration
(i.e., actuarial fees, trustee's fees, auditor's fees,
etc.).
Certified by: THE WYATT COMPANY
Actuaries for Plan
Reviewed by:
R. James Me'
Consultant
Miami Office
0
1. ic data included in valuation
a) Active employees -
.96 90
b) Individuals receiving benefits 7 - 8
c) Annual compensation for active employees $163,1i24 100.0% . $450,376
January 1, 1965 January 1, 1966
Cost $ of Annual Cost $ of Annual
Data Compensation Data Compensation
2.
ual retirement income included in valuation
ai Active employees
b Individuals receiving benefits.
c) Total
- • $288,629
$ 5,754
$294 383
. 0 •ss past service liability as of
va uation date
k value of assets in trust fund as of
uation date
past service liability as of yaluation date
ure service cost for year
tribution to pay 406 -year funding cost
m January 1, 1965
$651,391 .
$388,72i.
$262,670
$ 20,238
$ 32,122
140.6%
83.9%
56.7%
4.4%
6.9%
$281,143
$ 6,051
4287,194 .
loo.o%
158.5%
$447,564 99.4%
$266,383 59.1%
$ 18,784 4.2%
$ 30,980 6.9%
•• •