HomeMy WebLinkAboutPS 2018-09-17 Item 2C - Budget - 2019-2020 Biennial Budget: Firemen's Pension ric11-4 4V
Itrur, ? City of Tukwila
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�� o Allan Ekberg, Mayor
2906 INFORMATIONAL MEMORANDUM
TO: Public Safety Committee
FROM: Peggy McCarthy, Finance Director
BY: Vicky Carlsen, Deputy Finance Director
CC: Mayor Ekberg
DATE: September 12, 2018
SUBJECT: Firemen's Pension Fund 2019-2020 Proposed Budget
ISSUE
As provided for in the budget process approved by the Finance Committee, Council Committees
will be reviewing budget sections prior to review by the full Council. The Firemen's Pension fund
section of the budget is ready for review by the Finance Committee.
BACKGROUND
The Firemen's Pension Fund exists to support 10 firefighters who qualified for a City pension
system prior to 1971. Members of the Tukwila Firemen's Pension system receive benefits from
the LEOFF 1 system provided by WA State Department of Retirement Systems. State law
requires the City to compute the benefits under the prior pension system (City's pension system)
as if transfer of membership had not occurred. The retirees are paid the difference (if any)
between the pension benefit they would have received from the City's plan and the benefit
received from the LEOFF retirement system.
DISCUSSION
Revenue received from the State is anticipated to cover expenditures in the upcoming biennium.
Expenditures are projected to be comparable with 2018. The fund retains a healthy fund balance
through the biennium.
RECOMMENDATION
Staff recommends that the Finance Committee forward this section of the budget on to the
Committee of the Whole for review. If there are no recommended changes, Council consensus
will be requested to move this departmental budget forward to the final budget package in
October.
ATTACHMENTS
Draft Firemen's Pension fund 2019-2020 Proposed Budget
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DEPARTMENT: N/A DIVISION: N/A
FUND: Firemen's Pension FUND NUMBER: 611
RESPONSIBLE MANAGER: Peggy McCarthy POSITION: Director
Description
This fund exists to support ten (10) firefighters who qualify for a City pension system prior to 1971.
Firemen's Pension Fund 611
Actual Projected Budget Percent Change
2016 2017 2018 2018 2019 2020 2018-19 2019-20
Operating Revenue
Fire Insurance Premium Tax $ 66,360 $ 68,709 $ 67,000 $ 69,041 $ 72,000 $ 72,000 4.29% 0.00%
Interest 10,205 (320) $ 10,361 2,000 2,000 2,000 0.00% 0.00%
Total Revenue 76,565 68,389 77,361 71,041 74,000 74,000 4.17% 0.00%
Operating Expenses
Supplemental Pension 59,988 51,486 66,491 66,491 66,491 66,491 0.00% 0.00%
Services 4,000 3,500 3,500 10,000 3,500 3,500 -65.00% 0.00%
Total Expenses 63,988 54,986 69,991 76,491 69,991 69,991 -8.50% 0.00%
Beginning Fund Balance 1,416,506 1,429,083 1,442,486 1,404,694 1,449,856 1,453,865 3.22% 0.28%
Change in Fund Balance 12,577 13,403 7,370 (5,450) 4,009 4,009 -173.56% 0.00%
Ending Fund Balance $1,429,083 $1,442,486 $1,449,856 $1,399,244 $1,453,865 $1,457,874 3.90% 0.28%
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