HomeMy WebLinkAbout001 - 01/17/1978 - AMENDING SECTION 30-2C OF THE CITY CODE AND ESTABLISHING A PENSION RESERVE ACCOUNT IN THE TRUST FUND ORDINANCE NO 1 , 1978
BEING AN ORDINANCE AMENDING SECTION 30-2C
OF THE CODE OF THE CITY OF FORT COLLINS
AND ESTABLISHING A PENSION RESERVE ACCOUNT
IN THE TRUST FUND AND APPROPRIATING THE
SUM OF $235, 000 00 FROM RESERVES TO
SUCH PENSION RESERVE ACCOUNT
WHEREAS, the City of Fort Collins has elected to place
its police and fire personnel under the State police and
fire pension systems and
WHEREAS, an actuarial study has been conducted for the
City Firemen' s Pension Fund and Policemen' s Pension Fund and
such study indicates that neither of these funds are actuarially
sound and both have potential unfunded liability and
WHEREAS, the actuarial study conducted indicates that
the sources of revenue available to the Firemen' s Pension
Fund and the Policemen' s Pension Fund are not adequate to
maintain the degree of funding for such funds at current
level but the unfunded liability will increase in future
years and
WHEREAS, such actuarial study further indicates that an
additional contribution of $235 000 00 per year ($80 , 000 00
for the Policemen s Pension Fund and $155, 000 00 for the
Firemen' s Pension Fund) would De required in order to naintain
funding of the pension plans at their current level and
WIHERZAS , the City Council recognizes that changes fray
be made in state law which increase the funding available
to such pension funds and further recognizes that the City
may not have a legal obligation to fund any deficits in
ether the 'Policemen ' s Pension Plan or the Firemen ' s Pension
Plan and
WHEREAS the city Council ras studied this matter and
believes it is desirable to create a fund which woula be
available to make up deficits in either of said pension
plans if this is deemed desirable at a future time and
ti'HEREPS there are surplus funds on hand consisting of
reseries accum,alated in prior vears uh_ch have not been
apnroDriateo and could be appropriated under the Drovisions
of Sectio- 8 or Art_cle V or the Charter of the City of Fort
Collins to contribute to a fund for such purpose
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE
CITY OF FORT COLLINS:
Section 1. Section 30-2C (1) of the Code of the City of
Fort Collins be, and the same hereby is, amended by adding
thereto the following.
"The accounts of the trust fund shall further include
an account to be known as the Pension Reserve Account.
Such account is established in order that there may be
funds available if the City Council at any time in the
future determines it necessary or desirable to provide
additional funding for the Firemen's Pension Fund
and/or the Policemen's Pension Fund. Any amounts in
this account shall not be considered a part of the
assets of the Firemen's Pension Fund or the Policemen's
Pension Fund, and nothing herein shall be construed to
establish any responsibility on the City of Fort Collins
to provide additional funding for either of said pension
plans. The City Council may at any time order the
assets in the Pension Reserve Account to be transferred
to any other account or fund or to be expended for any
purpose which the City Council deems proper. "
Section 2. There is hereby appropriated the sum of
$235, 000. 00 from previously unappropriated surplus funds on
hand consisting of reserves accumulated in prior years
Such amount is appropriated and to be placed in the Pension
Reserve Account established in Section 1 above.
Introduced, considered favorably on first reading and
ordered published this 3rd day of January, A D. 1978 , and to
be presented for final passage on the 17th day of January,
A D 1978
A TEST- I.Sayor
C ty Clerk
Passed and adopted on final reading this 17th day of
January, A D 1978
ATTESM4., May
City Clerk
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