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FIle Ref. #193 (2 of 3) (1?P OCTOBER 1,1999 ACTUARIAL VALUATION REPORT FOR THE CITY OF MIAMI BEACH RETIREMENT SYSTEM FOR UNCLASSIFIED EMPLOYEES AND ELECTED OFFICIALS ANNUAL EMPLOYER CONTRIBUTION IS DETERMINED BY THIS VALUATION FOR THE PLAN YEAR ENDING SEPTEMBER 30, 2000 TO BE PAID IN THE EMPLOYER FISCAL YEAR ENDING SEPTEMBER 30, 2001 ImD GABRIEL, ROEDER, SMITH & COMPANY I-I GABRIEL, ROEDER, SMITH & COMPANY Consultants & Actuaries 301 East Las Olas Blvd,. Suite 200. Ft. Lauderdale, FL 33301.954-527-1616. FAX 954-525-0083 January 19,2000 Board of Trustees City of Miami Beach Unclassified Retirement System Miami Beach, Florida Dear Board Members: We are pleased to present our October 1, 1999 Actuarial Valuation Report for the Plan. The purpose of the Report is to set forth required contribution levels, to disclose plan assets and actuarial liabilities, to comment on funding progress and to provide supporting information regarding the operation of the Plan. This Report is also designed to comply with requirements of the State. The valuation was performed on the basis of employee, retiree and financial information supplied by the City. Although we did not audit this information, it was reviewed for reasonableness and comparability to prior years. The benefits valued are outlined at the end of the Report. Actuarial assumptions and the actuarial cost method are also described herein. Any changes in benefits, assumptions or methods are described in the first section. We will be pleased to answer any questions pertaining to the valuation and to meet with you to review this Report. Respectfully submitted, GABRIEL, ROEDER, SMITH AND COMPANY , {2~L - ~~t_ By: By \ . Step en Palmquist, AS AM, FCA Enrolled Actuary No. 99-1560 Statement by Enrolled Actuary This actuarial valuation and/or cost determination was prepared and completed by me or under my direct supervision, and I acknowledge responsibility for the results. To the best of my knowledge, the results are complete and accurate. In my opinion, the techniques and assumptions used are reasonable, meet the requirements and intent of Part VII, Chapter 112, Florida Statutes, and are based on generally accepted actuarial principles and practices. There is no benefit or expense to be provided by the plan and/or paid from the plan's assets for which liabilities or current costs have not been established or otherwise taken into account in the valuation. All known events or trends which may require a material increase in plan costs or required contribution rates have been taken into account in the valuation. ~~ I Signature . I);!? )~)() 0 Date 99-1560 Enrollment Number rEm! GABRIEL, ROEDER, SMITH & COMPANY TABLE OF CONTENTS Section Title Paae A. Discussion of Valuation Results 1 B. Valuation Results 1. Summary of Valuation Results 3 2. Derivation of Employer Normal Cost 4 3, Actuarial Gains and Losses 5 4. Recent History of Valuation Results 9 5. Recent History of Required and Actual Contributions 12 6. Actuarial Assumptions and Cost Method 13 7. Glossary of Terms 15 C. Pension Fund Information 1, Summary of Assets 16 2. Summary of Fund's Income and Disbursements 17 3. Actuarial Value of Assets 18 4. Investment Rate of Return 19 D. Financial Accounting Information 1, FASB No. 35 20 2. GASB No. 25 21 3. GASB No. 27 24 4. Other Disclosures 26 E. Miscellaneous Information 1. Reconciliation of Membership Data 27 2. Statistical Data 28 3. Age/Service/Salary Distribution 30 F. Summary of Plan Provisions 35 mmJ GABRIEL, ROEDER, SMITH & COMPANY SECTION A DISCUSSION OF VALUATION RESULTS rEml GABRIEL, ROEDER, SMITH & COMPANY DISCUSSION OF VALUATION OF RESULTS Comoarison of Reauired Emolover Contributions The required employer contributions developed in this and last year's actuarial valuations are as follows: ForFYE ForFYE Increase 9/30/2001 9/30/2000 (Decrease) Required Employer Contribution $ 0 $ 666,897 $ (666,897) As % of Covered Payroll 0.00% 11.24% (11.24)% The contribution has been adjusted for interest on the basis that employer contributions are made on October 1st. The actual employer contribution for the year ending September 30, 1999 was $285,305. Revisions in Benefits There have been no revisions in benefits since the last valuation. Revisions in Actuarial Assumotions and Methods There have been no changes in actuarial assumptions or methods since the last valuation. Actuarial EXDerience There was a net actuarial gain of $4,970,831 for the year which means that actual experience was more favorable than expected. The gain arose from investment earnings above the assumed rate of 9%. The rate of return was 18.8% based on the actuarial value of assets and 19.1 % based on market value. Offsetting this investment gain were salary increases above the assumed rate of 6%. The net actuarial gain for the year translates into a decrease in annual employer contributions of 11.24% of covered payroll. rEm! GABRIEL, ROEDER, SMITH & COMPANY 2 Analvsis of Chanae in Emolover Contribution As previously indicated, the required contribution has decreased by 11.24% of covered payroll. The components of this change are as follows: Contribution Rate Last Year Actuarial Experience 11.24% (11.24) Contribution Rate This Year 0.00% The remainder of this Report includes detailed actuarial valuation results, financial information, miscellaneous information and statistics, and a summary of plan provisions. NOTE: Throughout this Report, "Group A" refers to those active members of the System who were hired before October 17, 1992 and "Group 8" refers to those hired thereafter. ~ GABRIEL, ROEDER, SMITH & COMPANY SECTION B V ALUA liON RESULTS mml GABRIEL, ROEDER, SMITH & COMPANY 3 I SUMMARY OF VALUATION RESULTS I I I As of ()(::tober 1 I 1999 I 1998 I COVERED GROUP I A. Number Included in the Valuation 1. Active Members 109 112 2. Inactive Members 137 130 B. Covered Annual Payroll $ 6,055,140 $ 5,933,226 LONG RANGE COST C. Actuarial Present Value of Projected Benefits 70,824,853 67,291,185 D. Actuarial Value of Assets 67,951,798 59,655,012 E. Actuarial Present Value of Future Contributions 1. Total: C - 0 2,873,055 7,636,173 2. Portion Assigned to Unfunded Frozen Actuarial Accrued Liability (UFAAL) 0 0 3. Portion Assigned to Future Normal Costs 2,873,055 7,636,173 I CURRENT ANNUAL COST I F. Annual Payment Needed to Amortize UFAAL 0 0 As % of B --- --- G. Annual Employer Normal Cost 0 611,832 As % of B --- 10.31% H. Interest on F and G from Valuation Date to Contribution Date( s) 0 55,065 As % of B --- 0.93% I. Required Employer Contri: F + G + H 0 666,897 As % of B --- 11.24% J. Year to Which Contributions Apply 1. Plan Year Ending 9/30/2000 9/30/1999 2. Employer Fiscal Year Ending 9/30/2001 9/30/2000 3. Assumed Date(s) of Employer Contributions 10/1/2000 10/1/1999 ~ GABRIEL, ROEDER, SMITH & COMPANY 4 I DERIVATION OF EMPLOYER NORMAL COST I As of Odober1 1999 1998 A. Actuarial Present Value of Projected Benefits for 1. Active Members a. Service Retirement Benefits $ 23,457,698 $ 23,348,577 b. Vesting Benefits 2,807,740 2,951,259 c. Disability Benefits 1,621,993 1,554,048 d. Preretirement Death Benefits 389,250 368,519 e. Return of Member Contributions 1,393 1,229 f. Other 0 0 g. Total 28,278,074 28,223,632 2. Inactive Members a. Service Retirees and Beneficiaries 36,636,490 32,985,385 b. Disability Retirees 0 0 c. Terminated Vested Members 5,910.289 6.082.168 d. Total 42,546,779 39,067,553 3. Total For All Members 70,824,853 67,291.185 B. Actuarial Value of Assets 67,951,798 59,655,012 C. Unfunded Frozen Actuarial Accrued Liability (UFAAL) 0 0 D. Actuarial Present Value of Projected Member Contributions 4,296,307 4,182,915 E. Actuarial Present Value of Projected Employer Normal Costs: A3 - B - C - D (1,423,252) 3,453,258 F. Actuarial Present Value of Projected Covered Payroll 42,963,100 41,829,200 G. Employer Normal Cost Rate: 100 x ElF (3.31)% 8.26% H. Annual Payroll of Active Members 6,055,140 5,933,226 I. Assumed Amount of Administrative Expenses 158,686 121 ,748 J. Employer Normal Cost: (G x H) + I (41,739) 611,832 ~ GABRIEL, ROEDER, SMITH & COMPANY 5 ACTUARIAL GAINS AND LOSSES The assumptions used to anticipate mortality, employment turnover, investment income, expenses, salary increases, and other factors have been based on long range trends and expectations. Actual experience can vary from these expectations. The variance is measured by the gain and loss for the period involved. If significant long term experience reveals consistent deviation from what has been expected and that deviation is expected to continue, the assumptions should be modified. The net actuarial gain (loss) for the past year is computed as follows: A. Employer Normal Cost as a Percentage of Covered Payroll 1. Last Valuation 2. Current Valuation 3. Difference: 1 - 2 8.26% (3.31 ) 11.57 B. Actuarial Present Value of Future Covered Payroll $42,963,100 C. Net Actuarial Gain (loss): A3 x B 4,970,831 Net actuarial gains in previous years have been as follows: Year Change in Employer Net Ending Normal Cost Rate Gain (Loss) 9/30/89 1.11% $ 617,389 9/30/90 (3.37) (2,230,401 ) 9/30/91 3.51 2,206,147 9/30/92 (0.10) (51,357) 9/30/93 5.13 2,364,561 9/30/94 (0.09) (41,669) 9/30/95 5.62 2,768,530 9/30/96 1.74 811,526 9/30/97 4.37 2,036,346 9/30/98 (6.21 ) (2,597,593) Figures C2 and C3 show the figures from the previous table in graphic form. ~ GABRIEL, ROEDER, SMITH & COMPANY III C ~ $4 3j 10% -10% -15% -20% -25% $12 I $10 ///Y $8 . $6 ~ .. $4 o' ::l Ul $2 $0 -$2 Actuarial Gain (+) or Loss (-) $12 $10 $8 . $6 $2 6 -$4 10% 5% 0% -5% -10% -15% , \ \- -20% $O-~=. -$2 -$4 j------l-- r.......T... -25% P.l ~Oj ~ ~q; ~OJ<::; ~OJ"" ~OJ'" ~OJ~ ~ ~ ~O.J OJfj ~ ~OJ P.l OJfj !O ~Oj ~ ~O.J Plan Year End C Gain Or LO~l;_-l- Cumulative) Figure C2 Change in Employer Normal Cost Rate 5% 0% ..~ ..~-~ --~ /^ ~ \\ \ -5% ~ ~q; !:) ~Oj ~OJ'" ~OJ~ ~ ~ ~O.J ~Oj ~ ~OJ ~ ~O.J !O ~Oj " ~OJ Plan Year End C NormaIC-~~t~te + Cumulati~ Figure C3 EBB GABRIEL, ROEDER, SMITH & COMPANY 7 The fund earnings and salary increase assumptions have considerable impact on the cost of the Plan so it is important that they are in line with the actual experience. The following table shows the actual fund earnings and salary increase rates compared to the assumed rates for the last year: Investment Return Salary Increases Year Ending Actual Assumed Actual Assumed 9/30/89 14.6% 8.0% 3.2% 6.0% 9/30/90 (2.3) 8.0 12.3 6.0 9/30/91 21.6 8.5 3.4 6.0 9/30/92 5.8 9.0 2.4 6.0 9/30/93 14.1 9.0 6.3 6.0 9/30/94 4.8 9.0 6.0 6.0 9/30/95 24.1 9.0 7.6 6.0 9/30/96 13.9 9.0 8.6 6.0 9/30/97 19.1 9.0 7.4 6.0 9/30/98 4.3 9.0 4.1 6.0 9/30/99 18.8 9.0 7.1 6.0 Average 12.3% 6.2% The actual investment return rates shown above are based on the actuarial value of assets. The actual salary increase rates shown above are the increases received by those active members who were included in the actuarial valuation both at the beginning and the end of each period. Figures C4 and C5 show the figures from the previous table in graphic form. ~ GABRIEL, ROEDER, SMITH & COMPANY 8 History of Investment Return Based on Actuarial Value of Assets -5% .n ..., ~ !:) ~q; ~Oj 1 .... ~OJ T---'" I n. ~ ~OJ OJf' ~ ~Oj ~ ~Oj I !O ~Oj [ -- n I ~ !b ~O:I ~Oj 30% 25% 20% 15% 10% 5% 0% -5% ~O:IOJ 30% 25% ~ \ 20% 15% 10% 0% Plan Year End ( -, \.! Actual +Assumed) Fiaure C4 History of Salary Increases 0% - ~'bOJ r. -.--. I ~ "- ~o; OJ'f.> ,- OJ'f.>'" .-1-'" ",,D,.":J ~~ ~,. ~'? ~ ~o; . ---,-- ~OJro r-.. ~ OJ'f.> 14% 12% 10% 8% 6% 4% 2% 0% !') OJ~ 14% 6% ~.. ~/ /. 12% 10% 8% +-.---+ 2% !b ~O.J Plan Year End Compared to Previous Year (._____nn... .--....--.. J \+.A~tual + Assumed Figure C5 rEm! GABRIEL, ROEDER, SMITH & COMPANY ~ ...J ::J en w 0::: Z o !( ::J ...J ~ LL o ...... tt: o I- en :iE I- Z W (.) w It: - II> o (.) (ij E .... o z .... ~ o Q. E w e-----~ Q) :J (ij II> >Q; (ij II> .~ ~ ns .a '0 :i (5 'tJ ~ Q) ~ ;0- >(ij o :J U t: t: ~ '0 .... Q) .c E :J Z Q) ~ > Q) ~~ ns Q) .E~ (5 .... >- ns 0- .... o eft cf. (f)<OCOOI.O 0<0<0.....1'-- ......:0......:.......... ~~~~~ 1.O'<t~I'--(f) '<tCOI'--C\/O cx:>cx:>......:cx:>~ O(f)~I.OCO 01.O(f)1.O~ (f)_ ~ 1.0_ 1.0_ ......._ (f) C\/ 1.0 1.0 ..... OI.OC\/~<O 1.0 1.0 1.0 1.0 C\/ 00000 ('t)I'--COc\/ol '<tC\/I.OCO~ '<t.....C\/.....1'-- o)r--:-r--:-NI{) COOC\/~(f) <OOlI'--COO r--:-o) I{) 00) (f)(f)~1.01.O <Ool~Oc\/ .......(f)OlO(f) ol- c::q, ......._ ....._ ~ I.OCOI'--O(f) l.O~coOol OlC\/.......<O~ 1{)r.6r.6r.6r.6 o 1.0 0 C\/<O I'-.......OlO..... ..... ..... OOl.....~CO '<t('t)~(f)C\/ ~~~~~ ('t)~I.OCOI'-- OlOlOlOlOl -- -- -- -- -- ~ ~ ~ .,.- .,.- -- -- -- -- -- 00000 ,...- ,...- ,...- ,- ,...- 9 ..... 0 (f) 0 o 0 ..... C\/ 0 (f) co ..... ..... <0 00 C\/CO ..... ol 01'-- 1.0..... 1.01.0 COOl ol I'-- 1.0 <0 <00 c\/~ C\/ ..... (f) 1.0 (f) 1.0 ol 0 1.0<0 o ....... (f) ('t) ..... ..... c\/ol ..... 0 ..... ..... co ol ol ol -- -- ..... ..... -- -- o 0 ..... ..... II> Q) .... > Q) ._ .c t) E ~ Q) ~ t: o ~.e :J ns (ijc > - c: :J o E ~ ............OlOl~ <OC\/OlOl(f) (f)COCOI'--C\/ ~- 0> I{) 0> <D 1.0 <0 (f) co <0 "":....._~_I'- I'- ..... ..... ..... yt ...J ~ LL ::J (f)(f) (f) (f)..... ~.....C\/C\/I.O c\/Ol(f)O<O .......NNr--:-1{) ~<O~olC\/ .....('t)<O<OO 0>0>r--:-r.6r.6 yt <O~I.OI'--I.O OOC\/COI.O I.OO.....~CO r--:-r.60)cx:>0 .....OCO(f)C\/ <OO(f)COCO NCX:>o)l{)CX:> ...............C\/C\/ yt COOCO.......C\/ O.......I.O~I'-- ..... ..... 0 C\/ ....... r--:-.......NNcx:> I'--C\/C\/.......... .......0..........1.0 r.6r--:-cx:>r--:-r.6 yt <om............ co ..... C\/ 1.0 <0 .......I.OC\/Ol..... I'--COOl <0 1.0 ,...- ,...- .,.- .,.- 'or- COOlO.....C\/ coCOOlOlol -- -- -- -- -- .,..... .,.- .,.- .,.- .,..... -- -- -- -- -- 00000 ,...- ,...- ,.- ,...- ,...- [iSJI GABRIEL, ROEDER, SMITH & COMPANY 300 250 200 Recent History of Number of Members ~ ~<fj '" .... ~OJ '" ?:l ~OJ '" ~ ~Oj '" ~ ~Oj '" ~ ~OJ '" ~ ~Oj '" 10 300 250 200 150 100 50 o 150 100 50 o ~ ~q;; '" ~ ~Oj '" !O ~Oj '" !:) ~Oj '" ~'" ....'<:1 Actuarial Valuation Date C-Active Me~bers Inactive Member~) Fioure C6 Recent History of Covered Annual Payroll $10.0 $10.0 $8.0 $8.0 III $6.0 $6.0 ~ c .!::! o. :E ::l $4.0 $4.0 Ul $2.0 $2.0 $0.0 -T- .or" - r-- ..1 $0.0 ~ ~ ~ .... ~ ~ ~ ~ ~ ~ ~ P.l ....~<tJ ....~q; ....~Oj ....~OJ ,,~OJ ....<::;f' ....~O.J ,,~Oj ,,~Oj ,,~OJ ....~OJ ...~Oj Actuarial Valuation Date Figure C7 ~ GABRIEL, ROEDER, SMITH & COMPANY Recent History of Employer Normal Cost $1,600 $1,400 $1,200 III $1,000 "t:l c: Cll $800 III ::l 0 .s::; $600 I- $400 $200 $0 ++/ //~/+~ ----+- - III ! I I !b ~ !:) " ~<fJ ~<o ~Oj ~O;, " " " " n, ~ bo ~ !O ~ ~ N-.OJ N-.Oj "fj N-.Oj N-.OJ ~ ~ ~ ~ ~ ~ !b ~ ~Oj ~Oj " " Actuarial Valuation Date c. Employe,"-~C; Amount + NC as % of PayrolD Figure C8 11 20% 15% 10% 5% 0% rEm! GABRIEL, ROEDER, SMITH & COMPANY 12 RECENT HISTORY OF FtEQUIRED AND ACTUAL CONTRIIBUTIONS Recommended City Contribution For Fiscal Valuation Year Ended Actual City Date Seotember 30 Amount % of Payroll Contribution 10/1/88 1990 $ 1,732,449 24.67% $ 1,732,449 10/1/89 1991 1,871,038 26.65 1,972,313 10/1/90 1992 2,117,615 26.07 2,050,406 10/1/91 1993 1,600,386 22.50 1,769,238 10/1/92 1994 1,509,587 23.16 1,509,587 10/1/93 1995 574,282* 9.64* 574,282 10/1/94 1996 602,174 9.64 602,174 10/1/95 1997 572,832 8.44 572,832 10/1/96 1998 594,655 9.01 594,655 10/1/97 1999 285,305 4.39 285,305 10/1/98 2000 666,897 11.24 --- 10/1/99 2001 0 0.00 --- * Figures do not match the October 1. 1993 Actuarial Report. Results were revised to reflect the 3/2/95 receipt of the Pension Obligation Bond. The required City contribution without reflecting the Pension Obligation Bond would have been $1,073,773, or 18.03% of covered payroll, for the '94-'95 fiscal year. ~ GABRIEL, ROEDER, SMITH & COMPANY 13 ACTUARIAL ASSUMPTIONS AND COST METHOD A. Cost Method 1. Funding 2. Accumulated Benefit Obligation B. Investment Earnings (including inflation) C. Salary Increases (including inflation) D. Inflation E. Retirement Age F. Turnover Rates G. Mortality Rates H. Disability 1. Rates 2. Percent Service Connected I. Asset Value J. Administrative Expenses K. Increase in Covered Payroll L. Cost of Living Adjustment M. Changes Since Last Valuation Frozen Entry Age Actuarial Cost Method. (Same as the Aggregate Method when the unfunded actuarial liability is $0.) Accrued Benefit Method 9% per year, compounded annually; net rate after investment related expenses. 6% per year up to the assumed retirement age. 4% per year. See table below for retirement rates. See Table below. 1983 Group Annuity Mortality Tables for males and females. See Table below. 25% Market Value of assets less unrecognized capital appreciation where capital appreciation is recognized at the rate of 20% each year. Expenses paid out of the fund other than investment related expenses are assumed to be equal to the average of actual expenses over the previous two years. NIA 1.5% per year after retirement. None. [Em GABRIEL, ROEDER, SMITH & COMPANY 14 Annu.al Rate of Age Turnover Disability 25 11.7% 0.09% 30 10.5 0.11 35 8.3 0.14 40 5.7 0.19 45 3.5 0.30 50 1.5 0.51 55 0.6 0.96 60 0.5 1.66 Annual Rate e,f Retirement for Those Eligible to Retire GrolLlp A Group B Age Rate Age Rate 50-52 25% 60 60% 53-58 15 61-64 40 59-64 40 65 100 65 100 IEmI GABRIEL, ROEDER, SMITH & COMPANY 15 GLOSSARY OF TERMS Actuarial Present Value is the value of an amount or series of amounts payable at various times, determined as of the valuation date by the application of the set of actuarial assumptions. Actuarial Assumotions are assumptions as to the occurrence of future events affecting pension costs. The previous page outlines the Actuarial Assumptions utilized in this valuation. Actuarial Cost Method is a procedure for determining the Actuarial Present Value of pension plan benefits and for developing an actuarially equivalent allocation of such value to time periods, usually in the form of a Normal Cost and Actuarial Accrued Liability. Frozen Entry Aae Actuarial Cost Method is a method under which the excess of the Actuarial Present Value of Projected Benefits of the group included in the valuation, over the sum of the Actuarial Value of Assets, the Unfunded Frozen Actuarial Accrued Liability and the Actuarial Present Value of Future Member Contributions (if any) is allocated as a level percentage of earnings of the group between the valuation date and the assumed retirement age. This allocation is performed for the group as a whole, not as a sum of individual allocations. The portion of this Actuarial Present Value allocated to a specific year is called the Emolover Normal Cost. Under this method, actuarial gains (losses) reduce (increase) future Normal Costs. Frozen Actuarial Accrued Liabilitv is the portion of the Actuarial Present Value of Projected Benefit which is separated as of a valuation date and frozen under the Actuarial Cost Method being used. This separated portion is the sum of an initial Unfunded Actuarial Accrued Liability and any increments or decrements in the Actuarial Accrued Liability established subsequently as a result of changes in pension plan benefits, Actuarial Assumptions, or methods. Unfunded Frozen Actuarial Accrued Liabilitv is the portion of the Frozen Actuarial Accrued Liability remaining after the addition of interest and the deduction of amortization payments. EEmI GABRIEL, ROEDER, SMITH & COMPANY SECTION C PENSION FUND INFORMATION mml GABRIEL, ROEDER, SMITH & COMPANY 16 SUMMARY OF ASSETS 9/30/99 9/30/98 Cash and Securities - Market Value Cash and Savings Accounts $ 253,849 $ 265,879 Money Market Funds 659,629 3,022,708 Treasury Bills --- --- Commercial Paper --- --- Treasury and Agency Bonds & Notes --- --- Corporate Bonds --- --- Common & Preferred Stocks 68,836,099 54,939,287 Pooled Equity Funds --- --- Pooled Bond Funds 15,734,128 15,745,541 Other Securities 250,000 250,000 Total 85,733,705 74,223,415 Receivables and Accruals Member Contribution --- --- Employer Contribution --- --- Interest and Dividends 77,161 75,500 Other - Sales Not Yet Settled --- 472,790 Total 77,161 548,290 Payables Benefits --- --- Refunds --- --- Expenses --- --- Other --- --- Total --- --- Net Assets - Market Value 85,810,866 74,771,705 Net Assets - Cost Value NA 59,692,799 mmI GABRIEL, ROEDER, SMITH & COMPANY 17 PENSION FUND INCOMIE AND DISBURSEMENTS Year Ending Year Ending 9/30/99 9/30/98 Market Value at Beginning of Period $ 74,771,705 $ 77,120,728 Income Member Contributions 613,211 648,982 Employer Contributions 285,305 594,655 Other Contributions --- --- Investment Earnings 13,981,636 (193,872) Transfer from Other Systems 15,164 52,775 Other Income --- --- T otallncome 14,895,316 1,102,540 Disbursements Monthly Benefit Payments 3,249,378 2,902,944 Lump Sum Distributions --- --- Refunds of Contributions 128,280 66,440 Investment Related Expenses 290,863 352,441 Other Administrative Expenses 187,634 129,738 Insurance Premiums --- --- Other Expenses --- --- Total Disbursements 3,856,155 3,451,563 Net Increase During Period 11,039,161 (2,349,023) Market Value at End of Period 85,810,866 74,771,705 EEmI GABRIEL, ROEDER, SMITH & COMPANY 18 ACTUARIAL VALUE OF ASSETS The Actuarial Value of Assets is equal to the market value less capital appreciation which has not yet been recognized. Capital appreciation, the total of realized and unrealized gains, is being recognized at the rate of 20% per year. Recognized and unrecognized capital appreciation for this year's valuation is developed in the table below. (1) Amount of (1) Amount of (1) Amount of (1) Year Capital Recognized Recognized by Unrecognized by Ending Appreciation Each Year Valuation Date Valuation Date 9/30/95 $ 8,296,418 $ 1,659,284 $ 8,296,418 $ 0 9/30/96 9,381,378 1,876,277 7,505,108 1,876,270 9/30/97 18,755,761 3,751,152 11,253,456 7,502,305 9/30/98 (1,935,741) (387,148) (774,296) (1,161,445) 9/30/99 12.052,423 2,410,485 2,410.485 9.641,938 46,550,239 9,310,050 28,691,171 17,859,068 Actuarial Value of Assets = Market Value - Unrecognized Capital Appreciation = $85,810,866 - $17,859,068 = $67,951,798 Investment earnings recognized in the Actuarial Value of Assets are computed as follows: $ 67,951,798 - 59,655,012 898,516 + 3.856.155 Actuarial Value this year Actuarial Value last year Contributions during year Expenses during year 11,254,425 290.863 10,963,562 Gross Investment Earnings Investment related expenses Net Earnings recognized ItEml GABRIEL, ROEDER, SMITH & COMPANY 19 INVESTMENT RATE OF RETURN The investment rate of return has been calculated on the following basis: Basis 1 - Interest, dividends, realized gains (losses) and unrealized appreciation (depreciation) divided by the weighted average of the market value of the fund during the year. This figure is normally called the Total Rate of Return. Basis 2 - Investment earnings recognized in the Actuarial Value of Assets divided by the weighted average of the Actuarial Value of Assets during the year. Year Ended Basis 1 Basis 2 9/30/89 14.6% 14.6% 9/30/90 (2.3) (2.3) 9/30/91 21.6 21.6 9/30/92 5.8 5.8 9/30/93 14.6 14.1 9/30/94 5.3 4.8 9/30/95 25.9 24.1 9/30/96 22.7 13.9 9/30/97 35.2 19.1 9/30/98 (0.3) 4.3 9/30/99 19.1 18.8 Average Compounded Rate of Return for Number of Years Shown 14.2% 12.3% Average for Last 5 Years 19.9% 15.8% rEm! GABRIEL, ROEDER, SMITH & COMPANY SECTION D FINANCIAL ACCOUNTING INFORMATION DIm! GABRIEL, ROEDER, SMITH & COMPANY 20 I FA5B NO. 35 INFORMATION I A. Valuation Date October 1, 1999 October 1, 1998 B. Actuarial Present Value of Accumulated Plan Benefits 1. Vested Benefits a. Members Currently Receiving Payments $ 36,636,490 $ 32,985,385 b. Terminated Vested Members 5,910,289 6,082,168 c. Other Members 15,460,289 15,644,271 d. Total 58,007,068 54,711,824 2. Non-Vested Benefits 287,804 240,748 3. Total Actuarial Present Value of Accumulated Plan Benefits: 1 d + 2 58,294,872 54,952,572 4. Accumulated Contributions of Active Members 5,106,032 4,930,485 c. Changes in the Actuarial Present Value of Accumulated Plan Benefits 1. Total Value at Beginning of Year 54,952,572 50,756,294 2. Increase (Decrease) During the Period Attributable to: a. Plan Amendment NIA NIA b. Change in Actuarial Assumptions NIA NIA c. Latest Member Data, Benefits Accumulated and Decrease in the Discount Period 6,719,958 7,165,662 d. Benefits Paid (3.377.658) (2,969.384) e. Net Increase 3,342,300 4,196,278 3. Total Value at End of Year 58,294,872 54,952,572 D. Market Value of Assets 85,810,866 74,771,705 E. Actuarial Assumptions - See page entitled Actuarial Assumptions and Methods. mill GABRIEL, ROEDER, SMITH & COMPANY '0 ~"=u ~eo::::; G) ... CIS > ~. ;::iIOClS:e <i:(.)11. ;:) ,,- G)- ... 0 - G)"'U > ~...;:; 011. (.) en en w ~ C)- 010 ~~ 11.0 C)Z Zc -Q) Ce ZG) ::>- LLCIS - LLen Om wen ...J~ ::>C) C- W :J: (.) en o ;: CIS ~- ".c G)CU ,,- r: :::J LL ...J ~- "~- G) CIS " . r:....c :::J::"- ... r: ::> - ~i~.t ClS2~~:a .a U.__- u,9-r: c(......cw .!!. ...J G) ::s -U) ~- -=- .! fI} CIS .. <t""-'" CIS... ,ao Jl s CIS cac ';: r: CIS 0 :::J ._ uti c(::s ~ cf!. -- I'--CO~~CO COr-r-O>O> COCO~~N "--'"' 0> N (0 0> """ 01'--1'--C'i)0> C'i)I'--O>COI'-- (0 c:Ol.() CO"": ~r-l.()~CO I'--l.()O>NI'-- ....:t6l.() (0 (0 Y7 "::R. o O~OCO(o 0>-.iC'i)r-~ I'--COO>O>O r- CONNOL{) C'i)l.()0~1'-- I'-- co r- ~_ C'i) r-r-l.()CON 1'--C'i)(OCON COC'i)~OO (0 Lri"NC'i)N Y7 "--'"' l.()1'--1'--l.()C'i) NON(OCO Nl.()I'--I'--CO ONNO",," r-l.()r-C'i)0 I'--r-N(01'-- N..fl.()I'--C'i) C'i) C'i) C'i) C'i) """ Y7 1'--l.()l.()l.()CO COl.()NNl.() ",,"(O(OC'i)N c:OO"":NI'-- C'i)N~~N COCOI'--l.()1'-- l.()c:ON",,"l.() NNC'i)C'i)",," Y7 r-NC'i)~l.() 0>0>0>0>0> ---------- ~~~~'r_ -- -- -- -- -- 00000 ~~~~"f""""' ..- .-. ..-.. ...- l.()l.()C'i)0 . . . . 1'--(0 0> CO C'i)l.()"--'"'CO "--'"'''--'"' .;.:.. ON(OO OC'i)N",," r-ONr- 0C'i)C'i)l.() 00>C'i)l.() (0"""0>0 (O(Ol.()(O r-(OO>l.() l.()(OOCO 0000 -r-~"'r""""~ Nm~~ O>l.()(oN (0 """_ (0 0> C'i) 0> 0>(0 1'--(o~N ~(Ol.()C'i) ~~"--'"'!!i OOCO",," O>O>~I'-- """_ N C'i) co CO(Ol.()",," (O(OON C'i)C'i)r-(O COLri"O>N ",,"l.()l.()(O NO>NCO CO~r-O> r-I'--Ol'-- N l.() l.() r- ~C'i)l.()l.() COO(OO> 00>0>1'-- l.()l.()l.()(O (OI'--COO> 0>0>0>0> ------....-- ~ "f""""' "l\"* .,- -- -- -- -- 0000 .,- .,- .,- .,- 21 "0 "0 ~ :::l .- 0 E}3: 0) c ..... 0 - .- 0- c co en E .- 0 ~~ ~ 0) o>.c 0- ..... 0) a. > o>.~ c- .- 0) "0.0 C ..... :::l 0) LL:>- _ C) o 0.. 0) E :::lW -0 0) jgE u ..... (/)0 -- 0)-0 .c c -co ci)c c cu '0 a. c 0) .2.c - ..... o 0) - en "0 cu o u .c c Q)t :2: 0 _ 0.. en 0) 8~ _ en cu:C .C +-' ~ .~ -"0 U 0) . <{-o2 0) :::l C --0) cu U E o>.~ 0) ~en- 0>.- $ 0>0) en <{~cu jg .g .u _ c en 0) ~ 0) :::l.- en "0- :::l 0) .: c.cO) cuu.c _(/);;:: a.0)0 en.c en :cl-o:; - . en 0) l.() :::l ~ N 0 coCO:::: U (/) :::l O)<{- CO<.9~ ..... :::l 0) 0) 0) _ 0...0 o Z E!ml GABRIEL, ROEDER, SMITH & COMPANY $80.0 $70.0 $60.0 $50.0 fIl c: g $40.0 :E $30.0 $20.0 $10.0 $0.0 -- fIl C ~ 3j -$2.0 - -$4.0 -$6.0 Schedule of Funding of Progress GASS Statement No. 25 /i- --- +----- +---- /~ /-.y .. 100% /+- --_.~ //------- 120% 60% 40% 20% 0% 100% 50% 0% ;a DI - o' 22 +- +-~- 80% " ~OJ " f:>'" f:>~ ....~ ....~ ~ ~Oj " f:>~ ....~ ~ ~O:; " P.l ~Oj " ~ ~O.J " !O ~O.J " Actuarial Valuation Date Cr~iValue of As~~t~~(AAL) Entry Age + Funded Ratio) Figure C10 Schedule of Funding of Progress GASB Statement No. 25 $8.0 $6.0 $4.0 $2.0 $0.0 .... ~OJ " f:> '), ....~ ~ ~Oj " ~ ~Oj " ~ ~O:; " f:>0:; ....~ !b ~Oj " !; ~OJ " !O ~Oj " Actuarial Valuation Date CC?...l!l1funded AAL -Covered payroll+UAAL~~-% of payrol~ Figure C 11 lEmI GABRIEL, ROEDER, SMITH & COMPANY -50% -100% 23 SCHEDULE OF EMPLOYER CONTRIBUTIONS (GASB Statement No. 25) Year Ended Annual Actual Percentage September 30 Required Contribution Contribution ContribUted 1991 $ 1,871,038 $1,972,313 105.4% 1992 2,117,615 2,050,406 96.8 1993 1,600,386 1,769,238 110.6 1994 1,509,587 1,509,587 100.0 1995 574,282 574,282 100.0 1996 602,174 602,174 100.0 1997 572,832 572,832 100.0 1998 594,655 594,655 100.0 1999 285,305 285,305 100.0 ErIS1I GABRIEL, ROEDER, SMITH & COMPANY 24 ANNUAL PENSION COST AND NET PENSION OBLIGATION (GASB Statement No. 27) Employer Fiscal Year End September 30: 1999 1998 A. Annual required contribution (ARC) $285,305 $594,655 B. Interest on Net Pension Obligation (NPO) (13,774 ) (14,438) C. Adjustment to ARC (21,325) (21,821 ) D. Annual Pension Cost (A + B - C) 292,856 602,038 E. Actual Contributions 285,305 594,655 F. NPO at beginning of year (153,039) (160,422) G. Increase (decrease) in NPO (D - E) 7,551 7,383 H. NPO at end of year (F + G) (145,488) (153,039) THREE YEAR TREND INFORMATION riD GABRIEL, ROEDER, SMITH & COMPANY 25 REQUIRED SUPPLEMENTARY INFORMATION GA5B Statement No. 25 and No. 27 The information presented in the required supplementary schedules was determined as part of the actuarial valuations at the dates indicated. Additional information as of the latest actuarial valuation: Valuation date October 1, 1998 Contribution Rates: Employer (and State) Plan Members 11.24% 10.00% Actuarial Cost Method Frozen Entry Age Amortization Method NA Remaining amortization period NA Asset valuation method 5 year smoothed market Actuarial assumptions: Investment rate of return Projected salary increases Includes inflation and other general increases at Cost-of-Iiving adjustments 9.0% 6.0% 4.0% 1.5% per year. mmJ GABRIEL, ROEDER, SMITH & COMPANY 26 OTHER DISCLOSURES A. Required Annual Contributions for Fiscal Year Ending September 30, 1999. Employer Normal Cost $ 261,748 Payment Towards Unfunded Actuarial Liability o Interest on These Amounts from Actuarial Valuation Date to Expected Payment Dates 23,557 Total Required Contribution 285,305 Effect on Contribution of Changes in Actuarial Assumptions or Methods NA Effect on Contribution of Changes in Plan Provisions NA B. Description of Changes in Actuarial Assumptions or Methods - None. C. Description of Changes in Plan Provisions - None. D. Description of Employee Groups Covered - See Section entitled Summary of Plan Provisions. E. Description of Covered Employees Who Are Not Included in Valuation - None. F. Number and Compensation of Participants - See Section entitled Miscellaneous Information. G. Has Actuary Been Notified of Any Decision by Plan Sponsor to Terminate the Plan? Response - No. H. Net Actuarial Gain or Loss - See page entitled Actuarial Gains and Losses. See Glossary of Terms for methods of recognizing such gains and losses. Any unrealized appreciation (depreciation) included in the actuarial value of assets is recognized in the same manner as any other gains or losses. I. All responses in this Section have been made in accordance with our understanding of FASB No.35, GASB No. 25, GASB No. 27 and APB Opinion NO.8. EimI GABRIEL, ROEDER, SMITH & COMPANY SECTION E MISCELLANEOUS INFORMATION EEmI GABRIEL, ROEDER, SMITH & COMPANY 27 RECONCILIATION OF MEMBE:RSHIP DATA From 10/1/98 From 10/1/97 To 10/1/99 To 10/1/98 I A. Active Members I 1. Number Included in Last Valuation 112 128 2. New Members Included in Current Valuation 4 2 3. Non-Vested Employment Terminations 0 (6) 4. Vested Employment Terminations (3) (4) 5. Service Retirements (5) (10) 6. Disability Retirements 0 0 7. Deaths 0 0 8. Other - Transfers from General 2 2 9. Other - Transfers to 401A (1) ~ 10. Number Included in This Valuation 109 112 I B. Terminated Vested. Members I 1. Number Included in Last Valuation 35 35 2. Additions from Active Members 3 4 3. Lump Sum Payments (1) 0 4. Payments Commenced (3) (4) 5. Deaths 0 0 6. Other ~ ~ 7. Number Included in This Valuation 34 35 C. .. Service Retirees,Di~bility Retirees and Beneficiaries 1. Number Included in Last Valuation 95 81 2. Additions from Active Members 5 10 3. Additions from Terminated Vested Members 3 4 4. Deaths Resulting in No Further Payments 0 0 5. Deaths Resulting in New Survivor Benefits 0 0 6. End of Certain Period - No Further Payments 0 0 7. Other ~ ~ 8. Number Included in This Valuation 103 95 mmI GABRIEL, ROEDER, SMITH & COMPANY en .... ~ D- o ;:: ~ <( D- W > i= ~ I ~ <( C .J <( (.) i= en ;:: ~ .... en 0') 0') - .... - o .... - 00 0') - .... - o .... - I"'- 0') - .... - o .... - CD 0') - .... - o .... - I() 0') - .... - o .... - "'it 0') - .... - o .... - r-<OCO CO 1"'-0 r- U") 0> CO ('I") U") I"'- ~ fI7 OCOO> 0><0('1") ~O rr)l{) U")U") 0> ~ fI7 NOl"'- 0<0 N r-O><O ,...:", <0 U") ('I") U") fI7 O~O r-U")I"'- r- <0 U") N-"": I"'-u") <0 U") fI7 OCO<O N('I")O> r-U")O "':0 r-U") o <0 fI7 <( Co ~ e (!) I J! c as Co .u 1:: as D- C>> > ~ 01"'-('1") N('I")<O r- U") 0 ,...:,...: ~~ <0 l{) fI7 <.C!<.C!q I"'-('I")..q- ~('I")r- ":~~ <O('I")C') ~('I")r- C"!t'-:~ <0 ('I") N ~('I")r- "'"":~t'-: U") ('I") r- ~C')r- 0> ('I") <0 '<i'<id ~C')r- co U") ('I") ('I")~O> ~C') ~ eo ...... = eo c e CJ) Q) >- '" E eoeo~ i;' a.. ::l 0> Q) - Q) -Ceo 0.0 eo c L.. 0> E .- Eo:{ Q)>o:{w 2: ...... Q) L..cQ)o:{c......CJ) ~ 0:{ 0> L.. Q) eo E....~Q)t:Q)ii) ~ Q) .c ::l 0> eo ::l 0 > 0...... () 0:{ a.. z....o:{ CO~O> N<OO> 0> 0> l{)cO r-~ ('I") r- fI7 NCO~ Nu")C') I"'-u") cr>~ I"'-~ 0> fI7 <oNN NI"'-l"'- O_N U") - N('I") r-~ - r- fI7 ~<O~ N~~ ~<O "":00 N('I") 0> fI7 r-<OU") Nu")<O NO> cOcO I"'-C') I"'- fI7 O>NI"'- r-O~ ('I") <0 m Co ~ P (; r- r- 0('1") <0 fI7 28 0>00> NO> ('I") ~('I") N<O<O ('1")0>('1") ~('I") I"'- r- <0 """':a>N ~('I") OCX)('I") O><ON ('I") ('I") o U") U") r--:Lri"""': C') ('I") ~CJ:!q U")~r- ('I") ('I") ~ _eo ...... o eo c L.. CJ) Q) ~_'" E a..~~ i;' eoCg>Q)o.~ ::l C L.. 0> E .- Co:{Q)o:{W2: L..CQ)>...... Q) Q) 0:{ 0> 0:{ ~ 10 CJ) .1:l_eoL..L.. ...... E eo Q)L.. Q) L.. Q) (/) ...... .c::l 0> eo ~~~6()o:{a.. [IS]! GABRIEL, ROEDER, SMITH & COMPANY en - c as Co .u 1:: as I-- en I- Z <( 0- o i= D:: <( 0- W > i= ~ ~ I <( ~ c ~ o i= 1..'> ~ I- en 0) 0) - "l""' - o "l""' co 0) - "l""' - o "l""' - r-- 0) - "l""' - o "l""' - <0 0) - "l""' - o "l""' - It) 0) - "l""' - o "l""' - ''It ~ "l""' - o "l""' - C'0r--CO oor-- .....1'-1'- ON C'0 '<:t C'0 (fi I{) cx) cx) 0'> cx) 0 NI'- r--:N cx) o C'i (fi .....;1{) CX).....CO - I'- I'- - CX)N CO N (fi C'0 CO I'- N C'0 '<:tCO cx) - _N cx) o C'0 N (fi COCX)..... CO 0 0'> o I{) NN I{) o N (fi fA CI) "i: CV "(3 Ii: CI) t: CI) ED 't7 C CV fA CI) f :::: CI) a::: CI) (J "~ CI) en C'0 I'- 0 COcx)1'- CX) I{) NN '<:t 0'> 000 (fi 000 (fi 000 (fi 000 (fi 000 (fi 000 (fi fA ! i a::: ~ :s CV fA a .... l.j:: Q) C :t::Q) '<Dill C >, Q)- III = C ro 0 e:E .... C Q) Q) <{ 0> .o_ro E ro .... ~ .... Q) Z~~ 29 '<:t'<:tCO C'0 CX) N ..... I'- .,;.....- o I'- (fi I{).....'<:t C'0'<:tcx) NI'- cr> .....- '<:t I'- (fi I{)'<:tl{) C'01'-1'- OCX) CX)..... CX) I'- (fi 0'> N I'- N.....I{) C'0 I'- ..... ..... ..... co (fi '<:t.....'<:t NI'-l{) '<:t_ CO_ CO ..... I'- '<:t (fi ~ .: CD c CI) ED 't7 ~ ~ .c ... ~ ~ CI) .a E CD :E " CI) <<; c E ... {!!. C'0 I{) CX) NNI{) I{) CO r--:.....- I{) '<:t (fi .... l.j:: Q) C :t::Q) '<Dill C>, Q)- III = _ C ro 0 e:E .... C Q) Q) <{ 0> .o_ro E ro .... ::J .... Q) Z~~ - ..... (fi .... l.j:: Q) ....C l.j::Q) Q)1ll C>, Q)- III = _C ro 0 e:E .... C Q) Q) <{ 0> .o_ro E ro .... ~ (5 ~ ZI-<{ [EGJ GABRIEL, ROEDER, SMITH & COMPANY MIAMI BEACH UNCLASSIFIED AGE GROUP 0-19 20-24 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64 65-69 70-74 75-79 80-84 85+ TOTAL SERVICE GROUP o 1 2 3 4 0-4 5-9 10-14 15-19 20-24 25-29 30-34 35-39 40+ TOTAL NUMBER OF PEOPLE o o o 1 7 9 9 7 4 4 1 o o o o 42 NUMBER OF PEOPLE o o o o o o 10 20 9 1 2 o o o 42 MAL TOTAL ANNUAL EARNINGS o o o 57928 436176 562276 549302 555958 227292 189748 49374 o o o o 2628054 MAL TOTAL ANNUAL EARNINGS o o o o o o 53B174 125B166 612300 73424 14 5 9 90 o o o 262B054 TABLE A, ANNUAL EARNINGS BY AGE GROUPS E AVERAGE ANNUAL EARNINGS o o o 57928 62311 62475 61034 79423 56823 47437 49374 o o o o 62573 F NUMBER OF PEOPLE o o o 1 5 12 6 7 5 1 2 o o o o 39 E M A TOTAL ANNUAL EARNINGS o o o 43836 231972 704106 344734 34B452 249990 53482 134550 o o o o 2111122 L E AVERAGE ANNUAL EARNINGS o o o 43836 46394 5B676 57456 49779 49998 53482 67275 o o o o 54131 NUMBER OF PEOPLE o o o 2 12 21 15 14 9 5 3 o o o o 81 TABLE B, ANNUAL EARNINGS BY SERVICE GROUPS E AVERAGE ANNUAL EARNINGS o o o o o o 53817 6290B 68033 73424 72995 o o o 62573 F E NUMBER OF PEOPLE o o o o o o 12 10 15 2 o o o o 39 M A TOTAL ANNUAL EARNINGS o o o o o o 5664BB 504530 915070 125034 o o o o 2111122 L E AVERAGE ANNUAL EARNINGS o o o o o o 47207 50453 61005 62517 o o o o 54131 NUMBER OF PEOPLE o o o o o o 22 30 24 3 2 o o o B1 30 AS OF 10/1/99 A L TOTAL ANNUAL EARNINGS o o o 101764 668148 1266382 894036 904410 477282 243230 183924 o o o o 4739176 A L TOTAL ANNUAL EARNINGS o o o o o o 1104662 1762696 1527370 19845B 145990 o o o 4739176 L AVERAGE ANNUAL EARNINGS o o o 50882 55679 60304 59602 64601 53031 4B646 6130B o o o o 58508 L AVERAGE ANNUAL EARNINGS o o o o o o 50212 58757 63640 66153 72995 o o o 58508 Imml GABRIEL, ROEDER, SMITH & COMPANY MIAMI BEACH UNCLASSIFIED AGE GROUP 0-19 20-24 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64 65-69 70-74 75-79 80-84 85+ TOTAL SERVICE GROUP o 4 0-4 5-9 10-14 15-19 20-24 25-29 30-34 35-39 40+ TOTAL NUMBER OF PEOPLE o o o 2 1 3 5 1 1 o o o o o o 13 2 NUMBER OF PEOPLE 3 2 2 1 o 8 5 o o o o o o o 13 M A L TOTAL ANNUAL EARNINGS o o o 94432 33644 158782 270218 61672 49192 o o o o o o 667940 TABLE A, ANNUAL EARNINGS BY AGE GROUPS E AVERAGE ANNUAL EARNINGS o o o 47216 33644 52927 54044 61672 49192 o o o o o o 51380 F NUMBER OF PEOPLE o o 3 1 5 2 o 1 2 1 o o o o o 15 E M A TOTAL ANNUAL EARNINGS o o 100776 30654 249366 133822 o 31824 95602 5980 o o o o o 648024 L E AVERAGE ANNUAL EARNINGS o o 33592 30654 49873 66911 o 31824 47801 5980 o o o o o 43202 NUMBER OF PEOPLE o o 3 3 6 5 5 2 3 1 o o o o o 28 TABLE B, ANNUAL EARNINGS BY SERVICE GROUPS E AVERAGE ANNUAL EARNINGS 44746 51090 55380 61672 o 51106 51818 o o o o o o o 51380 F NUMBER OF PEOPLE E M A TOTAL ANNUAL EARNINGS 64740 o 36712 170300 73502 345254 302770 o o o o o o o 648024 L E AVERAGE ANNUAL EARNINGS 64740 o 36712 34060 36751 38362 50462 o o o o o o o 43202 NUMBER OF PEOPLE 4 2 3 6 2 17 11 o o o o o o o 28 31 AS OF 10/1/99 A L TOTAL ANNUAL EARNINGS o o 100776 125086 283010 292604 270218 93496 144794 5980 o o o o o 1315964 A L TOTAL ANNUAL EARNINGS 198978 102180 147472 231972 73502 754104 561860 o o o o o o o 1315964 L AVERAGE ANNUAL EARNINGS o o 33592 41695 47168 58521 54044 46748 48265 5980 o o o o o 46999 L AVERAGE ANNUAL EARNINGS 49745 51090 49157 38662 36751 44359 51078 o o o o o o o 46999 M A L TOTAL ANNUAL EARNINGS 134238 102180 110760 61672 o 408850 259090 o o o o o o o 667940 o 1 5 2 9 6 o o o o o o o 15 ~ ~ GABRIEL, ROEDER, SMITH & COMPANY MIAMI BEACH UNCLASSIFIED AGE GROUP 0-19 20-24 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64 65-69 70-74 75-79 80-84 85+ TOTAL 0-19 20-24 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64 65-69 70-74 75-79 80-84 85+ TOTAL 0-4 5-9 o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o TABLE C, SERVICE GROUPS BY AGE GROUPS S E 10-14 o o o 1 1 1 2 2 2 1 o o o o o 10 o o o 1 2 2 1 3 2 o o o o o 12 R V I 15-19 o o o o 6 4 4 2 1 3 o o o o o 20 o o o o F E o o o o 2 5 2 3 1 M o o o o o 4 2 2 1 o o o o 15 C E 20-24 A o o o o o o 9 M G R 0 25-29 L o o o o o o 1 o o o o o o o o E o o o o o o o 1 o o 1 o o o o 2 E o o o o o o o o o o o o o o o o u P 30-34 35-39 o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o AS OF 10/1/99 40+ o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o 32 TOTAL o o o 1 7 9 9 7 4 4 1 o o o o 42 o o o o o o o o o o o o o o o o o o o 1 5 12 6 7 5 5 2 1 1 o o o o o o 10 A o o o o o o 1 o 1 o o o o o o 2 L o o o o o o o o o o o o o o o o 2 o o o o 39 mmI GABRIEL, ROEDER, SMITH & COMPANY MIAMI BEACH UNCLASSIFIED AGE GROUP 0-19 20-24 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64 65-69 70-74 75-79 80-84 85+ TOTAL 0-19 20-24 25-29 30 - 34 35-39 40-44 45-49 50-54 55-59 60-64 65-69 70-74 75-79 80-84 85+ TOTAL 0-4 5-9 o o o 1 1 2 3 1 o o o o o o o 8 o o 2 1 2 1 o 2 o o o o o o 9 TABLE C, SERVICE GROUPS BY AGE GROUPS S E 10-14 o o o 1 o 1 2 o o o o o o o 5 o o o 3 o o o o o o o o 6 R V I 15-19 o o o o o o o o o o o o o o o o M A o o o o o o o o o o o o o o o o C E 20-24 M G R 0 25-29 L o o o o o o o o o o o o o o o o E o o o o o o o o o o o o o o o o E o o o o o o o o o o o o o o o o u P 30-34 35-39 o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o AS OF 10/1/99 40+ o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o 33 TOTAL o o o 2 1 3 5 1 1 o o o o o o '13 o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o o F E o o o o o o o o o o o o o o o o A o o o o o o o o o o o o o o o o L o o o o o o o o o o o o o o o o 1 5 2 o 1 2 o o o o o 15 EiSJ GABRIEL, ROEDER, SMITH & COMPANY 34 MIAMI BEACH UNCLASSIFIED 10/1/99 Schedule of Non-Active Participant Data Terminated Terminated Vested Disabled Retired Non-Vested Total Total Total Total Age Number Benefit Number Benefit Number Benefit Number Benefit Under 45 13 206465 0 0 0 0 0 0 45 to 49 21 497719 0 0 0 0 0 0 50 to 54 0 0 0 0 27 947124 0 0 55 to 59 0 0 0 0 22 768576 0 0 60 to 64 0 0 0 0 22 845106 0 0 65 to 69 0 0 0 0 12 335599 0 0 70 to 74 0 0 0 0 7 167611 0 0 75 to 79 0 0 0 0 10 307844 0 0 80 to 84 0 0 0 0 2 30084 0 0 85 to 89 0 0 0 0 1 28762 0 0 90 & up 0 0 0 0 0 0 0 0 Total 34 704184 0 0 103 3430707 0 0 Average Age 44.0 0.0 61.6 0.0 Average Benefit 20711 0 33308 0 lEmI GABRIEL, ROEDER, SMITH & COMPANY SECTION F SUMMARY OF PLAN PROVISIONS IIimI GABRIEL, ROEDER, SMITH & COMPANY 35 SUMMARY OF PLAN PROVISIONS Effective Date April 1, 1988 Eliaibilitv Each unclassified employee and elected official is eligible for membership on the later of his date of employment or April 1, 1988. Creditable Service Service credited under the predecessor system up to April 1, 1988 plus service after such date with respect to which member contributions are made. Earninos Base pay including longevity, but excluding overtime, shift differential or extra compensation allowances. Final Averaae Monthlv Earninas (FAME) One-twelfth of annual Earnings during the last year of Creditable Service; for those hired after October 17, 1992, average of Earnings during the highest three years of Creditable Service. Payments for accumulated leave are not included in FAME. Normal Retirement Eligibility Age 50 and five years of Creditable Service. For those hired after October 17, 1992, age 60 and ten years of Creditable Service. Benefit 4.0% of FAME multiplied by Creditable Service up to October 1, 1992; 3% of FAME multiplied by Creditable Service after September 30, 1992. If service is at least 20 years on October 1, 1992, the maximum benefit is 90% of FAME; if less than 20 years of service on October 1, 1992, the maximum benefit is 80% of FAME. For those hired after October 17, 1992,3.0% of FAME multiplied by Creditable Service with a maximum benefit of 80% of FAME. Form of Benefit - 50% joint and survivor annuity payable only to the spouse or, if no spouse, to the surviving children until age 21; other options are also available. Spouse's benefits cease upon remarriage. Delaved Retirement Eligibility Any time after the Normal Retirement Date. Benefit Calculated in the same manner as the Normal Retirement Benefit but using the FAME and Creditable Service as of the actual retirement date. ~ GABRIEL, ROEDER, SMITH & COMPANY 36 Disabilitv Benefits Eligibility A total and permanent disability which renders a member incapacitated, mentally or physically, for the further performance of duty. Five years of Creditable Service is also required unless the disability is service-connected. Benefit Accrued retirement benefit, without reduction, with a minimum of 25%, 35% for those hired after October 17, 1992, of FAME if ordinary disability and 50%, 60% for those hired after October 17, 1992, of FAME if service-connected. Such amounts are reduced by workers' compensation benefits and, in certain cases, earned income will be considered in offsetting the benefit. The period of disability shall be included in Creditable Service for purposes of computing normal retirement benefits when a disability retiree reaches normal retirement age. Preretirement Death Benefits For a member who has at least five years of Creditable Service but who dies before commencement of retirement benefits, a monthly benefit is payable to the spouse or, if no spouse, to the children until age 21. The benefit is equal to 50% of the accrued normal retirement benefit without reduction. Spouse's benefits cease upon remarriage. Termination Benefits For a member with less than five years, ten years for those hired after October 17, 1992, of Creditable Service when he terminates, his accumulated employee contributions, plus an additional 10% of his accumulated contributions multiplied by years of service, not to exceed ten years, is returned to him. For a member with five or more years, ten or more for those hired after October 17, 1992, of Creditable Service when he terminates, he may either take a return of contributions plus the additional amount described above or his accrued benefit is payable at his Normal Retirement Date. Post Retirement Adiustments All benefits in pay status are subject to a 1 1/2% increase each year as of October 1st. Contributions From Members From the City 10% of Earnings. The amount necessary to fund the Plan properly according to the Plan's actuary. Chanoes Since Last Valuation There have been no changes in benefits since the last actuarial valuation. rEm! GABRIEL, ROEDER, SMITH & COMPANY