CC_Minutes_2006_0717 - Laserfiche WebLink

Home

ROSEVILLE FIREFIGHTER'S RELIEF ASSOCIATION 2701 North Lexington Ave. Roseville, MN. 55113 Proposal for Guidelines for Future Increases The Association would like to have the City Council consider this proposal as to how future increases to it's members would be granted. Currently we have done as we just completed the request to have a $2.00 per year increase, raising from $27.00 to $29.00 per year of service to it's members. The Association would like to propose that in the future, increases would be based on the Cost of Living Allowance (COLA) that the yearly Social Security increase is base on. We would like to have this increase effective with the year 2006 and 2007, with the increase effective January 1,2008. The Association would recommend the increase be rounded up to the nearest quarter of a dollar. The COLA for the year 2006 would be based on the actual percentage increase, while the COLA for 2007, would be based on the estimated percentage increase. This format would be followed in future years, actual percentage in the odd years and estimated percentage in the even years. The rational behind this, is that the Association is required by Minnesota Statute to have an actuarial performed every two (2) years and that would mean one would need to be performed effective December 31, 2007. This actuarial would show the current financial picture of the Association and what if any City contribution would be required. The Association also recommends that if the unfunded liability should fall below 70%, an increase would not be granted. The Association could try to calculate an increase amount that would not bring the unfunded liability below the 70% figure, and present that amount instead of the full COLA amount, for consideration.