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City Council Regular Meeting -10/23/06 Minutes - Page 9 an environmentally and economically effective proposal, and anticipated additional material collection, in addition to the new aseptic packaging materials applicable for collection. Roll Call Ayes: Maschka; Ihlan; Pust and Klausing. Nays: Kough. 3.j Approve a New Benefit Pay Plan for the Fire Relief Association At the request of Mayor Klausing, Mr. Miller reviewed the Request for Council Action dated October 23, 2006, providing for an increase of $2 per month per year of service, effective November 1, 2006; and for 2008 and beyond, to grant increases to firefighter benefits based on benchmark for the cost of living increase provided to Social Security recipients. Mr. Miller noted that the plan still needed approval of the Fire Relief Association on an annual basis, and by resolution would be approved annually by the City Council as well. Councilmember Maschka opined that, while he didn't have a problem with the $2 per month per year of service increase for 2007, he was concerned with the provision that future increases would not be granted if the plan's funding level dropped below 70% of what is needed to pay projected benefits, noting that the current plan is funded at 88%. Councilmember Maschka acknowledged that the plan came before the City Council annually, but it did constitute a defined benefit plan, with the City Council as the ultimate guarantor, and cautioned that current and future Council's needed to be aware of this provision. Councilmember Pust questioned how the 70% cut-off had been determined, and why it wasn't higher. Mr. Miller responded that there was no "magical number," and that at some point, the Council needed to make a determination when not to recommend a benefit increase. Mr. Miller briefly reviewed historical fluctuations. Resolution 10442 New Benefit Pay Plan for the Fire Relief Association