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Attachment A 4.Appropriateness of Remaining Relief Association Assets Disposition Designation. The policy issue is the appropriateness of specifying the disposition of any assets of the Roseville Volunteer Firefighters' Relief Association remaining when the last service pension or survivor benefit has been paid. Minnesota public pension laws generally presume that, once created or established, the retirement plan continues indefinitely into the future, with no provision governing the winding up of a retirement plan usually included in the governing legislation applicable to any Minnesota public pension plan. When a retirement plan is placed on phase-out basis, the enactment closing the plan to new active members usually includes a provision governing the disposition of any plan assets remaining upon the last pension benefit payment. The usual recipient of the remaining assets is the governmental entity served or principally served by the retirement plan. The potential proposed legislation follows that pattern. 5.Precedent for Potential Proposed Legislation . The policy issue is whether precedent exists for the potential proposed administration and governance legislation applicable to the Roseville Volunteer Firefighters' Relief Association and whether the Roseville Volunteer Firefighters' Relief Association potential proposed legislation will constitute a problematic precedent for other Minnesota public pension plans. There are past precedents of the various parts of the potential proposed Roseville Volunteer Firefighters' Relief Association legislation, as follows: a.Increase in Retiree Representation on Relief Association Board . For the Minneapolis Police Relief Association, phasing out since 1980, as active members declined in number, Laws 1983, Chapter 88, Sections 1, 2, and 5; b.Transfer of Plan Administration to PERA. Local police and paid fire relief association law, applicable to 48 local public safety plans and utilized by 44 plans, Laws 1987, Chapter 296; the creation of the Statewide Lump-Sum Volunteer Firefighter Retirement Plan, administered by PERA and intended as a mechanism for administering some portion of the state's numerous volunteer firefighter relief associations electing to change administration under Laws 2009, Chapter 169, Article 9; and the Minneapolis Employees Retirement Fund administrative consolidation into PERA, Laws 2010, Chapter 359, Article 11; and c.Disposition of Phased Out Relief Association Assets upon Final Benefit Payment. Local police and paid fire relief association phase-out asset disposition specified in Laws 1980, Chapter 607, Article 15, Section 4, Subdivision 2, Paragraph (3). The Roseville Volunteer Firefighters' Relief Association potential proposed legislation applies the prior precedents to a set of problems that another municipality and its pension plan would face if a phase-out were implemented and consequently is unlikely to constitute an adverse precedent for other pension plans. The Spring Lake Park-Blaine-Mounds View Volunteer Firefighter Relief Association, another monthly benefit volunteer firefighter relief association, is currently in the early stages of considering a mechanism to transfer the administration of its retirement plan to PERA, since it is ineligible to utilize the Statewide Lump-Sum Volunteer Firefighter Retirement Plan as a monthly benefit volunteer fire pension plan, and the Roseville Volunteer Firefighters' Relief Association potential proposed legislation would be a precedent for that retirement plan to consider. Conclusion I hope that this memorandum and the attached draft potential proposed special legislation adequately respond to your request. If the attached draft does so, it can be forwarded to the Office of the Revisor of Statutes (Attention: Sheree Speer) for final drafting services and the preparation of jacketed bill copies. If you have any questions about this memo or the draft proposed legislation, or require any modifications in the draft proposed legislation, please contact me at 651-296-2750. cc: Hannah Pallmeyer, Legislative Assistant, Sen. Marty Holly Marsh, Legislative Assistant, Sen. Scalze Jenny Nash, Committee Administrator, Rep. Hausman Kevin Labenz, Legislative Assistant, Rep. Isaacson David Breen, President, Roseville VFRA Jim Bodsgard, Treasurer, Roseville VFRA LCPR14-052 Memo.docx Page 3