2001 Comprehensive Annual Financial Report

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CITY OF SOUTH BEND, INDIANA NOTES TO GENERAL-PURPOSE FINANCIAL STATEMENTS (Continued) Funding Policy and Annual Pension,.Cost The contribution requirements of plan members for PERF are established by the Board of Trus- tees of PERF. Information to segregate the assets and the actuarial study figures between the City and the proprietary funds is not available. B. 1925 Police Pension Plan Plan Description The City contributes tothe 1925 Police Pension Plan which is asingle-employerdefined benefit pension plan. The plan is administered by the local pension board as authorized by state statute SIC 36-8-fi}. The plan provides retirement, disability, and death benefits to plan members and benefciaries. The plan was established by the plan administrator, as provided by state statute. The plan administrator does not issue a publicly available financial report that includes f nancial statements and required supplementary information of the plan. Funding Policy and Annual Pension Cost The contribution requirements of plan members for the 1925 Police Pension Plan are estab- lished by state statute. The State of Indiana, through the pension relief legislation of 1977, provides the City with assis- tance in meeting its' contribution requirements for this single employer pension plan. For the years ending December 31, 2001, 2000 and 1999, this State assistance totaled $4,082,384, $1,fi70,530 and $1,918,914, respectively. The use of the pay-as-you-go method by the Ci#y results in signifcant underfunding of the plan. The Net Pension Gbligation ~NP4} is considered an obligation of the City and is reflected in the General Long-Term Debt Account Group. C. 1931 Firefighters' Pension Plan Plan Description The City contributes to the 1931 Firefighters' Pension Plan which is asingle-employer defined benefit pension plan. The plan is administered by the loco! pension board as authorized by s#ate statute SIC 3fi-8-1}. The plan provides retirement, disability, and death benefts to plan members and beneficiaries. The plan was established by the plan administrator, as provided by state stat- ute. The plan administrator does not issue a publicly available financial report that includes financial statements and required supplementary information of the plan. Funding Pvlicx and Annuai_Penson_Cost The contribution requirements of plan members for the 1937 Firefighters' Pension Plan are established by state statute. 24