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Home My WebLink About1984 Police and Fire Retirement System Annual ReportP, . CITY OF LANSING, MICHIGAN Document: 1984 Police and Fire Retirement System Annual Report M.r kit 0 POLICE AND FIRE RETIREMENT SYSTEM ANNUAL REPORT DECEMBER 31, 1984 FORTY-FIRST ANNUAL FINANCIAL REPORT OF THE POLICE AND FIRE RETIREMENT SYSTEM CITY OF LANSING, MICHIGAN YEAR ENDED DECEMBER 31, 1984 3 CITY OF LANSING POLICE AND FIRE RETIRT SYSTEM ANNUAL FINANCIAL REPORT YEAR ENDED DECEMBER 31, 1984 TABLE OF CONTENTS Table of Contents Letter of Transmittal Administrative Organization Balance Sheets Statement of Revenues, Expenses and Changes in Fund Balance Statements of Changes in Financial Position Changes in Fund Balance Reserves Securities Common Stock Investment Portfolio Analysis Statement of Membership Retirants and Beneficiaries Members Retired During 1984 Beneficiaries Added to Roll 1984 Terminations 1984 Page 1 2-3 4 5 6 7 8 9-15 16 17 18 19 20 21 22 -1- Terry J. McKane, Mayor Board of Trustees Police & Fire Retirement System City of Lansing, Michigan Dear Trustees: FINANCE DEPARTMENT James W. Dowsett, Director of Finance 831 City Hall Lansing, Michigan 48933 (517) 483-4500 July 26, 1985 Presented herewith is the Forty -First Annual Report of the Secretary covering operations of the Retirement System for the year ending December 31, 1984. BALANCE SHEET Fixed income securities totaled $27,789,208 on December 31, a decrease of $6,167,612 during the year. f Of the $27,789,208 fixed income securities, $1,850,000 are rated "AAA", $10,425,000 are rated "AA", $7,972,000 are rated "A", $1,070,000 "BAA", $325,000 are rated "BA", and $6,147,208 are not rated. These securities mature from June 1, 1985 to August 1, 2013 and have interest rates ranging from 3 5/8% to 17 1/2%. We hold $10,905,000 public utility bonds, including telephone companies, and the balance in bank, industrial, -transportation and foreign government bonds as summarized on page 17 of this report. The net unamortized discount in excess of premium increased by $631,540 during the year, and accrued interest at Decem- ber 31 decreased by $35,578. As of December 31, 1984, the Retirement System also owned 264,000 shares of various common stocks at a cost of $9,713,505 and U.S. Treasury notes, repurchase agreements and trust demand notes totalling $19,183,724. The net increase in accrued liabilities of the Retirement Reserve.Fund was $3,055,895 during the year under review. Unfunded liabilities increased $1,212,877 during the year and totaled $23,765,341 on December 31, 1984. This liability is being amortized over a 30 year period. A recapitulation of the changes in the fund balance reserves is summarized on page 8 of this report. REVENUE AND EXPENDITURES City contributions totaled $3,398,974 during the year. The interest and dividends on investments for the current year was $5,215,342 and the net loss 2 "Equal Opportunity Employer" on exchange of securities was $2,929,390 for a total increase of 4.3% in the average book value of assets of $53,769,979. During the year $192,044 was credited to the Employee Savings Fund, and $2,573,017 was credited to the Retire- ment Reserve Fund. Member contributions during the year totaled $537,616 and refunds of member' contributions (those° leaving the system prior to retirement) totaled $14,023. Net benefits paid totaled $3,152,137. Monthly benefits ranged from a low of $62 to a high of $2, 361. There were 288 retirants on the roll at December 31. Age and service retirants totaled 223, while 43 were duty disability, 4 were duty disability beneficiaries, 1 non -duty disability, 2 non -duty disability beneficiaries, 8 duty death beneficiaries, and 7 non -duty death beneficiaries. Eighteen members retired during the year having an average age of 53 years with average service credits of 28 years. Of the 18 retired, age and service retirants totaled 17, while 1 was a non -duty disability. Annual pension benefits of these members will total $329,789 increasing annual pension benefits payable by the Retirement System to $3,262,180. Eleven retirees died during the year with total annual benefits of $90,301. GENERAL COMMENTS The actuarial valuation at December 31, 1984 indicates that the rate of contributions should be 27.34% of total valuation. payroll for 1985. There are funds budgeted in the 1985-86'City of Lansing budget for the City's contribution to the Retirement System in accordance with the actuary's recommendations. There were significant amendments to Michigan investment law in 1982.. The level of assets which may be invested in stocks was increased from 25% to 60%. There was a broadening of allowable investment grade holdings and a new definition of fiduciary responsibility and authority. Progressive steps have been taken to facilitate the ongoing review of invest- ment policy and procedures and to maximize investment return. Custodial services have been contracted with the National Bank of Detroit to provide for the direct deposit and reinvestment of dividends and interest and proceeds from the sale of securities. This "state of the art" service also provides for more efficient recordkeeping. After' an extensive review process, the Board of Trustees selected 4 outside money managers who were placed under contract in October, 1984; Harbor Capital' Management Company, Inc. and Rollert & Sullivan, Inc. to handle equity investments; Loomis Sayles & Company and M.D. Sass Investors Services, Inc. to handle fixed income investments. Performance evaluation services have been contracted with S.E.I. Funds Evaluation Services to provide for quarterly reports on investment performance and as a management tool for evaluating the results of investment policy decisions. The 1984 Actuarial Valuation Report concludes that the Retirement System is in very good actuarial condition. Sound provision is being made for the increasing number of retirement allowances expected in future years. It has been a pleasure to work with the Board of Trustees in the past year and with your continued surveillance and support, the employees of our City can be assured the benefit of one of the finest retirement systems in the country. Respectfully submitted, t V James W. Dowsett Finance Director JWD:ls 3 CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM BOARD OF TRUSTEES DECEMBER 31, 1984 Gary R. Powers, Fireman, Chairman 12-31-84 John W. Fonger, Appointed Citizen, Vice Chairman 12-31-87 Terry J. McKane, Mayor Indefinite Sidney P. Worthington, City Council Indefinite Hugo J. Hufnagel, Treasurer Indefinite Martin Campbell, Policeman 12-31-87 W. Paul Wiegman, Policeman 12-31-85 John B. Cushman, Jr., Fireman 12-31-86 ISecretary.............................................James W. Dowsett Legal Advisor........................................Stephen R. Sawyer Actuary...................................Gabriel, Roeder, Smith & Co. Medical Director ...................Lansing Occupational Medical Center Office: 8th Floor, City Hall, Lansing, MI 48933 Phone: Area Code: 517 483-4500 -4- CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM BALANCE SHEETS Assets December 31, — — — 1984 Current assets: Cash on deposit $ 300,048 $ 82 Investments, at cost or amortized cost: Repurchase agreement 18,400 701,550 Trust demand notes 12,165,324 . 5,289,054 U.S. Government obligations, market value $10,076,710 and $2,949,983 10,167,293 3,112,968 Bonds, market value $22,022,170 and $27,837,605 23,790,877 32,144,353 Common stocks, market value $9,432,125 and $10,278,775 9,713,505 11,040,159 Total investments 55,855,399 52,288,084 Accounts receivable 46,450 126,330 Accrued interest receivable 982,163 1,017,741 ' Dividends receivable 18,262 30,771 Total current assets $57,202,322 $53,463,008 Liabilities and Fund Balance Current liabilities: Warrants payable $ 272,789 $ 20,597 Accounts payable 532,329 13,706 Total current liabilities 805,118• 34,303 Fund balance: Reserved for employee contributions 6,995,376 6,740,752 Reserved for employer contributions 33,595,335 32,724,478 Reserved for benefit payments 39,571,834 36,515,939 Total reserved fund balance 80,162,545 75,981,169 Unreserved fund balance (deficit) (23,765,341) (22,552,464) Total fund balance 56,397,204 53,428,705 • Total liabilities and fund balance $57,202,322 $53,463,008 -5- CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM STATEMENTS OF REVENUES, EXPENSES AND CHANGES IN FUND BALANCE Year ended December 31, 19 ----84 ————— — — — — 1.9-83— Operating revenues: Contributions by employees $ 537,616 $ 548,294 Contributions by City 3,398,974 3,200,403 Income from investments 2,285,952 3,765,431 Total operating revenues 6,222,542 7,514,128 Operating expenses: Investment services 87,883 40,307 Payment to pensioners & beneficiaries 3,152,137 2,704,452 Contributions refunded to former employees 14,023 58,432 Total operating expenses 3,254,043 2,803,191 Net income 2,968,499 4,710,937 Fund balance, at beginning of year 53,428,705 48,717,768 Fund balance, at end of year $56,397,204 $53,428,705 CITY OF LANSING POLICE AND FIRE RETIEEMENT SYSTEM STATEMENTS OF CHANGES IN FINANCIAL POSITION Year ended December 31, --—1-984 ----------1983— Sources of working capital: Operations - net income $ 2,968,499 Changes in working capital components: Increase (decrease) in current assets: Cash on deposit $ 299,966 Investments 3,567,315 Accounts receivable (79,880) Accrued interest receivable (35,578) Dividends receivable (12,509) Decrease (increase) in current liabilities: Warrants payable (252,192) Accounts payable (518,623) Increase in working capital $ 2,968,499 $ 4,710,937 $ (77,286) 4,357,033 12,070 22,318 (14,348) 424,856 13,706,) $ 4,710,937 -7- I CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM CHANGES IN FUND BALANCE RESERVES Fund Balance Fund Balance Fund Balance 1984 Total 1983 Total Reserved for Reserved for Reserved for Reserved Reserved Employee Employer Benefit Fund Fund Contributions Contributions Payments Balance Balance Balance, January 1, 1984 $6,740,752 $32,724,478 $36,515,939 $75,981,169 $70,043,600 Additions: Contributions by employees 537,616 537,616 548,294 Contributions by City 3,398,974 3,398,974 3,200,403 Income from investments 192,044 (479,109) 2,573,017 2,285,952 3,765,431 Total balance & additions- 7,470,412 35,644,343 39,088,956 82,203,711 77,557,728 Transfers on retirement (461,013) (3,174,002) 3,635,015 Actuarial adjustment in unfunded accrued liability 1,212,877 1,212,877 1,226,632 Total revised balances 7,009,399 33,683,218 42,723,971 83,416,588 78,784,360 Deductions: Investment services 87,883 87,883 40,307 Payment to pensioners & beneficiaries 3,152,137 3,152,137 2,704,452 Contributions refunded to former employees 14,023 14,023 58,432 Total deductions 14,023 87,883 3,152,137 3,254,043 2,803,191 Balance, December 31, 1*984 $6,.995,376 $33,595,335 $39,571,834 $80,162,545 $75,981,169 CITY OF LANSING POLICE & FIRE RETIREMENT SYSTEM SECURITIES (EXCEPT COMMON STOCK*) DECEMBER 31, 1984 Nominal Unrecovered Maturity Rate Par Value Cost Market Value Trust Demand Notes: National Bank of Detroit -Short Term Invest. 12/31/83 U.S. Government Obligations: U.S. Treasury Notes 06/30/85 U.S. Treasury Notes Series "K" 12/31/86 �o U.S. Treasury Notes Series "H" 03/31/87 i U.S. Treasury Notes. 05/15/87 U.S. Treasury Notes Series "J" 06/30/87 U.S. Treasury Notes Series "Q" 11/15/87 U.S. Treasury Notes Series "G" 02/15/88 U.S. Treasury Notes Series "D" 11/15/93 U.S. Treasury Bond 02/15/03 Treasury Growth Receipts 11/15/91 Coupon Treasury Receipts 02/15/91 Tennessee Valley Authority 07/01/86 U.S. Government Guaranteed Ship Financing 09/25/92 International Bank for Recon. & Devel. 10/15/02 *See Common Stock Schedule - Page 16 9.080 $12,165,324 $12,165,324 $12,165,324 $12,165.,324 $12,165,324 $12,165,324 10.000 $ 600,000 $ 598,044 $ 603,750 10.000 1,100,000 1,102,060 1,100,000 10.250 1,100,000 1,104,125 1,101,375 14.000 300,000 300,000 322,032 10.500 1,100,000 1,107,218, 1,104,125 11.000 1,400,000 1,422,853 1,418,816 10.125 1,100,000 1,092,612 1,088,659 11.750 300,000 299,443 302,625 10.750 200,000 184,214 185,500 -0- 801,500 424,163 365,708 -0- 1,200,000 605,231 596,496 4.625 150,000 149,978 138,000 9.300 200,000 200,000 175,544 12.375 600,000 627,094 618,630 Nominal Unrecovered Maturity Rate Par Value Cost Market Value Student Loan Marketing Assoc. 10/01/87 11.250 $ 300,000 $ 302,046 $ 304,125 Federal Home Loan Mortgage Corp. 10/01/10 9.500 766,264 648,212 651,325 Repurchase Agreement (U.S. Treasury Note) 02/15/86 8.308 18,400 18,400. 18,400 Total U.S. Government obligations $11,236,164 $10,185,693 $ 10,095,110 Bonds: Alabama Power Co. 12/01/05 10.500 $ 400,000 $ 400,000 $ 339,784 Alaska Housing Corp. 06/01/92 15.000 400,000 397,735 407,824 American Express Credit Corp. 07/01/90 10.100 300,000 300,000 283,803 ANR Pipeline Co. 11/01/90 9.750 22,000 22,000 20,440 ,! Arkansas -Louisiana Gas Co. 10/01/98 9.100 200,000 200,000 166,042 0 i Avco Financial Serv. Inc. 04/15/87 9.875 300,000 299,572 294,210 Avco Financial Serv. Inc. 08/01/99 9.750 200,000 200,000 194,724 Baltimore & Ohio Railroad Equip. Trust 10/01/89 8.500 100,000 101,649 88,586 Baltimore Gas & Electric 09/15/90 12.125 200,000 200,000 203,468 Bank of Boston Corp. 08/15/87 10.650 300,000 300,000 294,366 Burroughs Corp. 08/01/87 10.750 300,000 299,443 298,680 Campbell Soup Co. 06/15/90 9.875 100,000 100,000 94,698 Central Hudson Gas & Electric 09/15/09 10.750 200,000 199,267 166,302 Chesapeake & Ohio Railroad Equip. Trust 03/01/86 11.750 200,000 200,849 202,032 Chevron Capital USA, Inc. 11/01/88 -11.750 300,000 304,002 304,476 Cincinnati Bell Inc. 05/01/91 15.000 200,000 199,046 224,220 Nominal Unrecovered Maturity Rate Par Value Cost Citicorp 02/01/87 16.000 $ 200,000 $ 199,579 Columbia Gas System 10/01/99 11.750 100,000 99,439 Connecticut Light & Power Co. .10/01/95 11.500 100,000 100,000 Delmarva Power & Light 07/01/05 11.000 196,000 197,341 Detroit Edison Co. 05/01/04 9.875 100,000 99,516 Duke Power Co. 05/01/86 3.625 115,000 115.,120 Ensearch Corporation 10/01/01 8.750 200,000' 200,000 Federal Farm Credits 07/22/91 14.700 1,000,000 980,014 Federal Farm Credits 12/02/91 13.650 400,000 394,997 Federal Home Loan Banks 09/25/90 12.500 400,000 403,232 Florida Power & Light 03/01/12 16.500 600,000 733,232 Florida Power & Light 03/01/13 12.375 600,000 612,675 Ford Motor Credit Co. 06/01/87 12.600 100,000 100,391 Ford Motor Credit Co. 08/15/90 8.875 200,000 199,341 Ford Motor Credit Co. 12/01/90 15.750 200,000 199,108 General American Transportation 11/15/98 9.000 200,000 199,663 General Electric Credit Corp. 08/01/97 8.250 200,000 199,681 G.M.A.C. 07/15/87 10.875 300,000 300,000 G.M.A.C. 04/01/91 14.375 200,000 199,369 Georgia Power Co. 06/01/87 5.250 75,000 75,489 Georgia Power Co. 11/01/90 4.875 50,000 48,241 Market Value 203,610 95,647 85,579 177,078 79,518 105,645 150,656 1,135,000 437,000 418,124 702,012 594,198 101,248 176,744 221,448 149,696 160,690 299,838 216,926 65,476 36,182 Gibralter Savings & Loan Gulf Oil Corp. Hooker Chemical Houston Lighting & Power Co. E.F. Hutton Credits Indianapolis Power & Light Internorth Inc. Irving Bank Jersey Central Power & Light Co. Laclede Gas Co. N Louisville Nashville Railroad Co. Michigan Bell Telephone Co. Mississippi Power Co. Missouri Pacific Railroad Missouri Pacific Railroad Mobil Montana Dakota Utilities Montgomery Ward Credit Corp. National Cash Register National Fuel Gas Co. New England Power Co. Nominal Unrecovered Maturity Rate Par Value Cost 08/01/89 .9.500 $ 100,000 $ 100,000 06/15/93 6.625 100,000 89,864 01/15/91 4.875 200,000 181,026 11/01/87 4.750 100,000 100,176 09/15/89 12.900 400,000 400,000 09/15/05 9.875 100,000 101,212 08/01/91 17.500 213,000 253,960 11/15/07 12.375 950,000 944,597 08/01/96 6.125 100,000 100,499 07/15/99 9.750 200,000 200,000 09/01/94 10.500 300,000 298,246 11/01/92 4.750 147,000 141,835 12/01/00 8.125 200,000 182,994 03/15/93 9.375 200,000 188,240 09/15/93 15.500 450,000 547,899 11/01/92 10.875 400,000 399,514 10/01/96 8.500 143,000 143,000 11/15/90 9.250 100,000 100,548 06/01/85 4.750 150,000 148,776 08/01/99 9.875 200,000 200,000 12/01/96 6.375 186,000 189,469 Market Value $ 98,153 74,518 132,470 84,895 414,840 81,950 234,243 927,143 56,622 171,204 273,072 97,461 142,268 173,064 530,973 386,324 109,688 87,694 146,397 170,454 116,760 New England Power Co. New Jersey Power & Light Co. New York Telephone Co. Niggara Mohawk Power Co. North American Phillips Ontario, Province of Pacific Gas & Electric Pacific Gas & Electric Pacific Lighting Service Supply Pacific Northwest Bell w Pennsylvania Power Co. Philadelphia Electric Co. Public Service Electric & Gas Co. Public Service Electric & Gas Co. Puget Sound Power & Light Co. Pullman Leasing Rochester Gas & Electric Co. Small Business Administration South Central Bell Telephone Southern Bell Telephone & Telegraph Southern California Edison Nominal Unrecovered Maturity Rate Par Value Cost Market Value 10/01/97 6.875 $ 100,000 $ 99,260 $ 64,822 07/01/90 4.875 25,000 25,221 15,707 05/15/91 4.500 115,000 115,382 80,517 08/01/07 8.350 200,000 199,619 131,612 08/01/00 9.750 200,000 199,378 164,754 03/01/09 9.570 200,000 198.,792 163,428 09/01/08 8.250 300,000 299,249 204,600 08/01/13 12.875 600,000 624,013 603,414 07/01/88 7.000 25,000 25,084 22,291 11/01/12 9.000 200,000 200,000 150,094 09/01/92 4.375 75,000 72,935 44,807 03/01/06 9.125 150,000 150,798 104,450 08/01/91 15.875 300,000 300,000 327,315 06/01/10 12.125 600,000 610,482 574,020 11/01/93 4.625 20,000 20,000 12,288 08/01/99 9.625 200,000 199-,053 163,558 09/15/94 4.625 120,000 119,709 71,948 O1/27/92 10.500 229,444 196,175 196,175 10/01/20 12.875 600,000 640,962 608,640 12/01/93 4.625 80,000 80,089 50,642 03/01/00 8.875 100,000 99,545 76,988 Southern California Edison Southern California Edison Southern California Gas Southwestern Public Service Southwestern Public Service Standard Oil Co. - Indiana Superior Oil Co. Tenneco Inc. Tenneco, Inc. r Texas Electric Service Co. I Texas Oil & Gas Corp. Texas Power & Light Co. Trailer Train Railroad Equip. Trust Trailer Train Railroad Equip. Trust Trailer Train Railroad Equip. Trust Trailmobile Transamerica Financial Corp. Union Pacific Railroad Equip. Trust Union Tank Car Equip. Trust Union Tank Car Equip. Trust U.S. Life Corp. Nominal Unrecovered Maturity Rate Par Value Cost 11/01/03 9.625 $ 200,000 $ 198,945 10/15/04 11.750 200,000 198,735 05/01/96 8.750 200,000 198,709 06/01/90 10.900 100,000 100,000 02/01/91 4.500 98,000 92,223 08/01/07 7.875 200,000 199,430 09/15/99 9.625 200,000 200,000 01/15/91 13.375 200,000 199,380 05/01/05 12.125 600,000 592,550 03/01/10 14.125 450.,000 480,145 05/01/95 10.250 100,000 99,872 05/01/10 11.375 200,000 198,941 07/01/92 8.200 200,000 200,000 05/15/93 9.150 200,000 200,000 09/15/93 9.000 200,000 200,000 11/15/87 8.200 200,000 197,623 07/01/01 8.500 200,000 198,736 09/01/87 7.000 100,000 100,000 07/01/90 9.875 37,000 37,550 12/01/96 8.300 100,000 100,000 10/15/90 12.500 200,000 192,514 Market Value 161,098 188,398 164,012 96,663 69,553 139,048 167,550 209,928 572,970 473,418 91,712 178,696- 155,666 169,012 166,718 186,522 182,728 90,967 35,462 78,973 205,922 Valley Federal Savings Wells Fargo Witco Chemical Corp. Total bonds Total securities Nominal Maturity Rate 06/15/90 11.000 12/15/85 10.625 08/15/09 9.500 Par Value $ 250,000 300,000 200,000 $23,571,444 $46,972,932 Unrecovered Cost $ 238,705 299,842 199,385 $23,790,877 $46,141,894 Market Value $ 241,155 301,134 156,632 $22,022,170 $44,282,604 CITY OF LANSING POLICE & FIRE RETIRIIMENT SYSTEM COMMON STOCK AS OF DECEMBER 31, 1984 Number Market of Value Shares Cost 12/31/84 Allied Corp. 12500 $ 459,475 $ 431,250 American Hospital Supply Corp. 5000 218,400 143,750 Avnet, Inc. 14000 467,866 488,250 Avon Products, Inc. 5000 114,825 109,375 Beverly Enterprises 5000 157,013 157,500 Borden, Inc. 5500 334,035 356,125 CBI Industries, Inc. 5000 126,750 125,000 Continental Corp. 6000 212,138 220,500 Donnelly R.R. & Sons Co. 5000 230,235 245,000 Dow Jones & Co., Inc. 11000 438,598 459,250 Dun & Bradstreet Corp. 3000 188,410 196,875 Gould, Inc. 5000 109,425 105,625 Helmerich & Payne 9000 178,849 180,000 Idaho Power Co. 5000 186,850 191,250 Interco, Inc. 3000 180,495 179,250 International Business Machines 6500 800,785 800,312 Levi Strauss & Co. 10000 263,500 252,500 Mariott Corp._.. .5000 376,125 378,750 Mellon Bank Corp. 5000 247,450 233,750 Mobil Corp. 16700 509,111 452,988 Moore McCormack Resources, Inc. 6000 151,605 132,000 NWA, Inc. 10000 397,700 407,500 Network Systems Corp. 5000 117,500 112,500 New York Times Co. 6000 213,720 230,250 Nordstorm, Inc. 9000 284,817 279,000 Ocean Drilling & Exploring 9000 233,834 198,000 PHH Group 12500 319,462 310,937 Policy Management Sys. Co. 5000 126,250 138,750 Standard Oil - Indiana 4500 264,352 237,938 Sterling Drug, Inc.' 10000 273,550 288,750 Texas Oil & Gas Corp. 15000 312,450 268,125 Times Mirror Co. 6000 234,720 242,250 Toledo Edison Co. 3000 62,850 56,625 Union Pacific Corp. 12800 615,400 523,200 Varian Assoc. 8000 304,960 299,000 Total $9,713,505 $9,432,125 -16- CITY OF LANSING • POLICE & FIRE RETIREMENT SYSTEM INVESTMENT PORTFOLIO ANALYSIS DECEMBER 31, 1984 Par Value Percentage "Repurchase Agreement $12,183,724 21.49% U.S. Treasury Notes 7,000,000 12.35 Bonds: Moody's "AAA" rated 1,850,000 3.26 Moody's "AA" rated 10,425,000 18.39 Moody's "A" rated 7,972,000 14.06 Moody's "BAA" rated 1,070,000 1.89 Moody's "BA" rated 325,000 .57 Moody's "B" rated Not rated 6,147,208 10.85 Total bonds 27,789,208 49.02 Common Stocks at cost 9,713,505 17.14 Total investments $56,686,437 100.00% CLASSIFICATION OF BONDS Cash equivalents Demand obligations $12,183,724 25.94% Bonds: r U.S. Treasuries 9,201,500 19.59 Agencies 3,050,000 6.49 Pass throughs 995,708 2.12 Municipals 400,000 .85 Finance 4,850,000 10.32 Industrial 2,550,000 5.43 Public Utility 10,905.,000 23.22 Real Estate 350,000 .74 Transportation 2,287,000 4.87 Foreign 200,000 .43 Total $46,972,932 100.00% -17- CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM • STATEMENT OF MEMBERSHIP DECEMBER 31, 1984 Membership - December 31, 1983 520 Add: New members during year 11 Total 531 Deduct: Members retired 18 Resigned and contributions refunded 2 Membership - December 31, 1984 Summary of Membership Number Annuity Savings Active Members 475 $6,641,854 Deferred 1 15,454 • Duty Disability 27 337,009 Inactive 8 1,059 .Totals 511 $6,995,376 20 511 Service Credit Months 80,902 190 6,437 29 87,558 -18- CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM RETIRANTS AND BENEFICIARIES DECEMBER 31, 1984 Annual Benefits Type,of Benefits Being Paid: Number Being Paid Age and Service Benefits: Regular service - benefit terminating at death of retirant 17 $ 116,796 Regular service - potential 50% survivorship benefit to widow 164 2,256,717 Option I benefit - 100% joint and survivor 4 19,632 Option II benefit - 50% joint and survivor 10 51,895 Beneficiaries 28 109,706 Total age and service benefits 223 $2,554,746 Casualty Benefits: Duty disability 43 $ 594,179 Duty disability beneficiaries 4 24,859 Non -duty disability 1 13,196 Non -duty disability beneficiaries 2 3,314 Duty death beneficiaries 8 36,660 Non -duty death beneficiaries 7 35,226 Total casualty benefits 65 707,434 Total benefits 288 $3,262,180 EMT CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM MEMBERS RETIRED DURING 1984 Annual Date of Age at Service Type of Retirement Name Retirement Retirement, Yrs. Mos. Retirement Benefit Cushman, Jack B. 01-84 59 37 4 Regular $ 25,488.00 Reisner, Robert R. 01-84 50 27 8 Regular 16,551.48 Wilson, Richard 02-84 56 29 0 Regular 19,024.68 Compson, Marvin 02-84 51 29 0 Regular 19,296.96 Brown, Armand 02-84 .42 18 8 Non -Duty Dis. 13,196.40 Smith, Hueston 03-84 54 28 5 Regular 19,497.24 Backlund, James 04-84 50 25 3 Regular 19,941.00 Esch, Richard 04-84 53 30 3 Regular 20,367.36 Warner, Raymond 04-84 52 30 3 Regular 18,863.04 Bailey, Richard 06-84 58 34 0 Regular 24,868.20 Dunlap, William 06-84 55 11 4 Reg. from Def. 1,786.32 Miller,"Raymond 06-84 58 33 2 Regular 22,775.28 Kline, Robert 07-84 50 29 6 Regular 19,478.16 Findsen, William 08-84 57 34 2 Regular 20,458.56 Stump, Marvin W. Jr. 08-84 54 28 1 Regular 20,413.44 Daiss, Glenn 08-84 54 29' 0 Regular 22,060.20 Besley, William 09-84 50 28 2 Regular 23,523.24 Moon, Robert 10-84 55 15 4 Reg. from Def. 2,199.84 Total $329,789.40 -20- CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM BENEFICIARIES ADDED TO ROLL 1984 Date Name Added Gawronski, Dorothy 04-84 Patterson, Frances M. 06-84 Eddie, Marjorie 12-84 Age at Retirement 56 63 62 Type of Retirement Regular Regular Regular Total Annual Retirement $10,463.58 5,128.80 4,990.92 $20,583.30 -21- G CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM TERMINATIONS 1984 Annual Date of Type of Retirement Name Termination Reason Retirement Benefit Returned Hemstreet, John 02-84 to work Duty Disability $15,108.72 Meredith, Charles 03-84 Death Regular 5,000.04 Gawronski, Edwin 04-84 Death Regular 20,927.16 Fairchild, Shirley 05-84 Married Duty Death 4,025.16 Finch, Joseph 05-84 Death Regular 5,000.04 Mattson, Hugo 05-84 Death Regular 5,000.04 Patterson, Ward 06-84 Death Regular 10,257.48 Blankenburg, Arthur 07-84 Death Regular 5,000.04 Keck, Lloyd H. 11-84 Death Regular 5,000.04 Eddie, Earl 12-84 Death Regular 9,981.84 Griffin, Myron 12-84 Death Regular 5,000.04 Total $90,300.60 -22-