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Home My WebLink About1985 Police and Fire Retirement System Annual ReportCITY OF LANSING, MICHIGAN Document: 1985 Police and Fire Retirement System Annual Report POLICE AND FIRE RETIREMENT SYSTEM ANNUAL REPORT DECEMBER 31, 1985 FORTY-SECOND ANNUAL FINANCIAL REPORT OF THE POLICE AND FIRE RETIREMENT SYSTEM CITY OF LANSING, MICHIGAN YEAR ENDED DECEMBER 31, 1985 CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM ANNUAL FINANCIAL REPORT YEAR ENDED DECEMBER 31, 1985 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 1985 Beneficiaries Added to Roll 1985 Terminations 1985 -1- Page 1 2-4 5 6 7 8 9 10-12 13-14 15 16 17 18 19 20 FINANCE DEPARTMENT James W. Dowsett, Director of Finance 831 City Hall Lansing, Michigan 48933 (517)483-4500 Terry J. McKane, Mayor July 31, 1986 Board of Trustees Police and Fire Retirement System City of Lansing, Michigan 48933 Dear Trustees: Presented herewith is the Forty -Second Annual Report of the Secretary covering operations of the Police and Fire Retirement System for the year ended December 31, 1985. BALANCE SHEET Fixed income securities totaled $31,229,142 on December 31, an increase of $3,439,934 during the year. Of the $31,229,142 fixed income securities, $2,236,131 are rated "AAA", $4,062,000 are rated "AA", $3,982,000 are rated "A", $745,000 are rated "BBB", and $20,204,011 are government and agency bonds. These securities mature from March 1, 1986 to September 1, 2015 and have interest rates ranging from 3 5/8% to 16 1/2%. We hold $22,451,011 of Government and agencies bonds, and the balance in public utilities, industrial, transportation, bank and finance, municipals and real estate bonds. The net unamortized premium and discount decreased by $30,345 during the year and accrued interest at December 31, 1985 increased by $290,757. In addition to the above fixed income securities, the Retirement System owned 774,700 shares of various common stocks at a cost of $25,028,069 and U.S. Treasury notes, repurchase agreements and trust demand notes totalling $5,127,936. The Reserve for Employee Contributions increased by $255,745 during the year under review. Active member 'accounts of 477 totaled $6,895,493, 1 deferred retirement of $15,918, 7 inactive accounts totaled $17,990 and 26 duty disability accounts totaled $321,720. The above 511 members represent 86,456 service credit months. According to our Actuary, the Reserve for Employer Contributions increased $2,912,724 and the Reserve for Benefit Payments increased $3,771,398 during the year, making a total increase of $6,684,122. -2- "Equal Opportunity Employer" Total reserved fund balance on December 31, 1985 was $87,102,412 with net assets of $61,011,503, leaving an unfunded accrued liability of $26,090,909, or an increase of $2,325,568 during the year. This liability is being amortized over a 30 year period. REVENUES AND EXPENDITURES City contributions amounted to $3,700,000 during the year. Member contribu- tions during the year totaled $595,531 and refunds of member contributions (those leaving the system prior to retirement) totaled $80,606. For the year, the cost of investment services totaled $332,921. The interest and dividends on investments was $4,597,954 and the net loss on the exchange of securities was $349,963 for a total increase of 7.5% in the average book value of assets of $56,580,358. Market value of the assets was 8% above book value at December 31. During the year, $197,395 in interest was credited to the Reserve for Employee Contributions, $1,246,705 in interest and dividends was credited to the Reserve for Employer Contributions and $2,803,891 in interest was credited to the Reserve for Benefit Payments. Net benefits paid totaled $3,515,696. There were 301 retirees on the roll at December 31. Age and service retirees totaled 236, 44 were duty disability, 1 was non -duty disability, 2 were non -duty disability beneficiaries, 6 were non -duty death beneficiaries and 8 duty death beneficiaries. Eighteen members retired during the year having an average age of 50 years and an average service credit of 27 years. Annual pension benefits of these retirees will total $359,767, increasing annual pension benefits payable by the System to $3,606,875. Six retirees died during the year with total annual benefits of $39,844. Two of the retirees that died during the year had beneficiaries and they will receive a total yearly benefit of $13,021. GENERAL COMMENTS The actuarial evaluation of December 31, 1985 indicates that the rate of contributions should be 27.65% of total valuation payroll for 1986. There are funds budgeted in the 1986-87 City of Lansing budget for the City's contribution to the Retirement System in accordance with the actuarial 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 are contracted with Prudential-Bache Funds Evaluation Services to provide for quarterly reports on investment performance and as a management tool for evaluating the results of investment policy decisions. M911 The 1985 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. JWD:1s Respectfully submitted, James W. Dowsett Finance Director -4- i CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM BOARD OF TRUSTEES DECEMBER 31, 1985 Gary R. Powers, Fireman, Chairperson John W. Fonger, Appointed Citizen, Vice Chairperson Terry J. McKane, Mayor Sidney P. Worthington, City Council Brian Kuchik, Treasurer Martin Campbell, Policeman W. Paul Wiegman, Policeman John B. Cushman, Jr., Fireman 12-31-89 12-31-87 Indefinite Indefinite Indefinite 12-31-87 12-31-85 12-31-86 Secretary ...................................................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 .a Phone: Area Code: 517 483-4500 —5— to r CITY OF LANSING POLICE AND FIRE RETIREMNT SYSTEM BALANCE SHEETS Assets Current assets: Cash on deposit Investments, at cost or amortized cost: Repurchase agreement Trust demand notes U.S. Government obligations, market value $22,323,622 and $10,076,710 Bonds, market value $11,858,133 and $22,022,170 Common stocks, market value $28,449,794 and $9,432,125 Total investments Accounts receivable Accrued interest receivable Dividends receivable Total current assets Liabilities and Fund Balance Current liabilities: Warrants payable Accounts payable Total current liabilities Fund balance: Reserved for employee contributions Reserved for employer contributions Reserved for benefit payments Total reserved fund balance Unreserved fund balance (deficit) Total fund balance Total liabilities and fund balance -December -----——— — 31,— — — 1985 — — 1984 $ 66,988 $ 300,048 143,600 18,400 2,584,336 12,165,324 21,001,694 10,167,293 11,826,754 23,790,877 25,028,069 9,713,505 60,584,453 55,855,399 3,855 46,450 691,406 982,163 67,562 18,262 $61,414,264 $57,202,322 $ 301,684 $ 272,789 101,077 532,329 402,761 805,118 7,251,121 6,995,376 36,508,059 33,595,335 43,343,232 39,571,834 87,102,412 80,162,545 (26,090,909) (23,765,341) 61,011,503 56,397,204 $61,414,264 $57,202,322 CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM STATEMENTS OF REVENUES, EXPENSES AND CHANGES IN FUND BALANCE _ _ _Year ended December_31,_ 1985 1984 Operating revenues: Contributions by employees $ 595,531 $ 537,616 Contributions by City 3,700,000 3,398,974 Income from investments 4,247,991 2,285.952 Total operating revenues 8,543,522 6,222,542 Operating expenses: Investment services 332,921 87,883 Payment to pensioners & beneficiaries 3,515,696 3,152,137 Contributions refunded to former employees 80,606 14,023 Total operating expenses 3,929,223 3,254,043 Net income 4,614,299 2,968,499 Fund balance, at beginning of year 56,397,204 53,428,705 Fund balance, at end of year $61,011,503 $56,397,204 M -7- .. CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM STATEMENTS OF CHANGES IN FINANCIAL POSITION Sources of working capital: Operations - net income Changes in working capital components: Increase (decrease) in current assets: Cash on deposit Investments Accounts receivable Accrued interest receivable Dividends receivable Decrease (increase) in current liabilities: Warrants payable Accounts payable Increase in working capital Year ended December 31, _ ---1985------ 19 4 $4,614,299 $ (233,060) 4,729,054 (42,595) (290,757) 49,300 (28,895) 431,252 $4,614,299 $2,968,499 $ 299,966 3,567,315 (79,880) (35,578) (12,509) (252,192) (518,623) $2,968,499 Balance, January 1, 1985 Additions: Contributions by employees Contributions by City Income from investments Total balance & additions Transfers on retirement i Actuarial adjustment in i° unfunded accrued liability Total revised balances Deductions: Investment services Payment to pensioners & beneficiaries Contributions refunded to former employees Total deductions Balance, December 31, 1985 CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM CHANGES IN FUND BALANCE RESERVE Fund Balance Fund Balance Fund Balance 1985 Total 1984 Total Reserved for Reserved for Reserved for Reserved Reserved Employee Employer Benefit Fund Fund Contributions Contributions Payments Balance Balance $6,995,376 $33,595,335 $39,571,834 $80,162,545 $75,981,169 595,531 595,531 537,616 3,700,000 3,700,000 3,398,974 197,395 1,246,705 2,803,891 4,247,991 2,285,952 7,788,302 38,542,040 42,375,725 88,706,067 82,203,711 (456,575) (4,026,628) 4,483,203 2,325,568 2,325,568 1,212,877 7,331,727 36,840,980 46,858,928 91,031,635 83,416,588 332,921 332,921 87,883 3,515,696 3,515,696 3,152,137 80,606 80,606 14,023 80,606 332,921 3,515,696 3,929,223 3,254,043 $7,251,121 $36,508,059 $43,343,232 $87,102,412 $80,162,545 TAUST DEMAND NOTES NBD 5H0PT TFkh INVEETM[NT FUND U.S. (X]VEANHENT OBLIGATIONS CEPTlFICATES OF ACCRUAL ON TREAS 5FC 5ER CEATIFICA|E5 OF ACCRUAL ON TREA6 SEC SEW COUPON TREASURY RECEIPTS COUPON TREASURY RECEIPTS COUPON TAEASUQY RECEIPTS FEDERAL FARM CREDIT BANKS FEDERAL FARM CAEOIT BANKS FEDERAL FARM CREDIT BANKS / FEDERAL FARM CREDIT BANKS T FEDEPAL HOME LOAo BANKS FEDERAL HOME LOAN BANKS FED�A�L HOME LOAN MOATCACE CORP FEDERAL HOdE LOAN MORTGAGE CORP FEDERAL HOME LOAN MORTGAGE CORP FEDERAL HOME LOAN MTC cOQP FEDEkAL NATL MTC ASSh PASS THPU GOVERNMENT NATL MTC ASEN PASS THQU COVERNM[NT NATL MTC A55N PASS THkU GUV[ANMEUl NATL hTO A55N PASS lHAU GOVEAHMENr NATL MTG 6SSH PASS THPU GOVERNMENT NAIL HTG ASSN PASS THOU GOVERNMENT UATL MTC ASSA PASS THNU COVEKUMEUT NATL HTC HS5N PASS TiiXU SDmNHoT NAIL MTC oSSN PASS O1UU GUvExNMEUT NATL O[C AESN PASS THNU INTERNATIONAL BANK FOR RECON & D[VEL TG�NE56E� YALL�Y ^UTHOPITY [RLASURY INvESTM[HT CNUWTH RECEIPTS SEk. USA TDEA6URY DONU POLICE AND FIRE UETIUEUE/11 %CUQlTIES DLCEHO[k at, 1985 " NDMNAL PN� UNkFCUVFAITD MAAKET UoTUkITY --------- TE --------- VoLU[ ---'-------- COST ----'------- VALUE ------------ 12/31/115 7 8T4% $2.584'336 $2,504,336 $2.584,336 K 11/15/86 0.000% 1,000.000 919,257 935,33O F 11/15/06 0.000% 1,000,000 929'058 935,23O 02/15/91 0.0001 1,200,000 703,001 758,652 05/15/87 0.000X 610,750 537,707 554.753 02/15/87 0.000X 1,900,000 1,764,88O 1,812,749 09/04/90 12.500X 600.000 621e,924 670,500 12/02/91 13.650% 4OO.000 395,721 475.000 09/01/94 13.000% 500'000 544,O42 598,125 07/22/91 14.700X 1,000.000 983,050 1,225,00O 03/26/90 11.900% 900,000 937,467 992,250 02/27/89 10.800% 900.000 899,aO2 956.sO8 01/01/10 10.500% 355.229 330,141 A60,113 08/01/03 8.750% 599,860 555,807 566,867 07/01/09 4.250Y 633,101 504,970 557.199 09/01/15 11.000% w'7nO 929,922 929.922 09/01/15 11.000% 954.223 923,807 979,271 03/15/95 1O.2sO% 326,196 305.003 833.944 07/15/13 11.500% 7:3,014 784,577 836,200 02/15/98 11.750% 417.625 430'606 444,771 01/l5/10 11.000% 735.550 750.269 769,577 05/15/15 12.000X 1.02O,917 1'057,935 1,093'658 OL/15/98 11.750X lo8.R15 q21,600 435,388 03/15/95 10.E50X _ 309,130 289'053 216.480 02/15/98 11.750% 172,762 178,170 183.992 o1/15/95 10.250% 3O9gs3 209,160 816,598 1O/15/02 12.375% 600.000 625,570 692,742 07/03/86 4 62b% 150'000 149.994 147.750 1 11/15/91 0.000t 801,500 479,049 475,161 02/15/03 10.750% 2OO,m 185.086 220.874 POLICE AND |`[Q[ PETJ|8FUFAT 5['CVRTTI[s mTBinFk J{, 19S5 AOHINAL PAR UNPECUVERED MARKET MATURITY RATE VALUE COST . VALUE USA 7AEASURY NOTES --------- O8/15/94 --------- 12.629% ------------ $6oO.000 ------------ *668,25O ------------ $724,872 USA TREASURY NOTES SEA. A 02/15/95 11.250% 1,500,000 1.595,436 1.699,680 USA TREASURY NOTES SEA. E 05/15/87 14.000% nOO,000 300,000 324,186 USA TREASURY NOTES (BOL REPO) 12/31/85 8.270t 143,600 143,600 143.600 TOTAL U.S. COYEANML-,:Nl O8LICATlUNS ------------ $22,391,401 ------------ $21,145,294 ------------ $22'467'222 BONDS ALASKA HOUSING FINANCE CORP 06/01/93 10.750X 500.000 5Ol,067 512.530 AMEAICAN EXPRESS CREDIT COkP 07/01/90 10.100t 300,000 300.000 309,68T ASSOCIATES CORP OF NORTH AMERICA 02/01/09 11.850% 500.000 593,750 533'96O ASSOCIATES CORP OF NORTH AHEAICA 08/01/87 13.375% 800.000 83O,315 O53,848 BALTIMUAE & OUIO RAILROAD CO 10/O1/89 8.500X 100'000 101,301 99'796 BANK OF BOSTON CORP 08/15/87 10.650% 300'000 300.000 3O8.763 / CAMPDELL SOUP CO 06/15/90 9075% 100.000 100,000 103'003 ,~CHESAPEAKE & OHIO RAILWAY CO 03/01/86 11.750% 200.000 200,121 201,154 COMMERCIAL FED SVC5 & LH ASSU DMAHA 12/15/89 11.200X 800'000 809^713 818'712 UUKE POWER CO 05/01/86 3.625% 115.000 115,03O 1i3,454 FLORIDA PUHIZ.R K LIGHT CO 03/01/12 16.500% 600.000 . 728.328 717,156 FORD MOTOR CREDIT CO 08/15/90 8.875% 200'000 199.459 193,876 FORD MOTOR CREDIT CD 07/07/87 0.000% 5Oo.OVo 499.8O5 496,875 GENEkAL HOTORS ACCEPTANCE CORP 04/15/89 10000% 500,000 511.088 520,965 GENERAL TELEPHONL & ELECTRONICS CnkP 12/01/91 15.500% 600'000 689'776 702.282 GEOpCIA POWER CO 06!01/87 5.250% 75'000 75,286 71,835 CEUQCIA POWER CO 11/01/90 4 875% 50.000 40.543 41.525 �IBXALTAR SAVINGS & LOf,-jN A5SN 08/01/09 9.500% 100,000 100.000 99,941 HOOKER CHEMICAL CORP 01/15/91 4,0751 2OO'0OO 1n4'16O 150'060 HOUSTON LIGHTING & POWER CU L1/01/87 4.750% 100.0O0 100,114 93,8O2 HUT[DN'E.F. CAEbITS 09/15/09 12.9007 4OO,000 4oO`0oO 380J20 LLU[bVILLE & HASHVlLLE AAILAUAD Q) 0f/Oz/94 10.5001 300,000 298,428 322,705 UIO|ICAN 8ELL Y[LEPHONE GO 1z/?1/9Z 4.7b0% 317.000 |42'l?5 114,306 HISSObRI PACIFIC RAILROAD CO 09/15/93 15.500% 45O'000 536'657 602,206 p/| .%no PrrrPn`ExT srm/0rrps nr/rau-n nI, 1985 A0MlN�� P:':k U�.�ELUVEU[D MARKET 0ATIU}lTY kA7F »A!i/r Cn5T VALUE HOATGOhEAY WARD [H[DI7 CDPP --------- |1/15/nO --------- 9.25O� ------------ t1O0,OOO ------------ $1OO'454 ------------ $95,45T NEW LNCLAHy POWER CU 1o/01197 6.87% 100.000 99,318 77'203 NEU JER5EY POWER 8 LIGHT CO 07/01/90 4.875% 35'000 25,179 20,879 FAClFlC GAs & ELECTRIC C0 08/01/94 14.000% 700.000 784,34O 812,623 PACI[iC CAS & ELECTRIC CO 08/01/13 12 875X 600,000 633,171 662,634 PAClF[C LIGHTING S[kVICE a 5UuPLY CO 07/01/88 7.000% 25,000 25.060 23.763 PEAN5YLVANIA POWER CO 09/01/92 4.375X 75,000 73,205 52,303 PUC[l B0HD POWER & LIGHT CO 11/01/93 1.625% 2O.000 20,000 14,3S6 AUCHESTEA CAS & ELECTRIC CORP 09/15/94 4 625% 12O.00O 119.739 83,867 SMALL BUSINESS ADMINISTRATION 01/27/92 10.500% 06'210 176,31O 176,310 SOUTHERN BELL TELEPHONE & TELEGRAPH 12/01/99 4.625% 80'000 80'079 60.086 SP[kkY LEASE FINANCE CDnP 04/15/91 11.000% 506,131 522,422 532,344 rQAIL�P 7Ro1N CO E�UIP TRUST / O5/15/93 9 15O% � 2VO 000 . 20O 000 . 19O 190 ' ~~ ;NAILER TRAIN CO E0VlF TRUST _ 09/15/93 9.000% 200'OOO 200,000 188'304 ^, UNION TANK CAP CO 07/01/90 9.875% 37000 37450 36890 USLIFE CORP 10/15/90 12.500% 200'000 193,008 213,616 VALLEY FED SVC5 C LN ABN VAN NUYS ' 06/15/90 11.000% 25O.000 240.775 253,017 TOTAL 8ONDS ------------ $11'381,34� --'--------- $11,O26'754 ------------ *11.B5R`133 TOTAL S[CURITIES $36,357'078 $35,556,384 $36,909/691 POLICE & FIRE PETIRFMFNT COMMON STOCK DECF-.MRER .31, 1985 .PJMBER OF MA11KE.T !a TO CV SHARES COST VALUE ----------------------------------------------------------------------------------- ALLIED SIGNAL INC 13-900 $491,121 $607,750 ALZA COPP 12000 372,000 369,000 AMERICAN EXPRESS CO 12000 518,950 636,000 Allp INC 3J00 102,300 122,400 AMR COPP 7200 267,012 297,900 ASHLAND OIL INC 8300 303,913 310,213 BANK NEW ENGLAND CORCP 91.00 425,170 A06,850 BOEING CO 14000 666,393 731,500 C M I CORP 35000 363,125 280,000 CADBURY SCHWEPPES LTD, ' 13000 259,B95 299,000 CALMAT CO 15700 487,621 443,525 CIPHER DATA PRODUCTS INC 6900 114,483 119,8BB CNA FINANCIAL COPP 8500 476,496 54B,250 COLORADO NATIONAL BANKSHARES INC 26300 493,125 585,175 COME PICA INC ' 12000 464 , 700 541,500 CONTINENTAL CORP 13300 504,338 625,100 COOPERVISION INC 21000 547,188 572,250 CRAY RESEARCH INC A900 234,697 320,950 CULLINET SOFTWARE INC 30000 426,652 570,000 DAISY SYSTEMS C014P 5400 127,741 159,300 DIGITAL EQUIPMENT COPP 6700 759,544 B87,750 DONNELLEY R.R.& SONS CO 4300 198,002 273,58i3 DOW CHEMICAL CO 12000 441,045 492,000 DUN AND BRADSTREET CORP 6000 452,796 502,500 FIRST INTERSTATE BANCORP J 9000 A71,169 475,875 GANNETT COMPANY INC 10000 546,100 612,500 GOODYEAR TIRE & RUBBER CO 18000• 487,479 562,800 GTE_ CORP 12000 486,750 552,000 HELMERICH & PAYNE INC 11900 236,105 240,975 HOME GROUP INC 151300 394,665 387,100 INSILCO CORP 13000 274,040 264,375 INTEL COPP 9500 243,613 277,375 INTERCO INC 7000 426,515 s 496,125 o � . u a POLICE & 1=IRE RETIREMENT COMMON STOCK DECEMBER 31, 1985 STOCK --------------------------------- INTERNATIONAL BUSINESS MACHINES I/1-A INSTRUMENTS LOUISIANA PACI1=IC CORP LSI LOGIC CORP MARRIOTT COPP MAXICARE HEALTH PLANS INC MCDONALDS 1~ORP MENTOR GRAPHICS COPP MERCK & COMPANY INC MERRILL LYNCH & COMPANY INC MONSANTO CO MOTOROLA INC NETWORK SYSTEMS COPP NEW YORK TIMES CO OCEAN DRILLING & EXPLORATION PHH GROUP INC PHIERO SALOMON COPP PIC N SAVE CORP POLICY MANAGEMENT SYSTEM CORP RAYCHEM CORP ROYAL DUTCH PETROLEUM CO SANDERS ASSOCIATES INC SHELBY WILLIAMS INDUSTRIES INC SQUIBB CORP TIME INC UNITED STATES HEALTH CARE SYS INC WAL-MART STORES INC WASTE MANAGEMENT INC WEST POINTE-PEPPERELL INC XEROX CORP TOTALS NUMBER OF MARKET SHARES COST VALUE •------------------------------------------ 8500 $1,052,546 $1,321,750 18900 377,617 434,,700 6300 141,919 140,175 14500 257,553 326,250 2400 100,540 261,600 2,1150 439,565 507,150 8000 507,446 647,000 7900 134,434 154,050 1000 132,432 137,000 10500 361,5111 360,938 8000 388,720 382,000 12700 461,402 493,713 6000 143,920 121,500 5700 203,034 279,300 10200 258,090 202,725 15000 389,400 575,625 7000 290,840 304,500 9000 236,204 276,750 18000 362,500 414,000 A900 369,182 480,200 10000 640,900 630,000 10000 367,495 343,750 14000 268,475 322,000 5100 410,015 408,000 10000 521,589 621,250 60750 916,102 1,237,781 19000 :523,829 605,625 17000 608,490 603,500 14000 547,631 607,250 10000 465,146 597,500 ------------ $25,028,069 ------------ $28,449,794 a a CITY OF LANSING POLICE & FIRE RETIREMENT SYSTEM INVESTMENT PORTFOLIO ANALYSIS DECEMBER 31, 1985 Par Value Percentage Repurchase Agreement $2,727,936 4.44% U.S. Treasury Notes 2,400,000 3.91 Bonds: Moody's "AAA" rated 2,236,131 3.64 Moody's "AA" rated 4,062,000 6.62 Moody's "A" rated 3,982,000 6.49 Moody's "BBB" rated 745,000 1.21 Not rated (U.S. Government & Agencies) 20,204,011 32.91 Total bonds 31,229,142 50.87 Common Stocks at cost 25,028,069 40.78 Total investments $61,385,147 100.00% CLASSIFICATION OF BONDS Cash equivalents Demand obligations $2,727,936 7.50%' Bonds: U.S. Treasuries 9,200,250 25.31 Agencies 5,256,210 14.46 Pass throughs 7,997,551 22.00 Municipals 500,000 1.37 Finance 5,106,131 14.04 Industrial 300,000 .83 Public Utility 3,432,000 9.44 Real Estate 350,000 .96 Transportation 1,487,000 4.09 Total $36,357,078 100.00% -15- CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM STATEMENT OF MEMBERSHIP DECEMBER 31, 1985 Membership - December 31, 1984 511 Add: New members during year 29 Total 540 Deduct: Members retired 18 Resigned and contributions refunded 11 29 Membership - December 31, 1985 511 Summary of Membership Number Annuity Savings Service Credit Months Active members 477 $6,895,493 79,874 Deferred 1 15,918 190 Duty Disability 26 321,720 6,166 Inactive 7 17,990 226 Totals 511 $7,251,121 86,456 -16- 't CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM RETIRANTS AND BENEFICIARIES ` DECEMBER 31, 1985 Annual Benefits Type of Benefits Being__ Paid: Number Being Paid Age and Service Benefits: Regular service - benefit terminating at death of retirant 16 $ 111,932 Regular service - potential 50% survivorship benefit to widow 178 2,563,376 Option I benefit - 100% joint and survivor 4 19,632 Option II benefit - 50% joint E and survivor 10 60,767 Beneficiaries 28 117,727 I� Total age and �.� service benefits 236 $2,873,434 Casualty Benefits: Duty disability 44 $ 623,988 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 6 31,424 Total casualty benefits 65 $ 733,441 Total benefits 301 $3,606,875 -17- CITY OF LANSING AND D FIRE RETIREMET SYSTEM MEMBERS RETIRED DURING 1985 Date of Age at Service Name Retirement Retirement Yrs. Mos. Rairigh, Victor J. 01-85 60 33 7 Lawson, Jerry J. 01-85 50 27 5 Hufnagel, Carl W. 01-85 52 27 1 Miner, Jack L. 01-85 54 30 0 Conklin, James L. 01-85 50 28 0 Adams, Roger E. 02-85 50 25 0 Castle, Wayne B. 02-85 52 30 0 Devlin, John J. 02-85 53 31 8 Savoie, Leo Duane 03-85 52 30 1 Palmer, Lowell A. 04-85 47 25 1 Dennany, John W. 04-85 53 29 7 Gadaleto, Bert M. 05-85 56 28 10 Moss, Robert E. 05-85 52 28 11 Floyd, Ronald K. 05-85 55 32 1 Larner, Doyle L. 07-85 53 30 6 Burgess, Richard S. 11-85 31 9 8 Dorn, Arthur 12-85 58 27 11 Whitehead, Dean 05-85 30 7 6 Annual Type of Retirement Ratiramont Ronofit Regular $ 26,196.60 Regular 18,375.72 Regular 20,254.20 Regular 21,214.32 Regular 19,734.72 Regular 18,241.20 Regular 18,330.24 Regular 25,059.12 Regular 21,859.80 Regular 20,038.92 Regular 22,329.12 Regular 19,389.96 Regular 22,304,76 Regular 23,754.48 Regular 23,135.64 Duty Dis. 19,310.64 Regular 20,237.40 Duty Death- None Totally offset Workers' Comp Total $359,766.84 -18- CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM BENEFICIARIES ADDED TO ROLL 1985 Annual Date Age at Type of Retirement Name Added Retirement Retirement Benefit Griffin, Irma 02-85 56 Widow Bene. $10,457.88 Orler, Violet 07-85 78 Widow Bene. 2,562.72 Total $13,020.60 -19- CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM TERMINATIONS 1985 Annual Date of Type of Retirement Name Termination Reason Retirement Benefit Baker, Garnett 01-85 Death Beneficiary $ 2,500.08 Griffin, James 02-85 Death Regular 20,915.76 Orler, Leon 07-85 Death Regular 5,125.44 Trescott, Robert 07-85 Death Regular/Termin. 5,000.04 Miller, Mary 09-85 Marriage Beneficiary 3,802.44 Knapp, Claudia 10-85 Death Beneficiary 2,500.08 Total $39,843.84 -20-