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Home My WebLink About1987 Employees Retirement System Annual ReportI CITY OP LANSING, MICHIGAN Docu ment: 1 Q .Q 7 n EMPLOYEES' RETIREMENT SYSTEM ANNUAL REPORT DECEMBER 31,1987 Forty -Seventh Annual Financial Report of the Employees' Retirement System City of Lansing, Michigan Year Ended December 31, 1987 IN City of Lansing Employees' Retirement System Annual Financial Report Year Ended December 31, 1987 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 1987 Beneficiaries Added to Roll 1987 Terminations 1987 Page 1 2-4 5 6 7 8 9 10-12 13-14 15 16 17 18 19 20 -1- Terry J. McKane, Mayor Board of Trustees Employees' Retirement System City of Lansing, Michigan Dear Trustee: FINANCE DEPARTMENT James W. Dowsett, Director of Finance 831 City Hall Lansing, Michigan 48933 (517) 483-4500 July 31, 1988 Presented herewith is the Forty -Seventh Annual Report of the Secretary covering operations of the Employees' Retirement System for the year ended December 31, 1987. BALANCE SHEET Fixed income securities totaled $25,321,000 on December 31, a decrease of $1,396,089 during the year. A Of the $25,321,000 fixed income securities, $3,720,000 are rated "AAA", $2,833,000 are rated "AA", $4,895,000 are rated "A", $1,225,000 are rated "BBB" and $12,648,000 are government and agency bonds. These securities mature from March 1, 1988 to July 15, 2009 and have interest rates ranging from 4.25% to 15.5%. We hold $13,809,868 of government and agencies bonds, and the balance in public utilities, industrial, transportation, finance, municipals and real estate bonds. The net unamortized premium and discount decreased by $239,778 during the year and accrued interest at December 31, 1987 increased by $5,318. In addition to the above fixed income securities, the Retirement System owned 594,500 shares of various common stocks at a cost of $21,493,910 and U.S. Treasury notes, repurchase agreements and trust demand notes totalling $10,104,473. The Reserve for Employee Contributions increased by $93,829 during the year under review. Active member' accounts of 862 totaled $3,242,079, 29 deferred retirement accounts totaled $162,027, 93 inactive accounts totaled $120,645, 6 duty disability accounts totaled $62,302 and 6 reciprocal unit accounts total $17,194. The above 998 members represent 122,611 service credit months. According to our Actuary, the Reserve for Employer Contributions increased $23,289,415 and the Reserve for Benefit payments increased $1,264,553 during the year, making a total increase of $24,553,968. Total reserved fund balance on December 31, 1987 was $75,041,947 with net assets of $55,367,025 leaving an unfunded accrued liability of $19,674,922, or a increase of $16,778,719 during the year. This increase results primarily from a -2- "Equal Opportunity Employer" Board approved change to a new valuation method. This recommendation by the actuary allocates a larger portion of total liabilities to accrued liabilities which are then amortized over a 30 year period. This resulted in a modest reduction in the City contribution rate, but does not negatively impact on the financial soundness of the financial system. REVENUES AND EXPENDITURES City contribution amounted to $2,819,504 during the year. Member contribu- tions totaled $134,531 and refunds of member contributions (those leaving' the system prior to retirement) totaled $23,199. For the year the cost of investment services totaled $294,985. The interest and dividends on investments was $3,260,129 and the net gain on the exchange -of securities was $3,924,324 for a total increase of 15% in the average book value of assets of $47,840,260. Market value of the assets was 6% below book value at December 31. During the year, $100,610 in interest was credited to the Reserve for Employee Contributions, $5,693,231 in interest and dividends was credited to the Reserve for Employer contributions and $1,39U,612 in interest was credited to the Reserve for Benefit payments. Net benefits paid totaled $1,951,226. There were 397 retirees on the roll at December 31. Age and service retirees totaled 335, 12 were duty disability, 2 duty disability beneficiaries, 12 non -duty disability, 5 non -duty disability beneficiaries, 30 non -duty death beneficiaries and 1 duty death beneficiary. Seventeen members retired during the year having an average age of 60 years and an average service credit of 20 years. Annual pension benefits of these retirees will total $156,107, increasing annual pension benefits payable by the System to $1,990,982. Nineteen retirees died during the year with total annual benefits of $89,968. Seven of the retirees that died during the year. had beneficiaries and they will receive a total yearly benefit of $23,532. GENERAL COMMENTS The actuarial evaluation at December 31, 1987 indicates that the rate of contributions should be 15.4% of total valuation payroll. There are budgeted funds included in the 1988-89 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. The Board of Trustees has selected 4 outside money managers; Harbor Capital Management Company, Inc. and Lazard Freres Asset Management Company to handle equity investments and 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. -3- t From December 31, 1984 through June 30, 1988 the Fund earned an annualized total rate of return of 12.6%. Total investment performance exceeded the Fund's objective of CPI plus 4% by 5.3 percentage points. The 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- m City of Lansing Employees' Retirement System Board of Trustees December 31, 1987 Ruby V. White, General Trustee, Chairperson 6-30-88 Rita Pontz, Appointed Citizen, Vice Chairperson 6-30-91 Terry J. McKane, Mayor Indefinite Karen M. Jackson, Director of Personnel Indefinite Antonio Benavides, City Council Indefinite Brian Kuchik, City Treasurer Indefinite Bennie W. Perdue, Parks & Recreation Trustee 6-30-90 Charles L. Leland, Public Service Trustee 6-30-89 Secretary..........................................James W. Dowsett Legal Advisor........................................Alvan P. Knot Actuary...............................Gabriel, Roeder, Smith & Co. Medical Director...............Lansing Occupational Medical Center Office: 8th Floor, City Hall, Lansing, MI 48933 Phone: (517) 483-4500 -5- City of Lansing Employees' Retirement System Balance Sheets December 31, Assets 1987 1986 Cash on deposit $ 49,245 $ 13,G43 Investments, at cost or amortized cost: Repurchase agreement 1,953,642 291,200 Trust demand notes 5,850,831 5,238,058 U.S. Government obligations and U.S. Government agencies, market value $10,866,855 and $17,484,797 10,998,564 16,598,221 Other marketable securities, market value $14,117,151 and $9,388,827 14,719,582 9,225,369 Common stocks, market value $19,043,450 and $17,376,851 21,493,910 15,901,297 Total investments 55,016,529 47,254,145 Accounts receivable 284 4,875 Accrued.interest receivable 480,964 475,646 Dividends receivable 64,592 41,491 Total assets $55,611,614 $47,789,200 Liabilities and Fund Balance Liabilities: Warrants payable $ 165,170 $ 169,214 Accounts payable 79,4.19 122,039 Total liabilities 244,589 291,253 Fund balance: Reserved for employee contributions' 3,604,247 3,510,418 Reserved for employer contributions 50,245,312 26,955,897 Reserved for benefit payments 21,192,388 19,927,835 Total reserved fund balance 75,041,947 50,394,150 Unreserved (deficit) (19,674,922) (2,896,203) Total fund balance 55,367,025 47,497,947 Total liabilities and fund balance $55,611,614 $47,789,200 City of Lansing Employees' Retirement System Statements of Revenues, Expenses and Changes in Fund Balance Operating revenues: Contributions by employees Contributions by City Total contributions Income from investments: Interest and dividends Gain (loss) on sale of investments Total investment income Total operating revenues Operating expenses: Investment services Payments to pensioners and beneficiaries Contributions refunded to former employees Total operating expenses Net income Fund balance, at beginning of year Fund balance, at end of year Year ended December 31, 1987 1986 $ 134,531 2,819,504 2,954,035 3,260,129 3,924,324 7,184,453 10,138,488 294,985 1,951,226 23.199 7,869,078 47,497,947 $55,367,025 $ 42,102 3,100,000 3,142,102 3,057,654 2,675,747 5,733,401 8,875,503 284,745 1,794,145 31.643 2.110.533 6,764,970 40,732,977 $47,497,947 -7- City of Lansing Employees' Retirement System Statements of Changes in Financial Position Source of funds: Operations - net income Changes in components: Increase (decrease) in assets: Cash on deposit Investments Accounts receivable Accrued interest receivable Dividends receivable Decrease (increase) in liabilities: Warrants payable Accounts payable Increase in funds: Year ended December 31, ioQ7 10Qr, $7,869,078 $6,764,970 $ 36,202 $ 7,855 7,762,384 6,784,285 (4,591) 4,750 5,318 49,019 23,101 (2,824) 4,044 (28,392) 42,620 (49,723) $7,869,078 $6,764,970 me I Balance, January 1, 1987 Additions: Contributions by employees Contributions by City Income from investments Total balance & additions Transfers on retirement Actuarial adjustment in unfunded accrued liability Total revised balances Deductions: Investment services Payment to pensioners & beneficiaries Contributions refunded to former employees Total deductions Balance, December 31, 1987 City of Lansing Employees' Retirement System Changes in Fund Balance Reserves Fund Balance Fund Balance Reserved for Reserved for Employee Employer Contributions Contributions $3,510,418 $26,955,897 134,531 2,819,504 100,610 5,693,231 3,745,559 35,468,632 (118,113) (1,707,054) 16,778,719 3,627,446 50,540,297 294,985 23,199 23,199 294,985 $3,604,247 $50,245,312 Fund Balance Reserved for Benefit Pavments $19,927,835 1,390,612 21,318,447 1,825,167 23,143,614 1,951,226 1,951,226 $21,192,388 1987 Total Reserved Fund Balance $50,394,150 134,531 2,819,504 7,184,453 60,532,638 16,778,719 77,311,357 294,985 1,951,226 23,199 2.269.410 $75,041,947 1986 Total Reserved Fund $45,382,627 42,102 3,100,000 5,733,401 54,258,130 (1,753,447) 52,504,683 284,745 1,794,145 31.643 2.110.533 $50,394,150 .SECURITY ---------------------------------- DEMAND NBD BANKS SHORT TERM INVESTMENT MANUFACTURERS (B.O.L. REPO) TOTAL DEMAND COMMERCIAL PAPER AMERICAN EXPRESS CO FORD MOTOR CREDIT CORP FORD MOTOR CREDIT CORP TOTAL COMMERCIAL PAPER U.S. GOVERNMENTS STRIPS USA TREASURY NOTES SERIES "P" USA TREASURY NOTES SERIES "Q" COUPON TREASURY RECEIPTS USA TREASURY NOTES SERIES "C" UNITED STATES TREASURY NOTES STRIPS TOTAL U.S. GOVERNMENTS AGENCIES FEDERAL NATIONAL MORTGAGE ASSN FEDERAL HOME LOAN BANK STUDENT LOAN MARKETING ASSOC FEDERAL NATIONAL MORTGAGE ASSN. FEDERAL NATIONAL MORTGAGE ASSN. INTERNATIONAL BK FOR RECON & DEVEL TOTAL AGENCIES CITY OF LANSING EMPLOYEES' RETIREMENT SYSTEM SECURITIES (EXCEPT COMMON STOCK) DECEMBER 31, 1987 NOMINAL PAR UNRECOVERED MATURITY RATE % VALUE COST -- -- - --- -- ----- -- - ---- -- -- -- --- -- -- - - -- - - - - - --•t- 12-31-87 7.337 $5,850,831 $5,850,831 12-31-87 5.922 1,953,642 1,953,642 7,804,473 7,804,473 01-04-88 01-11-88 01-13-BB 02-15-90 06-30-90 09-30-90 02-15-91 05-15-96 08-15-97 11-15-00 12-10-90 12-26-91 12-03-92 04-11-94 08-12-96 10-15-02 7.500 7.850 8.250 7.250 6.750 12.000 7.375 8.625 0.000 8.400 7.000 8.800 7.650 8.150 12.375 144,000 75,000 320,000 539,000 200,000 1,000,000 500,000 780,000 300,000 500,000 1,000,000 4,280,000 750,000 150,000 2,000,000 2,500,000 2,000,000 400,000 7,800,000 143,820 74,787 317,873 536,480 168,620 992,845 482,891 564,983 297,054 473,580 306,270 3,286,243 750,689 150,381 1,997,640 2,374,023 2,'024, 614 414,974 7,712,321 MARKET VALUE $5,850,831 1,953,642 7,804,473 143,820 74,787 317,873 536,480 169,780 985,000 484,375 600,655 273,093 490,310 307,580 3,310,793 751,643 142,030 1,998,740 2,336,725 1,853,740 473,184 7,556,062 CITY OF LANSING EMPLOYEES' RETIREMENT SYSTEM SECURITIES (EXCEPT COMMON STOCK) DECEMBER 31, 19B7 NOMINAL SECURITY MATURITY RATE ------------------------------------------------------------------ PASSTHROUGHS GNMA 03-15-04 8.000 GNMA 06-15-05 8.000 GNMA 06-15-05 8.000 GNMA 04-15-08 8.250 FHLM 07-01-09 4.250 GNMA 07-15-09 9.500 GNMA 09-15-09 9.500 TOTAL PASSTHROUGHS i MUNICIPALS ALASKA HOUSING FINANCE CORP 06-01-93 10.750 LOUISIANA HOUSING FINANCE AGENCY OB-01-96 8.610 MEMPHIS HLTH EDL & HSG FAC BRD 09-15-96 8.680 EL PASO HOUSING FINANCE CORP 10-15-96 8.880 ADAMS CO. COLO 11-01-96 9.000 TOTAL MUNICIPALS FINANCE CHRYSLER FINANCIAL CORP. 09-15-89 13.400 GENERAL MOTORS ACCEPTANCE CORP. 11-01-90 8.875 ASSOCIATES CORP. N.A. 05-01-92 8.250 HOUSEHOLD FINANCIAL CORP. 12-15-93 9.500 ASSOCIATES CORP. N.A. 08-15-94 12.750 GENERAL MOTORS ACCEPTANCE CORP. 03-01-96 8.875 AMERICAN EXPRESS CREDIT CORP. 12-01-96 7.875 FORD MOTOR CREDIT CO. 01-15-97 7.875 MARINE MIDLAND BANKS 03-01-97 8.625 FIRST FIDELITY BANCORPORATION 04-01-98 8.500 BARNETT BANKS FLORIDA INC. 03-01-99 8.500 FIRST FEDERAL SAV & LOAN ASSN. AZ 11-01-06 ZERO COUP TOTAL FINANCE PAR VALUE $191,360 276,062 165,764 272,016 195,585 324,407 304,673 1,729,867 163,000 500,000 500,000 500,000 500,000 2,163,000 350,000 500,000 200,000 700,000 400,000 500,000 500,000 700,000 500,000 500,000 250,000 1,000,000 6,100,000 UNRECOVERED COST ------------ $183,466 264,675 158,926 254,505 155,983 315,689 298,199 1,631,443 163,253 448,005 499,201 506,847 503,339 2,120,645 350,000 499,669 196,263 686,938 463,754 50B,675 497,325 696,850 499,084 463,629 253,953 204,103 5,320,243 MARKET VALUE $168,096 242,502 145,612 249,488 147,667 313,254 294,198 1,560,817 164,341 445,920 451,305 487,500 457,315 2,006,381 371,000 499,325 191,896 699,951 460,476 473,010 449,095 622,405 451,520 446,825 224,405 146,340 5,036,248 SECURITY -------------------------------------- INDUSTRIAL GENERAL ELECTRIC CO. UNISYS CORP. PHILLIP MORRIS COMPANIES INC. USG CORP. TOTAL INDUSTRIAL PUBLIC UTILITY ATLANTA GAS LIGHT CO. LONG ISLAND LIGHTING CO. SOUTHERN NEW ENGLAND TELEPHONE CO. CONSOLIDATED EDISON CO OF NY INC. NORTHERN ILLINOIS GAS CO. GENERAL TELEPHONE & ELECTRONICS CORP. DETROIT EDISON CO. TOTAL PUBLIC UTILITY TRANSPORTATION MISSOURI PACIFIC RAILROAD CO. LOUISVILLE & NASHVILLE RAILROAD CO. TOTAL TRANSPORTATION TOTAL SECURITIES CITY OF LANSING EMPLOYEES' RETIREMENT SYSTEM SECURITIES (EXCEPT COMMON STOCK) DECEMBER 31, 1987 NOMINAL PAR UNRECOVERED MARKET MATURITY ------------------------------------------------------------------ RATE %- VALUE COST VALUE 04-01-89 7.125 $1,000,000 $990,653 $989,520 09-02-92 9.850 800,000 800,000 792,320 12-15-95 9.700 500,000 531,860 500,125 12-15-96 8.000 500,000 498,200 403,780 2,800,000 2,820,713 2,685,745 03-01-88 4.375 145,000 144,471 144,218 05-01-88 4.125 175,000 174,568 171,500 03-01-91 4.125 100,000 99,887 87,385 06-01-91 4.750 100,000 96,624 88,325 08-01-91 6.000 70,000 70,214 64,509 12-01-91 15.500 400,000 439,621 423,216 06-15-93 9.875 700,000 700,000 689,598 1,690,000 1,725,385 1,668,751 09-15-93 15.500 320,000 365,473 410,061 09-01-94 10.500 200,000 199,200 212,668 520,000 ----------- 564,673 ----------- 622,729 ----------- $35,426,340 $33,522,619 $32,788,479 CITY OF LANSING EMPLOYEES' RETIREMENT SYSTEM COMMON STOCK DECEMBER 31, 1987 NUMBER OF STOCK SHARES ------------------------------------ ADAMS MILLIS CORP ALLTEL CORP AMERICAN EXPRESS CO AMERICAN INFORMATION TECHNOLOGIES CORP AMOCO CORP APPLE COMPUTER INC ARISTECH CHEMICAL CORP ATLANTIC RICHFIELD CO AVON PRODUCTS, INC BALTIMORE BANCORP BANK OF NEW YORK CO INC BANKERS TRUST NEW YORK CORP CERTAIN TEED CORP CONSOLIDATED FREIGHTWAYS INC CONSOLIDATED NATURAL GAS CO CONSOLIDATED RAIL CORP CROWN CORK & SEAL CO INC DIGITAL EQUIPMENT CORP DOMINION BANKSHARES CORP DONNELLEY R.R.& SONS CO EMHART CORP VA FOOTE CONE & BELDING COMMUNICATIONS INC FORD MOTOR CO GENCORP INC GENERAL SIGNAL CORP GTE CORP HARTFORD STEAM BOILER INSPECTION & INS CO HEALTH CARE PROPERTY INVESTORS INC HEWELETT-PACKARD CO HOSPITAL CORPORATION OF AMERICA HUMANA INC INFORMATION RESOURCES INC ITT CORP KOPPERS COMPANY INC LINCOLN TELECOMMUNICTIONS CO LUBRIZOL CORP MARION LABS INC MCDONALDS CORP MELVILLE CORP MERCANTILE BANKSHARES CORP MERCANTILE STORES INC MERCK & COMPANY INC MINE SAFETY APPLIANCES CO MINNESOTA MINING & MANUFACTURING CO 19,500 5,000 5,000 3,000 3,000 11,300 6,000 1,000 7,000 16,000 9,000 3,000 4,000 2,900 1,800 5,000 2,000 2,500 6,000 3,600 3,800 2,000 4,500 9,000 9,000 5,000 6,000 8,000 5,300 5,600 18,500 13,500 4,000 11,000 6,000 11,000 13,000 9,000 4,200 5,000 2,500 1,800 4,000 5,000 MARKET COST ------------------------- VALUE $323,126 $190,125 156,522 144,375 186,600 114,375 261,144 253,875 255,558 207,000 334,532 474,600 207,277 162,750 95,686 69,000 251,922 180,250 324,500 180,000 257,040 231,750 137,193 .95,250 159,994 100,000 99,186 79,750 68,648 65,700 179,768 138,125 250,669 211,000 410,071 337,500 124,551 106,500 105,891 117,450 92,212 79,800 114,562 86,000 341,726 339,188 325,237 200,250 367,270 423,000 199,587 176,875 194,250 138,000 199,000 220,000 298,639 308,725 260,128 174,300 444,427 356,125 272,000 135,000 253,372 178,000 472,370 346,500 152,636 159,000 434,352 361,625 334,656 318,500 408,543 396,000 327,388 222,600 205,000 166,250 114,100 92,500 257,348 285,300 162,000 102,000 279,775 321,875 -13- CITY OF LANSING EMPLOYEES' RETIREMENT SYSTEM COMMON STOCK DECEMBER 31, 1987 NUMBER OF MARKET STOCK SHARES COST VALUE MONSANTO CO 2,000 $190,016 $166,000 MORRISON KNUDSEN CORP 9,300 411,828 309,225 NATIONAL EDUCATION CORP 12,000 233,768 237,000 NATIONAL FUEL GAS CO 11,000 242,935 194,250 NATIONAL PRESTO INDUSTRIES INC 4,000 133,495 105,000 NATIONAL SERVICE INDS INC 8,000 204,613 170,000 NEWELL CO 4,000 140,883 112,500 NYNEX CORP 5,000 362,430 321,250 OSHKOSH TRUCK CORP .8,000 242,375 120,000 PENNEY J C CO 5,200 306,059 225,550 PFIZER INC 5,000 361,910 233,125 PHILIP MORRIS COMPANIES INC 2,800 301,046 239,050 POLICY MANAGEMENT SYSTEM CORP 10,000 262,000 192,500 PURITAN-BENNETT CORP 18,800 225,381 361,900 QUESTAR CORP 7,000 277,062 225,750 ROYAL DUTCH PETROLEUM CO 4,000 256,485 447,500 RYDER SYSTEM INC 14,000 332,336 371,000 SCOTT PAPER CO 3,000 249,378 211,500 SMITHKLINE BECKMAN CORP 5,000 292,627 242,500. SOUTHERN NEW ENGLAND TELECOMMUNICATIONS CORP 4,000 222,491 180,500 SQUIBB CORP 6,000 348,182 366,000 STARRETT L S CO 5,000 2233490 200,000 STUDENT LOAN MARKETING ASSOCIATION 6,300 497,701 444,150 TECHNITROL INC 6,000 125,203 120,000 TECUMSEH PRODUCTS CO 1,200 152,015 154,800 TENNECO INC 7,000 285,810 278,250 TEXTRON INC 5,000 164,379 113,125 THERMO ELECTRON CORP 20,000 267,001 272,500 UNION CAMP CORP 9,500 321,211 344,375 USX CORP 14,000 409,824 416,500 VULCAN MATERIALS CO 2,000 284,493 262,000 WALTHAM CORP 32,000 456,625 384,000 WASTE MANAGEMENT INC 12,600 225,316 474,075 WAUSAU PAPER MILLS CO 11,000 360,673 329,725 WESTINGHOUSE ELECTRIC CORP 3,000 185,550 149,250 WILLCOX & GIBBS INC 5,000 81,431 76,875 WITCO CORP 9,500 412,310 317,062 WOOLWORTH F W CO 7,000 326,170 241,500 XEROX CORP 7,000 416,952 ----------- 396,375 ----------- TOTAL $21,493,910 ----------- ----------- $19,043,450 ----------- ----------- -14- CITY OF LANSING EMPLOYEES' RETIREMENT SYSTEM INVESTMENT PORTFOLIO ANALYSIS DECEMBER 31, 1987 Repurchase Agreement U.S. Treasury Notes Bonds: Moody's "AAA" Moody's "AA" Moody's "A" Moody's "BBB" Not rated (U.S. Government & Agencies) Total bonds Common Stocks at cost Total investments Cash equivalents Demand obligations Bonds: Commercial Paper U.S. Treasuries Agencies Passthroughs Municipals Finance Industrial Public Utility Transportation Total CLASSIFICATION OF BONDS Par Value Percentage $7,804,473 13.70'% 2,300,000 4,00% 3,720,000 6.50% 2,833,000 5.00'% 4,895,000 8.60% 1,225,000 2.20% 12,648,867 22.20% 25,321,867 62.20% 21,493,910 37.80'% $56,920,250 ----------- ----------- 100.00'% ------- ------- $7,804,473 539,000 1.50% 4,280,000 12.10% 7,800,000 .22.00% 1,729,867 4.90% 2,163,000 6.10% 6,100,000 17.20% 2,800,000 7.90'% 1,690,000 4.80% 520,000 1.50% $35,426,340 100.00% ------------------- ------------------- -15- City of Lansing Employees' Retirement System Statement of Membership December 31, 1987 Membership - December 31, 1986 971 Add: New members during year 58 Total 1,029 Deduct: Members retired 17 Resigned and contributions refunded 14 31 Membership - December 31, 1987 998 Summary of Membership Number Annuity Savings Service Credit Months Active Members 862 $3,242,079 110,751 Deferred 29 162,027 4,244 Duty Disability 8 62,302 2,470 Reciprocal Unit 6 17,194 441 Inactive 93 120,645 4,705 Total 998 $3,604,247 122,611 1w:l City of Lansing Employees' Retirement System Retirants and Beneficiaries December 31, 1987 Annual Benefits Type of Benefits Being Paid Number Being Paid Age and Service Benefits: Regular service benefit -benefit terminating at death of retirant 102 $ 474,966 Option I benefit -cash refund annuity plus pension terminating at death 23 127,490 Option A benefit-100% joint and survivor 66 469,872 , Option B benefit-50% joint and survivor 91 552,037 Option A'& B beneficiaries 53 112,263 Total age and service benefits 335 $1,736,628 Casualty Benefits: Duty disability benefits 12 $ 56,485 Duty disability beneficiaries 2 5,257 Non -duty disability benefits 12 73,269 Non -duty disability beneficiaries 5 7,210 Non -duty death beneficiaries 30 110,703 Duty death beneficiaries 1 1,430 Total casualty benefits 62 254,354 Total benefits 397 $1,990,982 -17- Date of Name Retirement Hoover, Dale 01/87 Davis, Lloyd 01/87 Chase, Herbert 01/87 Guernsey, Virginia 03/87 Kenny, John 05/87 Hill, Duane 06/87 Devereaux,(Ted)Beverly 06/87 VanLent, Bernice 07/87 Hale, Arnold 08/87 Ramsey, James 08/87 Lemon, Merle 08/87 Harris, Kenneth 09/87 Dixon, James 09/87 Cutler, Ruth 09/87 Sperry, Lavern 11/87 Aldridge, Clarence 11/87 Becker, Philo 12/87 City of Lansing Employees' Retirement System Members Retired During 1987 Age at Service Type of Retirement Yrs. Mos. Retirement Annual Retirement Benefit 62 23 08 Regular A $11,311.20 62 24 04 Regular B 10,329.12 62 18 05 Regular A 7,911.72 64 14 01 Regular -Term 5,770.68 55 36 01 Regular A 16,953.96 68 12 04 Regular A 4,023.24 58 08 00 NonDuty Death A 2,928.96 64 09 03 Regular B 4,360.20 55 27 .03 Regular B 11,297.16 65 17 04 Regular B 11,175.96 55 12 05 Duty Dis A 3,768.12 61 08 04 Regular B 8,259.96 62 21 00 Regular A 7,540.20 64 22 01 Regular B 11,899.32 55 31 07 Regular A 17,015.52 59 22 10 Duty Dis A 6,546.72- 54 29 06 Non Duty Dis B 15,015.36 Total $156,107.40 -18- City of Lansing Employees' Retirement System Beneficiaries Added to Roll 1987 Date Age at Name Added 'Retirement Trowbridge, Ruth 01/87 54 Kipke, Mary Ann 01/87 77 Andrews, Leona 03/87 55 Donaldson, Mary 07/87 68 Baldwin, Marion 07/87 76 Forist, Trevandaun 08/87 86 Siebert, Eva M. 10/87 80 Annual Type of Retirement Retirement Benefit Widow A $ 8,643.96 Widow A 5,093.28 Widow B 1,623.24 Widow B 997.80 Widow B 2,028.12 Widow B 1,508.88 Widow A 3.636.96 Total $23,532.24 -19- 1 City of Lansing Employees' Retirement System Terminations 1987 i Date of Annual Termination Type of Retirement game Death Retirement Benefit `Smith, August 01-87 Regular -Term $ 1,551.72 Crowner, Samuel D. 01-87 Regular -Term 2,536.68 ✓ Trowbridge, Gordon 01-87 Regular -A 8,643.96 Stewart, Roy 01-87 Regular -I 5,576.52 Kipke, Herbert 01-87 Regular -A 5,093.28 Andrews, Alvin 03-87 Regular-B 3,246.48 Lepien, Chester 05-87 Regular -I 1,496.88 VanLent, Clarence 06-87 Regular -Term 1,161.36 Donaldson, Milton C. 07-87 Regular-B 1,995.60 Baldwin, Edward 07-87 Regular-B 4,056.24 Donley, Robert 08-87 Regular -Term 3,132.96 Forist, Alexander 08-87 Regular-B 3,017.64 Zirbes, Margaret 08-87 Regular -Term 1,547.28 Siebert, Reinold W. 10-87 Regular -A 3,636.96 Silverman, Charlotte 10-87 Widow -A 711.36 Fulton, Theo 11-87 Regular -Term 30,601.20 Prockhow, Rita M. 11-87 Regular-B 6,992.04 ` Waterman, Marjorie 11-87 Regular -Term 1,562.28 Gatton, Nellie 12-87 Widow -A 3,407.76 Total $89,968.20 -20-