1989 CAFR - Laserfiche WebLink

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CITY OF RkMSEY, MINNESOTA NOTES TO FINANCIAL STATEMENTS (Continued) December 31, 1989 Note 8. INTERFUND RECEIVABLES AND PAYABLES Interfund receivables and payables at December 31, 1989 are as follows: Funds General Capital Project - Tax Increment Department District II Improvement Interfund Interfund Receivables P~yables $3,300 $ - $3,300 $3,300 Note 9. DEFINED BENEFIT PENSION PLANS - STATEWIDE A. Plan Descri t ' All full-time and certain part-time employees of the City of Ramsey are covered by defined benefit pension plans administered by the Public Employees' Retirement Association of Minnesota (PERA). PERA administers ' the Public Employees' Retirement Fund (PERF) and the Public Employees' Police and Fire Fund (PEPFF) which are cost-sharing, multiple-employer retirement plans. PERF members belong to either the Coordinated Plan or the Basic Plan. Coordinated members are covered by Social Security and Basic ' members are not. All new members .must participate in the Coordinated Plan. All police officers, fire fighters, and peace officers who qualify for membership by Statute are covered by PEPFF. The payroll for employees ' covered by PERF and PEPFF for the year ended December 31, 1989, was $467,717 and $275,629 respectively; the City's total payroll was $870,458. ' PERA provides retirement benefits as well as disability benefits to members, and benefits to survivors upon the death of eligible members. Benefits are established by State Statute, and vest after three years of credited service. ' The defined retirement benefits are based on the member's average salary for any five successive years of allowable service, age and years of credit at termination of service. Two methods are used to compute benefits for ' Coordinated and Basic members. The retiring member receives the higher of step-rate benefit accrual formula (Method 1) or a level accrual formula (Method 2). Under Method 1, the annuity accrual rate for a Basic member is 2% of the average salary for each of the first ten years of service and 2.5% ' -29-