carbondale & rural fire protection district meeting of the ......1. 2019 preliminary budget...

Carbondale & Rural Fire Protection District Meeting of the Board of Directors

October 10, 2018 5:30 p.m.

Agenda

A. Call to order & roll call B. Consent Agenda

1. Approve Previous Minutes 2. Current Bills & Balances

C. Persons Present Not on the Agenda D. Staff Reports

1. Chief’s Report 2. Attorney’s Report 3. November 2018 Election Update 4. Other

E. Financial Report 1. 2019 Preliminary Budget Presentation 2. Set Public Hearing for Budget 3. Public Information Plan for budget 4. Other

F. Old Business

1. Other G. New Business

1. Commercial Insurance 2. Other

H. Adjourn

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CARBONDALE & RURAL FIRE PROTECTION DISTRICT MINUTES OF THE MEETING

BOARD OF DIRECTORS

CARBONDALE FIRE HEADQUARTERS AUGUST 27, 2018

The Board of Directors of the Carbondale & Rural Fire Protection District met for a special meeting on August 27, 2018 at the Carbondale Fire Headquarters/Training Building. President Gene Schilling called the meeting to order at 5:33 p.m. Directors present were Mike Kennedy, Michael Hassig, Tom Adgate and Gretchen Stock Bell. Also present were Rob Goodwin, Jenny Cutright, Allan Ingram, Frank Nadell, Eric Gross and Allan Ingram, Jake Spaulding, Garrett Kennedy and Brandon Deter. PERSONS PRESENT NOT ON THE AGENDA No members of the public, other than staff, are in attendance. 2018 NOVEMBER ELECTION DISCUSSION Rob Goodwin said that this meeting was to discuss resolution 2018-006. He noted that the proposed ballot questions have not changed since the last meeting. General discussion followed. MOTION: made to approve Resolution 2018-006, A Resolution Calling an Election on November 6, 2018 Authorizing Ballot Issues for a Mill Levy Increase and for the Issuance and Payment of General Obligation Bonds; Setting the Ballot Titles and Content for the Ballot Issues; and Providing Other Matters Relating Thereto. General discussion followed. It carried and passed unanimously.

Rob Goodwin said that he and Gene Schilling had an interview in the Sopris Sun last week, letting the public know the Board of Directors was considering these ballot questions and that there was a public meeting tonight about it. General discussion on ways to explain the needs to the public. Rob Goodwin said that there will be a lot of information about the district coming out. He added that there will be a citizens committee supporting the ballot questions. Eric Gross noted that any person can participate in a citizens committee under their own personal capacity and can personally donate to the committee, if they choose. He also said that if an employee or board member choose to encourage people to vote a certain way, it needs to be clear that it is their own personal view, not speaking as an employee or member of the Board of Directors.

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MOTION: made to adjourn the Board of Directors meeting at 5:41 p.m. It carried and passed unanimously. Respectfully submitted, ___________________________ Jenny Cutright, Recording Secretary ___________________________ Gene Schilling, President

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CARBONDALE & RURAL FIRE PROTECTION DISTRICT MINUTES OF THE MEETING

BOARD OF DIRECTORS

CARBONDALE FIRE HEADQUARTERS SEPTEMBER 12, 2018

The Board of Directors of the Carbondale & Rural Fire Protection District met for their regular meeting on September 12, 2018 at the Carbondale Fire Headquarters/Training Building. President Gene Schilling called the meeting to order at 5:31 p.m. Directors present were Michael Hassig and Gretchen Stock Bell. Also present were Rob Goodwin, Jenny Cutright, Bill Gavette, Eric Gross, Allan Ingram, Mike Wagner and Paul Herr. Vice-President Mike Kennedy and Director Tom Adgate were absent. CONSENT AGENDA The items on the consent agenda were:

Approve Current Bills and Balances MOTION: made to approve the consent agenda as noted. It carried and passed unanimously. PERSONS PRESENT NOT ON THE AGENDA There were no comments from the public. STAFF REPORTS Chief’s Report Rob Goodwin said that fire restrictions have been lifted throughout the District. He said that while there are no fire restrictions, we are still not issuing any burn permits.

Rob Goodwin said the District received a number of donations over the past several weeks. He said that the Roaring Fork Conservancy raised over $120,000 in donations from the Lake Christine Fire. He said that they shared it with local agencies. He said the District also received donations from the Near New and a $10,000 donation from an anonymous property owner. He said the total donations are roughly $33,000. He added that he would like to earmark those funds toward equipping responders, improving their response capability and public education/fire mitigation.

Rob Goodwin said the annual Christmas Dinner is December 8 at the Redstone Inn.

Rob Goodwin said that we applied for Colorado Department of Public Health 50% matching grant for a cardiac monitor. He said the District was awarded the grant and has ordered the cardiac monitor. He added the matching funds are budgeted.

Rob Goodwin said the battalion truck is striped. The lights are scheduled for installation the first week in October.

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Rob Goodwin said a number of new members joined during the recruitment drive. He said they are completing their EMR course tonight, and the Basic Firefighter course starts in October. He added he plans to do another recruitment drive next year.

Attorney’s Report Eric Gross had no report and there were no specific questions for him. 2018 NOVEMBER ELECTION Rob Goodwin distributed information sheets on the mill levy and bond questions. He said the fact fees explain what the District is asking for and why we need it. Rob Goodwin said that the District’s questions are 7B and 7C. He said that for a $600,000 home, the total cost of both questions is only $12.61 more per month. He added that the capital improvement plan is based on the Master Plan. Rob Goodwin said that he is working on how to get out information appropriately. He said the information will be shared on all of the District’s social media, web site and in print. Rob Goodwin added that a citizens committee has formed. He said that they are meeting later this week to plan their outreach. FINANCIAL REPORT Rob Goodwin said that the preliminary budgets will be distributed at the October meeting. He said they will be similar to what has been previously distributed. He said there will be two budgets presented – one that is status quo and one with the mill levy increase and bond amounts. He said that the budget is right on target, even considering the additional staffing, and other unexpected expenses in 2018. OLD BUSINESS Wages Gene Schilling said he would like to talk about wages in the future. He suggested looking at duties versus titles for compensation. He said that when the time comes, he would like an in-depth discussion. He noted this is a really important topic and he wants to make sure it is being done right. General discussion followed. Rob Goodwin said there will be requirements and job descriptions for all positions that tie to the wage. He added that functions and duties will be included in the review. He said he expects to have this in place by January 1. General discussion on wages and positions followed. Rob Goodwin noted he is proposing a wage adjustment, not a raise, to bring our staff in line with neighboring fire departments. He said this will allow Carbondale & Rural Fire Protection District to pay competitive wages and employees will be compensated correctly for the job they do.

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MOTION: made to adjourn the Board of Directors meeting at 6:12 p.m. It carried and passed unanimously. Respectfully submitted, ___________________________ Jenny Cutright, Recording Secretary ___________________________ Gene Schilling, President

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Board of Directors Training Program Report

October 2018

September Training:

September 1st, Emergency Medical Responder- Transport, Extrication by Leach September 4th ,Firefighter 1- Life Safety Initiatives by Herr September 5th ,Firefighter 1- Search and Rescue by Pidcock September 5th , Emergency Medical Responder- exam by Leach September 11th, Firefighter 1 -Skills September 12th , Emergency Medical Responder Practical exam September 13th, Firefighter 1 Skills September 15th , Firefighter 1 Skills at the Rifle training facility September 17th , EMS Trauma Triage by Handville September 22nd , Firefighter 1 practical exam September 24th , EMS Active Shooter training by Deter

September Highlights:

Carbondale Fire conducted an Emergency Medical responder course at the Redstone station. That course completed this month.

A Roaring Fork Valley Firefighter 1 course completed this month. The Careflight helicopter crew provided a helicopter in service and crew card

training for our staff and volunteers. Several Members are currently testing for their Colorado Driver Operator Pumper

certification.

Certification Management:

I assisted one member in the renewal of his Colorado EMT Intermediate certification.

I assisted members in the Emergency Medical Responder course in obtaining their National Registry certification.

All training records, EMS continuing education credits and Firefighter Job Performance requirement (JPRs) records are up to date through the end of the month.

Training Hour Totals:

19 individual trainings were conducted throughout the month of September. 41 members completed 272 man hours of training in May.

Respectfully submitted,

Deputy Chief/ Training Officer Frank Nadell

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2018 September Maintenance report

Station 82 painting of the apartment

Station 82 New carpet

Restripe bay lines

R81 new batteries

St82 new air line

A81 lamp replacement

Bat 8 replace door panel

Operations kitchen coffee maker drip pan

U85 new shocks

L81 Torque frame bolts with approved Torque Wrench from UL.

U82 New tires

U85 Replace armrest

Fire extinguisher inspection and replacement by Tri County. All stations and trucks

Replace air filters in H‐vac system admin building

Replace solvent in parts washer

Replace ranger battery at st83

Prep new bat8 for lighting install

Remove Axel and replace seals T81

L81 tank to pump sensor replaced

Generator coolant block heater replaced

Generator service

Sprinkler system repair in st81 apartment

L81 training for staff

Air pack module replacement

Kitchen repair to floor after wedding flood

E83 tire replacement

T82 Tire replacement

Kitchen chair repair

Station tourers for schools

Roof repairs Admin building

End of report

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Carbondale & Rural Fire Protection District www.carbondalefire.org

300 Meadowood Drive Carbondale, CO 81623 970-963-2491 Fax 970-963-0569

Board of Directors Report

Pablo Herr‐ Assistant Fire Marshal, Public Fire Educator September 2018

Prevention/outreach/education‐

Pitkin County Public Safety Expo

Senior Housing Lunch

Tri Annual Sardy Field Drill

Heritage Park Table Top Evacuation Drill

Fire Extinguisher Training Mt. Sopris Montessori

Public Fire Education Crystal River Elementary S.Masters (17 students)

Public Fire Education Crystal River Elementary J.Crawford (18 students)

Public Fire Education Crystal River Elementary K. Wakely (17 students)

Inspections‐

879 EUCLID‐MT. SOPRIS MONTESSORI

CALICOTTE RESIDENTIAL SPRINKLER FINAL RESPONSE

Support Daily EMS/Fire response, transport, patient care

Other

Lead King Loop

SWAG Shopping/Preparation for Open House

Attendance “The Changing Face of Wildfire”

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September 30, 2018

Interest RateGeneral Fund Alpine Checking 364,121.93 0.00% Alpine Money Market Fund 1,453,059.02 0.01%

TOTAL 1,817,180.95$

Capital Projects Fund #1 Alpine Checking 48,777.77 0.00% Alpine Money Market Fund 894,358.23 0.01% Alpine Impact Fee Fund 62,567.94 0.01% Alpine Loan Fund Money Market 374,702.01 0.01%

TOTAL 1,380,405.95$

Bond Fund CSafe 124,571.71$ 2.11%

Pension Fund FPPA $2,286,918.55

Ambulance Billing Report - September 2018

Cash Collected on Accounts 20,003.62$

New Accounts Billed 25,074.60$

Medicare Assignments (Write-Offs) 3,054.63$

Medicaid Write-Offs 5,662.49$

Other Write-Offs 1,747.52$

Amount Sent to Collections -$

Aging Report 0-30 Days 31-60 Days 61-90 Days >90 Days

$27,470.47 $19,085.81 $7,093.77 $52,034.44

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General FundPayroll $45,767.11 Payroll 9/7/18Internal Revenue Service $9,835.85 Federal Withholding 9/7/18Colorado Department of Revenue $2,556.00 State Withholding 9/7/18Fire & Police Pension Association $17,807.79 Pension/457/Death & Disability 9/7/18Payroll $43,201.09 Payroll 9/21/18Internal Revenue Service $7,997.77 Federal Withholding 9/21/18Colorado Department of Revenue $2,437.00 State Withholding 9/21/18Fire & Police Pension Association $18,512.84 Pension/457/Death & Disability 9/21/18Carpet One $2,819.71 carpet replacement - St 2 Apartment 9/21/18

Capital Projects Fundnone

Miscellaneous Income

General FundStericycle settlement $2,753.42Donation $500.00

Capital Projects Fund

Checks Issued Between Board Meetings

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Page: 110/5/18 Carbondale & Rural Fire Protection Dist9:27:20 AM

Check Date: 10/10/2018

AP Check Register (Current by Bank)

StatusDate AmountVendor ID Payee NameCheck No.

BANK ID: ALPINC - ALPINE BANK - CHECKING 1122

Ace Hardware37139 P10/10/18 $282.36 ACE

Alert All Corp37140 P10/10/18 $196.20 ALERTA

Alpine Tire Company, Inc.37141 P10/10/18 $1,328.52 ALPINE

Basalt Printing37142 P10/10/18 $919.60 BASPRI

Bearcom37143 P10/10/18 $4,124.20 BEARCO

Black Hills Energy37144 P10/10/18 $199.19 BLACKH

Brandon Deter37145 P10/10/18 $33.09 BDETER

Cedar Networks37146 P10/10/18 $350.00 CEDAR

Cenex Fleet Fueling37147 P10/10/18 $1,786.82 CENEX

CenturyLink37148 P10/10/18 $187.16 CENTUR

CenturyLink Business Services37149 P10/10/18 $72.45 CENTUB

Chief Supply Corp.37150 P10/10/18 $7,708.36 CHIEFS

Chris Hewitt-DeMeyer37151 P10/10/18 $100.00 CHEWIT

Colorado Division of Fire Prev37152 P10/10/18 $60.00 COFIRE

Colorado Mountain College37153 P10/10/18 $474.00 CMC

Comcast Cable37154 P10/10/18 $5.45 COMCAS

Comcast Internet37155 P10/10/18 $111.10 COMCAI

Credit Union of Colorado37156 P10/10/18 $5,981.17 CUOFCO

Emergency Services Marketing C37157 P10/10/18 $10.00 EMSERM

Fire Sprinkler Systems, Inc37158 P10/10/18 $401.45 FIRESP

FootSteps Marketing37159 P10/10/18 $975.00 FOOTST

Granite Telecommunications37160 P10/10/18 $831.17 GRANIT

Heuton Tire Company, Inc.37161 P10/10/18 $598.00 HEUTON

Holy Cross Energy37162 P10/10/18 $275.89 HOLY

John Deere Financial37163 P10/10/18 $695.18 JOHNDE

Kroger - King Soopers Customer37164 P10/10/18 $186.08 CITYMA

Life-Assist, Inc.37165 P10/10/18 $862.58 LIFEAS

Marble Water Company37166 P10/10/18 $65.00 MWATER

MetLife - Group Benefits37167 P10/10/18 $3,397.69 METLIF

Mountain Pest Control, Inc.37168 P10/10/18 $220.00 MOPEST

Mountain Waste & Recycling37169 P10/10/18 $459.47 MTNWAS

Napa Auto Parts, Inc.37170 P10/10/18 $1,332.12 NAPA

Pacific Sheet Metal, Inc.37171 P10/10/18 $836.00 PACIFS

Paul Luttrell37172 P10/10/18 $317.98 PAULLU

Pitkin County Assessor37173 P10/10/18 $50.00 PITASS

Power West Systems, Colorado37174 P10/10/18 $208.60 POWWES

Redstone Water & Sanitation Di37175 P10/10/18 $312.00 REDSAN

Roaring Fork Valley Co-Op37176 P10/10/18 $454.80 COOP

Shift Calendars, Inc.37177 P10/10/18 $12.40 SHIFTC

Specialty Incentives37178 P10/10/18 $1,041.22 SPECIN

Stericycle, Inc.37179 P10/10/18 $731.14 STERIC

The Key People Co, Inc.37180 P10/10/18 $395.00 KEYPEO

The Paint Store, Inc37181 P10/10/18 $215.87 PAINT

Trailhead Technologies, Inc.37182 P10/10/18 $959.54 TRAILH

U.S. Post Office37183 P10/10/18 $100.00 USPOST

Verizon Wireless37184 P10/10/18 $524.44 VERIZO

VIP Trash Removal37185 P10/10/18 $135.00 VIP

Western Slope Health Care Grou37186 P10/10/18 $33,386.16 WESTHE

Xcel Energy37187 P10/10/18 $1,374.12 XCEL

BANK ALPINC REGISTER TOTAL: $75,283.57

GRAND TOTAL : $75,283.57

* Check Status Types: "P" - Printed ; "M" - Manual ; "V" - Void ( Void Date ); "A" - Application; "E" - EFT

** Denotes broken check sequence.

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Page: 110/5/18 Capital Projects Fund #19:26:34 AM

Check Date: 10/10/2018

AP Check Register (Current by Bank)

StatusDate AmountVendor ID Payee NameCheck No.

BANK ID: ALPINE - ALPINE BANK - CHECKING 1140

Physio-Control, Inc.4757 P10/10/18 $33,491.75 PHYSIO

Trailhead Technologies Inc4758 P10/10/18 $5,305.63 TRAILH

BANK ALPINE REGISTER TOTAL: $38,797.38

GRAND TOTAL : $38,797.38

* Check Status Types: "P" - Printed ; "M" - Manual ; "V" - Void ( Void Date ); "A" - Application; "E" - EFT

** Denotes broken check sequence.

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Carbondale & Rural Fire Protection Dist

Income Statement

(Original Budget to Actual Comparison)

For the period of 10/1/2018 Through 10/31/2018

Year To DateCurrent Period

VarianceVariance % %Actual Actual BudgetBudget

Cost of Goods Sold

$0.00 $0.00 $0.00 0.0 % $(2,682,925.72) $(2,748,839.00) $(65,913.28) (2.4)%Property Tax

0.00 0.00 0.00 0.0 (158,012.87) (150,000.00) 8,012.87 5.3 Specific Ownership Tax

0.00 0.00 0.00 0.0 (4,591.40) (5,500.00) (908.60) (16.5)Interest/Penalties

0.00 0.00 0.00 0.0 (236.22) (1,000.00) (763.78) (76.4)Delinquent Tax

0.00 0.00 0.00 0.0 (1,912.00) (1,912.00) 0.00 0.0 Abated Tax

0.00 0.00 0.00 0.0 (155,272.17) (225,000.00) (69,727.83) (31.0)Ambulance Revenues

0.00 0.00 0.00 0.0 (38.80) 0.00 38.80 0.0 Interest Income

0.00 0.00 0.00 0.0 0.00 (100.00) (100.00) (100.0)Earnings on Investments

0.00 0.00 0.00 0.0 (14,000.00) (12,000.00) 2,000.00 16.7 Building Rentals

0.00 0.00 0.00 0.0 (31,995.24) 0.01 31,995.25 319952500.0 Contributions & Grants

0.00 0.00 0.00 0.0 0.00 (500.00) (500.00) (100.0)Training Income

0.00 0.00 0.00 0.0 (22,966.12) (10,000.00) 12,966.12 129.7 Wildfire Contracts

0.00 0.00 0.00 0.0 0.00 (7,000.00) (7,000.00) (100.0)Special Event Contracts

0.00 0.00 0.00 0.0 (5,383.92) (4,000.00) 1,383.92 34.6 Miscellaneous Income

(2.8)% 0.0 %Total Cost of Goods Sold $0.00 $(88,516.53)$(3,165,850.99)$(3,077,334.46)$0.00 $0.00

(2.8)%Gross Profit $0.00 $0.00 $0.00 $3,077,334.46 $3,165,850.99 $(88,516.53)

Operating Expenses

$59,415.41 $0.00 $(59,415.41) 0.0 % $1,200,362.90 $1,609,632.00 $409,269.10 25.4 %Wages

733.28 0.00 (733.28) 0.0 81,928.86 5,000.00 (76,928.86) (1538.6)Wildfire Wages, CRRF

3,926.75 0.00 (3,926.75) 0.0 61,203.50 65,000.00 3,796.50 5.8 Wages - Seasonal Staffing

0.00 0.00 0.00 0.0 5,801.31 5,000.00 (801.31) (16.0)Special Event Wages

34,180.12 0.00 (34,180.12) 0.0 348,892.35 431,348.00 82,455.65 19.1 Health Benefits

4,777.91 0.00 (4,777.91) 0.0 102,913.92 145,016.00 42,102.08 29.0 Pension Benefits

487.09 0.00 (487.09) 0.0 10,185.90 12,894.00 2,708.10 21.0 457 Contributions, District portion

0.00 0.00 0.00 0.0 45,795.00 56,528.00 10,733.00 19.0 Workers Comp

6,725.11 0.00 (6,725.11) 0.0 11,766.86 27,000.00 15,233.14 56.4 Volunteer Incentive

1,182.96 0.00 (1,182.96) 0.0 26,631.51 28,457.00 1,825.49 6.4 Medicare/FICA Tax

1,183.91 0.00 (1,183.91) 0.0 4,739.15 5,000.00 260.85 5.2 Unemployment Insurance

1,990.85 0.00 (1,990.85) 0.0 31,596.47 40,355.00 8,758.53 21.7 Death & Disability Policy - FPPA

0.00 0.00 0.00 0.0 0.00 8,000.00 8,000.00 100.0 Board Members Pay

0.00 0.00 0.00 0.0 46,308.00 55,476.00 9,168.00 16.5 Insurance

0.00 0.00 0.00 0.0 50,131.99 65,457.00 15,325.01 23.4 Treasurer Fees

0.00 0.00 0.00 0.0 14,537.43 2,056.00 (12,481.43) (607.1)Abated Tax

461.10 0.00 (461.10) 0.0 18,529.04 13,000.00 (5,529.04) (42.5)Administration Supplies/Expenses

0.00 0.00 0.00 0.0 13,250.00 13,250.00 0.00 0.0 Accounting

0.00 0.00 0.00 0.0 18,405.20 25,000.00 6,594.80 26.4 Legal Fees

0.00 0.00 0.00 0.0 4,799.00 6,673.00 1,874.00 28.1 Dues & Subscriptions

0.00 0.00 0.00 0.0 10,142.53 11,110.00 967.47 8.7 Administration Fuel

100.00 0.00 (100.00) 0.0 1,232.43 1,208.00 (24.43) (2.0)Freight & Postage

0.00 0.00 0.00 0.0 1,043.91 1,871.00 827.09 44.2 Computer Supplies

0.00 0.00 0.00 0.0 20.99 1,028.00 1,007.01 98.0 Fire/EMS Prevention

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Carbondale & Rural Fire Protection Dist

Income Statement

(Original Budget to Actual Comparison)

For the period of 10/1/2018 Through 10/31/2018

Year To DateCurrent Period

VarianceVariance % %Actual Actual BudgetBudget

0.00 0.00 0.00 0.0 1,447.47 2,056.00 608.53 29.6 Meetings

0.00 0.00 0.00 0.0 3,583.12 10,000.00 6,416.88 64.2 Volunteer Dinner Program

0.00 0.00 0.00 0.0 1,024.85 15,000.00 13,975.15 93.2 Election Expense

0.00 0.00 0.00 0.0 2,000.00 1,028.00 (972.00) (94.6)Emergency Management

0.00 0.00 0.00 0.0 0.00 2,056.00 2,056.00 100.0 Master Plan

1,041.22 0.00 (1,041.22) 0.0 18,846.58 18,508.00 (338.58) (1.8)Public Outreach

0.00 0.00 0.00 0.0 17,213.34 30,840.00 13,626.66 44.2 Firefighting Expenses/Supplies

0.00 0.00 0.00 0.0 3,168.44 3,619.00 450.56 12.4 Firefighting Fuel

0.00 0.00 0.00 0.0 87.71 1,028.00 940.29 91.5 Incident Resources

0.00 0.00 0.00 0.0 1,467.54 1,028.00 (439.54) (42.8)Incident Food

0.00 0.00 0.00 0.0 2,675.70 2,114.00 (561.70) (26.6)Wildfire Expenses, CRRF

0.00 0.00 0.00 0.0 1,437.67 0.00 (1,437.67) 0.0 WPPP Team Expenses

731.14 0.00 (731.14) 0.0 32,732.22 39,064.00 6,331.78 16.2 Medical Expenses/Supplies

0.00 0.00 0.00 0.0 535.00 1,028.00 493.00 48.0 Infection Control Program

0.00 0.00 0.00 0.0 4,049.01 4,024.00 (25.01) (0.6)Medical Fuel

0.00 0.00 0.00 0.0 3,500.00 3,500.00 0.00 0.0 Physician Advisor

0.00 0.00 0.00 0.0 10,628.93 13,306.00 2,677.07 20.1 Telephone Service

0.00 0.00 0.00 0.0 1,881.29 2,876.00 994.71 34.6 Cell Phones/Pagers

5.45 0.00 (5.45) 0.0 9,986.13 9,252.00 (734.13) (7.9)Communications Supplies/Expenses

0.00 0.00 0.00 0.0 6,506.39 10,000.00 3,493.61 34.9 Communications Center

0.00 0.00 0.00 0.0 10,993.44 20,000.00 9,006.56 45.0 Training - Firefighting

100.00 0.00 (100.00) 0.0 6,997.48 1,000.00 (5,997.48) (599.7)Training - Medical

474.00 0.00 (474.00) 0.0 3,806.86 10,000.00 6,193.14 61.9 Paramedic Program

0.00 0.00 0.00 0.0 1,989.00 3,000.00 1,011.00 33.7 EMT Tuitions

0.00 0.00 0.00 0.0 4,577.90 5,000.00 422.10 8.4 Training - Administration

0.00 0.00 0.00 0.0 744.12 3,000.00 2,255.88 75.2 Food - Training

0.00 0.00 0.00 0.0 9,097.13 20,000.00 10,902.87 54.5 Vehicle Repairs

0.00 0.00 0.00 0.0 22,923.38 23,588.00 664.62 2.8 Vehicle Supplies, Parts, Tires

0.00 0.00 0.00 0.0 9,528.10 15,420.00 5,891.90 38.2 Equipment Testing

0.00 0.00 0.00 0.0 116.80 2,056.00 1,939.20 94.3 Communications Equipment Repairs

0.00 0.00 0.00 0.0 14,523.60 25,322.00 10,798.40 42.6 Maintenance Contracts

0.00 0.00 0.00 0.0 9,569.35 14,430.00 4,860.65 33.7 Computer Repairs & Service

0.00 0.00 0.00 0.0 0.00 206.00 206.00 100.0 Portable Equipment Repairs

971.47 0.00 (971.47) 0.0 50,894.99 56,847.00 5,952.01 10.5 Building Utilities

395.00 0.00 (395.00) 0.0 18,704.97 22,666.00 3,961.03 17.5 Building Maintenance & Repairs

282.36 0.00 (282.36) 0.0 16,465.60 14,683.00 (1,782.60) (12.1)Building Supplies

0.00 0.00 0.00 0.0 1,127.26 0.00 (1,127.26) 0.0 Janitorial Supplies

0.00 0.00 0.00 0.0 148,515.57 0.00 (148,515.57) 0.0 Miscellaneous Expenses

0.00 0.00 0.00 0.0 100,000.00 100,000.00 0.00 0.0 Transfer to Capital Projects Fund

0.00 0.00 0.00 0.0 0.00 92,000.00 92,000.00 100.0 Emergency Reserves

17.7 % 0.0 %Total Operating Expenses $0.00 $571,338.81 $3,234,904.00 $2,663,565.19 $(119,165.13)$119,165.13

$(119,165.13)Net Income (Loss) $(119,165.13) 0.0 % $(69,053.01) $482,822.28 $413,769.27 699.2 %$0.00

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GENERAL FUND 2019page 1 of 39/30/2018

2017 2018 2019Audit Estimate Budget

RESERVE BALANCE JAN 1 1,305,826 1,490,772 1,483,254

REVENUES

TaxesProperty Tax 2,586,455 2,748,839 2,730,244Abated Tax 4,868 1,912 11,506Specific Ownership Tax 240,651 200,000 200,000Penalties & Interest 7,431 5,500 5,500Delinquent Tax 0 354 1,000 Total Taxes 2,839,405 2,956,605 2,948,250

Other RevenueAmbulance Service 193,532 172,902 225,000Building Rentals 14,000 15,500 12,000Earnings on Deposits 84 40 100Grants & Contributions 3,906 32,000 1,000Training Reimbursements 0 0 500Wildfire Contracts 97,712 163,906 10,000Special Event Contracts 8,148 13,080 13,000Miscellaneous 6,025 3,507 4,000Sale of Assets 0 0 0 Total Other Revenue 323,407 400,935 265,600

TOTAL REVENUE 3,162,812 3,357,540 3,213,850

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GENERAL FUND 2019page 2 of 3


EXPENDITURES PersonnelWages 1,606,683 1,561,297 1,639,374Wildfire Contract Wages 0 82,000 5,000Seasonal Staffing 0 65,000 65,000Special Event Wages 0 6,000 5,000Health Benefits 361,717 431,348 459,924Pension Benefits 134,447 145,016 137,989457 Contribution 12,194 15,975 15,865Work Comp 43,245 52,595 56,143Volunteer Incentive 8,262 14,343 10,000Volunteer Dinner Program 4,799 5,000 10,000Payroll Taxes 26,328 30,641 28,888Board Members Pay 3,525 8,000 8,000Disability 35,957 39,002 43,522Unemployment Insurance 4,189 5,000 5,048Uniforms 0 0 5,000LOSAP Program 0 0 10,000 Total Personnel 2,241,346 2,461,217 2,504,753

AdministrationInsurance 41,223 47,000 51,700Treasurer's Fees 59,487 65,457 67,290Abated Taxes 1,583 15,000 3,000Supplies & Expenses 13,677 20,925 20,000Accounting 10,950 13,250 15,000Ambulance Billing Service 0 7,500 18,000Legal 21,564 29,540 20,000Dues & Subscriptions 5,435 6,385 6,564Fuel 12,235 12,181 12,522Freight & Postage 1,313 1,510 1,350Computer Supplies 1,576 1,000 1,028Fire/EMS Prevention 806 1,000 0Meetings 994 1,824 4,000Election 7,860 15,969 1,000Emergency Management 0 2,000 2,100Master Plan 0 2,000 2,100Public Outreach/Education 19,518 30,000 27,000 Total Administrative 198,221 272,541 252,654

Fire FightingSupplies/Expenses 16,632 30,840 51,704Fuel 3,338 3,951 4,062Incident Resources 112 1,000 1,028Incident Food 1,000 1,028Wildfire Expenses 23,139 2,100 2,000 Total Fire Fighting 43,221 38,891 59,822

EMSSupplies/Expenses 38,149 41,494 42,656Infection Control 275 1,000 1,028Fuel 4,214 4,747 4,880Physician Advisor 3,500 3,500 3,500 Total EMS 46,138 50,741 52,064

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EXPENDITURES

CommunicationsTelephone Service 14,361 16,718 20,000Cell Phones 2,954 2,831 2,911Supplies/Expenses 3,950 7,204 7,406Communications Center 8,326 7,500 15,000 Total Communications 29,591 34,253 45,316

TrainingMedical 4,704 10,000 15,000Fire 17,750 15,000 15,000Administration 2,374 5,000 9,000EMT Tuitions 0 2,652 4,000Paramedic Program 4,278 10,000 12,000Food 2,371 2,000 3,000 Total Training 31,477 44,652 58,000

EquipmentVehicle Repairs, Outside 37,375 30,000 30,000Vehicle Supplies, Parts, Tires 24,642 26,135 26,866Equipment Testing 13,270 15,000 15,420Communications Equipment 375 2,000 2,056Maintenance Contracts 21,908 19,365 19,907Computers Repairs/Service 8,914 14,000 14,392Portable Equipment 189 200 206Office Equipment 0 0 10,000 Total Equipment 106,673 106,700 118,847

BuildingsUtilities 61,602 63,346 65,120Maintenance & Repairs 21,905 22,763 23,401Supplies 14,482 21,438 22,038 Total Buildings 97,989 107,547 110,559

MiscellaneousTABOR Emergency Reserves 0 0 96,000Other Miscellaneous 83,210 148,516 0 Total Miscellaneous 83,210 148,516 96,000

TOTAL EXPENDITURES 2,877,866 3,265,058 3,298,015

Transfer to CPF 100,000 100,000 70,000Sale of Assets 0

Reserve Balance 12/31 GF 1,490,772 1,483,254 1,329,090 Reserve Balance 12/31 CPF 615,100 428,951 296,113

Total Reserves 2,105,872 1,912,205 1,625,202

Restricted Funds 442,165 442,165 333,558Unrestricted Funds 1,663,707 1,470,040 1,291,644

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CAPITAL PROJECTS FUND 20199/30/2018


Reserve Balance Jan 1 633,917 615,100 428,951 REVENUES

Impact Fees 730 1,000 1,000Earnings on Deposits 142 137 200Grants 60,366 85,150 0Miscellaneous 6,650 0 0Debt Proceeds 0 240,000 0

TOTAL REVENUE 67,888 326,287 1,200

EXPENDITURES

Loan Payments, New Trucks 102,038 102,036 102,038Loan Payments, Ambulance 0 10,400 24,000Fire Equipment 19,436 20,000 10,000Station Improvements 0 10,000 5,000Communications Equipment 6,007 50,000 10,000Training Equipment 8,061 10,000 5,000Medical Equipment 2,000 36,000 18,000Office Equipment 0 10,000 5,000Station Equipment 20,663 10,000 5,000Vehicles 21,137 344,000 50,000Lease, Copier 7,363 10,000 0Misc 0 0 0

TOTAL EXPENDITURES 186,705 612,436 234,038

Sale of Assets 0 0 0Transfer from Gen Fund 100,000 100,000 100,000

Reserve Balance 12/31 615,100 428,951 296,113

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GENERAL FUND 2019page 1 of 39/30/2018


RESERVE BALANCE JAN 1 1,305,826 1,490,772 1,483,254

REVENUES

TaxesProperty Tax 2,586,455 2,748,839 3,758,030Abated Tax 4,868 1,912 2,361Specific Ownership Tax 240,651 200,000 200,000Penalties & Interest 7,431 5,500 5,500Delinquent Tax 0 354 1,000 Total Taxes 2,839,405 2,956,605 3,966,891

Other RevenueAmbulance Service 193,532 172,902 225,000Building Rentals 14,000 15,500 12,000Earnings on Deposits 84 40 100Grants & Contributions 3,906 32,000 1,000Training Reimbursements 0 0 500Wildfire Contracts 97,712 163,906 10,000Special Event Contracts 8,148 13,080 7,600Miscellaneous 6,025 3,507 4,000Sale of Assets 0 0 0 Total Other Revenue 323,407 400,935 260,200

TOTAL REVENUE 3,162,812 3,357,540 4,227,091



EXPENDITURES PersonnelWages 1,606,683 1,561,297 2,089,616Wildfire Contract Wages 0 82,000 5,000Seasonal Staffing 0 65,000 75,000Special Event Wages 0 6,000 5,000Health Benefits 361,717 431,348 529,808Pension Benefits 134,447 145,016 597,168457 Contribution 12,194 15,975 20,384Work Comp 43,245 52,595 58,776Volunteer Incentive 8,262 14,343 10,000Volunteer Dinner Program 4,799 5,000 10,000Payroll Taxes 26,328 30,641 36,153Board Members Pay 3,525 8,000 8,000Disability 35,957 39,002 52,369Unemployment Insurance 4,189 5,000 6,274Uniforms 0 0 5,000LOSAP Program 0 0 10,000 Total Personnel 2,241,346 2,461,217 3,518,549

AdministrationInsurance 41,223 47,000 51,700Treasurer's Fees 59,487 65,457 67,290Abated Taxes 1,583 15,000 3,000Supplies & Expenses 13,677 20,925 20,000Accounting 10,950 13,250 15,000Ambulance Billing Service 0 7,500 18,000Legal 21,564 29,540 20,000Dues & Subscriptions 5,435 6,385 6,564Fuel 12,235 12,181 12,522Freight & Postage 1,313 1,510 1,350Computer Supplies 1,576 1,000 1,028Fire/EMS Prevention 806 1,000 0Meetings 994 1,824 4,000Election 7,860 15,969 1,000Emergency Management 0 2,000 2,100Master Plan 0 2,000 2,100Public Outreach/Education 19,518 30,000 27,000 Total Administrative 198,221 272,541 252,654

Fire FightingSupplies/Expenses 16,632 30,840 65,000Fuel 3,338 3,951 4,062Incident Resources 112 1,000 2,500Incident Food 1,000 1,028Wildfire Expenses 23,139 2,100 2,000 Total Fire Fighting 43,221 38,891 74,590

EMSSupplies/Expenses 38,149 41,494 40,000Infection Control 275 1,000 2,500Fuel 4,214 4,747 4,880Physician Advisor 3,500 3,500 3,500 Total EMS 46,138 50,741 50,880



EXPENDITURES

CommunicationsTelephone Service 14,361 16,718 20,000Cell Phones 2,954 2,831 5,000Supplies/Expenses 3,950 7,204 7,406Communications Center 8,326 7,500 15,000 Total Communications 29,591 34,253 47,406

TrainingMedical 4,704 10,000 15,000Fire 17,750 15,000 15,000Administration 2,374 5,000 12,000EMT Tuitions 0 2,652 4,000Paramedic Program 4,278 10,000 12,000Food 2,371 2,000 3,000 Total Training 31,477 44,652 61,000

EquipmentVehicle Repairs, Outside 37,375 30,000 30,000Vehicle Supplies, Parts, Tires 24,642 26,135 30,000Equipment Testing 13,270 15,000 20,000Communications Equipment 375 2,000 3,000Maintenance Contracts 21,908 19,365 23,000Computers Repairs/Service 8,914 14,000 14,392Portable Equipment 189 200 206Office Equipment 0 0 10,000 Total Equipment 106,673 106,700 130,598

BuildingsUtilities 61,602 63,346 65,120Maintenance & Repairs 21,905 22,763 23,401Supplies 14,482 21,438 22,038 Total Buildings 97,989 107,547 110,559

MiscellaneousTABOR Emergency Reserves 0 0 96,000Other Miscellaneous 83,210 148,516 0 Total Miscellaneous 83,210 148,516 96,000

TOTAL EXPENDITURES 2,877,866 3,265,058 4,342,235

Transfer to Capital Replacement Fund 100,000 100,000 200,000Sale of Assets 0

Reserve Balance 12/31 GF 1,490,772 1,483,254 1,168,110 Reserve Balance 12/31 CPF 615,100 428,951 362,113

Total Reserves 2,105,872 1,912,205 1,530,222

Restricted Funds 442,165 442,165 333,558Unrestricted Funds 1,663,707 1,470,040 1,196,665

CAPITAL PROJECTS FUND 20199/30/2018


Reserve Balance Jan 1 633,917 615,100 428,951 REVENUES

Impact Fees 730 1,000 1,000Earnings on Deposits 142 137 200Grants 60,366 85,150 0Miscellaneous 6,650 0 0Debt Proceeds 0 240,000 0

TOTAL REVENUE 67,888 326,287 1,200

EXPENDITURES

Loan Payments, New Trucks 102,038 102,036 102,038Loan Payments, Ambulance 0 10,400 24,000Fire Equipment 19,436 20,000 25,000Station Improvements 0 10,000 5,000Communications Equipment 6,007 50,000 40,000Training Equipment 8,061 10,000 20,000Medical Equipment 2,000 36,000 37,000Office Equipment 0 10,000 10,000Station Equipment 20,663 10,000 5,000Vehicles 21,137 344,000 0Lease, Copier 7,363 10,000 0Misc 0 0 0

TOTAL EXPENDITURES 186,705 612,436 268,038

Sale of Assets 0 0 0Transfer from Gen Fund 100,000 100,000 200,000

Reserve Balance 12/31 615,100 428,951 362,113

CAPITAL PROJECTS 2 FUND9/30/2018


Reserve Balance Jan 1 0 0 0 REVENUESBond Proceeds 0 0 7460000Earnings on Deposits 0 0 150,000Grants 0 0 0Miscellaneous 0 0 0 TOTAL REVENUE 0 0 7,610,000

EXPENDITURESApparatus 0 0 1,790,000Building Projects 0 0 0Fire Equipment 0 0 300,000Training Projects 0 0 100,000Miscellaneous 0 0 0

TOTAL EXPENDITURES 0 0 2,190,000

Reserve Balance 12/31 0 0 5,420,000

Carbondale & Rural Fire Protection District Meeting of the Pension Board of Directors

October 10, 2018 5:30 p.m.

Agenda

A. Call to order & roll call

B. Approve Previous Minutes

C. Persons Present Not on the Agenda

D. Old Business 1. Other

E. New Business

1. 2018 State Matching Funds 2. 2018 Actuarial Study Discussion 3. Other

F. Adjourn

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CARBONDALE & RURAL FIRE PROTECTION DISTRICT MINUTES OF THE MEETING VOLUNTEER PENSION FUND BOARD OF DIRECTORS CARBONDALE FIRE STATION JULY 11, 2018 The Volunteer Pension Fund Board of Directors of the Carbondale & Rural Fire Protection District met on July 11, 2018 at the Carbondale Fire Headquarters/Training Building. President Karen Tafejian called the meeting to order at 5:31 p.m. Directors present were Gene Schilling, Mike Kennedy, Michael Hassig, Tom Adgate, Gretchen Stock Bell and Tony Petrocco. Also present were, Jenny Cutright, Rob Goodwin, Bill Gavette, Eric Gross, Frank Nadell and Allan Ingram. APPROVE PREVIOUS MINUTES The minutes of the previous meeting were reviewed. MOTION: to approve the April 11, 2018 meeting minutes as written. It carried and passed unanimously. PERSONS PRESENT NOT ON THE AGENDA There were no members of the public present. OLD BUSINESS Jeni Newcomb Pension Request Karen Tafejian said that Jeni Newcomb requested a 10-year pension benefit. She said that Jeni Newcomb has submitted training hours for her time in the CLETA academy. Jeni Newcomb requested the hours in the CLETA academy count toward her training requirement. Karen Tafejian said that the CLETA training is legitimate training that would be accepted. MOTION: made to approve Jeni Newcomb’s request for a 10-year pension benefit as of July 1, 2018. It carried and passed unanimously. Pension/LOASP Update Rob Goodwin said we are in the process of the actuarial study and still waiting for the final results. He said that he hopes the information will be used to help understand the budget options. He noted that this affects our ability to implement and fund a LOSAP program. General discussion regarding the actuarial study followed. No further action was taken. MOTION: made to adjourn the volunteer pension fund Board of Directors meeting at 5:39 p.m. It carried and passed unanimously.

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Respectfully submitted, ___________________________ Jenny Cutright, Recording Secretary ___________________________ Karen Tafejian, President

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CARBONDALE AND RURAL FIRE PROTECTION DISTRICT VOLUNTEER PENSION FUND

ACTUARIAL VALUATION REPORT AS OF JANUARY 1, 2018

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To: Administrative Heads and Finance Officers of Carbondale and Rural Fire Protection District; administered by FPPA

Date: July 2018

Subject: Actuarial Valuation Results as of January 1, 2018

This report contains the actuarial valuation results as of January 1, 2018 for your department as determined by Gabriel, Roeder, Smith & Company (GRS), actuary for the Fire and Police Pension Association (FPPA). Questions about this report should be directed to FPPA, rather than to Gabriel, Roeder, Smith & Company.

Benefit Provisions

This actuarial valuation reflects the provisions that were applicable to the Carbondale and Rural Fire Protection District Volunteer Pension Fund as of the valuation date. In addition, four alternatives are considered:

• Close the plan as of January 1, 2018. Only members with five or more years of service will remain in the plan.

• Close the plan as of January 1, 2018. Only members with five or more years of service will remain in the plan. Increase normal retirement benefit levels for remaining active and inactive members to $550.



GRS is currently performing an Experience Study for the Board of Directors review. Based on the recommendations of that Experience Study, the Board of Directors may adopt a revised set of assumptions for use in the actuarial valuation as of January 1, 2019. In addition to changes to longevity expectations, current economic conditions indicate that there may be need to lower the discount rate from the current 7.50% assumption. These changes will likely increase plan liabilities and calculated annual contributions for the plan. The plan sponsor may wish to evaluate plan liabilities under these new assumptions before proceeding with any benefit improvements.

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Carbondale and Rural Fire Protection District Volunteer Pension Fund July 2018 Page 2

The actuarial results for State Matching Funds are reported for both the current membership and if the plan were closed as of January 1, 2018 as shown in Table 3.

This actuarial valuation is based upon coverage data given in the required checklist, which was completed by the department, returned to FPPA, and supplied to GRS. Any changes in coverage adopted but not included in the required checklist are not reflected in the current results. Once the adopted coverage data is provided, subsequent valuation results will be reflective of the change in coverage.

Financing Objectives

This valuation was prepared to determine if the current annual level dollar contribution of $90,686 is adequate for funding the current benefits provided by the department. This valuation also determines the adequacy of current contributions under alternative benefit provisions and membership coverage. Contributions into the pension fund can come from two sources: contributions directly from the department and contributions from the State based on assessed property values and other formulas. The “Assumed Contribution” referred to throughout this report is the sum of the contributions from the aforementioned two sources. With the current assumed contribution amount, the UAAL will be eliminated in 3 years.

The calculated annual contribution shown in Table 3 is the sum of the normal cost, an amount available to amortize the Unfunded Actuarial Accrued Liability (UAAL), and any ongoing administrative and miscellaneous expenses that are paid out of the pension fund. The minimum contribution the department must pay is the calculated annual contribution, but not less than $0.

Actuarial Assumptions and Methods

This actuarial valuation uses the assumptions and methods that were adopted by the Board of Directors of FPPA based upon the actuary's analysis and recommendations resulting from the 2015 Experience Study and effective in the January 1, 2017 valuations. A summary of those assumptions and methods can be found in Table 7, and for a complete list of assumption changes as well as the rationale for the change, please see the experience study report dated June 1, 2015.

Liabilities were determined under the Entry Age Normal actuarial cost method. This is the same funding method that has been used in prior years.

The results of the actuarial valuation are dependent on the actuarial assumptions used. Actual results can and almost certainly will differ, as actual experience deviates from the assumptions. Even seemingly minor changes in the assumptions can materially change the liabilities, calculated annual contribution and funding periods. The actuarial calculations are intended to provide information for rational decision making.

This report does not include a detailed assessment of the risks of future experience not meeting the actuarial assumptions. Additional assessment of risks was outside the scope of this assignment.

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The calculated employer contribution consists of the sum of three pieces: the normal cost, the amortization of the Unfunded Actuarial Accrued Liability (UAAL), and any administrative and other ongoing expenses to be paid out of the pension fund (e.g. insurance contracts). The normal cost can be viewed as the regular, ongoing cost of the plan. The UAAL is the amount by which the actuarial value of assets falls short of, or exceeds, the actuarial accrued liability for this plan. Under the current statutes, the UAAL must be amortized under a level dollar method in no less than 20 years.

Assets

Asset calculations are shown in Tables 4 through 6. The actuarial value is an adjusted market value. It reflects only a portion of the excess (or shortfall) between recent investment returns and the corresponding expected returns based on the annual investment return assumption. The actuarial value recognizes 20% of the difference between the projected actuarial value and the market value at the valuation date.

This smoothed average approach dampens the year-to-year fluctuations in the calculated annual contribution.

Member Data

Member data as of January 1, 2018 was supplied by FPPA, as verified by the department. GRS did not subject the data to any auditing procedures but reviewed it and tested it for reasonableness and consistency. Table 2 shows summaries of the census data as of January 1, 2018 under both the current eligibility as well as closing the plan to members with less than five years of benefits.

Experience

During 2017, the plan experienced an asset gain on the smoothed value of assets. The primary reason for the improvement in plan funded status between 2017 and 2018 was a significant amount of non-vested termination of active members. In addition to the liability gains from the non-vested terminations, these members were not replaced with new hires which reduced the normal cost of the plan.

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GASB Accounting

The Governmental Accounting Standards Board (GASB) Statement No. 67, Financial Reporting for Pension Plans (Issued 6/2012), replaced the requirements under GASB Statement No. 25, Financial Reporting for Defined Benefit Pension Plans and Note Disclosures for Defined Contribution Plans (Issued 11/1994), effective for financial statements for fiscal years beginning after June 15, 2013. GASB Statement No. 68, Accounting and Financial Reporting for Pensions (Issued 6/2012), replaced GASB Statement No. 27, Accounting for Pensions by State and Local Governmental Employers (Issued 11/1994), effective for fiscal years beginning after June 15, 2014. GASB Statement No. 67 was implemented in FPPA’s Comprehensive Annual Financial Report beginning in fiscal year 2014. Employer reporting information for GASB Statement No. 68 is provided in a separate report.

Certification

We certify that the information included herein and contained in the 2018 Actuarial Valuation Report is accurate and fairly presents the actuarial position of the Carbondale and Rural Fire Protection District Volunteer Pension Fund as of January 1, 2018.

All calculations have been made in conformity with generally accepted actuarial principles and practices, and with the Actuarial Standards of Practice issued by the Actuarial Standards Board. In our opinion, the results presented comply with the requirements of the State of Colorado statutes and, where applicable, the Internal Revenue Code, ERISA, and the Statements of the Governmental Accounting Standards Board. The undersigned are independent actuaries. Both are members of the American Academy of Actuaries, and also Enrolled Actuaries. Both are experienced in performing valuations for public retirement systems.

Respectfully submitted, Gabriel Roeder Smith & Company Dana Woolfrey, FSA, EA, MAAA Consultant

Joseph P. Newton, FSA, EA, MAAA Senior Consultant

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Carbondale and Rural Fire Protection District Volunteer Pension Fund Actuarial Valuation as of January 1, 2018

1

Table 1 – Benefit Provisions for Study Current Study A Study B Study C State Maximum Per Plan Match Calc State Statute

1. Normal Retirement Benefit (monthly):

a. Regular $500.00 $550.00 $575.00 $600.00 $300.00 None

b. Extended Service Amount Per Year of Service $0.00 $0.00 $0.00 $0.00 $0.00 5% of Regular, for 10 Additional years

2. Vested Retirement Benefit (monthly):

a. With 10 to 20 Years of Service Amount Per Year of Service per Minimum Vesting Years $25.00 $27.50 $28.75 $30.00 $15.00 Pro rata Share of Regular

b. Minimum Vesting Years 10 10 10 10 10 Between 10-20 Years

3. Disability Retirement Benefit (monthly):

a. Short Term Disability for line of duty injury ½ of Regular or $225, Amount payable for not more than 1 year $250.00 $275.00 $287.50 $300.00 $150.00 whichever is greater b. Long Term Disability for line of duty injury Regular or $450 whichever Lifetime Benefit $500.00 $550.00 $575.00 $600.00 $300.00 is greater

4. Survivor Benefits (monthly):

a. Following Death before Retirement Eligible; Due to ½ of Regular or $225, death in the line of duty as a volunteer firefighter $250.00 $275.00 $287.50 $300.00 $150.00 whichever is greater

b. Following Death after Normal Retirement $250.00 $275.00 $287.50 $300.00 $150.00 50% of Regular

c. Following Death after Normal Retirement with Extended Service Amount Per Year of Service $0.00 $0.00 $0.00 $0.00 $0.00 50% of Extended

d. Following Death after Vested Retirement with 10 to 20 Years of Service Amount Per Year of Service per Minimum Vesting Years $12.50 $13.75 $14.37 $15.00 $7.50 50% of Vested

e. Following Death after Disability Retirement $250.00 $275.00 $287.50 $300.00 $150.00 50% of Long Term

f. Optional Survivor Benefits in lieu of 4a-e Following Death before or after Retirement Eligible due to death on or off duty as a volunteer firefighter $0.00 $0.00 $0.00 $0.00 $0.00 100% of Regular (Purchase of Life Insurance Required)

5. Funeral Benefits (Required Benefit):

a. Funeral Benefit Lump Sum, one time only $1,000.00 $1,000.00 $1,000.00 $1,000.00 $100.00 2 times Regular

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2

Table 2 – Membership Data

1. Active members a. Number 25 10 42 b. Average age 42.4 47.2 41.2 c. Average service 4.36 9.0 4.2

2. Service retirees a. Number 44 44 43 b. Total annual benefits $ 189,300 $ 189,300 $ 187,800 c. Average annual benefit $ 4,302 $ 4,302 $ 4,367 d. Average age 64.0 64.0 63.9

3. Disabled retirees a. Number 0 0 0 b. Total annual benefits $ 0 $ 0 $ 0 c. Average annual benefit $ 0 $ 0 $ 0 d. Average age

4. Beneficiaries and spouses a. Number 3 3 2 b. Total annual benefits $ 7,500 $ 7,500 $ 4,500 c. Average annual benefit $ 2,500 $ 2,500 $ 2,250 d. Average age 78.0 78.0 85.5

5. Terminated vested members a. Number 4 4 5 b. Average age 44.3 44.3 42.0

6. Terminated members active in another fund 0 0 0

7. Total number of members 76 61 92

January 1, 2018 January 1, 2018 January 1, 2017Open Plan Closed Plan*

*Plan closed effective January 1, 2018 to any members with less than five years of service.

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3

Table 3 – Valuation Results, Baseline and Alternatives

Current Current Study A Study B Study C State Match State MatchOpen Closed Closed Closed Closed Open Closed$500 $500 $550 $575 $600 $300 $300

$1,000 $1,000 $1,000 $1,000 $1,000 $100 $100

1. Present Value of Future Benefits 2,548,100$ 2,435,767$ 2,677,999$ 2,799,112$ 2,920,227$ 1,521,906$ 1,454,741$

2. Actuarial Accrued Liability 2,419,060$ 2,389,156$ 2,626,738$ 2,745,518$ 2,864,305$ 1,444,689$ 1,426,842$ 3. Actuarial Value of Assets 2,355,475 2,355,475 2,355,475 2,355,475 2,355,475 2,355,475 2,355,475 4. Unfunded Accrued Liability / (Surplus) [2. - 3.] 63,585$ 33,681$ 271,263$ 390,043$ 508,830$ (910,786)$ (928,633)$ 5. Funded Ratio [3./2.] 97% 99% 90% 86% 82% 163% 165%

6. Normal Cost 28,112$ 11,093$ 12,199$ 12,752$ 13,306$ 16,816$ 6,635$ 7. Amortization 3,965 (861) 24,001 36,430 48,861 (98,677) (101,560) 8. Expenses 36,130 36,130 36,130 36,130 36,130 36,130 36,130 9. Total Annual Calculated Contribution [6.+7.+8.] 68,207$ 46,362$ 72,330$ 85,312$ 98,297$ (45,731)$ (58,795)$

10. Assumed Contribution 90,686$ 90,686$ 90,686$ 90,686$ 90,686$ 90,686$ 90,686$ 11. Funding Period Based on Assumed Contribution 3 1 9 16 31 0 0

Benefit DesignOpen/Closed Plan

Funeral Death BenefitNormal Retirement Benefit

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4

Table 4 – Reconciliation of Plan Assets

12/31/2017 12/31/2016

2,183,203$ 2,171,397$

i. Employer contributions 63,229$ 55,031$ ii. State contributions 49,528 57,726 iii. Affiliation contributions 0 0 iv. Plan directed expenses (17,654) (17,654) v. Total 95,103$ 95,103$

i. Interest 5,987$ 5,777$ ii. Dividends 15,917 16,231 iii. Other income 18,908 8,569 iv. Net change accrued income 1,330 (108) v. Unrealized gain/(loss) 184,742 51,090 vi. Realized gain/(loss) 99,364 46,071 vii. Total 326,248$ 127,630$

421,351$ 222,733$

i. Benefit payments 190,200$ 190,225$ ii. Refunds 0 0 iii. Total 190,200$ 190,225$

i. Investment expense 21,117$ 17,127$ ii. Direct allocated plan expenses 1,189 277 iii. Allocated plan fees & exp. 17,287 3,298 iv. Total 39,593$ 20,702$

229,793$ 210,927$

191,558$ 11,806$

2,374,761$ 2,183,203$

4. Increase in net assets (2c. - 3c.)

5. Market value of assets at end of year (1. + 4.)

3. Expenditures for the year a. Plan Direct Outflows

b. Allocated expenses

c. Total expenditures

2. Revenue for the year a. Plan Direct Inflows

b. Allocated income

c. Total revenue

1. Market value of assets at beginning of year

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5

Table 5 – Development of Actuarial Value of Assets

Year Ending12/31/2017 12/31/2016

1. Actuarial value of assets at beginning of year 2,296,266$ 2,262,930$

2. Cash flow for the year a. Contributions 63,229$ 55,031$ b. State contributions 49,528 57,726 c. Affiliation contributions 0 0 d. Benefit payments & refunds (190,200) (190,225) e. Admin expenses & misc ongoing expenses (36,130) (21,229) f. Net cash flow (113,573)$ (98,697)$

3. Expected investment income on AVA 167,961$ 166,019$

4. Expected actuarial value of assets at end of year 2,350,654$ 2,330,252$

5. Actual market value of assets at end of year 2,374,761$ 2,183,203$

6. Excess (shortfall) investment income for year (Item 5 - Item 4) 24,107$ (147,049)$

7. Recognition of aggregate excess (shortfall) for year (Table 6, Item 6) 4,821$ (33,986)$

8. Final actuarial value of assets at end of year (Item 4 + Item 7) 2,355,475$ 2,296,266$

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6

Table 6 – Development of Amounts to be Recognized in the Actuarial Value of Assets

Year Ending12/31/2017 12/31/2016

1. Remaining deferrals of excess (shortfall) of investment income from prior yearsa. Current year - 4 0$ 0$ b. Current year - 3 0 0 c. Current year - 2 (68,650) 0 d. Current year - 1 (44,413) (91,533) e. Total (113,063)$ (91,533)$

2. Current year excess (shortfall) (Table 5, Item 6 - Table 6, Item 1) 137,170$ (55,516)$

3. Amounts to be immediately recognized by an offsetting experience a. Current year - 4 0$ 0$ b. Current year - 3 0 0 c. Current year - 2 68,650 0 d. Current year - 1 44,413 0 e. Current year (113,063) 0 f. Total 0$ 0$

4. Remaining prior year deferrals:a. Current year - 4 0$ 0$ b. Current year - 3 0 0 c. Current year - 2 0 0 d. Current year - 1 0 (91,533) e. Current year 24,107 (55,516) f. Total 24,107$ (147,049)$

5. Deferral of excess (shortfall) of investment income for:a. Current year - 4 (0% of Item 4.a.) 0$ 0$ b. Current year - 3 (50% of Item 4.b.) 0 0 c. Current year - 2 (67% of Item 4.c.) 0 0 d. Current year - 1 (75% of Item 4.d.) 0 (68,650) e. Current year (80% of Item 4.e.) 19,286 (44,413) f. Total 19,286$ (113,063)$

6. Total amount recognized in actuarial value of assets 4,821$ (33,986)$ (Item 3.f. + Item 4.f. - Item 5.f.)

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Table 7 – Summary of Actuarial Assumptions and Methods

The calculations set forth in this report are based on the following assumptions:

1. Investment Return Rate 7.5% per annum (net of investment expenses), compounded annually

2. Rates of Decrement due to:

a) Retirement Age 50 and 20 years of service.

Age Annual Rate Per 100 50 50 55 50 60 50 65 100

b) Disability Age Annual Rate Per 1,000 20 0.10 25 0.16 30 0.26 35 0.45 40 0.97 45 3.50 50 6.50 55 8.10

c) Pre-Retirement Mortality (generational mortality projected with Scale BB)

RP-2014 Mortality Table for Blue Collar Employees, 55% multiplier for off-duty mortality.

Annual Rate Per 1,000 (for 2018) Age Males Females 20 0.285 0.099 25 0.340 0.106 30 0.318 0.133 35 0.368 0.174 40 0.442 0.241 45 0.684 0.400 50 1.186 0.672 55 1.961 1.011

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d) Withdrawal (any reason other than retirement, death, or disability) Annual Rate Per 1,000 Withdrawals

Service Rates Service Rates 1 165.79 11 76.33 2 154.54 12 70.21 3 143.79 13 64.60 4 133.56 14 59.50 5 123.85 15 54.92 6 114.65 16 50.85 7 105.96 17 47.29 8 97.78 18 44.25 9 90.12 19 41.72

10 82.97

Twenty percent (20%) of members age 50 and eligible for a terminated vested benefit which would commence immediately are assumed to withdraw each year.

3. Post-Retirement Mortality (generational mortality projected with Scale BB) a) Healthy Retirees and Beneficiaries For ages less than 55, RP-2014 Mortality Tables for Blue

Collar Employees. For ages 65 and older, RP-2014 Mortality Tables for Healthy Annuitants. For ages 55 through 64, a blend of the previous tables. Projected generationally with Scale BB

Annual Rate Per 1,000 (for 2018)

Age Males Females 50 2.156 1.221 55 3.655 1.953 60 7.135 4.527 65 12.020 8.314 70 18.532 13.308 75 29.659 21.888 80 48.817 36.365

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b) Disabled Retirees RP-2014 Disabled Mortality Table projected generationally

with Scale BB, with a minimum 3% rate for males and 2% rate for females

Annual Rate Per 1,000 (for 2018)

Age Males Females 50 30.000 20.000 55 30.000 20.000 60 30.000 20.000 65 30.191 20.000 70 37.979 26.873 75 51.102 39.110 80 72.121 58.159

4. Administrative Expenses Standard assumption: An explicit administrative expense

equal to the average of the actual expenses for the two prior years. For purposes of this valuation, administrative expenses were set equal to the actual expenses during 2017 only. This reflects that the allocation of expenses was changed starting January 1, 2017. The 2017 expenses better reflect the expectation going forward. For the 2019 valuation, the standard assumption will be resumed.

5. Marital Status a) Percent married 90% male and female

b) Age difference Males are assumed to be two years older than females 6. Changes in Actuarial Assumptions &

Methods None other than the administrative expense change noted in bold above.

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7. Actuarial Cost Method

Under the entry age actuarial cost method, the Normal Cost is computed as the level dollar amount which, if paid from the earliest time each member would have been eligible to join the plan if it then existed (thus, entry age) until his retirement or termination, would accumulate with interest at the rate assumed in the valuation to a fund sufficient to pay all benefits under the plan. The normal cost for the plan is determined by summing the normal cost of all members.

The Actuarial Accrued Liability under this method at any point in time is the theoretical amount of the fund that should have been accumulated had annual contributions been made in prior years equaling to the normal cost. The Unfunded Actuarial Accrued Liability/(Surplus) is the excess of the actuarial accrued liability over the actuarial value of the plan assets as of the valuation date.

The contribution requirements determined by this valuation will not be effective until one year later, and the determination of the calculated annual contribution reflects this deferral by amortizing the expected Unfunded Actuarial Accrued Liability/(Surplus) one year after the valuation date. It is assumed that there will be no change in the normal cost due to the deferral, and it is assumed that payments are made in the middle of the year.

Under this method, experience gains and losses (i.e. decreases or increases in accrued liabilities), attributable to deviations in experience from the actuarial assumptions, adjust the unfunded actuarial accrued liability.

8. Asset Valuation Method

The asset valuation method is based on a comparison of expected and actual asset values. The actuarial value of assets is equal to the market value of assets less a five-year phase in of the Excess (Shortfall) between expected investment return and actual income determined as follows:

• At the beginning of each plan year, an expected actuarial asset value is calculated as the sum of the previous year's actuarial value increased with a year's interest at the Plan valuation rate plus net cash flow (excluding expenses) adjusted for interest (at the same rate) to the end of the previous plan year.

• The difference between the expected actuarial value and the actual market value is the investment gain or loss for the previous plan year.

• If the current year's difference is the opposite sign of any of the prior years' deferred Excesses/(Shortfalls), then the prior years' bases (starting with the oldest) are reduced dollar for dollar along with the current year's base. Any remaining bases are then recognized over five years (20% per year) from their initial creation.

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Table 8 – Definition of Terms

1. Actuarial Cost Method

A method for determining the actuarial present value of future benefits and allocating such value to time periods in the form of a normal cost and an actuarial accrued liability.

2. Present Value of Future Benefits

This is computed by projecting the total future benefit cash flow from the Plan, using actuarial assumptions, and then discounting the cash flow to the valuation date.

3. Normal Cost

Computed differently under different actuarial cost methods, the normal cost generally represents the value of the portion of the participant's anticipated retirement, termination, and/or death and disability benefits accrued during a year.

4. Actuarial Accrued Liability

Computed differently under different actuarial cost methods. Generally actuarial accrued liability represents the value of the portion of the participant's anticipated retirement, termination, and/or death and disability benefits accrued as of the valuation date.

5. Entry Age Actuarial Cost Method

A method under which a participant's actuarial present value of future benefits is allocated on a level basis over the earnings of the participant between his/her entry into the Plan and his/her assumed exit.

6. Unfunded Actuarial Accrued Liability

The difference between total actuarial present value of future benefits over the sum of the tangible assets of the Plan and the actuarial present value of the members' future normal costs. The Plan is underfunded if the difference is positive and overfunded if the difference is negative.

7. Actuarial Value of Assets

The value of cash, investments, and other property belonging to the Plan, as valued by the actuary for purposes of the actuarial valuation.

8. Actuarial Gain or Loss

From one valuation to the next, if the experience of the plan differs from that anticipated by the actuarial assumptions, an actuarial gain or loss occurs. For example, an actuarial gain would occur if the assets in the trust had a yield of 12% based on actuarial value, while the assumed yield on the actuarial value of assets was 7.5%.

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carbondale & rural fire protection district meeting of the ......1. 2019 preliminary budget...

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