Comprehensive Annual Financial Report - Minnesota State ...
Comprehensive Annual Financial Report - Minnesota State ... Comprehensive Annual Financial Report - Minnesota State ...
Required Supplementary Information Notes 42 Public Employees Retirement Association of Minnesota (unaudited) General Employees Public Employees Public Employees Minneapolis Retirement Police & Correctional Employees Fund Fire Fund Fund Retirement Fund Valuation Date 6/30/2012 6/30/2012 6/30/2012 6/30/2012 Actuarial Cost Method Entry Age Entry Age Entry Age Entry Age Amortization Method Level Percent Level Percent Level Percent Level Percentage Closed Closed Closed Closed Remaining Amortization 19 Years 27 Years 19 Years 19 Years Period Asset Valuation Method Fair Market Fair Market Fair Market Market Value Value Smoothed Value Smoothed Value Smoothed Over 5 Years Over 5 Years Over 5 Years Actuarial Assumptions: Investment Rate of Return 8.0% FY13-17 8.0% FY13-17 8.0% FY13-17 8.0% FY13-17 8.5% FY18 and later 8.5% FY18 and later 8.5% FY18 and later 8.5% FY18 and later Projected Salary Increases 3.50% - 12.03% 4.5% - 13.0% 4.0% - 9.0% 4% Assumed Inflation Rate 3.0% 3.0% 3.0% 3.0% Payroll Growth Rate 3.75% 3.75% 3.75% N/A Mortality Table - Active RP 2000 Non- RP 2000 Non- RP 2000 RP 2000 Healthy annuitant, Set Forward annuitant, Set Non-Annuitant Sex Distinct Annuitant, 5 Years Males; Back back 2 Years Projected to 2018 3 Years Females Mortality Table - Retired RP 2000 RP 2000 RP 2000 RP 2000 Healthy Annuitant, Set Back Annuitant Annuitant Sex Distinct Annuitant, 2 Years Females Projected to 2018 Cost of Living 1% Per Year Until 1% In 2011 & 2.5% Per Year 1% Per Year Until Adjustment 90% Funded, Then 2012, Match CPI 90% Funded, Then 2.5% Per Year Up to 1.5% Until 2.5% Per Year 90% Funded, Then 2.5% Per Year
Source of Expenses Schedule of Investment Expenses For the Fiscal Year Ended June 30, 2012 (in thousands) General Public Public Minneapolis Statewide Employees Employees Employees Employees Defined Volunteer Retirement Police and Fire Correctional Retirement Contrib. Firefighter Fund Fund Fund Fund Plan Plan Total Outside Money Managers–Equities $ 8,249 $3,509 $185 $ 480 $15 $4 $12,442 Outside Money Managers–Global 6,251 2,660 140 364 7 3 9,425 Outside Money Managers–Fixed Income 2,919 1,242 66 169 10 0 4,406 Minnesota State Board of Investment 824 344 18 50 2 0 1,238 Financial Control Systems 121 50 3 8 0 0 182 Nuveen Investment Solutions 10 4 0 1 0 0 15 Pension Consulting Alliance 105 43 2 7 0 0 157 Total $18,479 $7,852 $414 $1,079 $34 $7 $27,865 A schedule of investment fees paid to money managers is provided on page 51 in the Investment Section of this report. Schedule of Payments to Consultants For the Fiscal Year Ended June 30, 2012 (in thousands) Individual or Firm Name Fee Paid Actuary Mercer Health & Benefits $295 $295 Legal Attorney General $ 90 Lebedoff Jonathan 2 Other Legal 1 $ 93 Management Consultants Administrative Hearings $ 20 Stubbe & Associates 14 Berwyn Group 5 Kusske Financial Mgmt 3 LexisNexis Risk Data Mgmt 3 Avenet LLC 2 Other Mgmt 1 $ 48 Financial Services OLA Audit Fees $100 US Bank NA 16 Accounting/Auditor Fees - SVFF 6 $122 Medical Evaluations Dept of Health $ 82 Evaluations 7 $ 89 System Development Network Security Professionals $ 19 Works Computing Inc 2 Embarcadero Technologies 2 $ 23 Total Professional Service Fees $670 Financial Section Public Employees Retirement Association of Minnesota 43
- Page 1 and 2: Pink Lady Slipper, Minnesota State
- Page 3 and 4: Board of Trustees Don Rambow — Bo
- Page 5 and 6: Achievement Awards President's Repo
- Page 7 and 8: Achievement Awards GFOA The Governm
- Page 9 and 10: December 27, 2012 Board of Trustees
- Page 11 and 12: Economic Conditions and Outlook Alt
- Page 13 and 14: National Recognition PERA has an ou
- Page 15 and 16: Ross E. Arneson General Membership
- Page 17 and 18: The Public Employees Police and Fir
- Page 19 and 20: Pre-Age 62 Increase — This pensio
- Page 21 and 22: Legislative Auditor’s Report Mana
- Page 23 and 24: Legislative Auditor’s Report O L
- Page 25 and 26: Financial Highlights å PERA’s Ne
- Page 27 and 28: made in 2010 and contribution rate
- Page 29 and 30: This page left blank intentionally.
- Page 31 and 32: Statewide Public Employees Agency F
- Page 33 and 34: Financial Section Minneapolis Emplo
- Page 35 and 36: facilities. Elected officials and a
- Page 37 and 38: are recognized as revenues when due
- Page 39 and 40: å The aggregate value of these obl
- Page 41 and 42: of the value protected by the wrap
- Page 43 and 44: age of pay, and are specified in st
- Page 45 and 46: Employer pension contributions for
- Page 47: Schedule of Employer Contributions
- Page 51 and 52: Investment Report Investment Result
- Page 53 and 54: Investment Report MINNESOTA STATE B
- Page 55 and 56: 25% 20% 15% 10% 5% 0% -5% -10% -15%
- Page 57 and 58: Investment Summary at Fair Value Fo
- Page 59 and 60: SBI & Consultants: State Board of I
- Page 61 and 62: Actuary’s Certification Letter Su
- Page 63 and 64: Actuary’s Certification Letter De
- Page 65 and 66: General Employees Retirement Fund A
- Page 67 and 68: Other Assumptions Separation GERF u
- Page 69 and 70: General Employees Retirement Fund A
- Page 71 and 72: Public Employees Correctional Fund
- Page 73 and 74: General Employees Retirement Fund A
- Page 75 and 76: Public Employees Correctional Fund
- Page 77 and 78: Introduction Schedule of Changes in
- Page 79 and 80: Introduction December 14, 2012 Publ
- Page 81 and 82: Statistical Section 2007 2008 2009
- Page 83 and 84: Statistical Section 2007 2008 2009
- Page 85 and 86: Statistical Section 2007 2008 2009
- Page 87 and 88: Fire Department Statistical Section
- Page 89 and 90: General Employees Retirement Fund A
- Page 91 and 92: Statistical Section Schedule of New
- Page 93 and 94: General Employees Retirement Fund S
- Page 95 and 96: Schedule of Benefit Recipients by T
- Page 97 and 98: Top 10 States by PERA Annuitant Pop
Source of Expenses<br />
Schedule of Investment Expenses<br />
For the Fiscal Year Ended June 30, 2012 (in thousands)<br />
General Public Public Minneapolis <strong>State</strong>wide<br />
Employees Employees Employees Employees Defined Volunteer<br />
Retirement Police and Fire Correctional Retirement Contrib. Firefighter<br />
Fund Fund Fund Fund Plan Plan Total<br />
Outside Money Managers–Equities $ 8,249 $3,509 $185 $ 480 $15 $4 $12,442<br />
Outside Money Managers–Global 6,251 2,660 140 364 7 3 9,425<br />
Outside Money Managers–Fixed Income 2,919 1,242 66 169 10 0 4,406<br />
<strong>Minnesota</strong> <strong>State</strong> Board of Investment 824 344 18 50 2 0 1,238<br />
<strong>Financial</strong> Control Systems 121 50 3 8 0 0 182<br />
Nuveen Investment Solutions 10 4 0 1 0 0 15<br />
Pension Consulting Alliance 105 43 2 7 0 0 157<br />
Total $18,479 $7,852 $414 $1,079 $34 $7 $27,865<br />
A schedule of investment fees paid to money managers is provided on page 51 in the Investment Section of this report.<br />
Schedule of Payments to Consultants<br />
For the Fiscal Year Ended June 30, 2012 (in thousands)<br />
Individual or Firm Name Fee Paid<br />
Actuary<br />
Mercer Health & Benefits $295 $295<br />
Legal<br />
Attorney General $ 90<br />
Lebedoff Jonathan 2<br />
Other Legal 1 $ 93<br />
Management Consultants<br />
Administrative Hearings $ 20<br />
Stubbe & Associates 14<br />
Berwyn Group 5<br />
Kusske <strong>Financial</strong> Mgmt 3<br />
LexisNexis Risk Data Mgmt 3<br />
Avenet LLC 2<br />
Other Mgmt 1 $ 48<br />
<strong>Financial</strong> Services<br />
OLA Audit Fees $100<br />
US Bank NA 16<br />
Accounting/Auditor Fees - SVFF 6 $122<br />
Medical Evaluations<br />
Dept of Health $ 82<br />
Evaluations 7 $ 89<br />
System Development<br />
Network Security Professionals $ 19<br />
Works Computing Inc 2<br />
Embarcadero Technologies 2 $ 23<br />
Total Professional Service Fees $670<br />
<strong>Financial</strong> Section<br />
Public Employees<br />
Retirement Association<br />
of <strong>Minnesota</strong><br />
43
Change language