2. History Current Plan Status Benefit Enhancement Project

3. History July 2, 2002 City Council Levies Property Insurance Premium Tax of 1.85% on Insurance Companies, Ordinance Number 2002-15 – State restricted for funding of pension benefits for Firefighters

4. History February 15, 2005 City Council established City of Palm Coast Volunteer Firefighters Pension Plan (Defined Benefit Plan), Ordinance 2005-08 – Established Board of Trustees (5) 2 appointed by Council 2 appointed by Volunteers 1 appointed by other four

5. History Ordinance 2005-08 (Continued) – Established Retirement Qualifications - LOSAP (Length of Service Award Pension Program) – Benefit Amount - $35 per year of credited service – Establish Pension Eligibility

6. LENGTH OF SERVICE AWARD PENSION PROGRAM (LOSAP) POINTS ISSUED FOR THE FOLLOWING ACTIVITIES Response to Paged Calls (25%) Attendance at Drills (50%) Attend Business Meetings (8 Minimum) Position, Activity, Etc. points (50)

7. History March 3, 2009 City Council revised the City of Palm Coast Volunteer Firefighters Pension Plan, Ordinance 2009-04 – Increased benefit amount from $35.00 to $50.00 per year of credited service.

8. History October 18, 2011 City Council revised the City of Palm Coast Volunteer Firefighters Pension Plan, Ordinance 2011-18 – Increased benefit amount from $50.00 to $65.00 per year of credited service

9. Received During Fiscal Year AmountIncrease from Previous Year 200314,328.55- 200462,129.98333.6% 200596,546.3455.4% 2006128,816.4233.4% 2007242,231.0088.0% 2008380,757.0057.2% 2009499,181.0031.1% 2010339,246.90-32.0% 2011359,373.515.9% 2012377,962.485.2% 2013*236,585.58* HISTORY OF PREMIUM TAX RECEIPTS *partial payment received for FY 2013

10. Current Plan Status Annual Amount from State Tax Collections ($350,000-$400,000) Current Benefits ($144,000) Reserve for Benefit Improvements ($206,000-$256,000)

11. Plan Funding Status

12. Funded Ratio

13. Required Contributions

14. Reserve for Benefit Improvements

15. Benefit Enhancement Project Goals No increased potential liability to the City Comply with IRS Regulations Comply with State Pension Statutes Take Advantage of benefit improvement reserve

16. Benefit Enhancement Project Share Plan Concept Provide additional amount above current defined benefit plan ($65.00 per month) Recommendation annually to City Council by Pension Board to distribute a portion of the benefit enhancement reserve (if any) Both current volunteers and retirees participate Mitigate accumulation of benefit improvement reserve No effect on potential City liability

17. Benefit Enhancement Project Volunteer Firefighter Pension Plan Ordinance Update to include share plan component Update for IRS compliance Submit to IRS for Private Letter Ruling Update for changes in State statutes

18. Next Steps Apply to IRS for Private Letter Ruling – 9 to 12 month review period Present revised Ordinance to City Council for consideration once Private Letter Ruling received

19. Questions?