(a) Actuarial Valuations. The Plan's actuary shall perform an actuarial valuation at least biennially, unless the employer is applying or has applied for supplemental State assistance pursuant to Section 603 of the Act, whereupon actuarial valuation reports shall be made annually.
Such biennial actuarial valuation report shall be made as of the beginning of each Plan year occurring in an odd-numbered calendar year, beginning with the year 1985.
Such actuarial valuation shall be prepared and certified by an approved actuary, as such term is defined in the Act.
The expenses attributable to the preparation of any actuarial valuation report or investigation required by the Act, or any other expenses which are permissible under the terms of the Act and which are directly associated with administering the Plan, shall be allowable administrative expenses, payable from the assets of the Pension Fund. Such allowable expenses shall include, but not be limited to, the following:
(1) Investment costs associated with obtaining authorized investments and investment management fees;
(2) Accounting expenses;
(3) Premiums for insurance coverage on Fund assets;
(4) Reasonable and necessary counsel fees incurred for advice or to defend the Fund; and
(5) Legitimate travel and education expenses for Plan officials, provided, however, that the Municipal officials of the employer, in their fiduciary role, shall monitor the services provided to the Plan to ensure that the expense are necessary and reasonable and benefit the Plan, and provided, further, that the Plan Administrator shall document all such expenses item by item and, where necessary, hour by hour.
(b) Duties of Chief Administrative Officer. Such actuarial reports shall be prepared and filed under the supervision of the Chief Administrative Officer.
The Chief Administrative Officer of the Plan shall determine the financial requirements of the Plan on the basis of the most recent actuarial report and shall determine the minimum Municipal obligation of the employer, with respect to funding the Plan, for any given Plan year. The Chief Administrative Officer shall submit the financial requirements of the Plan and the minimum Municipal obligation of the employer to Council annually and shall certify the accuracy of such calculations and their conformity with the Act.
(c) Benefit Plan Modifications. Prior to the adoption of any benefit plan modification by the employer, the Chief Administrative Officer of the Plan shall provide to Council a cost estimate of the proposed benefit plan modification. Such estimate shall be prepared by an approved actuary, which estimate shall disclose to Council the impact of the proposed benefit plan modification on the future financial requirements of the Plan and the future minimum Municipal obligation of the employer with respect to the Plan.
(Ord. 2137. Passed 3-15-93.)