HomeMy WebLinkAboutResolutions - No. 2016-190RESOLUTION NO. 2016-190
A RESOLUTION OF THE LODI CITY COUNCIL AUTHORIZING
THE CITY MANAGER TO EXECUTE ALL DOCUMENTS NECESSARY TO
ENTER A PENSION STABILIZATION TRUST WITH PUBLIC AGENCY
RETIREMENT SERVICES; FURTHER DESIGNATING AT LEAST
80 PERCENT OF AVAILABLE FUNDS OVER GENERAL FUND RESERVE
REQUIREMENTS FOR FISCAL YEAR 2015/16 BE DEPOSITED INTO THE
TRUST; AUTHORIZING THE CITY MANAGER TO APPROVE
APPROPRIATION ADJUSTMENT TO FUND THE TRUST; AND SELECTING
THE BALANCED (PASSIVE OPTION) INVESTMENT STRATEGY
WHEREAS, Council held Shirtsleeve meetings on February 2, February 9, and
September 13, 2016, to discuss a comprehensive set of budget and fiscal policies; and
WHEREAS, establishing a pension stabilization trust to pre -fund the unfunded liability
associated with the City's pension fund is a prudent best practice for local government
agencies; and
WHEREAS, Public Agency Retirement Services (PARS) is the only entity currently
providing a trust to pre -fund unfunded pension liabilities; and
WHEREAS, staff recommends that Council approve using PARS' Balanced (Passive
Option) investment strategy; and
WHEREAS, staff recommends that the General Fund portion of the initial funding come
from funds in excess of Council -established reserve levels for the Fiscal Year 2015/16; and
WHEREAS, staff recommends that initial funding be at least 80 percent of the reserves
in excess of the established reserve levels; and
WHEREAS, staff will bring forward a plan for Enterprise Fund contributions along with
the Fiscal Year 2016/17 mid -year budget review; and
WHEREAS, staff further recommends that the City Manager be authorized to approve
an Appropriation Adjustment for the General Fund contribution once the final numbers are
known for Fiscal Year 2015/16.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Lodi 1)
hereby authorizes the City Manager to execute all documents necessary to enter a Pension
Stabilization Trust with Public Agency Retirement Services (PARS); 2) hereby designates that at
least 80 percent of the available funds over the General Fund reserve requirements for Fiscal
Year 2015/16 be deposited into the trust and authorizes the City Manager to approve an
Appropriation Adjustment to fund the trust once the final numbers for Fiscal Year 2015/16 are
known; and 3) hereby selects the Balanced (Passive Option) as the investment strategy.
Dated: October 19, 2016
I hereby certify that Resolution No. 2016-190 as passed and adopted by the City Council
of the City of Lodi in a regular meeting held October 19, 2016, by the following votes:
AYES: COUNCIL MEMBERS — Johnson, Mounce, Nakanishi, and Mayor Chandler
NOES: COUNCIL MEMBERS — Kuehne
ABSENT: COUNCIL MEMBERS — None
ABSTAIN: COUNCIL MEMBERS — None
FIFE I�'fRRAIOLO
ity Clerk
2016-190