Resolution 2002-18 STATE OF ILLINOIS )
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COUNTY OF KENDALL )
RESOLUTION 02-�
RESOLUTION ELECTING A PHASE-IN REGARDING THE INCREASE IN THE
UNITED CITY OF YORKVILLE'S EMPLOYER CONTRIBUTION RATE TO THE
ILLINOIS MUNICIPAL RETIREMENT FUND (IMRF)
WHEREAS, the Mayor and City Council deem it in the best interest of the United City of
Yorkville and its employees to phase-in the rate increase to the City's contributions to the Illinois
Municipal Retirement Fund(IMRF)on behalf of employees as is permitted under Illinois Compiled
Statutes and all amendments thereto; and
WHEREAS,said phase-in will take place over a two(2)year period as set out and explained
in the letter from the IMRF dated June 6, 2002, attached hereto as Exhibit"A";
NOW THEREFORE BE IT RESOLVED BY THE UNITED CITY OF YORKVILLE,upon
motion duly made, seconded, and approved by a majority of those Alderman voting, that the City
hereby elects to phase-in the IMRF increase over a two year period as set out in the letter from the
IMRF dated June 6, 2002, which is attached hereto as Exhibit"A".
PAUL JAMES A MARTY MUNNS
RICHARD STICKA MIKE ANDERSON
VALERIE BURD ROSE SPEARS
LARRY KOT JOSEPH BESCO
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APPROVED by me,as Mayor of the United City of Yorkville,Kendall County,Illinois,this
Y
of �r" i A.D. 2002.
M OR
PASSED by the City Council of the United City of Yorkville,Kendall County,Illinois this
stay of A.D. 2002.
Attest•
CITY LERK
Prepared by:
Law Offices of Daniel J. Kramer
1107A S. Bridge Street
Yorkville, Illinois 60560
630.553.9500
Page 2 of 2
Jun-06-200Z 09:21 Fram-1MR= 630-363-s393 T-633 P.002 1002 F-2i6
Illinois MunicipalRefirement Fund
Drake Oak Brook Plaza Suite 500 2211 York Road Oak Brook IL 60523-2374 630-368.1010
Service Represenrarives 1-800-ASK-I&IRF
June 6, 2002
City Of Yorkville Employer Number: 00165
Kimberly A.King
800 Game Farm Road
Yorkville IL 60560
Dear Ms. King,
This letter is in reference to a phone inquiry from Traci Pleckham on June 4, 2002 regarding the
city's employer contribution rate for 2003. The city's employer rate is increasing from 5.58% in
2002 to 12.94%in 2003.
As mentioned in my previous letter, the rate increase is due to a decrease in employer assets. The
city's assets decreased from 32,779,246 in 2000 to $2,224,170 in 2001, a decrease of 20%. My .
original letter had an error in the amount of total assets, however, that was just a typographical
error and does not have an impact on the rate information for 2003.
There are several reasons for the decrease in assets. IlviRF normally credits interest to employer
reserves. In 2001, &W experienced investment losses and had to charge reserve accounts
8.173% rather than credit interest. LMRF also-charged the city's retirement reserve account for
the regular portion of the retirement benefits of the three members who retired under the Early
Retire Incentive (ERI). James T. Johnson Michael L. Price
and James A. Nanninga all retired in 2001. 2001 Employer
Retirement Reserve Statements were mailed on June 4, 2.002 and will show in detail all account
activity for 2001.
Because your rate is increasing so dramatically, I am giving you a choice. If you prefer,we
would be willing to phase-in the increase over a two-year period. Your rate for 2003 would be
increased to 9.26%. Your rate for 2004 would be determined after the December 31,2002
valuation and would be increased accordingly. Please notify me in writing by August 30, 2002 of
your choice. If no notification is received by that time,your rate for 2003 will remain at 12.94%,
as stated on the Advance RyfRF Contribution Rate Notice.
Please feel free to contact me at (630) 706-4224 if you have any further questions regarding this
matter.
Sincerely,
mmaxie Dresden
Employer Account Associate Analyst
ENH!P!T
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