LOPFI
Arkansas Local Police and Fire
Retirement System
www.lopf i-prb.com
620 West 3rd, Suite 200, Little Rock, AR 72201
Toll Free: 866.859.1745
SPRING 2015
LOPFI Website News
LOPFI’s website received a facelift! We are excited about the new look and a more user friendly layout. Please feel free to
let us know about your experience with the new site.
Retirement Planning
One step in the retirement planning process involves personal savings. A great way to build out that step is by exploring
your options with Deferred Compensation Plans. One plan that police officers, firefighters, and LOPFI staff use is the
State of Arkansas’ Diamond Plan. (Note: There are many other Deferred Compensation Plans available. This article
simply references one.)
Here are a few reasons why a Deferred Compensation Plan is helpful:
• You can set aside a certain dollar amount into your own account each pay period on a pre-tax basis. The time-value of a
dedicated savings plan will yield positive results when consistently used over the course of a career.
• For members with a DROP account who prefer not to annuitize the account with LOPFI, you have the option of
rolling the balance over to another qualified plan, such as a Deferred Compensation Plan. A direct rollover permits the
deferral of taxes, so you maintain your account balance as you move into retirement.
• Once in retirement, you have the option of choosing when and how much to withdraw from your account. You can also
change the amount you choose to withdraw at any time giving you flexibility in managing your retirement income.
Learning more just takes a phone call. Feel free to contact Cheryl Daughenbaugh with the AR Diamond Plan local office
in Little Rock at 501-301-9900 or 866-271-3327.
The 90th General Assembly Update
This is a summary of Acts from the 2015 Legislative Session that may interest Members of LOPFI. An act number with an
asterisk (*) signifies it was endorsed by the LOPFI Board of Trustees. The acts in this summary do not have an emergency clause,
so their effective date will be July 22, 2015 i.e. ninety days after the end of the session. Acts may be viewed on the General Assembly’s
website that is accessible via the Links tab on LOPFI’s website. Please contact LOPFI staff with any questions about this summary.
Act 341* (House Bill 1274, Multiple Sponsors)
Firefighter Death Benefit
This act amended a section of code for the Arkansas State Claims Commission. The amendment adds a provision for payment
to a designated beneficiary or survivor of a firefighter who was killed in the line of duty. The added provision covers certain forms
of cancer incurred from exposure to a known carcinogen while in the performance of firefighting duties. This act also created a
Firefighter Benefit Review Panel to make recommendations to the Arkansas State Claims Commission concerning the payment of
benefits for cancer-related deaths.
Act 829* (House Bill 1211, Dotson)
LOPFI DROP
This act amended the type of service credit that may be used for eligibility to enroll in the LOPFI Deferred Retirement Option
Plan (DROP) and clearly states all future service credit accrual (paid and volunteer) ceases upon the enrollment in DROP. The
act allows an active LOPFI paid service Member to use up to 36 months of actual LOPFI volunteer service credit to attain
eligibility to enroll in DROP. The DROP benefit will not include any volunteer service credit. Payment of the benefit associated
with volunteer service credit will begin upon the Member terminating LOPFI-covered employment and entering retirement.
Act 1100 (House Bill 1851, Neal)
Appointment to LOPFI Board
This act amends the process used to select and appoint active Member and employer Trustees for the LOPFI Board of Trustees.
This act will have the Governor’s office consult the various Member and employer associations for potential candidates to the
Board. Upon the Governor’s selection of a Trustee, the person must then be confirmed by the Arkansas Senate in order for the
appointment to proceed.
Family Protection Plus (FPP): Group Decreasing Term Life Insurance Plan
The sixth annual open enrollment for the NCPERS FPP Group Voluntary Life Insurance Plan sponsored by LOPFI
will occur later this year for active LOPFI Members only. This Plan is designed especially for public safety employees
like you. It offers a supplementary survivor’s benefit to augment your retirement benefits. The FPP Plan provides
Life Insurance and Accidental Death & Dismemberment (AD&D) Insurance for the Member and Life Insurance for
eligible dependents - all for just $17 a month. A will preparation benefit is included at no cost with the Plan.
The Plan is available for active Members and coverage is in effect 24/7 - on or off the job. There is no physical
required, no health questions to answer, and the premiums never increase. And as long as you continue to pay
the $17 a month premium, you can keep this coverage throughout your retirement. Look for more information on
the FPP Plan annual open enrollment in the next edition of the PensioNews.
For AD&D Insurance: This policy provides ACCIDENT insurance only. It does NOT provide basic hospital, basic medical, or major medical insurance as defined by the New York Department of Financial Services.
IMPORTANT NOTICE - THIS POLICY DOES NOT PROVIDE COVERAGE FOR SICKNESS.
Group Decreasing Term Life, Dependent Group Decreasing Term Life, and Accidental Death & Dismemberment Insurance coverages are issued by The Prudential Insurance Company of America, 751 Broad Street, Newark, NJ
07102. The Booklet-Certificate contains all details, including any policy exclusions, limitations and restrictions, which may apply. Contract Series: 83500.
0221120-00004-00Ed. 3/15160204
Employers
Remember the July 1, 2015 deadline is fast approaching for your location to utilize the e-Payment utility for your monthly
payments. Call today so you will have ample time for LOPFI staff to assist with setup and to answer any questions
you may have.
www.lopfi-prb.com
Membership Snapshot
as of May 2015
Data for LOPFI
•511
Employers
• 12,974
Active and DROP Members
• 3,443
Paid Police Officers
• 2,099
Paid Firefighters
• 6,628
Volunteer Members
• 795
Paid & Volunteer Members
(simultaneous service credit)
• 2,996
Benefit Recipients
Data for Local Plans administered by LOPFI
• 162
Local Plans
• 46
Active and DROP Members
• 2,373
Benefit Recipients
Registered Member Portal Users
•8,000+
2015 LOPFI Seminar:
August 12, 2015 - City of Hot Springs
Transportation Depot
October 13, 2015 - Fort Smith Fire Department
November 17, 2015 - Jonesboro Fire Department
For more information on LOPFI seminars and
registration, please visit LOPFI’s web site and
click on Seminars located on the LOPFI tab.
BOARD OF TRUSTEES
Mike Gaskill
Chairman / Employer Trustee
Terry Henson
Vice‑Chairman / Fire Trustee
J. Scott Baxter
Police Trustee
Catherine Cook
Employer Trustee
Bev Lambert
Public Trustee
John Neal
Retired Fire Trustee
Tim Hill
Retired Police Trustee
Board Meeting Dates:
June 4, 2015 - ASC Meeting 9:00 am
June 4, 2015 - LOPFI Meeting 10:00 am
June 4, 2015 - Appeal Hearing 11:45 am
September 3, 2015 - LOPFI Meeting 9:00 am
December 3, 2015 - LOPFI Meeting 9:00 am
All meetings are open to the public.
FINANCIAL UPDATE
The 2014-year yielded solid investment performance for LOPFI. The retirement system achieved an 8.16% return
and closed the year with a market value of $1.599 billion! The assumed rate of return for the system’s portfolio is
8.0%, which means LOPFI had another year of investment performance that exceeded its benchmark. For the last
five years the average cumulative return for LOPFI was 8.15%. And over the past 32 years i.e. since LOPFI began
operations, the system achieved an annualized return of 10.35%!
Overseeing the investment program is an essential function of the LOPFI Board of Trustees. To aid in fulfilling
that responsibility the Board utilizes an Investment Committee. The Committee structure allows flexibility so
that the Trustees can meet as often as needed with the investment consultant and various money managers. All
Investment Committee and Board meetings are open to the public and Members are invited to attend in order to learn
more about LOPFI’s investments. Members are welcome to visit the LOPFI website for meeting dates and times.
For those who are unable to attend, the website also contains approved minutes from previous meetings, which also
helps keep you current on developments of the retirement system.
Fax: 501‑682‑1751
Office Hours are 8:30 a.m. to 5:00 p.m.
Monday ‑ Friday
***Please check the website for additional 2008 Seminar locations***
ARKANSAS LOCAL POLICE & FIRE RETIREMENT SYSTEM
620 W. 3rd, Suite 200
Little Rock, AR 72201-2223
www.lopfi-prb.com
DIRECT DEPOSIT SCHEDULE:
Month
Deposit Date
June 2015
July 2015
August 2015
September 2015
October 2015
November 2015
December 2015
June 1, 2015
July 1, 2015
July 31, 2015
September 1, 2015
October 1, 2015
October 310 2015
December 1, 2015
Closed for the Holidays:
May 25, 2015
July 3, 2015
September 7, 2015
November 11, 2015
November 26, 2015
December 24, 2015
December 25, 2015
Memorial Day
Independence Day
Labor Day
Veterans’ Day
Thanksgiving Day
Christmas Eve
Christmas Day
LOPFI PensioNews is published by the Arkansas Local Police
and Fire Retirement System for LOPFI Members and Local
Plan Members under plans managed by LOPFI.
Office Hours: Monday - Friday 8:30 a.m. to 4:30 p.m.
Mailing Address: 620 W. 3rd, Suite 200
Little Rock, AR 72201-2223
E-mail: [email protected]
Website: www.lopfi-prb.com
Office: 501.682.1745
Toll Free: 1.866.859.1745
Fax: 501.682.1751
www.lopfi-prb.com
LOPFI Staff
David B. Clark, Executive Director
-Disability requests
-Legislative issues
-General questions regarding LOPFI
Tracy Warfe, Assistant Director
-Getting ready to retire, retirement counseling
-Service credit records, general questions regarding LOPFI
-Employers adopting LOPFI coverage
Robert Bartholmey, Chief Financial Officer
-Benefit withholdings, change in benefit amounts
-Employers monthly statement questions
-Employer payments to the System
Denise Collins, Accountant II
-Accounts Payable
-Local Plan Reports
-Member refunds
Laura Nixon, Membership Coordinator
-Questions on DROP, military service, Member Portal assistance
-Getting ready to retire, retirement counseling
-Employers electronic reporting
Jennifer Graves, Membership Services
-Disability requests
-Questions regarding death/survivor benefits
-Member Portal assistance
Jen Sines, Membership Services
-Reciprocity/Service Credit provisions
-Getting ready to retire, retirement counseling
-Member Portal assistance
Tiffiney Lewis, Membership Services
-Employer monthly reporting
-Getting ready to retire, retirement counseling
-Member Portal assistance
Haley Garrett, Administrative Assistant
-Member/Retiree/Employers updates
-Member Portal assistance