Page 512 - FortWorthFY23AdoptedBudget

Retirement System and

OPEB Health Care Trust

I. Authority

The Fort Worth City Council is responsible for legislation, policy formulation, and overall direction
setting of the government. This includes the approval of financial policies which establish and
direct the operations of the City of Fort Worth. The City Manager and Assistant City Managers are
responsible for carrying out the policy directives of the City Council and managing the day-to-day
operations of the executive departments, including the Department of Financial Management
Services. This policy shall be administered on behalf of the City Manager and Assistant City
Managers by the Chief Financial Officer / Director of Finance.

II. Purpose:

This policy is intended to establish guidelines to ensure that the Employees’ Retirement Fund is
adequately funded and operated for the exclusive benefit of the participants.

III. Scope:

This policy shall apply to all funds under the budgetary and fiscal control of the City Manager and
the Mayor and City Council.

IV. Glossary

See definitions related to this policy provided in the appendix.

V. Policy:

Retirement System:

1. Benefit Improvements and Reductions

The City will complete an actuarial impact study of any proposed benefit improvements
or reductions, including changes in contribution levels before they are implemented.

2. Qualified Plan

The City and the Retirement Fund will maintain the qualified status of the Retirement
System. As deemed necessary from time to time, the City and/or the Retirement Fund
will request a "determination letter" from the IRS relative to whether or not the City's
retirement system conforms to the Internal Revenue Code in order to assure the tax-
exempt status of the income earned on the Retirement Fund's investments, the retiree pension
payments, and the accrued benefits for active employees.

3. Funding Level

The City shall progressively monitor contribution levels of both the City and employees,

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