August 8, 2014
by Staff
Comments Off on Gov. Dayton signs 2014 Omnibus Retirement Bill

Gov. Dayton signs 2014 Omnibus Retirement Bill

May 21 UPDATE: 2014 Omnibus Retirement Bill, H.F. 1951 (Murphy, M.) 

Gov. Mark Dayton on Wednesday, May 21, signed into law the Omnibus Retirement Bill (H.F. 1951)  providing the St. Paul Teachers’ Retirement Fund Association   State funding assistance of $7 Million annually beginning Oct. 1, 2015.

This aid will help address unfunded liabilities brought on by funding shortfalls from the State in years past. The bill also sets a fixed amortization date of 2042 for SPTRFA to achieve full funding, and clarifies membership eligibility requirements for future annual post-retirement benefits.  The bill leaves SPTRFA as a separate Plan rather than merging it into the statewide Teachers Retirement Association (TRA), while authorizing the merger of the Duluth Teachers’ Retirement Fund Association(DTRFA) into TRA. Consolidation of DTRFA and TRA will move forward after the expected  approval of the TRA and Duluth boards and the DTRFA membership.

Bill author Rep. Mary Murphy, D-Hermantown, said that the measure was “crafted in the spirit of good financial stewardship and accountability to stakeholders – current and future public retirees, local government and school district employers, and taxpayers.”

Senate bill sponsor Sen. Sandy Pappas, D-St. Paul, added: “This is really an attempt to make sure we have a strong, sustainable teacher retirement system for all teachers.”

Other significant reforms in this year’s bill include:

  • Raising employee and employer contribution rates for the Public Employees Retirement Association (PERA) and Minnesota State Retirement System (MSRS). MSRS and PERA changes are being made with the intent that they will help put these plans on the path to achieve 100 percent funding.
  • Spelling out the process by which cost of living adjustments are triggered when the three statewide plans reach 90 percent funding. The plans must be 90 percent funded two years in a row before COLA increases kick in. For TRA, if 90 percent funded, the COLA  increases from 2 percent to 2.5 percent.
  • Fixing the statutory joint and survivor optional annuity discount rate for all statewide plans, which will reduce system costs and administration.
Bill Authors

Murphy, M.; Simonson; Nelson; Kahn; Lesch; Morgan

August 8, 2014
by Staff
Comments Off on Institutional Investor Named Paul Doane, Small Public Pension Fund Manager of the Year

Institutional Investor Named Paul Doane, Small Public Pension Fund Manager of the Year

Institutional Investor magazine announces 2014 winners

Named Small Public Pension Fund Manager of the Year, Paul Doane, Executive Director, CIO, St. Paul Teachers’ Retirement Fund Association.

The awards recognize U.S. institutional investors whose innovative strategies and fiduciary savvy resulted in impressive returns in 2013, as well as U.S. money managers in 37 asset classes who stood out in the eyes of the investor community for their exceptional performance, risk management and service.

This year’s manager winners were announced on March 17 and will be awarded along with the honorees at a dinner and ceremony on Thursday, May 15, 2014 at the Mandarin Oriental in New York City. Read More here.

SELECTION PROCESS: Institutional Investor’s U.S. Investment Management Award winners are chosen by the editorial staff of Institutional Investor magazine based on their market intelligence, performance data and additional information received from the industry following a public call for nominations and survey to investors.