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Indian River County, Florida <br />Notes To Financial Statements <br />Year Ended September 30, 2019 <br />93 <br /> <br /> <br />NOTE 13 - RETIREMENT PLAN - Continued <br /> <br />FRS Investment Plan - Continued <br /> <br />If an accumulated benefit obligation for service credit originally earned under the Pension Plan is <br />transferred to the Investment Plan, the member must have the years of service required for Pension Plan <br />vesting (including the service credit represented by the transferred funds) to be vested for these funds <br />and the earnings on the funds. <br /> <br />After termination and applying to receive benefits, the member may rollover vested funds to another <br />qualified plan, structure a periodic payment under the Investment Plan, receive a lump-sum distribution, <br />leave the funds invested for future distribution, or any combination of these options. Disability <br />coverage is provided; the member may either transfer the account balance to the FRS Pension Plan <br />when approved for disability retirement to receive guaranteed lifetime monthly benefits under the FRS <br />Pension Plan, or remain in the Investment Plan and rely upon that account balance for retirement <br />income. <br /> <br />Contributions: Cost of administering the Investment Plan, including the FRS Financial Guidance <br />Program, are funded through an employer contribution of .06% of payroll and by forfeited benefits of <br />Investment Plan members. The Investment Plan is funded with the same employer and employee <br />contribution rates that are based on salary and membership class as the FRS defined benefit plan. <br />Contributions are directed to individual member accounts, and the individual members allocate <br />contributions and account balances to various approved investment choices. <br /> <br />Allocations to the investment member’s accounts during the 2018-2019 fiscal year are based on a <br />percentage of gross compensation by class as follows: Regular class 6.30%, Special Risk class 14.00%, <br />Senior Management Service class 7.67%, and County Elected Officers’ class 11.34%. This includes the <br />employee contribution of 3%. <br /> <br />The County’s Investment Plan contributions and pension expense totaled $2,000,281 for fiscal year <br />ended September 30, 2019. Employee contributions totaled $403,432 for the same period.