Other Items Considered by the Committee
(a)Review of Former City of York
Employees' Pension Plan Financial Status.
The Administration Committee reports having:
(1)concurred with the recommendations embodied in the following communication (July 8, 1999) from Councillor
Bruce Sinclair Rexdale Thistletown, viz:
"(1)the Actuary, Robert Camp, be requested to prepare a list of caveats and recommendations as soon as possible,
for all trustees and staff who have any connection with the other four pension funds; and
(2)the Chief Financial Officer and Treasurer be requested to report to the Administration Committee within six
months on:
(i)the progress made in the implementation of the actuary's recommendations; and
(ii)the progress toward harmonization in the City's five funds, from a "best practices" point of view"; and
(2)received the report (June 3, 1999) from the Chief Financial Officer and Treasurer:
(i)(July 8, 1999) from Councillor Bruce Sinclair, Rexdale Thistletown, recommending that:
(1)the Actuary, Robert Camp, be requested to prepare a list of caveats and recommendations as soon as possible, for all
trustees and staff who have any connection with the other four pension funds; and
(2)the Chief Financial Officer and Treasurer be requested to report to the Administration Committee within six months
on:
(i)the progress made in the implementation of the actuary's recommendations; and
(ii)the progress toward harmonization in the City's five funds, from a "best practices" point of view.
(ii)(June 3, 1999) from the Chief Financial Officer and Treasurer, reporting as requested by Council on December 16 and
17, 1998, on how the City of York Employees' Pension Plan came to be in its current negative financial situation; advising
that the current financial situation of the York Pension Plan can in large part be traced to the minimum funding strategy
adopted by the former City of York; that pension and benefit improvements which substantially increased the liabilities of
the Plan were not funded or provided for at the time they were granted; that it appears that there was an expectation that
benefit improvements would be funded by future plan surpluses which did not materialize; that in effect, the former City of
York followed a pay as you go practice; that the York Pension Plan is now virtually fully retired with only five active
members remaining; that future actuarial gains or losses will arise primarily through investment performance, pensioner
increases and pensioner mortality; that the actuarial assumptions of the plan should be reviewed and updated to reflect plan
provisions and current economic conditions; that recommendations in this regard will be brought forward with the results
of the December 31, 1998 actuarial review; and recommending that this report be received for information.
(b)Reporting Relationship - City Clerk and City Solicitor.
The Administration Committee report having requested the Chief Administrative Officer, in consultation with the
City Solicitor and the City Clerk, to submit a report to the September 7, 1999, meeting of the Administration
Committee, on the role and function of the City Clerk and the City Solicitor and whether they should report
directly to Council through the Administration Committee, with functional dotted line reporting to the Chief
Administrative Officer on administrative issues.
Respectfully submitted,
COUNCILLOR LORENZO BERARDINETTI,
Chair
Toronto, July 21, 1999
Patsy Morris
Tel. (416) 392-9151
