Category: Newsroom

On March 8, 2011, Los Angeles City voters approved Charter Amendment G.

Presentation to the Budget and Finance Committee

On August 26, 2013, the General Manager gave a presentation to the City Council’s Budget and Finance Committee summarizing the 2012 Annual Report and preliminary results for the most recent fiscal year ending June 30, 2013. Click here to review a PDF copy of the presentation.

An interim report from the City Controller on a management audit conducted of the LAFPP Fund

2012 Management Audit Interim Report – Issued 6/27/13

LAFPP REPORTS REVISED PRELIMINARY RETURN OF 13.01 PERCENT FOR 2012-13

Los Angeles Fire and Police Pensions (LAFPP) is reporting a revised preliminary return of 13.01 percent for the fiscal year ending June 30, 2013 (updated from the preliminary return of 12.67 percent reported on July 17, 2013).
The gain was led by LAFPP’s strong performance in the domestic and international equity markets including the developed and emerging markets, demonstrating returns over their benchmarks. LAFPP’s real estate investments also showed strong performance for the year.
LAFPP’s 13.01 percent return is well above the Fund’s discount rate of 7.75 percent, which is the long-term return required to meet current and future obligations for members. LAFPP’s 10-year investment return is 7.66 percent, while its 20-year return is 8.01 percent.
LAFPP has a long-term investment horizon and uses an asset allocation which encompasses a strategic long-term perspective of the capital markets.
Returns for real estate, private equity and some components of the inflation assets reflect market values through March 31, 2013 (not June 30, 2013). Final performance including the last quarter of the fiscal year will be available after asset valuations are completed.
LAFPP is one of the largest fire and police pension funds in the U.S. The retirement system administers retirement benefits for more than 25,000 current and retired safety employees for the City of Los Angeles. More information is available at About LAFPP.

As part of the Affordable Care Act (ACA) several states, including California, have set up health insurance exchanges. These exchanges allow those who do not have access to affordable health insurance to purchase individual health insurance plans with standardized benefits.

“Covered California,” California’s health insurance exchange, will begin accepting applications from individuals for health insurance coverage beginning on October 1, 2013. If you are already enrolled in an LAFPP-approved health insurance plan, you are NOT required to sign up for health insurance through Covered California.
LAFPP-approved health insurance plans include those offered by:

• Los Angeles Fire & Police Pensions (LAFPP)
• Los Angeles Firemen’s Relief Association (LAFRA)
• Los Angeles Police Relief Association (LAPRA)
• United Firefighters of Los Angeles City (UFLAC)

LAFPP-Approved Health Plans Have You Covered!

Beginning in 2014, most people will be required to have health insurance that provides “minimum essential coverage.” Those who do not have health insurance, or who have insurance that does not meet the minimum essential coverage requirement may be assessed a fee when filing their 2014 taxes.

All of the health insurance plans offered by LAFPP, LAFRA, LAPRA and UFLAC meet the minimum essential coverage requirements under healthcare reform. Those who enroll and remain enrolled in plans offered by these organizations will not be subject to the fee levied on uninsured individuals in 2014.

What if you don’t qualify for a health insurance subsidy, or don’t have health insurance?If you are an LAFPP retired member or surviving spouse/domestic partner who does not have health insurance, you may wish to contact one of the organizations above to learn about your insurance options. If you do not qualify for a health subsidy from LAFPP, or you do not currently have health insurance, you may also wish to explore your options through Covered California at www.coveredca.com.

Questions?

If you have other questions regarding LAFPP health benefits, please call our Medical & Dental Benefits Section at (213) 978-4560 or (800) 787-2489 ext. 84560. Keep checking our website for the latest information on ACA and how it may affect you.

ATTENTION ACTIVE FIRE MEMBERS: UNDER-COLLECTION OF PENSION CONTRIBUTIONS FOR PAY PERIODS 1, 2 & 3

LAFPP staff has been advised by the Controller’s Office that pension contributions were under–collected for members of MOU 23 – Firefighters and Fire Captains.
The problem affected approximately 900 Fire members who were receiving a longevity bonus. This bonus is pensionable and therefore, is subject to pension deduction. However, during system programming for the July 1, 2013 pay increase, the longevity bonus was mistakenly coded as “not pensionable”, resulting in an under–collection of pension contributions for Pay Periods 1, 2 and 3.
While the error was corrected in Pay Period 4 by the Controller’s Office, in accordance with LAFPP Board Rule 5.3, the under–collected amount will be deducted on the October 16, 2013 pay check for those affected. Note that the average under–collected amount is approximately $60 for all three pay periods combined.
For questions or concerns, please contact LAFPP Active Member Services at (213) 978-4522.

For the first time in LAFPP history, the Fund’s total assets reached an unaudited market value in excess of $17 billion dollars on October 15, 2013. This increase, up from the June 30, 2013 value of $15.75 billion, confirms that we are making great progress on rebuilding our portfolio after the losses sustained in the 2008-09 Great Recession.
As highlighted in the October 2, 2013 report on the Fund’s investment return, the market gain was fueled by the strong performance in the domestic and international equity markets. The real estate investments continue to show promising returns as well.
LAFPP is one of the largest public safety pension funds in the country, administering retirement benefits for more than 25,000 active and retired sworn employees of the City of Los Angeles. More information is available at About LAFPP.