Page 99 - 2018 Comprehensive Annual Financial Report - City of Winston-Salem

The outstanding encumbrances are amounts needed to pay any commitments related to purchase orders and contracts that
remain unperformed at year-end.

Encumbrances Outstanding June 30, 2018
General fund $ 2,150,923
Debt service fund 61,120
Capital projects fund 25,190,638
Special revenue funds
Nonmajor 5,331,105
Enterprise funds
Water & sewer fund 47,446,013
Solid waste disposal fund 1,296,030
Transit Authority 676,411
Nonmajor 7,478,432
Internal service funds 1,036,273
Fiduciary funds 12,065
Total $ 90,679,010

4. Other Information

A. Pension Plan

1. The City participates in three de ned bene t pension plans:

a. North Carolina Local Government Employees’ Retirement System
Plan Description. The City of Winston-Salem is a participating employer in the statewide Local Governmental Employees’
Retirement System (LGERS), a cost-sharing, multiple-employer de ned bene t pension plan administered by the State of North
Carolina. LGERS membership is comprised of general employees and local law enforcement o cers (LEOs) of participating local
governmental entities. Article 3 of G.S. Chapter 128 assigns the authority to establish and amend bene t provisions to the North
Carolina General Assembly. Management of the plan is vested in the LGERS Board of Trustees, which consists of 13 members – nine
appointed by the Governor, one appointed by the State Senate, one appointed by the State House of Representatives, and the
State Treasurer and State Superintendent, who serves as ex-o cio members. The Local Governmental Employees’ Retirement
System is included in the Comprehensive Annual Financial Report (CAFR) for the State of North Carolina. The State’s CAFR includes
nancial statements and required supplementary information for LGERS. That report may be obtained by writing to the O ce of
the State Controller, 1410 Mail Service Center, Raleigh, North Carolina 27699-1410, by calling (919) 981-5454, or at www.osc.nc.gov.
Benefits Provided . LGERS provides retirement and survivor bene ts. Retirement bene ts are determined as 1.85% of the member’s
average nal compensation times the member’s years of creditable service. A member’s average nal compensation is calculated
as the average of a member’s four highest consecutive years of compensation. Plan members are eligible to retire with full
retirement bene ts at age 65 with ve years of creditable service, at age 60 with 25 years of creditable service, or at any age with
30 years of creditable service. Plan members are eligible to retire with partial retirement bene ts at age 50 with 20 years of creditable
service or at age 60 with ve years of creditable service (age 55 for re ghters). Survivor bene ts are available to eligible bene ciaries
of members who die while in active service or within 180 days of their last day of service and who have either completed 20 years
of creditable service regardless of age (15 years of creditable service for re ghters who are killed in the line of duty) or have
completed ve years of service and have reached age 60. Eligible bene ciaries may elect to receive a monthly Survivor’s Alternate
Bene t for life or a return of the member’s contributions. The plan does not provide for automatic post-retirement bene t increases.
Increases are contingent upon actuarial gains of the plan.
LGERS plan members who are LEOs are eligible to retire with full retirement bene ts at age 55 with ve years of creditable service
as an o cer, or at any age with 30 years of creditable service. LEO plan members are eligible to retire with partial retirement
bene ts at age 50 with 15 years of creditable service as an o cer. Survivor bene ts are available to eligible bene ciaries of LEO
members who die while in active service or within 180 days of their last day of service and who also have either completed 20 years
of creditable service regardless of age, or have completed 15 years of service as a LEO and have reached age 50, or have completed
ve years of creditable service as a LEO and have reached age 55, or have completed 15 years of creditable service as a LEO if killed
in the line of duty. Eligible bene ciaries may elect to receive a monthly Survivor’s Alternate Bene t for life or a return of the
member’s contributions.

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