b'19671974 Tier 1 (formerly Article XVII) wasTier1and2amendments extensively amended, and a newenabled the City Council to adopt Tier2pensionplan(formerlyordinancesprovidinghealth Article XVIII) was adopted effec- insurancepremiumsubsidy tive January 29, 1967, providing: benefits and other programs for 1.A pension equal to 55% ofeligible pensioners.the final monthly salary rate at retirement with 25 years of service, plus an additional1975 3% for each year of service1968 over 25, up to a maximumAmendmentstoTiers1and2 pension of 70% of salary atOvertimecompensationwasallowedcostoflivingadjust-retirement with 30 years ofexcluded from the computationmentsforService-Connected service; ofcontributionsandbenefitsDisability Pensions on the July 1 2.A 2% cap on the annualunder Tiers 1 and 2. following the date of retirement. cost of living adjustment toCertain waiting periods for those all member and surviving1969eligibletoreceivethisadjust-spouse pensions that werement were eliminated.based on length of service;AmendmentstoTiers1and2 and The health insurance subsidy for effectiveMay2,1969,appliedretiredmemberswaspaidfor 3.A minimum pension of $250costoflivingadjustmentstothe first time this year beginning per month to be adjustedDisability and Survivor Pensions. each year by the cost ofService Pensioners were allowedwiththeApril30,1975pension living formula. roll.Approximately$61,000was to apply for return-to-active dutyexpended for this purpose.Otherchangesincludedtheundercertainconditionsand extensionoftheamortizationrestrictions.periodfortheunfundedliabil- 1976 The authorized limit for common itiesto70yearsandchangesstock investments was raised toLAFPPbeganprovidinghealth totheinvestmentauthorityto50% of fund assets. insurancepremiumsubsidies provideformortgageinvest- toeligibleretiredmembersfor ments and public improvement1971theirdependentshealthinsur-financing. ance coverage.Tiers 1 and 2 were amended effec-tive July 1, 1971 to remove the 2%1977 per year cost of living ceiling from all eligible pensions and peggedThemandatoryretirementage increases to the Consumer Priceprovision of Tier 1 was eliminated Index; to increase the minimumeffective April 15, 1977.pensionto$350permonth;to grantpensioncreditforpartial years of service; and to add two electedemployeemembersto theBoardofPensionCommis-sioners.168 LAFPP ANNUAL REPORT 2024'