b'19811984 Extensive revisions to the investment provisions ofThe City Charter was amended to permit banks and the Charter provided for: insurance companies to act as investment advisors 1.Theinvestmentofupto70%offundassetsto the System.incommonstockandupto25%ofthe70% withoutdividendrecordandregistrationona1985 national securities exchange;2.The investment of 35% of fund assets in short- Authority was extended to include investment in real term securities; estate by all City of Los Angeles pension systems.3.The appointment of a securities custodian bank; 1989 4.Arequirementtoretaininvestmentadvisors registered under the Investment Advisor Act; The System began pre-funding the health insurance 5.Thesellingandrepurchasingofcoveredcallpremium subsidy benefits.options; and On April 26, 1989, in the case of the United Firefight-6.Authority to conduct transactions and exchang- ers of Los Angeles City vs. the City of Los Angeles, the es of securities without specific prior approv- California Court of Appeals upheld the Los Angeles alfromtheBoardofPensionCommissioners,County Superior Courts judgment for the plaintiffs. within established guidelines. As a result, the 3% cap on cost of living increases instituted in 1982 for Tier 1 and 2 members was lifted.19821990 Significant revisions to Tiers 1 and 2 provided a 3%A series of measures were enacted that allow the City cap on the cost of living adjustment for all futureto protect the integrity of the System in response service earned by active members and a refund ofto new tax code regulations. The waiting period was member contributions upon termination. removed for cost of living adjustments for surviving Cost of living adjustments were prorated for the firstspouses of members hired before December 8, 1980 year of retirement. who die in the line of duty.Paramedicsandcivilianambulancedriverswere transferredfromtheLosAngelesCityEmployees Retirement System to Tier 3.1983Tier 1 and 2 active members were no longer required to contribute to the Pension System upon comple-tion of 30 years of service.Adam VanGerpen Photo Adam VanGerpen PhotoSECTION 9MILESTONES 169'