2001 Minnesota Statutes

     423C.04 Association funds and accounts. 

    Subdivision 1.    Duties.  The association shall create, 
 maintain, and administer the funds and accounts in this 
 section.  The sources of revenue and authorized disbursements of 
 each fund and account are governed by this section. 

    Subd. 2.    Special fund; purpose and sources of revenue. 
  (a) The special fund may only be used to pay for defined and 
 contingent benefits as set forth in sections 423C.05 and 
 423C.06; compensation for officers and board members as set 
 forth in section 423C.03, subdivision 3; expenses of officers 
 and employees of the association in connection with the 
 protection of the special fund; and expenses of operating, 
 administering, and maintaining the association as authorized by 
 this chapter, section 69.80, or other applicable law.  

    (b) The special fund is derived from the following sources: 

    (1) receipts from the state, including, but not limited to, 
 any fire state aid, any fire insurance premium surcharge amount, 
 or any additional amortization state aid; 

    (2) all money derived from taxation by the city under 
 section 69.77 for the support of the association and for the 
 payment of benefits set forth in sections 423C.05 and 423C.06; 

    (3) an amount equal to the minimum percentage specified in 
 section 69.77, subdivision 2a, of the salary of a first grade 
 firefighter deducted from the monthly salary of each active 
 member; and 

    (4) the proceeds of the investment of special fund assets. 

    Subd. 3.    General fund.  The general fund is separate 
 and distinct from the special fund.  The general fund may, 
 consistent with applicable law, be expended for those purposes 
 deemed appropriate by the relief association.  The city finance 
 officer shall deduct from each active member's biweekly payroll 
 check a sum equal to one-half of one percent of the maximum 
 biweekly salary of a first grade firefighter.  This sum shall be 
 forwarded to the association's treasurer and deposited in the 
 general fund.  The general fund shall also consist of receipts 
 from private sources, such as gifts, charges, fundraising 
 projects, and dues paid by members; investment of, earnings on, 
 and interest of the general fund; and all other sources.  Money 
 received from other sources may also be deposited in the general 
 fund. 

    Subd. 4.    Health insurance accounts.  Notwithstanding 
 any law to the contrary, contributions of active members of the 
 association with at least 25 years of service made after the 
 25th year of service must be deposited in a separate account and 
 used to pay health care costs of the individual member upon 
 retirement.  The board shall adopt rules regarding the frequency 
 and amounts of distributions from these accounts.  A member with 
 an account established pursuant to this section is entitled, 
 upon retirement or disability, to receive periodic distributions 
 from the account, in the amount and with the frequency specified 
 by the retiring member consistent with the board's rules. 

    HIST: 1Sp2001 c 10 art 15 s 4