Reformed Presbyterian Minutes of Synod 1997 - Rparchives.org

REFORMED PRESBYTERIAN CHURCH OF NORTH AMERICA 109
employed by the Trustees and, as such, use of an acceptable actuarial cost
would have resulted in insignificant expenses for the years then ended. Use of
actuarially determined costs as of the most recent valuation (January 1, 1987) for
Plan "A" would have resulted in an increase in pension liability and a decrease in
the unrestricted-designated fund balance of approximately $225,000.
Investments with a cost of approximately $73,000 and market value of
approximately $87,000 at December 31, 1995, included in the financial
statements of the Trustees, are available to satisfy a portion of the Plan "A"
pension liability. A 9% assumed rate of return was used in determining the
present value of accumulated vested benefits. There are no nonvested
accumulated benefits.
Plan "B" - Plan "B" is a defined contribution plan and covers substantially all
ministers, missionaries and employees of the Synod who are not covered under
Plan "A". Total pension expense for the year ended December 31, 1995, was
$168,122, which includes amortization of past service cost over an average period
of approximately 25 years, and is recorded under restricted-designated. The
Trustees' policy is to fund pension costs accrued. Plan "B" is administered and the
funds are invested by the Pension Trustees of the Synod of the Reformed
Presbyterian Church of North America. The estimated amount of vested benefits
as of December 31, 1995, is less than the amount of the net assets of Plan "B".
Comprehensive actuarial reports and valuations are not available for Plan "B".
Accordingly, the information necessary to provide the disclosures required by
Statements of Financial Accounting Standards 87 and 88 has not been detemined.
However, the final determination of such amounts is not expected to have a
material effect on the accompany financialstatements.
NOTE 6 - CONTINGENT ASSETS
At December 31, 1995, approximately $80,000 of cash (based on the
prevailing exchange rates) were held in blocked accounts in Cyprus. Because of the
restrictions imposed on these assets and the uncertainty with regard to their
realization, they are not recorded by the Trustee's until funds are recovered.
Approximately $15,700 was received in 1995.
NOTE 7 - CONCENTRATION OF CREDIT RISK
The Trustees maintain its cash balances in one financial institution located in
Pittsburgh, Pennsylvania. The balances are insured by the Federal Deposit
Insurance Corporation up to $100,000. At December 31, 1995, the Trustee's
uninsured cash balances total $119,148.