7-11-11 Agenda Packet combined
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7911%6=3*40%2463:-7-327
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SECTION A
)<)'98-:)7911%6=
EXECUTIVE SUMMARY
Funding Objective
Comparison of Required Employer Contributions
Minimum Required Contribution
Revisions in Benefits
Revisions in Actuarial Assumptions and Methods
Actuarial Experience
Analysis of Change in Employer Contribution
SECTION B
VALUATION RESULTS
*-2%2'-%07392(2)77
Short Term Solvency
Ratio of Market Value of Assets to
Present Value of Accrued Benefits
Long Term Solvency
Actuarial Value of Actuarial Accrued % of AAL
Valuation Assets LiabilityCovered by
Date(in Thousands)(in Thousands)Assets
$16.0
$14.0
$12.0
$10.0
$8.0
$6.0
$4.0
$2.0
$0.0
%'89%6-%0+%-27%2(0377)7
Actuarial Gain (+) or Loss (-)
History of Investment Return -Actuarial Value of Assets
History of Salary Increases
Recent History of Number of Members
Actuarial Valuation Date
Recent History of Covered Annual Payroll
Actuarial Valuation Date
%'89%6-%0%779148-327%2('3781)8,3(
Valuation Methods
Actuarial Cost Method -
Entry-Age Actuarial Cost Method
Financing of Unfunded Actuarial Accrued Liabilities -
Actuarial Value of Assets -
Valuation Assumptions
The actuarial assumptions used
Economic Assumptions
The investment return rate
wage inflation rate
price inflation rate
cost of living adjustments
totalrate of return
The rates of salary increases
Demographic Assumptions
The mortality table
New AssumptionsOld Assumptions
The rates of retirement
Rates of separation from active membership
Rates of disability
New AssumptionsOld Assumptions
Miscellaneous and Technical Assumptions
Administrative & Investment
Expenses
Benefit Service
Decrement Operation
Decrement Timing
Eligibility Testing
Forfeitures
Incidence of Contributions
Marriage Assumption
Normal Form of Benefit
Pay Increase Timing
Service Credit Accruals
+0377%6=3*8)617
Actuarial Accrued Liability
Accrued Service
Actuarial Assumptions
Actuarial Cost Method
Actuarial Equivalent
Actuarial Present Value
Amortization
Experience Gain (Loss)
Normal Cost
Reserve Account
Unfunded Actuarial
Accrued Liability
Valuation Assets
SECTION C
4)27-32*92(-2*361%8-32
()*)66)(6)8-6)1)28348-3240%2
(634
&)2)*-87,)0(-26)7)6:)
RECONCILIATION OF DROP ACCOUNTS
%'89%6-%0:%09)3*%77)87
As of September 30, 2010
-2:)781)286%8)3*6)8962
SECTION D
*-2%2'-%0%''3928-2+-2*361%8-32
SCHEDULE OF CONTRIBUTIONS FROM EMPLOYER
(GASB Statement No. 25)
FiscalContribution RateAnnual RequiredActualPercentage
Year EndingAs a % of PayrollContributionContributionContributed
REQUIRED SUPPLEMENTARY INFORMATION
GASB Statement No. 25 and No. 27
SECTION E
1-7')00%2)397-2*361%8-32
RECONCILIATION OF MEMBERSHIP DATA
From9/30/09From9/30/08
To 9/30/10To 9/30/09
Active Members
A.
Terminated Vested Members
B.
Service Retirees, Disability Retirees, Beneficiaries & DROP
C.
STATISTICAL DATA
Active Members as of September 30, 2010
Age GroupTotalsAvg. Pay
SECTION F
7911%6=3*40%2463:-7-327
A. Ordinances:
B. Effective Date
C. Plan Year
D. Type of Plan
E. Eligibility Requirements
F. Credited Service
G. Compensation
H. Final Average Compensation (FAC)
I. Normal Retirement
J. Early Retirement
K. Delayed Retirement
L. Service Connected Disability
M. Non-Service Connected Disability
N. Pre-Retirement Death
O. Post Retirement Death
P. Optional Forms
Q. Vested Termination
R. Refunds
S. Member Contributions
T. Employer Contributions
U. Cost of Living Increases
V. Changes from Previous Valuation
W. Gain-sharing benefits
X. Deferred Retirement Option Plan
SECTION G
COMPARATIVE SUMMARY OF PRINCIPAL
VALUATION RESULTS
September 30, September 30,
COMPARATIVE SUMMARY OF PRINCIPAL September 30,
20102010
VALUATION RESULTS2009
After ChangesPrior to Changes
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7)48)1&)6
78%8)1)28&=)26300)(%'89%6=
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:%09%8-326)79087
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4)27-32*92(-2*361%8-32
(
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1-7')00%2)397-2*361%8-32
*
7911%6=3*40%2463:-7-327
+
'314%6%8-:)7911%6=3*46-2'-4%0
:%09%8-326)79087
SECTION A
)<)'98-:)7911%6=
EXECUTIVE SUMMARY
Funding Objective
Comparison of Required Employer Contributions
Minimum Required Contribution
Revisions in Benefits
Revisions in Actuarial Assumptions or Methods
Actuarial Experience
Analysis of Change in Employer Contribution
SECTION B
VALUATION RESULTS
CAUTION
78%8)46)1-918%<6):)29)7
*-2%2'-%07392(2)77
Short Term Solvency
Ratio of Market Value of Assets to
Present Value of Accrued Benefits
Long Term Solvency
$14.0
$12.0
$10.0
$8.0
$6.0
$4.0
$2.0
$0.0
%'89%6-%0+%-27%2(0377)7
Actuarial Gain (+) or Loss (-)
History of Investment Return -Actuarial Value of Assets
History of Salary Increases
Recent History of Number of Members
Actuarial Valuation Date
Recent History of Covered Annual Payroll
Actuarial Valuation Date
%'89%6-%0%779148-327%2('3781)8,3(
Valuation Methods
Actuarial Cost Method -
Entry-Age Actuarial Cost Method
Financing of Unfunded Actuarial Accrued Liabilities -
Actuarial Value of Assets -
Valuation Assumptions
The actuarial assumptions used
Economic Assumptions
The investment return rate
Wage Inflation Rate
price inflation rate
cost of living adjustments
payroll growth rate
totalrate of return
The rates of salary increases
Demographic Assumptions
The mortality table
New AssumptionOld Assumption
The rates of retirement
Rates of separation from active membership
Rates of disability
New AssumptionOld Assumption
Miscellaneous and Technical Assumptions
Administrative & Investment
Expenses
Benefit Service
Decrement Operation
Decrement Timing
Eligibility Testing
Forfeitures
Incidence of Contributions
Marriage Assumption
Normal Form of Benefit
Pay Increase Timing
Service Credit Accruals
+0377%6=3*8)617
Actuarial Accrued Liability
Accrued Service
Actuarial Assumptions
Actuarial Cost Method
Actuarial Equivalent
Actuarial Present Value
Amortization
Experience Gain (Loss)
Normal Cost
Reserve Account
Unfunded Actuarial
Accrued Liability
Valuation Assets
SECTION C
4)27-32*92(-2*361%8-32
()*)66)(6)8-6)1)28348-3240%2
(634
&)2)*-87,)0(-26)7)6:)
%'89%6-%0:%09)3*%77)87
As of September 30, 2010
-2:)781)286%8)3*6)8962
SECTION D
*-2%2'-%0%''3928-2+-2*361%8-32
SCHEDULE OF CONTRIBUTIONS FROM EMPLOYER
(GASB Statement No. 25)
REQUIRED SUPPLEMENTARY INFORMATION
GASB Statement No. 25 and No. 27
SECTION E
1-7')00%2)397-2*361%8-32
STATISTICAL DATA
Active Members as of September 30, 2010
SECTION F
7911%6=3*40%2463:-7-327
A. Ordinances:
B. Effective Date
C. Plan Year
D. Type of Plan
E. Eligibility Requirements
F. Credited Service
G. Compensation
H. Final Average Compensation (FAC)
I. Normal Retirement
J. Early Retirement
K. Delayed Retirement
L. Service Connected Disability
M. Non-Service Connected Disability
N. Pre-Retirement Death
O. Post Retirement Death
P. Optional Forms
Q. Vested Termination
R. Refunds
S. Member Contributions
T. Premium Tax Monies
U. Employer Contributions
V. Cost of Living Increases
W. Changes from Previous Valuation
X. Gain-sharing benefits
Y. Deferred Retirement Option Plan
SECTION G
COMPARATIVE SUMMARY OF PRINCIPAL
VALUATION RESULTS