Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Actuary projects funding ratio to dip as 2022 losses are recognized; board to review amortization policy
Summary
The retirement fund's actuarial valuation shows an 86% funded ratio on a smoothed basis and projects the unfunded liability will increase for two years as 2022 losses are recognized; the board asked staff to review amortization length and related contribution policy.
Greg Stump of Dermer Schein Consulting Group told the Chester County Employees' Retirement Board on May 16 that the fund's smoothed funded ratio is 86% and that, because of asset-smoothing rules, the plan will still recognize 2022 losses over the next two years.
Stump, the board's actuarial consultant, presented the actuarial valuation and funding outlook, explaining the difference between the smoothed funding ratio (86%) and the unsmoothed snapshot (about 83.4%). He said asset-smoothing spreads gains and losses over multiple years to reduce contribution volatility, and that the 2022 market loss…
Already have an account? Log in
Subscribe to keep reading
Unlock the rest of this article — and every article on Citizen Portal.
- Unlimited articles
- AI-powered breakdowns of topics, speakers, decisions, and budgets
- Instant alerts when your location has a new meeting
- Follow topics and more locations
- 1,000 AI Insights / month, plus AI Chat
