Board approves 06/30/2025 actuarial valuation as funding position improves

The Mendocino County Employees Retirement Association Board of Retirement on Nov. 4 approved the retirement system’s 06/30/2025 actuarial valuation after a presentation by Segal. The consultants reported stronger-than-expected investment returns and higher payroll that together reduced the plan’s unfunded accrued liability and lowered the aggregate employer contribution rate.

Segal principal Todd Tausser told trustees the plan experienced a strong market year and an actuarial return above the plan’s 6.5% investment assumption after Segal’s five‑year asset‑smoothing was applied. "Not to bury the lead, it is certainly we're going in the right direction in the funding of the plan," Tausser said, pointing to recognized gains in the valuation and deferred gains that will provide a buffer in future years.

The valuation shows the combination of investment gains and higher payroll reduced the plan’s unfunded liability more than expected for the year; Segal described approximately $8 million of UAL…