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Korn Ferry: Bucks County pension 91.1% funded; COLA would push 2025 costs far higher

Bucks County Retirement Board · December 18, 2024
AI-Generated Content: All content on this page was generated by AI to highlight key points from the meeting. For complete details and context, we recommend watching the full video. so we can fix them.

Summary

Korn Ferry presented the county's actuarial valuation and estimated the 2025 actuarially determined contribution (ADC) at roughly $17 million; adding a 3.4% cost-of-living increase (COLA) would raise 2025 funding needs by about $18 million more, putting combined contributions above $35 million. The board approved the ADC for 2024 on a voice vote but did not adopt a COLA.

At a Dec. 18 meeting of the Bucks County Retirement Board, actuary Dave Reichardt of Korn Ferry told board members the county's retirement plan is in "very good shape" but not fully funded, reporting a 91.1% funding level from the latest valuation and an estimated funding shortfall "about $95 million." Reichardt said the actuarially determined contribution (ADC) for 2025 would be "a little bit more than $17,000,000."

Reichardt said the cost of granting a cost-of-living adjustment (COLA) tied to the annual consumer price index (3.4% this year) would add "a little over…

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