Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Pensions topic
No spam. Unsubscribe anytime.
Mattoon CUSD 2 board approves $175,000 IMRF paydown to lower pension rate
Summary
The board approved a $175,000 payment to reduce the district’s unfunded liability under the Illinois Municipal Retirement Fund (IMRF). Officials said the fund’s employer rate is currently 8% (down from 10.14% 18 months earlier) and the district’s unfunded liability was presented as just over $1.6 million.
The Mattoon CUSD 2 Board voted to approve a $175,000 one-time payment toward the district’s unfunded liability in the Illinois Municipal Retirement Fund (IMRF).
The business manager explained IMRF is an employer-specific state retirement system for custodians, maintenance, secretaries, transportation and other classified employees and said the district’s current employer contribution rate is 8%, down from about 10.14% eighteen months earlier after prior paydowns and favorable investment returns. The district’s current unfunded liability was presented to the board as just over $1.6 million; eighteen months earlier the unfunded liability was described as just over $4 million and a prior $500,000 paydown was cited.
Administration recommended the $175,000 payment to reduce future employer rates and to avoid carrying an excess fund balance in the restricted IMRF fund. Board members asked clarifying questions about what the district can control and about the fund’s sensitivity to investment returns and staffing changes. A motion to approve the $175,000 paydown passed on a unanimous vote.
Next steps: the business office will execute the payment from restricted IMRF fund balance and monitor future actuarial reports.
