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Bern Township approves pension interest-rate and mortality-table changes after actuarial update
Summary
Following an actuarial report, supervisors approved lowering the pension plan's expected interest rate from 7.75% to 7.5% and updating the mortality table; the township's pension status moved from distress level 2 to level 1, the manager said.
Bern Township supervisors approved changes to the township pension plan Nov. 1 after the township’s actuary recommended adjustments to reflect recent market experience.
Manager Brian Potts said the actuarial reports from Ron Bittner show the pension plan has improved from distress level 2 to distress level 1. Based on those reports, the Board approved lowering the assumed interest rate used in actuarial calculations from 7.75 percent to 7.5 percent and updating the mortality table to the new public‑sector tables issued this year.
Dr. Boyd Wagner moved the adjustment and the motion passed unanimously. Township officials said the changes reflect standard actuarial practice to align plan assumptions with recent market conditions and updated longevity expectations.
The adjustments will be reflected in upcoming actuarial valuations and any required employer contribution calculations.
