Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Pensions topic
No spam. Unsubscribe anytime.
County weighing COLA options for retirees as TCDRS-funded ratio and budget impacts are modeled
Summary
HR director Cammie Webb told the court that Rockwall County could elect flat COLAs (1'3%) or CPI-based options for 2027 under TCDRS; commissioners asked for retiree eligibility and funding scenarios before the August budget draft, noting a no-COLA required rate near 9.63% and a 3% COLA could raise the required rate toward about 10.9%.
HR director Cammie Webb reminded the court that TCDRS (Texas County & District Retirement System) sets employer-required rates based on actuarial assumptions and that Rockwall currently elects a 10% contribution rather than the required 9.71% this year. "We currently elect to contribute 10% this year rather than the required rate of 9.71," Webb said, and she explained counties may offer a flat 1%, 2% or 3% COLA or a CPI-based option for 2027 per TCDRS guidance.
Webb presented the actuarial trade-offs: without a COLA the county's required rate for 2027 would be about 9.63% with an estimated funded ratio near 91.9% and an unfunded actuarial liability in the roughly $10.1 million range; a 3% flat COLA would push unfunded liability and bump the required rate toward roughly 10.9%. Commissioners asked for additional data (the share of retirees eligible to retire and a trailing-CPI calculation) so they can finalize a rate before or during budget hearings in July/August. Webb said TCDRS requires a final decision by Dec. 15 but recommended earlier action to give the auditor and judge guidance when drafting the budget.
