Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Pensions Retirement topic
No spam. Unsubscribe anytime.
County retirement fund posts strong returns; court weighs contribution options
Summary
HR reported TCDRS returns of 12.6% in 2025 and said Collin County's plan finished 2025 fully funded; commissioners discussed using fund balance or lump‑sum contributions versus changing the employer contribution rate, with staff cautioning about rating‑agency and recurring‑funding risks.
Erica Johnson, Human Resources, presented an overview of Collin County's Texas County & District Retirement System (TCDRS) plan, returns and funding status for the court to consider during budget planning.
Johnson said the plan earned a 12.6% return in 2025, and that the county's practice of responsible funding left the plan fully funded at year‑end: “Due to the 12.6% rate of return in 2025 and Collin County's responsible funding each year, our plan finished 2025 fully funded.” She reviewed employer and member contribution rates used by peers and laid out options for the court to consider during budget preparation: whether to change the employer contribution rate, make any lump‑sum contributions or provide a retiree cost‑of‑living adjustment (COLA).
Commissioners asked whether fund balance could be used to make a lump‑sum contribution while reducing recurring contribution rates; county staff and the budget director warned that using one‑time fund balance to offset recurring costs can be viewed negatively by rating agencies and could risk a downgrade if used improperly. The court did not take final action but asked staff to provide additional modeling and options for the budget workshop.
