City of San Ramon
FINANCE COMMITTEE
AGENDA
Scott Perkins, Chair • Sridhar Verose, Vice Chair
City Hall
Large Conference Room, Second Floor
7000 Bollinger Canyon Road
Regular Meeting
4:00 PM
November 12, 2024
AGENDA QUESTIONS:
PLEASE CALL THE ADMINISTRATIVE SERVICES DIRECTOR AT (925) 973-2576
1. CALL TO ORDER
2. PUBLIC COMMENT
At this time, members of the public are encouraged to address the Committee on any item not already included on the agenda. Comments should not exceed three (3) minutes. No Committee action can be taken at this meeting on issues raised during public comment.
3. APPROVAL OF MINUTES
3.1 Finance Committee - Regular Meeting – October 14, 2024
4. UNFINISHED BUSINESS
5. NEW BUSINESS
5.1 GASB 75 OPEB Valuation Report Measured as of June 30 2023, for Disclosures for the Fiscal Year Ending June 30, 2024
Presentation by Roger Burton, Actuary Precision Actuarial, Inc. (Zoom/Teams)
5.2 California Employer’s Benefit Trust (CERBT) for the Period Ending September 30, 2024
Staff Report by Candace Daniels, Finance Division Manager
6. COMMITTEE MEMBER COMMENTS
7. ADJOURNMENT
The next Finance Committee Meeting is scheduled for December 9, 2024. 2 Finance Committee Meeting – November 12, 2024
I hereby certify that the attached Finance Committee Meeting Agenda was posted 72 hours before the noted meeting. To make a request for disability-related accommodation to participate in the meeting, please contact the City Clerk’s Office 48 hours in advance of the meeting at 925- 973-2539 or [email protected].
Dated: November 7, 2024
ATTENDEE CONDUCT
There will be zero tolerance for any person addressing the Committee making profane, offensive and disruptive remarks, or engaging in loud, boisterous, or other disorderly conduct, that disrupts the orderly conduct of the public meeting. Specifically, it is important for all speakers to adhere to the following guidelines for participation in this meeting:
a. No profanity or obscenity
b. Refrain from personal threats or attacks.
c. Refrain from hateful epithets and demeaning language based on any person’s race, religion, sexual orientation, ethnicity, gender, or disability. d. Respect all people that are present.
At the discretion of the Committee Chair, a speaker may forfeit speaking time for any of the following reasons:
a. Exceeding the allotted time to speak;
b. Yelling, screaming, or other behavior that renders this Committee unable to continue the meeting;
c. Excessive profanity or slander; Specific threats or “fighting words” that incite violence; or
d. Speech that is outside the subject matter jurisdiction of the Committee or the specific agenda item in which you are speaking.
While the City of San Ramon ensures the First Amendment rights of its citizens, we do not accept nor endorse any offensive or hateful comments made during our meetings. The City of San Ramon celebrates the diversity of our community, and we strive to be a welcoming and open community for all.
MINUTES OF THE
CITY OF SAN RAMON FINANCE COMMITTEE
October 14, 2024
1. CALL TO ORDER
Attendee Name Title Status Arrived
Scott Perkins Chair Present
Sridhar Verose Vice Chair Present
Also in attendance: Steven Spedowfski, City Manager; Scott Koll, Deputy City Manager; Candace Daniels, Finance Division Manager; Miaoxia Joe, Financial Analyst; Nicki MacPherson, Accounting Specialist
2. PUBLIC COMMENT
There was no public comment on previous items.
3. APPROVAL OF MINUTES
3.1 Finance Committee - Regular Meeting - Jul 22, 2024 4:00 PM RESULT: ACCEPTED [UNANIMOUS]
AYES: Perkins, Verose
4. UNFINISHED BUSINESS
There was no unfinished business to discuss.
5. NEW BUSINESS
5.1 California Employer’s Benefit Trust (CERBT) for the Period Ending June 30, 2024
Staff Report by Candace Daniels, Finance Division Manager RESULT: ACCEPTED
5.2 Quarterly Investment Report for the Period Ending September 30, 2024 Staff Report by Miaoxia Joe, Financial Analyst
RESULT: ACCEPTED
5.3 PARS Pension Stabilization Trust Statement for the Period Ending June 30, 2024 Staff Report by Candace Daniels, Finance Division
3.1 Packet Pg. 3
Minutes Acceptance: Minutes of Oct 14, 2024 4:00 PM (APPROVAL OF MINUTES) 2 Finance Committee Meeting – October 14, 2024
RESULT: ACCEPTED
5.4 General Fund Reserve Policy and Alternatives Discussion Staff Report by Scott Koll, Deputy City Manager
Public comments were made by Gregg Carr and Susie Ferris-Inderkum.
RESULT: DISCUSSED
6. COMMITTEE MEMBER COMMENTS
Committee members had nothing additional to report.
7. ADJOURNMENT
The meeting adjourned at 5:14 PM. The next Finance Committee Meeting is scheduled for November 12, 2024.
3.1 Packet Pg. 4
Minutes Acceptance: Minutes of Oct 14, 2024 4:00 PM (APPROVAL OF MINUTES)
FINANCE COMMITTEE STAFF REPORT
DATE: November 12, 2024
TO: Finance Committee/City Manager
FROM: Scott Koll, Deputy City Manager
By: Candace Daniels, Finance Division Manager
SUBJECT: GASB 75 OPEB Valuation Report Measured as of June 30 2023, for Disclosures for the Fiscal Year Ending June 30, 2024
ATTACHMENT
GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024
5.1 Packet Pg. 5
City of San Ramon
GASB 75 OPEB Valuation Report Measured as of June 30, 2023 for Disclosures for the Fiscal Year Ending June 30, 2024 October 7, 2024
11750 Atwood Road
Auburn, California 95603
t: (415) 801‒5987 f: (415) 358‒8500
www.PrecisionActuarial.com
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
11750 Atwood Road
Auburn, California 95603
www.PrecisionActuarial.com
(415) 801‒5987
October 7, 2024
Candace Daniels
Finance Division Manager
City of San Ramon
7000 Bollinger Canyon Road
San Ramon, California 94583
Re: City of San Ramon GASB 75 OPEB Plan Valuation Report Measured as of June 30, 2023 Dear Ms. Daniels:
At your request, we completed an actuarial valuation of the retiree health and welfare benefits valued as of June 30, 2023, and measured as of June 30, 2023, for the City of San Ramon. This is a full valuation. Please use the information in this report for your financial statements for the fiscal year ending June 30, 2024. This valuation is based on input from the City and from CalPERS, as well as our understanding of GASB Statement No. 75 “Accounting and Financial Reporting for Postemployment Benefits Other Than Pensions” (GASB 75).
We greatly appreciate your business. If you have any questions, please feel free to call us at (415) 801‒5987.
Best Regards,
Roger T. Burton, FSA, MAAA, FCA
Corporate Solutions for the Modern World
Healthcare • Pension • Valuations • Financial Reporting • Claim Liabilities Self-Funded Plans • Actuarial Attestations • Creditable Coverage • Expert Witness DUNS: 079861610 CAGE: 7EC83 CA Supplier: 1798304
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Executive Summary
Overview 1
Accounting Summary 3
Reconciliation of the Change in the Total OPEB Liability 4 Accounting Information
Statement of Fiduciary Net Position 5
Statement of Changes to the Fiduciary Net Position 6
Changes in the Net OPEB Liability 7
Development of Deferred Outflows and Inflows of Resources 8 Expense and Deferred Outflows and Inflows 10
Interest on the Liability and Earnings, and Investment Gain/Loss 11 Reconciliation of Expense 12
Impact on the Statement of Net Position 13
Sample Journal Entries 14
Amortization of the Net OPEB Liability 16
Actuarially Determined Contribution (ADC) 17
Projection of Benefit Payments 18
Projection of Benefit Payments Chart 19
Projection of Contributions 20
Projection of Contributions Charts 21
Projection of Fiduciary Net Position 22
Depletion Date Projection 23
Depletion Date Projection Chart 24
Schedule of Implicit Subsidy Liability (Not a Required Schedule) 25 Schedule of Deferred Outflows and Inflows of Resources 26 Schedule of Changes in the Net OPEB Liability and Related Ratios 27 Schedule of Changes in the Net OPEB Liability and Related Ratios Chart 28 Schedule of Investment Returns 29
Schedule of Contributions 30
Draft Notes to the Financial Statements 31
Basis of Valuation
Substantive Plan 37
Participant Summary 39
Participant Summary Charts 40
Actuarial Assumptions 41
Appendix
About GASB 75 44
Decrement Tables 49
Contents
5.1.a
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Executive Summary
Purpose of the Report
Valuation Date: June 30, 2023
Measurement Date: June 30, 2023
Report Date: June 30, 2024
Application to Financials
Changes Since the Prior Valuation
Statement on Future Measurements
Future actuarial measurements may differ significantly from the current measurements presented in this report due to factors such as the following: plan experience differing from that anticipated by the economic or demographic assumptions; increases or decreases expected as part of the natural operation of the methodology used for these measurements (such as the end of an amortization period or additional cost or contribution requirements based on the plan's funded status); and changes in plan provisions or applicable law. Due to the limited scope of our assignment, we did not perform an analysis of the potential range of such future measurements.
Overview
Precision Actuarial prepared this report to meet employer financial accounting requirements under GASB Statement No. 75 “Accounting and Financial Reporting for Postemployment Benefits Other Than Pensions” (GASB 75), issued in June 2015, as amended by GASB Statement No. 85. This report includes information with respect to the obligation to provide future retiree health and welfare benefits for the fiscal year ending June 30, 2024.
The City should use the liabilities, assets, and expense measured as of June 30, 2023, for its financial statements for the year ending June 30, 2024.
This valuation is a full valuation. We updated:
• Contributions
This report provides assets, liabilities, and expenses for use in the City's 2024 financial reports.
The report also provides the actuarially determined contributions (ADCs) for funding purposes for reporting for the fiscal years ending June 30, 2025, 2026, and 2027. The ADC for the fiscal year ending June 30, 2027 is an estimate and we recommend that the City have a roll-forward report produced for the fiscal year ending June 30, 2025, that updates this estimate.
• Discount rate from 5.84% to 5.78%
• Benefit payments
• Assets
• Census
• Retiree and spousal participation rates
• Merit salary increase tables
• Retirement, tremination and disability rates
• Decrement timing
• Premiums
• Healthcare trends
• Mortality tables
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Executive Summary
Actuarial Certification
Roger T. Burton, FSA, MAAA, FCA E. Scott Lanham, FSA, MAAA, FCA, EA Chief Actuary Senior Consulting Actuary
The undersigneds are members of the American Academy of Actuaries and meet the Qualification Standards of the American Academy of Actuaries to render the actuarial opinion contained herein.
There is no relationship between Precision Actuarial, its owners, subcontractors, or staff; GovInvest; or the City of San Ramon beyond the contractual services that we perform for the City of San Ramon.
No third-party recipient of Precision Actuarial's work product should rely solely on Precision Actuarial's work product. Any third-party recipient should engage qualified professionals for advice appropriate to their own needs.
Overview
We based the results in this report on this information, along with the actuarial assumptions and methods used herein. In our opinion, the assumptions used represent reasonable expectations of anticipated plan experience.
We reviewed the census information for reasonableness, but we did not audit it.
Actuarial computations under GASB 75 fulfill employer accounting and financial reporting requirements. The calculations are consistent with our understanding of GASB 75. Determinations for purposes other than meeting employer financial accounting requirements may be significantly different from the results in our report.
Accordingly, additional determinations may be necessary for other purposes, such as judging benefit security at termination.
On the basis of the foregoing, we hereby certify that, to the best of our knowledge and belief, the report is complete and accurate and that we prepared it in accordance with generally recognized and accepted actuarial principles and practices which are consistent with the applicable "Actuarial Standards of Practice" and "Actuarial Compliance Guidelines" as promulgated by the American Academy of Actuaries.
Our determinations reflect the provisions and methods prescribed by GASB 75. In preparing this report, we relied on assets, employee census, plan design, and administrative fees provided directly or indirectly by the plan sponsor, and demographic assumptions provided by CalPERS. CalPERS' actuaries set the premium rates using community rating. We did not attempt to verify that the community-rated premium rates represent the true cost of claims and administrative fees.
It is our professional judgment that the combined effect of the assumptions and methods applied in developing this report, other than those prescribed, set by law, or that we did not select and are unable to assess for reasonableness for the purpose of the measurement, is expected to have no significant bias on the results.
We measured the plan's benefit obligations in this valuation using the appropriate methods prescribed by GASB and Actuarial Standards of Practice. We measured the plan's assets using the market value. The funded status measure reflects the comparison of plan assets to obligations. The funded status measure is appropriate for assessing the sufficiency of the plan's assets to cover the estimated cost of settling the plan's benefit obligations. The funded status measure shows what percentage of the plan's benefit obligations are covered by the plan's assets. The measure is also appropriate for assessing the need for, or amount of, future contributions, as those amounts are recalculated periodically to reflect updates in the obligations and assets.
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Executive Summary
A summary of the key valuation results follows. Prior Report Current Report Valuation Date: June 30, 2021 June 30, 2023
Measurement Date: June 30, 2022 June 30, 2023
Report Date: June 30, 2023 June 30, 2024
Present Value of Future Benefits (PVFB)
Active Employees 21,004,683 $ $ 25,460,948
Retirees + 29,506,693 29,305,345
Total Present Value of Future Benefits = 50,511,376 54,766,293 Present Value of Future Normal Costs (PVFNC) − 9,327,818 9,788,887 Total OPEB Liability (TOL) = 41,183,558 $ 44,977,406 $
OPEB Liability
Active Employees $ 11,676,865 $ 15,672,061
Retirees + 29,506,693 29,305,345
Total OPEB Liability (TOL) = 41,183,558 44,977,406
Fiduciary Net Position (FNP) − 33,964,085 34,514,836
Net OPEB Liability (NOL) = 6,668,722 $ 11,013,321 $
Plan FNP as a Percentage of the TOL 83.81% 75.51%
Plan FNP as a Percentage of the PVFB 68.33% 62.02%
Covered Payroll 26,500,255 $ $ 33,940,588
Net OPEB Liability as a Percentage of Covered Payroll 25.16% 32.45% Measurement Period: 2021–2022 2022–2023
Reporting Period: 2022–2023 2023–2024
Expense $ 2,615,059 $ 3,774,396
Actuarially Determined Contribution (ADC)* 2,241,626 2,321,485 *The Actuarially Determined Contribution includes the implicit subsidy. It is not the amount that the City contributes directly to the fund. See page 17 for the City's direct contribution.
Accounting Summary
Net Position Chart (NOL not shown if 0)
FNP
$34,514,836
FNP
$33,964,085
NOL
$6,668,722
NOL
$11,013,321
TOL
$41,183,558
TOL
$44,977,406
2023 2024
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Executive Summary
Total OPEB Liability as of Measurement Date June 30, 2022 / Report Date June 30, 2023 $ 41,183,558
Service Cost 1,029,240
Interest Cost 2,395,450
Differences Between Expected and Actual Experience
Change in Census 2,329,237
Change in Claims and Premiums 1,171,144
Total Differences Between Expected and Actual Experience 3,500,381 Changes of Assumptions
Change in Healthcare Trends (2,473,519)
Change in Mortality Tables 602,852
Change in Payroll Growth Rate 120,786
Change in Discount Rate from 5.84% to 5.78% 287,048
Change in Other Assumptions 721,268
Total Changes of Assumptions (741,565)
Benefit Payments (1,778,632)
Implicit Subsidy Credit (611,026)
Total OPEB Liability as of Measurement Date June 30, 2023 / Report Date June 30, 2024 $ 44,977,406
Reconciliation of the Change in the Total OPEB Liability Reconciliation of the Change in the Total OPEB Liability A detailed reconciliation of the changes to the Total OPEB Liability since the prior valuation report follows. ($2,473,519) ($1,778,632)
($611,026)
$1,029,240
$2,395,450
$2,329,237
$1,171,144
$602,852
$120,786
$287,048$721,268
$41,183,558 $44,977,406
$10.0 M
$20.0 M
$30.0 M
$40.0 M
$50.0 M
$60.0 M
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Accounting Information
Measurement Date: June 30, 2023
Report Date: June 30, 2024
Assets
Cash and Deposits $ -
Securities Lending Cash Collateral -
Total Cash -
Receivables:
Contributions -
Due from Broker for Investments Sold -
Investment Income (Interest on Investments) -
Other -
Total Receivables -
Investments:
Domestic Fixed Income Securities -
Domestic Equities -
Investment Funds 33,964,085
International Equities -
Real Estate -
Total Investments 33,964,085
Total Assets $ 33,964,085
Liabilities
Payables:
Investment Management Fees $ -
Due to Broker for Investments Purchased -
Collateral Payable for Securities Lending -
Other -
Total Liabilities $ -
Net Position Restricted for Postemployment Benefits Other than Pensions $ 33,964,085 Statement of Fiduciary Net Position
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Accounting Information
Prior Report Current Report
Measurement Date: June 30, 2022 June 30, 2023
Report Date: June 30, 2023 June 30, 2024
Additions
Investment Income:
Net Appreciation in the Fair Value of Investments $ 1,242,694 (4,969,140) $ Interest and Dividends - -
Less Investment Expense, Other than from Securities Lending − 12,434 - Net Income from Investing, Other than from Securities
Lending (4,969,140) 1,230,260
Securities Lending Income - -
Less Securities Lending Expense − - -
Net Income from Securities Lending - -
Other Income/(Expense) 14,627 (22,267)
Net Investment Income (a) 1,244,887 (4,991,407)
Contributions:
Employer — City's Contributions - 1,665,501
Employer — Implicit Subsidy 611,026 576,125
Total Contributions (b) 2,241,626 611,026
Total Additions (c) = (a) + (b) 1,855,913 (2,749,781)
Deductions
Benefit Payments 1,778,632 1,665,501
Implicit Subsidy Credit 611,026 576,125
Administrative Expense 17,006 9,989
Total Deductions (d) 2,251,615 2,406,664
Net Increase in Net Position = (c) − (d) (5,001,396) (550,751) Net Position Restricted for Postemployment Benefits Other than Pensions Beginning of Year 39,516,232 34,514,836
Net Increase in Net Position (5,001,396) (550,751)
End of Year $ 34,514,836 33,964,085 $
Statement of Changes to the Fiduciary Net Position
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Accounting Information
Total OPEB
Liability
Plan Fiduciary
Net Position
Net OPEB
Liability
(a) (b) (c) = (a) ‒ (b)
Balance as of:
Measurement Date June 30, 2022 /
Report Date June 30, 2023 $ 34,514,836 41,183,558 $ 6,668,722 $ Changes for the year:
Service Cost 1,029,240 1,029,240
Interest 2,395,450 2,395,450
Changes of Benefit Terms - -
Differences Between Expected and Actual
Experience 3,500,381 3,500,381
Changes of Assumptions (741,565) (741,565)
Net Investment Income 1,230,260 (1,230,260)
Contributions
Employer — City's Contributions - -
Employer — Implicit Subsidy 611,026 (611,026)
Benefit Payments (1,778,632) (1,778,632) -
Implicit Subsidy Credit (611,026) (611,026) -
Administrative Expense (17,006) 17,006
Other Changes 14,627 - (14,627)
Net Changes (550,751) 3,793,848 4,344,599
Balance as of:
Measurement Date June 30, 2023 /
Report Date June 30, 2024 $ 33,964,085 44,977,406 $ 11,013,321 $ The funded status of the Plan as of the fiscal year-end, as well as other required disclosure information, follows.
Increase / (Decrease)
Changes in the Net OPEB Liability
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Accounting Information
Balances as of Measurement Date June 30, 2023 / Report Date June 30, 2024Deferred Outflows and Inflows of Resources Arising from Differences Between Expected and Actual Experience Measurement Date — June 30:
Experience Losses
(a)
Experience Gains
(b)
Amounts Recognized in Expense Through
Measurement Date June 30, 2023
(c)
Deferred Outflows of
Resources
(a) − (c)
Deferred Inflows of
Resources
(b) − (c)
2017 - $ - $ - $ - $ - $
2018 - - - - -
2019 185,869 - 116,170 69,699 -
2020 - - - - -
2021 2,049,882 - 886,119 1,163,763 -
2022 14,311 - 4,150 10,161 -
2023 3,500,381 - 421,733 3,078,648 -
Total $ - 4,322,271 $
Deferred Outflows and Inflows of Resources Arising from Changes in Assumptions Measurement Date — June 30:
Increase in Total
Liability
(a)
Decrease in Total
Liability
(b)
Amounts Recognized in Expense Through
Measurement Date June 30, 2023
(c)
Deferred Outflows of
Resources
(a) − (c)
Deferred Inflows of
Resources
(b) − (c)
2017 - $ - $ - $ - $ - $
2018 - - - - -
2019 751,478 - 469,675 281,803 -
2020 - - - - -
2021 - (2,475,853) (1,070,256) - (1,405,597)
2022 5,279,367 - 1,530,252 3,749,115 -
2023 - (741,565) (89,346) - (652,219)
Total $ 4,030,918 $ (2,057,816)
Development of Deferred Outflows and Inflows of Resources Precision Actuarial Inc. / GovInvest inc. 10/7/2024 Page | 8 5.1.a Packet Pg. 16
Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal Accounting Information
Balances as of Measurement Date June 30, 2023 / Report Date June 30, 2024Deferred Outflows and Inflows of Resources Arising from Differences Between Projected and Actual Earnings on Investments Measurement Date — June 30:
Investment Earnings
Less Than Projected
(a)
Investment Earnings
Greater Than
Projected
(b)
Amounts Recognized
in Expense Through
Measurement Date
June 30, 2023
(c)
Deferred Outflows of
Resources
(d) = (a) − (c)
Deferred Inflows of
Resources
(e) = (b) − (c)
Net
(f) = (d) + (e)
2017 $ - $ (184,027) $ (184,027) $ - $ -
2018 72,376 - 72,376 - -
2019 - (206,190) (206,190) - -
2020 283,133 - 226,508 56,625 -
2021 - (4,317,021) (2,590,215) - (1,726,806)
2022 7,030,464 - 2,812,186 4,218,278 -
2023 169,835 - 33,967 135,868 -
Total $ 4,410,771 $ (1,726,806) $ 2,683,965
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal Accounting Information
Measurement Period: 2022–2023
Reporting Period: 2023–2024
Expense
Service Cost $ 1,029,240
Interest on Total OPEB Liability 2,395,450
Changes of Benefit Terms -
Recognized Differences Between Expected and Actual Experience 742,415 Recognized Changes of Assumptions 412,963
Projected Earnings on OPEB Plan Investments (1,400,095) Recognized Differences Between Projected and Actual Earnings 592,044 Administrative Expense 17,006
Other Miscellaneous (Income)/Expense (14,627)
Total Expense $ 3,774,396
Deferred Outflows and Inflows of Resources
Deferred Outflows of
Resources
Deferred Inflows of
Resources
Differences Between Expected and Actual Experience $ 4,322,271 $ - Changes of Assumptions 4,030,918 (2,057,816)
Net Difference Between Projected and Actual Earnings on Plan Investments 2,683,965 -
Contributions Subsequent to the Measurement Date 745,419 - Total $ (2,057,816) 11,782,573 $
Report Year Ending June 30: Amount
2025 $ 1,788,658
2026 1,732,037
2027 2,595,432
2028 1,075,858
2029 1,022,859
Remaining 764,494
Expense and Deferred Outflows and Inflows
Report Year Ending June 30, 2024
Amounts reported as deferred outflows of resources and deferred inflows of resources related to OPEB will be recognized in OPEB expense as follows:
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Accounting Information
For the report year ending June 30, 2024
Interest on Total OPEB Liability
Amount for
Period
(a)
Portion of
Period
(b)
Interest Rate
(c)
Interest on the Total
OPEB Liability
(d) = (a) × (b) × (c)
Beginning Total OPEB Liability $ 100% 5.84% 2,405,120 41,183,558 $ Service Cost 100% 5.84% 60,108 1,029,240
Benefit Payments 50% 5.84% (51,936) (1,778,632)
Implicit Subsidy 50% 5.84% (17,842) (611,026)
Total Interest on Total OPEB Liability $ 2,395,450
Projected Earnings on Plan
Investments
Amount for
Period
(a)
Portion of
Period
(b)
Projected Rate
of Return
(c)
Projected Earnings
(d) = (a) × (b) × (c)
Beginning Plan Fiduciary Net
Position Excluding Receivables $ 100% 4.20% 1,449,623 34,514,836 $ Employer Contributions - 50% 4.20% -
Benefit Payments from Trust (1,778,632) 50% 4.20% (37,351) Administrative Expense (17,006) 50% 4.20% (357)
Other Miscellaneous
Income/(Expense) 100% 4.20% 614 14,627
Total Projected Earnings 1,412,529
(Investment Expense) (12,434)
Net Projected Earnings $ 1,400,095
Investment Gain / Loss Amount
Net Projected Earnings $ 1,400,095
Actual Net Earnings − 1,230,260
Investment (Gain) / Loss $ 169,835
Interest on the Liability and Earnings, and Investment Gain/Loss Precision Actuarial Inc. / GovInvest inc. 10/7/2024 Page | 11
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Accounting Information
Asset / (Liability) Deferred Outflows / (Inflows) Expense / (Credit) Asset / (Liability) Total OPEB
Liability
Plan Fiduciary
Net Position
Net OPEB
Liability
Differences
Between
Expected and
Actual
Experience
Changes in
Assumptions
Differences
Between
Projected and
Actual Earnings
on Investments
Contributions
Subsequent to the
Measurement Date Net Deferrals Expense
Impact on the
Statement of Net
Position
(a) (b) (c) = (a) + (b) (d) (e) (f) (g) (h) = ∑[(d):(g)] (i) (j) = (c) + (h) − (i) Balance as of:Measurement Date June 30, 2022 /Report Date June 30, 2023 $ (41,183,558) $ 34,514,836 $ (6,668,722) $ 1,564,305 $ 3,127,630 $ 3,106,174 $ 611,026 $ 8,409,135 $ 1,740,413 Service Cost (1,029,240) (1,029,240) 1,029,240
Interest on Total OPEB Liability (2,395,450) (2,395,450) 2,395,450 Changes of Benefit Terms - - -Differences Between Expected and Actual Experience (3,500,381) (3,500,381) 3,500,381 3,500,381 -Changes in Assumptions 741,565 741,565 (741,565) (741,565) - Differences Between Projected and Actual Earnings on Investments (169,835) (169,835) 169,835 169,835 -Projected Earnings on OPEB Plan Investments 1,400,095 1,400,095 (1,400,095) Contributions
Employer — City's Contribution - - -
Employer — Implicit Subsidy 611,026 611,026 611,026
Benefit Payments 1,778,632 (1,778,632) - -
Implicit Subsidy Credit 611,026 (611,026) - -Administrative Expense (17,006) (17,006) 17,006Other Income/(Expense) 14,627 14,627 (14,627) Recognition of Differences Between Expected and Actual Experience (742,415) (742,415) 742,415Recognition of Changes in Assumptions (412,963) (412,963) 412,963 Recognition of Differences Between Projected and Actual Earnings on Investments (592,044) (592,044) 592,044Recognition of Contributions Subsequent to the Measurement Date (611,026) (611,026) (611,026) Contributions Subsequent to the Measurement Date 745,419 745,419 745,419 Annual Expense $ (3,774,396) 3,774,396
Net Change (3,793,848) (550,751) (4,344,599) 2,757,966 (1,154,528) (422,209) 134,393 1,315,622 (3,028,977) Balance as of:Measurement Date June 30, 2023 /Report Date June 30, 2024 $ 33,964,085 (44,977,406) $ (11,013,321) $ 4,322,271 $ 1,973,102 $ $ 2,683,965 $ 745,419 $ 9,724,757 $ (1,288,564) Reconciliation of Expense
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal Accounting Information
Impact on the Statement of Net Position
Measurement Date: June 30, 2022 June 30, 2023
Report Date: June 30, 2023 June 30, 2024
Total OPEB Liability / (Asset) $ 41,183,558 $ 44,977,406 $ 3,793,848 Fiduciary Net Position 34,514,836 33,964,085 (550,751)
Net OPEB Liability / (Asset) 6,668,722 11,013,321 4,344,599 Deferred (Outflows) / Inflows Due To:
Differences between Expected and Actual
Experience (1,564,305) (4,322,271) (2,757,966)
Changes of Assumptions (3,127,630) (1,973,102) 1,154,528 Differences between Projected and Actual
Investment Earnings (3,106,174) (2,683,965) 422,209
(Contributions Subsequent to the Measurement
Date) (611,026) (745,419) (134,393)
Net Deferred (Outlfows) / Inflows (8,409,135) (9,724,757) (1,315,622) Impact on the Statement of Net Position (1,740,413) 1,288,564 3,028,977 Change in Net Position During Report Year
Measurement Date: June 30, 2023
Report Date: June 30, 2024
Impact on the Statement of Net Position, Report
Year Ending June 30, 2023 (1,740,413)
OPEB Expense / (Income) 3,774,396
(Employer Contributions Reported for the Year) (745,419) (Adjustment to Employer Contributions Reported in
the Prior Year) -
Impact on the Statement of Net Position for the
Report Year Ending June 30, 2024 1,288,564
OPEB Expense
Measurement Date: June 30, 2023
Report Date: June 30, 2024
Deterioration / (Improvement) in Net Position 3,028,977 Employer Contributions Reported for the Year 745,419
Adjustment to Employer Contributions Reported in
the Prior Year -
OPEB Expense / (Income) for the Report Year
Ending June 30, 2024 3,774,396
Impact on the Statement of Net Position
Change During
Period
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Accounting Information
Debit (Outflow) Credit (Inflow)
Net OPEB Liability/Asset $ 6,668,722 - $
Differences between Expected and Actual
Experience - 1,564,305
Changes of Assumptions 1,762,349 4,889,979
Differences between Projected and Actual
Investment Earnings - 3,106,174
Contributions Subsequent to the
Measurement Date - 611,026
Impact on Statement of Net Position 1,740,413 -
Debit (Outflow) Credit (Inflow)
Net OPEB Liability/Asset $ 11,013,321 - $
Differences between Expected and Actual
Experience - 4,322,271
Changes of Assumptions 2,057,816 4,030,918
Differences between Projected and Actual
Investment Earnings - 2,683,965
Contributions Subsequent to the
Measurement Date - 745,419
Impact on Statement of Net Position - 1,288,564
Debit Credit
Net OPEB Liability/Asset $ 4,344,599 - $
Deferred Outflows - 2,757,966
Deferred Inflows - -
Deferred Outflows 859,061 -
Deferred Inflows 295,467 -
Deferred Outflows 422,209 -
Deferred Inflows - -
Contributions Subsequent to the
Measurement Date Deferred Outflows - 134,393
OPEB Expense/Credit 3,028,977 -
Total 5,921,336 5,921,336
Change to the Impact on the Statement of
Net Position - 3,028,977
Differences between Expected and Actual
Experience
Changes of Assumptions
Differences between Projected and Actual
Investment Earnings
Sample Journal Entries
Suggested Journal Entries for the Report Year ending June 30, 2024 Beginning Balance
Ending Balance
OPEB-Expense Journal Entries
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Accounting Information
Debit Credit
$ 611,026 $ -
- 611,026
745,419 -
- 745,419
(611,026) -
- (611,026)
Debit Credit
$ - $ -
- -
Debit Credit
$ 611,026 $ -
- 611,026
Contributions Expense
1 The entries here assume that when cash is used to pay benefits that the trust does not reimburse, an account called "Employer Contributions for Retiree Benefits During the Fiscal Year" was debited (increased).
These entries reassign the benefit payments to the OPEB Expense. If the OPEB Expense account was originally debited, then these entries are unnecessary.
2 These entries assume that when premiums are paid for active employees, an account called "Premium Expense During the Fiscal Year" is debited (increased). This entry reverses the portion of the premium payments that represent implicit subsidies, recorded as a retiree liability, and assigns that value to the OPEB Expense.
Premium Expense During the Fiscal Year
Sample Journal Entries
Suggested Journal Entries for the Report Year ending June 30, 2024 Journal Entries — Deferred Outflows
Journal Entries — Implicit Subsidy2
OPEB Expense
Contributions Subsequent to the Measurement Date:
Fiscal Year 2023–2024
Contributions Expense
OPEB Expense
Employer Contributions for Retiree Benefits During the Fiscal Year
Journal Entries — Benefits Paid Outside of the Trust1
Net OPEB Liability/Asset
Contributions Subsequent to the Measurement Date:
Fiscal Year 2022–2023
Adjustment to Employer Contributions in the Prior Year
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Accounting Information
6.9 years
Historical Estimated
Measurement Period: 2023–2024 2024–2025 2025–2026
Report Date (June 30): 2025 2026 2027
Total OPEB Liability $ 46,027,851 42,218,590 $ 47,027,340 $ Fiduciary Net Position − 36,225,569 33,474,713 35,108,774 Net OPEB Liability = 5,993,021 $ 12,553,138 $ 11,918,566 $ All values measured at the beginning of the measurement period.
Amortization Type Open Open Open
Interest Rate Used to Determine Amortization 5.84% 5.78% 5.78% Assumed Rate of Payroll Growth 2.80% 2.80% 2.80%
Amortization Period 6.9 years 8 years 8 years
Amount Recognized, Beginning of Year $ 944,970 $ 1,730,487 $ 1,643,009 It is the policy of the City to allow negative amortizations.
A summary of the information used to establish the amortization amount for the current year and the following year, with respect to the Net OPEB Liability, follows. We recalculate the amortization each fiscal year. If the Net OPEB Liability is negative, it is an asset.
Amortization of the Net OPEB Liability
The City is amortizing the Net OPEB Liability using a level-percent-of-pay method on an open basis. Remaining years of amortization as of the report date of June 30, 2024:
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Accounting Information
Historical Estimated
Measurement Period: 2023–2024 2024–2025 2025–2026
Report Date (June 30): 2025 2026 2027
Service Cost $ 1,058,059 $ 1,065,337 $ 1,095,166
Amortization of the Net OPEB Liability 944,970 1,730,487 1,643,009 Administrative Expense 17,797 - 18,206
Interest 116,977 162,627 159,319
ADC $ 2,120,006 $ 2,976,248 $ 2,915,700
Discount Rate for ADC Calculation 5.84% 5.78% 5.78%
ADC Components
City's Contribution to the Trust Fund $ 2,188,708 - $ $ 2,040,213 Credit for Retiree Benefit Payments Outside of the Trust 1,817,242 - - Credit for Implicit Subsidy 787,540 710,416 875,487
ADC 2,527,658 $ 2,976,248 $ 2,915,700 $
ADC as a Percentage of Payroll 7.24% 8.30% 7.91%
City's Funding Policy
The plan's funding policy will produce high contrbiution amounts until the unfunded amount is fully amortized in 2031, and then will reduce to an amount to cover the service cost, with interest, going forward.
Actuarially Determined Contribution (ADC)
The calculation of the Actuarially Determined Contribution (ADC) follows. The ADC is based on the City's funding policy. The ADC is calculated as of the end of the year.
The ADC is the sum of the service cost, the amortization of the net OPEB liability, and the administrative expense, plus interest (if applicable). For payment of the ADC, however, it comprises three parts: the benefit payments paid outside of the Trust Fund, the credit for the implicit subsidy, and the contribution to the Trust Fund. If the total of the service cost, amortization, and administrative expense is less than the total of the benefit payments and implicit subsidy (if benefit payments are paid outside of the Trust Fund), the contribution to the Trust Fund will be negative and is typically set to zero.
The City's funding policy is to contribute 100% of the ADC each year until the plan is fully funded, and then contribute the greater of the service cost plus the administrative expense (with interest on both) or the total of the benefit payments and the implicit subsidy.
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Accounting Information
Current Retirees Future Retirees Total Current Retirees Future Retirees Total 2024 $ 1,766,679 $ 59,063 $ 1,825,742 $ 718,329 $ 27,090 $ 745,419 $ 2,571,161 2025 1,775,973 146,016 1,921,989 709,263 78,277 787,540 2,709,529 2026 1,806,602 245,630 2,052,232 744,515 130,972 875,487 2,927,719 2027 1,798,375 347,180 2,145,555 739,668 173,998 913,666 3,059,221 2028 1,748,889 434,716 2,183,605 684,034 204,554 888,588 3,072,193 2029 1,727,458 551,430 2,278,888 640,357 268,446 908,803 3,187,691 2030 1,663,799 646,548 2,310,347 590,294 301,762 892,056 3,202,403 2031 1,641,699 738,794 2,380,493 575,972 344,695 920,667 3,301,160 2032 1,609,921 841,250 2,451,171 532,835 402,865 935,700 3,386,871 2033 1,556,655 966,684 2,523,339 464,143 487,315 951,458 3,474,797 2034 1,572,133 1,059,481 2,631,614 437,729 550,098 987,827 3,619,441 2035 1,471,813 1,163,815 2,635,628 323,624 622,858 946,482 3,582,110 2036 1,404,781 1,269,652 2,674,433 200,672 707,485 908,157 3,582,590 2037 1,415,397 1,358,038 2,773,435 139,688 764,467 904,155 3,677,590 2038 1,406,602 1,447,508 2,854,110 84,995 816,102 901,097 3,755,2072039 1,409,862 1,529,818 2,939,680 88,660 857,805 946,465 3,886,1452040 1,409,513 1,607,533 3,017,046 66,589 918,167 984,756 4,001,8022041 1,405,463 1,597,932 3,003,395 79,527 860,267 939,794 3,943,1892042 1,397,635 1,644,347 3,041,982 100,452 879,847 980,299 4,022,281 2043 1,385,889 1,725,609 3,111,498 104,650 945,385 1,050,035 4,161,533 2044 1,370,076 1,711,212 3,081,288 108,980 893,604 1,002,584 4,083,872 2045 1,327,374 1,666,480 2,993,854 94,113 840,891 935,004 3,928,8582046 1,280,262 1,683,773 2,964,035 79,087 871,496 950,583 3,914,6182047 1,200,232 1,700,321 2,900,553 48,888 891,052 939,940 3,840,4932048 1,164,018 1,666,239 2,830,257 50,866 893,031 943,897 3,774,1542049 1,123,682 1,723,992 2,847,674 52,900 945,241 998,141 3,845,815 ⇣⇣ ⇣ ⇣ ⇣ ⇣ ⇣ ⇣
Projected benefit payments for current participants follow. "Future Retirees" are employees currently working, but projected to retire and receive benefits. The projections do not include benefits for employees hired in the future.
Projection of Benefit Payments
Projected Retiree Benefit Payments Projected Implicit Subsidy Grand Total
Measurement Period Ending June 30:
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal Accounting Information
$-
$500,000
$1,000,000 $1,500,000 $2,000,000 $2,500,000 $3,000,000 $3,500,000 $4,000,000 $4,500,000 Projected Benefit Payments for Current Participants
Current Retirees Benefit Payments Future Retirees Benefit Payments Current Retirees Implicit Subsidy Future Retirees Implicit Subsidy Precision Actuarial Inc. / GovInvest inc. 10/7/2024 Page | 19 5.1.a Packet Pg. 27
Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal Accounting Information
(a) (b) (c) (d) = (f) − (e) (e) = (b) × 3.19%** (f) = (c) × 7.91% 2024 $ - 34,890,925 $ 34,890,925 $ 2,527,658 $ - $ 2,527,658 $ 2025 33,738,925 2,128,946 35,867,871 2,908,335 67,913 2,976,248 2026 33,253,066 3,619,105 36,872,171 2,800,251 115,449 2,915,700 2027 32,793,739 5,110,853 37,904,592 2,835,217 163,036 2,998,253 2028 32,274,047 6,691,873 38,965,920 2,868,733 213,471 3,082,204 2029 31,601,425 8,455,540 40,056,965 2,898,774 269,732 3,168,506 2030 30,912,478 10,266,082 41,178,560 2,929,736 327,488 3,257,2242031 30,274,453 12,057,107 42,331,560 2,963,804 384,622 3,348,4262032 29,397,534 14,119,309 43,516,843 942,133 450,406 1,392,539 2033 28,667,292 16,068,023 44,735,314 918,960 512,570 1,431,530 2034 27,909,974 18,077,929 45,987,903 894,927 576,686 1,471,613 2035 27,214,551 20,061,013 47,275,564 872,872 639,946 1,512,818 2036 26,375,483 22,223,797 48,599,280 846,238 708,939 1,555,177 2037 25,599,993 24,360,067 49,960,060 821,636 777,086 1,598,722 2038 24,794,798 26,564,143 51,358,942 796,090 847,396 1,643,486 2039 24,005,229 28,791,763 52,796,992 771,047 918,457 1,689,504 2040 23,257,425 31,017,882 54,275,307 747,340 989,470 1,736,810 2041 22,293,005 33,502,011 55,795,016 716,727 1,068,714 1,785,4412042 21,230,130 36,127,146 57,357,277 682,977 1,152,456 1,835,4332043 20,205,021 38,758,260 58,963,281 650,436 1,236,389 1,886,8252044 19,095,463 41,518,790 615,207 60,614,252 1,324,449 1,939,656 2045 17,964,943 44,346,508 62,311,451 579,312 1,414,654 1,993,966 2046 16,731,216 47,324,955 64,056,171 540,131 1,509,666 2,049,797 2047 15,503,627 50,346,118 65,849,745 501,151 1,606,041 2,107,192 ⇣⇣ ⇣ ⇣ ⇣ ⇣ ⇣
*The contributions for the first three years are calculated separately. Contributions for subsequent years use the percentages shown.**The service cost percentage was determined in the prior report. If benefit payments are higher, they are used in place of the calculated amount.
Projection of Contributions
Payroll Projected Contributions*
Measurement Period Ending June 30:
Related to Payroll of
Future Employees
Total at 7.90% for 8
Years, Then at
Current Employees Future Employees Total Current Participants 3.19% Precision Actuarial Inc. / GovInvest inc. 10/7/2024 Page | 20 5.1.a Packet Pg. 28
Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal Accounting Information
Projection of Contributions Charts
Projected Payroll for Current and Future Employees
Projected Employer Contributions for Current and Future Plan Participants $20.0 M
$40.0 M
$60.0 M
$80.0 M
$100.0 M
$120.0 M
$140.0 M
$160.0 M
Projected Payroll
Current Participants — Employer Future Employees
$0.5 M
$1.0 M
$1.5 M
$2.0 M
$2.5 M
$3.0 M
$3.5 M
$4.0 M
$4.5 M
$5.0 M
Projected Employer Contributions
Current Participants Future Participants
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Accounting Information
Measurement Period Ending June 30:
Investment
Rate of
Return
(a)
Projected
Beginning
Fiduciary Net
Position
(b)
Total Contributions
for Current
Participants
(c)
Projected Benefit
Payments (Including
Implicit Subsidy)
(d)
Projected
Administrative
Expense
(e)
Projected
Investment
Earnings
(f)
Projected Ending
Fiduciary Net
Position
(g) = [(b) : (f)]
2024 4.20% 33,964,085 $ $ 2,527,658 $ (2,571,161) $ (17,397) $ 1,425,213 $ 35,328,398 2025 4.20% 35,328,398 2,908,335 (2,709,529) (17,797) 1,487,594 36,997,001 2026 4.20% 36,997,001 2,800,251 (2,927,719) (18,206) 1,550,815 38,402,142 2027 4.20% 38,402,142 2,835,217 (3,059,221) (18,625) 1,607,795 39,767,308 2028 4.20% 39,767,308 2,868,733 (3,072,193) (19,053) 1,665,554 41,210,349 2029 5.90% 41,210,349 2,898,774 (3,187,691) (19,491) 2,422,313 43,324,254 2030 5.90% 43,324,254 2,929,736 (3,202,403) (19,939) 2,547,499 45,579,147 2031 5.90% 45,579,147 2,963,804 (3,301,160) (20,398) 2,678,616 47,900,009 2032 5.90% 47,900,009 942,133 (3,386,871) (20,867) 2,753,365 48,187,7692033 5.90% 48,187,769 918,960 (3,474,797) (21,347) 2,767,051 48,377,6362034 5.90% 48,377,636 894,927 (3,619,441) (21,838) 2,773,263 48,404,5472035 5.90% 48,404,547 872,872 (3,582,110) (22,340) 2,775,287 48,448,2562036 5.90% 48,448,256 846,238 (3,582,590) (22,854) 2,777,051 48,466,1012037 5.90% 48,466,101 821,636 (3,677,590) (23,380) 2,774,560 48,361,3272038 5.90% 48,361,327 796,090 (3,755,207) (23,918) 2,765,319 48,143,611 2039 5.90% 48,143,611 771,047 (3,886,145) (24,468) 2,747,856 47,751,9012040 5.90% 47,751,901 747,340 (4,001,802) (25,031) 2,720,617 47,193,0252041 5.90% 47,193,025 716,727 (3,943,189) (25,607) 2,688,452 46,629,4082042 5.90% 46,629,408 682,977 (4,022,281) (26,196) 2,651,853 45,915,7612043 5.90% 45,915,761 650,436 (4,161,533) (26,799) 2,604,662 44,982,5272044 5.90% 44,982,527 615,207 (4,083,872) (27,415) 2,550,835 44,037,2822045 5.90% 44,037,282 579,312 (3,928,858) (28,046) 2,498,561 43,158,2512046 5.90% 43,158,251 540,131 (3,914,618) (28,691) 2,445,943 42,201,0162047 5.90% 42,201,016 501,151 (3,840,493) (29,351) 2,390,484 41,222,8072048 5.90% 41,222,807 460,616 (3,774,154) (30,026) 2,333,510 40,212,753 ⇣⇣ ⇣ ⇣ ⇣ ⇣ ⇣ ⇣
Projection of Fiduciary Net Position
Current Participants Only
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal Accounting Information
The investment earnings are determined using an investment rate of return of 4.20% for years 1–5 and 5.90% for years 5+ Measurement Period Ending June 30:
Projected
Beginning
Fiduciary Net
Position
Total Projected
Benefit Payments
Funded Portion
of Benefit
Payments
Unfunded Portion
of Benefit
Payments
Present Value of
Funded Benefit
Payments at the
Investment Rate
of Return
Present Value of
Unfunded Benefit
Payments at
3.86%
Present Value of
Benefit Payments
at an Equivalent
Single Discount
Rate of 5.78%
2024 $ 33,964,085 $ 2,571,161 $ 2,571,161 $ 2,518,810 - $ $ 2,499,928 - $ 2025 35,328,398 2,709,529 2,709,529 2,547,371 - 2,490,511 - 2026 36,997,001 2,927,719 2,927,719 2,641,558 - 2,544,020 - 2027 38,402,142 3,059,221 3,059,221 2,648,950 - 2,513,034 - 2028 39,767,308 3,072,193 3,072,193 2,552,959 - 2,385,791 - 2029 41,210,349 3,187,691 3,187,691 2,325,672 - 2,340,220 - 2030 43,324,254 3,202,403 3,202,403 2,206,237 - 2,222,557 - 2031 45,579,147 3,301,160 3,301,160 2,147,568 - 2,165,907 - 2032 47,900,009 3,386,871 3,386,871 2,080,573 - 2,100,721 - 2033 48,187,769 3,474,797 3,474,797 2,015,663 - 2,037,490 - 2034 48,377,636 3,619,441 3,619,441 1,982,595 - 2,006,338 - 2035 48,404,547 3,582,110 3,582,110 1,852,829 - 1,877,146 - 2036 48,448,256 3,582,590 3,582,590 1,749,837 - - 1,774,813 2037 48,466,101 3,677,590 3,677,590 1,696,164 - 1,722,325 - 2038 48,361,327 3,755,207 3,755,207 1,635,470 - 1,662,579 - 2039 48,143,611 3,886,145 3,886,145 1,598,202 - 1,626,536 - 2040 47,751,901 4,001,802 4,001,802 1,554,076 - 1,583,423 - 2041 47,193,025 3,943,189 3,943,189 1,446,000 - 1,474,977 - 2042 46,629,408 4,022,281 4,022,281 1,392,827 - 1,422,350 - 2043 45,915,761 4,161,533 4,161,533 1,360,762 - 1,391,182 - 2044 44,982,527 4,083,872 4,083,872 1,260,971 - 1,290,622 - 2045 44,037,282 3,928,858 3,928,858 1,145,521 - 1,173,788 - 2046 43,158,251 3,914,618 3,914,618 1,077,780 - 1,105,629 - ⇣⇣ ⇣ ⇣ ⇣ ⇣ ⇣ ⇣
Depletion Date Projection
Current Participants Only
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal Accounting Information
$10.0 M$20.0 M$30.0 M$40.0 M$50.0 M$60.0 M
Depletion Date Projection
Funded Portion of Benefit Payments Projected Beginning Fiduciary Net Position Precision Actuarial Inc. / GovInvest inc. 10/7/2024 Page | 24 5.1.a Packet Pg. 32
Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal Accounting Information
Measurement Date (June 30): 2021 2022 2023
Report Date (June 30): 2022 2023 2024
Retiree Benefit Payments $ 32,304,091 27,055,650 $ 35,230,369 $ Implicit Subsidy 7,827,273 8,879,467 9,747,037
Total OPEB Liability $ 41,183,558 34,882,923 $ 44,977,406 $ Discount Rate 7.11% 5.84% 5.78%
Schedule of Implicit Subsidy Liability (Not a Required Schedule) Actuarial standard of practice (ASOP) number 6, "Measuring Retiree Group Benefits Obligations and Determining Retiree Group Benefits Program Periodic Costs or Actuarially Determined Contributions," requires the inclusion of the implicit subsidy in OPEB valuations.The implicit subsidy arises when an employer allows a retiree and the retiree's dependents to continue on the plans for active employees, and pay the active-employee premiums. Retirees are not paying the true cost of their benefits because they have higher costs than active employees, and therefore are partially subsidized by the active employees. Once a retiree reaches Medicare eligibility, the rates are set for Medicare retirees separately, and are set to be sufficient to cover the true costs of the Medicare retirees. Thus, there is no implicit subsidy for Medicare retirees. $27.1M $32.3M $35.2M
$7.8M
$8.9M $34.9M $9.7M
$41.2M
$45.0M
2022 2023 2024
Retiree Benefit Payments and Implicit Subsidy
Implicit SubsidyRetiree Benefit Payments
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal Accounting Information
Schedule of Deferred Outflows and Inflows of Resources
2023 2024 2025 2026 2027 20282024 2025 2026 2027 2028 2029 2016–2017 $ - $ - 8.6 2.6 $ - $ - $ - $ - $ - $ - $ -2017–2018 - - 8.6 3.6 - - - - - - - 2018–2019 185,869 92,936 8.0 4.0 23,234 23,234 23,234 23,231 - - - 2019–2020 - - 8.0 5.0 - - - - - - - 2020–2021 2,049,882 590,746 6.9 4.9 295,373 295,373 295,373 295,373 277,644 - - 2021–2022 14,311 2,075 6.9 5.9 2,075 2,075 2,075 2,075 2,075 1,861 - 2022–2023 3,500,381 - 8.3 8.3 421,733 421,733 421,733 421,733 421,733 421,733 969,983 2016–2017 - - 8.6 2.6 - - - - - - - 2017–2018 - - 8.6 3.6 - - - - - - - 2018–2019 751,478 375,740 8.0 4.0 93,935 93,935 93,935 93,933 - - - 2019–2020 - - 8.0 5.0 - - - - - - -
2020–2021 (2,475,853) (713,504) 6.9 4.9 (356,752) (356,752) (356,752) (356,752) (335,341) - - 2021–2022 5,279,367 765,126 6.9 5.9 765,126 765,126 765,126 765,126 765,126 688,611 - 2022–2023 (741,565) - 8.3 8.3 (89,346) (89,346) (89,346) (89,346) (89,346) (89,346) (205,489) 2016–2017 (184,027) (184,027) 5.0 0.02017–2018 72,376 72,376 5.0 0.0 2018–2019 (206,190) (164,952) 5.0 1.0 (41,238)
2019–2020 283,133 169,881 5.0 2.0 56,627 56,625 2020–2021 (4,317,021) (1,726,810) 5.0 3.0 (863,405) (863,405) (863,401)2021–2022 7,030,464 1,406,093 5.0 4.0 1,406,093 1,406,093 1,406,093 1,406,0922022–2023 169,835 - 5.0 5.0 33,967 33,967 33,967 33,967 33,967 Summary of Deferred Outflows and Inflows of Resources
Measurement Period: July 1, 2022 – June 30, 2023
Fiscal Reporting Period: July 1, 2023 – June 30, 2024
Measurement Years Ending June 30: 2023 2024 2025 2026 2027 2028 Report Years Ending June 30: 2024 2025 2026 2027 2028 2029 Differences Between Expected and Actual Experience $ 742,415 $ 742,415 $ 742,415 $ 742,412 $ 701,452 $ 423,594 $ 969,983 Changes of Assumptions 412,963 412,963 412,963 412,961 340,439 599,265 (205,489) Differences Between Projected and Actual Earnings 592,044 633,280 576,659 1,440,059 33,967 - - Total $ 1,747,422 $ 1,788,658 $ 1,732,037 $ 2,595,432 $ 1,075,858 $ 1,022,859 $ 764,494 RemainingRemaining
Schedule of Deferred Outflows and Inflows of Resources
Increase/(Decrease) in Expense: Measurement / Report Years Ending June 30:
Measurement Period Base Amount
Recognition
Period
Remaining
Period
Changes of AssumptionsDifferences Between Projected and Actual EarningsDifferences Between Expected and Actual Experience Amount
Previously
Recognized
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal Accounting Information
GASB 75 requires a disclosure of the changes in the Net OPEB Liability for the last ten fiscal years, or for as many years as are available.
Measurement Date (June 30): 2017 2018 2019 2020 2021 2022 2023 Report Date (June 30): 2018 2019 2020 2021 2022 2023 2024 Total OPEB Liability
Service Cost $ 1,184,356 $ 1,261,339 $ 1,430,642 $ 979,601 $ 1,006,540 $ 791,800 $ 1,029,240 Interest 1,731,659 1,855,327 1,983,605 2,133,805 2,217,350 2,456,783 2,395,450 Changes of Benefit Terms - - - - - - -
Differences Between Expected and
Actual Experience - - 185,869 2,049,882 - 14,311 3,500,381 Changes of Assumptions - - 751,478 (2,475,853) - 5,279,367 (741,565) Benefit Payments (1,051,859) (1,112,432) (1,512,507) (1,206,708) (1,508,627) (1,665,501) (1,778,632) Implicit Rate Subsidy Credit - - - (460,335) (534,423) (576,125) (611,026) Net Change in Total OPEB Liability 1,864,156 2,004,234 2,839,087 1,446,363 754,869 6,300,635 3,793,848 Total OPEB Liability — Beginning 27,838,370 25,974,214 29,842,604 32,681,691 34,128,054 34,882,923 41,183,558 Total OPEB Liability — Ending (a) 27,838,370 $ 29,842,604 $ 32,681,691 $ 34,128,054 $ 34,882,923 $ 41,183,558 $ 44,977,406 $ Plan Fiduciary Net Position
Net Investment Income $ 1,851,190 $ 1,734,983 $ 2,047,647 $ 1,685,464 $ 6,444,525 $ (4,969,140) $ 1,230,260 Employer — City's Contributions 2,533,034 538,318 1,206,837 1,206,708 1,808,627 1,665,501 - Employer — Implicit Subsidy - - - 460,335 534,423 576,125 611,026 Benefit Payments (1,051,859) (1,112,432) (1,512,507) (1,206,708) (1,508,627) (1,665,501) (1,778,632) Implicit Subsidy Credit - - - (460,335) (534,423) (576,125) (611,026) Administrative Expense (12,850) (14,425) (14,388) (15,625) (17,757) (9,989) (17,006) Other Miscellaneous
Income/(Expense) - - - - - (22,267) 14,627
Net Change in Plan Fiduciary Net
Position 1,146,444 3,319,515 1,727,589 1,669,839 6,726,768 (5,001,396) (550,751) Plan Fiduciary Net Position —
Beginning 28,245,592 24,926,077 29,086,366 31,119,625 32,789,464 39,516,232 34,514,836 Plan Fiduciary Net Position — Ending
(b) $ 29,392,036 28,245,592 $ 30,813,955 $ 32,789,464 $ 39,516,232 $ 34,514,836 $ 33,964,085 $ Net OPEB Liability
City's Net OPEB Liability — Ending =
(a) ‒ (b) $ 450,568 (407,222) $ 1,867,736 $ 1,338,590 $ (4,633,309) $ 6,668,722 $ 11,013,321 $ Plan Fiduciary Net Position as a
Percentage of the Total OPEB
Liability 101.5% 98.5% 94.3% 96.1% 113.3% 83.8% 75.5%
Covered Payroll $ 30,618,811 29,187,767 $ 33,203,415 $ 32,969,072 $ 31,416,882 $ 26,500,255 $ 33,940,588 $ City's Net OPEB Liability as a
Percentage of Covered Payroll -1.4% 1.5% 5.6% 4.1% -14.7% 25.2% 32.4% Notes to schedule: the City adopted GASB 75 for the fiscal year ending June 30, 2017.
Schedule of Changes in the Net OPEB Liability and Related Ratios Precision Actuarial Inc. / GovInvest inc. 10/7/2024 Page | 27 5.1.a Packet Pg. 35
Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal Accounting Information
$27.8M
$29.8M
$32.7M
$34.1M $34.9M
$41.2M
$45.0M
$28.2M
$29.4M
$30.8M
$32.8M
$39.5M
$34.5M $34.0M
-1.4%
1.5%
5.6% 4.1%
-14.7%
25.2%
32.4%
101.5%
98.5%
94.3% 96.1%
113.3%
83.8%
75.5%
-40.0%-20.0%0.0%20.0%40.0%60.0%80.0%100.0%120.0%
$5.0 M
$10.0 M$15.0 M$20.0 M$25.0 M$30.0 M$35.0 M$40.0 M$45.0 M$50.0 M 2018 2019 2020 2021 2022 2023 2024
Schedule of Changes in the Net OPEB Liability and Related Ratios Total OPEB Liability Fiduciary Net Position Net OPEB Liability as a % of Covered Payroll Funded Ratio Precision Actuarial Inc. / GovInvest inc. 10/7/2024 Page | 28 5.1.a Packet Pg. 36
Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal Accounting Information
Measurement Date (June 30): 2017 2018 2019 2020 2021 2022 2023 Report Date (June 30): 2018 2019 2020 2021 2022 2023 2024 Annual Money-Weighted Rate of Return, Net of
Investment Expense 7.21% 6.24% 7.04% 5.42% 19.57% -12.58% 3.66% Schedule of Investment Returns
A schedule of investment returns for the last ten fiscal years, or for as many years as are available if less than ten years are available, follows.The annual money-weighted rate of return, net of investment expenses, is the net investment income for the year divided by the average net position for the year (less investment expenses).
7.21% 6.24% 7.04% 5.42%
19.57%
-12.58%
3.66%
-15.00%-10.00%
-5.00%
0.00%5.00%
10.00%15.00%20.00%25.00%
2018 2019 2020 2021 2022 2023 2024
Investment Returns
Investment Return
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal Accounting Information
Measurement Period: 2017–2018 2018–2019 2019–2020 2020–2021 2021–2022 2022–2023 Reporting Period: 2018–2019 2019–2020 2020–2021 2021–2022 2022–2023 2023–2024 Report Date (June 30): 2019 2020 2021 2022 2023 2024
Actuarially Determined
Contribution (ADC) $ 1,612,619 1,343,326 $ 1,400,270 $ 1,377,887 $ 2,241,626 $ 2,321,485 $ Less: Contributions Made in
Relation to the ADC − 1,206,837 538,318 1,667,043 2,343,050 2,241,626 611,026 Contribution Deficiency
(Excess) 405,782 805,008 (266,773) (965,163) - 1,710,459 Covered Payroll $ 33,203,415 30,618,811 $ 32,969,072 $ 31,416,882 $ 26,500,255 $ 33,940,588 $ Contributions as a Percentage
of Covered Payroll 1.76% 3.63% 5.06% 7.46% 8.46% 1.80%
Notes to Schedule:
Assumptions and Methods
Actuarial Cost Method: Entry-age normal, level percent of pay Amortization Method: Open period, level percent of pay
Amortization Period: 8 years
Inflation:
Assumed Payroll Growth:
Healthcare Trend Rates: 7.40%, trending down to 4.14%
Rate of Return on Assets:
Mortality Rate: CalPERS Rates. See appendix.
Retirement Rates: CalPERS Rates. See appendix.
2.80%4.20%
Schedule of Contributions
GASB 75 requires a schedule of contributions for the last ten fiscal years, or for as many years as are available if less than ten years are available.
2.30%
1.76%
3.63%
5.06%
7.46%
8.46%
$0.5 M 1.80%$1.0 M$1.5 M$2.0 M$2.5 M
2019 2020 2021 2022 2023 2024
ADC, Contributions, and Percentage of Payroll
Actuarially Determined Contribution (ADC) Contributions Made in Relation to the ADC Contributions as a Percentage of Covered Payroll Precision Actuarial Inc. / GovInvest inc. 10/7/2024 Page | 30 5.1.a Packet Pg. 38
Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal Accounting Information
Summary of Significant Accounting Policies
Other Postemployment Benefits Other Than Pensions (OPEB) Note X — Other Post-Employment Benefits (OPEB)
Category Count
Inactive employees, spouses, or beneficiaries currently receiving benefit payments: 145 Inactive employees entitled to but not yet receiving benefit payments: 0 Active employees: 291
Total 436
Draft Notes to the Financial Statements
Employees Covered by Benefit Terms
At June 30, 2023 (the census date), the benefit terms covered the following employees:
A draft of the required notes to the City's financial statements, based on the requirements of GASB 75 and our understanding of the City's retiree health plan, follows.
Notes to the Financial Statements
for the Year Ended June 30, 2024
For purposes of measuring the net OPEB liability, deferred outflows of resources and deferred inflows of resources related to OPEB and the OPEB expense information about the fiduciary net position of the City's OPEB Plan (the Plan) and additions to/deductions from the Plan's fiduciary net position have been determined on the same basis as they are reported by the Plan. For this purpose, the Plan recognizes benefit payments when due and payable in accordance with the benefit terms.
Plan Description
The City administers a single-employer defined-benefit post-employment healthcare plan (the Plan).
Dependents are eligible to enroll, and benefits continue to surviving spouses.
Benefits Provided
Eligibility for retiree health benefits requires retirement from the City on or after age 50 (age 52 for PEPRA New hires) with at least five years of CalPERS service. Furthermore, benefits offered are based on the class of the employee (Miscellaneous & Safety) and employee's date of hire. For further details about the benefits provided in the Plan, please the the Substantive Plan of this report. The City maintains the authority under which benefit terms are established or may be amended.
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Accounting Information
Contributions
Contribution rate: 7.90% for 8 years,
3.19% thereafter.
Reporting period contributions: 611,026 $ (Includes implicit subsidy credit.) Financial Report
Net OPEB Liability
Actuarial Assumptions
Measurement Date: June 30, 2022 June 30, 2023
Discount Rate 5.84% 5.78%
Investment Rate of Return 4.20% / 5.90% 4.20% / 5.90% 1–5- years / 6+ years Inflation 2.30% 2.30%
Healthcare Cost Trend Rates
Pre-Medicare 6.50% 7.40% *
Medicare 5.50% 4.20% *
Salary Increases 2.80% 2.80% **
Mortality Rates
Discount Rate
*Trending down to 4.14% over 52 years. Applies to calendar years. **Additional merit-based increases based on CalPERS merit salary increase tables.
The City issues a stand-alone financial report that is available to the public. The report is available at:
• Inactive employees (retirees) pay the cost of benefits in excess of the City's contribution. • There were no ad hoc postemployment benefit changes (including ad hoc COLAs) to the plan.
GASB 75 allows the use of a discount rate that is up to the expected long-term rate of return on the assets in the Trust set aside to pay benefits, if the plan sponsor makes regular contributions to the Trust such that the assets are not depleted at any point in the future. If the Plans' actuary determines that contributions are not sufficient to keep the Trust funded, a blend of the long-term rate of return and the yield or index rate for 20- year, tax-exempt municipal bonds will be used for the periods when the Trust funds are not sufficient to cover benefit payments. Based on this requirement, and with the approval of the plan sponsor, the discount rate used to measure the total OPEB liability is 5.78%.
• There were no changes between the measurement date and the report date that are expected to have a significant effect on the net OPEB liability.
https://www.sanramon.ca.gov/our_city/annual_report
Draft Notes to the Financial Statements
The City makes contributions based on an actuarially determined rate.
The City's total OPEB liability was valued as of June 30, 2023, and was used to calculate the net OPEB liability measured as of June 30, 2023.
The total OPEB liability in the June 30, 2023 actuarial valuation was determined using the following actuarial assumptions, applied to all periods included in the measurement, unless otherwise specified:
• Experience studies come from the CalPERS Pension Assumption Model, effective November 17, 2021. • Projections of the sharing of benefit-related costs are based on an established pattern of practice.
Based on CalPERS Tables
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Accounting Information
Long-Term Expected Real Rate of Return
Strategy I Strategy II Strategy III
Asset Class
Global Equity 6.8% 49% 34% 23%
Fixed Income 3.7% 23% 41% 51%
REITS 6.0% 20% 17% 14%
TIPS 2.8% 5% 5% 9%
Commodities 3.4% 3% 3% 3%
Total/Average 100% 100% 100%
CERBT Inflation
Expected Compound Return (1–5 Years) 2.4% 5.1% 4.2% 3.5% Expected Compound Return (6–20 Years) 2.3% 6.3% 5.9% 5.5% Expected Compound Return (1–20 Years) 2.3% 6.0% 5.5% 5.0% Expected Volatility 12.1% 9.9% 8.4%
Plan
The Plan's expected return is weighted by the Plan's expected cash flow.
Expected Compound Return (1–20 Years) 2.3% n/a 5.78% n/a Current Liability Amount
Current OPEB Liability $ 2,498,942
Non-Current OPEB Liability 42,478,464
Total OPEB Liability $ 44,977,406
Expected Average Remaining Service Lives (EARSL)
EARSL: 8.3 years
The long-term expected rate of return is determined using the long-term rates of return developed by the CalPERS Investment Office for financial reporting after September 30, 2022.
Draft Notes to the Financial Statements
The effects on the total OPEB liability of (1) changes of economic and demographic assumptions or of other inputs and (2) differences between expected and actual experience are required to be included in the OPEB expense in a systematic and rational manner over a closed period equal to the average of the expected remaining service lives of all employees that are provided with benefits through the OPEB plan (active employees and inactive employees), beginning in the current period. The expected average remaining service lives (EARSL) for the current period follows. Note, however, that for calculation purposes, we use 1 when calculating amortizations if the EARSL is less than 1 year. 1–20 Year Projected Compound Return Allocation
Expected Compound Return
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Accounting Information
Changes in the Net OPEB Liability
Total OPEB
Liability
Plan Fiduciary
Net Position
Net OPEB
Liability
(a) (b) (c) = (a) − (b)
Balance as of Report Date June 30, 2023 $ 41,183,558 $ 34,514,836 $ 6,668,722 Changes for the Year:
Service Cost 1,029,240 1,029,240
Interest 2,395,450 2,395,450
Changes of Benefit Terms - -
Differences Between Expected and Actual
Experience
3,500,381 3,500,381
Changes of Assumptions (741,565) (741,565)
Contributions
Employer — City's Contributions - -
Employer — Implicit Subsidy 611,026 (611,026)
Net Investment Income 1,230,260 (1,230,260)
Benefit Payments (1,778,632) (1,778,632) -
Implicit Subsidy Credit (611,026) (611,026) -
Administrative Expense (17,006) 17,006
Other Miscellaneous Income/(Expense) 14,627 - (14,627)
Net Changes (550,751) 3,793,848 4,344,599
Balance as of Report Date June 30, 2024 $ 33,964,085 44,977,406 $ 11,013,321 $ Increase/(Decrease)
Draft Notes to the Financial Statements
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Accounting Information
Sensitivity of Liabilities to Changes in the Discount Rate and Healthcare Cost Trend Rate 1% Decrease Discount Rate 1% Increase
4.78% 5.78% 6.78%
Total OPEB Liability (Asset) $ 44,977,406 50,250,221 $ 40,564,033 $ Increase (Decrease) 5,272,815 (4,413,373)
% Change 11.7% -9.8%
Net OPEB Liability (Asset) 16,286,136 $ 11,013,321 $ 6,599,948 $ Increase (Decrease) 5,272,815 (4,413,373)
% Change 47.9% -40.1%
1% Decrease Trend Rate 1% Increase
6.40% 7.40% 8.40%
Total OPEB Liability (Asset) $ 40,203,191 $ 44,977,406 $ 50,737,235 Increase (Decrease) (4,774,215) 5,759,829
% Change -10.6% 12.8%
Net OPEB Liability (Asset) $ 6,239,106 $ 11,013,321 $ 16,773,150 Increase (Decrease) (4,774,215) 5,759,829
% Change -43.3% 52.3%
Draft Notes to the Financial Statements
Sensitivity of the total and net OPEB liability to changes in the discount rate. The total and net OPEB liability of the City, as well as what the City's total and net OPEB liability would be if they were calculated using a discount rate that is one percentage point lower (4.78%) or one percentage point higher (6.78%) follows:
Sensitivity of the total OPEB liability to changes in the healthcare cost trend rates.The healthcare trend for this valuation started at 7.40% and decreased to 4.14% over 52 years. The total OPEB liability of the City, as well as what the City's total OPEB liability would be if it were calculated using healthcare cost trend rates that are one percentage point lower (6.40%) or one percentage point higher (8.40%) than current healthcare cost trend rates follows:
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Accounting Information
Deferred Outflows of
Resources
Deferred Inflows of
Resources
Differences Between Actual and Expected Experience $ 4,322,271 $ - Changes of Assumptions 4,030,918 (2,057,816)
Net Difference Between Projected and Actual Earnings on OPEB Plan Investments 2,683,965 -
Contributions Subsequent to the Measurement Date 745,419 - Total $ 11,782,573 (2,057,816) $
Report Year Ending June 30: Amount
2025 $ 1,788,658
2026 1,732,037
2027 2,595,432
2028 1,075,858
2029 1,022,859
Remaining 764,494
OPEB Expense and Deferred Inflows and Outflows of Resources Related to OPEB Amounts reported as deferred outflows of resources and deferred inflows of resources related to OPEB will be recognized in OPEB expense as follows:
For the report year ended June 30, 2024, the City recognized an OPEB expense of $3,774,396. The City reported deferred outflows of resources and deferred inflows of resources related to OPEB from the following sources:
Draft Notes to the Financial Statements
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Basis of Valuation
Duration of Coverage
Dependent Coverage
Medical Plan Choices
Medical, Dental, and Vision
Benefits & Eligibility
Eligibility for Retiree
Medical, Dental, & Vision
Benefits
Eligibility for PEMHCA-Only
Benefits
Years of Service City Contribution (% of Premiums)
0-3 0%
4-7 50%
8-11 75%
12+ 100%
Eligibility for Retiree
Medical, Dental, & Vision
Benefits
Eligibility for PEMHCA-Only
Benefits
Years of Service City Contribution (% of Premiums)
0-3 0%
4-7 50%
8-11 75%
12+ 100%
Same as actives.
Substantive Plan
A summary of the substantive plan used as the basis of the valuation follows.
All Retirees
Retiree’s lifetime.
Coverage beyond PEMHCA Minimum Benefit ends upon retiree’s death.
Age 50 with at least 5 years of CalPERS service and 4 years of City service.
PEMHCA-Only benefits are only offered to surviving spouses. Retiree benefits receive benefits greater than the PEMHCA Minimum Benefit.
Benefit Amounts
Percentage of premium paid by City is determined based on date of hire and employee class (i.e. Miscellaneous or Safety).
Miscellaneous Employees (Non-Safety) hired on or before July 1, 2006 Age 50 with at least 5 years of CalPERS service and 4 years of City service.
PEMHCA-Only benefits are only offered to surviving spouses. Retiree benefits receive benefits greater than the PEMHCA Minimum Benefit.
Benefit Amounts
Safety Employees hired on or before July 1, 2007
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Basis of Valuation
Eligibility for Retiree
Medical, Dental, & Vision
Benefits
Eligibility for PEMHCA-Only
Benefits
Benefit Amounts
Years of Service City Contribution (% of Premiums)
5 25%
6 30%
7 35%
8 40%
⋮ ⋮
18 90%
19 95%
20 100%
Eligibility for Retiree
Medical, Dental, & Vision
Benefits
Eligibility for PEMHCA-Only
Benefits
Benefit Amounts
Years of Service City Contribution (% of Premiums)
5 25%
6 30%
7 35%
8 40%
⋮ ⋮
18 90%
19 95%
20 100%
Eligibility for PEMHCA-Only
Benefits
Benefit Amounts
City Contributions toward premiums begin at 25% for 5 years of service and increase by 5% per year of service.
Substantive Plan
A summary of the substantive plan used as the basis of the valuation follows.
Miscellaneous Employees (Non-Safety) hired after July 1, 2006 and before July 1, 2014 Age 50 with at least 5 years of CalPERS service.
PEMHCA-Only benefits are only offered to surviving spouses. Retiree benefits receive benefits greater than the PEMHCA Minimum Benefit.
All Employees hired after July 1, 2014
Age 50 with at least 5 years of CalPERS service.
$151 monthly (2023 amount) with annual increase.
Safety Employees hired after July 1, 2007 and before July 1, 2014 Age 50 with at least 5 years of CalPERS service.
PEMHCA-Only benefits are only offered to surviving spouses. Retiree benefits receive benefits greater than the PEMHCA Minimum Benefit.
City Contributions toward premiums begin at 25% for 5 years of service and increase by 5% per year of service.
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Basis of Valuation
Census Date:
Age and service determined as of the census date.
< 1 1–4 5–9 10–14 15–19 20–24 25–29 30–34 35–39 40+
< 25 37 10
25–29 87 4 19
30–34 11 20 10 1 42
35–39 9 18 12 1 7 47
40–44 1 17 6 6 7 3 40
45–49 4 8 8 3 15 4 42
50–54 25 4 9 3 2 1 26
55–59 15 6 2 8 9 1 32
60–64 13 1 3 9 3 2 22
65–69 21 2 3 8
70+ 21 3
Total 42 91 51 18 60 23 5 1 291
Average Active Participant Age: 44.5
Changes from Prior Census Average Years of Service: 8.7 Active Participants Count
Prior Census 272 Age Retiree Spouse Total
Hires 76 < 50 35 8
Terminations* (36) 50–54 14 17 31
Retirements (21) 55–59 27 11 38
Current Census 291 60–64 29 18 47
65–69 25 15 40
70–74 26 11 37
Inactive Participants Retiree Spouse Total 75–79 13 11 24 Prior Census 115 77 192 80–84 72 9
Retirements 45 22 67 85-89 11 2
Deaths* (15) (8) (23) 90+
Current Census 145 91 236 Total 145 91 236
*Includes withdrawals Average Inactive Participant Age: 64.7 Participant Summary
Age
Years of Service
Total
Active Participants
June 30, 2023
Inactive Participants
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Basis of Valuation
Census Date: June 30, 2023
Age and service determined as of the census date.
Prior Report: 45.4
Current: 44.5
Change: (0.9)
% Change: -2.0%
Prior Report: 10.0
Current: 8.7
Change: (1.3)
% Change: -13.0%
Prior Report: 62.6
Current: 64.7
Change: 2.1
% Change: 3.4%
Participant Summary Charts
Average Active
Participant Age
Average Years of
Service
Average Inactive
Participant Age
10 20
30 40
50 < 25 25–29 30–34 35–39 40–44 45–49 50–54 55–59 60–64 65–69 70+ Actives by Age Bracket
Prior Current
20 40
60 80
100
< 1 1–4 5–9 10–14 15–19 20–24 25–29 30–34 35–39 40+
Actives by Years of Service
Prior Current
5 10
15 20
25 30
35 40
< 50 50–54 55–59 60–64 65–69 70–74 75–79 80–84 85-89 90+ Inactives by Age Bracket
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Basis of Valuation
Assumption Rates
Actuarial Cost Method Entry-Age Normal, Level Percentage of Salary Valuation Date
Measurement Date
Report Date
Discount Rate
Mortality
Termination Rates
Disability
Retirement
Annual Per Capita Claims
Cost
Age Males Females
50 15,382 $ 15,396$
55 18,306 16,772
60-64 21,377 18,941
Average Per Capita Cost for
Implicit Subsidy Calculation
Developed based on premiums for the City's enrollment by plan, family demographics from CalPERS plans, and risk scores (both HMO and PPO) for the CalPERS population.
A summary of the actuarial assumptions used for this valuation follows. We considered the reasonableness of each assumption independently based on its own merits, consistent with each other assumption, and the combined impact of all assumptions.
The discount rate selected is 5.78%. GASB 75 allows the use of a discount rate that is up to the expected long-term rate of return on the assets in the Trust set aside to pay benefits, if the plan sponsor makes regular contributions to the Trust such that the assets are not depleted at any point in the future. If the Plans' actuary determines that contributions are not sufficient to keep the Trust funded, a blend of the long-term rate of return and the yield or index rate for 20-year, tax-exempt municipal bonds will be used for the periods when the Trust funds are not sufficient to cover benefit payments.
Same as CalPERS. See appendix.
Same as CalPERS. See appendix.
Developed using CalPERS experience to calculate age-related risk scores, but using the City's actual premiums for all other purposes. Assumed annual per capita claims costs follow:
Same as CalPERS. See appendix. Also known as "turnover".
Same as CalPERS. See appendix.
Actuarial Assumptions
June 30, 2023
June 30, 2023
June 30, 2024
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Basis of Valuation
Assumption
Aging or Morbidity Factors
Participant Contributions
Salary Increases
Inflation Rate
Marital Status
Spouse Gender
Spouse Age Difference
Participation
Condition Participation
Eligible for Supplemental Benefits 80%
Eligible for PEMHCA Minimum Only 50%
PEMHCA Category 2023 2024
Admin Fee % of Retiree Premiums 0.33% 0.32%
Minimum (Calendar Year) $151.00 $157.00
Unequal Amount (Calendar Year) $105.70 $117.75
Actuarial Assumptions
Rates
Based on actual CalPERS HMO and PPO population data.
Based on service at retirement and employee group.
2.80% The salary increase is used to determine the growth in the aggregate payroll.
Individual Salary Increases: 2021 CalPERS Merit Salary Increases.
2.30%. Same as CalPERS.
Current Retirees: Actual spouse coverage is used.
Future retirees: 65% assumed to be married.
Assumes spouse of opposite gender for current and future retirees.
Actual spouse age is used for current retirees. Assumes males are three years older than females for future retirees.
Current Retirees: Assume current elections continue until decrement.
Future Retiree election assumptions summarized below:
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Basis of Valuation
Assumption Rates
Premiums used to develop aged claims
Grouping EE Only Two-Party
$ 1,987.92 993.96 $
764.88 382.44
Trend Rates- Medical
Calendar Year Pre-Medicare Medicare PEMHCA Trend
2023 7.40% 4.20% 3.00%
2024 6.80% 4.17% 3.00%
2025 6.20% 4.14% 3.00%
2026 5.60% 4.14% 3.00%
2027 5.50% 4.14% 3.00%
2028 5.39% 4.14% 3.00%
2029 5.29% 4.14% 3.00%
2030 5.18% 4.14% 3.00%
2031–2074 … … …
2075+ 4.14% 4.14% 3.00%
Trend Rates- Dental & Vision Calendar Year Dental Trend Vision Trend 2023 4.00% 3.00%
2024 4.00% 3.00%
2025 4.00% 3.00%
2026 4.00% 3.00%
2027 4.00% 3.00%
2028 4.00% 3.00%
2029 4.00% 3.00%
2030 4.00% 3.00%
2031–2074 … …
2075+ 4.00% 3.00%
Actuarial Assumptions
Medical long-term trends from Society of Actuaries "Long Term Healthcare Premiums
Pre-Medicare
Medicare
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Appendix
About GASB 75
This section includes a brief summary of GASB 75, as well as definitions of some of the key terminology used in this report.
About GASB 75
In General. In June 2015 the Governmental Accounting Standards Board released GASB 75, “Accounting and Financial Reporting for Postemployment Benefits Other Than Pensions”. GASB 75 replaced GASB 45 for fiscal years beginning after June 15, 2017, for employers that sponsor OPEB plans. The provisions in GASB 75 are similar to the provisions of GASB 68 for pensions.
Accounting. GASB 75 requires a liability known as the Net OPEB Liability (NOL). The employer recognizes the NOL on its balance sheet. The employer also recognizes an OPEB expense in the income statement. GASB 45 recorded the Unfunded Accrued Actuarial Liability (UAAL) in the notes to the financial statement, whereas GASB 75 records the NOL, which is very similar to the UAAL with just a few technical differences, on the balance sheet.
Financial Statement Impact (Employers). One of the biggest changes to the financial statements of governmental employers that provide OPEB is the reporting of the OPEB liability on the face of the statements rather than in the footnotes. Governments that do not provide OPEB through a trust are required to recognize the entire OPEB liability in the financial statements. For governments that provide OPEB through an OPEB plan that is administered through a trust, the government’s OPEB liability is recognized net of the amount of the OPEB plan’s fiduciary net position.
Changes to the Measurement of the Total OPEB Liability. Measurement of the OPEB liability includes discounting future benefit payments for current and former employees and their beneficiaries to their present value and allocating the present value over past and future periods of the employee service (total OPEB liability), less the amount of the OPEB plan’s fiduciary net position. The calculation continues to include employee-related events, such as projected salary increases and projected years of service, if they affect the amount of OPEB payments employees will receive, as well as provisions for automatic cost-of-living adjustments (COLAs) and other automatic benefits. Additionally, ad hoc COLAs and other ad hoc benefit changes, which are made at the discretion of the government, are included in projections as well, if they routinely recur.
GASB 75 requires governments to discount projected OPEB payments to their present value. Under the new standard, governments discount the projected OPEB payments to be made in each year and the amount of plan assets (if a government administers the OPEB through a trust) available for providing those benefits to current active and inactive employees and their beneficiaries. Similar to the pension standards, the discount rate used is based on whether the plan assets are projected to be sufficient to make future payments. If the plan assets are sufficient, governments discount future payments using the long-term expected rate of return. If projected plan assets are insufficient to make all future payments to current and inactive employees and their beneficiaries, or if there are no plan assets held in trust, the discount rate is based on a high-quality 20-year tax-exempt general obligation municipal bond yield or index rate. “High-quality” is defined as being rated AA or higher (or an equivalent rating).
Cost Method. The Entry Age Normal Cost method must be used.
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Appendix
About GASB 75
About GASB 75 (continued)
Factors that affect a government’s OPEB liability, such as actual earnings on plan investments when the OPEB plan is administered as a trust, employee compensation changes, interest on the outstanding OPEB liability, contributions from employees and employers, and actual demographic and economic changes that are not in line with assumptions made in the actuarial calculations, are considered when determining the government’s OPEB expense. A government’s annual OPEB expense is calculated with consideration for factors affecting the OPEB liability within the reporting period. Several causes of changes in OPEB liability are immediately factored into the calculation of OPEB expense for the period, such as benefits earned each year, interest on the total OPEB liability, changes in benefit terms, and projected earnings on plan investments, if administered through a trust.
Governments are required to recognize deferred outflows of resources or deferred inflows of resources and then introduce into the expense calculation, systematically and rationally over the average remaining years of employment (active employees and inactive employees, including retirees), the effect on the total OPEB liability of differences between assumptions and actual experience.
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Appendix
Actuarially Determined
Contribution
A target or recommended contribution to a defined benefit OPEB plan for the reporting period, determined in conformity with Actuarial Standards of Practice based on the most recent measurement available when the contribution for the reporting period was adopted.
Actuarial Present Value
of Projected Benefit
Payments
Projected benefit payments discounted to reflect the expected effects of the time value (present value) of money and the probabilities of payment.
Agent Employer An employer whose employees are provided with OPEB through an agent multipleemployer defined-benefit OPEB plan.
Closed Period A specific number of years that is counted from one date, which declines to zero with the passage of time. For example, if the recognition period initially is five years on a closed basis, four years remain after the first year, three years after the second year, and so forth until no years remain.
Contributions Additions to an OPEB plan's fiduciary net position for amounts from employers, nonemployer contributing entities, or employees.
Dates and Periods
• Census Date The date of the census. It is usually the same as the Valuation Date. • Measurement Date The date on which assets are measured. The liabilities are rolled forward to this date from the Valuation Date, should it differ, using actuarial roll-forward techniques.
• Measurement Period The year ending on the Measurement Date. • Report Date The date on which the amounts are reported in the financial statements. It is the same as the fiscal year-end. It may be up to one year ahead of the Measurement Date, with no roll-forward of liabilities or assets required. • Reporting Period The year ending on the Report Date. It is the same as the fiscal year. • Valuation Date The date on which the liabilities are valued.
Deferred Inflows and
Outflows of Resources
The portion of the changes in the Net OPEB Liability that are not recognized in the current pension expense and are recognized in later periods. The changes deferred include differences between expected and actual experience, changes in assumptions, and differences between expected and actual earnings on OPEB plan investments.
Key Terminology
About GASB 75
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Appendix
Defined-Benefit OPEB OPEB for which the benefits that the employee will receive at or after separation from employment are defined by the benefit terms. The OPEB may be stated as (a) a specified dollar amount (b) an amount that is calculated based on one or more factors such as age, years of service, and compensation, or (c) a type or level of coverage such as prescription drug coverage or a percentage of health insurance premiums. OPEB that does not have all of the terms of defined contribution OPEB is classified as defined-benefit OPEB.
Discount Rate The single rate of return that reflects the following:
a. The long-term expected rate of return on OPEB plan investments that are expected to be used to finance the payment of benefits, to the extent that (1) the OPEB plan's fiduciary net position is projected to be sufficient to make projected benefit payments, and (2) OPEB plan assets are expected to be invested using a strategy to achieve that return.
b. A yield or index rate for 20-year, tax-exempt general-obligation municipal bonds with an average rating of AA/Aa or higher (or equivalent quality on another scale), to the extent that the conditions in (a) are not met.
Fiduciary Net Position The market value of assets as of the Measurement Date.
Implicit Subsidy The implicit subsidy arises when an employer allows a retiree and the retiree's dependents to continue on the plans for active employees, and pay the activeemployee premiums. Retirees are not paying the true cost of their benefits because they have higher costs than active employees, and therefore are partially subsidized by the active employees. Once a retiree reaches Medicare eligibility, the rates are set for Medicare retirees separately, and are set to be sufficient to cover the true costs of the Medicare retirees. Thus, there is no implicit subsidy for Medicare retirees.
Net OPEB Liability The Total OPEB Liability minus the Fiduciary Net Position.
Normal Cost See Service Cost.
Other Postemployment
Benefits (OPEB)
Benefits (such as death benefits, life insurance, disability, and long-term care) that are paid in the period after employment and that are provided separately from a pension plan, as well as healthcare benefits paid in the period after employment, regardless of the manner in which they are provided. OPEB does not include termination benefits or termination payment for sick leave.
Projected Benefit
Payments
All benefits estimated to be payable through OPEB plan to current active and inactive employees as a result of their past service and their expected future service.
Key Terminology (continued)
About GASB 75
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Appendix
Service Cost The portions of the actuarial present value of projected benefit payments that are attributed to valuation years. Also called Normal Cost.
Substantive Plan The plan terms as understood by the employer and the plan members at the time of the valuation, including only changes to plan terms that have been made and communicated to employees.
Total OPEB Liability The liability of employers and non-employer contributing entities to employees for benefits provided through a defined-benefit OPEB plan that is administered through a trust that meets the criteria in paragraph 4 of GASB 75.
About GASB 75
Key Terminology (continued)
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Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Appendix
Mortality Source Table
Miscellaneous Employees Mort and Disb Rates_PA Misc
Police Employees Mort and Disb Rates_PA Police
Disability Rates
Miscellaneous Employees Mort and Disb Rates_PA Misc
Police Employees Mort and Disb Rates_PA Police
Terminated Refund Rates
Miscellaneous Employees Term Refund Rates_PA Misc Male
Police Employees Term Refund Rates_Police Male
Terminated Vested Rates
Miscellaneous Employees Term Vested Rates_PA Misc Male
Police Employees Term Vested Rates_Police Male
Salary Scale Rates
Miscellaneous Employees Salary Scale Rates_PA Misc
Police Employees Salary Scale Rates_PA Police
Service Retirement Rates
Miscellaneous Employees
• 2.7% at 55 Rx PA Misc 2.7% @ 55
• 2.0% at 60 Rx PA Misc 2% @ 60
• 2.0% at 62 Rx PA Misc 2% @ 62
Police Employees
• 3.0% at 50 Rx Safety Police 3% @50
• 3.0% at 55 Rx Safety Police 3% @55
• 2.7% at 57 Rx PA Safety Police 2.7% @ 57
Decrement Tables
The valuation used the following decrement tables from the CalPERS OPEB Assumption Model, dated November 17, 2021:
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Public Agency Miscellaneous
Attained
Age
Non
Industrial
Death
Industrial
Death
Non
Industrial
Death
Industrial
Death
Healthy
Recipients
Non
Industrially
Disabled
Industrially
Disabled
Healthy
Recipients
Non
Industrially
Disabled
Industrially
Disabled
Non
Industrial
Disability
Industrial
Disability
Non
Industrial
Disability
Industrial
Disability
1 0.000160 0.000000 0.000030 0.000000 0.000150 0.000150 0.000150 0.000150 0.000150 0.000150 0.000000 0.000000 0.000000 0.0000005 0.000160 0.000000 0.000030 0.000000 0.000100 0.000100 0.000100 0.000070 0.000070 0.000070 0.000000 0.000000 0.000000 0.000000 10 0.000160 0.000000 0.000030 0.000000 0.000090 0.000090 0.000090 0.000080 0.000080 0.000080 0.000000 0.000000 0.000000 0.00000015 0.000180 0.000000 0.000100 0.000000 0.000170 0.000170 0.000170 0.000090 0.000090 0.000090 0.000000 0.000000 0.000000 0.00000020 0.000390 0.000000 0.000140 0.000000 0.000390 0.004110 0.001460 0.000140 0.002330 0.000530 0.000070 0.000000 0.000040 0.00000025 0.000330 0.000000 0.000130 0.000000 0.000330 0.003360 0.001540 0.000130 0.001870 0.000690 0.000070 0.000000 0.000090 0.00000030 0.000440 0.000000 0.000190 0.000000 0.000440 0.004520 0.001820 0.000190 0.003010 0.000990 0.000170 0.000000 0.000330 0.00000035 0.000580 0.000000 0.000290 0.000000 0.000580 0.006030 0.002080 0.000290 0.005040 0.001360 0.000350 0.000000 0.000650 0.00000040 0.000750 0.000000 0.000390 0.000000 0.000750 0.007790 0.002440 0.000390 0.007300 0.001770 0.000910 0.000000 0.001190 0.00000045 0.000930 0.000000 0.000540 0.000000 0.000930 0.011200 0.003140 0.000540 0.010190 0.002270 0.001490 0.000000 0.001850 0.00000050 0.001340 0.000000 0.000810 0.000000 0.002710 0.017270 0.004370 0.001990 0.014390 0.003110 0.001540 0.000000 0.001930 0.00000055 0.001980 0.000000 0.001230 0.000000 0.003910 0.022170 0.006230 0.003250 0.017340 0.005500 0.001390 0.000000 0.001290 0.00000060 0.002870 0.000000 0.001790 0.000000 0.005750 0.026810 0.009350 0.004550 0.019620 0.008680 0.001240 0.000000 0.000940 0.00000065 0.004030 0.000000 0.002500 0.000000 0.008560 0.033320 0.013930 0.006120 0.022760 0.011900 0.001090 0.000000 0.000830 0.00000070 0.005940 0.000000 0.004040 0.000000 0.013400 0.040560 0.021890 0.009960 0.029100 0.018580 0.000970 0.000000 0.000540 0.00000075 0.009330 0.000000 0.006880 0.000000 0.024000 0.054650 0.034980 0.017830 0.041600 0.031340 0.000970 0.000000 0.000350 0.00000080 0.015150 0.000000 0.011490 0.000000 0.043800 0.080440 0.059320 0.034030 0.061120 0.051830 0.000970 0.000000 0.000350 0.00000085 0.000000 0.000000 0.000000 0.000000 0.082740 0.116950 0.102440 0.061660 0.093850 0.080450 0.000970 0.000000 0.000350 0.00000090 0.000000 0.000000 0.000000 0.000000 0.145390 0.167700 0.167390 0.110860 0.143960 0.124340 0.000970 0.000000 0.000350 0.00000095 0.000000 0.000000 0.000000 0.000000 0.247020 0.247020 0.247020 0.203640 0.203640 0.203640 0.000000 0.000000 0.000000 0.000000 100 0.000000 0.000000 0.000000 0.000000 0.361980 0.361980 0.361980 0.315820 0.315820 0.315820 0.000000 0.000000 0.000000 0.000000105 0.000000 0.000000 0.000000 0.000000 0.522290 0.522290 0.522290 0.446790 0.446790 0.446790 0.000000 0.000000 0.000000 0.000000110 0.000000 0.000000 0.000000 0.000000 1.000000 1.000000 1.000000 1.000000 1.000000 1.000000 0.000000 0.000000 0.000000 0.000000115 0.000000 0.000000 0.000000 0.000000 1.000000 1.000000 1.000000 1.000000 1.000000 1.000000 0.000000 0.000000 0.000000 0.000000120 0.000000 0.000000 0.000000 0.000000 1.000000 1.000000 1.000000 1.000000 1.000000 1.000000 0.000000 0.000000 0.000000 0.000000 Notes:
1) Pre-Retirement and Post-Retirement mortality rates include generational mortality improvement at 80% of the MP 2020 table published by the Society of Actuaries.2) Miscellaneous Plans usually have Industrial Death rates set to zero unless the agency has specifically contracted for Industrial Death benefits. If so, each Non-Industrial Death rate shown above will be split into two components: 99% will become the Non-Industrial Death rate and 1% will become the Industrial Death rate3) The Miscellaneous Non-Industrial Disability rates are used for Local Prosecutors4) Normally, Industrial Disability rates are zero for miscellaneous plans unless the agency has specifically contracted for Industrial Disability benefits. If so, each miscellaneous non-industrial disability rate will be split into two components: 50% will become the Non-Industrial Disability rate and 50% will become the Industrial Disability rate.
Sample Mortality and Disability Rates
Pre-Retirement Mortality Post-Retirement Mortality Disability Male Assumptions Female Assumptions Male Assumptions Female Assumptions Male Assumptions Female Assumptions Precision Actuarial Inc. / GovInvest inc. 10/7/2024 Page | 50 5.1.a Packet Pg. 58
Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal Public Agency Police
Attained
Age
Non
Industrial
Death
Industrial
Death
Non
Industrial
Death
Industrial
Death
Healthy
Recipients
Non
Industrially
Disabled
Industrially
Disabled
Healthy
Recipients
Non
Industrially
Disabled
Industrially
Disabled
Non
Industrial
Disability
Industrial
Disability
Non
Industrial
Disability
Industrial
Disability
1 0.000160 0.000030 0.000030 0.000030 0.000150 0.000150 0.000150 0.000150 0.000150 0.000150 0.000000 0.000000 0.000000 0.0000005 0.000160 0.000030 0.000030 0.000030 0.000100 0.000100 0.000100 0.000070 0.000070 0.000070 0.000000 0.000000 0.000000 0.000000 10 0.000160 0.000030 0.000030 0.000030 0.000090 0.000090 0.000090 0.000080 0.000080 0.000080 0.000000 0.000000 0.000000 0.00000015 0.000160 0.000020 0.000090 0.000010 0.000170 0.000170 0.000170 0.000090 0.000090 0.000090 0.000000 0.000000 0.000000 0.00000020 0.000380 0.000040 0.000140 0.000020 0.000390 0.004110 0.001460 0.000140 0.002330 0.000530 0.000060 0.000000 0.000060 0.00000025 0.000340 0.000040 0.000180 0.000020 0.000330 0.003360 0.001540 0.000130 0.001870 0.000690 0.000060 0.001650 0.000060 0.00165030 0.000420 0.000050 0.000250 0.000030 0.000440 0.004520 0.001820 0.000190 0.003010 0.000990 0.000110 0.004760 0.000110 0.00476035 0.000480 0.000050 0.000340 0.000040 0.000580 0.006030 0.002080 0.000290 0.005040 0.001360 0.000170 0.007880 0.000170 0.00788040 0.000550 0.000060 0.000420 0.000050 0.000750 0.007790 0.002440 0.000390 0.007300 0.001770 0.000230 0.011000 0.000230 0.01100045 0.000660 0.000070 0.000530 0.000060 0.000930 0.011200 0.003140 0.000540 0.010190 0.002270 0.000280 0.014120 0.000280 0.01412050 0.000920 0.000100 0.000730 0.000080 0.002710 0.017270 0.004370 0.001990 0.014390 0.003110 0.000450 0.018460 0.000450 0.01846055 0.001380 0.000150 0.001060 0.000120 0.003910 0.022170 0.006230 0.003250 0.017340 0.005500 0.000740 0.047850 0.000740 0.04785060 0.002210 0.000250 0.001510 0.000170 0.005750 0.026810 0.009350 0.004550 0.019620 0.008680 0.001130 0.060240 0.001130 0.06024065 0.003460 0.000380 0.001940 0.000220 0.008560 0.033320 0.013930 0.006120 0.022760 0.011900 0.001130 0.072770 0.001130 0.07277070 0.006060 0.000670 0.003580 0.000400 0.013400 0.040560 0.021890 0.009960 0.029100 0.018580 0.001130 0.085490 0.001130 0.08549075 0.010990 0.001220 0.006990 0.000780 0.024000 0.054650 0.034980 0.017830 0.041600 0.031340 0.001130 0.098420 0.001130 0.09842080 0.020270 0.002250 0.014100 0.001570 0.043800 0.080440 0.059320 0.034030 0.061120 0.051830 0.001130 0.111610 0.001130 0.11161085 0.000000 0.000000 0.000000 0.000000 0.082740 0.116950 0.102440 0.061660 0.093850 0.080450 0.001130 0.000000 0.001130 0.00000090 0.000000 0.000000 0.000000 0.000000 0.145390 0.167700 0.167390 0.110860 0.143960 0.124340 0.001130 0.000000 0.001130 0.00000095 0.000000 0.000000 0.000000 0.000000 0.247020 0.247020 0.247020 0.203640 0.203640 0.203640 0.000000 0.000000 0.000000 0.000000 100 0.000000 0.000000 0.000000 0.000000 0.361980 0.361980 0.361980 0.315820 0.315820 0.315820 0.000000 0.000000 0.000000 0.000000105 0.000000 0.000000 0.000000 0.000000 0.522290 0.522290 0.522290 0.446790 0.446790 0.446790 0.000000 0.000000 0.000000 0.000000110 0.000000 0.000000 0.000000 0.000000 1.000000 1.000000 1.000000 1.000000 1.000000 1.000000 0.000000 0.000000 0.000000 0.000000115 0.000000 0.000000 0.000000 0.000000 1.000000 1.000000 1.000000 1.000000 1.000000 1.000000 0.000000 0.000000 0.000000 0.000000120 0.000000 0.000000 0.000000 0.000000 1.000000 1.000000 1.000000 1.000000 1.000000 1.000000 0.000000 0.000000 0.000000 0.000000 Notes:
Sample Mortality and Disability Rates
Pre-Retirement Mortality Post-Retirement Mortality Disability Male Assumptions Female Assumptions Male Assumptions Female Assumptions Male Assumptions Female Assumptions 1) Pre-Retirement and Post-Retirement mortality rates include generational mortality improvement at 80% of the MP 2020 table published by the Society of Actuaries.2) The Police Non-Industrial Disability rates are used for Other Safety, Local Sheriff, and School Police.3) The Police Industrial Disability rates are used for Local Sheriff and Other Safety.4) One Percent of the Police Industrial Disability rates are used for Local Prosecutors.5) Fifty Percent of the Police Industrial Disability Rates are used for School Police Precision Actuarial Inc. / GovInvest inc. 10/7/2024 Page | 51 5.1.a Packet Pg. 59
Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal Appendix
Sample Terminated Refund Rates
Entry Ages Public Agency Miscellaneous
Service 15 20 25 30 35 40 45 50 55 59
0 0.18514 0.18514 0.17686 0.16306 0.14927 0.14899 0.14871 0.15086 0.15301 0.154735 0.04625 0.04625 0.04232 0.03576 0.02921 0.02611 0.02301 0.02387 0.02474 0.02543 10 0.01124 0.01124 0.01013 0.00828 0.00644 0.00484 0.00325 0.00324 0.00324 0.0032315 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000020 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000025 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000030 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000035 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000040 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000045 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000050 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 Sample Terminated Vested Rates
Entry Ages Public Agency Miscellaneous
Service 15 20 25 30 35 40 45 50 55 59
0 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.000005 0.03808 0.03808 0.03808 0.03576 0.03344 0.03007 0.02670 0.02221 0.00000 0.00000 10 0.02646 0.02646 0.02646 0.02544 0.02441 0.01965 0.01489 0.00000 0.00000 0.0000015 0.01804 0.01804 0.01804 0.01660 0.01515 0.01190 0.00000 0.00000 0.00000 0.0000020 0.01410 0.01410 0.01410 0.01097 0.00785 0.00000 0.00000 0.00000 0.00000 0.0000025 0.00844 0.00844 0.00844 0.00642 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000030 0.00471 0.00471 0.00471 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000035 0.00378 0.00378 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000040 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000045 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000050 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 When a member is eligible to retire, the termination with vested benefits probability is set to zero Sample Termination Rates
Precision Actuarial Inc. / GovInvest inc. 10/7/2024 Page | 52 5.1.a Packet Pg. 60
Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal Appendix
Sample Terminated Refund Rates
Entry Ages Public Agency Police
Service 15 20 25 30 35 40 45 50 55 59
0 0.12981 0.12981 0.12981 0.12981 0.12981 0.12981 0.12981 0.12981 0.12981 0.129815 0.01129 0.01129 0.01129 0.01129 0.01129 0.01129 0.01129 0.01129 0.01129 0.01129 10 0.00319 0.00319 0.00319 0.00319 0.00319 0.00319 0.00319 0.00319 0.00319 0.0031915 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000020 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000025 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000030 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000035 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000040 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000045 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000050 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 Sample Terminated Vested Rates
Entry Ages Public Agency Police
Service 15 20 25 30 35 40 45 50 55 59
0 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.000005 0.01557 0.01557 0.01557 0.01557 0.01557 0.01557 0.01557 0.00000 0.00000 0.00000 10 0.01133 0.01133 0.01133 0.01133 0.01133 0.01133 0.00000 0.00000 0.00000 0.0000015 0.00825 0.00825 0.00825 0.00825 0.00825 0.00000 0.00000 0.00000 0.00000 0.0000020 0.00600 0.00600 0.00600 0.00600 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000025 0.00417 0.00417 0.00417 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000030 0.00209 0.00209 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000035 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000040 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000045 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.0000050 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 When a member is eligible to retire, the termination with vested benefits probability is set to zero Sample Termination Rates
Precision Actuarial Inc. / GovInvest inc. 10/7/2024 Page | 53 5.1.a Packet Pg. 61
Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal Appendix
Entry Ages Public Agency Miscellaneous
Service 15 20 25 30 35 40 45 50 55 60 65 70 75 79
0 0.0764 0.0764 0.0764 0.0621 0.0621 0.0521 0.0521 0.0521 0.0521 0.0521 0.0521 0.0521 0.0521 0.0521 5 0.0378 0.0378 0.0378 0.0276 0.0276 0.0187 0.0187 0.0187 0.0187 0.0187 0.0187 0.0187 0.0187 0.0187 10 0.0201 0.0201 0.0201 0.0126 0.0126 0.0108 0.0108 0.0108 0.0108 0.0108 0.0108 0.0108 0.0108 0.010815 0.0155 0.0155 0.0155 0.0102 0.0102 0.0071 0.0071 0.0071 0.0071 0.0071 0.0071 0.0071 0.0071 0.007120 0.0119 0.0119 0.0119 0.0083 0.0083 0.0047 0.0047 0.0047 0.0047 0.0047 0.0047 0.0047 0.0047 0.004725 0.0091 0.0091 0.0091 0.0067 0.0067 0.0031 0.0031 0.0031 0.0031 0.0031 0.0031 0.0031 0.0031 0.003130 0.0070 0.0070 0.0070 0.0054 0.0054 0.0020 0.0020 0.0020 0.0020 0.0020 0.0020 0.0020 0.0020 0.002035 0.0070 0.0070 0.0070 0.0054 0.0054 0.0020 0.0020 0.0020 0.0020 0.0020 0.0020 0.0020 0.0020 0.002040 0.0070 0.0070 0.0070 0.0054 0.0054 0.0020 0.0020 0.0020 0.0020 0.0020 0.0020 0.0020 0.0020 0.002045 0.0070 0.0070 0.0070 0.0054 0.0054 0.0020 0.0020 0.0020 0.0020 0.0020 0.0020 0.0020 0.0020 0.002050 0.0070 0.0070 0.0070 0.0054 0.0054 0.0020 0.0020 0.0020 0.0020 0.0020 0.0020 0.0020 0.0020 0.0020 Entry Ages Public Agency Police
Service 15 20 25 30 35 40 45 50 55 60 65 70 75 79
0 0.1181 0.1181 0.1181 0.1051 0.1051 0.0653 0.0653 0.0653 0.0653 0.0653 0.0653 0.0653 0.0653 0.0653 5 0.0365 0.0365 0.0365 0.0290 0.0290 0.0235 0.0235 0.0235 0.0235 0.0235 0.0235 0.0235 0.0235 0.0235 10 0.0185 0.0185 0.0185 0.0155 0.0155 0.0118 0.0118 0.0118 0.0118 0.0118 0.0118 0.0118 0.0118 0.011815 0.0183 0.0183 0.0183 0.0150 0.0150 0.0131 0.0131 0.0131 0.0131 0.0131 0.0131 0.0131 0.0131 0.013120 0.0181 0.0181 0.0181 0.0145 0.0145 0.0145 0.0145 0.0145 0.0145 0.0145 0.0145 0.0145 0.0145 0.014525 0.0179 0.0179 0.0179 0.0141 0.0141 0.0161 0.0161 0.0161 0.0161 0.0161 0.0161 0.0161 0.0161 0.016130 0.0178 0.0178 0.0178 0.0136 0.0136 0.0179 0.0179 0.0179 0.0179 0.0179 0.0179 0.0179 0.0179 0.017935 0.0178 0.0178 0.0178 0.0136 0.0136 0.0179 0.0179 0.0179 0.0179 0.0179 0.0179 0.0179 0.0179 0.017940 0.0178 0.0178 0.0178 0.0136 0.0136 0.0179 0.0179 0.0179 0.0179 0.0179 0.0179 0.0179 0.0179 0.017945 0.0178 0.0178 0.0178 0.0136 0.0136 0.0179 0.0179 0.0179 0.0179 0.0179 0.0179 0.0179 0.0179 0.017950 0.0178 0.0178 0.0178 0.0136 0.0136 0.0179 0.0179 0.0179 0.0179 0.0179 0.0179 0.0179 0.0179 0.0179 Sample Salary Scale Rates
Precision Actuarial Inc. / GovInvest inc. 10/7/2024 Page | 54 5.1.a Packet Pg. 62
Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal Appendix
Attained Ages Public Agency Miscellaneous 2.7% @ 55
Service 50 55 60 65 70 75 79
0 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 5 0.01100 0.04500 0.08700 0.18200 0.22700 1.00000 1.00000 10 0.01600 0.05800 0.08400 0.20100 0.22700 1.00000 1.00000 15 0.02200 0.08200 0.09600 0.24200 0.22700 1.00000 1.00000 20 0.03300 0.13800 0.14200 0.26400 0.22700 1.00000 1.00000 25 0.03400 0.20800 0.16500 0.29300 0.22700 1.00000 1.00000 30 0.03800 0.27800 0.19800 0.29300 0.22700 1.00000 1.00000 35 0.04400 0.34100 0.22300 0.29300 0.22700 1.00000 1.00000 40 0.00000 0.34100 0.22300 0.29300 0.22700 1.00000 1.00000 45 0.00000 0.00000 0.22300 0.29300 0.22700 1.00000 1.00000 50 0.00000 0.00000 0.00000 0.29300 0.22700 1.00000 1.00000 Attained Ages Public Agency Miscellaneous 2% @ 60
Service 50 55 60 65 70 75 79
0 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 5 0.01000 0.01200 0.06300 0.13800 0.20000 1.00000 1.00000 10 0.01100 0.01600 0.06900 0.16000 0.20000 1.00000 1.00000 15 0.01400 0.02400 0.07400 0.21400 0.20000 1.00000 1.00000 20 0.01400 0.03200 0.09000 0.21600 0.20000 1.00000 1.00000 25 0.01700 0.03600 0.13700 0.23700 0.20000 1.00000 1.00000 30 0.01700 0.03600 0.11600 0.28300 0.20000 1.00000 1.00000 35 0.01700 0.03600 0.12500 0.31300 0.20000 1.00000 1.00000 40 0.00000 0.03600 0.12500 0.31300 0.20000 1.00000 1.00000 45 0.00000 0.00000 0.12500 0.31300 0.20000 1.00000 1.00000 50 0.00000 0.00000 0.00000 0.31300 0.20000 1.00000 1.00000 Attained Ages Public Agency Miscellaneous 2% @ 62
Service 50 55 60 65 70 75 79
0 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 5 0.00000 0.01000 0.03100 0.10800 0.12000 1.00000 1.00000 10 0.00000 0.01900 0.05100 0.14100 0.15600 1.00000 1.00000 15 0.00000 0.02800 0.07100 0.17300 0.19300 1.00000 1.00000 20 0.00000 0.03600 0.09100 0.20600 0.22900 1.00000 1.00000 25 0.00000 0.06100 0.11100 0.23900 0.26500 1.00000 1.00000 30 0.00000 0.09600 0.13800 0.30000 0.33300 1.00000 1.00000 35 0.00000 0.15200 0.18300 0.34800 0.38700 1.00000 1.00000 40 0.00000 0.18000 0.20400 0.36000 0.40000 1.00000 1.00000 45 0.00000 0.00000 0.20400 0.36000 0.40000 1.00000 1.00000 50 0.00000 0.00000 0.00000 1.00000 1.00000 1.00000 1.00000 Matrix of Sample Service Retirement Assumption Rates
Precision Actuarial Inc. / GovInvest inc. 10/7/2024 Page | 55
5.1.a
Packet Pg. 63
Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
Appendix
Attained Ages Public Agency Police 3% @ 50
Service 50 55 60 65 70 75 79
0 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 5 0.12400 0.06900 0.34300 1.00000 1.00000 1.00000 1.00000 10 0.10300 0.07400 0.18000 1.00000 1.00000 1.00000 1.00000 15 0.11300 0.08100 0.15900 1.00000 1.00000 1.00000 1.00000 20 0.14300 0.11300 0.18800 1.00000 1.00000 1.00000 1.00000 25 0.24400 0.20900 0.24700 1.00000 1.00000 1.00000 1.00000 30 0.37600 0.30500 0.24700 1.00000 1.00000 1.00000 1.00000 35 0.43800 0.33600 0.24700 1.00000 1.00000 1.00000 1.00000 40 0.00000 0.33600 0.24700 1.00000 1.00000 1.00000 1.00000 45 0.00000 0.00000 0.24700 1.00000 1.00000 1.00000 1.00000 50 0.00000 0.00000 0.00000 1.00000 1.00000 1.00000 1.00000 Attained Ages Public Agency Police 3% @ 55
Service 50 55 60 65 70 75 79
0 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 5 0.01900 0.00600 0.15500 1.00000 1.00000 1.00000 1.00000 10 0.05300 0.11500 0.15500 1.00000 1.00000 1.00000 1.00000 15 0.04500 0.14100 0.15500 1.00000 1.00000 1.00000 1.00000 20 0.05400 0.19900 0.15500 1.00000 1.00000 1.00000 1.00000 25 0.05700 0.23100 0.15500 1.00000 1.00000 1.00000 1.00000 30 0.06100 0.25900 0.15500 1.00000 1.00000 1.00000 1.00000 35 0.06100 0.25900 0.15500 1.00000 1.00000 1.00000 1.00000 40 0.00000 0.25900 0.15500 1.00000 1.00000 1.00000 1.00000 45 0.00000 0.00000 0.15500 1.00000 1.00000 1.00000 1.00000 50 0.00000 0.00000 0.00000 1.00000 1.00000 1.00000 1.00000 Attained Ages Public Agency Police 2.7% @ 57
Service 50 55 60 65 70 75 79
0 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 5 0.05000 0.06800 0.15000 1.00000 1.00000 1.00000 1.00000 10 0.05000 0.06800 0.15000 1.00000 1.00000 1.00000 1.00000 15 0.05000 0.06800 0.15000 1.00000 1.00000 1.00000 1.00000 20 0.05000 0.09100 0.15000 1.00000 1.00000 1.00000 1.00000 25 0.05000 0.13400 0.15000 1.00000 1.00000 1.00000 1.00000 30 0.10000 0.24200 0.22800 1.00000 1.00000 1.00000 1.00000 35 0.11000 0.38800 0.35000 1.00000 1.00000 1.00000 1.00000 40 0.00000 0.38800 0.35000 1.00000 1.00000 1.00000 1.00000 45 0.00000 0.00000 0.35000 1.00000 1.00000 1.00000 1.00000 50 0.00000 0.00000 0.00000 1.00000 1.00000 1.00000 1.00000 Matrix of Sample Service Retirement Assumption Rates
Precision Actuarial Inc. / GovInvest inc. 10/7/2024 Page | 56
5.1.a
Packet Pg. 64
Attachment: GASB 75 OPEB Valuation Report Measured as of June 30, 2023, for disclosures for the fiscal year ending June 30, 2024 (4502 :
FINANCE COMMITTEE STAFF REPORT
DATE: November 12, 2024
TO: Finance Committee/City Manager
FROM: Scott Koll, Deputy City Manager
By: Candace Daniels, Finance Division Manager
SUBJECT: California Employer’s Benefit Trust (CERBT) for the Period Ending September 30, 2024
RECOMMENDED ACTION
Staff recommends that the Finance Committee review and accept the CERBT Statement for the period ending September 30, 2024.
BACKGROUND/DISCUSSION
On November 14, 2014, the City Council approved participation in CERBT for purposes of prefunding the City’s long-term obligation for health benefits accrued to retired City employees.
Assets in this Trust can only be used for payment of these benefits and may not be used for other governmental purposes.
At the start of July 2024, the CERBT had a balance of $34,875,368. During this quarter, the trust had investment gains of $2,750,044, and expenses of $7,910 leaving an ending balance of $37,617,502 on September 30, 2024. As of the most recent actuarial valuation, which has a measurement date of June 30, 2023, the OPEB liability measured $44,977,406 and was 76% funded. With the current ending balance, the funding status of the OPEB liability is 80%.
FISCAL ANALYSIS
This item is for informational purposes only-there is no fiscal impact.
STEPS FOLLOWING APPROVAL
None
ATTACHMENT
California Employer's Benefit Trust Statement (CERBT) for the Period Ending September 30, 2024
5.2 Packet Pg. 65
City of San Ramon
Please note the Grand Total is your actual fund account balance at the end of the period, including all contributions per GASB 74 paragraph 22 and accrued disbursements. Please review your statement promptly. All information contained in your statement will be considered true and accurate unless you contact us within 30 days of receipt of this statement. If you have questions about the validity of this information, please contact [email protected]. 1,646,409.850 1,646,409.850
$35,783,356.69 $35,783,356.69
Period Ending Unit Value 22.848200 22.848200
Period Beginning Unit Value 21.195160 21.195160
(85,566.362)
0.000
1,731,976.212
(85,566.362)
0.000
1,731,976.212
Current Period Year to Date
Ending Units
Unit Sales for Withdrawals
Unit Purchases from Contributions
Beginning Units
Market Value Summary: Unit Value Summary:
Grand Total $37,617,502.13 $37,617,502.13
(1,834,145.44)
(4,555.24)
0.00 2,750,043.58
0.00 $34,875,368.31
(1,834,145.44)
(4,555.24)
0.00 2,750,043.58
0.00 $34,875,368.31
Current Period Year to Date
Ending Balance
Disbursement
Administrative Expenses
Other
Investment Earnings
Contribution
Beginning Balance
QTD Fiscal QTD Fiscal
FY End Contrib per GASB 74 Para 22 0.00 0.00
Transfer In
Transfer Out
0.00 0.00
0.00 0.00
Unit Transfer In
Unit Transfer Out
0.000
0.000
0.000
0.000
Investment Expense (3,354.52) (3,354.52)
CERBT Strategy 2
Entity #: SKB7-4889155551-001
Quarter Ended September 30, 2024
FY End Disbursement Accrual 1,834,145.44 1,834,145.44
5.2.a
Packet Pg. 66
Attachment: California Employer's Benefit Trust Statement (CERBT) for the Period Ending September 30, Statement of Transaction Detail for the Quarter Ending 09/30/2024 City of San Ramon
Entity #: SKB7-4889155551-001
Date Description Amount Unit Value Units Check/Wire Notes 07/01/2024 FY 23-24 Disbursement
Accrual Reversal
$1,834,145.44
08/06/2024 Distribution ($1,834,145.44) $21.435356 (85,566.362) If you have any questions or comments regarding the new statement format please contact [email protected] Client Contact:
5.2.a
Packet Pg. 67
Attachment: California Employer's Benefit Trust Statement (CERBT) for the Period Ending September 30,