City of Gainesville - File #: 180293.

• File #: 180293.
• Version: 1
• Type: Staff Recommendation
• Status: Passed
• File created: 8/22/2018
• In control: Board of Trustees/General Employees' Pension Plan
• On agenda: 9/6/2018
• Final action: 9/6/2018
• Title: 2017 Actuarial Valuation Report for the City of Gainesville General Employees’ Retirement Plan (B)

Date	Ver.	Action By	Action	Result
9/6/2018	1	Board of Trustees/General Employees' Pension Plan	Approved as Recommended	Pass

Title

2017 Actuarial Valuation Report for the City of Gainesville General Employees’ Retirement Plan (B)

Explanation

Submission of the Gainesville General Employees’ Retirement Plan Actuarial Valuation Report as of October 1, 2017 to the Board of Trustees for the General Employees’ Retirement Plan. 

The 2017 City Of Gainesville General Employees’ Retirement Plan Actuarial Valuation Report presents a statement of the financial position of the General Employees’ Retirement Plan (the Plan) as of October 1, 2017 to the Board of Trustees for the General Employees’ Retirement Plan. The actuarial valuation process assesses the fiscal status of the Plan, and is used to determine the annual contributions to the Plan which is expressed as a percentage of the covered payroll of active Plan members. The 2017 Actuarial Valuation also includes a reduction to the Plan’s long term investment return assumption from 8.1% to 8.0%.

The 2017 Actuarial Valuation Report indicates that the Plan was 69.21% funded as of October 1, 2017, with an actuarial value of assets of $372,844,666 and an actuarial accrued liability of $538,735,346.  The 2017 Actuarial Valuation Report determines that the employer contribution rate for the General Employees’ Retirement Plan for Fiscal Year 2019 should be 18.40% of projected payroll, down from 18.41% for fiscal year 2018. 

Fiscal Note

The fiscal year 2019 employer contribution rate of 18.40% calculated in the 2017 Actuarial Valuation Report is estimated to be approximately $16,558,820 based on expected covered payroll. The projected fiscal year 2019 employer contributions for the General Employees’ Pension Plan are included in the City’s Fiscal Year 2019 Budget.

Recommendation

The Board of Trustees for the City of Gainesville General Employees’ Retirement Plan: 1) accept the 2017 Actuarial Valuation Report for the City of Gainesville General Employees’ Retirement Plan; 2) approve the Fiscal Year 2019 employer contribution rate ...