Title
2017 Actuarial Valuation Report for the City of Gainesville Retiree Health Insurance Trust Fund (B)
Explanation
Submission of the Gainesville Retiree Health Insurance Trust Fund Actuarial Valuation Report as of October 1, 2017 to the Board of Trustees for the Retiree Health Insurance Trust Fund.
The 2017 City Of Gainesville Retiree Health Insurance Trust Fund Actuarial Valuation Report presents a statement of the financial position of the Retiree Health Insurance Trust Fund (the Fund) as of October 1, 2017 to the Board of Trustees for the Retiree Health Insurance Trust Fund. The actuarial valuation process assesses the fiscal status of the Fund, and is used to determine the annual contributions to the Fund which is expressed as a percentage of the covered payroll of active eligible employees. The 2017 Actuarial Valuation also includes a reduction to the Fund’s long term investment return assumption from 8.1% to 8.0%.
The 2017 Actuarial Valuation Report indicates that the Plan was 100% funded as of October 1, 2017, with an actuarial value of assets of $63,500,353 and an actuarial accrued liability of $45,078,387. The 2017 Actuarial Valuation Report determines that the employer contribution rate for the Retiree Health Insurance Trust Fund for Fiscal Year 2019 should be 0.62% of projected payroll, up from 0.46% for fiscal year 2018.
Fiscal Note
The fiscal year 2019 employer contribution rate of 0.62% calculated in the 2017 Actuarial Valuation Report is estimated to be approximately $767,060 based on expected covered payroll. The projected fiscal year 2019 employer contributions for the Retiree Health Insurance Trust Fund are included in the City’s Fiscal Year 2019 Budget.
Recommendation
The Board of Trustees for the Retiree Health Insurance Trust Fund: 1) accept the 2017 Actuarial Valuation Report for the City of Gainesville Retiree Health Insurance Trust Fund; 2) approve the Fiscal Year 2019 employer contribution rate of 0.62% for ...
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