City of Ashland, Oregon / City Recorder / City Council Information / Packet Archives / Year 2001 / 12/04 / RESO - PERS
RESO - PERS
[Council Communication] [Proposed
Resolution] [Supporting Documents]
Council Communication
| TITLE: |
A resolution Electing Application for Entry to the
Oregon Public Employees Retirement System State & Local Government Rate
Pool |
| DEPT: |
Finance Department |
| DATE: |
December 4, 2001 |
| SUBMITTED BY: |
Lee Tuneberg, Finance Director |
| APPROVED BY: |
Greg Scoles, City Administrator |
| Synopsis: |
This resolution authorizes staff to apply to Oregon
PERS for participation in the newly established State & Local Government
Rate Pool effective for actuarial calculations beginning January 1,
2002. |
| Recommendation: |
Staff recommends approval of the attached
resolution. |
| Fiscal Impact: |
No immediate financial impact in that Ashland's employer
rate and unfunded liability have already been determined. Participating in
the pool presents the opportunity for better stability in employer
rates. |
| Background: |
On April 17, 2001 City Council approved staff
recommendation to join the newly formed State Pool for Local Governments
by passing Resolution 2001-07. Staff felt that joining the pool would stabilize
rate changes for participating employers by hedging against large increases
caused by retirements or other personnel changes adversely impacting Ashland's
retirement funding. At that time 44% of Oregon's local governments covering
18,000 employees chose to participate in the pool.
The 2001 Legislature saw the benefits of the Local Government Rate
Pool and determined that even greater rate stability would be achieved by
offering the option for local governments to join the already existing state
pool. The state pool covers about 42,000 active members. The Legislature
passed SB 134 allowing local government PERS employers to join the state
pool and will replace the local government pool established in June,
2001.
Attached is a Q & A Summary that answers many questions and a
rating table comparing Employer Rate Histories for different levels of agencies
including those in the state pool. In the last six rating periods (covering
12 years) state agency rates were less than local agencies five times.
Joining a state-wide pool remains as a good choice for the City of
Ashland. |
END of Document - Back to Top
RESOLUTION NO. 2001- __________
A RESOLUTION ELECTING APPLICATION FOR ENTRY TO THE OREGON PUBLIC EMPLOYEES
RETIREMENT SYSTEM STATE & LOCAL GOVERNMENT RATE POOL AND REPEALING RESOLUTION
2001-07
Recitals:
A. The 2001 Oregon Legislative Assembly adopted Senate Bill 134 allowing
Oregon local government PERS employers to pool their pension costs with the
state of Oregon.
B. The Board of Trustees of the Public Employees Retirement System has adopted
Oregon Administrative Rule 459-009-0070, which allows formation of a State
& Local Government Rate Pool.
THE CITY OF ASHLAND RESOLVES AS FOLLOWS:
SECTION 1. The City of Ashland, OPERS employer number 2104, elects
to apply for acceptance into the State & Local Government Rate Pool and
authorizes the Finance Director to make said application.
SECTION 2. Resolution 2001-07 is repealed.
This resolution was read by title only in accordance with Ashland Municipal
Code '2.04.090 and duly PASSED and ADOPTED this _____ day of
_____________________, 2001.
Barbara Christensen, City Recorder
SIGNED and APPROVED this day of , 2001.
Alan W. DeBoer, Mayor
Reviewed as to form:
Paul Nolte, City Attorney
END of Document - Back to Top
Supporting Documents:
State
& Local Government Rate Pool - Questions & Answers
This is a document from the Oregon Public Employees Retirement System Website.
The link opens into a separate window so when you are finished with
the document, simply close the window.
ATTACHMENT A
Employer Rate History as of Valuation Date |
| Valuation Year |
State Agencies |
School Districts |
Local Agencies (Average) |
System Totals |
| 1975 |
10.59% |
11.94% |
10.27% |
11.21% |
| 1977 |
10.91% |
13.27% |
10.74% |
11.87% |
| 1979 |
10.95% |
11.64% |
9.49% |
10.97% |
| 1982 |
10.57% |
10.29% |
9.08% |
10.13% |
| 1985 |
10.24% |
11.71% |
10.11% |
10.87% |
| 1987 |
10.31% |
12.73% |
10.16% |
11.30% |
| 1989 |
8.76% |
10.96% |
9.16% |
9.74% |
| 1991 |
8.78% |
9.96% |
8.52% |
9.19% |
| 1993 |
8.47% |
9.92% |
8.87% |
9.15% |
| 1995 |
8.22% |
10.32% |
9.66% |
9.42% |
| 1997 |
9.61% |
12.66% |
11.63% |
11.40% |
| 1999 |
9.51% |
12.69% |
9.77% |
10.74 |
Note: These rates are as of the valuation
date.
The actual rate assessed will be different due to delayed
implementation. |
END of Document - Back to Top
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