Retiree Insurance Funding. 1. Beginning July 1, 2007, the District shall contribute into its Retiree Health Benefit Trust (RHBT) amounts that, at minimum, reflect an eight (8) year “ramp up” to District payment of the full Government Accounting Standards Board (GASB) compliant Annual Required Contribution (ARC) beginning July 1, 2013 using an open group valuation method with a closed thirty (30) year amortization schedule for unfunded liability ending June 30, 2034. Except as provided in paragraph 3 below, each pay period the District shall contribute to the RHBT an amount equal to the below-listed percentages of straight time bargaining unit base pay paid to bargaining unit members in that pay period into the RHBT. (For example, if base pay in the pay period in FY ‘07 is one million dollars ($1,000,000), the District will contribute $34,900 into the RHBT for that pay period). July 1, 2007 (FY 08) 3.49% July 1, 2008 (FY 09) 3.64% July 1, 2009 (FY 10) 3.79% July 1, 2010 (FY 11) 3.94% July 1, 2011 (FY 12) 4.10% July 1, 2012 (FY 13) 4.27%
2. In addition, on or before June 30, 2009 the District shall, at minimum, contribute into the RHBT an amount equal to three and twenty-two one-hundredths percent (3.22%) of straight time bargaining unit base pay paid in FY ‘06 and three and thirty-six one-hundredths percent (3.36%) of straight time bargaining unit base pay paid in FY ‘07. These figures represent the “ramp up” percentages for those fiscal years.
3. The District shall perform an actuarial study of the retiree medical insurance plan liabilities and funding needs (including the Annual Required Contribution – “ARC”) after the end of each calendar year but before the beginning of the next fiscal year for which the results provide guidance. For each fiscal year beginning with FY 2007, the actuaries shall adjust the above “ramp up” percentages for the fiscal year for which the study was prepared and for each remaining fiscal year in the “ramp up” period. The last such adjustment will be in the study performed prior to July 1, 2013 for FY 2013. The revised percentages shall be the percentages contributed by the District to the RHBT for those years, except that the District shall pay no less than the percentages specified in subsections 1 and 2 above.
4. Beginning July 1, 2013, the District shall, at minimum, contribute to the RHBT each pay period an amount equal to the full GASB compliant Annual Required Contribution (ARC) percentage of straight time base pay paid to bargaining unit members d...
Retiree Insurance Funding. 1. Beginning July 1, 2007, the District shall contribute into its Retiree Health Benefit Trust (“RHBT”) amounts that, at minimum, reflect an eight (8) year “ramp up” to District payment of the full Government Accounting Standards Board (“GASB”) compliant Annual Required Contribution (“ARC”) beginning July 1, 2013 using an open group valuation method with a closed 30 year amortization schedule for unfunded liability ending June 30, 2034.
2. The District shall, at minimum, contribute to the RHBT each pay period an amount equal to the full GASB compliant Annual Required Contribution (ARC) percentage of straight time base pay paid to bargaining unit members during that pay period using an open group valuation method with a closed thirty (30) year amortization schedule for unfunded liability ending June 30, 2034. (For example, if the base pay during the pay period is one million dollars [$1,000,000] and the ARC percentage is fourteen percent [14%], the District will contribute one hundred forty thousand dollars [$140,000] to the RHBT for that pay period.)
3. The District shall retain the contributions referred to in subsection B.2 above and implement the base salary reductions provided for in B.2 above, to the extent necessary to compensate the District for paying the difference between the actual ARC and the baseline ARC described below. The District shall retain this amount through June 30, 2034. In any year in which the actual ARC does not exceed the baseline ARC by an amount equal to the amount of the retained MPPP contributions and salary reductions provided for in B.2, the District shall make appropriate adjustments to the base salaries of sworn personnel and appropriate contributions to the MPPP’s of sworn and civilian personnel, but only to the extent that the amount the actual ARC exceeds the baseline ARC is less than the dollar value of the retained MPPP 1.627% of payroll. For sworn personnel, the District shall first adjust base salary up to the amount it was reduced for the period provided in B.2, before reinstatement of any portion of the MPPP contribution retained pursuant to B.2. EXAMPLE: Assume that the actual ARC is fifteen percent (15%) in the particular year, the baseline ARC is fourteen percent (14%) in the particular year, and that the difference between the two is one million dollars ($1,000,000). Assume further that the value of the retained 1.627% is one million five hundred thousand dollars ($1,500,000). The District would then distribu...
Retiree Insurance Funding. The District has established a Retiree Benefits Health Trust (RBHT) and shall contribute to the RHBT each pay period an amount equal to the full GASB compliant Annual Required Contribution (ARC) percentage of straight time base pay.
1. The District shall retain .0888% of the one and six hundred twenty-seven one-thousandths percent (1.627%) of the Money Purchase Plan contribution in addition to the $37/month to be used as specified in Paragraph B2, above.
2. The District shall retain the remainder of the 1.627% MPPP contribution, to the extent necessary to compensate the District for paying the difference between the actual ARC and the baseline ARC described below. The District shall retain this amount through June 30, 2034. In any year in which the actual ARC does not exceed the baseline ARC by an amount equal to the amount of the retained 1.627% MPPP contribution, the District shall pay the appropriate portion of the 1.627% into the employees’ MPPP accounts, but only to the extent that the difference between the actual ARC and the baseline ARC is less than the dollar value of the retained MPPP 1.627%. The baseline ARC is as follows: 7/1/16 12.06% 7/1/17 12.12% 7/1/18 12.18% 7/1/19 12.24% 7/1/20 12.30% 7/1/21 12.36% 7/1/22 12.42% 7/1/23 12.48% 7/1/24 12.54% 7/1/25 12.60% 7/1/26 12.66% 7/1/27 12.72% 7/1/28 12.78% 7/1/29 12.84% 7/1/30 12.90% 7/1/31 12.96% 7/1/32 13.02% 7/1/33 13.08% 3. The Trustee of the RHBT shall pay eBART retirees health insurance premiums from the RHBT.
