1991 CAFR - Laserfiche WebLink

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CITY OF RAMSEY, MINNESOTA NOTES TO FINANCIAL STATEMENTS December 31, 1991 Note 9. DEFINED BENEFIT PENSION PLANS - STATEWIDE (Continued) B Contributions Reauired and Contributions Made (Continued) As part of the annual actuarial valuation, PERA'a actuary determines the sufficiency of the statutory contribution rates towards meeting the required full funding deadline. The actuary compares the actual contribution rate to a "required" contribution rate. Current combined statutory contribution rates and actuarially required contribution rates for the plans are as follows: PERF (Basic and Coordinated Plans) PEPFF Statutory Rates Employees Employer 4.44% 8.00% $ 59,004 $ 75,823 C. Funding Status and Progress 1. Pension Benefit Obligation Required Rates 4.81% 10.04% 12.00% 17.56% Total contributions made by the City during fiscal year 1991 were: Percentage of Amounts Covered Payroll Employees Employer Employees Employer PERF $ 28,765 $ 30,465 4.23% 4.48% PEPFF 30,239 45,358 8.00% 12.00% The City's contribution for the year ended December 31, 1991, to the PERF represented .03% of total contributions required of all participating entities. For the PEPFF, contributions for the year ended December 31, 1991, represented .17% of total contributions required of all participating entities. The "pension benefit obligation" is a standardized disclosure measure of the present value of pension benefits, adjusted for the effects of projected salary increases and step -rate benefits, estimated to be payable in the future as a result of employee service to date. The measure, which is the actuarial present value of credited projected benefits, is intended to help users assess PERA's funding status on a gc.ing- concern basis, assess progress made in accumulating sufficient assets to pay benefits when due, and make comparisons among Public Employees Retirement Systems and among employers. PERA does not make separate measurements of assets and pension benefit obligation for individual employers.