HomeMy WebLinkAbout06. CCCERA response to Central San's request for additional time to review studies that will directly impact pension contribution rates 6.
Central Contra Costa Sanitary District
December 19, 2016
TO: ADMINISTRATION COMMITTEE
VIA: ROGER S. BAILEY, GENERAL MANAGER
ANN SASAKI, DEPUTY GENERAL MANAGER
FROM: TEJI O'MALLEY, HUMAN RESOURCES MANAGE
SUBJECT: CONTRA COSTA COUNTY EMPLOYEES' RETIREMENT
ASSOCIATION (CCCERA) RESPONSE TO CENTRAL SAN'S REQUEST
FOR ADDITIONAL TIME TO REVIEW STUDIES THAT WILL DIRECTLY
IMPACT PENSION CONTRIBUTION RATES
Pursuant to a discussion that took place during the June 6, 2016, Administration
Committee meeting, staff was directed to request that the CCCERA Board of Trustees
allow for more than a 72-hour review of actuarial studies that directly impact Central
San's contribution rates. With such a short time to review these complex studies,
Central San's Board and staff are not able to provide the CCCERA Board with any input
prior to the adoption of these studies. As such, staff sent a letter to CCCERA (attached)
and has recently received a response that CCCERA will allow for more than 72 hours
for all employers to review the studies prior to the adoption. At this time, CCCERA was
not able to provide an exact timeframe on how far in advance of the presentation the
employers will receive the information.
Staff will be following up with CCCERA well before the issuance of the next study in
order to ensure ample time for a thorough review.
Staff will be available to answer any questions during the meeting.
Attachment
Central Contra Costa Sanitary District
Protectingpublic
PHONE: (925)228-9500
June 13, 2016 FAX: (925)676-72/1
www.ceittralsan.org
ROGER S HAILFY
Gail Strohl, Chief Executive Officer GeneralMairager
CCCERA KEATON L AI.M
1355 Willow Way, Suite 221 Caunsclfocurtct
(5I0
)808OA-I00(l
Concord, CA 94520 E7r91N1.•R.HOEHME
Secrctar3 ofdicDrswo
Dear Ms. Strohl:
This letter is being sent to you on behalf of the Board of Directors of the Central Contra
Costa Sanitary District (CCCSD). Every three years, the Contra Costa County
Employees' Retirement Association (CCCERA) Board of Trustees conducts two sets of
studies which review both the economic and demographic assumptions that are then
utilized by CCCERA to calculate pension costs.
As these critical studies and the Board of Trustees adoption of the economic and non-
economic assumptions directly impact our contribution rates, we are requesting that
CCCERA provide us as well as all plan sponsors ample time to review the actuarial
experience studies. Currently, the studies are posted along with the board agendas
about 72 hours before the meeting. This does not provide any governing body or
agency staff enough time to review the complex studies and articulate a position on any
of the recommendations and provide comments to the CCCERA Board of Trustees.
Since these are policy decisions made by the Board of Trustees, each agency's
governing board should be able to carefully review, evaluate and comment on the
issues which will take more than 72 hours. I would appreciate your consideration of a
revised timeline to allow for this review and input. Since the adoption of the
assumptions by the Board are not reflected in the contribution rates until approximately
a year before the rates go into effect, allowing plan sponsors a reasonable amount of
time to review the assumptions should not place an undue burden and hardship on the
Board of Trustees or CCCERA staff related to the administration of the rates.
If you have any questions or require additional information, please do not hesitate to
contact me at (925) 229-7309.
cerely, l )
Teji O'Mall
Human Resources Manager
cc: R. Bailey
A. Sasaki
BOARD OF DIRECTORS Recycled Paper
7AD J.PILECKI,President•PAIR,H.CAUSI.Y.President Pro 7em•MICHAEL R WGILL •JAMESA.NEJEDLY•DAVID R.WILLIAMS