PERAC Memo #19 - 2007: Governor's Proposal

Governor's Proposal

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Summary

This memo informs retirement boards of PERAC's review of Governor Patrick's municipal government pension proposal, noting that the Commission has not taken a formal position on the initiative. The accompanying analysis is based on 2001-2005 investment returns and existing actuarial valuations, and boards should be aware that the relevant timeframe for assessing system performance may change depending on the final legislative language. No action is required of boards at this time; the memo is provided for informational purposes only.

Full Text

MEMORANDUM #19, 2007 M E M O R A N D U M TO: All Retirement Boards FROM: Joseph E. Connarton, Executive Director RE: Governor's Proposal DATE: March 8, 2007

The Public Employee Retirement Administration Commission (PERAC) at its most recent meeting reviewed the enclosed memorandum relative to Governor Patrick’s recent pension proposal filed as part of his package of recommendations focusing on municipal government. The Commission has not taken a position on the Governor's initative. Although the enclosed memo is self-explanatory, I am providing this to you for informational purposes. I would stress that this analysis is based on 2001- 2005 returns and actuarial valuations presently available to PERAC.
Obviously the time frame that may be relevant in assessing systems’ performance and funded status under the proposal is contingent on the final version of the legislation if it is adopted.