Finance Highlights 2011 1202 - Laserfiche WebLink

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3. Return to the 80 -120% of market value corridor limits for the actuarial value of assets on June 30, 2011 and thereafter which impacts the Fiscal Year 2013 -14 and fiscal years beyond contribution rates. • Isolate the asset loss outside of the 80 -120% corridor and pay for it with a disciplined fixed and certain 30 year amortization schedule. The City, as advised by its provider of Actuarial Services, is not aware of any measures similar to those provided in Circular Letter #200 - 056 -09 that have been utilized by PERS to mitigate the impact of any prior economic downturns. For complete updated inflation and actuarial assumptions, please contact PERS at the above - referenced address. THE CITY'S PENSION PLAN The City's PERS Plan Generally. The PERS Contract represents the City's contractual and statutory obligation to make such payments to PERS on behalf of plan participants. Payments under the PERS Contract are an absolute and unconditional obligation imposed upon the City and enforceable against the City and are not limited as to payment as to any special source of funds of the City. As described in "PLAN OF FINANCING, ", PERS maintains two pension plans for the City: the Safety Plan and the Miscellaneous Plan. The City contributes to PERS amounts equal to the recommended rates for the PERS Plans multiplied by the payroll of those employees of the City who are eligible under PERS. See "PERS PENSION PLANS." As described in "PLAN OF FINANCING," above, because the Safety Plan has less than 100 members, a Side Fund was created for it in 2003. This Side Fund is being repaid over an amortization period ending in Fiscal Year 2024, currently bearing interest at 7.75% per annum. The Bonds are being issued for the purpose of refunding the Side Fund obligations of the City's Safety Plan. See "PLAN OF FINANCING." It is important to be aware that the City is only refinancing the Side Fund obligations related to its Safety Plan; it is not refinancing the other pension obligations of the City with respect to its Safety Plan or the Miscellaneous Plan. For information regarding the City's Miscellaneous Plan and its funded status, see "APPENDIX A — CITY OF SAN LEANDRO GENERAL DEMOGRAPHIC AND FINANCIAL INFORMATION — Employee Retirement System." Safety Plan. Certain key trends with respect to the City's Safety Plan as identified in the actuarial valuations prepared by PERS for the Safety Plan are summarized in the tables below. The Safety Plan Side Fund, the balance of which is being refunded with proceeds of the Bonds, has a final amortization date in Fiscal Year 2023 -24. 11