Post on 30-Dec-2015
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Reports on Municipal Retirement Plans in Floridaby the LeRoy Collins Institute
Florida League of Cities Annual ConferenceAugust 12, 2011
David Matkin, Ph.D.
Lead ResearcherLeRoy Collins Institute
Assistant ProfessorAskew School of Public Administration & Policy
Florida State University1
Retirement Benefit Reports
• Trouble Ahead: Florida Local Governments and Retirement Obligations (February 2011)
• Sustainability of Municipal Pension Plans in Florida (Sept 2011)
• Best Practices in Municipal Pension Plans in Florida (Oct 2011)
• Local Government OPEB Obligations in Florida (Late Fall 2011)
• Recent Changes in Retirement Benefits in Florida (Late Fall 2011)
• More coming…
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Sustainability Report Overview
• Largest 100 Cities in Florida• Fiscal Year 2009• Comprehensive Annual Financial Reports• Single-Employer Defined Benefit Plans
– General Employee (29%)– Police Plans (26%)– Firefighter Plans (24%)– Police and Firefighter Plans (13%)– Elected Official (2%)
• Draft findings
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Key Findings
1. Important to look at each pension plan
2. Nearly 1/3 of municipal pension plans are significantly underfunded
3. Troubled economy is not the primary cause behind significant underfunding
4. Underfunded pension plans tend to be significantly more expensive
5. General employee plans make up a larger relative share of the most well funded pension plans
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Why focus on the plan level?
• Examples:• Cooper City (FY2009)
– Managers’ Retirement Plan is 35% funded– Police Plan is 74% funded– General Employee Plan is 70% funded– Firefighter Plan is 65% funded
• Port Orange (FY2009)– General Employee Plan is 90% funded– Firefighter Plan is 46% funded– Police Plan is 44% funded
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Plan costs by participant type
• Median costs per plan participant
General Employees $9,732
Police Plans $22,715
Firefighter Plans $20,620
Elected Officials $13,556
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