Pension Rate Stabilization Fund

Background

In the fall of 2013, the City of Healdsburg began a strategic-planning process to help guide city leaders in planning for the future. One of the City Council goals from the strategic plan for FY 2015-16 is fiscal responsibility. A piece of the fiscal responsibility goal was to establish a funding policy for the City's unfunded pension liability. The PERS Rate Stabilization Fund was created to smooth out the annual contribution rates and provide the ability to stabilize future pension cost increases over the long term.

Council Actions

On August 3, 2015, the City Council: (1) approved participation in the Public Agencies Post-Employment Benefits Trust Program, and (2) Created an oversight committee of two Council members to develop the investment policy. The policy will be brought forward for Council adoption at a future meeting. 

Presentations

The City engaged the services of John Bartel, president of the actuarial consulting firm Bartel and Associates, LLC to evaluate the PERS actuarial issues facing the City. Mr. Bartel presented his findings to the City Council on April 21, 2015, and his recommendations on June 1, 2015.