Employee's Retirement Plan
In FY 2014-15, the County of Marin implemented the Government Accounting Standards Board (GASB) Statement No. 68, Accounting and Financial Reporting for Pensions, which requires financial reporting of pension plans in the basic financial statements. GASB Statement No. 68 also requires additional disclosures in the Notes to the Basic Financial Statements and Required Supplementary Information sections of the Comprehensive Annual Financial Report (CAFR). The Marin County Employees’ Retirement Association (MCERA) administers the pension plan for the County and its employees. Because of this reporting standard, MCERA and the County now use two different actuarial valuation methods for the County’s pension plan – one for financial reporting purposes as required by GASB Statement No. 68, and another for funding purposes to determine the County’s annual contribution to the plan. Note that due to the timing of the issuance of MCERA’s actuarial valuation reports, the CAFR uses the preceding year’s actuarial report for financial reporting purposes.
Other Post-Employment Benefits (OPEB)
Retiree Healthcare Plan Actuarial Valuation
The County administers an “other postemployment benefits” (OPEB) Retiree Health Plan to members who retire from the County of Marin and are eligible to receive a pension from MCERA. As such, eligible retirees may elect to continue healthcare coverage in the County health plan and convert sick leave hour balances to a County-paid monthly benefit that will help pay their retiree health premiums.
In FY 2017-18, the County of Marin implemented GASB Statement No. 75 which specifies the accounting and financial reporting requirements for postemployment benefits other than pensions. GASB Statement No. 75 is similar to pension reporting standards (GASB Statement No. 68) in that it requires additional disclosures in the CAFR’s Notes to the Basic Financial Statements and Required Supplementary Information sections about the actuarial assumptions and methods used to account for the OPEB plan. These changes are intended to improve the transparency of the plan and its unfunded liability amount. Note that GASB 75 valuations are required at least bi-annually for OPEB plans. As such, the County conducts an actuarial valuation every two years.
Actuarial Valuations - Funding Information
Actuarial Valuations - Accounting Information