Fiscal/Actuarial Note
Date Requested:January 09, 2014
Time Requested:03:10 PM
Agency: Consolidated Public Retirement Board
CBD Number: Version: Bill Number: Resolution Number:
2014R1223 Introduced SB224
CBD Subject: REINTRO2013-583 TRANSFERRING DIRECTOR
Retirement Systems Impacted by Legislation:
EMSRS
FUND(S)
WMSRS
Sources of Revenue
You must select Revenue Source(s)!
Other Fund Local Governments
Does the proposed legislation create:
You must make a selection(s)!
Neither Program nor Fund

    The bill revises the voluntary transfer provisions for certain EMS directors currently participating in PERS.
    
    The bill does not increase either the Normal Cost nor the Actuarial Accrued Liabilities under the Plan.
Impact On Following Full Implementation
Increase in Unfunded Actuarial Accrued Liability Initial Impact on Annual Contribution Requirement of System(s) Contribution Increase as a Percentage of Annual Payroll
Total Annual Costs $0.00 $0.00 0.00 %
Normal Cost of System N/A $0.00 0.00 %
Past Service Liabilities $0.00 $0.00 0.00 %
Fiscal Year Past Service
Amortization Period Ends
N/A N/A
Explanation of above estimates
    The EMS directors’ transfer window includes a provision requiring the transferring EMS directory to pay all increased benefit costs. Due to this provision, there is no benefit related costs to the employers.
    
    The benefit transfer costs require a highly technical actuarial cost analsysis for both PERS and EMSRS benefits. It is estimated that the increased administrative costs and fees are approximately $2,500 per calculation date.
Analysis of Impact on Public Pension Policy
    The bill is designed to provide an extended 36 month window for an applying EMS director to make the required lump sum payment.
Fiscal Note Summary

Explain in a clear and concise manner what effect this measure will have on costs and revenues of state government.

    None - Local Governmental Plan.

Fiscal Note Detail
Show over-all effect in Item 1 and 2 and, in Item 3, give an explanation of Breakdown by fiscal year, including long-range effect.
Effect of Proposal Fiscal Year
2014
Increase/Decrease
(use"-")
2015
Increase/Decrease
(use"-")
Fiscal Year
(Upon Full
Implementation)
1. Estmated Total Cost 2500 2500 0
Personal Services
Current Expenses
Repairs and Alterations
Assets
Other
2. Estimated Total Revenues
3. Explanation of above estimates (including long-range effect):
    Local Governmental Plan


Memorandum
    Local Governmental Plan.
Person Submitting Fiscal Note
Harry W. Mandel, Board Actuary, MAAA, MSPA, EA
Email
harry.w.mandel@wv.gov