Actuarial Fiscal Note


Retirement Systems Impacted by Legislation:

State Police Plan B

FUND(S):

State Police Plan B 2162

Sources of Revenue:

General Fund

Legislation creates:

Neither Program nor Fund



Actuarial Note Summary

Impact this measure will have on the liabilities and contributions associated with the retirement system(s).


    The provisions of the bill do not increase benefit provisions in Plan B and therefore has no impact on either the Normal Cost nor the Actuairal Accrued Liabilities of Plan B.
    
    The pay increase contained in the bill is deemed to be within the expected increases allowable under the current Salary Scale assumption. No excess experience loss will result due to the increase in salaries.



Fiscal Detail of Actuarial Impact

Impact on current benefit costs, prior service benefit costs and ongoing contribution requirements following full implementation.


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 Actuarial estimates:


    The bill does not provide for any pension plan benefit increases in Plan B. There is no impact of the Normal Cost nor the Actuarial Accrued Liabilities.
    
    Pay increases are within the level of the Plan B Salary Scale assumption.

Analysis of Impact on Public Pension Policy:


    The provisions of the bill do not impact Public Pension Policy.



Fiscal Note Summary


Effect this measure will have on costs and revenues of state government.


    The provisions of the bill do not increase benefit provisions in Plan B and therefore has no impact on either the Normal Cost nor the Actuairal Accrued Liabilities of Plan B.
    
    The pay increase contained in the bill is deemed to be within the expected increases allowable under the current Salary Scale assumption. No excess experience loss will result due to the increase in salaries.



Fiscal Note Detail


Effect of Proposal Fiscal Year
2013
Increase/Decrease
(use"-")
2014
Increase/Decrease
(use"-")
Fiscal Year
(Upon Full
Implementation)
1. Estmated Total Cost 0 0 0
Personal Services 0 0 0
Current Expenses 0 0 0
Repairs and Alterations 0 0 0
Assets 0 0 0
Other 0 0 0
2. Estimated Total Revenues 0 0 0


Explanation of above Fiscal Note estimates (include possible long-range effect):


    The bill does not provide for any pension plan benefit increases in Plan B. There is no impact of the Normal Cost nor the Actuarial Accrued Liabilities.
    
    Pay increases are within the level of the Plan B Salary Scale assumption.



Memorandum


    The provisions of the bill do not impact Public Pension Policy. Issues in regards to the other provisions of the bill should be referred to the State Police.



    Person submitting Fiscal Note: Harry W. Mandel, MAAA, MSPA, EA, Board Actuary
    Email Address: harry.w.mandel@wv.gov