Milliman Supplemental Information 

Issued December 6, 2017 

Alaska Ironworkers Pension Plan 

Supplemental Information to Actuarial Certification for the 

Plan Year Beginning July 1, 2017 

Prepared by: 

Mark C. Olleman 

FSA, EA, MAAA 

Josh Goodwin 

ASA, EA, MAAA 

Milliman, Inc. 

1301 Fifth Avenue, Suite 3800 

Seattle WA 98101-2605

Tel +1 206 624 7940 

Fax +1 206 623 3485 

milliman.com 

Exhibit 3 AIPT 091
Milliman Supplemental Information 

Supplemental Information to Actuarial Certification for the Plan Year Beginning July 1, 2017 i 

Alaska Ironworkers Pension Plan 

Supplemental Information to Actuarial Certification for the Plan Year 

Beginning July 1, 2017 of the Alaska Ironworkers Pension Plan 

This supplement to the Actuarial Certification for the Plan Year Beginning July 1, 2017 for the Alaska 

Ironworkers Pension Plan (the “Plan”) has been completed in accordance with our understanding of IRC 

§432(e)(9) (including §1.432(e)(9)-1 and Revenue Procedure 2017-43). 

Purpose of the Valuation 

This supplement is meant to fulfill the additional disclosure requirements laid out in Revenue Procedure 2017-

43 Section 3.01 which are not explicitly shown in the original certification. This information is based on the 

Actuarial Certification for the Plan Year Beginning July 1, 2017 dated September 28, 2017. 

Limited Distribution 

Milliman’s work is prepared solely for the internal business use of the Trustees of the Plan, and may not be 

provided to third parties without our prior written consent. We understand this will be provided to Treasury and 

posted on their website. Milliman does not intend to benefit or create a legal duty to any third party recipient of 

its work product. Milliman’s consent to release its work product to any third party may be conditioned on the 

third party signing a release, subject to the following exceptions: 

 The Plan may provide a copy of Milliman’s work, in its entirety, to the Plan’s professional service advisors 

who are subject to a duty of confidentiality and who agree to not use Milliman’s work for any purpose 

other than to benefit the Plan. 

 The Plan may distribute certain work product that Milliman and the Plan Sponsor mutually agree is 

appropriate as may be required by the Pension Protection Act of 2006. 

Third party recipients of Milliman’s work product should engage their own qualified professionals for advice 

appropriate to their specific needs. 

Reliance 

In preparing the report, we relied on our Actuarial Certification for the Plan Year Beginning July 1, 2017 dated 

September 28, 2017 and our July 1, 2016 Actuarial Valuation. 

Limited Use 

Actuarial computations presented here were prepared to meet the requirement set forth in IRC §432(e)(9) 

(taking into account §1.432(e)(9)-1 and Revenue Procedure 2017-43). 

Determinations for other purposes may be significantly different than the results in this report. Other 

calculations may be needed for other purposes, such as judging benefit security at termination. 

Future actuarial measurements may differ significantly from the current measurements presented in this 

report due to factors such as, but not limited to, the following: plan experience differing from that anticipated 

by the economic or demographic assumptions; changes in economic or demographic assumptions; increases 

or decreases expected as part of the natural operation of the methodology used for these measurements 

(such as the end of an amortization period or additional cost or contribution requirements based on the Plan’s 

funded status); and changes in plan provisions or applicable law. Due to the limited scope of the actuarial 

assignment, we did not perform an analysis of the potential range of such future measurement. 

The consultants who worked on this assignment are pension actuaries. Milliman’s advice is not intended to be 

a substitute for qualified legal or accounting counsel. 

Exhibit 3 AIPT 092

Milliman Supplemental Information 

Supplemental Information to Actuarial Certification for the Plan Year Beginning July 1, 2017 iii 

Alaska Ironworkers Pension Plan 

Table of Contents

A. Solvency Projection ...................................................................................................................................... 1

B. Projected Total Contribution Base Units and Contribution Rates ................................................................ 2

C. New Entrant Profile ....................................................................................................................................... 2

Exhibit 3 AIPT 094
Milliman Supplemental Information 

Supplemental Information to Actuarial Certification for the Plan Year Beginning July 1, 2017 Alaska Ironworkers Pension Plan A. Solvency Projection 

The following table shows the plan-year-by-plan-year market value of assets projection to insolvency. The plan years enthrough June 30, 2032 are shown. 

Plan year beginning July 1 2016 2017 2018 2019 2020 2021 2

1. Market value of assets (beginning of year) 49,524,313 $ $ 49,145,743 $ 46,297,316 $ 43,375,697 $ 40,365,121 $ 37,182,914 $ 3

2. Employer contributions 2,142,138 2,268,750 2,268,750 2,268,750 2,268,750 2,612,500 

3. Withdrawal liability payments 0 0 0 0 0 0 

4. Benefit payments

a. Current retirees and beneficiaries n/a 7,057,491 6,798,737 6,599,683 6,423,824 6,244,920 

b. Terminated vested participants n/a 267,375 340,110 424,578 545,991 646,616 

c. Current actives n/a 54,595 145,706 176,431 222,132 279,353 

d. New entrants n/a - - - - - 

e. Total 7,405,646 7,379,461 7,284,553 7,200,692 7,191,947 7,170,889 

5. Administrative expenses 520,000 520,000 520,000 520,000 520,000 520,000 

6. Investment returns 2,782,284 5,404,938 2,614,184 2,441,366 2,260,990 2,080,842 

7. $ 46,297,316 49,145,743 $ 43,375,697 $ 40,365,121 $ 37,182,914 $ 34,185,367 $ 3

$ 

8. $ 53,676,777 56,551,389 $ 50,660,250 $ 47,565,813 $ 44,374,861 $ 41,356,256 $ 3

$ 

Solvency ratio (8) / (4e) 7.64 7.27 6.95 6.61 6.17 5.77 

 

Plan year beginning July 1 2024 2025 2026 2027 2028 2029 2

1. Market value of assets (beginning of year) 27,778,288 $ 24,313,445 $ 20,770,065 $ 17,129,488 $ 13,425,669 $ 9,618,907 $ 

$ 

2. Employer contributions 2,612,500 2,612,500 2,612,500 2,612,500 2,612,500 2,612,500 

 

3. Withdrawal liability payments 0 0 0 0 0 0 

 

4. Benefit payments

a. Current retirees and beneficiaries 5,689,425 5,498,047 5,303,693 5,106,457 4,906,407 4,703,665 

 

b. Terminated vested participants 919,368 952,069 983,742 1,002,911 1,029,651 1,058,975 

 

c. Current actives 467,900 500,937 551,526 578,857 636,306 669,653 

 

d. New entrants - - - - - - 

 

e. Total 7,076,693 6,951,053 6,838,961 6,688,225 6,572,364 6,432,293 

5. Administrative expenses 520,000 520,000 520,000 520,000 520,000 520,000 

6. Investment returns 1,315,173 1,519,350 1,105,884 891,906 673,102 448,837 

7. $ 20,770,065 24,313,445 $ 17,129,488 $ 13,425,669 $ 9,618,907 $ 5,727,951 $ 

$ 

8. $ 27,721,118 31,390,138 $ 23,968,449 $ 20,113,894 $ 16,191,271 $ 12,160,244 $ 

$ 

Solvency ratio (8) / (4e) 4.44 3.99 3.50 3.01 2.46 1.89 

Market value of assets (end of year)(1) + (2) + (3) - (4e) - (5) + (6)Available resources(1) + (2) + (3) - (5) + (6)Market value of assets (end of year)(1) + (2) + (3) - (4e) - (5) + (6)Available resources(1) + (2) + (3) - (5) + (6)
Milliman Supplemental Information 

Supplemental Information to Actuarial Certification for the Plan Year Beginning July 1, 2017 2 

Alaska Ironworkers Pension Plan 

B. Projected Total Contribution Base Units and Contribution Rates 

The following table shows the assumed contribution base units (hours) and contribution rate used to 

produce the Actuarial Certification for the Plan Year Beginning July 1, 2017. 

C. New Entrant Profile 

No assumption was made for new entrants. Only the participants that had already begun working as of 

July 1, 2016 were reflected in the Actuarial Certification for the Plan Year Beginning July 1, 2017. 

Plan Year Beginning 

July 1

Total Contribution 

Base Units (Hours)

Contribution Rate 

(Hourly)

2016 155,792 13.75

2017 165,000 13.75

2018 165,000 13.75

2019 165,000 13.75

2020 165,000 13.75

2021 190,000 13.75

2022 190,000 13.75

2023 190,000 13.75

2024 190,000 13.75

2025 190,000 13.75

2026 190,000 13.75

2027 190,000 13.75

2028 190,000 13.75

2029 190,000 13.75

2030 190,000 13.75

2031 190,000 13.75

Exhibit 3 AIPT 096