Prepared by Deloitte Consulting LLP

United States Department of the Treasury

District of Columbia Pensions Program

Actuarial Valuation Report

Valuation Date: October 1, 2019

Report Date: October 22, 2019
Highlights of the Actuarial Valuation...................................................................................................... 1

Actuarial Valuation Opinion........................................................................................................................ 8

Summary of Results.................................................................................................................................... 9

Table of Contents

Executive Summary...................................................................................................... 1

Assessment of Risk...................................................................................................... 11

Significant Risks............................................................................................................................................. 11

Plan Maturity Measures.............................................................................................................................. 13

Additional Historical Information............................................................................................................... 14

Plan Cost........................................................................................................................ 19

Amortization Schedule and Required Government Contribution...................................................... 19

Changes in Actuarial Accrued Liability...........................................................................21

Reconciliation of Actuarial (Gain)/Loss................................................................................................... 21

Summary of Changes in Assumptions and Methods........................................................................... 21

Asset Information......................................................................................................... 22

Statement of Changes in Net Plan Assets............................................................................................. 22

Benefit Payments and Funding Projections.................................................................. 23

Benefit Payment Projections..................................................................................................................... 23

District Benefit Payments........................................................................................................................... 29

15-Year Funding Projections..................................................................................................................... 30

Basis for the Valuation...................................................................................................32

Plan Member Summary.............................................................................................................................. 32

Plan Member Reconciliation........................................................................................................................ 34

Age-Service Grid.......................................................................................................................................... 37

Federal Allocation by Plan........................................................................................................................... 41

Plan Member Counts.................................................................................................................................... 42

Inactive Benefit Information..................................................................................................................... 43

Appendix A: Actuarial Assumptions and Methods......................................................... 53

Appendix B: Rationale................................................................................................... 64

Appendix C: Plan Provisions Summary...........................................................................67
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Summary of Results

 N/A $ 5,300,000

Executive Summary

Highlights of the Actuarial Valuation 

The actuarial valuation report has been completed for the following program for the most recent plan year:

United States Department of the Treasury District of Columbia Pensions Program (Program)

The Program refers to the federal responsibility for benefit payments under the following District of Columbia

(D.C.) retirement plans: District of Columbia Police Officers and Firefighters' Retirement Plan, District of

Columbia Teachers' Retirement Plan, and District of Columbia Judges' Retirement Plan. The designated assets

for the federal administration of these plans are held in two separate funds. The District of Columbia

Teachers, Police Officers and Firefighters Federal Pension Fund (“D.C. Federal Pension Fund”) covers federal

payments under the District of Columbia Police Officers and Firefighters' Retirement Plan and District of 

Columbia Teachers' Retirement Plan. The Judicial Retirement and Survivors Annuity Fund (“Judicial Retirement

Fund”) covers payments under the District of Columbia Judges' Retirement Plan. 

The purpose of this report is to present the results of the actuarial valuation including:

To illustrate the current assets and liabilities of each Plan as of the end of Fiscal Year (FY) 2019 

(October 1, 2018 through September 30, 2019);

To review the experience of the Program over the past year and to discuss reasons for changes in 

Program costs;

Actuarial Accrued Liability $ 8,188,657,073 $ 255,415,933

Plan Assets (3,822,592,727) (177,213,402)

To determine the appropriate contribution to be paid by the Department of the Treasury to the Funds in 

FY 2020 (October 1, 2019 through September 30, 2020); and

To identify and discuss any emerging trends in Program costs.

This report also includes certain statement line items and footnote disclosures necessary to compute the 

annual pension expense in accordance with Statement of Federal Financial Accounting Standards No. 5, 

Accounting for Liabilities of the Federal Government, and No. 33, Pensions, Other Retirement Benefits, and 

Other Postemployment Benefits: Reporting the Gains and Losses from Changes in Assumptions and Selecting 

Discount Rates and Valuation Dates (SFFAS 5 and SFFAS 33). Use of the valuation results for other purposes 

may not be appropriate.

As of October 1, 2019

Police Officers and 

Firefighters', and 

Teachers' Plans

Judges' Plan

Unfunded Actuarial Accrued Liability $ 4,366,064,346 $ 78,202,531

Normal Cost with Interest (including expected 

employee contributions)

1
Total $ 30,340,003 $ 4,263,587

We have provided clarification on these items below:

 Salary Increase 9,472,025 299,588

(Gains)/Losses due to Census Changes: 25,299,737 451,103

$ 547,378

 Inactive Mortality (10,340,088) 1,174,792

 Active Decrements

(Gains)/Losses due to New Terminated Vested 

Plan Members: 2,121,361 N/A 

• (Gains)/Losses due to Plan Experience: The liability for each plan is expected to change based on

certain demographic and economic assumptions; however, actual plan experience will differ to some

degree. This creates (gains) or losses due to plan experience being different than expected with

these assumptions. This includes the following primary factors:

• Active Decrements: The actuarial valuation assumes that each active plan member has

a particular probability of terminating, retiring, becoming disabled, or becoming deceased in each

year. An individual (gain) or loss is generated based on the plan member's actual status in the

current valuation year based on the difference from what was expected. The gain for the Police

and Firefighters' and Teachers' Plans is primarily due to a group of new retirees who turned 50

since the prior valuation. The assumption in effect for the measurement of (gain)/loss assumed

that an individual who leaves the population prior to attaining age 50 is a termination, causing

a gain to be incurred in the active decrements category. The individuals' retirement loss is

categorized as "other census changes" resulting in the correct calculation of the liability overall,

despite the categorization of the individual pieces. For the Judges' Plan, three individuals retired

far sooner than their final decrement age, therefore incurring a loss as the future normal cost

under the Entry Age Normal method is now zero.

 New Entrants

 Cost-of-Living Adjustment (COLA) 

 Different than Expected

N/A

14,355,482

102,503

1,688,223

Executive Summary

Highlights of the Actuarial Valuation 

Summary of Gains and Losses

As part of the review of the valuation, an actuarial gain/loss analysis was performed. Expected liabilities and 

plan assets were developed presuming all demographic and economic assumptions from the prior valuation

were realized during the plan year. These expected values were then compared to the actual results. The

factors causing the liabilities or assets to be greater than expected (a loss for liabilities and a gain for assets), 

or smaller than expected (a gain for liabilities and a loss for assets) were isolated. Differences in liability not 

directly attributable to experience different than assumed, such as changes in assumptions and methods, 

were separately measured from this process.

The different sources of gains and losses, as well as their individual impacts, are outlined below. 

Source of Liability (Gain)/Loss due to Actuarial Experience

Source of Demographic (Gain)/Loss

Police Officers and 

Firefighters', and 

Teachers' Plans

Judges' Plan

(Gains)/Losses due to Plan Experience:

$ (10,568,514)

2
Executive Summary

Highlights of the Actuarial Valuation 

• Inactive Mortality: The actuarial valuation assumes that each inactive plan member has

a particular probability of becoming deceased in each year. An individual (gain) or loss is generated

based on whether the plan member actually dies during the year. The gain shown for the

Police and Firefighters' and Teachers' Plans is driven by plan members in pay status dying at an

earlier age or in greater number than expected in the past year. For the Judges' Plan there were

only three deaths since the prior year, in contrast with the remaining population of older retirees

and survivors who survived despite higher probabilities of death. Smaller populations are expected

to experience larger deviations from expected year-over-year than a larger population, as individual

deaths or survivorship have a more significant relative impact on the liability than in a larger

population. Long-term gains and losses are expected to offset each other with experience aligning to

the assumed mortality probabilities.

• COLA Different Than Expected: The actuarial valuation assumes that retirement

benefits for inactive plan members that are receiving benefits will increase by a certain amount.

An individual (gain) or loss is generated for each plan member based on their actual benefit

amount reported in the current valuation. The Police and Firefighters' and Teachers' Plans had

a loss primarily due to higher actual COLA percentages than expected. Note that the

Police and Firefighters' Plan members who retired prior to February 15, 1980 received

retroactive pay increases, however, only the difference between the expected COLA and the actual

COLA for 2019 have been included here. The remaining loss due to the retroactive increase for

those who retired prior to February 15, 1980 is included in the $9.7 million loss for

continuing inactive plan members as discussed in the (Gains)/Losses due to Census Changes

section below. The Judges' Plan had a loss due to higher COLA than expected.

• Salary Increase: The actuarial valuation assumes that salaries for active plan members

will increase by a certain amount. An individual (gain) or loss is generated for each plan member

based on their actual salary amount reported in the current valuation. A gain is reported when

a plan member's actual salary is lower than the expected amount, and a loss is reported when a

plan member's actual salary is higher than the expected amount. The retroactive salary increase

negotiated for the Police and Firefighters' Plan is reflected as a loss for the Police and Firefighters'

Plan. This is offset by a small gain in the Teachers' Plan.

• New Entrants: The actuarial valuation incurs a loss whenever new members enter the plan with

past service. The Police and Firefighters' and Teachers' Plans are closed and will never incur a gain

or loss due to this reason. The Judges' Plan reports a small loss due to the new plan member with

one year of past service.

3
Executive Summary

Highlights of the Actuarial Valuation 

For the Judges' Plan, the total loss amount includes the following: 

• A $0.2 million loss resulting from active plan members who retired or terminated

within the past year, primarily due to benefits calculated at retirement different than previously

estimated.

• A $0.01 million loss resulting from new beneficiaries following the death of plan

members for whom the beneficiary's date of birth was unknown.

• A $0.2 million loss resulting from ongoing data management.

• (Gains)/Losses due to New Terminated Vested Plan Members: There were 25 new terminated vested

plan members discovered as a result of a data clean-up initiative performed by the program. This caused a

$2.1 million loss to the Police and Firefighters' and Teachers' Plans.

• (Gains)/Losses due to Census Changes: Each year, ODCP prepares the census data that will be used as

the basis for the annual valuation. Inevitably, there will be updates to the census data beyond those that we

would expect due to the passage of time. This category of (gain)/loss is described in more detail below.

For the Police and Firefighters' and Teachers' Plans, the net loss amount was $25.3 million and includes 

the following: 

• An $18.1 million loss resulting from new beneficiaries following the death of plan members for

whom the chosen form of payment was unknown.

• A $14.2 million net loss resulting from ongoing data management, including unexpected changes

to data fields such as hire date, salary, service, etc.

• A $13.7 million loss resulting from active plan members who retired or terminated within the past

year, primarily due to benefits calculated at retirement different than previously estimated or those

who were not eligible to begin benefits in the prior valuation.

• A $9.7 million loss resulting from data updates for continuing inactive plan members, primarily due

to correction of benefit amounts and retirement dates in the census data. In prior years, retirement

date was used to determine COLA type. This year, a flag was provided by ODCP to indicate COLA type.

Depending on the prior and current type, this caused a (gain) or loss to be incurred. Overall, a net loss

was incurred due to this new data field. In addition, the loss due to the retroactive portion of the

COLA increase for plan members in the Police and Firefighters' Plan who retired before

February 15, 1980 is included in this loss.

• A $0.5 million loss resulting from beneficiaries found when previously reported as "no

future benefits due" in the prior valuation year and from finding new plan members due to data

clean-up.

• A $0.1 million loss resulting from rehires.

• A $31.0 million gain resulting from the update to reflect actual form of payment when known,

primarily due to there being many more annuitants with Straight Life Annuities than assumed in the

prior valuation. The prior assumption split the form of payment expectation into Single Life Annuity

and Joint-and-Survivor Annuity. The possibility of a survivor benefit increases the individual's liability.

There will be an additional set of recalculations during the upcoming fiscal year for individuals who retired 

after February 15, 1980 and are due a benefit increase based on the retroactive pay increase. ODCP has 

estimated the impact to be $2.2 million. The revised benefits will be incorporated in the next valuation.

4
Executive Summary

Highlights of the Actuarial Valuation 

Source of Asset (Gain)/Loss due to Actuarial Experience 

Assets 1.84% 2.18%

As noted on page 55 of this report in the Interest Rates for (Gain)/Loss section, the expected return on assets 

for the Judicial Retirement Fund is based on the prior year effective interest rate of 3.12% while the D.C. 

Federal Pension Fund's expected return on assets is based on the first rate on the prior year's yield curve, 

0.59%. The Judicial Retirement Fund experienced a lower-than-anticipated return of 2.18% on fund assets 

and the D.C. Federal Pension Fund experienced a higher-than-anticipated return of 1.84% on fund assets, 

thus resulting in an asset loss and an asset gain, respectively. 

Changes in Plan Provisions from the Previous Valuation

The valuation for the current plan year was based on the same plan provisions as the valuation for the prior 

plan year. We are not aware of any other changes to the plans since the last valuation. 

A full summary of the plan provisions and plan changes for each plan (if any) can be found later in this report 

in Appendix C: Plan Provisions Summary.

Beginning of Year Assets $ 3,818,529,238 $ 170,055,020

Asset (Gain)/Loss $ (48,918,120) $ 1,537,994

The plan assets experienced the following rates of return during the prior plan year:

D.C. Federal Pension

Fund Judicial Retirement Fund

Expected Return on Assets 20,863,698 5,279,013

Actual Return on Assets 69,781,818 3,741,019

Asset (Gain)/Loss D.C. Federal Pension

Fund Judicial Retirement Fund

5
Executive Summary

Highlights of the Actuarial Valuation 

Total $ 492,031,027 $ (4,759,389)

The discount rate assumption was updated according to prescribed guidance. The Effective Interest Rate 

(EIR) for all plans decreased, causing a loss. 

The other economic assumptions changed for this valuation were the cost-of-living adjustment (COLA) for 

annuitants, the salary increase assumption for active plan members, and the additional salary increase 

assumption as a result of the experience study. Due to the plans' composition of primarily inactive plan 

members, the COLA assumption is a primary driver in the calculation of liabilities. The increase in the future 

expectation of these adjustments caused a loss for the Police Officers and Firefighters' and Teachers' Plans. A 

decrease in the future expectation of these adjustments caused a gain for the Judges' Plan. A detailed 

description of the changes since prior year is available in Appendix A: Actuarial Assumptions and Methods.

For the Police Officers and Firefighters', and Teachers' Plans, and the Judges' Plan, the non-economic 

assumption change included form of payment assumption for the Teachers' Plan, spousal age assumption, 

expected rates of retirement, expected disability incidence rates, expected rates of termination, mortality base 

table, mortality improvement scale, and mortality scaling factors. The new base tables were the primary 

driver of the impact. A complete description of the actuarial assumptions and rationale can be found in 

Appendix A: Actuarial Assumptions and Methods and Appendix B: Rationale.

The impacts of the demographic assumption changes and assumption for additional salary increases are 

consistent with the findings of the experience study conducted earlier in 2019. For more information, please 

see the report dated March 2019. 

Other Economic Assumptions 141,805,509 (8,319,171)

Non-Economic Assumptions 63,125,408 577,458

Source of Liability (Gain)/Loss due to Changes in Actuarial Assumptions from the 

Previous Valuation

Assumption Change

Police Officers and 

Firefighters', and 

Teachers' Plans

Judges' Plan

Discount Rate Assumption $ 287,100,110 $ 2,982,324

6
Executive Summary

Highlights of the Actuarial Valuation 

Government Contributions

The increase in the Government Contribution amounts from FY2019 to FY2020 is explained in the table below. 

 $ 16,100,000 

This report includes a calculation of the Government Contribution required to be made before the end of 

FY 2020 (excluding the reimbursement for expenses). The table below contains Government Contribution 

(excluding expenses) for FY 2019 and FY 2020.

September 30, 2020 $ 520,300,000 $ 15,500,000 

Contribution Year

Government Contribution 

(excluding expenses)

D.C. Federal Pension Fund Judiciary Retirement Fund

September 30, 2019 $ 477,600,000 

Normal Cost change - (300,000)

Total $ 42,700,000 $ (600,000)

Judges' Plan

Police Officers and 

Firefighters', and 

Teachers' Plans

Employee Contribution change - -

Full amortization of the 10/1/2009 gain/(loss) $ 18,500,000 $ (600,000)

New amortization base for the 10/1/2019 

experience (gain)/loss (2,100,000) 700,000

New amortization base for the 10/1/2019 

assumption (gain)/loss 26,300,000 (400,000)

7
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DELOITTE CONSULTING LLP

October 22, 2019 October 22, 2019

Enrolled Actuary No. 17-06450

Jeffrey Rees, FSA, MAAA, FCA

Enrolled Actuary No. 17-05941

The undersigned with actuarial credentials collectively meet the Qualification Standards of the American 

Academy of Actuaries to render the actuarial opinions contained herein.

This report was prepared solely for the benefit and internal use of the Department of the Treasury. This 

report is not intended for the benefit of any other party and may not be relied upon by any third party for 

any purpose, and Deloitte Consulting LLP accepts no responsibility or liability with respect to any party other 

than the Department of the Treasury.

To the best of our knowledge, no employee of the Deloitte U.S. Firms is an officer or director of the 

employer. In addition, we are not aware of any relationship between the Deloitte U.S. Firms and the 

employer that may impair or appear to impair the objectivity of the work detailed in this report.

Michael de Leon, ASA, MAAA, FCA

Changes in plan provisions or applicable law.

Our scope did not include analyzing the potential range of such future measurements; therefore, this 

analysis was not performed.

Executive Summary

Actuarial Valuation Opinion

This report presents the results of the actuarial valuation of the Program as of October 1, 2019. In our

opinion, this report is complete and accurate and represents fairly the actuarial position of the Program for

the purposes stated herein.

This actuarial valuation has been prepared based upon plan member data and plan provisions provided by

the Department of the Treasury as of May 1, 2019 (plan data was projected to September 30, 2019 by

adjusting for expected mortality for inactive plan members) and the estimated asset information projected

by the Department of the Treasury to September 30, 2019 (provided on July 29, 2019).

We have reviewed the data and other information provided for reasonableness, but have not independently

audited the data or other information provided. We have no reason to believe the data and other information

provided are not complete and accurate, and know of no further information that is essential to the

preparation of the actuarial valuation.

In our opinion, all costs, liabilities, rates of interest, and other factors underlying these actuarial

computations have been determined on the basis of actuarial assumptions and methods. Each are reasonable

(or consistent with authoritative guidance) for the purposes described herein taking into account the

experience of the plans and future expectations. Rates of interest used in this valuation are provided by

ODCP and are consistent with authoritative guidance. All other assumptions are reasonable for the purposes 

described herein.

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

report due to such factors as 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 operations of the methodology used for these 

measurements (such as the end of an amortization period or additional cost or contribution 

requirements based on each plan's funded status); and

8
Plan Member Counts

Actives 1,307 1,547

Terminated Vested 204 199

Annuitants 13,440 13,540

Total 14,951 15,286

Contributions

Federal Required Contribution $ 520,300,000 $ 477,600,000

Present Value of Benefits (PVB)

Active Plan Members

Retirement Decrement $ 467,942,026 $ 508,019,251

Termination Decrement - 1,388,098

Disability Decrement 1,666,607 5,216,339

Death Decrement 678,418 1,845,363

Total $ 470,287,051 $ 516,469,051

Inactive Plan Members

Normal Retirees1 $ 6,224,919,047 $ 6,202,100,994

Terminated Vested 34,993,537 35,855,745

Disabled Retirees1 717,875,525 704,423,997

Beneficiaries 740,581,913 704,195,406

Total $ 7,718,370,022 $ 7,646,576,142

Total PVB (inactive and active) $ 8,188,657,073 $ 8,163,045,193

Unfunded Actuarial Accrued Liability (AAL)

Active AAL $ 470,287,051 $ 516,469,051

Inactive AAL 7,718,370,022 7,646,576,142

Total AAL $ 8,188,657,073 $ 8,163,045,193

Asset Value as of Valuation Date $ (3,822,592,727) $ (3,818,529,238)

Unfunded AAL $ 4,366,064,346 $ 4,344,515,955 

Executive Summary

Summary of Results

Police Officers and Firefighters', and Teachers' Plans

Valuation Date

October 1, 2019 October 1, 2018

1

Throughout this report, former spouses receiving benefits under a qualified domestic relations order are not included in 

counts. Their benefit amounts are included with their associated retired plan member.

9
Plan Member Counts

Actives 59 61

Terminated Vested - -

Annuitants 96 94

Total 155 155

Contributions

Government Contribution (excluding expenses) $ 15,500,000 $ 16,100,000

Present Value of Benefits (PVB)

Active Plan Members

Retirement Decrement $ 122,282,090 $ 126,685,652

Termination Decrement - -

Disability Decrement - -

Death Decrement 561,503 906,069

Total $ 122,843,593 $ 127,591,721

Inactive Plan Members

Normal Retirees1 $ 162,493,045 $ 160,271,351

Terminated Vested - -

Disabled Retirees1 2,119,211 2,983,729

Beneficiaries 8,959,664 8,373,915

Total $ 173,571,920 $ 171,628,995

Total PVB (inactive and active) $ 296,415,513 $ 299,220,716

Unfunded Actuarial Accrued Liability (AAL)

Active AAL $ 81,844,013 $ 83,938,272

Inactive AAL 173,571,920 171,628,995

Total AAL $ 255,415,933 $ 255,567,267

Asset Value as of Valuation Date $ (177,213,402) $ (170,055,020)

Unfunded AAL $ 78,202,531 $ 85,512,247

Total Normal Cost $ 5,300,000 $ 5,600,000

Employee Contributions (500,000) (500,000)

Net Employer Normal Cost $ 4,800,000 $ 5,100,000

Executive Summary

Summary of Results

Judges' Plan

October 1, 2019 October 1, 2018

1

Throughout this report, former spouses receiving benefits under a qualified domestic relations order are not included in 

counts. Their benefit amounts are included with their associated retired plan member.

Valuation Date

10
Significant Risks

Cost-of-Living-Adjustment (COLA) Risk

Longevity Risk

Investment Risk 

Interest Rate Risk

The potential that interest rates will be different than expected. As interest rates decrease, the present value of future benefit 

obligations increases. The magnitude of this risk depends on the Plan's effective duration, maturity, population composition, 

and benefit structure.

Assessment of Risk

The potential that mortality experience will be different than expected. 

The potential that investment returns will be different than expected. 

Risk can be defined as the potential of actual future measurements deviating from expected future measurements resulting 

from actual future experience deviating from actuarially assumed experience. This section is intended to comply with the 

requirements of Actuarial Standard of Practice (ASOP) No. 51, Assessment and Disclosure of Risk Associated with Measuring 

Pension Obligations and Determining Pension Plan Contributions. 

Measuring pension obligations and calculating actuarially determined contributions require the use of assumptions regarding 

future economic and demographic experience. However, an intended user of such measurements should understand the 

effects of future experience differing from the assumptions used in the actuarial valuation and the potential volatility of future 

measurements resulting from such differences. 

Methods used in the assessment of risk may include, but are not limited to scenario tests, sensitivity tests, stochastic 

modeling, stress tests, and a comparison of an actuarial present value using a discount rate derived from minimal-risk 

investments to a corresponding actuarial present value from the actuarial valuation. 

A more detailed assessment than what is presented below may be beneficial to understand the risks identified. The factors 

that are considered in making this judgement include risk assessment findings, length of time and changes in plan 

circumstances since the last assessment, absolute or relative size of the plan, maturity of the plan, funded status, asset 

allocation, method for determining contributions, or contribution risk (to the extent known by the actuary). 

Following is a discussion of the risks that, in our professional judgement, may be anticipated to significantly affect the 

Program's future financial condition.

For purposes of this section, pension obligations refer to Actuarially Accrued Liability and costs refer to Total Required 

Government Contribution. 

Below, we have listed a number of anticipated risks that may affect pension plans in general. We have identified potential 

risks that pertain to ODCP specifically and listed them in order of significance. We have defined "significant risks" as factors 

that could impact costs or liabilities. Additionally, we have identified any risks that, although they may be relevant to pension 

plans in general, are not applicable for ODCP.

The Police Officers and Firefighters', and Teachers' Plans and the Judges' Plan predominantly consist of participants already 

receiving annuities subject to a cost of living adjustment. The risk of actual COLA deviating from expected increases, in 

conjunction with the Program's maturity, is a significant risk for ODCP. 

Annuity based plans such as the Police Officers and Firefighters', and Teachers' Plans and the Judges' Plan are subject to 

longevity risk. Failing to project longevity improvements or to under-project them understates the value of the plan over 

time. This is particularly acute for plans also subject to a COLA.

To the extent that ODCP's investment policy results in more or less cash than expected, there may be a decrease or increase, 

respectively, in future cost requirements. Due to the makeup of ODCP's portfolio of assets consisting mainly of government 

treasury bonds, if yields behave differently than expected then the asset returns under the Program could be different than 

expected causing contribution requirements to increase or decrease.

All ODCP plans use the full yield curve derived at the time of the valuation by averaging the quarterly treasury rate over 40 

quarters (as published by the Department of the Treasury). A decrease in the yield curve could cause the cost of the plans to 

increase, while also resulting in an increase in the costs of the bonds to be purchased, thus lowering their return. 

The potential that annual COLA applied to participants' benefits will deviate from expected increases.

11
Assessment of Risk

Asset/Liability Mismatch Risk

Data Quality Risk

Legislative and Regulatory Risk

Liquidity Risk

Salary Scale Risk

Other Demographic Risk

Workforce Risk

Contribution Risk

An unexpected increase in short term benefit obligations could result in a reassessment of ODCP's current investment policy 

in order to decrease the impact caused by liquidity risk. However, ODCP's current investment policy serves to minimize this 

occurrence, thereby making this risk less prevalent. 

The remaining risks noted below have the potential to impact pension plans in general, however, we concluded 

that they are not pertinent to the ODCP plans at this time.

Because the Program consists of predominately inactive plan members, the risks associated with an unexpected increase in 

active plan members' salaries will have minimal impact on the Program. 

An unexpected change in assumptions including retirement rates, disability incidence rates, or elected forms of benefit could 

result in an increase to costs. However, because the Program consists of predominantly inactive plan members, this risk is 

expected to have minimal impact.

For the Police Officers and Firefighters’, and Teachers’ Plans, active plan members were hired prior to July 1, 1997. Given 

that these plan members are either retirement eligible or nearly retirement eligible, there is minimal risk that the workforce 

size or characteristics will deviate from expectation in a way that would introduce significant risk to the plan. While the 

Judges' Plan is still open and accruing, the workforce is relatively stable in nature, and therefore provides minimal risk overall 

to the Program. 

The Department of the Treasury has committed to funding the Program, thereby eliminating risk associated with future 

required contributions deviating from expected contributions. 

The potential that changes in asset values are not matched by changes in the value of liabilities.

The potential that the data quality interferes with the ability to develop an accurate estimate of liabilities. 

The inability to match asset and liability cash flows due to the limited nature of the available durations of Treasury Bonds 

could introduce risk to the Funds, depending on the deployment of the Program's Investment Policy.

ODCP has implemented many data control processes and procedures to ensure the integrity and quality of their data. Even 

so, unexpected data breaches or unexpected data changes could have a negative financial impact on the Program. 

The potential that future legislative or regulatory change could impact the calculation of the obligations and costs of the 

Program.

Unexpected regulatory rules or new laws could result in reassessing the valuation methods described in this report and could 

have an impact on the Program. Costs caused by any unexpected regulatory or law change could also pose a potential risk to 

the Program. 

The potential inability to cover short term costs resulting in a quicker than anticipated liquidation of assets.

The potential that actual future salary increases deviate from expected future salary increases. 

The potential that other demographic experiences will be different than expected. 

The potential that the size and characteristics of the Program's workforce will be different than expected.

The potential that actual future required contributions will deviate from expected future contributions.

12
Total

 9.94%

11.62%

13.75%

16.54%

19.92%

22.31%

24.75%

27.08%

29.86%

31.72%

13.38%

11.26%

 9.58%

Police Officers and Firefighters', and 

Teachers' Plans Judges' Plan

 6.09% 47.15%

30.09%

32.41%

34.97%

38.20%

41.44%

Assessment of Risk

Plan Maturity Measures

As a plan shifts from a young, active population accruing benefits to older retirees, pension obligations and costs may

increase until the plan approaches fully inactive, after which time the liability will start to decrease. Both the Judges' Plan and 

the Police Officers and Firefighters', and Teachers' Plans have significantly more inactive liability than active liability and thus,

are considered to have mature to very mature populations.

The tables below detail several plan maturity measures that are significant in understanding the risks associated with the

Program. As a plan becomes more mature, obligation grows relative to plan assets. Once the plan is mature, the obligation

will stay stable or decrease relative to the plan assets. Depending on the value of the measure, different approaches to asset

and liability management may be appropriate. It is important to consider these measures in the context of the plans'

provisions and features.

The following table shows a comparison of Active Participant Liability to Inactive Participant Liability for the current and prior

years.

19.12%

15.17%

12.22%

 9.85%

Police Subtotal Judges

16.16%

82.93%

 6.75% 48.91%

 8.17% 50.92%

 9.63% 55.65%

11.83% 57.09%

12.71% 50.49%

13.88% 51.73%

12.98%

Data not available Data not available

45.81%

32.65%

31.03%

69.57%

21.03%

23.60%

31.40%

19.56%

21.95%

24.38%

35.08%

28.57%

1

For years prior to 5/1/2017, Vested Terminated Participants were not included in the inactive participant headcount.

26.76%

29.57%

36.26%

21.76%

Fire

64.89%

18.55% 61.46%

24.66% 28.76%

5/31/2013

6/30/2012

6/30/2011

5/31/2014

72.73%

74.73%

9/30/2016

The following table shows a comparison of Active Participant Headcount to Inactive Participant Headcount for 

the current and prior years.1

Year 

9/30/2011

9/30/2010

9/30/2014

9/30/2013

9/30/2012

 9.91%

11.71%

13.19%

Year

9/30/2019

9/30/2018

9/30/2017

15.68%

18.66%

9/30/2015

Teacher

 6.23%

 7.01%

 8.24%

Ratio of Active to Inactive Participant Headcount

Data not available Data not available

5/1/2016

5/31/2015

26.27%

79.78%

76.40%

76.14%

73.63%

5/1/2019

5/1/2018

5/1/2017

6/30/2010 23.78%

13
Police 

Police Subtotal

5,666

6,761

Judges

Assessment of Risk

Additional Historical Information

The tables and charts below identify and disclose reasonably available relative historical values of the Program's actuarial

measurements that, in the actuary's professional judgement, are significant to understanding the risks of the Program.

Benefit Breakdown by Annuitant Type

The following table shows a summary of the number of plan participants receiving a full or partial federal benefit1for the 

current and prior years (Retirees, Beneficiaries, Disableds).

The following table shows a summary of the number of plan participants receiving a full federal benefit for the current and 

prior years (Retirees, Beneficiaries, Disableds). 

The following table shows a summary of the number of plan participants receiving a federal benefit and a District split 

benefit2 for the current and prior years (Retirees, Beneficiaries, Disableds). 

5,890

13,486

89

5,734

5,666 N/A

1,289

1,323

1,196 4,584

94 7,054

5,992

5,956

89

91

13,536

13,634

13,634

13,650

13,512

13,487

5/1/2019 3,591 6,665 96

5/1/2018

1,161

Total

88

82

8,374

4,206 8,495

6,960

13,559

94

92

91

88

1,898

1,922

1,875

13,398

N/A 6,046

3,683

Year

3,952 7,732 88 7,820

5/31/2013

6/30/2012

6/30/2011

6/30/2010

13,320

13,327

5,884

5,965

5,975

1

Includes annuitants with a deferred federal benefit.

Subtotal

Firefighters

Firefighters

5,656

13,440

13,540

13,542

Subtotal

96

Police Teachers Judges Total

Firefighters

7,513

5/31/2014 4,047 8,045

622

3,781 7,224

3,537

722

92

5/31/2014 1,480 5,378 N/A 5,378

6/30/2010

Year

5/1/2019

5/1/2018

5/1/2017

5/1/2016

5/31/2015

5/31/2014

5,521

13,423

13,398

13,342

1,913

2,071

2,197

2,343

2,457

1,206

8,952 9,034

7,316

5/1/2016

6/30/2012

6/30/2011 4,274 8,736 88 8,824

91

6,775

5/1/2018 2,273 6,580 N/A 6,580

3,881

2,990

3,103

5/1/2019 2,401 3,608 6,775 N/A

3,585

4,351

91 7,604

766

5/1/2017

5/31/2015

6/30/2010

1,246

2,874

4,584

5/1/2016 1,925 6,046

5/1/2017 2,109 6,318 N/A 6,318

5/31/2015 1,653 586

559

519

471

426

377

672

1,134

N/A

4,385 N/A 4,385

5/31/2013 1,367 5,113 N/A 5,113

6/30/2012 1,283 4,847 N/A 4,847

6/30/2011

2

Includes annuitants with a deferred federal benefit.

3

These annuitants receive a 100% federal benefit.

89 8,134

8,586

5/31/2013 4,134 8,285 89

82

Teachers Judges3 Total

1,372

1,403

1,445

1,472

1,498

2,626

2,748

2,844

3,499

3,427

3,227

3,093

2,962

3,339

Year 

5,937

5,967

5,952

5,806

5,605

5,527

5,501

5,489

5,470

5,485

5,842

1,931

1,916

Teachers

13,433

13,408

13,409

1,927

1,928

1,918

1,911

1,909

14
Liabilities

Data not available

$4,444.3

$4,430.0

$4,713.0

$4,058.4

$4,109.7

$4,122.4

$4,145.7

$4,100.3

$4,056.1

$3,990.4

Total

$8,444.1

$8,418.6

$8,727.6

$8,881.8

$8,907.0

$9,265.2

$9,328.4

$9,264.1

Data not available

$4,823.5

$4,797.4

$5,142.8

$5,182.5

$6,012.3

Data not available

Data not available

$133.2

Police Officers and Firefighters', and 

Teachers' Plans Judges' Plan

Data not available

Total

$3,999.8

$3,988.6

$4,014.6

9/30/2011 Data not available

Total

$5,955.9 $56.4

9/30/2014 $5,070.9 $71.9

9/30/2013 $5,135.6 $46.9

9/30/2012

The following table shows the Accrued Liability ($ millions) in each plan for the current and prior years. 

The following table shows the Unfunded Liability ($ millions) in each plan for the current and prior years. 

Year Police Officers and Firefighters', and 

Teachers' Plans Judges' Plan

9/30/2019 $4,366.1 $78.2

9/30/2018 $4,344.5 $85.5

9/30/2017 $4,627.6 $85.4

9/30/2016 $4,748.1 $75.4

9/30/2015 $4,728.4 $69.0

$8,163.0 $255.6

9/30/2017 $8,479.5 $248.1

9/30/2016 $8,650.3 $231.5

1

Securities are valued at amortized cost, not market value.

Data not available

9/30/2010 Data not available Data not available

9/30/2015 $8,687.6 $219.4

9/30/2014 $9,046.8 $218.4

9/30/2013 $9,137.5 $190.9

9/30/2012 $9,077.8 $186.3

9/30/2011

Data not available

Year

9/30/2019 $8,188.7 $255.4

9/30/2018

Assessment of Risk

Assets

The following table shows the Market Value of Assets1($ millions) in each plan for the current and prior years.

Year Police Officers and Firefighters', and 

Teachers' Plans Judges' Plan

9/30/2019 $3,822.6 $177.2

9/30/2018 $3,818.5 $170.1

9/30/2017 $3,851.9 $162.7

9/30/2016 $3,902.3 $156.1

Data not available

9/30/2011 $3,918.6 $137.5

9/30/2015 $3,959.3 $150.4

9/30/2014 $3,975.9 $146.5

9/30/2013 $4,001.8 $143.9

9/30/2012

9/30/2010 $3,857.2

$3,959.4 $140.9

9/30/2010 Data not available

15
Assessment of Risk

Funded Ratio

Contributions

Distribution of Benefit Payments

Total

$556.6

$553.6

$553.6

$554.2

$555.8

$554.8

$547.4

$542.9

$536.4

$526.4

46.1%

44.5%

44.4%

44.3%

Data not available

Data not available

Total

$535.8

$493.7

$467.4

$467.8

$475.1

$501.7

$477.8

$505.3

$492.0

$501.0

The following table shows the amount of the total required government contributions ($ millions) to each fund for the current 

and prior years1

.

46.0%

45.7%

Total

47.4%

47.4%

9/30/2019

9/30/2018

9/30/2017

9/30/2016

9/30/2015

$ 9.3

The following table shows the ratio of the Market Value of Assets to the Actuarial Accrued Liability.

Year Police Officers and Firefighters', and 

Teachers' Plans Judges' Plan

$15.6

$14.2

$14.2

$541.7 $14.1

$542.9

$ 9.4

$ 9.6

$452.2

$477.6

$537.2 $10.2

$11.9

$15.5

FY 2016

FY 2015

FY 2014

45.1%

66.5%

65.6%

67.4%

67.1%

$10.5

$16.1

$15.6

FY 2013

9/30/2013

9/30/2012

9/30/2011

69.4%

46.8%

45.4%

FY 2017

FY 2016

FY 2015

FY 2014

FY 2013

FY 2012

FY 2011

FY 2010

FY 2012

9/30/2010

Year Police Officers and Firefighters', and 

Teachers' Plans Judges' Plan

FY 2020

FY 2019

FY 2018

FY 2011

Data not available

$520.3

$451.8

$460.9

$487.5

$467.3

$495.9

$482.4

$491.7

FY 2017

46.7%

9/30/2014

Judges' Plan

FY 2019

FY 2018

1

Payments for FY2018 and after are before administrative expenses for all plans.

$541.4 $12.2

$542.4 $11.8

45.6%

43.9%

43.8%

43.6%

Data not available

Data not available

68.6%

$543.3 $13.3

$541.1 $12.5

75.4%

75.6%

Data not available

$532.9 $10.0

$527.3 $ 9.1

$518.0 $ 8.4

The following table shows the amount of federal benefit payments and refunds paid ($ millions) to each plan 

for the current and prior years.

Year Police Officers and Firefighters', and 

Teachers' Plans

16
Assessment of Risk

Investment Performance

$ 54.5

$ 54.7

$ 58.6

$ 65.7

$ 78.8

$108.6

$119.6

$129.2

The following table shows the rates used for the return on market value of assets ("Asset Return") and the percentage of the 

amortized cost value of investment ("Liability Rates").

The following table shows the history of the approximate rate of return1 on the Market Value of Assets. 

Year Police Officers and Firefighters', and 

Teachers' Plans Judges' Plan

FY 2019 1.8% 2.2%

FY 2018 1.5% 2.3%

FY 2017 1.4% 2.3%

FY 2016 1.0% 2.4%

FY 2015 0.8% 2.2%

FY 2014 1.3% 2.1%

FY 2013 1.3% 2.2%

FY 2012 2.9% 3.3%

FY 2011 3.2% 3.3%

Year Police Officers and Firefighters', and 

Teachers' Plans Judges' Plan

FY 2019 $ 69.1 $3.8

FY 2018 $ 57.5 $3.6

The following table shows the total amount of interest earned in each plan from investments for the current and prior years 

($ millions).

Total

$ 72.9

$ 61.1

1

Rates from FY2013, FY2014, and FY2015 are net of expenses for all plans.

FY 2010 3.5% 3.6%

FY 2015 $ 54.9 $3.7

FY 2014 $ 61.9 $3.8

FY 2013 $ 75.0 $3.8

FY 2012 $104.2 $4.4

Police Officers and Firefighters', and 

Teachers' Plans

FY 2017

FY 2016

FY 2015

FY 2014

FY 2013

FY 2012 2.0% - 4.7%

FY 2011

1.1% - 4.2%

1.5% - 4.3%

1.1% - 4.2%

1.5% - 4.3%

FY 2017 $ 51.0

FY 2019

FY 2018

0.8%

1.0%

1.4%

1.5%

1.8% 0.7% - 3.9%

Year Liability Rates Asset Return Liability Rates Asset Return

FY 2011 $115.3

0.6% - 3.9%

$4.3

FY 2010 $124.8

Judges' Plan

2.2%

2.4%

0.7% - 4.0% 2.3%

0.7% - 3.9%

0.6% - 3.9%

0.7% - 4.0%

$4.4

$3.5

2.3%

2.2%

3.3%

2.2%

1.7% - 4.4% 2.1%

1.9% - 4.6%

2.0% - 4.7%

2.3% - 4.9%

2.8% - 5.0% 3.5%

3.2%

2.9%

1.3%

1.3% 1.7% - 4.4%

1.9% - 4.6%

FY 2010

2.3% - 4.9%

2.8% - 5.0% 3.6%

3.3%

FY 2016 $ 51.1 $3.6

17
Assessment of Risk

(Gains)/Losses

Actuarial 

(Gain)/Loss -

Experience

Actuarial 

(Gain)/Loss -

Method/

Assumptions

$ 4.3 $ (4.8)

$ 4.1 $ 1.7 

$ 1.6 $ 13.1 

$ (2.2) $ 11.7 

$ (0.3) $ 1.1 

$ 21.3 $ 4.8 

$ (1.4) $ 7.6 

$ 3.7 $ 10.4 

Inflation Assumptions

Judges Pay

0.8%

1.0%

1.1%

1.2%

1.7%

1.9%

2.3%

1.5%

1.8%

2.1%

The following table shows the Historical (Gains)/Losses in each plan for the current and prior years (in 

millions). The plans will experience deviations from expected each year. The amount of the deviation is 

amortized over future years and included in the contribution calculation.

Year

FY 2014

Actuarial 

(Gain)/Loss - 

Experience

Actuarial 

(Gain)/Loss - 

Method/

Assumptions

Actuarial 

(Gain)/Loss - 

Investment

9/30/2019 $ (48.9) $ 30.3 $ 492.0 $ 1.5

$ 591.7 $ (1.3)

FY 2015

Cost-of-Living

Police Officers and Firefighters', and Teachers' Plans Judges Plan

FY 2013

FY 2012

FY 2011

FY 2010

2.4% - 2.5%

2.4% - 2.6%

2.5% - 2.6%

2.4%

2.6% - 2.8%

2.2% – 2.3%

3.1% – 3.4%

4.3%

4.3%

4.2% 4.2%

4.3%

4.3%

3.9%

The following table shows the annual long term actuarial general pay and inflation assumptions in each plan 

for the current and prior years. The inflation assumption is used to project future pay for the active 

population.

Year

FY 2019

FY 2018

FY 2017

3.0%

$ 2.0

9/30/2018 $ (30.6)

9/30/2017 $ (12.2) $ 25.7 $ 251.0 $ 1.8

9/30/2016 $ 4.3 $ (63.0)

FY 2016

Actuarial 

(Gain)/Loss - 

Investment

Police/Fire Pay Teachers Pay

1.4% - 1.8%

1.6% - 1.7%

1.7% - 1.9%

1.9% - 2.0%

2.1% - 2.4%

1.95% - 2.00%

1.8% - 2.2%

1.8% - 2.2%

2.0% - 2.2%

2.2% 3.0%

3.0%

3.0%

2.4%

2.3%

$ 256.4 $ (1.3)

9/30/2012 $ (21.1) $ 92.8

$ 52.2 $ 114.0 $ 1.6

Data Not Available

Data Not Available

$ 484.5

9/30/2011

9/30/2015 $ 9.8 $ (69.8) $ 100.1 $ 1.4

9/30/2014 $ 7.0 $ (66.0) $ 354.3 $ 1.9

9/30/2013 $ (20.1) $ (63.9)

9/30/2010

18
Total Amortization

Total Normal Cost with Interest

Employee Contributions

Net Employer Normal Cost

1 Includes assumption change impact, $492,031,027, as well as effect of discount rate change on prior amortization balances, 

($91,610,706).

$ 4,366,064,346

Assumption Change 10/1/20191 20 26,300,000 400,420,321

1

11

Assumption Change 10/1/2012

(Gain)/Loss 10/1/2013

Assumption Change 10/1/2013

14

2

 (3,300,000)

 10,500,000

Assumption Change 10/1/2008

Assumption Change 10/1/2009

(Gain)/Loss 10/1/2010

Assumption Change 10/1/2010

Amortization Base

Initial Unfunded Accrued Liability

Assumption Change 10/1/2001

Plan Change 10/1/2001

Assumption Change 10/1/2004

Assumption Change 10/1/2005

Assumption Change 10/1/2006

Assumption Change 10/1/2007

Remaining 

Number of Years

Annual 

Amortization 

Installment

Outstanding Balance 

as of October 1, 2019

2

5

6

7

 2,573,458,974

 79,162,058

 31,585,858

Assumption Change 10/1/2000 (22,036,927)

 65,761,046

 (35,847,882)

 260,737,789

 26,576,168

10

8

2

8

9

$ 348,600,000

 40,100,000

 16,000,000

 13,700,000

 (6,300,000)

 39,800,000

 3,600,000

 3,300,000

 40,700,000

1 (22,200,000)

 27,006,213

Plan Cost

Amortization Schedule and Required Government Contribution

Police Officers and Firefighters', and Teachers' Plans

Total Required Government Contribution as of 

September 30, 20202

Method Change 10/1/2016 17

(Gain)/Loss 10/1/2017 8

(Gain)/Loss 10/1/2019 10

Assumption Change 10/1/2015 16

(Gain)/Loss 10/1/2016 7

Assumption Change 10/1/2016 17

 (65,512,007)

 280,093,746

Assumption Change 10/1/2014 15

(Gain)/Loss 10/1/2015 6

(Gain)/Loss 10/1/2014 5

 (39,830,980)

 (52,033,974)

 364,470,945

 (3,275,759)

 101,827,404

 (409,267,110)

 (33,120,527)

 166,117,504

 (31,980,682)

 71,845,802

 1,469,482

 360,731,518

 (38,434,395)

 219,922,269

 20,600,000

 500,000

 1,500,000

$ 520,300,000

2 Before administrative expenses.

(Gain)/Loss 10/1/2018 9 2,400,000 19,640,882

Assumption Change 10/1/2018 19 (1,600,000) (23,532,236)

 6,798,392

 11,073,404

 70,815,167

$ 520,300,000

 (18,578,117)

Funding Method Change 10/1/2013

- 

$ -

$ -

 (10,000,000)

 32,500,000

 500,000

 6,900,000

 (16,200,000)

Assumption Change 10/1/2017 18 5,000,000

 (2,100,000)

14 18,700,000

 (4,000,000)

 (7,000,000)

 13,400,000

 (6,900,000)

 (34,800,000)

 (9,900,000)

12

3

Assumption Change 10/1/2011

(Gain)/Loss 10/1/2012

(Gain)/Loss 10/1/2011

13

4

19
Total Amortization

Total Normal Cost with Interest

Employee Contributions

Net Employer Normal Cost

 1,417,282

(Gain)/Loss 10/1/2018 9 700,000 5,419,904

13

Funding Method Change 10/1/2013 14

 2,900,000

 2,793,717

Assumption Change 10/1/20191

10 700,000

Assumption Changes 10/1/2013 14

 200,000

(Gain)/Loss 10/1/2014

Assumption Changes 10/1/2012

(Gain)/Loss 10/1/2019

 300,000

Assumption Change 10/1/2018 19 100,000

 5,801,581

20 (400,000) (5,646,001)

7

Assumption Change 10/1/2008

2 Before administrative expenses.

$ 10,700,000 $ 78,202,531

(Gain)/Loss 10/1/2015 6

$ 15,500,000

$ 5,300,000

(500,000)

$ 4,800,000

Assumption Change 10/1/2004 5

Initial Unfunded Accrued Liability 8

Plan Cost

Amortization Schedule and Required Government Contribution

Judges' Plan

(Gain)/Loss 10/1/2013 4

Assumption Changes 10/1/2010

Amortization Base Remaining 

Number of Years

Annual 

Amortization 

Installment

 (600,000)

9

Assumption Change 10/1/2001 2

 200,000

Assumption Change 10/1/2006

 (800,000)

11

 100,000

 1,500,000

 200,000

Assumption Change 10/1/2016 17

(Gain)/Loss 10/1/2012

1

Total Required Government Contribution as of 

September 30, 20202

Method Change 10/1/2016

Assumption Change 10/1/2009

 500,000

 400,000

 800,000

 600,000

 800,000

 100,000

 100,000

 (400,000)

10

(Gain)/Loss 10/1/2010

2

18

3

17

(Gain)/Loss 10/1/2017 8

5

Assumption Changes 10/1/2011 12

 (1,128,839)

 6,332,278

 2,965,165

 4,481,690

 (11,204,225)

 13,235,768

 539,571

 3,911,939

 6,519,899

 2,366,995

$ 14,667,015

 955,074

 600,000

 500,000

Outstanding Balance 

as of October 1, 2019

 (581,846)

Assumption Change 10/1/2017

$ 2,100,000

 100,000

 912,812

 3,721,322

 1,548,544

 (6,782,560)

 96,974

 13,787,142

 191,015

 988,308

 400,000

 (1,000,000)

Assumption Change 10/1/2000 1

 10,892,007

Assumption Change 10/1/2014 15

(Gain)/Loss 10/1/2011

1 Includes assumption change impact, ($4,759,389), as well as effect of discount rate change on prior amortization balances, 

($886,612).

20
$ 3,818,529,238 $ 170,055,020

3,818,991,805 169,975,290

$ - $ 620,940

498,900,195 16,653,539

498,900,195 17,274,479

(543,318,329) (13,303,577)

(21,300,195) (553,539)

69,781,819 3,741,019

20,863,698 5,279,013

3,773,674,607 178,751,396

3,822,592,727 177,213,402

$ (48,918,120) $ 1,537,994

$ 8,163,045,193 $ 255,567,267

- 500,000

- 5,100,000

- 5,600,000

(543,318,329) (13,303,577)

46,559,178 8,048,045

7,666,286,042 255,911,735

7,696,626,045 260,175,322

30,340,003 4,263,587

$ (18,578,117) $ 5,801,581

Police Officers and 

Firefighters', and 

Teachers' Plans

287,100,110 2,982,324

141,805,509 (8,319,171)

63,125,408 577,458

$ 492,031,027 $ (4,759,389)

$ 8,188,657,072 $ 255,415,933

2

 Projected salary increases, COLA, and additional salary increases.

Summary of Changes in Assumptions and Methods

Judges' Plan

Total Experience (Gain)/Loss

Liability (Gain)/Loss

(Gains)/Losses

1 Liabilities as of October 1, 2019 for the Police Officers and Firefighters', and Teachers' Plans calculated for this purpose are 

based on 2019 spot rates implied by the 2018 spot rate yield curve. These spot rates used in gain/loss analysis were calculated 

by converting the 2018 spot rates to forward rates, removing the forward rate for FY 2019, and then converting the forward rates 

back to spot rates. See Appendix A: Actuarial Assumptions and Methods for an example of the rates.

Total Impact

Change in Discount Rate

Change in Other Economic Assumptions2

Actual End of Year AAL after assumption 

and method changes

Change in Non-Economic Assumptions3

Employer

Total

Actual September 30, 2019 AAL before 

assumption and method changes1

Contributions:

Employees

Interest

Expected September 30, 2019 AAL

Expected End of Year Value

October 1, 2019 (Projected) Value

Asset (Gain)/Loss

Liabilities

Benefits Paid

Expenses Paid

Changes in Actuarial Accrued Liability

Reconciliation of Actuarial (Gain)/Loss

3

 Form of payment assumption for the Teachers' Plan, spousal age assumption, expected rates of retirement, expected disability 

incidence rates, expected rates of termination, mortality base table, mortality improvement scale, and mortality scaling factors. 

Police Officers and 

Firefighters', and 

Teachers' Plans

Benefits Paid

October 1, 2018 AAL

Normal Cost:

Employees

Employers

Total

Expected Income

Income (including adjustments)

Assets

As of October 1, 2018, before adjustments

As of October 1, 2018, after adjustments

Judges' Plan

21
Judges' Plan

$ 3,818,529,238 $ 170,055,020

462,568 (79,730)

$ 3,818,991,805 $ 169,975,290

Additions

$ 498,900,195 $ 16,653,539

- 620,940

$ 498,900,195 $ 17,274,479

69,104,422 3,809,442

214,829 11,307

$ 568,219,445 $ 21,095,229

Deductions

$ (543,290,204) $ (13,303,577)

(28,124) -

$ (543,318,329) $ (13,303,577)

$ (22,554,307) $ (553,539)

1,254,112 -

$ (21,300,195) $ (553,539)

$ (564,618,524) $ (13,857,116)

Net additions/(deductions) $ 3,600,922 $ 7,238,113

$ 3,822,592,727 $ 177,213,402

Employee contributions

Total contributions

Investment income (including interest)1

Miscellaneous additions

Total additions

Contributions:

Government contributions (amortization 

payment)

Police Officers and 

Firefighters', and 

Teachers' Plans

Projected net assets available for benefits 

as of October 1, 2018

Actual net assets available as of 

October 1, 2018

Adjusted from estimate to actual

Asset Information

Statement of Changes in Net Plan Assets

The following table is based on the unaudited statement of assets projected to

September 30, 2019, as provided by the Department of the Treasury on July 29, 2019. 

Values from the statement are unrounded and truncated to the dollar.

Benefit payments:

Annuities - Federal only

Refunds of contributions

Net assets available for benefits as of 

October 1, 2019

Other expenses

Total expenses and fees

Total deductions

Total benefit payments

Expenses and fees:

Administrative expenses

1 The approximate rate of return on the Market Value of Assets is 1.84% for the Police Officers and Firefighters', 

and Teacher's Plans, and 2.18% for the Judges' Plan.

22
Fiscal Year 

Ending In

Fiscal Year 

Ending In

2020 $ 542,486,529 2058 $ 48,091,459

2021 539,061,661 2059 42,284,984

2022 534,273,398 2060 36,950,959

2023 527,923,034 2061 32,067,861

2024 520,050,649 2062 27,619,132

2025 511,037,221 2063 23,591,040

2026 500,669,632 2064 19,970,757

2027 489,030,329 2065 16,745,170

2028 476,387,281 2066 13,899,122

2029 462,837,064 2067 11,414,888

2030 448,393,516 2068 9,272,158

2031 433,092,290 2069 7,447,783

2032 417,087,032 2070 5,915,927

2033 400,366,634 2071 4,648,508

2034 383,039,754 2072 3,615,762

2035 365,198,388 2073 2,787,240

2036 346,943,737 2074 2,132,860

2037 328,382,851 2075 1,623,826

2038 309,643,307 2076 1,233,471

2039 290,854,334 2077 937,890

2040 272,152,782 2078 716,345

2041 253,677,833 2079 551,371

2042 235,568,308 2080 428,744

2043 217,954,928 2081 337,246

2044 200,955,548 2082 268,295

2045 184,672,976 2083 215,524

2046 169,190,289 2084 174,338

2047 154,567,932 2085 141,528

2048 140,841,632 2086 114,881

2049 128,023,125 2087 92,909

2050 116,102,935 2088 74,653

2051 105,053,992 2089 59,442

2052 94,835,981 2090 46,804

2053 85,399,333 2091 36,379

2054 76,689,810 2092 27,872

2055 68,653,250 2093 21,030

2056 61,238,118 2094 15,618

2057 54,397,763

Expected Net Benefit 

Payments

Expected Net Benefit 

Payments

Benefit Payments and Funding Projections

Benefit Payment Projections

Police Officers and Firefighters', and Teachers' Plans (closed group)

23
Fiscal Year 

Ending In

Fiscal Year 

Ending In

2020 $ 254,497,512 2058 $ 32,441,299

2021 255,124,928 2059 28,687,397

2022 255,051,914 2060 25,185,457

2023 254,235,710 2061 21,935,033

2024 252,603,731 2062 18,938,183

2025 250,271,037 2063 16,197,501

2026 247,254,208 2064 13,714,668

2027 243,537,921 2065 11,489,674

2028 239,266,293 2066 9,519,445

2029 234,464,634 2067 7,797,416

2030 229,150,150 2068 6,313,293

2031 223,292,703 2069 5,053,104

2032 216,959,171 2070 3,999,583

2033 210,188,761 2071 3,132,944

2034 202,986,018 2072 2,431,544

2035 195,383,847 2073 1,872,929

2036 187,424,808 2074 1,434,924

2037 179,155,955 2075 1,096,473

2038 170,632,825 2076 838,322

2039 161,917,560 2077 643,485

2040 153,078,813 2078 497,508

2041 144,189,797 2079 388,469

2042 135,326,094 2080 306,841

2043 126,561,684 2081 245,270

2044 117,966,338 2082 198,222

2045 109,604,686 2083 161,639

2046 101,532,173 2084 132,635

2047 93,792,880 2085 109,188

2048 86,418,185 2086 89,880

2049 79,426,472 2087 73,755

2050 72,824,078 2088 60,179

2051 66,606,754 2089 48,702

2052 60,762,331 2090 39,013

2053 55,272,914 2091 30,876

2054 50,117,439 2092 24,100

2055 45,274,591 2093 18,527

2056 40,724,605 2094 14,017

2057 36,450,989

Expected Net Benefit 

Payments

Expected Net Benefit 

Payments

Benefit Payments and Funding Projections

Benefit Payment Projections

Police Officers (closed group)

24
Fiscal Year 

Ending In

Fiscal Year 

Ending In

2020 $ 94,703,337 2058 $ 10,911,496

2021 94,480,468 2059 9,660,961

2022 93,997,673 2060 8,507,665

2023 93,128,169 2061 7,448,674

2024 91,866,023 2062 6,480,782

2025 90,411,198 2063 5,600,636

2026 88,596,951 2064 4,804,692

2027 86,542,427 2065 4,089,166

2028 84,297,147 2066 3,450,026

2029 81,899,881 2067 2,883,098

2030 79,355,339 2068 2,384,393

2031 76,690,207 2069 1,949,989

2032 73,919,018 2070 1,575,942

2033 71,058,290 2071 1,258,063

2034 68,127,279 2072 991,837

2035 65,143,372 2073 772,442

2036 62,125,781 2074 594,733

2037 59,093,714 2075 453,344

2038 56,066,030 2076 342,865

2039 53,060,646 2077 258,038

2040 50,093,769 2078 193,947

2041 47,179,429 2079 146,154

2042 44,329,320 2080 110,835

2043 41,552,518 2081 84,799

2044 38,855,828 2082 65,509

2045 36,244,232 2083 51,044

2046 33,721,274 2084 39,974

2047 31,289,503 2085 31,314

2048 28,950,450 2086 24,406

2049 26,705,067 2087 18,820

2050 24,554,284 2088 14,291

2051 22,499,364 2089 10,644

2052 20,541,767 2090 7,742

2053 18,683,042 2091 5,478

2054 16,924,665 2092 3,760

2055 15,267,936 2093 2,497

2056 13,713,623 2094 1,599

2057 12,261,770

Expected Net Benefit 

Payments

Expected Net Benefit 

Payments

Benefit Payments and Funding Projections

Benefit Payment Projections

Firefighters (closed group)

25
Fiscal Year 

Ending In

Fiscal Year 

Ending In

2020 $ 193,285,680 2058 $ 4,738,663

2021 189,456,264 2059 3,936,625

2022 185,223,811 2060 3,257,837

2023 180,559,155 2061 2,684,154

2024 175,580,896 2062 2,200,167

2025 170,354,986 2063 1,792,902

2026 164,818,473 2064 1,451,397

2027 158,949,982 2065 1,166,330

2028 152,823,840 2066 929,651

2029 146,472,549 2067 734,373

2030 139,888,026 2068 574,472

2031 133,109,380 2069 444,690

2032 126,208,843 2070 340,403

2033 119,119,583 2071 257,502

2034 111,926,457 2072 192,381

2035 104,671,169 2073 141,869

2036 97,393,148 2074 103,203

2037 90,133,182 2075 74,009

2038 82,944,452 2076 52,285

2039 75,876,128 2077 36,367

2040 68,980,200 2078 24,891

2041 62,308,607 2079 16,748

2042 55,912,893 2080 11,068

2043 49,840,726 2081 7,178

2044 44,133,381 2082 4,564

2045 38,824,058 2083 2,841

2046 33,936,842 2084 1,729

2047 29,485,549 2085 1,026

2048 25,472,997 2086 594

2049 21,891,586 2087 335

2050 18,724,574 2088 183

2051 15,947,874 2089 96

2052 13,531,883 2090 49

2053 11,443,377 2091 25

2054 9,647,706 2092 12

2055 8,110,722 2093 5 

2056 6,799,890 2094 2 

2057 5,685,004

Expected Net Benefit 

Payments

Expected Net Benefit 

Payments

Benefit Payments and Funding Projections

Benefit Payment Projections

Teachers (closed group)

26
Fiscal Year Ending In

2020 $ 14,895,602

2021 15,112,708

2022 15,100,470

2023 15,450,444

2024 15,552,494

2025 15,443,493

2026 15,454,076

2027 15,381,779

2028 15,389,124

2029 15,356,926

2030 15,541,627

2031 15,534,777

2032 15,512,306

2033 15,306,749

2034 15,217,463

2035 15,033,734

2036 15,168,347

2037 15,094,777

2038 14,944,586

2039 14,772,592

2040 14,543,527

2041 14,527,363

2042 14,282,048

2043 14,151,677

2044 13,935,041

Expected Net Benefit 

Payments1

1 Expected Net Benefit Payments are net of retiree contributions paid to provide for 

 survivor benefits.

Benefit Payments and Funding Projections

Benefit Payment Projections

Judges' Plan (open group)

27
Fiscal Year 

Ending In

Fiscal Year 

Ending In

2020 $ 14,895,602 2058 $ 3,582,682

2021 15,114,923 2059 3,234,213

2022 15,104,887 2060 2,907,689

2023 15,461,007 2061 2,602,723

2024 15,568,499 2062 2,318,914

2025 15,462,454 2063 2,055,668

2026 15,476,976 2064 1,812,273

2027 15,408,489 2065 1,588,113

2028 15,420,807 2066 1,382,649

2029 15,391,499 2067 1,194,894

2030 15,582,516 2068 1,024,017

2031 15,536,435 2069 869,292

2032 15,459,517 2070 730,141

2033 15,190,120 2071 606,173

2034 14,965,886 2072 496,876

2035 14,617,107 2073 401,579

2036 14,243,179 2074 319,567

2037 13,883,414 2075 250,142

2038 13,490,072 2076 192,362

2039 12,974,939 2077 145,162

2040 12,444,284 2078 107,355

2041 12,147,241 2079 77,738

2042 11,570,654 2080 55,044

2043 11,088,163 2081 38,068

2044 10,496,447 2082 25,673

2045 9,958,104 2083 16,866

2046 9,369,529 2084 10,782

2047 8,841,470 2085 6,702

2048 8,268,539 2086 4,045

2049 7,710,444 2087 2,366

2050 7,169,184 2088 1,339

2051 6,646,386 2089 735

2052 6,143,388 2090 394

2053 5,661,262 2091 204

2054 5,200,746 2092 101

2055 4,762,426 2093 50

2056 4,346,636 2094 24

2057 3,953,439

Expected Net Benefit 

Payments

Expected Net Benefit 

Payments

Benefit Payments and Funding Projections

Benefit Payment Projections

Judges' Plan (closed group)

28
Fiscal Year Ending In

Benefits Paid by 

District 

($ millions)

1998-1999 $ 2.3

2000 3.9

2001 4.6

2002 6.7

2003 10.9

2004 16.2

2005 21.7

2006 28.6

2007 38.4

2008 47.1

2009 58.1

2010 65.5

2011 73.3

2012 86.0

2013 99.8

2014 112.6

2015 126.4

2016 146.0

2017 163.0

2018 183.8

2019 201.1

Benefit Payments and Funding Projections

District Benefit Payments

Police Officers and Firefighters', and Teachers' Plans

29
Fiscal Year 

Ending In

Expected 

Return on 

Assets

Beginning of 

Year Assets

Federal 

Contribution 

(with Expense 

Reimbursement)

Net Benefit 

Payments Expenses Investment 

Return

End of Year 

Assets

2020 0.74% $ 3,822,592,727 $ 546,400,000 $ (542,486,529) $ (26,100,000) $ 26,183,416 $ 3,826,589,614

2021 1.14% 3,826,589,614 570,800,000 (539,061,661) (25,000,000) 40,422,044 3,873,749,997

2022 1.72% 3,873,749,997 530,300,000 (534,273,398) (24,400,000) 61,896,187 3,907,272,786

2023 2.28% 3,907,272,786 530,200,000 (527,923,034) (24,800,000) 82,941,989 3,967,691,741

2024 2.78% 3,967,691,741 540,600,000 (520,050,649) (25,300,000) 102,598,751 4,065,539,843

2025 3.12% 4,065,539,843 534,300,000 (511,037,221) (25,800,000) 118,387,542 4,181,390,164

2026 3.37% 4,181,390,164 548,200,000 (500,669,632) (26,400,000) 131,963,770 4,334,484,302

2027 3.61% 4,334,484,302 518,900,000 (489,030,329) (26,900,000) 147,117,970 4,484,571,943

2028 3.70% 4,484,571,943 165,700,000 (476,387,281) (27,400,000) 156,521,985 4,303,006,647

2029 3.90% 4,303,006,647 160,600,000 (462,837,064) (28,000,000) 158,190,637 4,130,960,220

2030 3.85% 4,130,960,220 122,500,000 (448,393,516) (28,500,000) 149,725,739 3,926,292,443

2031 3.95% 3,926,292,443 112,600,000 (433,092,290) (29,100,000) 145,828,885 3,722,529,038

2032 4.02% 3,722,529,038 106,300,000 (417,087,032) (29,700,000) 140,530,996 3,522,573,002

2033 3.91% 3,522,573,002 74,400,000 (400,366,634) (30,300,000) 129,456,734 3,295,763,102

2034 3.90% 3,295,763,102 91,100,000 (383,039,754) (30,900,000) 120,576,578 3,093,499,926

Benefit Payments and Funding Projections

15-Year Funding Projections - Closed Group

Police Officers and Firefighters', and Teachers' Plans

30
Fiscal Year 

Ending In

Expected 

Return on 

Assets

Beginning of 

Year Assets

Employee 

Contributions

Federal 

Contribution 

(with Expense 

Reimbursement)

Net Benefit 

Payments Expenses Investment 

Return

End of Year 

Assets

2020 0.74% $ 177,213,402 $ 486,115 $ 16,000,000 $ (14,895,602) $ (500,000) $ 1,256,214 $ 179,560,129

2021 1.14% 179,560,129 490,150 16,539,840 (15,112,708) (500,000) 1,961,470 182,938,881

2022 1.72% 182,938,881 494,218 15,980,011 (15,100,470) (500,000) 3,020,162 186,832,802

2023 2.28% 186,832,802 498,320 16,520,515 (15,450,444) (600,000) 4,090,247 191,891,440

2024 2.78% 191,891,440 502,456 15,761,355 (15,552,494) (600,000) 5,110,934 197,113,691

2025 3.12% 197,113,691 506,626 12,702,534 (15,443,493) (600,000) 5,903,451 200,182,809

2026 3.37% 200,182,809 510,831 12,644,055 (15,454,076) (600,000) 6,480,920 203,764,539

2027 3.61% 203,764,539 515,071 12,085,921 (15,381,779) (600,000) 7,074,592 207,458,344

2028 3.70% 207,458,344 519,346 9,628,134 (15,389,124) (600,000) 7,385,657 209,002,357

2029 3.90% 209,002,357 523,657 8,770,698 (15,356,926) (600,000) 7,847,400 210,187,186

2030 3.85% 210,187,186 528,003 8,913,614 (15,541,627) (600,000) 7,784,572 211,271,748

2031 3.95% 211,271,748 532,386 7,456,887 (15,534,777) (600,000) 8,029,853 211,156,097

2032 4.02% 211,156,097 536,805 7,500,520 (15,512,306) (700,000) 8,165,597 211,146,713

2033 3.91% 211,146,713 541,260 6,944,514 (15,306,749) (700,000) 7,962,322 210,588,060

2034 3.90% 210,588,060 545,753 7,588,873 (15,217,463) (700,000) 7,920,651 210,725,874

Benefit Payments and Funding Projections

15-Year Funding Projections - Open Group

Judges' Plan

31
3,868 1,168 4,850 9,886

4 0 0 4 

276 230 1,238

140

27.50

1

 Throughout this report, "Normal Retirees" refer to Voluntary Retirements for the District of Columbia Teachers' Retirement Plan 

and Optional Retirements for the District of Columbia Police Officers and Firefighters' Retirement Plan.

Disabled Retirees 1,020,384 168,108 1,330,920

Total Annual Federal Benefits - Current:

Total Annual Federal Benefits - Deferred:

- 

 142,428

$ 146,484 $ 1,098,768 $ 1,704,564

Normal Retirees 96,684 - 96,684

Normal Retirees

 8,580,768

$ 459,312

Disabled Retirees 32,230,458 14,824,212 6,315,984 53,370,654

$ 180,503,568

 14,815,704

$ 425,292,359

Terminated Vested

Basis for the Valuation

Plan Member Summary

Police Officers and Firefighters', and Teachers' Plans

74.27

5/1/2019

204

2,172

 14,951

27.93

1,307

$ 148,308,634

1,286

6,617

593

32

Firefighters Teachers Total

360

14

53.68

70.04

$ 67,240,804

51.57

Inactive Plan Member Characteristics:

Active Plan Member Characteristics:

57.49

76.65

$ 40,585,162

27.49

462

72.20

56.62

Total Pay

Average Age

Average Service

53.58

74.56

Terminated Vested

Disabled Retirees

29.11

424

6,033

354

Date Of Census Data:

Actives

Terminated Vested

Beneficiaries

Total

5/1/2019

158

Police Officers

5/1/2019

$ 40,482,668

5/1/2019

Plan Member Counts:

52.28 53.57

Beneficiaries 41,132,532

$ 64,483,454

76.72

$ 180,305,338

76.89 72.37

 64,529,004

67.46 69.86

75.81

Normal Retirees

Beneficiaries 79.50

Normal Retirees1 - Current Benefits

Normal Retirees - Deferred Benefits

Disabled Retirees - Current Benefits

Disabled Retirees - Deferred Benefits

Average Age:

102 21 17

58.24

2,301

732

32
1

 Throughout this report, "Normal Retirees" refer to Regular Retirements for the District of Columbia Judges' Retirement 

Plan.

Average Age 60.14

Average Service 13.07

Disabled Retirees 144,893

Normal Retirees $ 12,391,573

Normal Retirees 75.95

Beneficiaries 82.92

Total Annual Benefits

Beneficiaries 1,070,124

Inactive Plan Member Characteristics

Terminated Vested N/A

Average Age

Terminated Vested N/A

Disabled Retirees 63.42

Total 155

Total Compensation for Covered Plan Members $ 12,533,700

Normal Retirees1 81

Beneficiaries 14

Disabled Retirees 1

Active Plan Member Characteristics

Terminated Vested 0 

Total

Basis for the Valuation

Plan Member Summary

Judges' Plan

Date of Census Data 5/1/2019

Actives 59

Plan Member Counts:

33
Actives Terminated 

Vested 

Normal 

Retirees Beneficiaries Disabled 

Retirees Totals

1,547 199 9,965 2,125 1,450 15,286

0 0 0 0 0 0

4 (4) 0 0 0 0

(3) 3 0 0 0 0

(234) (15) 249 0 0 0

0 0 (107) 146 (39) 0

(1) (3) (220) (88) (38) (350)

(1) (1) 0 0 0 (2)

(4) 0 0 0 4 0

0 0 0 (12) 1 (11)

(1) 25 3 1 0 28

1,307 204 9,890 2,172 1,378 14,951

Actives Terminated 

Vested 

Normal 

Retirees Beneficiaries Disabled 

Retirees Totals

732 34 3,825 1,262 869 6,722

0 0 0 0 0 0

0 0 0 0 0 0

0 0 0 0 0 0

(138) (4) 142 0 0 0

0 0 (61) 80 (19) 0

0 0 (34) (49) (17) (100)

0 0 0 0 0 0

(1) 0 0 0 1 0

0 0 0 (7) 0 (7)

0 2 0 0 0 2

593 32 3,872 1,286 834 6,617

Plan Members as of 

June 1, 2018

Deaths - No Beneficiary

Refund of Contributions

Disabled

Payments Reinstated/Ceased

Data Corrections

Plan Members as of 

June 1, 2019

Police Officers

New Plan Members

Disabled

Payments Reinstated/Ceased

Data Corrections

Basis for the Valuation

Plan Member Reconciliation

The following tables show a reconciliation of the number of plan members from the previous census date to the current

census date.

Police Officers and Firefighters', and Teachers' Plans

Plan Members as of 

June 1, 2018

New Plan Members

Rehires

Vested Terminations

Retirements

Deaths - Beneficiary

Rehires

Vested Terminations

Retirements

Deaths - Beneficiary

Plan Members as of 

June 1, 2019

Deaths - No Beneficiary

Refund of Contributions

34
Actives Terminated 

Vested 

Normal 

Retirees Beneficiaries Disabled 

Retirees Totals

408 12 1,153 454 321 2,348

0 0 0 0 0 0

0 0 0 0 0 0

(2) 2 0 0 0 0

(43) (2) 45 0 0 0

0 0 (14) 31 (17) 0

0 0 (16) (20) (9) (45)

(1) 0 0 0 0 (1)

(2) 0 0 0 2 0

0 0 0 (3) 0 (3)

0 2 0 0 0 2

360 14 1,168 462 297 2,301

Actives Terminated 

Vested 

Normal 

Retirees Beneficiaries Disabled 

Retirees Totals

407 153 4,987 409 260 6,216

0 0 0 0 0 0

4 (4) 0 0 0 0

(1) 1 0 0 0 0

(53) (9) 62 0 0 0

0 0 (32) 35 (3) 0

(1) (3) (170) (19) (12) (205)

0 (1) 0 0 0 (1)

(1) 0 0 0 1 0

0 0 0 (2) 1 (1)

(1) 21 3 1 0 24

354 158 4,850 424 247 6,033

Retirements

Data Corrections

Payments Reinstated/Ceased

Data Corrections

New Plan Members

Rehires

Vested Terminations

Basis for the Valuation

Plan Member Reconciliation

The following tables show a reconciliation of the number of plan members from the previous census date to the current

census date.

Firefighters

Payments Reinstated/Ceased

Plan Members as of 

June 1, 2019

Plan Members as of 

June 1, 2018

Deaths - No Beneficiary

Refund of Contributions

Disabled

Deaths - Beneficiary

Deaths - No Beneficiary

Refund of Contributions

Disabled

Plan Members as of 

June 1, 2018

Plan Members as of 

June 1, 2019

Teachers

Deaths - Beneficiary

New Plan Members

Rehires

Vested Terminations

Retirements

35
Actives Terminated 

Vested 

Normal 

Retirees Beneficiaries Disabled

Retirees Totals

61 0 79 14 1 155

2 0 0 0 0 2

0 0 0 0 0 0

0 0 0 0 0 0

(4) 0 4 0 0 0

0 0 (1) 1 0 0

0 0 (1) (1) 0 (2)

0 0 0 0 0 0

0 0 0 0 0 0

0 0 0 0 0 0

0 0 0 0 0 0

59 0 81 14 1 155

Disabled

Payments Reinstated/Ceased

Data Corrections

Plan Members as of 

June 1, 2019

Rehires

Vested Terminations

Retirements

Deaths - Beneficiary

Deaths - No Beneficiary

Refund of Contributions

Plan Members as of 

June 1, 2018

New Plan Members

Basis for the Valuation

Plan Member Reconciliation

The following table shows a reconciliation of the number of plan members from the previous census date to the

current census date.

Judges' Plan

36
Service

0 - 39 - $ - - $ - - $ - - $ - - $ - - $ - - $ -

40 - 44 - - 3 100,878 5 117,381 - - - - - - 8 111,192

45 - 49 - - 70 108,802 127 113,489 12 110,900 - - - - 209 111,771

50 - 54 - - 29 109,608 203 114,471 31 113,280 - - - - 263 113,794

55 - 59 - - 8 114,242 58 113,289 27 121,431 3 107,242 - - 96 115,469

60 - 64 - - 2 109,663 7 105,020 3 124,161 2 135,010 3 127,117 17 116,372

65 - 69 - - - - - - - - - - - - - -

70+ - - - - - - - - - - - - - -

All Ages - $ - 112 $ 109,202 400 $ 113,859 73 $ 116,351 5 $ 118,349 3 $ 127,117 593 $ 113,391

40+ All Service

Active Population

Avg. Comp.

Basis for the Valuation

Age-Service Grid

Police Officers

No. Avg. Comp. No. Avg. Comp. No. Avg. Comp. Avg. Comp. Age 

Group No. No. Avg. Comp. No.

Under 20 20-24

No. Avg. Comp.

25-29 30-34 35-39

37
Service

0 - 39 - $ - - $ - - $ - - $ - - $ - - $ - - $ -

40 - 44 - - 1 128,510 2 90,805 - - - - - - 3 103,373

45 - 49 - - 29 100,978 66 112,662 24 122,012 - - - - 119 111,700

50 - 54 - - 47 98,028 72 117,262 27 129,087 - - - - 146 113,257

55 - 59 - - 25 96,776 26 114,298 30 130,023 - - - - 81 114,714

60 - 64 - - - - - - 9 103,815 2 110,498 - - 11 105,030

65 - 69 - - - - - - - - - - - - - -

70+ - - - - - - - - - - - - - -

All Ages - $ - 102 $ 98,859 166 $ 114,650 90 $ 124,985 2 $ 110,498 - $ - 360 $ 112,737

Active Population

All Service

No. Avg. Comp. No. Avg. Comp. Avg. Comp. No. Avg. Comp. Age 

Group

Under 20 20-24

No. Avg. Comp. Avg. Comp. No.

35-39

No.

40+

No.

25-29

Basis for the Valuation

Age-Service Grid

Firefighters

Avg. Comp.

30-34

38
Service

0 - 39 - $ - - $ - - $ - - $ - - $ - - $ - - $ -

40 - 44 - - - - - - - - - - - - - -

45 - 49 - - 29 110,307 15 113,648 - - - - - - 44 111,446

50 - 54 - - 14 113,485 43 115,375 20 115,287 - - - - 77 115,009

55 - 59 - - 12 113,313 28 114,268 56 114,014 1 130,346 - - 97 114,169

60 - 64 - - 8 112,370 29 118,332 33 110,302 7 112,443 3 130,387 80 114,360

65 - 69 - - - - 12 115,360 13 116,276 11 119,405 2 113,294 38 116,736

70+ - - 2 113,294 3 114,332 9 113,948 1 112,919 3 118,732 18 114,680

All Ages - $ - 65 $ 111,892 130 $ 115,572 131 $ 113,493 20 $ 117,191 8 $ 121,743 354 $ 114,358

Avg. Comp.

Active Population

Under 20 35-39 All Service

No. No. Avg. Comp. No. Avg. Comp. Avg. Comp. No. Avg. Comp. Avg. Comp. No. Age 

Group Avg. Comp. No.

20-24 40+

No.

25-29 30-34

Basis for the Valuation

Age-Service Grid

Teachers

39
Service

0 - 34 - $ - - $ - - $ - - $ - - $ - - $ - - $ - - $ - - $ - - $ -

35 - 39 - - - - - - - - - - - - - - - - - - - -

40 - 44 1 210,900 1 210,900 - - - - - - - - - - - - - - 2 210,900

45 - 49 - - 1 210,900 5 213,460 1 210,900 - - - - - - - - - - 7 212,729

50 - 54 - - 1 210,900 3 210,900 2 210,900 - - - - - - - - - - 6 210,900

55 - 59 - - 3 210,900 6 215,167 - - 4 214,225 2 210,900 - - - - - - 15 213,493

60 - 64 - - 2 210,900 2 210,900 3 210,900 3 210,900 1 210,900 - - - - - - 11 210,900

65 - 69 - - 1 210,900 - - 3 215,167 2 210,900 3 211,067 1 210,900 - - - - 10 212,230

70+ - - - - - - 1 223,700 1 210,900 2 217,300 3 210,900 1 210,900 - - 8 214,100

All Ages 1 $210,900 9 $210,900 16 $213,300 10 $213,460 10 $212,230 8 $212,563 4 $210,900 1 $210,900 - - 59 $212,436

Basis for the Valuation

Age-Service Grid

Judges

Avg. Comp. No. Avg. Comp. No. Avg. Comp. No.

35+ All Service

Age 

Group No.

Active Population

No. Avg. Comp. No. Avg. Comp.

Under 1 1-4 15-19

Avg. Comp.

5-9 10-14

Avg. Comp. No. Avg. Comp. No.

20-24 25-29

No. Avg. Comp. No. Avg. Comp.

30-34

40
100% 

Federal

Partial 

Federal

100% 

Federal

Partial 

Federal

100% 

Federal

Partial 

Federal

1,876 1,992 521 647 1,472 3,378

74.94 60.43 78.70 62.74 85.72 73.04

 $ 55,564 $ 38,187 $ 65,422 $ 46,984 $ 46,529 $ 33,159 

 $ 55,564 $ 76,921 $ 65,422 $ 85,932 $ 46,529 $ 53,681 

N/A 4 N/A 0 N/A 0

N/A 51.50 N/A N/A N/A N/A

 N/A $ 24,171 N/A N/A N/A N/A 

 N/A $ 69,864 N/A N/A N/A N/A 

1,127 159 407 55 283 141

77.02 54.76 80.08 51.84 83.33 71.83

 $ 33,270 $ 22,872 $ 33,687 $ 20,093 $ 23,703 $ 13,283 

 $ 33,270 $ 33,585 $ 33,687 $ 35,929 $ 23,703 $ 19,125 

588 144 233 43 158 72

75.23 61.69 78.41 64.85 81.71 70.06

 $ 48,255 $ 26,779 $ 56,478 $ 38,715 $ 31,979 $ 17,545 

 $ 48,255 $ 47,235 $ 56,478 $ 56,109 $ 31,979 $ 36,163 

N/A 102 N/A 21 N/A 17

N/A 51.89 N/A 51.83 N/A 57.63

 N/A $ 10,004 N/A $ 8,005 N/A $ 8,378 

 N/A $ 38,498 N/A $ 36,778 N/A $ 38,828 

32 14 158

53.68 53.58 57.49

 $ 14,354 $ 10,463 $ 6,954 

1

 Includes child beneficiaries.

Disabled Retirees - Deferred Federal Benefit

Number

Average Age

Average Federal Benefit

Average Total Benefit

Average Age

Average Federal Benefit

Terminated Vested - Deferred Federal Benefit

Average Age

$ 112,737 $ 114,358

Inactive Plan Members Police Officers

Normal Retirees - Deferred Federal Benefit

Number

Average Age

Average Federal Benefit

Average Total Benefit

Average Pay $ 113,391

Number

Teachers

Police Officers

Basis for the Valuation

Federal Allocation by Plan

Police Officers and Firefighters', and Teachers' Plans

Active Plan Members Firefighters Teachers

Number

Average Age

Average Service

593 360 354

51.57 52.28 58.24

27.50 27.49 29.11

Average Total Benefit

Number

Firefighters

Average Age

Average Federal Benefit

Average Federal Benefit

Normal Retirees - Current Federal Benefit

Beneficiaries - Current Federal Benefit1

Disabled Retirees - Current Federal Benefit

Average Age

Average Federal Benefit

Average Total Benefit

Number

Average Total Benefit

Number

41
59

60.14

13.07

$ 212,436

30

81

75.95

$ 152,982

13

85.20

$ 81,828

1 

63.42

$ 144,893

1 

53.38

$ 6,363

Basis for the Valuation

Plan Member Counts

Judges' Plan

Active Plan Members

Average Service

Number

Average Age

Average Pay

Number Eligible to Retire

Average Age

Average Benefit

Number

Normal Retirees

Spouse Beneficiaries

Average Benefit

Number

Average Age

Average Benefit

Number

Average Age

Average Benefit

Disabled Retirees

Child Beneficiaries

Average Age

Inactive Plan Members

Number

42
Normal 

Retirees

100% Federal 

Count

100% Federal 

Average 

Benefit

Partial 

Federal Count

Partial 

Federal 

Average 

Benefit

Partial 

Federal 

Average Total 

Benefit

Under 35 - $ - - $ - $ -

35-39 - - - - - 

40-44 - - - - - 

45-49 - - - - - 

50-54 - - 459 21,130 75,892

55-59 - - 617 26,520 73,124

60-64 15 43,456 407 40,376 76,884

65-69 314 47,467 332 61,155 81,236

70-74 754 53,994 152 74,431 84,319

75-79 455 58,885 24 78,153 87,740

80-84 253 58,845 1 81,264 89,388

85-89 66 69,093 - - - 

90-94 15 94,357 - - - 

95-100 4 78,399 - - - 

100 and over - - - - - 

Total 1,876 $ 55,564 1,992 $ 38,187 $ 76,921

Beneficiaries 100% Federal

Count

100% Federal 

Average 

Benefit

Partial 

Federal Count

Partial 

Federal 

Average 

Benefit

Partial 

Federal 

Average Total 

Benefit

Under 35 5 $ 29,009 26 $ 3,482 $ 10,680

35-39 - - - - - 

40-44 - - 1 14,280 37,296

45-49 2 19,026 13 15,788 34,074

50-54 10 28,121 18 17,026 30,709

55-59 21 38,334 21 21,849 40,661

60-64 60 32,695 27 27,844 37,873

65-69 152 31,963 29 32,597 40,430

70-74 230 32,811 17 37,658 41,886

75-79 212 32,880 5 32,232 37,714

80-84 199 34,143 2 31,440 39,858

85-89 123 35,205 - - - 

90-94 77 33,360 - - - 

95-100 32 33,056 - - - 

100 and over 4 34,539 - - - 

Total 1,127 $ 33,270 159 $ 22,872 $ 33,585

Basis for the Valuation

Inactive Benefit Information

Inactive Police Officers - Current Benefits

43
Disabled 

Retirees

100% Federal 

Count

100% Federal 

Average 

Benefit

Partial 

Federal Count

Partial 

Federal 

Average 

Benefit

Partial 

Federal 

Average Total 

Benefit

Under 35 - $ - - $ - $ -

35-39 - - - - - 

40-44 - - - - - 

45-49 1 21,780 - - - 

50-54 5 22,255 - - - 

55-59 18 25,528 64 15,330 39,321

60-64 33 32,617 43 26,332 50,522

65-69 108 43,633 29 45,809 56,322

70-74 142 46,985 5 49,874 57,859

75-79 118 49,491 3 54,992 63,424

80-84 82 54,796 - - - 

85-89 43 59,650 - - - 

90-94 33 62,423 - - - 

95-100 5 72,574 - - - 

100 and over - - - - - 

Total 588 $ 48,255 144 $ 26,779 $ 47,235

Terminated 

Vested Count

Average 

Federal 

Benefit

Under 35 - $ -

35-39 - - 

40-44 - - 

45-49 1 6,096

50-54 23 11,969

55-59 5 16,217

60-64 3 32,284

65-69 - - 

70-74 - - 

75-79 - - 

80-84 - - 

85-89 - - 

90-94 - - 

95-100 - - 

100 and over - - 

Total 32 $ 14,354

Basis for the Valuation

Inactive Benefit Information

Inactive Police Officers - Current Benefits

Inactive Police Officers - Deferred Benefits

44
Normal 

Retirees

Partial 

Federal Count

Partial 

Federal 

Average 

Benefit

Partial 

Federal 

Average Total 

Benefit

Under 35 - $ - $ -

35-39 - - - 

40-44 - - - 

45-49 - - - 

50-54 4 24,171 69,864

55-59 - - - 

60-64 - - - 

65-69 - - - 

70-74 - - - 

75-79 - - - 

80-84 - - - 

85-89 - - - 

90-94 - - - 

95-100 - - - 

100 and over - - - 

Total 4 $ 24,171 $ 69,864

Disabled 

Retirees

Partial 

Federal Count

Partial 

Federal 

Average 

Benefit

Partial 

Federal 

Average Total 

Benefit

Under 35 - $ - $ -

35-39 - - - 

40-44 - - - 

45-49 23 7,349 39,649

50-54 76 10,810 38,148

55-59 3 9,944 38,540

60-64 - - - 

65-69 - - - 

70-74 - - - 

75-79 - - - 

80-84 - - - 

85-89 - - - 

90-94 - - - 

95-100 - - - 

100 and over - - - 

Total 102 $ 10,004 $ 38,498

Basis for the Valuation

Inactive Benefit Information

Inactive Police Officers - Deferred Benefits

45
Normal 

Retirees

100% Federal 

Count

100% Federal 

Average 

Benefit

Partial 

Federal Count

Partial 

Federal 

Average 

Benefit

Partial 

Federal 

Average Total 

Benefit

Under 35 - $ - - $ - $ -

35-39 - - - - - 

40-44 - - - - - 

45-49 - - - - - 

50-54 - - 55 19,583 74,413

55-59 - - 165 29,595 79,904

60-64 - - 217 42,383 85,247

65-69 26 47,164 134 61,707 87,385

70-74 116 60,492 58 85,766 102,278

75-79 184 65,826 18 111,019 121,161

80-84 123 68,267 - - - 

85-89 52 72,888 - - - 

90-94 19 77,690 - - - 

95-100 1 66,144 - - - 

100 and over - - - - - 

Total 521 $ 65,422 647 $ 46,984 $ 85,932

Beneficiaries 100% Federal

Count

100% Federal 

Average 

Benefit

Partial 

Federal Count

Partial 

Federal 

Average 

Benefit

Partial 

Federal 

Average Total 

Benefit

Under 35 - $ - 13 $ 8,885 $ 23,033

35-39 - - 1 1,200 4,236

40-44 1 29,580 - - - 

45-49 - - 2 7,806 34,338

50-54 2 33,126 5 15,139 59,170

55-59 6 28,894 10 13,621 35,633

60-64 14 29,040 6 26,228 36,044

65-69 24 31,758 11 31,523 39,493

70-74 62 33,101 6 37,532 44,724

75-79 103 32,621 1 31,596 32,544

80-84 68 33,268 - - - 

85-89 59 35,583 - - - 

90-94 48 35,806 - - - 

95-100 20 39,002 - - - 

100 and over - - - - - 

Total 407 $ 33,687 55 $ 20,093 $ 35,929

Basis for the Valuation

Inactive Benefit Information

Inactive Firefighters - Current Benefits

46
Disabled 

Retirees

100% Federal 

Count

100% Federal 

Average 

Benefit

Partial 

Federal Count

Partial 

Federal 

Average 

Benefit

Partial 

Federal 

Average Total 

Benefit

Under 35 - $ - - $ - $ -

35-39 - - - - - 

40-44 - - - - - 

45-49 - - - - - 

50-54 - - - - - 

55-59 2 20,892 8 15,356 47,808

60-64 9 35,001 11 27,403 49,999

65-69 28 49,230 19 46,599 58,690

70-74 38 52,795 5 71,016 73,030

75-79 63 58,942 - - - 

80-84 48 59,007 - - - 

85-89 22 61,064 - - - 

90-94 18 64,362 - - - 

95-100 3 74,972 - - - 

100 and over 2 72,768 - - - 

Total 233 $ 56,478 43 $ 38,715 $ 56,109

Terminated 

Vested Count

Average 

Federal 

Benefit

Under 35 - $ -

35-39 - - 

40-44 - - 

45-49 4 12,636

50-54 6 10,680

55-59 2 6,540

60-64 2 9,390

65-69 - - 

70-74 - - 

75-79 - - 

80-84 - - 

85-89 - - 

90-94 - - 

95-100 - - 

100 and over - - 

Total 14 $ 10,463

Basis for the Valuation

Inactive Benefit Information

Inactive Firefighters - Current Benefits

Inactive Firefighters - Deferred Benefits

47
Disabled 

Retirees

Partial 

Federal Count

Partial 

Federal 

Average 

Benefit

Partial 

Federal 

Average Total 

Benefit

Under 35 - $ - $ -

35-39 - - - 

40-44 - - - 

45-49 6 11,574 42,148

50-54 13 5,597 34,880

55-59 2 12,954 33,006

60-64 - - - 

65-69 - - - 

70-74 - - - 

75-79 - - - 

80-84 - - - 

85-89 - - - 

90-94 - - - 

95-100 - - - 

100 and over - - - 

Total 21 $ 8,005 $ 36,778

Basis for the Valuation

Inactive Benefit Information

Inactive Firefighters - Deferred Benefits

48
Normal 

Retirees

100% Federal 

Count

100% Federal 

Average 

Benefit

Partial 

Federal Count

Partial 

Federal 

Average 

Benefit

Partial 

Federal 

Average Total 

Benefit

Under 35 - $ - - $ - $ -

35-39 - - - - - 

40-44 - - - - - 

45-49 - - - - - 

50-54 - - 8 10,644 47,466

55-59 - - 56 14,503 54,406

60-64 2 22,722 257 19,121 54,718

65-69 8 9,360 622 26,006 54,736

70-74 58 28,016 1,167 35,104 54,317

75-79 208 43,695 893 38,789 53,047

80-84 412 50,958 294 37,617 50,096

85-89 410 47,953 65 40,579 52,034

90-94 251 43,969 14 45,230 57,839

95-100 110 48,220 2 45,342 59,538

100 and over 13 50,874 - - - 

Total 1,472 $ 46,529 3,378 $ 33,159 $ 53,681

Beneficiaries 100% Federal

Count

100% Federal 

Average 

Benefit

Partial 

Federal Count

Partial 

Federal 

Average 

Benefit

Partial 

Federal 

Average Total 

Benefit

Under 35 - $ - 2 $ 3,834 $ 6,960

35-39 - - - - - 

40-44 - - 1 8,136 23,628

45-49 2 8,016 1 7,080 8,820

50-54 2 5,460 1 10,452 13,032

55-59 2 17,916 6 11,994 23,820

60-64 5 18,466 16 8,362 15,599

65-69 7 22,582 24 12,674 20,205

70-74 28 21,627 33 16,461 21,571

75-79 55 23,723 35 13,355 17,866

80-84 49 23,693 12 13,598 17,445

85-89 60 23,353 7 14,520 19,963

90-94 44 24,311 2 18,936 26,682

95-100 27 27,903 1 16,368 20,208

100 and over 2 49,548 - - - 

Total 283 $ 23,703 141 $ 13,283 $ 19,125

Basis for the Valuation

Inactive Benefit Information

Inactive Teachers - Current Benefits

49
Disabled 

Retirees

100% Federal 

Count

100% Federal 

Average 

Benefit

Partial 

Federal Count

Partial 

Federal 

Average 

Benefit

Partial 

Federal 

Average Total 

Benefit

Under 35 - $ - - $ - $ -

35-39 - - - - - 

40-44 - - - - - 

45-49 - - - - - 

50-54 - - - - - 

55-59 3 24,104 - - - 

60-64 4 22,827 12 11,033 34,920

65-69 2 34,584 15 17,052 37,956

70-74 32 28,736 39 18,757 36,301

75-79 31 31,081 5 26,582 37,166

80-84 30 30,888 1 10,620 13,740

85-89 24 31,514 - - - 

90-94 15 36,290 - - - 

95-100 13 40,171 - - - 

100 and over 4 46,845 - - - 

Total 158 $ 31,979 72 $ 17,545 $ 36,163

Terminated 

Vested Count

Average 

Federal 

Benefit

Under 35 - $ -

35-39 - - 

40-44 - - 

45-49 15 3,393

50-54 38 5,112

55-59 54 7,245

60-64 34 8,800

65-69 16 9,969

70-74 1 3,672

75-79 - - 

80-84 - - 

85-89 - - 

90-94 - - 

95-100 - - 

100 and over - - 

Total 158 $ 6,954

Inactive Teachers - Deferred Benefits

Basis for the Valuation

Inactive Benefit Information

Inactive Teachers - Current Benefits

50
Disabled 

Retirees

Partial 

Federal Count

Partial 

Federal 

Average 

Benefit

Partial 

Federal 

Average Total 

Benefit

Under 35 - $ - $ -

35-39 - - - 

40-44 - - - 

45-49 1 6,180 39,216

50-54 2 1,992 35,046

55-59 8 8,540 38,117

60-64 6 10,658 40,974

65-69 - - - 

70-74 - - - 

75-79 - - - 

80-84 - - - 

85-89 - - - 

90-94 - - - 

95-100 - - - 

100 and over - - - 

Total 17 $ 8,378 $ 38,828

Basis for the Valuation

Inactive Benefit Information

Inactive Teachers - Deferred Benefits

51
Normal 

Retirees Count Average 

Benefit Beneficiaries Count Average 

Benefit

Under 35 - $ - Under 35 - $ -

35-39 - - 35-39 - - 

40-44 - - 40-44 - - 

45-49 - - 45-49 - - 

50-54 - - 50-54 1 6,363

55-59 - - 55-59 - - 

60-64 5 141,755 60-64 - - 

65-69 17 156,016 65-69 - - 

70-74 17 149,449 70-74 2 105,247

75-79 15 159,492 75-79 2 100,737

80-84 14 162,387 80-84 3 78,578

85-89 9 170,741 85-89 1 71,913

90-94 4 71,863 90-94 2 77,288

95-100 - - 95-100 3 63,190

100 and over - - 100 and over - - 

Total 81 $ 152,982 Total 14 $ 76,437

Disabled 

Retirees Count Average 

Benefit

Terminated 

Vested Count Average 

Benefit

Under 35 - $ - Under 35 - $ -

35-39 - - 35-39 - - 

40-44 - - 40-44 - - 

45-49 - - 45-49 - - 

50-54 - - 50-54 - - 

55-59 - - 55-59 - - 

60-64 1 144,893 60-64 - - 

65-69 - - 65-69 - - 

70-74 - - 70-74 - - 

75-79 - - 75-79 - - 

80-84 - - 80-84 - - 

85-89 - - 85-89 - - 

90-94 - - 90-94 - - 

95-100 - - 95-100 - - 

100 and over - - 100 and over - - 

Total 1 $ 144,893 Total - $ -

Basis for the Valuation

Inactive Benefit Information

Inactive Judges

52
Fiscal Year

FY 2019

FY 2020

FY 2021

FY 2022

Example: 1.69% adjusted FY 2020 spot rate = (1.0105 x 1.0169 x 1.0232)^(1/3) - 1

1.05%

For Judges’, the normal cost under the individual entry age normal method is a level percentage of pay. The 

normal cost is calculated by discounting the value of all expected benefits to a participant’s entry date and 

dividing by an increasing annuity reflecting anticipated salary increases from plan entry to expected exit ages. 

The normal cost to the Department of the Treasury is the full amount, less expected employee contributions. 

The funding method for the Police Officers and Firefighters' and Teachers' Plans is the projected unit credit 

method. No normal cost is payable for these participants as benefit service is frozen. For both methods, 

changes in actuarial assumptions, changes in plan provisions, and differences in actual experience compared 

to expected experience are reflected as part of the annual amount of gain or loss, which is a component of the 

total amortization of the Unfunded Accrued Liability.

APPENDIX A

Actuarial Assumptions and Methods

Methods

Liability Valuation Method

The funding method is the individual entry age normal method for the Judges' Plan and projected unit credit 

method for the Police Officers and Firefighters' and Teachers' Plans. The individual entry age normal method 

allocates the actuarial present value of the projected benefits of each individual on a level basis over the 

service of the individual between participation age and projected exit age. The projected unit credit method

recognizes the portion of the present value of the projected benefits earned as of the valuation date. Since 

there are no remaining participants earning new benefit accruals in the Police Officers and Firefighters' and 

Teachers' Plans, ODCP believes that it is prudent to accelerate the recognition of the benefit accruals, as 

opposed to deferring the value of benefits already earned.

Under the Entry Age Normal Method, the present value of future benefits is equal to the value of the projected 

benefit payable at retirement discounted back to the plan member's current age. Discounts include such items 

as interest and mortality. The difference between the present value of future benefits and the present value of 

future normal cost contributions represents the actuarial liability at the plan member's current age.

Under the Projected Unit Credit Method (Benefit Accrual Method), the accrued liability is determined by 

calculating a benefit based on service earned to the valuation date with compensation projected to the 

expected retirement date (or other event), then discounting those amounts to the valuation date. The 

actuarial accrued liability for participants currently receiving payments is calculated as the actuarial present 

value of future benefits expected to be paid.

For the purposes of determining the actuarial gains and losses during the year, liabilities as of 

October 1, 2019 for the Judges' Plan uses the prior year Effective Interest Rate. The liabilities for the Police 

Officers and Firefighters' and Teachers' Plans are based on 2019 spot rates implied by the 2018 spot rate yield 

curve. These spot rates used in gain/loss analysis were calculated by converting the 2018 spot rates to 

forward rates, removing the forward rate for FY 2019, and then converting the forward rates back to spot 

rates. See the table below for an example of the rates.

Implied 2019 Spot 

Rates used for 

(Gain)/Loss only

Forward Rate 

(rounded)

2018 Valuation Spot 

Rate Assumption

0.59%

0.82%

N/A

Asset Valuation Method

The market value of assets projected to September 30, 2019 without smoothing is provided by ODCP and 

used for purposes of the valuation. When assets are subtracted from the actuarial liability the remainder 

represents the unfunded liability.

1.41%

0.59%

1.05%

1.69%

1.11% 1.69%

Funding Method

1.37%

2.32%

53
APPENDIX A

Actuarial Assumptions and Methods

Methods

The census data is adjusted from the date it is provided to the valuation date. A factor is applied to the 

liabilities calculated using the census data to account for the estimated mortality between the census date and 

the valuation date. 

The prior amortization periods and payments are fixed from year-to-year. Because of this, the balances of 

prior amortization bases are recalculated each year to reflect changes in the underlying interest rates. New 

amortization payments due to (Gain)/Loss are recognized over a 10-year period, while those due to 

assumption changes are recognized over a period of 20 years. 

For the Police Officers', Firefighters' and Teachers' Plans, the outstanding amortization bases are re-calculated 

each year using the new spot rates. For the Judges' Plan, the outstanding amortization bases are recalculated each year at the new funding effective interest rate (EIR).

None.

The asset (Gain)/Loss is determined using the same interest rates as the liability (Gain)/Loss.

Method Changes Since Last Year

Procedures

Mortality Adjustment from Census Date to Valuation Date

Financial and Census data were submitted by the Department of the Treasury. Information provided was 

reviewed for internal consistency and there is no reason to doubt its substantial accuracy.

No benefits of materiality were excluded from the valuation of the liabilities.

The Department of the Treasury provided us with data on actives who, as of the valuation date, had 

completed the plan's eligibility requirements.

54
Interest Rates

Police Fire Teachers Judges

EIR 3.03% 3.01% 2.86% 3.12%

Interest Rates for 

(Gain)/Loss

Economic 

Assumptions Police Fire Teachers Judges

COLA1 1.80% 1.80% 1.82% 1.36%

Wage Inflation 1.95%2 2.00%2 2.30% 0.83%

2

The wage inflation assumption for the Police was set to 3.50% in FY 2020 and for the Fire was set to 

2.00% in FY 2020 to reflect the most recent contract negotiation.

APPENDIX A

Actuarial Assumptions and Methods

Assumptions

The Effective Interest Rates (single rate that produces the same results when applied to all 

cash flows) for all plans are as follows:

The June 30, 2019 rates (averaged over 40 quarters, as published by the Department of 

the Treasury) shown below were used for the current valuation. The Police Officers and 

Firefighters', and Teachers' Plans are measured using the full yield curve for the liability 

interest rate, while the Judges' Plan is measured using the equivalent Effective Interest 

Rate (EIR).

The same interest rates were used for purposes of rolling forward plan assets and rolling 

forward plan liabilities for determining gains and losses. For Judges, the EIR (3.23%) was 

used for this purpose. For Police, Fire and Teachers, the first spot rate from the 2018 spot 

rate curve (0.59%) was used for this purpose.

1

The Cost-of-Living Adjustment (COLA) assumption above does not apply to police officers and 

firefighters who retired prior to February 15, 1980, as they receive COLAs based on wage inflation.

Duration Return Duration Return Duration Return Duration Return

0-1 0.74% 25-26 3.45% 50-51 3.71% 75-76 3.79%

1-2 0.94% 26-27 3.47% 51-52 3.71% 76-77 3.80%

2-3 1.20% 27-28 3.49% 52-53 3.72% 77-78 3.80%

3-4 1.47% 28-29 3.51% 53-54 3.72% 78-79 3.80%

4-5 1.73% 29-30 3.52% 54-55 3.73% 79-80 3.80%

5-6 1.96% 30-31 3.54% 55-56 3.73% 80-81 3.80%

6-7 2.16% 31-32 3.55% 56-57 3.74% 81-82 3.81%

7-8 2.34% 32-33 3.56% 57-58 3.74% 82-83 3.81%

8-9 2.49% 33-34 3.58% 58-59 3.74% 83-84 3.81%

9-10 2.63% 34-35 3.59% 59-60 3.75% 84-85 3.81%

10-11 2.74% 35-36 3.60% 60-61 3.75% 85-86 3.81%

11-12 2.84% 36-37 3.61% 61-62 3.75% 86-87 3.82%

12-13 2.93% 37-38 3.62% 62-63 3.76% 87-88 3.82%

13-14 3.00% 38-39 3.63% 63-64 3.76% 88-89 3.82%

14-15 3.06% 39-40 3.63% 64-65 3.76% 89-90 3.82%

15-16 3.12% 40-41 3.64% 65-66 3.77% 90-91 3.82%

16-17 3.17% 41-42 3.65% 66-67 3.77% 91-92 3.82%

17-18 3.21% 42-43 3.66% 67-68 3.77% 92-93 3.83%

18-19 3.25% 43-44 3.66% 68-69 3.77% 93-94 3.83%

19-20 3.28% 44-45 3.67% 69-70 3.78% 94-95 3.83%

20-21 3.32% 45-46 3.68% 70-71 3.78% 95-96 3.83%

21-22 3.35% 46-47 3.69% 71-72 3.78% 96-97 3.83%

22-23 3.38% 47-48 3.69% 72-73 3.79% 97-98 3.83%

23-24 3.40% 48-49 3.70% 73-74 3.79% 98-99 3.83%

24-25 3.42% 49-50 3.70% 74-75 3.79% 99-100 3.84%

55
APPENDIX A

Actuarial Assumptions and Methods

Assumptions

Salary Growth

Years of 

Service Police Fire Teachers Judges

20 8.00% 5.50% 2.00% 0.00%

21 0.50% 1.50% 1.00% 0.00%

22 0.50% 1.50% 1.00% 0.00%

23 0.50% 1.50% 1.00% 0.00%

24 0.50% 1.50% 1.00% 0.00%

25 3.00% 4.40% 1.00% 0.00%

26 0.50% 1.20% 1.00% 0.00%

27 0.50% 1.20% 1.00% 0.00%

28 0.50% 1.20% 1.00% 0.00%

29 0.50% 1.20% 1.00% 0.00%

30 3.00% 5.70% 0.60% 0.00%

31+ 0.25% 1.30% 0.60% 0.00%

Active Plan Member 

Base Mortality

Retired Plan 

Member Base 

Mortality

Police officers receive longevity increases of 5% of step 1 pay in the officers’ pay class after 

15 years of service and additional increases of 5% of step 1 pay in the officers’ pay class 

after 20, 25 and 30 years of service. Longevity pay is included in pensionable compensation 

once the member has 25 years of service. Police officers receive an additional increase of 

5% of base pay for the Base Retention Differential after 20 years of service.

Firefighters are assumed to receive longevity increases of 5%, 10%, 15%, and 20% 

applied to base pay after 15, 20, 25, and 30 years of service, respectively, and are included 

in pensionable compensation for all years.

The additional salary increases (on top of the general wage increases for all actives as 

shown in the above table) are shown below:

● Police Officers and Firefighters: Pub-2010 Public Safety Employee, Above-Median

Income

● Teachers: Pub-2010 Teacher Employee, Above-Median Income

● Judges: Pub-2010 General Employee, Above-Median Income

● Police Officers and Firefighters: Credibility Adjusted Pub-2010 Public Safety Healthy

Retiree, Above-Median Income

● Teachers: Credibility Adjusted Pub-2010 Teacher Healthy Retiree, Above-Median Income

● Judges: Pub-2010 General Healthy Retiree, Above-Median Income

56
APPENDIX A

Actuarial Assumptions and Methods

Assumptions

Beneficiary - 

Surviving Spouse 

Member Base 

Mortality

Beneficiary - NonDisabled Child 

Member Base 

Mortality

Disabled Plan 

Member Base 

Mortality

Beneficiary - 

Disabled Child 

Member Base 

Mortality

Longevity 

Improvement 

Projection Scale

Mortality 

Adjustment from 

Census Date to 

Valuation Date

● Police Officers and Firefighters: Credibility Adjusted Pub-2010 Public Safety Disabled

Retiree, Full Data Set

● Teachers: Pub-2010 Teacher Disabled Retiree, Full Data Set

● Judges: Pub-2010 General Disabled Retiree, Full Data Set

Mortality tables are adjusted using generational projection from 2010 using Scale MP-2018.

The liabilities are adjusted to account for mortality during the 5 month period between the 

census collection date of May 1, 2019 and the valuation date of October 1, 2019. The 

liabilities for inactive plan members in the Police Officers and Firefighters' Plan are 

decreased by 0.1441% per month (0.992795 factor applied).The liabilities for inactive plan 

members in the Teachers' Plan are decreased by 0.1808% per month (0.990960 factor 

applied). The liabilities for inactive plan members in the Judges' Plan are reduced by 

0.1987% per month (0.990065 factor applied). The liabilities for active plan members are 

unadjusted.

● Police Officers and Firefighters: Credibility Adjusted Pub-2010 Contingent Survivor,

Above-Median Income

● Teachers: Credibility Adjusted Pub-2010 Contingent Survivor, Above-Median Income

● Judges: Pub-2010 Contingent Survivor, Above-Median Income

● Police Officers and Firefighters: Age 0-17, Pub-2010 Juvenile; Age 18+, Pub-2010

General Healthy Employee, Above-Median Income

● Teachers: Age 0-17, Pub-2010 Juvenile; Age 18+, Pub-2010 General Healthy Employee,

Above-Median Income

● Police Officers and Firefighters: Age 0-17, Pub-2010 Juvenile; Age 18+, Pub-2010

General Disabled Retiree, Full Data Set

● Teachers: Age 0-17, Pub-2010 Juvenile; Age 18+, Pub-2010 General Disabled Retiree,

Full Data Set

57
APPENDIX A

Actuarial Assumptions and Methods

Assumptions

Disability

Age Police Fire Teachers Judges

30-34 0.000% 0.000% 0.070% 0.000%

35-39 0.000% 0.000% 0.120% 0.000%

40-44 0.500% 0.500% 0.128% 0.000%

45-49 0.150% 0.100% 0.208% 0.000%

50-54 0.100% 0.100% 0.500% 0.000%

55-59 0.000% 0.000% 0.800% 0.000%

60-64 0.000% 0.000% 0.800% 0.000%

65+ 0.000% 0.000% 0.000% 0.000%

Retirement Age

Return of Employee 

Contributions

Retirement is assumed to occur in accordance with the table below:

In valuing return of contribution benefits for employees assumed to die without a spouse or 

to terminate and elect a refund of their contribution balance, the employee contributions 

balance was estimated based on the actual employee contribution balance when available 

(provided as of the census date for the Judges' Plan and July 1, 1998 for the other plans), 

otherwise using estimated prior salaries. The actual contribution amount for Judges is used 

to project the hypothetical employee contribution refund due. 

No disabilities are assumed among Judges.

Below are sample rates of disability assumed to occur:

Note that the Federal portion of the disability benefits for police officers and firefighters is 

the same for service and non-service related disabilities. Therefore, an assumption on 

percentage of service related disabilities was not necessary. All incidents of disability were 

assumed to result in plan members being 100% disabled.

Age Police- Police- Police- Fire Teachers Fire Judges Male Male Female

50 55% 65% 55% 0% 0%

51 30% 40% 30% 0% 0%

52 30% 40% 30% 0% 0%

53 30% 40% 30% 0% 0%

54 30% 40% 30% 0% 0%

55 30% 40% 30% 25% 0%

56 30% 40% 30% 25% 0%

57 30% 40% 30% 25% 0%

58 30% 40% 30% 25% 10%

59 30% 40% 40% 25% 10%

60 100% 100% 100% 40% 10%

61 100% 100% 100% 25% 10%

62 100% 100% 100% 30% 10%

63 100% 100% 100% 25% 10%

64 100% 100% 100% 25% 10%

65 100% 100% 100% 30% 10%

66 100% 100% 100% 30% 10%

67 100% 100% 100% 30% 10%

68 100% 100% 100% 30% 10%

69 100% 100% 100% 30% 10%

70 100% 100% 100% 100% 100%

71+ 100% 100% 100% 100% 100%

58
APPENDIX A

Actuarial Assumptions and Methods

Assumptions

Post Retirement 

Contributions

Expenses

Spousal Age

Effective Form of 

Payment Election

Open Group 

Projections for 

Judges

Data This actuarial valuation has been prepared based upon plan member data provided by the 

Department of the Treasury. We have reviewed the data for reasonableness, but have not 

independently audited the data. We have no reason to believe the data is not complete and 

accurate, and know of no further information that is essential to the preparation of the 

actuarial valuation.

The 15-Year Fund projections for all plans use expense projections provided by the 

Department of the Treasury. The 15-Year Fund projections for the Judges’ Plan assumes 

employee contribution increases at the same rate as pay for actives.

● Police Officers and Firefighters and Teachers: Male spouses are assumed to be two

years older than their female spouse when actual beneficiary data was unavailable.

● Judges: Male spouses are assumed to be three years older than their female spouse

when actual beneficiary data was unavailable.

● Police Officers and Firefighters: 70% of plan members are assumed to receive a

Joint-and-57% Survivor Annuity, and 30% of plan members are assumed to receive

a Single Life Annuity. Any additional survivor benefit for police officers and

firefighters whose average pay was less than class 1, step 6 pay was not valued.

● Teachers: 100% of active and terminated vested plan members were valued assuming

benefits are payable as a Single Life Annuity. For retirees, 5% were assumed to

elect a Joint-and-55% Survivor Annuity, 20% to elect a Joint-and-25% Survivor

Annuity, and 75% to elect a Straight Life Annuity.

● Judges: Judges who have elected survivor benefits are assumed to have a

covered spouse with a Joint-and-55% Survivor Annuity. All others assumed to

have a Single Life Annuity.

Retired Judges may elect to contribute 3.5% or 7.0% of their retirement benefit to provide 

a survivor benefit. The net amount of this benefit was included in benefit payments and 

projections, and the normal cost was not offset by these contributions. 

All active judges were assumed to be replaced upon termination from the plan. The 

replacement is based on a 50/50 blend of a new age 45 judge and a new age 55 judge, 

assuming 50% male and 50% female. The starting salary is assumed to be $210,900 for all 

new entrants. 

59
APPENDIX A

Actuarial Assumptions and Methods

Assumptions

Changes from Prior 

Report

Interest Rate

Police Fire Teachers Judges

COLA 1.62% 1.62% 1.64% 1.66%

Wage Inflation 1.80% 2.20% 2.36% 0.97%

Prior Year

The interest rate assumption was changed to reflect average quarterly Treasury yield rates 

for the 10-year period ending on June 30, 2019. The June 30, 2018 rates (averaged over 

40 quarters, as published by the Department of the Treasury) shown below were used for 

the prior valuation of the Police Officers and Firefighters', and Teachers' Plans. The prior 

year EIR for the Judges' Plan was 3.23%.

COLA/Wage Inflation

Effective Form of Payment Election

In the prior valuation for the Teachers' Plan, the assumed effective form of payment 

election for the entire population was 50%/50% for Straight Life Annuity and Joint-and55% Survivor Annuity. 

Duration Return Duration Return Duration Return Duration Return

0-1 0.59% 25-26 3.55% 50-51 3.77% 75-76 3.85%

1-2 0.82% 26-27 3.57% 51-52 3.78% 76-77 3.85%

2-3 1.11% 27-28 3.58% 52-53 3.78% 77-78 3.85%

3-4 1.41% 28-29 3.60% 53-54 3.79% 78-79 3.86%

4-5 1.70% 29-30 3.61% 54-55 3.79% 79-80 3.86%

5-6 1.96% 30-31 3.62% 55-56 3.79% 80-81 3.86%

6-7 2.20% 31-32 3.64% 56-57 3.80% 81-82 3.86%

7-8 2.41% 32-33 3.65% 57-58 3.80% 82-83 3.86%

8-9 2.58% 33-34 3.66% 58-59 3.81% 83-84 3.87%

9-10 2.74% 34-35 3.67% 59-60 3.81% 84-85 3.87%

10-11 2.87% 35-36 3.68% 60-61 3.81% 85-86 3.87%

11-12 2.98% 36-37 3.69% 61-62 3.82% 86-87 3.87%

12-13 3.07% 37-38 3.70% 62-63 3.82% 87-88 3.87%

13-14 3.15% 38-39 3.70% 63-64 3.82% 88-89 3.87%

14-15 3.21% 39-40 3.71% 64-65 3.82% 89-90 3.87%

15-16 3.27% 40-41 3.72% 65-66 3.83% 90-91 3.88%

16-17 3.31% 41-42 3.72% 66-67 3.83% 91-92 3.88%

17-18 3.35% 42-43 3.73% 67-68 3.83% 92-93 3.88%

18-19 3.38% 43-44 3.74% 68-69 3.83% 93-94 3.88%

19-20 3.41% 44-45 3.74% 69-70 3.84% 94-95 3.88%

20-21 3.44% 45-46 3.75% 70-71 3.84% 95-96 3.88%

21-22 3.47% 46-47 3.76% 71-72 3.84% 96-97 3.89%

22-23 3.49% 47-48 3.76% 72-73 3.84% 97-98 3.89%

23-24 3.51% 48-49 3.76% 73-74 3.85% 98-99 3.89%

24-25 3.53% 49-50 3.77% 74-75 3.85% 99-100 3.89%

60
APPENDIX A

Actuarial Assumptions and Methods

Assumptions

Age Police Fire

30 0.900% 0.750%

35 0.900% 0.750%

40 0.405% 0.375%

45 0.405% 0.375%

50 0.405% 0.375%

55 0.000% 0.000%

59 0.000% 0.000%

60 0.000% 0.000%

Spousal Age

Retirement Rates

In the prior valuation the disability incidence rate assumptions for members were the 

following:

In the prior valuation year for the Police Officers and Firefighters', Teachers', and Judges' 

Plans, male spouses were assumed to be three years older than their female spouse when 

actual beneficiary data was unavailable. 

In the previous valuation the retirement rate assumptions for active plan members were 

the following:

Changes from Prior 

Report

Disability Incidence Rates

Age PoliceMale

PoliceFemale Fire Teachers

45-49 10% 10% 10% 0%

50 40% 40% 15% 0%

51 25% 30% 17% 0%

52 25% 30% 19% 0%

53 25% 30% 21% 0%

54 25% 30% 23% 0%

55 25% 30% 25% 35%

56 22% 30% 27% 35%

57 22% 31% 29% 35%

58 22% 32% 31% 35%

59 22% 33% 33% 35%

60-62 100% 100% 100% 25%

63-69 100% 100% 100% 25%

70+ 100% 100% 100% 100%

61
APPENDIX A

Actuarial Assumptions and Methods

Assumptions

Years of 

Service Police Fire Teachers

10 3.00% 3.00% 2.00%

15 2.10% 7.36% 1.60%

20 8.80% 4.70% 0.75%

25 3.60% 3.75% 0.60%

30 3.35% 7.90% 0.40%

The mortality projection scale for all plans was updated from Scale MP-2017 to Scale 

MP-2018. 

Longevity Improvement Projection Scale

In the prior valuation the sample termination rate assumptions for members were the 

following:

The additional salary increases (on top of the general wage increases for all actives as 

shown in the above table) for the prior valuation are shown below, via representative 

rates:

Changes from Prior 

Report

The Mortality tables used for the Active Plan Member Base Mortality for each plan for the 

prior valuation are shown below:

● Police Officers and Firefighters: 80% of RP-2000 Combined Healthy mortality

with Blue Collar Adjustment with a 1-year setback for males and no setback for

females.

● Teachers: 80% of RP-2000 Combined Healthy mortality with White Collar

Adjustment with a 4-year setback for males and a 3-year setback for females.

● Judges: RP-2014 Non-Annuitant mortality with White Collar Adjustment, with no

setbacks.

Termination Rates

Salary Scale

Mortality 

Age Police Fire TeachersMale

TeachersFemale

30 1.600% 1.500% 15.830% 7.920%

35 1.600% 1.250% 13.700% 6.850%

40 0.900% 1.000% 13.500% 6.760%

45 0.900% 0.750% 10.120% 5.060%

50 0.900% 0.500% 6.070% 3.040%

55 0.900% 0.250% 3.600% 2.160%

60 0.000% 0.000% 3.600% 2.160%

62+ 0.000% 0.000% 0.000% 0.000%

62
APPENDIX A

Actuarial Assumptions and Methods

Assumptions

Changes from Prior 

Report

The liabilities in the prior valuation were adjusted to account for mortality during the 5 

month period between the census collection date of May 1, 2018 and the valuation date of 

October 1, 2018. The liabilities for inactive plan members in the Police Officers and 

Firefighters', and Teachers' Plans were decreased by 0.1225% per month (0.993875 factor 

applied), while the liabilities for inactive plan members in the Judges' Plan are reduced by 

0.1900% per month (0.9905 factor applied). The liabilities for active plan members are 

unadjusted.

The Mortality tables used for the Inactive Plan Member Base Mortality for each plan for the 

prior valuation are shown below:

● Police Officers and Firefighters: RP-2000 Combined Healthy mortality with Blue

Collar Adjustment with a 1-year setback for males and no setback for females.

● Teachers: RP-2000 Combined Healthy mortality with White Collar Adjustment with

a 4-year setback for males and a 3-year setback for females.

● Judges: RP-2014 Annuitant mortality with White Collar Adjustment, with no

setbacks. For periods of deferral, RP-2014 Non-Annuitant mortality with White

Collar Adjustment, with no setbacks.

The Mortality tables used for the Disabled Plan Member Base Mortality for each plan for the 

prior valuation are shown below:

● Police Officers and Firefighters: RP-2000 Combined Healthy mortality with Blue

Collar Adjustment with no set forward for males and a 1-year set forward for

females.

● Teachers: RP-2000 Combined Healthy mortality with White Collar Adjustment with

a 1-year set forward for males and a 2-year set forward for females.

● Judges: RP-2014 Annuitant mortality with White Collar Adjustment, with no

setbacks.

Mortality Scaling Factor

63
Funding 

Method

Interest Rate 

Application

To calculate the present value of plan members’ benefits for the Police Officers 

and Firefighters', and Teachers' Plans, spot rates were used in accordance with 

SFFAS 5 and SFFAS 33. For the Judges’ Plan, an Effective Interest Rate (EIR) was 

used. The EIR is the single interest rate calculated to provide the same present 

value of benefits as the spot rates and allows for the appropriate liability 

calculation using the Entry Age Normal Funding Method with an active population.

SFFAS 5 permits the use of a funding method other than the Aggregate Entry Age 

Normal method if an explanation is provided and the difference in results are 

immaterial. 

The Judges’ Plan uses Individual Entry Age Normal method to develop the accrued 

liability and normal costs. The differences in results between Aggregate and 

Individual Entry Age Normal methods are very small and the Individual Entry Age 

Method provides more detail by individual for the movements in the liability.

The Police Officers and Firefighters' and the Teachers' Plans use the Projected Unit 

Credit (“PUC”) Method in place of the Entry Age Normal Method (“EAN”). Although 

the plans do not have future service accruals, the EAN method would defer a 

portion of past service into the future and thereby generating a normal cost until 

all actives have decremented. The PUC method better recognizes that all service 

has been fully accrued by participants, and attributes the anticipated change in 

compensation to that accrued service. This approach does not defer a portion of 

past service into the future, and therefore does not generate a normal cost. The 

PUC method aligns to the annual payment required for the plan under the 

Balanced Budget Act of 1997 (Pub. Law 105-33).

APPENDIX B

Rationale

Methods

64
Interest Rates and 

Economic 

Assumptions

Interest Rates for 

(Gain)/Loss

Salary Growth

Base Mortality 

Table

Longevity 

Improvement 

Projection Scale

Mortality 

Adjustment from 

Census Date to 

Valuation Date

Disability Rates

Withdrawal Rates

Retirement Rates

Expenses The 15-Year Fund projections for all plans use expense projections provided by the 

Department of the Treasury. Due to the active nature of the Judges' Plan, employee 

contributions have a further increase factor to account for increases in pay rate for 

actives.

The underlying interest rate, inflation, Cost-of-Living Adjustment (based on 10-year 

averages), and wage inflation assumptions (based on the 10-year average of actual 

negotiated pay increases) were prescribed by the Department of the Treasury, based on 

their analysis of investments and historical experience, and are intended to comply with 

SFFAS 5 and 33. 

The use of EIR for the Judges' Plan produced the same Present Value of Benefits as is 

produced using the yield curve. For an active plan, the EIR is used for the period of time 

between plan member entry and the valuation date. The EIR is a good proxy for long 

term discount rate because it captures the weighted cash flows of the yield curve as a 

single rate. The use of the first spot rate for the other plans reflects the most relevant 

expectation of the discount rate over the course of the prior year.

The base mortality tables were adjusted to reflect actual plan experience during the 

most recent experience study conducted in 2019.

The MP-2018 projection scale reflects the most recently developed mortality 

improvement outlook from the Society of Actuaries.

The adjustment to the liability to account for assumed mortality experience during the 

gap between the census collection date and the valuation date is based on the most 

recent experience study conducted in 2019. 

The underlying salary growth assumptions are based upon expectations of plan 

experience and the most recent experience study conducted in 2019.

APPENDIX B

Rationale

Assumptions

Rates of disablement for included actives are based upon expectations of plan 

experience and the most recent experience study conducted in 2019.

Rates of withdrawal for included actives are based upon broad termination patterns and 

expectations of plan experience and the most recent experience study conducted in 

2019.

Rates of retirement for included actives are based upon broad retirement patterns and 

expectations of plan experience and the most recent experience study conducted in 

2019.

65
APPENDIX B

Rationale

Assumptions

Spousal Age

Effective Form of 

Payment Election

Open Group 

Projections

Benefits Not 

Valued

The marriage assumptions are based on expectations of plan experience and the most 

recent experience study conducted in 2019.

The benefit form election assumptions are based on expectations of plan experience and 

the most recent experience study conducted in 2019.

Open group projections are based upon expectations of plan experience.

The refund of unexpended employee contributions was not valued for the Police Officers 

and Firefighters' and the Teachers' Plans payable to retirees who died without eligible 

surviving beneficiaries. The Department of the Treasury is only responsible for the 

balance as of June 30, 1997 without interest; therefore, this liability, if any, was deemed 

immaterial. 

Survivor benefits for the Teachers' Plan are not valued for deferred benefits. The 

Teachers Plan provides a reduction for Joint-and-Survivor benefits; therefore, the 

actuarial value of the life annuity is similar to the actuarial value of the Joint-andSurvivor annuity. Surviving children’s benefits for active plan members in the Police 

Officers and Firefighters' Plan are valued indirectly, by assuming a Joint-and-57% 

Survivor annuity for married plan members.

For the Judges' Plan, plan members are due a refund of the portion of their employee 

contribution balance due to the coverage of a spouse in the event that their spouse 

predeceases them. This has not been valued to the complexity and low probability of 

occurrence.

66
Plan Year October 1 - September 30

Eligibility for 

Participation

Contributions

Departmental 

Service

Credited Service

Final Average 

Annual Earnings

Longevity Pay - 

Police Officers

Normal form of 

benefit

Optional form of 

benefit

Plan members who complete 25 years of active service prior to retirement are entitled to 

have longevity pay included in pensionable compensation.

Plan members hired before February 15, 1980, who complete 20 but less than 25 years of 

active service prior to retirement, are entitled to have longevity pay included in 

pensionable compensation (as this benefit adjustment was not included in June 30, 1997 

plan provisions governing federal benefits, the District funds this benefit adjustment).

Straight Life Annuity (no eligible spouse survivor); Joint-and-Survivor Annuity (eligible 

spouse survivor)

Optional Additional Survivor Benefit:

If elected by the plan member, the retiree benefit is reduced by 10% and the survivor is 

entitled to an additional survivor benefit equal to the amount of the benefit reduction; 

except the additional survivor benefit is reduced by 5% for each full five years the 

survivor is younger than the plan member, with this reduction not to exceed 40%.

For those hired before February 15, 1980, basic pay for the highest 12 consecutive 

months. For those hired on or after February 15, 1980, basic pay for the highest 36 

consecutive months divided by three.

All police officers and firefighters of the District of Columbia automatically become plan 

members on their date of employment. Police Cadets are not eligible.

Plan members hired before November 10, 1996 are required to contribute 7% of annual 

salary, including any differential for special assignment, but excluding overtime, longevity, 

holiday, or military pay. Plan members hired on or after November 10, 1996 contribute 

8% of annual salary, including any differential for special assignment, but excluding 

overtime, holiday, or military pay. Interest is not credited to each plan member’s 

accumulated contributions.

Emerging inactive plan members not eligible for additional benefits will receive a refund of 

their contributions. 

A plan member receives service for each full year and additional months of employment 

with either the Metropolitan Police Force or the D.C. Fire Department. Only service earned 

prior to July 1, 1997 is used to compute the plan benefits.

Service granted or purchased in addition to departmental service.

APPENDIX C

Plan Provisions Summary 

Police Officers and Firefighters' Plan

67
APPENDIX C

Plan Provisions Summary 

Police Officers and Firefighters' Plan

Cost-of-Living 

Adjustments

Retirement 

Benefits

Optional 

Retirement Date

Optional 

Retirement Benefit

Vesting

Deferred Vested 

Benefit

Former employees (not beneficiaries) who retired prior to February 15, 1980, receive 

equalization, defined as a percentage increase in benefits equal to the percentage 

increase in pay active employees receive.

All other retired plan members and their survivors receive an increase April 1 each year 

based on the annual change in the Consumer Price Index (All Urban Consumers) from 

December to December. The annual increase will not be less than 0% for any plan 

member, and is limited to a maximum of 3% for plan members hired on or after 

November 10, 1996.

The cost-of-living adjustment for plan members disabled after June 30, 1997 and not 

eligible for an optional retirement benefit starts only with the payment of the Federal 

portion of the benefit at age 55.

For plan members hired before November 10, 1996:

● Age 60; or

● Age 50 with 25 years of departmental service; or

● No age requirement with 20 years of service (only if hired before

February 15, 1980.)

For plan members hired on or after November 10, 1996:

● Age 60; or

● No age requirement with 25 years of service.

For plan members hired before November 10, 1996:

● 2.5% of Average Pay times departmental service up to 25 years (20 years

if hired before February 15, 1980), plus

● 3.0% of Average Pay times departmental service over 25 (or 20) years, plus

● 2.5% of Average Pay times credited service.

For plan members hired on or after November 10, 1996:

● 2.5% of Average Pay times total service.

For all plan members, there is a maximum benefit of 80% of Average Pay. Service after 

June 30, 1997 is excluded from the calculation of the Federal portion of the benefit.

5 years of departmental service. 

Optional Retirement Benefit beginning at age 55. 

68
APPENDIX C

Plan Provisions Summary 

Police Officers and Firefighters' Plan

Disability Benefits

Service-Related 

Disability Benefit 

Eligibility

Service-Related 

Disability Benefit

Non-ServiceRelated Disability 

Benefit Eligibility

Non-ServiceRelated Disability 

Benefit

For plan members hired before February 15, 1980, 2.0% of Average Pay times total years 

of service, subject to a minimum benefit of 40% of Average Pay and subject to a 

maximum benefit of 70% of Average Pay.

For plan members hired on or after February 15, 1980, 70% of Final Pay times 

percentage of disability, subject to a minimum benefit of 30% of Final Pay.

The Federal portion of this benefit is a deferred vested benefit payable upon attainment of 

age 55, unless the conditions for optional retirement are met, in which case the Federal 

portion of this benefit is an optional retirement benefit. Service after 

June 30, 1997 is excluded from this calculation.

Plan members who are disabled as a result of an illness or injury in the line of duty are 

eligible for this benefit. If disabled after June 30, 1997 and not eligible for an optional 

retirement benefit, the Federal portion of this benefit is payable beginning at age 55.

For plan members hired before February 15, 1980, 2.5% of Average Pay times total years 

of service, subject to a minimum benefit of 66-2/3% of Average Pay and subject to a 

maximum benefit of 70% of Average Pay.

For plan members hired on or after February 15, 1980, 70% of final pay times percentage 

of disability, subject to a minimum benefit of 40% of final pay.

The Federal portion of this benefit is a deferred vested benefit payable upon attainment of 

age 55, unless the conditions for optional retirement are met, in which case the Federal 

portion of this benefit is an optional retirement benefit. Service after 

June 30, 1997 is excluded from this calculation.

Eligible with 5 years of departmental service and a physical or mental disability that 

prevents the plan member from performing his/her job. If disabled after June 30, 1997 

and not eligible for an optional retirement benefit, the Federal portion of this benefit is 

payable beginning at age 55.

69
APPENDIX C

Plan Provisions Summary 

Police Officers and Firefighters' Plan

Death Benefits

Lump Sum Death 

Benefit

Survivor Benefit 

(Spouse Only) - 

Death Outside Line 

of Duty after 

12/29/93

Survivor Benefit 

(Spouse Only) - 

Death In Line of 

Duty after 

12/29/93

Survivor Benefit - 

Spouse and 

Dependent 

Children

Survivor Benefit - 

Dependent 

Children Only

Refund of 

Contributions

Changes Since 

Prior Valuation

None of which we are aware.

Lump sum of $50,000 payable for death occurring in the line of duty, provided the death 

is not the result of willful misconduct or by intention to bring about his/her own death.

Eligible upon death and, if retired, married for at least one year or have a child by the 

marriage. The benefit will be 40% of the greater of Average Pay and the salary for class 

1, step 6 of the D.C. Police and Fireman’s Salary Act in effect at the date of death, 

adjusted for cost-of-living increases if death occurs after retirement. The benefit cannot 

exceed the rate of pay for the position occupied at death (or retirement if death occurs 

after retirement.)

Eligible upon death in the line of duty. The benefit will be 100% of final pay. The Federal 

portion of this benefit is 40% of average pay per June 30, 1997 plan provisions.

Eligibility for the spouse is the same as Spouse Only benefit; for the children, unmarried 

and under 18 (22 if full-time student), or any child dependent because of a disability 

incurred before age 18.

Spouse benefit as described above, plus, provided death does not occur in the line of 

duty, a benefit per child (payable until the children are no longer eligible) equal to the 

smallest of:

● 60% of Average Pay divided by the number of eligible children;

● $4,248 ($4,152 if hired on or after November 1, 1996) - Federal portion is $1,548;

or

● $12,744 ($12,456 if hired on or after November 1, 1996) divided by the number of

children - Federal portion is $4,644.

These amounts are increased annually based on cost-of-living adjustments.

Eligibility is same as the Dependent Children benefit above. The benefit will be 75% of 

Average Pay divided by the number of eligible children, adjusted for cost-of-living 

increases.

Refund contributions if death before retirement and no eligible spouse or children. All plan 

member contributions will be refunded to a named, or statutorily-designated if none 

named, beneficiary.

70
Plan Year October 1 - September 30

Eligibility for 

Participation

Contributions

School Service

Credited Service

Final Average 

Annual Earnings

Optional forms of 

benefit

Permanent, temporary, and probationary teachers for the District of Columbia public day 

schools become plan members automatically on their date of employment. Other 

employees covered by the Retirement of Public School Teachers Act – including librarians, 

principals, and counselors – also become plan members on their date of employment. 

Substitute teachers and employees of the Department of School Attendance and Work 

Permits are not covered. Some former D.C. teachers working at charter schools are 

eligible to remain in the Plan.

Plan members hired before November 1, 1996 are required to contribute 7% of annual 

pay. Plan members hired on or after November 1, 1996 contribute 8% of annual pay.

Emerging inactive plan members not eligible for additional benefits will receive a refund of 

their contributions without interest.

One year of school service is granted for each year of employment with the D.C. public 

day schools.

Service granted or purchased in addition to school service.

Highest 36 consecutive months of pay, divided by three.

Reduced Annuity with a Maximum Survivor Annuity (to Spouse)

The original benefit is reduced by 2.5% of annual pension up to $3,600, plus 10% of any 

amount over $3,600. Spouse will receive 55% of Unreduced Annuity.

Reduced Annuity with a Partial Survivor Annuity (to Spouse)

An annuity with a benefit payable to the spouse of between $1 up to any amount less 

than 55% of the Unreduced Annuity. The original benefit is reduced by dividing the 

amount of the survivor’s annuity by 55%, then reducing the original benefit by 2.5% of 

this amount up to $3,600, plus 10% of any amount over $3,600.

Reduced Annuity with a Survivor Annuity to a Person with an Insurable Interest

A joint and 55% survivor annuity with the original benefit reduced 10% plus an additional 

5% for each full 5 years, up to 25 years, the survivor is younger, with a total reduction of 

40% for any survivor who is 25 or more years younger.

Reduced Annuity with a Life Insurance Benefit

Benefits are reduced to provide a lump sum life insurance benefit to a designated 

beneficiary.

APPENDIX C

Plan Provisions Summary

Teachers' Plan

71
APPENDIX C

Plan Provisions Summary

Teachers' Plan

Cost-of-Living 

Adjustments

Retirement 

Benefits

Voluntary 

Retirement Date

Voluntary 

Retirement Benefit

Involuntary 

Retirement Date

Involuntary 

Retirement 

Amount

Vesting

Deferred Vested 

Benefit

5 years of school service.

The benefit amount is calculated as a Voluntary Retirement Benefit beginning at age 62, 

based on service earned as of the termination of employment.

Voluntary Retirement Benefit is reduced by 1/6% per month (2% per year) for each full 

month that the date of retirement precedes age 55.

All plan members receive an increase on April 1 each year based on the annual change in 

the Consumer Price Index (all items – U.S. City average) from December to December. 

The annual increase will not be less than 0% for any plan member, and is limited to 3.0% 

for plan members hired on or after November 1, 1996. The cost-of-living adjustment for 

plan members who become disabled after June 30, 1997 starts only with the payment of 

the federal portion of the benefit at age 62.

For plan member hired before November 1, 1996, earliest of:

● Age 62 with 5 years of school service;

● Age 60 with 20 years of total service, including 5 years of school service;

● Age 55 with 30 years of total service, including 5 years of school service.

For plan member hired on or after November 1, 1996, earliest of:

● Age 62 with 5 years of school service;

● Age 60 with 20 years of total service, including 5 years of school service;

● Any age with 30 years of total service, including 5 years of school service.

For plan member hired before November 1, 1996:

● 1.5% of Average Pay times service up to 5 years, plus;

● 1.75% of Average Pay times service between 5 and 10 years, plus

● 2.0% of Average Pay times service over 10 years.

For plan member hired on or after November 1, 1996:

● 2.0% of Average Pay times service.

For all plan members, there is a minimum benefit of 1.0% of Average Pay plus $25 for 

each year of service. 

Service after June 30, 1997 is excluded from the calculation of the Federal portion of the 

benefit.

Retired involuntarily for reasons other than misconduct or delinquency with:

● 25 years of total service, including 5 years of school service; or

● Age 50 with 20 years of total service, including 5 years of school service.

72
APPENDIX C

Plan Provisions Summary

Teachers' Plan

Disability Benefits

Disability Benefit 

Eligibility

Disability Benefit

Death Benefits

Lump Sum Death 

Benefit - No 

Survivor

Survivor Benefit - 

Spouse Only

Survivor Benefit - 

Spouse and 

Dependent 

Children

5 years of school service and a physical or mental disability that prevents the plan 

member from performing the job.

Voluntary Retirement benefit, subject to a minimum of the lesser of 40% of Average Pay 

and the benefit that the plan member would receive, projecting service to age 60. If 

disabled after June 30, 1997 and not eligible for voluntary retirement, the Federal portion 

of this benefit is a deferred vested benefit payable upon attainment of age 62. Service 

after June 30, 1997 is excluded from this calculation.

Teachers who die before retirement and before completing 18 months of school service or 

who die without an eligible spouse, child, or parent, will receive a lump sum death 

benefit. The benefit will be a refund of plan member contributions without interest.

Teachers who die before retirement and were married for at least two years or have a 

child by the marriage will provide their survivors a benefit. The benefit will be 55% of the 

Voluntary Retirement benefit subject to minimums.

Eligibility for the spouse is the same as Spouse Only benefit; for the children, unmarried 

and under 18 (22 if a full-time student); or any child dependent because of a disability 

incurred before age 18. Death does not have to occur before retirement for the children’s 

benefits. The benefit will be:

Spouse benefit as described above, plus a benefit per child (payable until the children are 

no longer eligible) equal to the smallest of:

● 60% of Average Pay divided by the number of eligible children;

● $7,212 (if hired before January 1, 1980), $6,960 (if hired between

January 1, 1980 and October 31, 1996), or $6,792 (if hired on or after

November 1, 1996) per child; or

● $21,636 (if hired before January 1, 1980), $20,880 (if hired between

January 1, 1980 and October 31, 1996), or $20,376 (if hired

on or after November 1, 1996) divided by the number of children.

These amounts are increased annually based on cost-of-living adjustments.

73
APPENDIX C

Plan Provisions Summary

Teachers' Plan

Survivor Benefit - 

Dependent 

Children Only

Survivor Benefit - 

Surviving Parents 

Only

Changes Since 

Prior Valuation

Eligibility is the same as for the children’s benefit when there is a surviving spouse.

Benefit Amount

Per child (payable until the children are no longer eligible), the smallest of:

● 75% of Average Pay divided by the number of eligible children;

● $8,820 (if hired before January 1, 1980), $8,496 (if hired between January 1,

1980 and October 31, 1996), or $8,220 (if hired on or after November 1, 1996)

per child; or

● $26,460 (if hired before January 1, 1980), $25,488 (if hired between

January 1, 1980 and October 31, 1996), or $24,660 (if hired on or after

November 1, 1996) divided by the number of children.

These amounts are increased annually based on cost-of-living adjustments.

Eligible if death before retirement and no eligible spouse or children, and parents receive 

at least one-half of their total income from the plan member. The benefit will be the same 

as the Surviving Spouse benefit.

None of which we are aware.

74
Plan Year October 1 - September 30

Eligibility for 

Participation

Contributions

Judicial Service

Credited Service

Cost-of-Living 

Adjustments

Retirement 

Benefits

Regular 

Retirement 

Date

Regular 

Retirement 

Benefit

Vesting

APPENDIX C

Plan Provisions Summary

Judges' Plan

All Judges of the District of Columbia Court of Appeals or the Superior Court are members 

in the plan. The Executive Officer of the Court System is also eligible.

All Judges contribute 3.5% of their salaries to the Fund. Judges electing survivor coverage 

pay an additional 3.5% of annual salary (or retirement benefit if retired). Plan member 

contributions for survivor coverage do not end at retirement.

Emerging inactive plan members not eligible for additional benefits will receive a refund of 

their contributions without interest.

A plan member receives credit for each full year and additional months of employment as 

a Judge with the District of Columbia Courts.

Service granted or purchased in addition to judicial service.

All pensioners will receive cost-of-living increases in line with those applicable to retirees 

in the Civil Service Retirement System. Cost-of-living adjustments are paid on January 1.

Earlier of:

● Age 50 with 20 years of Judicial Service; or

● Age 60 with 10 years of Judicial Service.

Basic salary at retirement times the ratio of Judicial Service to 30, plus

An additional benefit for any Credited Service (non Judicial) as follows:

● 1.50% of basic salary times Credited Service up to 5 years, plus

● 1.75% of basic salary times Credited Service from 5 to 10 years, plus

● 2.00% of basic salary times Credited Service in excess of 10 years.

The maximum total benefit is 80% of basic salary.

10 years of Judicial Service.

75
APPENDIX C

Plan Provisions Summary

Judges' Plan

Mandatory 

Retirement 

Date

Early 

Retirement 

Eligibility

Early 

Retirement 

Benefit

Deferred 

Vested Benefit

Disability Benefits

Disability 

Benefit 

Eligibility

Disability 

Benefit

Death Benefits

Survivor 

Benefit 

Eligibility

Survivor 

Benefit

Changes Since 

Prior Valuation

A plan member is eligible for disability retirement after 5 years of Judicial and Credited 

Service and becoming physically or mentally disabled to an extent that interferes with 

proper performance of judicial duties. No service requirement applies to involuntary 

disability retirement.

Regular Retirement Benefit, subject to a minimum of 50% of basic salary (if an 

involuntary disability retirement).

Judges who contribute an additional 3.5% of salary during their working career and 

during retirement will provide a survivor benefit to their surviving spouse and/or children. 

The judge must also have completed at least 5 years of Judicial and Credited Service, and 

have been married for 2 years or have a child by marriage. A refund of excess 

contributions, less benefits paid to the retiree, will be paid if there are no eligible 

survivors.

Spouse Benefit:

If judge was retired, 55% of the benefit the judge was receiving. If judge was active, 

55% of the benefit the judge would have received had the judge retired on the day prior 

to death, not less than 55% of the benefit that would be provided to a judge with 15 

years of Judicial Service without adjustment for early retirement.

Dependent Children Benefit:

A benefit will be paid to the children under the age of 18 (22 if full time student), or to 

any unmarried child incapable of self-support due to a disability which occurred before 

age 18. Benefit per child is the smallest of:

● 50% of the spouse's annuity

● $6,363.12 ($7,636.92 if no spouse benefits apply) as of 12/01/2018,

increased annually

● $19,089.36 ($22,910.76 if no spouse benefits apply) divided by the number of

children as of 12/01/2018, increased annually.

None of which we are aware.

The deferred vested benefit is the same as the Early Retirement Benefit beginning at age 

55 or the Regular Retirement Benefit beginning at age 60, but only reflecting service to 

the date of employment termination.

Mandatory retirement is at age 74. 

Age 55 with 10 years of Judicial Service.

1/12% per month prior to age 60 reduction in Judicial Service benefit.

76