1

Future Retiree Benefits

Michael E Finn

2

Projected Cash Flows of Options (as shown in study session)

20132014

20152016

20172018

20192020

20212022

20232024

20252026

20272028

20292030

20312032

20332034

20352036

20372038

20392040

20412042

20432044

20452046

20472048

20492050

$-

$500,000.00

$1,000,000.00

$1,500,000.00

$2,000,000.00

$2,500,000.00

$3,000,000.00

$3,500,000.00

$4,000,000.00

$4,500,000.00

Purple Option:Modified plan excluding hires after June 30, 2004Red Option:

10 year qualifier as requested by the Board

Green Option:Modified 15 year qualifier

Blue Option:25 year qualifier with 5 year phase out pe-riod

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• Examined years of service ranging from 15 years and higher through 20 years and higher to be eligible.

• Once years of service criteria has been met, District monthly contributions increase with increased years of service– Min. eligibility to 20 years of service $200– 21-25 years of service $250– 26-30 years of service $300– 31 years or greater $368

Future Retiree Benefits

4

• 15 year policy would exclude 598 employees from current policy (875 would qualify)– Increase from 15 years to 16 years would exclude an additional

129 employees (727 total excluded)– Increase from 16 years to 17 years excludes additional 116

employees (843 total excluded)– Increase from 17 years to 18 years excludes additional 73

employees (916 total excluded)– Increase from 18 years to 19 years excludes additional 58

employees (974 total excluded)– Increase from 19 years to 20 years excludes additional 53

employees (1027 total excluded)

Impacts of scenarios

5

Cash Flows for Future Retiree Scenarios

20142015

20162017

20182019

20202021

20222023

20242025

20262027

20282029

20302031

20322033

20342035

20362037

20382039

20402041

$-

$200,000.00

$400,000.00

$600,000.00

$800,000.00

$1,000,000.00

$1,200,000.00

$1,400,000.00

$1,600,000.00

151617181920

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15 16 17 18 19 20$0.00

$5,000,000.00

$10,000,000.00

$15,000,000.00

$20,000,000.00

$25,000,000.00

$19,804,392.00

$16,573,392.00

$13,543,536.00

$11,536,536.00

$9,728,136.00

$7,821,696.00

Total Cost

7

QUESTIONS