ACommitted Fund Balance 2019-6-3
Item Details
- Meeting
- June 3, 2019 – Board of Education Meeting
- Category
- 11. Action Items
- Type
- Action item
- Recommended action
- Move to approve the Commitment of the funds from the Defined Contribution Retirement employer forfeiture and Retirement Contributions True-up for the purpose of contract settlement.
Motions
Move to approve the Commitment of the funds from the Defined Contribution Retirement employer forfeiture and Retirement Contributions True-up for the purpose of contract settlement.
Moved by Dan Castimore · Seconded by Jason Tauriainen
Yes: Dan Castimore, Debbie Cary, Greg Madden, Jason Tauriainen, Lynn Hohl, Matt Morse, Mike Illg, Penny Vadla, Zen Kelly
Public Content
Background Information:
Committed fund balance consists of funds that are set aside for a specific purpose by a government itself, using its highest level of decision-making authority.
Defined Contribution Retirement (DCR) employer forfeiture funds are created when a non-vested or partially vested employee terminates employment from the Public Employees’ Retirement System (PERS) or Teachers’ Retirement System (TRS) and refunds a portion or all their DCR account. The forfeited amount is determined by the years of service with all system participant employers that the employee has worked in either PERS or TRS system.
The DCR forfeiture amounts total $1,055,825.25.
The State of Alaska Division of Retirement and Benefits also provided us with True-up in formation for any accounts with an overage or shortage in any of the contribution types since fiscal year 2008. This notice was delayed due to eReporting issues that have now been resolved.
The True-up amount is $168,160.36
Both the DCR forfeiture and the True-up amounts total $1,223,985.61 from both the General Fund and Grant funds.
During the negotiations process, the district conveyed to the bargaining teams that these funds would be used to fund the offers made in negotiations.
Administration is requesting that this amount be committed for contract negotiations.