Title
Reporting Requirement to the State of Michigan under PA202 of 2017 Regarding the City’s Pension and OPEB Funding Status
Memo
Pursuant to Public Act 202 of 2017, the City is required to submit the attached form to City Council for their information. Council is not required to take formal action. This report shows that the City of Ann Arbor for both its pension plan and OPEB plan does not trigger an underfunded status with the State of Michigan.
An underfunded status for pension is defined as less than 60% funded and our contribution is greater than 10% of governmental fund revenue. The City is 87.8% funded and our contribution is 8.8% of our governmental revenue.
An underfunded status for OPEB is defined as less than 40% funded and our contribution is greater than 12% of governmental fund revenue. The City is 56.6% funded and our contribution is 8.7% of our governmental revenue.
Staff
Submitted by: Karen Lancaster, Finance Director