Page 71 - CPAAC_Fall2015

11/13/2015

Establish Irrevocable Supplemental
(§115) Trust

 Could be used for rate stabilization
 Reduces GASB 68 Net Pension Liability
 Investments significantly less restricted:

 Designed for long term returns
 Likely much higher (5%-7%) investment returns

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Establish Irrevocable Supplemental
(§115) Trust

 Can only be used to :

 Reimburse for CalPERS contributions
 Make payments directly to CalPERS

 Assets could not be used by Board/Council for
other purposes

 PARS & PFM

 6 agencies

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