RES 08175 - Laserfiche WebLink

CONTRACT AMENDMENT COST ANALYSIS -VALUATION BASIS: ]une 30, 2006 SAFETY FIRE PLAN FOR CiiT1f OF PLEASANTON Employer Number: 327 sentaflt Deua~iption: Setxitnt 2154x, Pro-Retlnmant Optlonal SKtfament 2 Death deneAt As of Tuna 30, 2006 Currant Plan Post-Amendment 200&2009 Empbyer Rats Payment for Normal Cost 15.336% 15.422% Payment on Amortlsatiion Bases 9.706% 9.810% Total Employer Rats 25.042% 25.232% Change to Normal Cost 0.086% Chan0e to Totsl Employer Rate 0.19096 Curront Amor~atbn Bases i Multlple Bases Amendment Amortlzation Base - Fresh Start = N/A - Multiple Base ~ 20-year 2008-2009 Employee Rate Total Empbyee Rata 9.590% 9.590% Cha to Total Em Rata 0.00096 2000-2010 Estlmated Empibyer Rate (roaopnWnB 18.Syie im-estrrtlant return for 2006-2007) 24.3% 24.5% ProieCtlon Anartizatlon Base Multiple Base Multiple Base 1 - Details d the current amortization base are shown on papa 13 or ]une 30, 2tx16 annual valuation report if you have adopted any other subsequent amendments, the current artro-tlzatlorr base is the sdredule alter these adopted arnendnrenls. 2 - if a fbxd number of years Is shown, K means that the arrant unfunded actuarlsl IIabIIRy Is projected and amortlzed over this lbred number of years. T1rl~ ama~tizatlon replaces the amortlzaUon sdreduk shown M your tune 30, 2006 annual valuation and arty other subsequent anrerrdments You have adopted. 3 - If 20-y~r is shown. K meerrs that the drarrpe le tlabllty due to plan smendnrerMs b smortlzed separstely over a 20-year period. This arrrortlratlon sdredule Is In additlon b the amo-tl:atbn schedule shown In the ]une 30, 2006 annual valustlon and any other subsequent amendments you have adopted. In the above table, the information shown reprpsertts ttte at*ual Inftlal contribution robe that will appy during fiscal year 2008-2009 if you adopt the amendment However, these figures do not incorporate the projected 18.5% investment return in 2006-2007. The estlmated empbyer rates shown for 2009-2010, which incorporate this redim, wi110iw you a good estimate of what to expect In 2009-2010. Nate that the change in normal cost in the table above may be much more indicative of the long term change in the employer contribution rate due bD the plan amendment. The plan's payment on amortlzation bases shown In the table above (s a temporary adjustment bD the employer contribution to "get the plan bads on schedule". This temporary adjustment to the empbyer rate varies in duration frnrrt plan bo plan. For example, a plan with initial excess assets being amorrtized over a short period of time will typically experience a large rate intxease when excess assets are fully amortlzed. While a plan amendment for such a plan may produce little or no increase in the employer contribution rate now, the change in normal cost due to the plan amendment will become fully reflected in the employer contribution rate as soon as initial excess assets are fully amortized. November 16, 2007 Page 4