ACFR FY 2023 Final - Flipbook - Page 104
FINANCIAL SECTION
City of Eustis, Florida
NOTES TO FINANCIAL STATEMENTS
Note 7 - Pension Plans (Continued)
Signiocant Actuarial Assumptions
The following is a summary of actuarial methods and signiocant actuarial assumptions used in the
latest actuarial valuations:
Funding method
Amortization method
Remaining amortization period
Actuarial asset method
Inflation
Salary increases
Investment rate of return
mortality
Police
Entry age normal
Level dollar, closed
16 years
4-year smoothed marked
2ÿ50% per year
6ÿ00% per year
6ÿ80% per year
The same versions of pub-2010
Headcount-Weighted mortality
Tables as used by the FRS for
Special Risk Class members in
their July 1, 2022 actuarial valuation(with mortality improvements projected for healthy
to all future years after 2010,
using Scale mp-2018)ÿFL Statutes
Chapter 1112ÿ63(1)(f) mandates
this use of mortality tables from
one of the two most recently
published FRS actuarial valuation reportsÿ
Fire
Entry age normal
New UAAL amortization bases
are amortized
over 15 years (as of 9/30/2023)
4-year smoothed marked
2ÿ50% per year
Service based
7ÿ55% per year
pub- SÿH - 2010 mortality Table
for Annuitants, projected with
mortality Improvement Scale
mp-2018
Investments Held
Investments are reported at Fair market Valueÿ Securities traded on a national or international
exchange are valued at current exchange rates at the last reported sales priceÿ Investments that do
not have an established market are reported at estimated fair valueÿ
Authorized investments are governed by Florida Statutes and each plan9s investment policyÿ All
plan investments are held by an outside third-party custodian who determines what instruments
to purchase based on the plan9s investment policyÿ Investments are held, and the return earned is
reviewed quarterly by the pension board of the respective planÿ
Both the Police Ofocer and Fireoghters9 Pension Plans did not hold investments in any organization
representing 5% or more of the Plan9s oduciary net position.
For the year ended September 30, 2023, the money-weighted investment rate of return was 6ÿ80%
and 12.43% for the Police Ofocers9 and Fireoghters9 Plans respectively, express investment performance, net of investment expense, adjusted for the changing amount investedÿ
104
Annual Comprehensive Financial Report | September 30, 2023
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