Wednesday, December 02, 2009

Sept 30, 2009 DB plan assets & closing the DB plan

In yesterday's post on the number of participants in the Town's pension plan, Breachway asked for details on the two sides of the pension plan:

1) the assets
2) the liabilities

#1 is pretty straightforward. Here are the plan assets as of September 30, 2009:However, the measurement of the liabilities only occurs every two years on July 1. The next measurement date will be July 1, 2010. And so the most recent liability number I know is from July 1, 2008. At that time, the total liability was measured around $60,000,000. Until we get a new number, I'm assuming the liability is still in that ballpark.

And as a followup to yesterday's post, besides trying to negotiate the end of the DB plans for future union employees... I've also asked about the possibility of "buying out" retired employees through an agreed settlement... similar to what has been done with some heart & hypertension settlements. More on that later.

Tim White

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