Hello,
In the California Public Employee's Retirement Law Manual(January 1, 2000), section
22880
establishes prefunding for annuitants (Retirees) health care coverage. My
interpretation of this
section is that PERS has a requirement that allows the making of periodic payments to
amortize the
actuarial obligation of employers' for health benefits provided to the employer's
annuitants and
their dependents.
Is any organization using this service, that is defined in section 22880? The PERS
person I spoke
with didn't think PERS was doing anything in this area.
It would seem, that if PERS administered the retirement health coverage as they do the
pension, it
would be more cost effective than when cities, counties and special districts do it
alone.
If anyone has an actuarial formula/table that they use to accrue their liablity with,
I would
appreciate some input.
Dick Pattinson
Tuolumne Utilities District
