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2017 MSV Police Actuarial Fact SheetCity/District Name:Miami Shores Village Employee group(s) covered:Police Current actuarial valuation date:10/1/2017 Market Value of Plan Assets (MVA):$24,081,158 Unfunded Accrued Liability (UAL):$4,771,120 Number of plan participants:58 7.73% Assumed 7.50% Funding requirement as percentage of payroll:50.36% Percentage of payroll contributed by employee:9.00% Benefit Formula Description:2.91% X AFC X SC MVA Funded Ratio (5-year history): Rate of Return: 8.24% 7.31% 65.02% 6.45% Employees covered by Social Security?Yes *Adjusted by excluding plans from average whose Funded Ratios were not within two standard deviations from the mean Actuarial Value of Plan Assets (AVA):$23,534,616 AFC Averaging Period (years):3 2/13/2019Date prepared: Actuarial Accrued Liability (AAL):$28,305,736 Actuarial Value, Actual (2017 Plan Year) Averages for all plans with 2017 current actuarial valuation date 85.08% 76.05% 72.05% 76.15% 74.17% 85.89%* 82.03%* 81.82%* 85.66%* 81.51%* Market Value, Actual 11.70%11.78% ** ** **Excludes plans with zero payroll Current valuation 1 year prior 2 years prior 3 years prior 4 years prior Florida Statute Chapter Discount Rate Pension Liability Market Value of Plan Assets Net Pension Liability Years assets sustain benefit payments Total Dollar Contribution Total % of Pay Contribution 29,716,580 24,081,158 5,635,422 31.33 1,374,327 54.27 38,115,169 24,081,158 14,034,011 20.58 2,425,878 95.79 31.33 1,374,327 54.27 112.664(1)(a) 112.664(1)(b) 7.50% Valuation Basis 5.50% 7.50% Additional actuarial disclosures required by section 112.664, Florida Statutes: N/A N/A N/A Link to annual financial statements: (For explanation of terms, see glossary on page 2) 29,716,580 24,081,158 5,635,422 GASB 67 Reporting 7.50% https://www.rol.frs.state.fl.us/forms/LOC5340488PDF10012017N1.pdf Discount Rate Total Pension Liability Net Pension Liability Market Value of Plan Assets GASB 67 Funded Ratio 81.04% Market Value of Plan Assets (MVA):The fair market value of assets, including DROP accounts. Unfunded Accrued Liability (UAL):The difference between the actuarial accrued liability and the actuarial value of assets accumulated to finance the obligation. MVA Funded Ratio:Market Value of Plan Assets divided by Actuarial Accrued Liability (GASB) Rate of Return (Assumed):Assumed long-term rate of return on the pension fund assets. Funding requirement as percentage of payroll: Total Required Contribution (employer and employee) divided by total payroll of active participants AFC:Average Final Compensation or some variant of compensation (e.g., AME [Average Monthly Earnings], FAC [Final Average Compensation], FMC [Final Monthly Compensation] etc.) Actuarial Value of Plan Assets (AVA):Assets calculated under an asset valuation method smoothing the effects of volatility in market value of assets. Used to determine employer contribution. Actuarial Accrued Liability (AAL):Portion of Present Value of Fully Projected Benefits attributable to service credit earned as of the current actuarial valuation date. SC:Service Credit Years assets sustain benefit payments: Assuming no future contributions from any source, the number of years the market value of assets will sustain payment of expected retirement benefits. The number of years will vary based on the Florida Statute Chapter assumption. Florida Statute Chapter:112.664(1)(a) – uses mortality tables used in either of the two most recently published FRS valuation reports, with projection scale for mortality improvement 112.664(1)(b) – uses same mortality assumption as 112.664(1)(a) but using an assumed discount rate equal to 200 basis points (2.00%) less than plan’s assumed rate of return. Valuation Basis – uses all the assumptions in the plan's valuation as of the current actuarial valuation date. Discount Rate:Rate used to discount the liabilities. Typically the same as assumed rate of return on assets. Total Pension Liability:Actuarial Accrued Liability measured using the appropriate assumptions as specified above and the Traditional Individual Entry Age Normal Cost Total Dollar Contribution:Required contribution from all sources (i.e., employee and sponsor). Contribution will vary based on the Florida Statute Chapter assumption. Total % of Pay Contribution:Total Dollar Contribution divided by total payroll of active participants Net Pension Liability:Total Pension Liability minus Market Value of Plan Assets. Section 112.664 – Glossary of Terms Actuarial Summary Fact Sheet – Glossary of Terms Annual financial statements:A report issued which covers a local government retirement system or plan to satisfy the financial reporting requirements of section 112.664(1), F.S.