Chapter 112.664 Compliance Report MSG 2017 (002)
Miami Shores Village General
Employees’ Retirement System
Chapter 112.664, F.S. Compliance Report
In Connection with the October 1, 2017 Funding
Actuarial Valuation Report
And the Plan’s Financial Reporting for the Year
Ending September 30, 2017
Miami Shores Village General Employees’ Retirement System
Chapter 112.664, F.S. Compliance Report
TABLE OF CONTENTS
Title Page
Ch. 112.664, F.S. Results
Schedule of Changes in Net Pension Liability
1. Using financial reporting assumptions per GASB Statement No. 67 1
2. Using assumptions prescribed in Section 112.664(1)(a), F.S. 2
3. Using assumptions prescribed in Section 112.664(1)(b), F.S. 3
4. Using the mandated mortality and funding interest rate +2% 4
Asset Versus Benefit Payments Projections
1. Using assumptions from the Plan’s latest actuarial valuation 5
2. Using assumptions prescribed in Section 112.664(1)(a), F.S. 6
3. Using assumptions prescribed in Section 112.664(1)(b), F.S. 7
4. Using the mandated mortality and funding interest rate +2% 8
Actuarially Determined Employer Contribution 9
CH. 112.664, FLORIDA STATUTES
RESULTS
Miami Shores Village General Employees’ Retirement System
Chapter 112.664, F.S. Compliance Report
1
Schedule of Changes in the Employers' Net Pension Liability
Using Financial Reporting Assumptions per GASB Statement No. 67
Fiscal year ending September 30,2017
1. Total pension liability
a. Service Cost 345,113$
b. Interest 1,134,060
c. Benefit Changes -
d. Difference between actual & expected experience & Other -
e. Assumption Changes -
f. Benefit Payments (630,350)
g. Contribution Refunds -
h. Net Change in Total Pension Liability 848,823
i. Total Pension Liability - Beginning 15,090,867
j. Total Pension Liability - Ending 15,939,690$
2. Plan Fiduciary Net Position
a. Contributions - Employer 443,102$
b. Contributions - State -
c. Contributions - Member 186,555
d. Net Investment Income 1,531,913
e. Benefit Payments (630,350)
f. Contribution Refunds -
g. Administrative Expense (42,936)
h. Other -
i. Net Change in Plan Fiduciary Net Position 1,488,284
j. Plan Fiduciary Net Position - Beginning 12,299,360
k. Plan Fiduciary Net Position - Ending 13,787,644$
3. Net Pension Liability / (Asset)2,152,046
Certain Key Assumptions
Valuation Date 10/01/2015
Measurement Date 09/30/2017
Investment Return Assumption 7.50%
Mortality Table RP-2000 fully generational
using Scale BB
Miami Shores Village General Employees’ Retirement System
Chapter 112.664, F.S. Compliance Report
2
Schedule of Changes in the Employers' Net Pension Liability
Using Assumptions required under 112.664(1)(a), F.S.
Fiscal year ending September 30,2017
1. Total pension liability
a. Service Cost 341,445$
b. Interest 1,112,433
c. Benefit Changes -
d. Difference between actual & expected experience & Other -
e. Assumption Changes -
f. Benefit Payments (630,350)
g. Contribution Refunds -
h. Net Change in Total Pension Liability 823,528
i. Total Pension Liability - Beginning 14,806,168
j. Total Pension Liability - Ending 15,629,696$
2. Plan Fiduciary Net Position
a. Contributions - Employer 443,102$
b. Contributions - State -
c. Contributions - Member 186,555
d. Net Investment Income 1,531,913
e. Benefit Payments (630,350)
f. Contribution Refunds -
g. Administrative Expense (42,936)
h. Other -
i. Net Change in Plan Fiduciary Net Position 1,488,284
j. Plan Fiduciary Net Position - Beginning 12,299,360
k. Plan Fiduciary Net Position - Ending 13,787,644$
3. Net Pension Liability / (Asset)1,842,052
Certain Key Assumptions
Valuation Date 10/01/2015
Measurement Date 09/30/2017
Investment Return Assumption 7.50%
Mortality Table RP-2000 fully generational
using Scale AA
Miami Shores Village General Employees’ Retirement System
Chapter 112.664, F.S. Compliance Report
3
Schedule of Changes in the Employers' Net Pension Liability
Using Assumptions required under 112.664(1)(b), F.S.
Fiscal year ending September 30,2017
1. Total pension liability
a. Service Cost 501,158$
b. Interest 1,029,578
c. Benefit Changes -
d. Difference between actual & expected experience & Other -
e. Assumption Changes -
f. Benefit Payments (630,350)
g. Contribution Refunds -
h. Net Change in Total Pension Liability 900,386
i. Total Pension Liability - Beginning 18,533,614
j. Total Pension Liability - Ending 19,434,000$
2. Plan Fiduciary Net Position
a. Contributions - Employer 443,102$
b. Contributions - State -
c. Contributions - Member 186,555
d. Net Investment Income 1,531,913
e. Benefit Payments (630,350)
f. Contribution Refunds -
g. Administrative Expense (42,936)
h. Other -
i. Net Change in Plan Fiduciary Net Position 1,488,284
j. Plan Fiduciary Net Position - Beginning 12,299,360
k. Plan Fiduciary Net Position - Ending 13,787,644$
3. Net Pension Liability / (Asset)5,646,356
Certain Key Assumptions
Valuation Date 10/01/2015
Measurement Date 09/30/2017
Investment Return Assumption 5.50%
Mortality Table RP-2000 fully generational
using Scale AA
Miami Shores Village General Employees’ Retirement System
Chapter 112.664, F.S. Compliance Report
4
Schedule of Changes in the Employers' Net Pension Liability
Using Assumptions under 112.664(1)(b), F.S. except 2% higher investment return assumption
Fiscal year ending September 30,2017
1. Total pension liability
a. Service Cost 244,092$
b. Interest 1,150,260
c. Benefit Changes -
d. Difference between actual & expected experience & Other -
e. Assumption Changes -
f. Benefit Payments (630,350)
g. Contribution Refunds -
h. Net Change in Total Pension Liability 764,002
i. Total Pension Liability - Beginning 12,179,085
j. Total Pension Liability - Ending 12,943,087$
2. Plan Fiduciary Net Position
a. Contributions - Employer 443,102$
b. Contributions - State -
c. Contributions - Member 186,555
d. Net Investment Income 1,531,913
e. Benefit Payments (630,350)
f. Contribution Refunds -
g. Administrative Expense (42,936)
h. Other -
i. Net Change in Plan Fiduciary Net Position 1,488,284
j. Plan Fiduciary Net Position - Beginning 12,299,360
k. Plan Fiduciary Net Position - Ending 13,787,644$
3. Net Pension Liability / (Asset)(844,557)
Certain Key Assumptions
Valuation Date 10/01/2015
Measurement Date 09/30/2017
Investment Return Assumption 9.50%
Mortality Table RP-2000 fully generational
using Scale AA
Miami Shores Village General Employees’ Retirement System
Chapter 112.664, F.S. Compliance Report
5
Asset and Benefit Payment Projection
Not Reflecting Any Contributions from the Employer, State or Employee
Using Assumptions From the Plan's Latest Actuarial Valuation
FYE
Market Value of
Assets (BOY)
Expected
Investment Return
Projected Benefit
Payments
Market Value of
Assets (EOY)
2018 13,141,846 958,112 734,044 13,365,914
2019 13,365,914 973,899 761,182 13,578,631
2020 13,578,631 986,523 849,983 13,715,171
2021 13,715,171 992,325 968,346 13,739,150
2022 13,739,150 993,970 972,437 13,760,683
2023 13,760,683 995,521 974,146 13,782,058
2024 13,782,058 997,671 959,549 13,820,180
2025 13,820,180 998,513 1,013,352 13,805,341
2026 13,805,341 997,142 1,020,217 13,782,266
2027 13,782,266 995,408 1,020,315 13,757,359
2028 13,757,359 993,552 1,019,999 13,730,912
2029 13,730,912 990,997 1,035,244 13,686,665
2030 13,686,665 986,488 1,066,987 13,606,166
2031 13,606,166 979,377 1,095,602 13,489,941
2032 13,489,941 971,231 1,080,402 13,380,770
2033 13,380,770 962,954 1,082,778 13,260,946
2034 13,260,946 954,195 1,076,688 13,138,453
2035 13,138,453 945,156 1,072,745 13,010,864
2036 13,010,864 936,673 1,043,779 12,903,758
2037 12,903,758 929,802 1,012,800 12,820,760
2038 12,820,760 924,254 994,750 12,750,264
2039 12,750,264 920,082 965,017 12,705,329
2040 12,705,329 917,550 942,645 12,680,234
2041 12,680,234 916,940 908,735 12,688,439
2042 12,688,439 918,350 887,540 12,719,249
2043 12,719,249 921,418 867,359 12,773,308
N/A
Certain Key Assumptions
Valuation Investment Return Assumption 7.50%
Valuation Mortality Table FRS Mortality - Regular Class
Note: As required in Section 112.664(1)(c) of the Florida Statutes, the projection of the Fund assets do
not include contributions from the Employer, Employee or State, which is contrary to Florida Statutes
and Plan provisions. For this reason, these projections should not be viewed as a representation of the
amount of time the Fund can sustain benefit payments. Under the GASB standards which DO include
contributions from the employer, employee and State, the Fund is expected to be able to sustain the
benefit payment demands in the near-term and long-term future.
Number of years for which current market value of assets are adequate to sustain
the payment of expected retirement benefits, reflecting no contributions from the
Employer, Employee or State, contrary to Florida Statutes and Plan provisions :
Miami Shores Village General Employees’ Retirement System
Chapter 112.664, F.S. Compliance Report
6
Asset and Benefit Payment Projection
Not Reflecting Any Contributions from the Employer, State or Employee
Using Assumptions required under 112.664(1)(a), F.S.
FYE
Market Value of
Assets (BOY)
Expected
Investment Return
Projected Benefit
Payments
Market Value of
Assets (EOY)
2018 13,141,846 958,112 734,044 13,365,914
2019 13,365,914 973,899 761,182 13,578,631
2020 13,578,631 986,523 849,983 13,715,171
2021 13,715,171 992,325 968,346 13,739,150
2022 13,739,150 993,970 972,437 13,760,683
2023 13,760,683 995,521 974,146 13,782,058
2024 13,782,058 997,671 959,549 13,820,180
2025 13,820,180 998,513 1,013,352 13,805,341
2026 13,805,341 997,142 1,020,217 13,782,266
2027 13,782,266 995,408 1,020,315 13,757,359
2028 13,757,359 993,552 1,019,999 13,730,912
2029 13,730,912 990,997 1,035,244 13,686,665
2030 13,686,665 986,488 1,066,987 13,606,166
2031 13,606,166 979,377 1,095,602 13,489,941
2032 13,489,941 971,231 1,080,402 13,380,770
2033 13,380,770 962,954 1,082,778 13,260,946
2034 13,260,946 954,195 1,076,688 13,138,453
2035 13,138,453 945,156 1,072,745 13,010,864
2036 13,010,864 936,673 1,043,779 12,903,758
2037 12,903,758 929,802 1,012,800 12,820,760
2038 12,820,760 924,254 994,750 12,750,264
2039 12,750,264 920,082 965,017 12,705,329
2040 12,705,329 917,550 942,645 12,680,234
2041 12,680,234 916,940 908,735 12,688,439
2042 12,688,439 918,350 887,540 12,719,249
2043 12,719,249 921,418 867,359 12,773,308
N/A
Certain Key Assumptions
Valuation Investment Return Assumption 7.50%
Valuation Mortality Table FRS Mortality - Regular Class
Note: As required in Section 112.664(1)(c) of the Florida Statutes, the projection of the Fund assets do
not include contributions from the Employer, Employee or State, which is contrary to Florida Statutes
and Plan provisions. For this reason, these projections should not be viewed as a representation of the
amount of time the Fund can sustain benefit payments. Under the GASB standards which DO include
contributions from the employer, employee and State, the Fund is expected to be able to sustain the
benefit payment demands in the near-term and long-term future.
Number of years for which current market value of assets are adequate to sustain
the payment of expected retirement benefits, reflecting no contributions from the
Employer, Employee or State, contrary to Florida Statutes and Plan provisions :
Miami Shores Village General Employees’ Retirement System
Chapter 112.664, F.S. Compliance Report
7
Asset and Benefit Payment Projection
Not Reflecting Any Contributions from the Employer, State or Employee
Using Assumptions required under 112.664(1)(b), F.S.
FYE
Market Value of
Assets (BOY)
Expected
Investment Return
Projected Benefit
Payments
Market Value of
Assets (EOY)
2018 13,141,846 702,615 734,044 13,110,417
2019 13,110,417 700,140 761,182 13,049,375
2020 13,049,375 694,341 849,983 12,893,733
2021 12,893,733 682,526 968,346 12,607,913
2022 12,607,913 666,693 972,437 12,302,169
2023 12,302,169 649,830 974,146 11,977,853
2024 11,977,853 632,394 959,549 11,650,698
2025 11,650,698 612,921 1,013,352 11,250,267
2026 11,250,267 590,709 1,020,217 10,820,759
2027 10,820,759 567,083 1,020,315 10,367,527
2028 10,367,527 542,164 1,019,999 9,889,692
2029 9,889,692 515,464 1,035,244 9,369,912
2030 9,369,912 486,003 1,066,987 8,788,928
2031 8,788,928 453,262 1,095,602 8,146,588
2032 8,146,588 418,351 1,080,402 7,484,537
2033 7,484,537 381,873 1,082,778 6,783,632
2034 6,783,632 343,491 1,076,688 6,050,435
2035 6,050,435 303,273 1,072,745 5,280,963
2036 5,280,963 261,749 1,043,779 4,498,933
2037 4,498,933 219,589 1,012,800 3,705,722
2038 3,705,722 176,459 994,750 2,887,431
2039 2,887,431 132,271 965,017 2,054,685
2040 2,054,685 87,085 942,645 1,199,125
2041 1,199,125 40,962 908,735 331,352
2042 331,352 - 887,540 -
2043 - - 867,359 -
24.33
Certain Key Assumptions
Valuation Investment Return Assumption 5.50%
Valuation Mortality Table FRS Mortality - Regular Class
Note: As required in Section 112.664(1)(c) of the Florida Statutes, the projection of the Fund assets do
not include contributions from the Employer, Employee or State, which is contrary to Florida Statutes
and Plan provisions. For this reason, these projections should not be viewed as a representation of the
amount of time the Fund can sustain benefit payments. Under the GASB standards which DO include
contributions from the employer, employee and State, the Fund is expected to be able to sustain the
benefit payment demands in the near-term and long-term future.
Number of years for which current market value of assets are adequate to sustain
the payment of expected retirement benefits, reflecting no contributions from the
Employer, Employee or State, contrary to Florida Statutes and Plan provisions :
Miami Shores Village General Employees’ Retirement System
Chapter 112.664, F.S. Compliance Report
8
Asset and Benefit Payment Projection
Not Reflecting Any Contributions from the Employer, State or Employee
Using Assumptions under 112.664(1)(b), F.S. except 2% higher investment return assumption
FYE
Market Value of
Assets (BOY)
Expected
Investment Return
Projected Benefit
Payments
Market Value of
Assets (EOY)
2018 13,141,846 1,213,608 734,044 13,621,410
2019 13,621,410 1,257,878 761,182 14,118,106
2020 14,118,106 1,300,846 849,983 14,568,969
2021 14,568,969 1,338,056 968,346 14,938,679
2022 14,938,679 1,372,984 972,437 15,339,226
2023 15,339,226 1,410,955 974,146 15,776,035
2024 15,776,035 1,453,145 959,549 16,269,631
2025 16,269,631 1,497,481 1,013,352 16,753,760
2026 16,753,760 1,543,147 1,020,217 17,276,690
2027 17,276,690 1,592,821 1,020,315 17,849,196
2028 17,849,196 1,647,224 1,019,999 18,476,421
2029 18,476,421 1,706,086 1,035,244 19,147,263
2030 19,147,263 1,768,308 1,066,987 19,848,584
2031 19,848,584 1,833,574 1,095,602 20,586,556
2032 20,586,556 1,904,404 1,080,402 21,410,558
2033 21,410,558 1,982,571 1,082,778 22,310,351
2034 22,310,351 2,068,341 1,076,688 23,302,004
2035 23,302,004 2,162,735 1,072,745 24,391,994
2036 24,391,994 2,267,660 1,043,779 25,615,875
2037 25,615,875 2,385,400 1,012,800 26,988,475
2038 26,988,475 2,516,655 994,750 28,510,380
2039 28,510,380 2,662,648 965,017 30,208,011
2040 30,208,011 2,824,985 942,645 32,090,351
2041 32,090,351 3,005,418 908,735 34,187,034
2042 34,187,034 3,205,610 887,540 36,505,104
2043 36,505,104 3,426,785 867,359 39,064,530
N/A
Certain Key Assumptions
Valuation Investment Return Assumption 9.50%
Valuation Mortality Table FRS Mortality - Regular Class
Note: As required in Section 112.664(1)(c) of the Florida Statutes, the projection of the Fund assets do
not include contributions from the Employer, Employee or State, which is contrary to Florida Statutes
and Plan provisions. For this reason, these projections should not be viewed as a representation of the
amount of time the Fund can sustain benefit payments. Under the GASB standards which DO include
contributions from the employer, employee and State, the Fund is expected to be able to sustain the
benefit payment demands in the near-term and long-term future.
Number of years for which current market value of assets are adequate to sustain
the payment of expected retirement benefits, reflecting no contributions from the
Employer, Employee or State, contrary to Florida Statutes and Plan provisions :
Miami Shores Village General Employees’ Retirement System
Chapter 112.664, F.S. Compliance Report
9
A.Valuation Date
B.Actuarially Determined Employer Contribution
(ADEC) to Be Paid During Fiscal Year Ending 9/30/2019 9/30/2019 9/30/2019 9/30/2019
C.Assumed Dates of Employer Contributions 12/31/2018 12/31/2018 12/31/2018 12/31/2018
D.Annual Payment to Amortize Unfunded
Actuarial Liability $159,088 $159,088 $451,634 $0
E.Employer Normal Cost 209,260 209,260 375,972 108,030
F.ADEC if Paid on Valuation Date: D + E 368,348 368,348 827,606 108,030
G.ADEC Adjusted for Contribution Timing 403,199 403,199 884,890 121,007
H.Covered Payroll for Contribution Year 3,363,931 3,363,931 3,363,931 3,363,931
I.ADEC as % of Covered Payroll
in Contribution Year: G ÷ H 11.99 %11.99 %26.31 %3.60 %
J. Expected Member Contributions (6.0%)201,836 201,836 201,836 201,836
K. Total Contribution (including Members) in
Contribution Year: G + J 605,035 605,035 1,086,726 322,843
L. Total Contribution as a % of covered
payroll in Contribution Year: K ÷ H 17.99 %17.99 %32.31 %9.60 %
M. Certain Key Assumptions
Investment return assumptionInvestment Return Assumption 7.50%7.50%5.50%9.50%
Mortality Table
Mortality Table
112.664(1)(b) F.S.
Assumptions
112.664(1)(a) F.S.
Assumptions
Plans Latest
Actuarial
Valuation
FRS Mortality -
Regular Class
FRS Mortality -
Regular Class
FRS Mortality -
Regular Class
FRS Mortality -
Regular Class
October 1, 2017
ACTUARIALLY DETERMINED EMPLOYER CONTRIBUTION (ADEC)
October 1, 2017 October 1, 2017October 1, 2017
112.664(1)(b) F.S.
except 2% higher
investment
return
assumption