TO: Non-Participating School Boards
FROM: Howard Van Mersbergen, Executive Secretary-Treasurer
An Actuarial Valuation as of September 1, 1997, shows that the Plan remains fully funded. As of the valuation, the Plan had a surplus of $1,422,500 generated by the actuarial adjusted asset value of $60,411,600 exceeding the accrued liability of $58,989,100.
The Trustees and CSI Board of Directors have approved the following changes:
1. Final Average Earnings Calculation Date
Effective September 1, 1997, the date up to which the Plan recognizes earnings for the calculation of an individual’s Final Average Earnings was moved from September 1, 1999, to September 1, 2000. The goal is to always have this date be in the future so that all of an individual’s earnings are used in calculating the Final Average Earnings.
2. Election of an Optional Form of Retirement Benefit
The Plan was recently amended deleting the requirement that an election of an optional form of retirement benefit must be made one year in advance. The one year advance election could be waived if the participant submitted evidence of good health. The election of an optional form of retirement benefit can now be made any time prior to the first of the month in which payments are to begin.