On March 12, 2013 the Employees Retirement System Board of Trustees meeting was held. At the meeting the Trustees we were given the June 30, 2012 Actuarial Valuation Presentation. The presentation is given annually and is an overview of the performance of the plan on a Fiscal Year basis (July 1, 2011 – June 30, 2012).
The Trustees were also provided with a report on the PRIF (the account that provides for COLA’s). Retiree COLA’s are calculated on the plan’s performance on a calendar year basis January1, 2012 -December31, 2012). Based on the performance of the plan on a calendar year basis, there were no excess earnings to transfer into the PRIF . The increase in the CPI-U for the year was 1.7%. The current balance in the PRIF was not sufficient to cover the estimated cost of a 1% COLA. Therefore, no COLA increase will be provided on July 1, 2013.