The Board of Directors of the Board of Pensions approved a 2 percent experience apportionment for the Pension Plan, effective July 1.
At its meeting March 7, 2020, the Board of Directors of the Board of Pensions approved a 2 percent experience apportionment for the Pension Plan. The apportionment is effective July 1, 2020.
For retirees and survivors, an apportionment is an increase in their current pension benefit, expressed as a percentage of that benefit. For active and terminated vested members, an apportionment is an increase in pension credits accrued, expressed as a percentage of those credits.
Directors granted the apportionment in compliance with the Board of Pensions experience apportionment policy guidelines. The guidelines tie apportionments to the overall funded status of the plan, which was 123.8 percent at the close of 2019. They establish three goals:
The eighth in as many years, this apportionment results in an eight-year cumulative increase of 26.4 percent. In granting the apportionment, Directors recognized the continuing long-term performance of the Board of Pensions Balanced Investment Portfolio.
This article originally ran in The Board Bulletin Spring 2020.