Orange County Grand Jury
• 2014-2015
• Agency Response
Obligations - a Problem for Public Agencies?"*
⚠️ Aviso de traducción: Este contenido ha sido traducido automáticamente. El texto original en inglés es la versión oficial. La traducción puede contener errores.
⚠️ Este contenido ha sido traducido automáticamente. El texto original en inglés es la versión oficial. La traducción puede contener errores.
Findings and Recommendations 3 findings
F2
Grand Jury had not put aside funds in an irrevocable trust to help pay for the accrued actuarial liability of retiree healthcare costs in the future. This is an imprudent level of contribution.
Related Recommendations (1)
R2
The 21 agencies that have not contributed into an irrevocable trust fund to finance their retiree health obligations should begin to put aside monies to fund this obligation and reduce their unfunded public liabilities (F.2.)
F3
and Stanton were in compliance with the requirement to contribute a full 100% or more of their Annual Required Contribution in the FY 2012-13. The remaining 26 agencies were not in compliance. The City of Fullerton agrees with this finding. The City has not had City Response: the resources to contribute the full ARC the past several years. With the establishment of the Trust this year, the City will increase contributions towards the ARC. THE EDUCATION COMMUNITY 303 West Commonwealth Avenue, Fullerton, California 92832-1775 (714) 738-6311 • Fax (714) 738-6758 • [email protected] • www.cityoffullerton.com The Honorable Glenda Sanders Presiding Judge of the Superior Court September 17, 2015
Related Recommendations (1)
R3
The 26 agencies that are not recognizing the full amount of their Annual Required Contribution as expense in the current period and should comply with the requirement to do so. (F.3.) The City of Fullerton disagrees with this finding. The full ARC is
F4
benefits as part of employee compensation per GAAP standards.
Related Recommendations (1)
R4
All agencies surveyed should recognize retiree health care benefits in employee compensation in conformity with GAAP. (F.4.) The City of Fullerton partially disagrees with this finding. The City
* This report's PDF did not contain easily extractable text and required Optical Character Recognition (OCR) for analysis. There may be minor errors in the extracted findings and recommendations due to OCR limitations with scanned documents.