CAFR - Fairfax County Public Schools

educational employees’ supplementary Retirement system of fairfax county
Required Supplementary Information
Historical information is presented herein for
the most recent six fiscal years as required
supplementary information (RSI). This
information is intended to help users assess the
System’s funding status on a going-concern basis,
assess progress made in accumulating assets to
pay benefits when due, and make comparisons
with other public employee retirement systems.
Schedule of Employer Contributions
annual
Year ended Required Percentage
June 30 contribution contributed
2007 36,644,001 100%
2008 38,334,140 100%
2009 37,281,658 107%
2010 35,146,816 108%
2011 47,118,111 100%
2012 52,934,245 100%
Analysis of the dollar amounts of plan net
assets, actuarial accrued liability, and unfunded
actuarial accrued liability in isolation can be
misleading. Expressing plan net assets as a
percentage of the actuarial accrued liability
provides one indication of the System’s funding
status. Analysis of this percentage over time
indicates whether the system is becoming
financially stronger or weaker. Generally, the
greater this percentage, the stronger the system.
financial section 28
Trends in the unfunded actuarial accrued
liability and annual covered payroll are both
affected by inflation. Expressing the unfunded
actuarial accrued liability as a percentage of
annual covered payroll approximately adjusts for
the effects of inflation and aids in the analysis
of the System’s progress made in accumulating
sufficient assets to pay benefits when due.
Generally, the smaller the percentage, the
stronger the system.
The following Schedule of Funding Progress,
presented as RSI, shows multiyear trend
information which illustrates whether the
actuarial value of plan assets are increasing or
decreasing over time relative to the actuarial
accrued liability for benefits. As addressed
previously and as noted on the Schedule of
Funding Progress, ERFC has transitioned to
calendar year valuations. The most recent
valuation was effective December 31, 2011. This
transition to calendar year valuation was done in
order to provide a more current contribution rate
which could be included in the school system’s
Superintendent’s proposed budget and to provide
more accurate information to the actuary for the
annual valuation.