Fully funded annual pension liability
The City maintains an adequate pension funding level where net pension liability and asset value is 80% or greater. Pension liability is the difference between the total amount due to retirees and the actual amount of money the City has on hand to make those payments. Germantown is fully funded in all its pension liabilities, however, the City will be responsible for increasing fund contributions or adjusting investment strategies if the funding level falls below 80%.
Changes have been made to the investment strategies to bring the net pension liability and asset value to 80% or greater during fiscal year 2019.
Due to the information that is used to calculate the annual pension liability not being available, this measure will be updated at the end of the 1st quarter of fiscal year 2020.
ImpactThe City has a high impact on this measure.