Impact
WARD: Ward
COMMITTEE: Human Resources
$ IMPACT: $1,602,911.83
Title
Approval of adjustment payment to Georgia Municipal Association in the amount of $1,602,911.83 to the Defined Benefit Plan and authorize Mayor to sign any related documents
Body
ISSUE: As a result of an internal audit of retiree benefit calculations conducted by the City, outside auditors and GMA, several retiree accounts were identified as receiving incorrect benefit payments, requiring the City to make an adjustment payment to the plan to cover the under/over payment (plus interest) due to the affected retirees and to the plan.
BACKGROUND: As a result of an internal audit of retiree benefit calculations conducted by the City, outside auditors and GMA, several retiree accounts were identified as receiving incorrect benefit payments, requiring the City to make an adjustment payment to the plan to cover the under/over payments (plus interest) due to the affected retirees and to the plan. 106 retirees (or beneficiaries) were or are currently underpaid, amounting to $1,507,084.91 and 32 retirees (or beneficiaries) were or are currently overpaid, amounting to $95,826.92. This will be paid from funds currently committed for retirement in the general fund's fund balance.
RECOMMENDATION/REQUESTED ACTION: Approval of adjustment payment to Georgia Municipal Association in the amount of $1,602,911.93 to the Defined Benefit Plan and authorize Mayor to sign any related documents