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INTERNAL SERVICE FUNDS Exhibit 36: Combining Statement of Net Position
CITY OF SUFFOLK, VIRGINIA NOTES TO REQUIRED SUPPLEMENTARY INFORMATION June 30, 2022
Notes to the Required Supplementary Information related to Pensions
Changes in Benefit terms
There have been no actuarially material changes to the System benefit provisions since the prior actuarial valuation.
Changes of assumptions
The actuarial assumptions used in the June 30, 2020, valuation were based on the results of an actuarial experience study for the period from July 1, 2016, through June 30, 2020, except the change in the discount rate, which was based on VRS Board action effective as of July 1, 2019. Change to the actuarial assumptions as a result of the experience study and VRS Board action are as allows:
General City and School Board (non-teacher) Employees: - Updated mortality rates to PUB2010 public sector mortality tables. For future mortality improvements, replace load with a modified Mortality Improvement Scale MP-2020. Public Safety Employees:
- Updated mortality rates to PUB2010 public sector mortality tales. Increased disability life expectancy. For future mortality improvements, replace load wit a modified Mortality Improvement Scale
MP-2020.
- Lowered retirement rates to better fit experience for Plan1; set separate rates based on experience for Plan2/Hybrid; changed final retirement age. - Adjusted withdrawal rates to better fit experience at each year age and service through 9 years of service. - Adjusted retirement rates to better fit experience and changed final retirement age from 65 to 70.
- Decreased withdrawal rates and changed from rates based on age and service to rates based on service only to better fit experience and to be more consistent with Locals Largest 10 Hazardous Duty. - No change to disability rates. - No change to disability rates. - No change to line of duty disability rates. - No change to line of disability rates.
- No change to discount rate of 6.75% - No change to discount rate of 6.75%.
School Board Teacher Retirement Plan Employees: - Update mortality rates to PUB2010 public sector mortality tables. For future mortality improvements, replace load with a modified Mortality Improvement Scale MP-2020. - Adjusted Retirement rates to better fit experience for Plan 1; set separate rates based on experience for Plan 2/Hybrid; changed final retirement age from 75 to 80 for all. - Adjusted withdrawal rates to better fit experience at each year age and service through 9 years of service. - No change in disability rates. - No change in discount rate of 6.75%
