Illinois Public Pension and OPEB Institute - Part I

Event Cost

Event Description

MEETS PUBLIC PENSION TRUSTEE CONTINUING EDUCATION REQUIREMENTS

AGENDA AND SPEAKERS

7:40–8:25AM              Registration & Continental Breakfast

8:25–8:30AM              Welcome and Overview

8:30–9:20AM              Illinois Pension Landscape & Moody’s Metrics
                                          Speakers:       Matt Butler, Vice President, Moody’s Investors Services and 
                                                                      David Levett, Assistant Vice President-Analyst,
                                                                       Moody’s Investors Services
The session will provide an overview of Moody’s pension metrics and pension landscape for Illinois local governments.
Learning Objectives: Participants completing this session will be able to:
1. Understand the constitutional and statutory landscape for IL pensions and how that compares with other states;
2. Learn how Moody’s analyzes local government pensions and calculates its adjusted net pension liability (ANPL);
3. Learn how Moody’s analyzes pension contributions to determine their sufficiency in addressing unfunded liabilities; and,
4. Understand how other credit factors mitigate or exacerbate credit challenges associated with unfunded pensions.

9:20 –10:10AM            Two Tier or Not Two Tier: So Many Questions?
                                            Speaker:    Allison Barret, Principal, Lauterbach & Amen, LLP
Understand the difference between a Tier I and Tier II member, and learn the difference between Tier I and Tier II as they relate to benefit calculations and pensionable salary.  Understand the new service purchase and transfer opportunities afforded to Article 3 and Article 4 members under Public Act 100-0544.
Learning Objectives: Participants completing this session will be able to:
1. Understand the definition of a Tier II member under Article 3 and Article 4;
2. Learn how to calculate the pensionable salary for a Tier I member and a Tier II member under Article 3 and Article 4;
3. Learn how to calculate pension benefits for a Tier I member and a Tier II member under Article 3 and Article 4; and,
4. Understand and calculate the transfers of service from Article 3 to Article 4 and from Article 4 to Article 6 under Public Act 100-0544.

10:10–10:20 AM          Morning Break

10:20–11:35 AM          Cyber Security
                                            Speakers:    Alex Brown,Senior Manager – Information Technology Consulting,
                                                                      Plante Moran and Natalie Schwarz, Consulting Manager –
                                                                      Management Consulting, Plante Moran
This session will provide an overview of IT security trends and events governments are facing in today’s environment. This presentation will also examine the rise in the number of security breaches within organizations, highlight security risks associated with the increase in demand from mobile devices, social media, and cloud computing, and review the process for setting up an Information Security Program to address security risks and increasing data demands.  
Learning Objectives: Participants completing this session will be able to:
1. Gain a basic understanding of technology threats organizations face in today’s environment with the increase in demand for new and emerging technology;
2. Identify best practice tips for setting up an Information Security Program to address security risks and increasing data demands; and, 
3. Gain an understanding of the framework elements required to build an effective Information Security Program.

11:35 AM –12:10PM   Legislative Update
                                            Speaker:    William McCarty, Director – Office of Budget & Management,
                                                                    City of Springfield and IGFOA  Executive Board Member
                                                                     and IGFOA Legislative Committee Chair.
This session will provide insight about current legislative issues and concerns related to pension reform, efforts to consolidate funds, and the status of the proposed property tax freeze as it relates to pension levies.
Learning Objectives: Participants completing this session will be able to:
1. Understand the views held by state legislators on pension reform and how an eventual agreement may affect local governments and pension boards;
2. Explore recent developments in proposed pension reform legislation; and,
3. Understand the key provisions of proposed property tax freeze legislation and how those provisions could impact pension levies. 

12:10–12:50 PM             Networking Luncheon

12:50–1:40PM                 IMRF Update
                                               Speaker:    Mark Nannini, Chief Financial Officer,
                                                                        Illinois Municipal Retirement Fund (IMRF)
The Illinois Municipal Retirement Fund (IMRF) is the administrator of an agent multiple-employer public retirement system that provides retirement, death, and disability benefits to employees of local governments in Illinois. IMRF is governed by Article 7 of the Illinois Pension Code (940 ILCS 5). This session will review IMRF operations, provide a general overview of important topics impacting pension fund operations, funding, and benefits, and include a discussion on the impact of recent legislation.
Learning Objectives: Participants completing this session will be able to:
1. Understand the operations and funding of IMRF;
2. Learn about employers’ participation in IMRF; and, 
3. Obtain a working knowledge of IMRF, staff assistance, and the impact of recent legislation.

1:40–2:30PM                 Funding Decisions: Impact of Tier II & Impact of Amortization Basis Decisions
                                             Speaker:    Kathy Manning, Managing Principal, MWM Consulting Group
This session will review the financial impact the benefit modifications of Tier II will have upon projected plan liabilities and annual contribution requirements.   The session will also include long-term forecasts illustrating the annual liabilities of Tier I and Tier II members and the timing regarding expectations for reduced contributions associated with the benefits change. Finally, the session will illustrate the impact upon funded ratios, unfunded liabilities, and projected contribution requirements associated with various amortization basis decisions. 
Learning Objectives: Participants completing this session will be able to:
1. Gain a “feel” for the evolution of future liabilities and expected cost reductions associated with TIER II benefits;
2. Understand the mechanics of amortization basis methods and their long-term implications; and,
3. Have a conceptual framework for reference in the development of funding policies with Boards, management, and actuaries.

2:30–2:50PM         Afternoon Break 

2:50–3:40PM         A New Approach to Public Safety Pension Funding
                                    Speaker:    Elizabeth Holleb, Director of Finance & IT, City of Lake Forest
This session presents a case study examining changes made to an Illinois municipality’s approach to funding its police and fire pension fund obligations.  A pension subcommittee consisting of the City’s Finance Director, City Manager, City Council Finance Committee Chair, and another Alderman worked with the City’s independent actuary to examine alternative approaches in an effort to mitigate the 8-9% annual increase in funding requirements.
Learning Objectives: Participants completing this session will be able to:
1. Identify key assumptions impacting annual pension funding requirements;
2. Consider alternative approaches to funding public safety pensions; and,
3. Assess important considerations in examining alternative funding approaches. 

3:40–4:30PM         Police & Fire Pension Fund Consolidation
                                     Speaker:    Dan Ryan, Project Coordinator,
                                                             Illinois Public Pension Fund Association (IPPFA)
The session will provide an overview of Illinois Article 3/4 pension plans, the main arguments for consolidation into a statewide system, factors to be considered before a consolidation decision is made, and a discussion of ways to improve cost and performance regardless of a decision to consolidate.
Learning Objectives:  Participants completing this session should be able to:
1. Understand what is meant by pension fund consolidation;
2. Learn about the pros and cons of pension fund consolidation;
3. Be prepared to advise local or state officials and citizens on pension fund consolidation issues; and,
4. Undertake local action or support state legislation to improve pension fund cost-effective operations.

4:30PM     Closing Remarks

Learning Objectives - Participants completing this Institute will be able to: Review Here

Seminar description:

Intended Audience:  Finance Directors, Managers, Administrators, Accountants, Assistant Managers, Assistant Finance Directors, Pension Board Trustees, and professional staff and officials interested in local government pension issues. 

Delivery Method: Group-Live
Program Level: Overview
Prerequisites: No prerequisites required
Advanced Preparation: No advanced preparation required
Field of Study: Accounting (Governmental), Finance
Earn About 8.0 CPE credit

IGFOA reserves the right to modify the agendas and/or speakers, cancel the trainings due to low enrollment, or to close registration if full.