§ 9-3-454 — Required determinations for recommended benefit increases

(a) In accordance with the findings specified in W.S.
9-3-453:
(i) All plans shall be managed to maintain their
actuarial funded ratio at or above one hundred percent (100%)
throughout the life of the plan. The actual funded ratio
recommended by the board shall provide for an appropriate margin
above this funding ratio to allow for market fluctuations above
the one hundred percent (100%) base;
(ii) No benefit changes, including cost-of-living
increases and changes to multipliers, shall be recommended for
implementation by the legislature unless the system’s actuaries
provide an opinion that the funded ratio of the plan will remain
above the funding level set out in paragraph (i) of this
subsection throughout the life of the benefit change;
(iii) Any analysis upon which a proposed benefit
change is proposed shall include a decision matrix which shall
include the following minimum elements:
(A) Consideration of the current actuarial value
in relation to current market value of assets;
(B) A fully amortized cost over the full
applicable term of the benefit increase;
(C) Current and expected actuarial funded ratios
with and without the increase;
(D) A review of assumptions made in determining
funded ratios and a review of anticipated funded ratios with
differing investment return assumptions;
(E) Recognition of potential effects of the
increase on plan participants' working and retirement periods;
(F) The potential isolation, by establishment of
separate accounts, of the liability incurred as a result of the
cost of living or other benefit increase;
(G) The appropriate level of actuarial funding
ratio above one hundred percent (100%) needed to buffer the plan
from market fluctuations.
(b) Nothing in this section shall affect the authority of
the board to grant a cost-of-living adjustment as authorized by
W.S. 15-5-204.