PSRS and PEERS Honored with National Public Pension Standards Awards for Excellence in Funding and Administration

PSRS and PEERS have been recognized for meeting and exceeding the Public Pension Coordinating Council’s (PPCC) standards for both funding and administration for 2024. This marks another year of continued excellence, with PSRS receiving the award every year since 2004, and PEERS since 2005.

"We're honored to be recognized once again by the PPCC," said Dearld Snider, executive director of PSRS/PEERS. "This recognition underscores our continued commitment to ensuring the financial strength and stability of the Retirement Systems for our members.”

To qualify for the Public Pension Standards Award for Funding, a retirement system must demonstrate funding adequacy by meeting at least one of the following criteria related to financial sustainability:

1. Funded Ratio: A retirement system is considered adequately funded if it reaches a funded ratio of 100%. As of June 30, 2024, PSRS was 87.2% funded and PEERS was 88.1% funded.
2. Contribution Rates: Systems must ensure that their contribution rates are at or above the Actuarially Determined Contribution (ADC) rate. Both PSRS and PEERS meet this requirement.
3. Funding Plan: A system must have a board-approved plan in place to achieve these funding goals within five years if they are not already met.

For the Public Pension Standards Award for Administration, a retirement system must meet five key areas of operational performance:

1. Comprehensive Benefits: The system must offer a wide range of benefits, including retirement, disability and death benefits, along with provisions for cost-of-living adjustments (COLAs).
2. Actuarial Valuation: An actuarial valuation must be completed at least biennially, adhering to generally accepted actuarial practices.
3. Independent Audit: The system must undergo an independent audit that meets government auditing standards, with an unqualified (clean) opinion.
4. Investment Practices: The system must follow a written investment policy, uphold fiduciary standards and receive an annual external investment performance review.
5. Member Communication: The system must regularly update members on plan benefits and changes; provide an annual benefit statement, handbook or summary plan description; and hold quarterly meetings of the governing board with public notice.

The PPCC, composed of the National Association of State Retirement Administrators (NASRA), the National Council on Teacher Retirement (NCTR) and the National Conference on Public Employee Retirement Systems (NCPERS), represents over 500 major pension plans across the United States. Collectively, these organizations serve more than 18 million public employees.