Presentation Headline GASB 68 Pension Disclosures for PSRS/PEERS Employers 1

Presenters Anita Brand, CPA – Chief Financial Officer Jeff Russler – Director Employer Services 2

GASB 68 Ultimate Goal To insure PSRS/PEERS employers had the required information to comply with GASB 68 as of June 30, 2015 and beyond. Employers with a fiscal year end of June 30 implemented GASB 68 for the year ended June 30, Process was time intensive for all parties. Value-add to PSRS/PEERS and employers. Cooperation from the employers was fantastic. Lessons learned to improve the process going forward. 3

GASB 68 Implementation Impact on financial statements and required disclosures Proportionate share of Net Pension Liability Proportionate share of total pension expense and deferred inflows/outflows No changes in calculation of contribution rate Expanded disclosures Required Supplementary Information 4

Responsible Parties PSRS/PEERSEmployersPriceWaterhouseCoopers – PSRS/PEERS actuary Williams-Keepers, LLC, PSRS/PEERS Independent Auditor 5

Responsible Parties 6 Preparation of the following : Audited Schedule of Employer Allocations Audited Schedule of Pension Amounts by Employer Sample footnote disclosures Anticipate combing the PSRS/PEERS disclosures into one. Expected to be ready for distribution by calendar year end. Feedback on format/content from employers and employer auditors? PSRS/PEERS

Responsible Parties 7 Employers are solely responsible for their financial statements Reconciliation of payroll system to census data submitted to PSRS/PEERS Employer auditors Responsible for the employers’ audit opinion Determining sufficiency of audit evidence Employer Responsibilities

Responsible Parties PriceWaterhouseCoopers, Actuary Calculation of proportionate share Preparation of the Schedules of Employer Allocations and Pension Amounts by Employer Maintenance of deferred inflows/outflows and amortization Williams-Keepers, LLC, Independent Auditors Opining on the Schedules of Employer Allocations and Pension Amounts by Employer 8

Current Year Employer Procedures GASB Reconciliation – requires each employer to reconcile retirement salary as reported to PSRS/PEERS to taxable salary as reported to the IRS via the employers quarterly Form 941s. GASB Questionnaires – designed to gain an understanding of how each employer reports data to PSRS/PEERS and determines retirement eligibility and salary. PSRS/PEERS may have follow up questions based on our review. PSRS/PEERS reviews census data on site each year for a sample of employers. Continue to modify based on “lessons learned.” 9

GASB Timeline GASB Reconciliation and Questionnaire – will be provided to employers in October and November of each year. PSRS/PEERS actuary report and annual audit report are completed at the end of October. PSRS/PEERS reviews all GASB information and coordinates information with PWC and Williams-Keepers. Completion of audited employer schedules is expected in December Distribution of audited employer schedules and related sample disclosures are expected by calendar year end

Q&A 11