Other Post Employment Benefits (OPEB)

The purpose of this webpage is to share the District's approach to funding the OPEB Liability and report the progress toward the Board approved funding plan and goal.


The granting of post-employment retirement benefits, especially "life-time benefits" was very popular in the 70's and 80's. At that time employers did not understand the cost implications of these programs and, as such, did not make any special provision for their funding. When there became a greater awareness of the true costs of providing these benefits, a number of years had passed with districts having done nothing to set aside funds for these programs. Districts began paying more attention to this issue. Some moved to close off eligibility for such benefits. Actuarial studies became common place even before districts were mandated to do so. The studies told us not only how much the whole program should cost, but also how much we should already have saved for future costs. That is good information but didn't change the reality faced by the districts.

In 2006, the Governmental Accounting Standards Board (GASB) instituted a reporting requirement for all public agencies regarding the costs and liabilities associated with other post employment benefits (OPEB). The only retiree benefit that exists for the District, other than pension benefits, is health insurance. The District's first OPEB actuarial report was obtained in 2008 and was updated in May 2012. As additional studies are completed the typical results of each succeeding report reflects how much the debt has grown and how much further behind the district has fallen in terms of addressing this obligation.


Click chart to view enlarged .pdf. Charts are updated as new data becomes available. 


The chart illustrates the District's liability as of the May 2012 actuarial study and the board approved funding plan to save $21.1 million to off-set the annual increasing costs. The District will re-evaluate the funding plan after the 2016 Actuarial Study is performed.
This chart illustrates the District's planned and actual annual contributions to reach the $21.1 million required of the board approved funding plan.