The City of Rowlett is a member of Texas Municipal Retirement System (TMRS), a statewide, multiple employer agent plan. In an agent plan, each participating government's pension is centrally administered and governed by state statutes, but the assets and related pension liabilities for each government are accounted for separately, and any unfunded liabilities are solely the obligation of that government. Benefit options are adopted by the governing body of the City, within the options available in the state statutes governing TMRS. Rowlett's plan provisions in effect as of April 1, 2022 were as follows:
|Employee Contribution Rate
||7% of pay
|Matching Ratio (City to Member)
||2 : 1
|Years Required for Vesting||5|
|Retirement Eligibility (Age/Service)||60/5, 0/20|
|Updated Service Credit||100% Repeating Transfers
|Retiree Cost of Living Adjustment||50% of CPI Repeating
|Supplemental Death Benefits (both active members & retirees)
Upon retirement, the employee’s account balance including interest is combined with the employer match to price a lifetime annuity based on the employee’s age at retirement.
At the December 31, 2021 valuation and measurement date, the following employees were covered by the benefit terms:
|Inactive employees or beneficiaries currently receiving benefits||
|Inactive employees entitled to but not yet receiving benefits||
At the December 31, 2021 valuation and measurement date, the pension summary is as follows:
|Amortization Period (years)||19.9|
|One Year Rate of Return (1)||12.86%|
|Three Year Rate of Return (1)||12.08%|
|Ten Year Rate of Return (1)||
|Current Assumed Rate of Return||6.75%|
|Actuarially Determined Contribution Rate, Contributions for Calendar Year 2022||
|Actuarially Determined Contribution Rate, Contributions for Calendar Year 2023||13.09%|
|Total Contribution Rate, Contributions for Calendar Year 2022||13.11%|
|Total Contribution Rate, Contributions for Calendar Year 2023||13.09%|
|Unfunded Actuarial Accrued Liability as a % of Covered Payroll||50.83%|
Actuarial valuations are produced by TMRS on a calendar year basis and used to determine the amount that, when combined with investment ratings, should be consistently deposited into a retirement fund to ensure sufficient funds to pay promised benefits in full and over the long term. Because the City operates on a fiscal year ending 9/30, valuations for a given year are used in the following year’s City Annual Comprehensive Financial Report. For example, the 2021 valuation was produced during the City’s 2022 fiscal year and was used in preparing the City’s 2022 Annual Report. The 2021 valuation also set the contribution rate for use in calendar year 2023 and shows the plan’s funding progress. Contribution rates are more easily seen in the Rate Letters provided to the City by TMRS each year.
*Due to a change in GASB reporting requirements, the 2014 GASB 68 Valuation Reporting Package, released in 2015, was the first year this report was produced.
The Annual Comprehensive Financial Report is TMRS's official annual financial statements and is prepared according to Generally Accepted Accounting Principles. Each report provides comprehensive financial information including statement of fiduciary net position and changes in fiduciary net position.
2021 TMRS Annual Comprehensive Financial Report
2020 TMRS Annual Comprehensive Financial Report
2019 TMRS Annual Comprehensive Financial Report
2018 TMRS Annual Comprehensive Financial Report
2017 TMRS Annual Comprehensive Financial Report
The Schedule of Changes in Fiduciary Net Position is TMRS's report detailing the additions to cities' pension funds by source, such as investment income, employer and employee contributions, and deductions by use, such as benefit payments, withdrawals, and administrative expenses. The complete reports from TMRS are shown below with page references to Rowlett-specific information; this downloadable table summarizes Rowlett's changes in fiduciary net position over the last five years.2021 Schedule of Changes in Fiduciary Net Position (pages 44-45)
2020 Schedule of Changes in Fiduciary Net Position (pages 48-49)
2019 Schedule of Changes in Fiduciary Net Position (pages 42-43)
2018 Schedule of Changes in Fiduciary Net Position (pages 42-43)
2017 Schedule of Changes in Fiduciary Net Position (pages 40-41)
Search for details on state and local pension plans in Texas.
Review all statements issued by GASB . Pronouncements are intended as a general reference to the GASB accounting standards.