Sarasota County Comprehensive Annual Financial Report 2020

Sarasota County, Florida Schedule of Changes in the Sheriff's Net OPEB Liability and Related Ratios For the Year Ended September 30, 2020 2019 2020 Total OPEB Liability Changes for the Year: Service Cost $ 330,269 $ 566,526 Interest 238,079 261,758 Changes of Benefit Term 8,131,607 - Changes in Assumptions and Other Inputs 852,948 (230,916) Benefit Payments (347,354) (507,222) Net Change in Total OPEB Liability 9,205,549 90,146 Total OPEB Liability - Beginning - 9,205,549 Total OPEB Liability - Ending (a) $ 9,205,549 $ 9,295,695 Covered employee payroll $ 56,692,000 $ 66,835,592 Total OPEB liability as a percentage of covered employee payroll 16.24% 13.91% Notes to Schedule: Assumption Changes: The discount rate was changed from 2.75%, as of the beginning of the measurement period, to 2.41% as of September 30, 2020 (based on the Long-Term Municipal Bond rate). Demographic assumptions were changed to those employed in the July 1, 2018 actuarial valuation of the Florida Retirement System (FRS) Defined Benefit Pension Plan. The assumptions changed include rates of termination, retirement, disability, mortality and salary scale. Age rating factors changed to those used in the study published (June 2013) in Health Care Costs from Birth to Death, sponsored by the Society of Actuaries and authored by Mr. Dale H. Yamamoto. The assumed healthcare cost trend was changed to the Getzen model. Note: Information is required to be presented for 10 years. However, until a full 10-year trend is compiled, the County will present information for only those years for which information is available. Note: Effective January 1, 2019, the Sheriff established a fully-insured group health plan intended to provide medical and prescription benefits to current and retired employees of the Sheriff. Prior to January 1, 2019, employees and retirees were covered under the County’s comprehensive health plan. Furthermore, it was determined that assets accumulating in the trust vehicle administered by the County are not available to pay post-employment benefits of the Sheriff’s retirees. As such, benefits provided to Sheriff’s retirees are considered to constitute a separate unfunded OPEB plan. 151