What’s new

June 15, 2009 is the deadline to seek reimbursement for GASB 45 planning costs
School districts and charter schools have until June 15, 2009, to apply for nearly $7.3 million in reimbursement funds for preparing comprehensive plans to comply with tougher post-retirement benefit costs under Governmental Accounting Standards Board Statement 45. District plans must first be reviewed by county offices of education and submitted to the California Department of Education. COEs are also eligible for a share of $827,389 in reimbursement for reviewing the district plans. Don’t wait until next year. Start planning now. More information is available here.

Now available! Sample funding strategies (additional details below).

If you wait, it could cost your district more later

Are you one of the many California districts, community colleges or county offices that provide post-retirement health and welfare benefits? If the answer is yes, start planning now for the new Government Accounting Standards Board (GASB) accounting rules that will dramatically change the way your district accounts for the costs of post-employment benefits for employees. Although it may seem like your district has time to respond, the effective dates are right around the corner. If you are proactive in addressing the impact of GASB 45 by looking at funding and other options, your district can soften the financial impact in the future.

 CSBA is working with leading professional companies to provide your district/county office with a comprehensive one-stop GASB 45 Solutions program. With CSBA’s GASB 45 Solutions program, your district or county office will have access to:

• Respected and qualified actuaries to calculate the GASB 45 liability
• Respected and qualified consultants to recommend strategies to address the unfunded GASB 45 liability
• A GASB 45-compliant trust to pre-fund future obligations
• Nationally recognized trustee to safeguard and administer funds
• Year-round administrative and compliance support
• An investment oversight committee that will review performance of investment managers and results
• Broad selection of investment options, including equity and fixed income products
• Detailed investment and trust reports 

Sample funding strategies

CSBA recommends that boards adopt a written funding strategy for addressing their obligations for other postemployment benefits (OPEBs) and that this statement be incorporated into their management plan for financing OPEB and/or into board policy.  (In CSBA's Policy Update Service, long-term fiscal obligations are addressed in Board Policy 3100 - Budget as issued in 11/08.)

As a public service to CSBA and California districts, the Independent Actuaries of California have provided ten sample funding statements that provide a framework for district action. IAC assumes no legal responsibility for the use of these statements and encourages districts to consult legal counsel prior to adopting a funding strategy.

View GASB 45 Sample funding strategies.

More information