HomeMy WebLinkAboutAGENDA REPORT 2025 0507 CC REG ITEM 10DCITY OF MOORPARK, CALIFORNIA
City Council Meeting
of May 7, 2025
ACTION ADOPTED RESOLUTION NO.
2025-4313. (ROLL CALL VOTE:
UNANIMOUS)
BY A. Hurtado.
D. Consider Resolution Amending the Fiscal Year (FY) 2024/25 Budget to
Appropriate Three Million Five Hundred Thousand Dollars ($3.5M) to Pay Down
the City’s California Public Employee Retirement System (CalPERS) Pension Plan
Unfunded Liability. Staff Recommendation: Adopt Resolution No. 2025-4313
amending Fiscal Year 2024/25 Budget in the amount of $3,500,000 to pay down
the City’s CalPERS Pension Plan Unfunded Liability. (Staff: Hiromi Dever,
Finance Director) (ROLL CALL VOTE REQUIRED)
Item: 10.D
MOORPARK CITY COUNCIL
AGENDA REPORT
TO: Honorable City Council
FROM: Hiromi Dever, Finance Director
DATE: 05/07/2025 Regular Meeting
SUBJECT: Consider Resolution Amending the Fiscal Year (FY) 2024/25 Budget to
Appropriate Three Million Five Hundred Thousand Dollars ($3.5M) to
Pay Down the City’s California Public Employee Retirement System
(CalPERS) Pension Plan Unfunded Liability
BACKGROUND
The City contracts with the California Public Employees Retirement System (CalPERS)
to provide pension benefits to City employees. Each year, CalPERS issues an actuarial
valuation report that establishes the minimum required contributions for the following
fiscal year. The report is typically released one year behind in August, one year after the
close of the applicable fiscal year. The one-year delay allows sufficient time to gather,
verify, and analyze all the necessary data from all participating agencies. The most recent
report, issued in August 2024 with a valuation date of June 30, 2023, details the City’s
Unfunded Accrued Liability (UAL) at $5,599,159 for Classic Plan (employees became
members of CalPERS prior to January 1, 2013, and no laps in employment) and $245,352
for those employees covered under the Public Employee Pension Reform Act (PEPRA)
Plan (employees became members of CalPERS on or after January 1, 2013). This
increase is primarily due to poor investment performance by CalPERS. The discount rate
of 6.8 percent represents the assumed long-term rate of return used on CalPERS
investment assumptions. According to the Annual Investment Report for FY 2021/22, the
CalPERS Public Employees’ Retirement Fund posted a return of -6.1 percent, falling short
of the target by 12.9 percent. This shortfall negatively impacting UAL levels across
agencies and resulting in higher employer contributions in future years. Additionally,
inflation during the period between the valuation date and the release of the report
exceeded the expected long-term rate of 2.3% per annum. Elevated inflation contributes
to larger anticipated future benefit payouts, further increasing UAL.
Item: 10.D.
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Honorable City Council
05/07/2025 Regular Meeting
Page 2
On February 16, 2022, the City Council adopted Council Policy Resolution No. 2022-4076
which established the following priorities for allocating any remaining General Fund
unassigned fund balance:
1. Increase the fund balance of the Emergency/Contingency Reserve to 20% of the
subsequent fiscal year’s adopted budget expenditures;
2. If needed, to reserve or replenish General Fund Economic Uncertainty to
$1 million;
3. If needed, to reserve or replenish General Fund unassigned fund balance to
$1 million,
4. To pay down UALs, if any, with respect to the City’s pension plans in an effort to
maintain a minimum of 95% funding;
5. To pay down UALs, if any, with respect to the City’s Other Post-Employment
Benefits (OPEB) plan in an effort to maintain a minimum of 95% funding.
Consistent with City Council Policy, staff is requesting the City Council consider making
an additional discretionary contribution of $3.5 million to CalPERS to help reduce the
City’s pension UAL.
DISCUSSION
During the fiscal year closing process for June 30,2024, staff utilized the most recent
actuarial report from CalPERS (valuation date of June 30, 2022) and determined that a
one-time contribution of $3.5 million ($3,345,000 to Classic, $155,000 to PEPRA) would
bring the City’s UAL to the desired funded ratio of 95%. This amount would be funded
using a combination of partial remaining fund from General Fund from FY 2023/24 and
additional available funding from the FY 2024/25 budget. Since that determination,
CalPERS released the updated actuarial report with a valuation date of June 30, 2023,
which shows increased UAL balances for both plans.
Funded Status
As of June 30, 2023, the funded status of the City’s pension plan for Classic Plan using
the market value of assets is 87.7%. The Entry Age Accrued Liability – which represents
the present value of benefits earned to date and is calculated by spreading costs from the
age in which participants entered the system - is estimated at $45.4 million; while the
market value of assets is $39.8 million; resulting in a UAL of $5.6 million. To achieve a
funded ratios of 95%, one time contribution of $3.74 million is required. Previously
calculated contribution of $3.345 will bring the City to a 94.2% funded ratio.
For the City’s PEPRA Plan, the funded statis is 86.8%. The Entry Age Accrued Liability
is estimated at $1.86 million, while the market value of assets is $1.62 million, resulting
in a UAL of $245,352. To reach and maintain a funded ratio of 95%, a one-time
contribution of at least $152,231 is needed. The planned contribution of $155,000 will
bring this plan to 95.1% funded ratio.
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Honorable City Council
05/07/2025 Regular Meeting
Page 3
Employer Normal Cost
The City’s employer normal cost for the Classic Plan will increase by 0.06%, from 11.88%
in FY 2024/25 to 11.94% for FY 2025/26 and is estimated to remain at this rate. The
normal cost contributions are paid with each payroll. Normal costs for employees under
PEPRA Plans are shared between employees and employers. The employer normal
cost rate for the PEPRA Plan is currently at 7.96%, while employee contribution rate is at
7.75%.
Unfunded Accrued Liability – Classic Plan
As of June 30, 2023, the City’s UAL for Classic members is $5.6 million and is estimated
to increase to $6.2 million. For FY 2025/26, CalPERS requires a minimum UAL
contribution of $324,005, payable in equal monthly installments of $27,000.42. The City
has the option to prepay the contribution at $313,521 in July 2025; saving $10,484. If a
$3.345 million pay down of $3.345 million is approved, the minimum contribution would
decrease to $185,557 with option to prepay $179,553 in July 2025, yielding additional
savings of $6,004.
Unfunded Accrued Liability – PEPRA Plan
Similarly, for the PEPRA Plan, the UAL as of June 30, 2023, is $245,352. The FY 2025/26
required minimum contribution is $13,656, payable in equal monthly installments of
$1,138. The City has the option to prepay the contribution amount at $13,214 in July
2025; saving $442. If $155,000 pay down is approved, the minimum contribution amount
would be reduced to $7,007.
Amortization Schedule – Classic Plan
The table below shows the City’s current UAL payment schedule for the Classic Plan,
based on a 20-year amortization period. Under the current schedule, annual payments
are projected to increase over the next four years, reaching $623,890 by June 2029. Over
the full 20-year period, the total payments will amount to $11.3 million, which includes
$5.1 million in interest costs. This growing financial obligation will negatively impact the
availability of funds for future operation and capital improvement projects.
An additional discretionary payment of $3,345,000 would significantly reduce the City’s
annual payments to $293,015, resulting in total interest savings of approximately
$2,784,354. The estimated General Fund savings would be approximately $1.67 million,
with savings to all other funds totaling $1.11 million.
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Honorable City Council
05/07/2025 Regular Meeting
Page 4
Amortization Schedule – PEPRA Plan
The table below shows the City’s UAL payments for the PEPRA Plan in a 20-year
amortization schedule. The annual payments continue to increase for the next four years,
until June 2029, to $27,523. Total payment over 20 years will be $498,931, which
includes $225,457 in interest payments. The additional discretionary payment of
$155,000 would reduce annual payments down to $12,028, reducing the total interest
payment drastically by $129,826.
The estimated General Fund savings would be approximately $77,900.
Total Payments:11,345,014$ Total Payments: 8,560,661$
Total Interest:5,117,923$ Total Interest:2,333,570$
Projected Projected
FY UAL Balance Payments UAL Balance Payments Funded Ratio Employer NC%
2025 - 26 6,227,091$ 324,005$ 2,851,222$ 117,206$ 94.2% 11.94%
2026 - 27 6,315,693$ 421,852$ 2,923,980$ 175,809$ 94.3% 11.94%
2027 - 28 6,309,200$ 519,702$ 2,941,123$ 234,412$ 94.6% 11.94%
2028 - 29 6,201,143$ 617,550$ 2,898,869$ 293,015$ 95.0% 11.94%
2029 - 30 5,984,619$ 623,890$ 2,793,179$ 293,015$ 95.4% 11.94%
2030 - 31 5,746,820$ 623,890$ 2,680,302$ 293,015$ 95.7% 11.94%
2031 - 32 5,492,850$ 623,888$ 2,559,749$ 293,015$ 96.1% 11.94%
2032 - 33 5,221,612$ 623,888$ 2,430,999$ 293,015$ 96.4% 11.94%
2033 - 34 4,931,930$ 623,891$ 2,293,494$ 293,015$ 96.8% 11.94%
2034 - 35 4,622,547$ 623,890$ 2,146,638$ 293,015$ 97.1% 11.94%
2035 - 36 4,292,126$ 623,890$ 1,989,796$ 293,015$ 97.5% 11.94%
2036 - 37 3,939,237$ 623,889$ 1,822,289$ 293,015$ 97.8% 11.94%
2037 - 38 3,562,352$ 623,889$ 1,643,391$ 293,015$ 98.1% 11.94%
2038 - 39 3,159,839$ 623,890$ 1,452,328$ 293,015$ 98.5% 11.94%
2039 - 40 2,729,953$ 623,888$ 1,248,273$ 293,015$ 98.8% 11.94%
2040 - 41 2,270,839$ 623,891$ 1,030,342$ 293,015$ 99.1% 11.94%
2041 - 42 1,780,501$ 623,889$ 797,592$ 293,015$ 99.4% 11.94%
2042 - 43 1,256,822$ 623,890$ 549,015$ 293,015$ 99.7% 11.94%
2043 - 44 697,533$ 623,890$ 283,535$ 293,015$ 100.0% 11.94%
2044 - 45 100,211$ 103,562$ -$ -$ 100.0% 11.94%
2,784,354$
Current UAL Schedule Altered UAL Schedule
Total Savings
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Honorable City Council
05/07/2025 Regular Meeting
Page 5
Conclusion
Each year CalPERS produces an actuarial report for the City’s pension plan, which
identifies either a shortfall (unfunded liability) or a surplus (excess reserves). Based on
the results, the City may choose to make additional discretionary payments to pay down
any unfunded accrued liability that arises.
FISCAL IMPACT
The $3,500,000 in appropriation will pay down the City’s pension plan unfunded liability.
The cost to the General Fund is $3,292,350 and the remaining $207,650 will be distributed
over various funds. The cost to the other funds is $707,454.
The total savings to the budget in FY 2025/26 is approximately $140,000 ($84,000 to
General Fund and $56,000 to all other funds).
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Honorable City Council
05/07/2025 Regular Meeting
Page 6
The estimated total savings over the next 20 years for the Classic Plan is $2,784,354,
comprising approximately $1.67 million in General Fund savings and $1.1 million from all
other funds, with an average annual savings of $306,468. For the PEPRA Plan, the
estimated 20-year savings is $129,826, including approximately $77,896 in General Fund
savings and $51,930 from all other funds, with an average annual savings of $14,241.
STAFF RECOMMENDATION (ROLL CALL VOTE REQUIRED)
Adopt Resolution No. 2025-____ amending Fiscal Year 2024/25 Budget in the amount of
$3,500,000 to pay down the City’s CalPERS Pension Plan Unfunded Liability.
Attachment 1: Draft Resolution No. 2025-____
Attachment 2: CalPERS - Miscellaneous Plan of the City of Moorpark, Annual Valuation
Report for Classic Plan as of June 30, 2023
Attachment 3: CalPERS - Miscellaneous Plan of the City of Moorpark, Annual Valuation
Report for PEPRA Plan as of June 30, 2023
53
ATTACHMENT 1
RESOLUTION NO. 2025-____
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
MOORPARK, CALIFORNIA, AMENDING THE FISCAL YEAR
2024/25 OPERATING BUDGET TO INCREASE
APPROPRIATION IN THE AMOUNT OF $3,500,000 TO PAY
DOWN THE CITY’S CALIFORNIA EMPLOYEES RETIREMENT
SYSTEM (CALPERS) PENSION PLAN UNFUNDED ACCRUED
LIABILITY
WHEREAS, on June 19, 2024, the City Council adopted the Operating and Capital
Improvement Budget for Fiscal Year (FY) 2024/25; and
WHEREAS, on February 16, 2022, the City Council adopted Council Policy
Resolution No. 2022-4076 which established the following priorities for allocating any
remaining General Fund unassigned fund balance under Policy 5.2, Fund Balance
Reserve section:
(1) Increase the fund balance of the Emergency/Contingency Reserve to 20% of the
subsequent fiscal year’s adopted budget expenditures;
(2) If needed, to reserve or replenish General Fund Economic Uncertainty to
$1 million;
(3) If needed, to reserve or replenish General Fund unassigned fund balance to
$1 million,
(4) To pay down UALs, if any, with respect to the City’s pension plans in an effort to
maintain a minimum of 95% funding;
(5) To pay down UALs, if any, with respect to the City’s Other Post-Employment
Benefits (OPEB) plan in an effort to maintain a minimum of 95% funding.
WHEREAS, on May 16, 2022, the City Council rescinded Resolution No. 2022-
4076 and adopted City Council Policy Resolution No. 2022-4097. The Policy 5.2, Fund
Balance Reserve, remains unchanged from the prior resolution; and
WHEREAS, a General Fund surplus of $2,900,000 from FY 2023/24 has been set
aside to pay down California Public Employees Retirement System (CalPERS) unfunded
accrued liability in accordance with City Council Policy Resolution No. 2022-4097; and
WHEREAS, a staff report has been presented to the Council providing the cost to
pay down the City’s pension plans’ unfunded accrued liability by $3,500,000; and
WHEREAS, Exhibit “A” hereof describes said budget amendments and the
resultant impact to the budget line items.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF MOORPARK DOES
HEREBY RESOLVE AS FOLLOWS:
54
Resolution No. 2025-____
Page 2
SECTION 1. A budget amendment appropriating in the aggregate increase of
$3,500,000 for FY 2024/25, more particularly described in Exhibit “A” attached hereto, is
hereby approved.
SECTION 2. The City Clerk shall certify to the adoption of this resolution and shall
cause a certified resolution to be filed in the book of original resolutions.
PASSED AND ADOPTED this 7th day of May, 2025.
Chris R. Enegren, Mayor
ATTEST:
_________________________________
Ky Spangler, City Clerk
Attachment: Exhibit “A” – Budget Amendment
55
FUND BALANCE ALLOCATION:
Fund Title Unassigned Fund Bal Revision Amended Balance
GENERAL FUND (1000)5,047,289.83$ (3,292,350.00)$ 1,754,939.83$
LIBRARY OPERATING FUND (1010)2,090,765.75 (11,000.00) 2,079,765.75
TRAFFIC SAFETY FUND (2000)8,928.67 (5,500.00) 3,428.67
TRAFFIC SYSTM MGMT FUND (2001)1,496,146.47 (2,800.00) 1,493,346.47
ART IN PUBLIC PLACES (2007)3,861,361.97 (5,750.00) 3,855,611.97
CITY AFFORDABLE HOUSING (2121)3,336,701.84 (15,550.00) 3,321,151.84
COMMUNITY DEVELOPMENT (2200)117,921.96 (60,200.00) 57,721.96
ENGINEERING/PW FUND (2205)90,930.00 (12,250.00) 78,680.00
AD 84-2 CITYWIDE LLMD (2300)(205,763.87) (1,200.00) (206,963.87)
84-2 PECAN AVE T2851 (2301) (18,269.00) (200.00) (18,469.00)
84-2 STEEPLE HILL T2865 (2302) 74,330.80 (450.00) 73,880.80
84-2 WILLIAMS RANCH T3274 (2304) 478.38 (50.00) 428.38
84-2 PHEASANT T3019/3525 (2305) (74,963.00) (600.00) (75,563.00)
84-2 LA AVE & GABBERT RD (2307) 11,758.52 (100.00) 11,658.52
84-2 HOMES ACRES BUFFER (2308) (17,626.00) (200.00) (17,826.00)
84-2 CONDOR DRIVE (2309) (6,696.00) (50.00) (6,746.00)
84-2 MTN MEADOWS PC3 (2310) 29,971.58 (2,500.00) 27,471.58
84-2 CARLSBERG (2312) 606,508.90 (1,500.00) 605,008.90
SILVER OAK LN (2314) (4,293.00) (50.00) (4,343.00)
COUNTRY CLUB ESTATES (2315) 1,024,507.09 (1,450.00) 1,023,057.09
MOUNTAIN VIEW (2316) 20,396.76 (50.00) 20,346.76
MOONSONG CT (2318) 74,286.13 (50.00) 74,236.13
CAMPUS PLAZA (2319) 79,879.13 (50.00) 79,829.13
MERIDIAN HILLS (2320) 621,997.81 (3,600.00) 618,397.81
MOORPARK HIGHLANDS (2322) 1,310,480.91 (5,750.00) 1,304,730.91
PARK MAINTENANCE DISTRICT (2390) (12,508.41) (22,050.00) (34,558.41)
SOLID WASTE AB939 (2410) 1,547,590.38 (16,350.00) 1,531,240.38
LOCAL TDA ARTICLE 8A (2412) 277,626.76 (13,400.00) 264,226.76
LOCAL TDA ARTICLE 8C (2414) 100,074.08 (7,300.00) 92,774.08
GAS TAX (2415) 343,817.32 (17,650.00) 326,167.32
Total 21,833,631.76$ (3,500,000.00)$ 18,333,631.76$
EXPENDITURE APPROPRIATION:
Account Number Current Budget Revision Amended Budget
1000-111-00000-50300 4,574.00$ 350.00$ 4,924.00$
1000-120-00000-50300 86,774.00 36,100.00 122,874.00
1000-131-00000-50300 24,379.00 10,900.00 35,279.00
1000-132-00000-50300 81,314.00 31,900.00 113,214.00
1000-133-00000-50300 53,064.00 23,900.00 76,964.00
1000-134-00000-50300 41,034.00 18,500.00 59,534.00
1000-151-00000-50300 93,647.00 3,049,800.00 3,143,447.00
EXHIBIT A
BUDGET AMENDMENT FOR APPROPRIATION TO PAY DOWN
FY 2024/2025
THE CITY'S CALIFORNIA EMPLOYEES RETIREMENT SYSTEMS (CALPERS)
PENSION PLAN UNFUNDED ACCRUED LIABILITY
56
Account Number Current Budget Revision Amended Budget
1000-160-00000-50300 14,574.00 4,750.00 19,324.00
1000-171-00000-50300 23,986.00 18,200.00 42,186.00
1000-212-00000-50300 9,679.00 3,200.00 12,879.00
1000-213-00000-50300 4,490.00 2,050.00 6,540.00
1000-231-00000-50300 1,695.00 1,500.00 3,195.00
1000-310-00000-50300 9,263.00 5,600.00 14,863.00
1000-411-00000-50300 30,750.00 15,250.00 46,000.00
1000-441-00000-50300 16,701.00 7,150.00 23,851.00
1000-441-P0001-50300 16,362.00 6,850.00 23,212.00
1000-510-00000-50300 14,771.00 5,650.00 20,421.00
1000-521-00000-50300 68,438.00 37,550.00 105,988.00
1000-611-00000-50300 8,764.00 7,750.00 16,514.00
1000-621-00000-50300 12,041.00 5,400.00 17,441.00
1010-530-00000-50300 32,696.00 11,000.00 43,696.00
2000-213-00000-50300 3,438.00 1,100.00 4,538.00
2000-214-00000-50300 9,336.00 4,400.00 13,736.00
2001-172-00000-50300 8,536.00 2,800.00 11,336.00
2007-510-00000-50300 16,806.00 5,750.00 22,556.00
2121-222-00000-50300 5,386.00 1,750.00 7,136.00
2121-422-00000-50300 27,174.00 13,800.00 40,974.00
2200-160-00000-50300 29,132.00 11,300.00 40,432.00
2200-161-00000-50300 77,285.00 40,650.00 117,935.00
2200-222-00000-50300 23,833.00 8,250.00 32,083.00
2205-223-00000-50300 13,559.00 12,250.00 25,809.00
2300-542-P0004-50300 2,339.00 1,200.00 3,539.00
2301-542-P0004-50300 347.00 200.00 547.00
2302-231-P0007-50300 99.00 50.00 149.00
2302-542-P0004-50300 818.00 400.00 1,218.00
2304-542-P0004-50300 125.00 50.00 175.00
2305-231-P0007-50300 99.00 50.00 149.00
2305-542-P0004-50300 1,107.00 550.00 1,657.00
2307-542-P0004-50300 201.00 100.00 301.00
2308-542-P0004-50300 347.00 200.00 547.00
2309-542-P0004-50300 97.00 50.00 147.00
2310-231-P0007-50300 1,193.00 400.00 1,593.00
2310-542-P0004-50300 4,189.00 2,100.00 6,289.00
2312-542-P0004-50300 3,007.00 1,500.00 4,507.00
2314-542-P0004-50300 73.00 50.00 123.00
2315-542-L0076-50300 2,266.00 1,150.00 3,416.00
2315-542-L0077-50300 617.00 300.00 917.00
2316-542-P0004-50300 97.00 50.00 147.00
2318-542-P0004-50300 125.00 50.00 175.00
2319-542-P0004-50300 69.00 50.00 119.00
2320-542-P0004-50300 7,072.00 3,600.00 10,672.00
2322-542-P0004-50300 11,339.00 5,750.00 17,089.00
2390-541-00000-50300 50,388.00 22,050.00 72,438.00
2410-445-P0002-50300 39,794.00 16,100.00 55,894.00
2410-445-P0003-50300 289.00 250.00 539.00
2412-311-00000-50300 28,229.00 13,400.00 41,629.00
2414-430-00000-50300 8,195.00 7,300.00 15,495.00
2415-311-00000-50300 36,037.00 17,650.00 53,687.00
Total 1,062,039.00$ 3,500,000.00$ 4,562,039.00$
57
California Public Employees’ Retirement System
Actuarial Office
400 Q Street, Sacramento, CA 95811 | Phone: (916) 795 -3000 | Fax: (916) 795 -2744
888 CalPERS (or 888-225-7377) | TTY: (877) 249 -7442 | www.calpers.ca.gov
July 2024
Miscellaneous Plan of the City of Moorpark (CalPERS ID: 4690157978)
Annual Valuation Report as of June 30, 2023
Dear Employer,
Attached to this letter is Section 1 of the June 30, 2023 actuarial valuation report for the rate plan noted above . Provided
in this report is the determination of the minimum required employer contributions for fiscal year (FY) 2025-26. In
addition, the report contains important infor mation regarding the current financial status of the plan as well as projections
and risk measures to aid in planning for the future.
Because this plan is in a risk pool, the following valuation report has been separated into two sections:
•Section 1 contai ns specific information for the plan including the development of the current and projected employer
contributions, and
•Section 2 contains the Risk Pool Actuarial Valuation appropriate to the plan as of June 30, 2023.
Section 2 can be found on the CalPERS website (www.calpers.ca.gov). From the home page, go to “Forms & Publications”
and select “View All”. In the search box, enter “Risk Pool” and from the results list download the Miscellaneous Risk Pool
Actuarial Valuation Report for June 30, 2023.
Required Contributions
The table below shows the minimum required employer contributions for FY 2025-26 along with an estimate of the
employer contribution requirements for FY 2026-27. Employee contributions other than cost sharing (whether paid by the
employer or the employee) are in addition to the results shown below. The required employer contributions in this
report do not reflect any cost sharing arrangement between the agency and the employees.
Fiscal Year Employer Normal
Cost Rate
Employer Amortization of
Unfunded Accrued Liability
2025-26 11.94% $324,005
Projected Results
2026-27 11.9% $422,000
The actual investment return for FY 2023-24 was not known at the time this report was prepared. The projections above
assume the investment re turn for that year would be 6.8%. To the extent the actual investment return for FY 2023-24
differs from 6.8%, the actual contribution requirements for FY 2026-27 will differ from those shown above. For additional
details regarding the assumptions and methods used for these projections , please refer to Projected Employer
Contributions . This section also contains projected required contributions through FY 2030-31.
ATTACHMENT 2
58
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Page 2
Re port Enhancements
A number of enhancements were made to the report this year to ease navigation and allow the reader to find specific
information more quickly. The tables of contents are now “clickable.” This is true for the main table of contents that fo llows
the title page and the intermediate tables of contents at the beginning of sections. The Adobe navigation pane on the left
can also be used to skip to specific exhibits.
There are a number of links throughout the document in blue text. Links that ar e internal to the document are not
underlined, while underlined links will take you to the CalPERS website. Examples are shown below.
Internal Bookmarks CalPERS Website Links
Required Employer Contributions Required Employer Contribution Search Tool
Member Contribution Rates Public Agency PEPRA Member Contribution Rates
Summary of Key Valuation Results Pension Outlook Overview
Funded Status – Funding Policy Basis Interactive Summary of Public Agency Valuation Results
Projected Employer Contributions Public Agency Actuarial Valuation Reports
Further descriptions of general changes are included in the Highlights and Executive Summary section and in Appendix A -
Actuarial Methods and Assumptions in Section 2 .
Questions
A CalPERS actuary is available to answer questions about this report. Other questions may be directed to the Customer
Contact Center at 888 CalPERS (or 888-225-7377).
Sincerely,
David Clement, ASA, MAAA, EA
Senior Actuary, CalPERS
Randall D ziubek, ASA, MAAA
Deputy Chief Actuary, Valuation Services , CalPERS
Scott Terando, ASA, EA, MAAA, FCA, CFA
Chief Actuary, CalPERS
59
California Public Employees’ Retirement System
Actuarial Valuation for the
Miscellaneous Plan
of the City of Moorpark
as of June 30, 2023
(CalPERS ID: 4690157978)
(Rate Plan ID: 1460)
Required Contributions for Fiscal Year
July 1, 2025 — June 30, 2026
60
Table of Contents
Section 1 – Plan Specific Information
Section 2 – Risk Pool Actuarial Valuation Information
61
Section 1
California Public Employees ’ Retirement System
Plan Specific Information
for the
Miscellaneous Plan
of the
City of Moorpark
(CalPERS ID: 4690157978)
(Rate Plan ID: 1460)
62
Rate Plan belonging to the Miscellaneous Risk Pool
Table of Contents — Section 1
Actuarial Certification ....................................................................................................................................................................................1
Highlights and Executive Summary ..........................................................................................................................................................2
Introduction ....................................................................................................................................................................................................3
Purpose of Section 1 ....................................................................................................................................................................................3
Summary of Key Valuation Results ...........................................................................................................................................................4
Changes Since the Prior Year’s Valuation................................................................................................................................................5
Subsequent Events.......................................................................................................................................................................................5
Liabilities and Contributions .......................................................................................................................................................................6
Determination of Required Contributions ..................................................................................................................................................7
Required Employer Contributions ..............................................................................................................................................................8
Member Contribution Rates ........................................................................................................................................................................9
Other Pooled Miscellaneous Risk Pool Rate Plans .............................................................................................................................. 10
Breakdown of Entry Age Accrued Liability ............................................................................................................................................. 11
Allocation of Plan’s Share of Pool’s Experience ................................................................................................................................... 11
Development of the Plan’s Share of Pool’s Assets .............................................................................................................................. 11
Funded Status – Funding Policy Basis................................................................................................................................................... 12
Additional Employer Contributions .......................................................................................................................................................... 13
Projected Employer Contributions ........................................................................................................................................................... 14
Schedule of Amortization Bases .............................................................................................................................................................. 15
Amortization Schedule and Alternatives ................................................................................................................................................ 16
Employer Contribution History ................................................................................................................................................................. 18
Funding History .......................................................................................................................................................................................... 18
Risk Analysis ................................................................................................................................................................................................ 19
Future Investment Return Scenarios ...................................................................................................................................................... 20
Discount Rate Sensitivity .......................................................................................................................................................................... 21
Mortality Rate Sensitivity........................................................................................................................................................................... 21
Maturity Measures ..................................................................................................................................................................................... 22
Maturity Measures History ........................................................................................................................................................................ 23
Funded Status – Termination Basis........................................................................................................................................................ 24
Funded Status – Low-Default-Risk Basis .............................................................................................................................................. 25
Summary of Valuation Data ...................................................................................................................................................................... 26
List of Class 1 Benefit Provisions ........................................................................................................................................................... 26
Plan's Major Benefit Options .................................................................................................................................................................... 27
63
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 1
Actuarial Certification
It is our opinion that the valuation has been performed in accordance with generally accepted actuarial principles as well as the
applicable Standards of Practice promulgated by the Actuarial Standards Board . While this report, consisting of Section 1 and
Section 2 , is intended to be complete, our office is available to answer questions as needed. All of t he undersigned are actuaries
who satisfy the Qualification Standards for Actuaries Issuing Statements of Actuarial Opinion in the United States of the
American Academy of Actuaries with regard to pensions.
Actuarial Methods and Assumptions
It is our opinion that the assumptions and methods, as recommended by the Chief Actuary and adopted by the CalPERS Board
of Administration, are internally con sistent and reasonable for this plan.
Randall Dziubek, ASA, MAAA
Deputy Chief Actuary, Valuation Services , CalPERS
Scott Terando , ASA, EA, MAAA, FCA, CFA
Chief Actuary, CalPERS
Actuarial Data and Rate Plan Results
To the best of my knowledge and having relied upon the attestation above that the actuarial methods and assumptions are
reasonable as well as the information in Section 2 of this report , this report is complete and accurate and contains sufficient
information to disclose, fully and fairly, the funded condition of the Miscellaneous Plan of the City of Moorpark and satisfies the
actuarial valuation requirements of Government Code section 7504. This valuation and related validation work was performed
by the CalPERS Actuarial Office . The valuation was based on the member and financial data as of June 30, 2023 , provided by
the various CalPERS databases and the benefits under this plan with CalPERS as of the date this report was produced. Section
1 of this report is based on the member and financial data for City of Moorpark, while Section 2 is based on the corresponding
information for all agencies participating in the Miscellaneous Risk Pool to which the plan belongs .
David Clement, ASA, MAAA, EA
Senior Actuary, CalPERS
64
Highlights and Executive Summary
• Introduction 3
• Purpose of Section 1 3
• Summary of Key Valuation Results 4
• Changes Since the Prior Year’s Valuation 5
• Subsequent Events 5
65
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 3
Introduction
This report presents the results of the June 30, 2023 , actuarial valuation of the Miscellaneous Plan of the City of Moorpark of the
California Public Employees’ Retirement System (CalPERS). This actu arial valuation sets the minimum required contributions
for fiscal year (FY) 2025-26.
Purpose of Section 1
This Section 1 report for the Miscellaneous Plan of the City of Moorpark of CalPERS was prepared by the Actuarial Office using
data as of June 30, 2023. The purpose of the valuation is to:
• Set forth the assets and accrued liabilities of this rate plan as of June 30, 2023;
• Determine the minimum required employer contribution s for this rate plan for FY July 1, 2025, through June 30, 2026;
• Determine the required member contribution rate for FY July 1, 2025, through June 30, 2026, for employees subject to
the California Public Employees' Pension Refor m Act of 2013 (PEPRA); and
• Provide actuarial information as of June 30, 2023, to the CalPERS Board of Administration (board) and other interested
parties.
The pension funding information presented in this report should not be used in financial reports subject to Governmental
Accounting Standards Board (GASB) Statement No. 68 for a Cost Sharing Employer Defined Benefit Pension Plan. A separate
accounting valu ation report for such purposes is available on the CalPERS website (www.calpers.ca.gov).
The measurements shown in this actuarial valuation may not be applicable for other purposes. The agency should contact a
CalPERS actuary before disseminating any porti on of this report for any reason that is not explicitly described above.
Future actuarial measurements may differ significantly from the current measurements presented in this report due to such
factors as the following: plan experience differing from tha t anticipated by the economic or demographic assumptions; changes
in economic or demographic assumptions; changes in actuarial policies; changes in plan provisions or applicable law ; and
differences between the required contributions determined by the valu ation and the actual contributions made by the agency.
Assessment and Disclosure of Risk
This report includes the following risk disclosures consistent with the guidance of Actuarial Standard s of Practice No. 51 and
recommended by the California Actuaria l Advisory Panel (CAAP) in the Model Disclosure Elements document:
• A “Scenario Test,” projecting future results under different investment income returns.
• A “Sensitivity Analysis,” showing the impact on current valuation results using alternative discount rates of 5.8% and
7.8 %.
• A “Sensitivity Analysis,” showing the impact on current valuation results assuming rates of mortality are 10 % lower or
10% higher than our current post-retirement mortality assumptions adopted in 20 21.
• Plan maturity measures indicating how sensitive a plan may be to the risks noted above.
66
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 4
Summary of Key Valuation Results
Below is a brief summary of key valuation results along with page references where more detailed information can be found .
Required Employer Contributions — page 8
Fiscal Year
2024-25
Fiscal Year
2025-26
Employer Normal Cost Rate 11.88% 11.94%
Unfunded Accrued Liability (UAL) Contribution Amount $154,285 $324,005
Paid either as
Option 1) 12 Monthly Payments of $12,857.08 $27,000.42
Option 2) Annual Prepayment in July $149,293 $313,521
Member Contribution Rates — page 9
Fiscal Year
2024-25
Fiscal Year
2025-26
Member Contribution Rate 7.00%
7.00%
Projected Employer Contributions — page 14
Fiscal
Year
Normal Cost
(% of payroll)
Annual
UAL Payment
2026-27 11.9% $422,000
2027-28 11.9% $520,000
2028-29 11.9% $618,000
2029-30 11.9% $624,000
2030-31 11.9% $624,000
Funded Status — Funding Policy Basis — page 12
June 30, 2022 June 30, 2023
Entry Age Accrued Liability (AL) $43,548,398 $45,432,992
Market Value of Assets (MVA) 39,126,784 39,833,833
Unfunded Accrued Liability (UAL) [AL – MVA] $4,421,614 $5,599,159
Funded Ratio [MVA ÷ AL ] 89.8% 87.7%
Summary of Valuation Data — Page 26
June 30, 2022 June 30, 2023
Active Member Count 29 28
Annual Covered Payroll $2,738,613 $3,004,173
Transferred Member Count 28 30
Separated Member Count 30 29
Retired Members and Beneficiaries Count 93 93
67
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 5
Changes Since the Prior Year’s Valuation
Benefits
The standard actuarial practice at CalPERS is to recognize mandated legislative benefit changes in the first annual valuation
following the effective date of the legislation. For pooled rate plans, voluntary benefit changes by plan amendment are generally
included in the first valuation with a valuation date on or after the effective date of the amendment.
Please refer to the Plan’s Major Benefit Options in this report and Appendix B of the Section 2 Report for a su mmary of the plan
provisions used in this valuation.
Actuarial Methods and Assumptions
There are no significant changes to the actuarial methods or assumptions for the June 30, 2023, actuarial valuation.
New Disclosure Items
In December 2021, the Actuarial Standards Board issued a revision of Actuarial Standard of Practice No. 4 (ASOP 4) requiring
actuaries to disclose a low -default-risk obligation measure (LDROM) of the benefits earned. This information is shown in a new
exhibit, Funded Status – Low-Default-Risk Basis.
Subsequent Events
This actuarial valuation report reflects fund investment return through June 30, 2023, as well as statutory changes , regulatory
changes and board actions through January 202 4.
During the time period between the valuation date and the publication of this report, inflation has been higher t han the expected
inflation of 2.3% per annum. Since inflation influences cost-of-living increases for retirees and beneficiaries and active member
pay increases, higher inflation is likely to put at least some upward pressure on contribution requirements a nd downward
pressure on the funded status in the June 30, 202 4, valuation. The actual impact of higher inflation on future valuation results
will depend on, among other factors , how long higher inflation persists.
The 2023 annual benefit limit under Internal Revenue Code (IR C) section 415(b) and annual compensation limits under IR C
section 401(a)(17) and Government Code section 7522.10 were used for this valuation and are assumed to increase 2.3% per
year based on the price inflation assumption. The actual 2024 limits, determined in October 2023, are not reflected.
On April 16, 2024, the board took action to modify the Funding Risk Mitigation Policy to remove the automatic change to the
discount rate when the investment return exceeds various thresholds. R ather than an automatic change to the discount rate, a
board discussion would be placed on the calendar. The 95th percentile return in the Future Investment Return Scenarios exhibit
in this report has not been m odified and still reflects the projected contribution requirements associated with a reduction in the
discount rate.
To the best of our knowledge, there have been no other subsequent events that could materially affect current or future
certifications ren dered in this report.
68
Liabilities and Contributions
• Determination of Required Contributions 7
• Required Employer Contributions 8
• Member Contribution Rates 9
• Other Pooled Miscellaneous Risk Pool Rate Plans 10
• Breakdown of Entry Age Accrued Liability 11
• Allocation of Plan’s Share of Pool’s Experience 11
• Development of the Plan’s Share of Pool’s Assets 11
• Funded Status – Funding Policy Basis 12
• Additional Employer Contributions 13
• Projected Employer Contributions 14
• Schedule of Amortization Bases 15
• Amortization Schedule and Alternatives 16
• Employer Contribution History 18
• Funding History 18
69
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 7
Determination of Required Contributions
Contributions to fund the plan are determined by an actuarial valuation performed each year. The valuation employs complex
calculations based on a set of actuarial assumptions and methods. See Appendix A in Section 2 for information on the
assumptions and methods used in this valuation. The valuation incorporates all plan experience through the valuation date and
sets required contributions for the fiscal year that begins two years after the valuation d ate.
Contribution Components
Two components comprise required contributions:
• Normal Cost — expressed as a percentage of pensionable payroll
• Unfunded Accrued Liability (UAL) Contribution — expressed as a dollar amount
Normal Cost represents the value of benefits allocated to the upcoming year for active employees. If all plan experience exactly
matched the actuarial assumptions, normal cost would be sufficient to fully fund all benefits. The em ployer and employee s each
pay a share of the normal cost with contributions payable as part of the regular payroll reporting process. The contribution rate
for Classic members is set by statute based on benefit formula whereas for PEPRA members it is based on 50% of the total
normal cost.
When plan experience diffe rs from the actuarial assumptions, unfunded accrued liability (UAL) emerges. The new UAL may be
positive or negative. If the total UAL is positive (i.e., accrued liability exceeds assets), the employer is required to make
contributions to pay off the UAL o ver time. This is called the Unfunded Accrued Liability Contribution component. There is an
option to prepay this amount during July of each fiscal year , otherwise it is paid monthly.
In measuring the UAL each year, plan experience is split by source. Common sources of UAL include investment experience
different than expected , non-investment experience different than expected , assumption changes and benefit changes. Each
source of UAL (positive or negative) forms a base that is amortized, or paid off, o ver a specified period of time in accordance
with the CalPERS Actuarial Amortization Policy. The Unfunded Accrued Liability Contribution is the sum of the payments on all
bas es. See the Schedule of Amortization Bases section of this report for an inventory of existing bases and Appendix A in
Section 2 for more information on the amortization policy.
70
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 8
Required Employer Contributions
The required employer contributions in this report do not reflect any cost sharing arrangement between the agency and the
employees.
Fiscal Year
Required Employer Contributions 2025-26
Employer Normal Cost Rate 11.94%
Plus
Unfunded Accrued Liability (UAL) Contribution Amount 1 $324,005
Paid either as
1) Monthly Payment $27,000.42
Or
2) Annual Prepayment Option* $313,521
The total minimum required employer contribution is the sum of the Plan’s Employer Normal Cost Rate
(expressed as a percentage of payroll and paid as payroll is reported) and the Unfunded Accrued Liability (UAL)
Contribution Amount (billed monthly (1) or p repaid annually (2) in dollars).
* Only the UAL portion of the employer contribution can be prepaid (which must be received in full no later
than July 31).
For Member Contribution Rates see the following page.
Fiscal Year Fiscal Year
Development of Normal Cost as a Percentage of Payroll 2024-25 2025-26
Base Total Normal Cost for Formula 18.81% 18.87%
Surcharge for Class 1 Benefits 2
None 0.00% 0.00%
Plan’s Total Normal Cost 18.81% 18.87%
Offset Due to Employee Contributions 3 6.93% 6.93%
Employer Normal Cost 11.88% 11.94%
1 The required payment on amortization bases does not take into account any additional discretionary payment made after
April 30, 2024.
2 Section 2 of this report contains a list of Class 1 benefits and corresponding surcharges.
3 This is the expected employee contributions, taking into account individual benefit formula and any offset from the use of a
modified formula, divided by projected annual payroll. For member contribution rates above the breakpoint for each benefit
formula, see Member Contribution Rates .
71
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 9
Member Contribution Rates
The required member contributions in this report do not reflect any cost sharing arrangement between the agency and the
employees.
Each member contributes toward their retirement based upon the retirement formula. The standard Classic member contribution
rate above the breakpoint, if any, is as described below.
Benefit Formula
Percent Contributed
above the Breakpoint
Miscellaneous, 1.5% at age 65 2%
Miscellaneous, 2% at age 60 7%
Miscellaneous, 2% at age 55 7%
Miscellaneous, 2.5% at age 55 8%
Miscellaneous, 2.7% at age 55 8%
Miscellaneous, 3% at age 60 8%
Auxiliary organizations of the CSU system may elect reduced contribution rates for Miscellaneous members, in which case the
contribution rate above the breakpoint is 6% if members are not covered by Social Security and 5% if they are.
72
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 10
Other Pooled Miscellaneous Risk Pool Rate Plans
All of the results presented in this Section 1 report, except those shown on this page , correspond to rate plan 1460. In many
cases, employers have additional rate plans within the sa me risk pool. For cost analysis and budgeting it is useful to consider
contributions for these rate plans as a whole rather than individually. The estimated contribution amounts and rates for all of the
employer’s rate plans in the Miscellaneous Risk Pool are shown below and assume that the total employer payroll within the
Miscellaneous Risk Pool will grow according to the overall payroll growth assumption of 2.80% per ye ar for three years. Classic
members who are projected to terminate employment are assumed to be replaced by PEPRA members.
Fiscal Year Fiscal Year
Estimated Employer Contributions for all Pooled Miscellaneous Rate Plans 2024-25 2025-26
Projected Payroll for the Contribution Year $5,412,687 $6,134,430
Estimated Employer Normal Cost $530,125 $600,212
Required Payment on Amortization Bases $160,459 $337,661
Estimated Total Employer Contributions $690,584 $937,873
Estimated Total Employer Contribution Rate (illustrative only) 12.76% 15.29%
73
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 11
Breakdown of Entry Age Accrued Liability
Active Members $10,536,259
Transferred Members 5,557,410
Separated Members 1,573,052
Members and Beneficiaries Receiving Payments 27,766,271
Total $45,432,992
Allocation of Plan’s Share of Pool’s Experience
It is the policy of CalPERS to ensure equity within the risk pools by allocating the pool’s experience gains/losses and assum ption
changes in a manner that treats each employer equitably and maintains benefit security for the members of the System while
minimizing substantial variations in employer contributions. The pool’s experience gains/losses and impact of
assumption/method changes is allocated to the plan as follows:
1. Plan’s Accrued Liability $45,432,992
2. Projected UAL Balance at 6/30/2023 4,639,926
3. Other UAL Adjustments (Golden Handshake, Prior Service Purchase, etc.) 0
4. Adjusted UAL Balance at 6/30/2023 for Asset Share 4,639,926
5. Pool’s Accrued Liability1 23,349,910,053
6. Sum of Pool’s Individual Plan UAL Balances at 6/30/20231 5,227,602,20 9
7. Pool’s 2022-23 Investment (Gain)/Loss1 114,855,623
8. Pool’s 2022-23 Non-Investment (Gain)/Loss1 360,116,330
9. Plan’s Share of Pool’s Investment (Gain)/Loss: [(1) - (4)] ÷ [(5) - (6)] × (7) 258,538
10. Plan’s Share of Pool’s Non -Investment (Gain)/Loss: (1) ÷ (5) × (8) 700,695
11. Plan’s New (Gain)/Loss as of 6/30/2023: (9) + (10) 959,233
12. Increase in Pool’s Accrued Liability due to Change in Assumptions1 0
13. Plan’s Share of Pool’s Change in Assumptions: (1) ÷ (5) × (12) 0
14. Increase in Pool’s Accrued Liability due to Funding Risk Mitigation1 0
15. Plan’s Share of Pool’s Change due to Funding Risk Mitigation: (1) ÷ (5) × (14) 0
16. Offset due to Funding Risk Mitigation 0
17. Plan’s Investment (Gain)/Loss: (9) – (16) 258,538
1 Does not include plans that transferred to the pool on the valuation date.
Development of the Plan’s Share of Pool’s Assets
18. Plan’s UAL: (2) + (3) + (11) + (13) + (15) $5,599,159
19. Plan’s Share of Pool’s Market Value of Assets (MVA): (1) - (18) $39,833,833
For a reconciliation of the pool’s Market Value of Assets (MVA), information on the fund’s asset allocation and a history of
CalPERS investment returns, see Section 2, which can be found on the CalPERS website (www.calpers.ca.gov).
74
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 12
Funded Status – Funding Policy Basis
The table below provides information on the current funded status of the plan under the funding policy . The funded status for this
purpose is based on the market value of assets relative to the funding target produced by the entry age actuarial cost method
and actuarial assumptions adopted by the board. The actuarial cost method allocates the total expecte d cost of a member’s
projected benefit (Present Value of Benefits) to individual years of service (the Normal Cost). The value of the projected benefit
that is not allocated to future service is referred to as the Accrued Liability and is the plan’s fundin g target on the valuation date.
The Unfunded Accrued Liability (UAL) equals the funding target minus the assets. The UAL is an absolute measure of funded
status and can be viewed as employer debt. The funded ratio e quals the assets divided by the funding target. The funded ratio
is a relative measure of the funded status and allows for comparisons between plans of different sizes.
A funded ratio of 100% (UAL of $0) implies that the funding of the plan is on target and that future contributions equal to the
normal cost of the active plan members will be sufficient to fully fund all retirement benefits if future experience matches the
actuarial assumptions. A funded ratio of less than 100% (positive UAL) implies that in addition to normal costs, payments toward
the UAL will be required. Plans with a funded ratio greater than 100% have a negative UAL (or surplus) but are required under
current law to continue contributing the normal cost in most cases, preserving the surplus for future contingencies.
Calculations for the funding target reflect the expected long -term investment return of 6.8%. If it were known on the valuation
date that future investment returns will average something greater/less than the expected return, calculated normal costs and
accrued liabilities provided in this report would be less/greater than the results shown. Therefore, for example, if actual a verage
future returns are less than th e expected return, calculated normal costs and UAL contributions will not be sufficient to fully fund
all retirement benefits. Under this scenario, required future normal cost contributions will need to increase from those prov ided in
this report, and the plan will develop unfunded liabilities that will also add to required future contributions. For illustrative
purposes, funded statuses based on a 1% lower and higher average future investment return (discount rate) are as follows:
The Risk Analysis section of the report provides additional information regarding the sensitivity of valuation results to the
expected investment return and other factors. Also provided in that section are measures of funded status that are appropriat e
for assessing the su fficiency of plan assets to cover estimated termination liabilities.
June 30, 2022 June 30, 2023
1. Present Value of Benefits $47,979,813 $49,970,325
2. Entry Age Accrued Liability 43,548,398 45,432,992
3. Market Value of Assets (MVA) 39,126,784 39,833,833
4. Unfunded Accrued Liability (UAL) [(2) – (3)] $4,421,614 $5,599,159
5. Funded Ratio [(3) ÷ (2)] 89.8% 87.7%
1% Lower
Average Return
Current
Assumption
1% Higher
Average Return
Discount Rate 5.8% 6.8% 7.8%
1. Entry Age Accrued Liability $51,699,065 $45,432,992 $40,296,069
2. Market Value of Assets (MVA) 39,833,833 39,833,833 39,833,833
3. Unfunded Accrued Liability (UAL) [(1) – (2)] $11,865,232 $5,599,159 $462,236
4. Funded Ratio [(2) ÷ (1)] 77.0% 87.7% 98.9%
75
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 13
Additional Employer Contributions
The minimum required employer contribution towards the Unfunded Accrued Liability (UAL) for this rate plan for FY 2025-26 is
$324,005 . CalPERS allows agencies to make additional discretionary payments (ADPs) at any time. These optional payments
serve to reduce the UAL and future required contributions and can result in significant long -term savings. Agencies can also use
ADPs to stabilize annual contributions as a fixed dollar amount, percent of payroll or percent of revenue.
Provided below are select ADP options for consideration. Making such an ADP during FY 2025-26 does not require an ADP be
made in any future year, nor does it change the remaining amortization period of any portion of unfunded liability. For
information on permanent changes to amortization periods, see Amortization Schedule and Alternatives . Agencies considering
making an ADP should contact CalPERS for additional information.
Fiscal Year 2025-26 Employer Contributions — Illustrative Scenarios
Funding Approach Estimated
Normal Cost
Minimum UAL
Contribution ADP 1 Total UAL
Contribution
Estimated Total
Contribution
Minimum required only $335,732 $324,005 0 $324,005 $659,737
20 year funding horizon $335,732 $324,005 $235,957 $559,962 $895,694
15 year funding horizon $335,732 $324,005 $329,240 $653,245 $988,977
10 year funding horizon $335,732 $324,005 $525,989 $849,994 $1,185,726
5 year funding horizon $335,732 $324,005 $1,137,719 $1,461,724 $1,797,456
The minimum required contribution above is less than interest on the UAL. With no ADP the UAL is projected to increase over
the following year. If the minimum UAL payment were split between interest and principal, the principal portion would be
negative. This situation is referred to as negative amortization. If only the minimum required contribution is made, contributions
are not expected to exceed interest on the UAL until FY 2026-27, as shown in the Amortization Schedule and Alternatives
section of the report (see columns labeled Current Amortization Schedule).
Fiscal Year 2025-26 Employer Contribution Necessary to Avoid Negative Amortization
Estimated
Normal Cost
Minimum UAL
Contribution
ADP 1 Total UAL
Contribution
Estimated Total
Contribution
$335,732 $324,005 $85,735 $409,740 $745,472
1 The ADP amounts are assumed to be made in the middle of the fiscal year. A payment made earlier or later in the fiscal year w ould have to be
less or more than the amount shown to have the same effect on the UAL amortization.
The calculations above are based on the projected UAL as of June 30, 2025, as determined in the June 30, 2023, actuarial
valuation. New unfunded liabilities can emerge in future years due to assumption or method changes, changes in plan
provisions, and actuarial experience different than assumed. Making an ADP illustrated above for the indicated number of year s
will not result in a plan that is exactly 100% funded in the indicated number of years. Valuation results will vary from one ye ar to
the next and can diverge significantly from projections over a period of several years.
Additional Discretionary Payment His tory
The following table provides a recent history of actual ADPs made to the plan.
Fiscal
Year ADP Fiscal
Year ADP
2019-20 $0 2022-23 $0
2020-21 $0 2023-242 $0
2021-22 $0
2 Ex cludes payments made after April 30, 2024
76
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 14
Projected Employer Contributions
The table below shows the required and projected employer contributions (before cost sharing) for the next six fiscal years. The
projection assumes that all actuarial assumptions will be realized and that no further changes to assumptions, contributions,
benefits, or funding will occur during the projection period. In particular, the investment return beginning with FY 2023-24 is
assumed to be 6.80% per year, net of investment and administrative expenses. Future contribution requirements may differ
significantly from those shown below. The actual long -term cost of the plan will depend on the actual benefits and expenses paid
and the actual investment experience of the fund.
Required
Contribution
Projected Future Employer Contributions
(Assumes 6.80% Return for Fiscal Year 2023-24 and Beyond)
Fiscal Year 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31
Rate Plan 1460 Results
Normal Cost % 11.94% 11.9% 11.9% 11.9% 11.9% 11.9%
UAL Payment $324,005 $422,000 $520,000 $618,000 $624,000 $624,000
For ongoing plans, investment gains and losses are amortized using a 5 -year ramp up. For more information, please see
Amortization of Unfunded Actuarial Accrued Liability in Appendix A of the Section 2 Report. This method phases in the impact of
the change in UAL over a 5 -year period in order to reduce em ployer cost volatility from year to year. As a result of this
methodology, dramatic changes in the required employer contributions in any one year are less likely. However, required
contributions can change gradually and significantly over the next five ye ars. In years when there is a large i nvestment loss, the
relatively small amortization payments during the ramp up period could result in contributions that are less than interest on the
UAL (i.e. negative amortization) while the contribution impact of the increase in the UAL is phased in.
The required contribution for FY 2025-26 is less than interest on the UAL, a situation referred to as negative amortization,
as explained in the Additional Employer Contributions section earlier in this report. If only the minimum required contribution is
made, contributions are not expected to exceed interest on the UAL un til FY 2026-27, as shown in the Amortization Schedule
and Alternatives section of the report (see columns labelled “Current Amortization Sched ule”).
For projected contributions under alternate investment return scenarios, please see the Future Investment Return Scenarios
exhibit. Our online pension plan projection tool, Pension Outlook, is available in the Employers section of the CalPERS website.
Pension Outlook can help plan and budget pension costs under various scenarios.
77
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 15
Schedule of Amortization Bases
Below is the schedule of the plan’s amortization bases. Note that there is a two -year lag between the valuation date and the start of the contribution year.
• The assets, liabilities and funded status of the pl an are measured as of the valuation date: June 30, 2023 .
• The required employer contributions determined by the valuation are for the fiscal year beginning two years after the valuati on date: FY 2025-26.
This two-year lag is necessary due to the amount of time needed to extract and test the membership and financial data, and the need to provide public agencies with
their required employer contribution well in advance of the start of the fiscal year.
The Unfunded Accrued Liability (UAL) is used to determine the employer contribution and therefore must be rolled forward two years from the valuation date to the first
day of the fisca l year for which the contribution is being determined. The UAL is rolled forward each year by subtracting the expected paymen t on the UAL for the fiscal
year and adjusting for interest. The expected payment on the UAL for FY 2023-24 is based on the actuarial valuation two years ago , adjusted for additional discretionary
payments made on or before April 30, 2024, if necessary, and the expected payment for FY 2024-25 is based on the actuarial valuation one year ago.
Reason for Base
Date
Est.
Ramp
Level
2025-26
Ramp
Shape
Escala-
tion
Rate
Amort.
Period
Balance
6/30/23
Expected
Payment
2023-24
Balance
6/30/24
Expected
Payment
2024-25
Balance
6/30/25
Minimum
Required
Payment
2025-26
Non-Investment (Gain)/Loss 6/30/22 No Ramp 0.00% 19 653,642 0 698,090 62,775 680,686 62,775
Partial Fresh Start 6/30/22 40% Up Only 0.00% 19 3,986,284 0 4,257,351 91,510 4,452,281 183,021
Investment (Gain)/Loss 6/30/23 20% Up Only 0.00% 20 258,538 0 276,119 0 294,895 6,339
Non-Investment (Gain)/Loss 6/30/23 No Ramp 0.00% 20 700,695 0 748,342 0 799,229 71,870
Total 5,599,159 0 5,979,902 154,285 6,227,091 324,005
The (gain)/loss bases are the plan’s allocated share of the risk pool’s (gain)/loss for the fiscal year as disclosed in Allocation of Plan’s Share of Pool’s Experience earl ier
in this report. These (gain)/loss bases will be amortized in accordance with the CalPERS amortization policy in effect at the time the base was established.
78
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 16
Amortization Schedule and Alternatives
The amortization schedule on the previous page (s) shows the minimum contributions required according to the CalPERS
amortization policy. Many agencies have expressed a desire for a more stable pattern of payments or have indicated interest in
paying off the unfunded accrued liabilities more quickly than required. As such, we have provided alternative amortization
schedules to help analyze the current amortization schedule and illustrate the potential savings of accelerating unfunded lia bility
payments.
Shown on the following page are future year amorti zation payments based on 1) the current amortization schedule reflecting the
individual bases and remaining periods shown on the previous page, and 2) alternative “fresh start” amortization schedules
using two sample periods that would both result in inter est savings relative to the current amortization schedule. To initiate a
fresh s tart, please contact a CalPERS actuary.
The current amortization s chedule typically contains both positive and negative bases. Positive bases result from plan changes,
assumption changes, method changes or plan experience that increase unfunded liability. Negative bases result from plan
changes, assumption changes, method changes, or plan experience that decrease unfunded liability. The combination of
positive and negative base s within an amortization schedule can result in unusual or problematic circumstances in future years,
such as:
• When a negative payment would be required on a positive unfunded actuarial liability; or
• When the payment would completely amortize the total un funded liability in a very short time period, and results in a
large change in the employer contribution requirement.
In any year when one of the above scenarios occurs, the actuary will consider corrective action such as replacing the existin g
unfunded l iability bases with a single “fresh start” base and amortizing it over a n appropriate period.
The current amortization s chedule on the following page may appear to show that, based on the current amortization bases, one
of the above scenarios will occur at some point in the future. It is impossible to know today whether such a scenario will in fact
arise since there will be additional bases added to the amortization schedule in each future year. Should such a scenario ari se in
any future year, the actuary will take appropriate action based on guidelines in the CalPERS Actuarial Amortization Policy.
79
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 17
Amortization Schedule and Alternatives (continued)
Alternative Schedules
Current Amortization
Schedule 20 Year Amortization 15 Year Amortization
Date Balance Payment Balance Payment Balance Payment
6/30/2025 6,227,091 324,005 6,227,091 559,962 6,227,09 1 653,245
6/30/2026 6,315,693 421,852 6,071,846 559,962 5,975,443 653,245
6/30/2027 6,309,200 519,702 5,906,044 559,962 5,706,683 653,245
6/30/2028 6,201,143 617,550 5,728,967 559,962 5,419,647 653,244
6/30/2029 5,984,619 623,890 5,539,849 559,962 5,113,094 653,245
6/30/2030 5,746,820 623,890 5,337,871 559,962 4,785,694 653,244
6/30/2031 5,492,850 623,888 5,122,159 559,962 4,436,032 653,245
6/30/2032 5,221,612 623,888 4,891,778 559,962 4,062,592 653,244
6/30/2033 4,931,930 623,891 4,645,731 559,962 3,663,759 653,244
6/30/2034 4,622,547 623,890 4,382,953 559,962 3,237,806 653,245
6/30/2035 4,292,126 623,890 4,102,306 559,962 2,782,887 653,245
6/30/2036 3,939,237 623,889 3,802,575 559,962 2,297,033 653,244
6/30/2037 3,562,352 623,889 3,482,462 559,962 1,778,142 653,244
6/30/2038 3,159,839 623,890 3,140,582 559,963 1,223,967 653,245
6/30/2039 2,729,953 623,888 2,775,453 559,962 632,107 653,245
6/30/2040 2,270,839 623,891 2,385,496 559,962
6/30/2041 1,780,501 623,889 1,969,022 559,963
6/30/2042 1,256,822 623,890 1,524,227 559,963
6/30/2043 697,533 623,890 1,049,186 559,962
6/30/2044 100,211 103,562 541,843 559,963
6/30/2045
6/30/2046
6/30/2047
6/30/2048
6/30/2049
Total 11,345,014 11,199,244 9,798,669
Interest Paid 5,117,923 4,972,153 3,571,578
Estimated Savings 145,770 1,546,345
80
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 18
Employer Contribution History
The table below provides a recent history of the employer contribution requirements for the plan , as determined by the annual
actuarial valuation . Changes due to prepayments or plan amendments after the valuation report was finalized are not reflected.
[
Valuation
Date
Contribution
Year
Employer
Normal Cost Rate
Unfunded Liability
Payment
06/30/2014 2016 - 17 8.377% $92,500
06/30/2015 2017 - 18 8.418% 112,327
06/30/2016 2018 - 19 8.892% 181,640
06/30/2017 2019 - 20 9.680% 0
06/30/2018 2020 - 21 10.484% 13,952
06/30/2019 2021 - 22 10.34% 60,372
06/30/2020 2022 - 23 10.32% 127,819
06/30/2021 2023 - 24 11.84% 0
06/30/2022 2024 - 25 11.88% 154,285
06/30/2023 2025 - 26 11.94% 324,005
Funding History
The table below shows the recent history of the actuarial accrued liability, share of the pool’s market value of assets, unfunded
accrued liability, funded ratio and annual covered payroll.
Valuation
Date
Accrued
Liability
(AL)
Share of Pool’s
Market Value of
Assets (MVA)
Unfunded
Accrued Liability
(UAL)
Funded
Ratio
Annual
Covered
Payroll
06/30/2014 $26,357,176 $22,366,418 $3,990,758 84.9% $5,075,269
06/30/2015 28,517,137 26,734,451 1,782,686 93.7% 4,848,195
06/30/2016 30,559,966 26,515,974 4,043,992 86.8% 4,546,607
06/30/2017 32,867,207 29,032,543 3,834,664 88.3% 4,466,764
06/30/2018 37,764,941 36,898,047 866,894 97.7% 4,448,600
06/30/2019 39,623,986 38,314,837 1,309,149 96.7% 4,079,349
06/30/2020 40,370,445 37,912,843 2,457,602 93.9% 3,695,657
06/30/2021 42,319,680 44,476,682 (2,157,002) 105.1% 3,058,762
06/30/2022 43,548,398 39,126,784 4,421,614 89.8% 2,738,613
06/30/2023 45,432,992 39,833,833 5,599,159 87.7% 3,004,173
81
Risk Analysis
• Future Investment Return Scenarios 20
• Discount Rate Sensitivity 21
• Mortality Rate Sensitivity 21
• Maturity Measures 22
• Maturity Measures History 23
• Funded Status – Termination Basis 24
• Funded Status – Low-Default-Risk Basis 25
82
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 20
Future Investment Return Scenarios
Analysis using the investment return scenarios from the Asset Liability Management process completed in 2021 was performed
to determine the effects of various future investment returns on required employer contributions. The projections below refle ct
the impact of the CalPERS Funding Risk Mitigation Policy. The projections also assume that all other actuarial assumptions will
be realized and that no further changes in assumptions, contributions, benefits, or funding will occur.
The first table shows projected contribution requirements if the fund were to earn either 3.0% or 10.8% annually. These alter nate
investment returns were chosen because 90% of long -term average returns are expected to fall between them over the 20 -year
period ending June 30, 2043.
Assumed Annual Return
FY 2023-24
through FY 2042-43
Projected Employer Contributions
2026-27 2027-28 2028-29 2029-30 2030-31
3.0% (5th percentile)
Discount Rate 6.80% 6.80% 6.80% 6.80% 6.80%
Normal Cost Rate 11.9% 11.9% 11.9% 11.9% 11.9%
UAL Contribution $459,000 $631,000 $843,000 $1,003,000 $1,197,000
10.8% (95th percentile)
Discount Rate 6.75% 6.70% 6.65% 6.60% 6.55%
Normal Cost Rate 12.2% 12.4% 12.7% 12.9% 13.2%
UAL Contribution $390,000 $422,000 $416,000 $0 $0
Required contributions outside of this range are also possible. In particular, whereas it is unlikely that investment returns will
average less than 3.0% or greater than 10.8% over a 20 -year period, the likelihood of a single investment return less than 3.0%
or greater than 10.8% in any given year is much greater. The following analysis illustrates the effect of an extreme, single year
investment return.
The portfolio has an expected volatility (or standard deviation) of 12.0% per year. Accordingly, in any given year there is a 16%
probability that the annual return will be -5.2% or less and a 2.5% probability that the annual return will be -17.2% or less. These
returns represent one and two standard deviations below the expected return of 6.8%.
The following table shows the effect of one and two standard deviation investment loss es in FY 2023-24 on the FY 2026-27
contribution requirements. Note that a single -year investment gain or loss decreases or increases the required UAL contribution
amount incrementally for each of the next five years, not just one, due to the 5 -year ramp in the amortization policy. However,
the contribution requirements beyond the first year are also impacted by investment returns beyond the first y ear. Historically,
significant downturns in the market are often followed by higher than average returns. Such investment gains would offset the
impact of these single year negative returns in years beyond FY 2026-27.
Assumed Annual Return for
Fiscal Year 2023-24
Required
Employer
Contributions
Projected
Employer
Contributions
2025-26 2026-27
(17.2%) (2 standard deviation loss)
Discount Rate 6.80% 6.80%
Normal Cost Rate 11.94% 11.9%
UAL Contribution $324,005 $655,000
(5.2%) (1 standard deviation loss)
Discount Rate 6.80% 6.80%
Normal Cost Rate 11.94% 11.9%
UAL Contribution $324,005 $539,000
• Without investment gains (returns higher than 6.8%) in FY 2024-25 or later, projected contributions rates would
continue to rise over the next four years due to the continued phase -in of the impact of the illustrated investment loss in
FY 2023-24.
• The Pension Outlook Tool can be used to model projected contributions for these scenarios beyond FY 2026-27 as
well as to model other investment return scenarios .
83
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 21
Discount Rate Sensitivity
The discount rate assumption is calculated as the sum of the assumed real rate of return and the assumed annual price
inflation, currently 4.5% and 2.3%, respectively. Changing either t he price inflation assumption or the real rate of return
assumption will change the discount rate. The sensitivity of the valuation results to the discount rate assumption depends on
which component of the discount rate is changed. Shown below are various valuation results as of June 30, 2023, assuming
alternate discount rates by changing the two components independently. Results are shown using the current discount rate of
6.8% as well as alternate discount rates o f 5.8% and 7.8%. The rates of 5.8% and 7.8% were selected since they illustrate the
impact of a 1.0% increase or decrease to the 6.8% assumption.
Sensitivity to the Real Rate of Return Assumption
As of June 30, 2023
1% Lower
Real Return Rate
Current
Assumptions
1% Higher
Real Return Rate
Discount Rate 5.8% 6.8% 7.8%
Price Inflation 2.3% 2.3% 2.3%
Real Rate of Return 3.5% 4.5% 5.5%
a) Total Normal Cost 23.7 5% 18.87% 15.16%
b) Accrued Liability $51,699,065 $45,432,992 $40,296,069
c) Market Value of Assets $39,833,833 $39,833,833 $39,833,833
d) Unfunded Liability/(Surplus) [(b) - (c)] $11,865,232 $5,599,159 $462,236
e) Funded Ratio 77.0% 87.7% 98.9%
Sensitivity to the Price Inflation Assumption
As of June 30, 2023
1% Lower
Price Inflation
Current
Assumptions
1% Higher
Price Inflation
Discount Rate 5.8% 6.8% 7.8%
Price Inflation 1.3% 2.3% 3.3%
Real Rate of Return 4.5% 4.5% 4.5%
a) Total Normal Cost 19.78% 18.87% 17.22%
b) Accrued Liability $47,179,340 $45,432,992 $42,072,433
c) Market Value of Assets $39,833,833 $39,833,833 $39,833,833
d) Unfunded Liability/(Surplus) [(b) - (c)] $7,345,507 $5,599,159 $2,238,600
e) Funded Ratio 84.4% 87.7% 94.7%
Mortality Rate Sensitivity
The following table looks at the change in the June 30, 2023, plan costs and funded status under two different longevity
scenarios, namely assuming rates of post-retirement mortality are 10% lower or 10 % higher than our current mortality
assumptions adopted in 2021. This type of analysis highlights the impact on the plan of a change in the mortality assumption .
As of June 30, 2023 10% Lower
Mortality Rates
Current
Assumptions
10% Higher
Mortality Rates
a) Total Normal Cost 19.19% 18.87% 18.57%
b) Accrued Liability $46,291,354 $45,432,992 $44,640,903
c) Market Value of Assets $39,833,833 $39,833,833 $39,833,833
d) Unfunded Liability/(Surplus) [(b) - (c)] $6,457,521 $5,599,159 $4,807,070
e) Funded Ratio 86.1% 87.7% 89.2%
84
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 22
Maturity Measures
As pension plans mature they become more sensitive to risks . Understanding plan maturity and how it affects the ability of a
pension plan sponsor to tolerate risk is important in understanding how the pension plan is impacted by investment return
volatility, other economic variables and changes in longevity or other demographic assumptions.
Since it is the employer that bears the risk, it is appropriate to perform this analysis on a pension plan level consider ing all rate
plans. The following measures are for one rate plan only. One way to look at the maturity level of CalPERS and its plans is to
look at the ratio of a plan’s retiree liability to its total liability. A pension plan in its infancy will have a ve ry low ratio of retiree
liability to total liability. As the plan matures, the ratio increas es. A mature plan will often have a ratio above 60%-65%.
Ratio of Retiree Accrued Liability to
Total Accrued Liability June 30, 2022 June 30, 2023
1. Retiree Accrued Liability $27,746,801 $27,766,271
2. Total Accrued Liability $43,548,398 $45,432,992
3. Ratio of Retiree AL to Total AL [(1) ÷ (2)] 64% 61%
Another measure of the maturity level of CalPERS and its plans is the ratio of actives to retirees, also called the support ratio. A
pension plan in its infancy will have a very high ratio of active to retired members. As the plan matures and members retire, the
ratio declines. A mature plan will often have a ratio near or below one.
To calculate the support ratio for the rate plan, retirees and beneficiaries receiving a continuance are each counted as one, even
though they may have only worked a portion of their careers as an ac tive member of this rate plan. For this reason, the support
ratio, while intuitive, may be less informative than the ratio of retiree liability to total accrued liability above.
For comparison, the support ratio for all CalPERS public agency plans as of June 30, 2022, was 0.77 and was calculated
consistently with how it is for the individual rate plan. Note that to calculate the support ratio for all public agency plan s, a retiree
with service from more than one CalPERS agency is counted as a retiree more than once.
Support Ratio June 30, 2022 June 30, 2023
1. Number of Actives 29 28
2. Number of Retirees 93 93
3. Support Ratio [(1) ÷ (2)] 0.31 0.30
85
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 23
Maturity Measures (continued)
The actuarial calculations supplied in this communication are based on various assumptions about long -term demographic and
economic behavior. Unless these assumptions (e.g., terminations, deaths, disabilities, retirements, salary increases, investment
return) are exactly realized each year, there will be differences on a year -to -year basis. The year-to -year differences between
actual experience and the assumptions are called actuarial gains and losses and serve to lower or raise requir ed employer
contributions from one year to the next. Therefore, employer contributions will inevitably fluctuate, especially due to the u ps and
downs of investment returns.
Asset Volatility Ratio
Shown in the table below is the asset volatility ratio (AVR), which is the ratio of market value of assets to payroll. Plans that
have a higher AVR experience more volatile employer contributions (as a percentage of payroll) due to investment return. For
example, a plan with an AVR of 8 may experience twice the con tribution volatility due to investment return volatility than a plan
with an AVR of 4. It should be noted that this ratio is a measure of the current situation. It increases over time but generally
tends to stabilize as a plan matures.
Liability Volatility Ratio
Also shown in the table below is the liability volatility ratio (LVR), which is the ratio of accrued liability to payroll. Pl ans that have
a higher LVR experience more volatile employer contributions (as a percentage of payroll) due to changes in li ability. For
example, a plan with an LVR of 8 is expected to have twice the contribution volatility of a plan with an LVR of 4 when there is a
change in accrued liability, such as when there is a change in actuarial assumptions . It should be noted that this ratio indicates a
longer-term potential for contribution volatility, since the AVR, described above, will tend to move closer to the LVR as the
funded ratio approaches 100%.
Contribution Volatility June 30, 2022 June 30, 2023
1. Market Value of Assets $39,126,784 $39,833,833
2. Payroll $2,738,613 $3,004,173
3. Asset Volatility Ratio (AVR) [(1) ÷ (2)] 14.3 13.3
4. Accrued Liability $43,548,398 $45,432,992
5. Liability Volatility Ratio (LVR) [(4) ÷ (2)] 15.9 15.1
Maturity Measures History
Valuation Date
Ratio of
Retiree Accrued Liability
to
Total Accrued Liability Support Ratio
Asset
Volatility
Ratio
Liability
Volatility
Ratio
06/30/2017
39%
0.76
6.5
7.4
06/30/2018
46%
0.66
8.3
8.5
06/30/2019
51%
0.54
9.4
9.7
06/30/2020
60%
0.46
10.3
10.9
06/30/2021
62%
0.37
14.5
13.8
06/30/2022
64%
0.31
14.3
15.9
06/30/2023
61%
0.30
13.3
15.1
86
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 24
Funded Status – Termination Basis
The funded status measured on a termination basis is an estimate of the financial position of the plan had the contract with
CalPERS been terminated as of June 30, 2023. The accrued liability on a termination basis (termination liability) is calculated
differently from the plan’s ongoing funding liability. For the termination liability calculation, both compensation and service are
frozen as of the valuation date and no future pay increases or service accruals are assumed. This measure of funded status is
not appro priate for assessing the need for future employer contributions in the case of an ongoing plan, that is, for an employer
that continues to provide CalPERS retirement benefits to active employees. Unlike the actuarial cost method used for ongoing
plans, the termination liability is the present value of the benefits earned through the valuation date.
A more conservative investment policy and asset allocation strategy was adopted by the board for the Terminated Agency Pool.
The Terminated Agency Pool has limited funding sources since no future employer contributions will be made. Therefore, expected
benefit payments are secured by risk -free assets and benefit security for members is increased while limiting the funding risk.
However, this asset allocation has a lower expected rate of return than the remainder of the PERF and consequently, a lower
discount rate assumption. The lower discount rate for the Terminated Agency Pool results in higher liabilities for terminated plans.
The discount rate used for actual termination valuations is a weighted average of the 10 -year and 30 -year Treasury yields where
the weights are based on matching asset and liability durations as of the termination date. The discount rates used in the fo llowing
analysis is based on 20 -year Treasury bonds, which is a good proxy for most plans. The discount rate upon contract termination
will depend on actual Treasury rates on the date of termination, which varies over time, as shown below.
Valuation 20-Year Valuation 20-Year
Date Treasury Rate Date Treasury Rate
06/30/2014 3.08% 06/30/2019 2.31%
06/30/2015 2.83% 06/30/2020 1.18%
06/30/2016 1.86% 06/30/2021 2.00%
06/30/2017 2.61% 06/30/2022 3.38%
06/30/2018 2.91% 06/30/2023 4.06%
As Treasury rates are variable, the table below shows a range for the termination liability using discount rates 1% below and above
the 20 -year Treasury rate on the valuation date. The price inflation assumption is the 20 -year Treasury breakeven inflation rate,
that is, the difference between the 20-year inflation indexed bond and the 20 -year fixed-rate bond.
The Market Value of Assets (MVA) also varies with interest rates and will fluctuate depending on other market conditions on t he
date of termination. Since it is not possible to approximate ho w the MVA will change in different interest rate environments, the
results below use the MVA as of the valuation date.
Discount Rate: 3.06%
Price Inflation: 2.50%
Discount Rate: 5.06%
Price Inflation: 2.50%
1. Termination Liability1 $75,409,926 $55,756,002
2. Market Value of Assets (MVA) 39,833,833 39,833,833
3. Unfunded Termination Liability [(1) – (2)] $35,576,093 $15,922,169
4. Funded Ratio [(2) ÷ (1)] 52.8% 71.4%
1 The termination liabilities calculated above include a 5% contingency load. The contingency load and other actuarial
assumptions can be found in Appendix A of the Section 2 report.
In order to terminate the plan, first contact our Pension Contract Services unit to initiate a Resolution of Intent to Terminate. The
completed Resolution will allow a CalPERS actuary to provide a preliminary termination valuation with a more up -to -date
estimate of the plan’s assets and liabilities. Before beginning this process, please c onsult with a CalPERS actuary.
87
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 25
Funded Status – Low-Default-Risk Basis
Actuarial Standard of Practice (ASOP) No. 4, Measuring Pension Obligations and Determining Pension Plan Costs or
Contributions, requires the disclosure of a low -default-risk obligation measure (LDROM) of benefit costs accrued as of the
valuation date using a discount rate based on the yields of high quality fixed income securities with cash flows that replica te
expected benefit payments. Conceptually, this measure represents the level at which financial markets would value the accrued
plan costs, and would be approximately equal to the cost of a portfolio of low -default-risk bonds with similar financial
characteristics to accrued plan costs.
As permitted in ASOP No. 4, the Actuarial Office uses the Entry Age Actuarial Cost Method to calculate the LDROM. This
methodology is in line with the measure of “benefit entitlements” calculated by the Bureau of Economic Analysis and used by the
Federal Reserve to report the indebtedness due to pensions of plan sponsors and, conversely, the household wealth due to
pensions of plan members.
As shown below, the discount rate used for the LDROM is 4.82%, which is the Standard FTSE Pension Liability Index1 discount
rate as of June 30, 2023 , net of assumed administrative expenses.
Selected Measures on a Low -Default-Risk Basis June 30, 2023
Discount Rate 4.82%
1. Accrued Liability2 – Low-Default-Risk Basis (LDROM)
a) Active Members $14,502,955
b) Transferred Members 8,151,878
c) Separated Members 2,235,521
d) Members and Beneficiaries Receiving Payments 34,348,746
e) Total $59,239,100
2. Market Value of Assets (MVA) 39,833,833
3. Unfunded Accrued Liability – Low-Default-Risk Basis [(1e) – (2)] $19,405,267
4. Unfunded Accrued Liability – Funding Policy Basis 5,599,159
5. Present Value of Unearned Investment Risk Premium [(3) – (4)] $13,806,108
The difference between the unfunded liabilities on a low -default-risk basis and on the funding policy basis represents the present
value of the investment risk premium that must be earned in future years to keep future contributions for currently accrued p lan
costs at the levels anticipated by the funding policy.
Benefit security for members of the plan relies on a combination of the assets in the plan, the investment income generated from
those assets, and the ability of the plan sponsor to make necessary future contributions. If future returns fall short of 6.8%,
benefit security could be at risk without higher than currently antici pated future contributions.
The funded status on a low -default-risk basis is not appropriate for assessing the sufficiency of plan assets to cover the cost of
settling the plan’s benefit obligations (see Funded Status – Termination Basis), nor is it appropriate for assessing the need for
future contributions (see Funded Status – Funding Policy Basis ).
1 This index is based on a yield curve of hypothetical AA -rated zero coupon corporate bonds whose maturities range
from 6 months to 30 years. The index represents the single discount rate that would produce the same present value
as discounting a standardized set of liabilit y cash flows for a fully open pension plan using the yield curve. The liability
cash flows are reasonably consistent with the pattern of benefits expected to be paid from the entire Public
Employees’ Retirement Fund for current and former plan members. A different index, hence a different discount rate,
may be needed to measure the LDROM for a subset of the fund, such as a single rate plan or a group o f retirees.
2 If plan assets were invested entirely in the AA fixed income securities used to determine the discount rate of 4.82%,
the CalPERS discount rate could, at various times, be below 4.5% or 5.25%, and some automatic annual retiree
COLAs could be suspended (Gov. Code sections 21329 and 21335). Since there is currently no proposal to adopt an
asset allocation entirely comprised of fixed income securities, the automatic COLAs have been fully valued in the
measures above based on the assumptions used for plan funding. Removing future COLAs from the measurement
would understate the statutory obligation.
88
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 26
Summary of Valuation Data
The table below shows a summary of the plan’s member data upon which this valuation is based:
June 30, 2022 June 30, 2023
Active Members
Counts 29 28
Average Attained Age 50.3 51.0
Average Entry Age to Rate Plan 36.5 36.4
Average Years of Credited Service 14.1 14.8
Average Annual Covered Pay $94,435 $107,292
Annual Covered Payroll $2,738,613 $3,004,173
Present Value of Future Payroll $23,514,777 $23,994,839
Transferred Members 28 30
Separated Members 30 29
Retired Members and Beneficiaries*
Counts 93 93
Average Annual Benefits $21,236 $21,709
Total Annual Benefits $1,974,955 $2,018,901
Counts of members included in the valuation are counts of the records processed by the valuation. Multiple records may exist for
those who have service in more than one valuation group. This does not result in double counting of liabilities.
* Values include community property settlements.
List of Class 1 Benefit Provisions
This plan has the following Class 1 Benefit Provisions:
• None
89
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Page 27
Plan's Major Benefit Options
Shown below is a summary of the major optional benefits for which the agency has contracted. A description of principal standard and optional plan provisions is in
Section 2.
Benefit Group
Member Category Misc Misc
Demographics
Actives Yes No
Transfers/Separated Yes No
Receiving Yes Yes
Benefit Group Key 103906 208192
Benefit Provision
Benefit Formula 2% @ 55
Social Security Coverage No
Full/Modified Full
Employee Contribution Rate 7.00%
Final Average Compensation Period Three Year
Sick Leave Credit Yes
Non-Industrial Disability Standard
Industrial Disability No
Pre-Retirement Death Benefits
Optional Settlement 2 Yes
1959 Survivor Benefit Level Level 4
Special No
Alternate (firefighters) No
Post-Retirement Death Benefits
Lump Sum $5,000 $5,000
Survivor Allowance (PRSA) No No
COLA 2% 2%
90
CalPERS Actuarial Valuation - June 30, 2023
Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 28
Section 2
California Public Employees ’ Retirement System
Risk Pool Actuarial Valuation Information
Section 2 may be found on the
CalPERS website (www.calpers.ca.gov)
in the Forms & Publications section
91
California Public Employees’ Retirement System
Actuarial Office
400 Q Street, Sacramento, CA 95811 | Phone: (916) 795 -3000 | Fax: (916) 795 -2744
888 CalPERS (or 888-225-7377) | TTY: (877) 249 -7442 | www.calpers.ca.gov
July 2024
PEPRA Miscellaneous Plan of the City of Moorpark (CalPERS ID: 4690157978)
Annual Valuation Report as of June 30, 2023
Dear Employer,
Attached to this letter is Section 1 of the June 30, 2023 actuarial valuation report for the rate plan noted above . Provided
in this report is the determination of the minimum required employer contributions for fiscal year (FY) 2025-26. In
addition, the report contains important infor mation regarding the current financial status of the plan as well as projections
and risk measures to aid in planning for the future.
Because this plan is in a risk pool, the following valuation report has been separated into two sections:
•Section 1 contai ns specific information for the plan including the development of the current and projected employer
contributions, and
•Section 2 contains the Risk Pool Actuarial Valuation appropriate to the plan as of June 30, 2023.
Section 2 can be found on the CalPERS website (www.calpers.ca.gov). From the home page, go to “Forms & Publications”
and select “View All”. In the search box, enter “Risk Pool” and from the results list download the Miscellaneous Risk Pool
Actuarial Valuation Report for June 30, 2023.
Required Contributions
The table below shows the minimum required employer contributions and the PEPRA member contribution rate for FY
2025-26 along with an estimate of the employer contribution requirements for FY 2026-27. Employee contributions other
than cost sharing (whether paid by the employer or the employee) are in addition to the results shown below. The
required employer contributions in this report do not reflect any cost sharing arrangement between the agency
and the employees.
Fiscal Year Employer Normal
Cost Rate
Employer Amortization of
Unfunded Accrued Liability
PEPRA Member
Contribution Rate
2025-26 7.96% $13,656 7.75%
Projected Results
2026-27 8.0% $18,000 TBD
The actual investment return for FY 2023-24 was not known at the time this report was prepared. The projections above
assume the investment re turn for that year would be 6.8%. To the extent the actual investment return for FY 2023-24
differs from 6.8%, the actual contribution requirements for FY 2026-27 will differ from those shown above. For additional
details regarding the assumptions and methods used for these projections , please refer to Projected Employer
Contributions . This section also contains projected required contributions through FY 2030-31.
ATTACHMENT 3
92
CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Page 2
Re port Enhancements
A number of enhancements were made to the report this year to ease navigation and allow the reader to find specific
information more quickly. The tables of contents are now “clickable.” This is true for the main table of contents that fo llows
the title page and the intermediate tables of contents at the beginning of sections. The Adobe navigation pane on the left
can also be used to skip to specific exhibits.
There are a number of links throughout the document in blue text. Links that ar e internal to the document are not
underlined, while underlined links will take you to the CalPERS website. Examples are shown below.
Internal Bookmarks CalPERS Website Links
Required Employer Contributions Required Employer Contribution Search Tool
Member Contribution Rates Public Agency PEPRA Member Contribution Rates
Summary of Key Valuation Results Pension Outlook Overview
Funded Status – Funding Policy Basis Interactive Summary of Public Agency Valuation Results
Projected Employer Contributions Public Agency Actuarial Valuation Reports
Further descriptions of general changes are included in the Highlights and Executive Summary section and in Appendix A -
Actuarial Methods and Assumptions in Section 2 .
Questions
A CalPERS actuary is available to answer questions about this report. Other questions may be directed to the Customer
Contact Center at 888 CalPERS (or 888-225-7377).
Sincerely,
David Clement, ASA, MAAA, EA
Senior Actuary, CalPERS
Randall D ziubek, ASA, MAAA
Deputy Chief Actuary, Valuation Services , CalPERS
Scott Terando, ASA, EA, MAAA, FCA, CFA
Chief Actuary, CalPERS
93
California Public Employees’ Retirement System
Actuarial Valuation for the
PEPRA Miscellaneous Plan
of the City of Moorpark
as of June 30, 2023
(CalPERS ID: 4690157978)
(Rate Plan ID: 27037)
Required Contributions for Fiscal Year
July 1, 2025 — June 30, 2026
94
Table of Contents
Section 1 – Plan Specific Information
Section 2 – Risk Pool Actuarial Valuation Information
95
Section 1
California Public Employees ’ Retirement System
Plan Specific Information
for the
PEPRA Miscellaneous Plan
of the
City of Moorpark
(CalPERS ID: 4690157978)
(Rate Plan ID: 27037)
96
Rate Plan belonging to the Miscellaneous Risk Pool
Table of Contents — Section 1
Actuarial Certification ....................................................................................................................................................................................1
Highlights and Executive Summary ..........................................................................................................................................................2
Introduction ....................................................................................................................................................................................................3
Purpose of Section 1 ....................................................................................................................................................................................3
Summary of Key Valuation Results ...........................................................................................................................................................4
Changes Since the Prior Year’s Valuation................................................................................................................................................5
Subsequent Events.......................................................................................................................................................................................5
Liabilities and Contributions .......................................................................................................................................................................6
Determination of Required Contributions ..................................................................................................................................................7
Required Employer Contributions ..............................................................................................................................................................8
Member Contribution Rates ........................................................................................................................................................................9
Other Pooled Miscellaneous Risk Pool Rate Plans .............................................................................................................................. 10
Breakdown of Entry Age Accrued Liability ............................................................................................................................................. 11
Allocation of Plan’s Share of Pool’s Experience ................................................................................................................................... 11
Development of the Plan’s Share of Pool’s Assets .............................................................................................................................. 11
Funded Status – Funding Policy Basis................................................................................................................................................... 12
Additional Employer Contributions .......................................................................................................................................................... 13
Projected Employer Contributions ........................................................................................................................................................... 14
Schedule of Amortization Bases .............................................................................................................................................................. 15
Amortization Schedule and Alternatives ................................................................................................................................................ 16
Employer Contribution History ................................................................................................................................................................. 18
Funding History .......................................................................................................................................................................................... 18
Risk Analysis ................................................................................................................................................................................................ 19
Future Investment Return Scenarios ...................................................................................................................................................... 20
Discount Rate Sensitivity .......................................................................................................................................................................... 21
Mortality Rate Sensitivity........................................................................................................................................................................... 21
Maturity Measures ..................................................................................................................................................................................... 22
Maturity Measures History ........................................................................................................................................................................ 23
Funded Status – Termination Basis........................................................................................................................................................ 24
Funded Status – Low-Default-Risk Basis .............................................................................................................................................. 25
Summary of Valuation Data ...................................................................................................................................................................... 26
List of Class 1 Benefit Provisions ........................................................................................................................................................... 26
Plan's Major Benefit Options .................................................................................................................................................................... 27
97
CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 1
Actuarial Certification
It is our opinion that the valuation has been performed in accordance with generally accepted actuarial principles as well as the
applicable Standards of Practice promulgated by the Actuarial Standards Board . While this report, consisting of Section 1 and
Section 2 , is intended to be complete, our office is available to answer questions as needed. All of t he undersigned are actuaries
who satisfy the Qualification Standards for Actuaries Issuing Statements of Actuarial Opinion in the United States of the
American Academy of Actuaries with regard to pensions.
Actuarial Methods and Assumptions
It is our opinion that the assumptions and methods, as recommended by the Chief Actuary and adopted by the CalPERS Board
of Administration, are internally con sistent and reasonable for this plan.
Randall Dziubek, ASA, MAAA
Deputy Chief Actuary, Valuation Services , CalPERS
Scott Terando , ASA, EA, MAAA, FCA, CFA
Chief Actuary, CalPERS
Actuarial Data and Rate Plan Results
To the best of my knowledge and having relied upon the attestation above that the actuarial methods and assumptions are
reasonable as well as the information in Section 2 of this report , this report is complete and accurate and contains sufficient
information to disclose, fully and fairly, the funded condition of the PEPRA Miscellaneous Plan of the City of Moorpark and
satisfies the actuarial valuation requirements of Government Code section 7504. This valuation and related validation work wa s
performed by the CalPERS Actuarial Office . The valuation was based on the member and financial data as of June 30, 2023,
provided by the various CalPERS databases and the benefits under this plan with CalPERS as of the date this report was
produced. Section 1 of this report is based on the member and financial data for City of Moorpark, while Section 2 is based on
the corresponding information for all agencies participating in the Miscellaneous Risk Pool to which the plan belongs .
David Clement, ASA, MAAA, EA
Senior Actuary, CalPERS
98
Highlights and Executive Summary
• Introduction 3
• Purpose of Section 1 3
• Summary of Key Valuation Results 4
• Changes Since the Prior Year’s Valuation 5
• Subsequent Events 5
99
CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 3
Introduction
This report presents the results of the June 30, 2023 , actuarial valuation of the PEPRA Miscellaneous Plan of the City of
Moorpark of the California Public Employees’ Retirement System (CalPERS). This actu arial valuation sets the minimum required
contributions for fiscal year (FY) 2025-26.
Purpose of Section 1
This Section 1 report for the PEPRA Miscellaneous Plan of the City of Moorpark of CalPERS was prepared by the Actuarial Office
using data as of June 30, 2023. The purpose of the valuation is to:
• Set forth the assets and accrued liabilities of this rate plan as of June 30, 2023;
• Determine the minimum required employer contribution s for this rate plan for FY July 1, 2025, through June 30, 2026;
• Determine the required member contribution rate for FY July 1, 2025, through June 30, 2026, for employees subject to
the California Public Employees' Pension Refor m Act of 2013 (PEPRA); and
• Provide actuarial information as of June 30, 2023, to the CalPERS Board of Administration (board) and other interested
parties.
The pension funding information presented in this report should not be used in financial reports subject to Governmental
Accounting Standards Board (GASB) Statement No. 68 for a Cost Sharing Employer Defined Benefit Pension Plan. A separate
accounting valu ation report for such purposes is available on the CalPERS website (www.calpers.ca.gov).
The measurements shown in this actuarial valuation may not be applicable for other purposes. The agency should contact a
CalPERS actuary before disseminating any porti on of this report for any reason that is not explicitly described above.
Future actuarial measurements may differ significantly from the current measurements presented in this report due to such
factors as the following: plan experience differing from tha t anticipated by the economic or demographic assumptions; changes
in economic or demographic assumptions; changes in actuarial policies; changes in plan provisions or applicable law ; and
differences between the required contributions determined by the valu ation and the actual contributions made by the agency.
Assessment and Disclosure of Risk
This report includes the following risk disclosures consistent with the guidance of Actuarial Standard s of Practice No. 51 and
recommended by the California Actuaria l Advisory Panel (CAAP) in the Model Disclosure Elements document:
• A “Scenario Test,” projecting future results under different investment income returns.
• A “Sensitivity Analysis,” showing the impact on current valuation results using alternative discount rates of 5.8% and
7.8 %.
• A “Sensitivity Analysis,” showing the impact on current valuation results assuming rates of mortality are 10 % lower or
10% higher than our current post-retirement mortality assumptions adopted in 20 21.
• Plan maturity measures indicating how sensitive a plan may be to the risks noted above.
100
CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 4
Summary of Key Valuation Results
Below is a brief summary of key valuation results along with page references where more detailed information can be found .
Required Employer Contributions — page 8
Fiscal Year
2024-25
Fiscal Year
2025-26
Employer Normal Cost Rate 7.87% 7.96%
Unfunded Accrued Liability (UAL) Contribution Amount $6,174 $13,656
Paid either as
Option 1) 12 Monthly Payments of $514.50 $1,138.00
Option 2) Annual Prepayment in July $5,974 $13,214
Member Contribution Rates — page 9
Fiscal Year
2024-25
Fiscal Year
2025-26
Member Contribution Rate 7.75%
7.75%
Projected Employer Contributions — page 14
Fiscal
Year
Normal Cost
(% of payroll)
Annual
UAL Payment
2026-27 8.0% $18,000
2027-28 8.0% $23,000
2028-29 8.0% $27,000
2029-30 8.0% $28,000
2030-31 8.0% $28,000
Funded Status — Funding Policy Basis — page 12
June 30, 2022 June 30, 2023
Entry Age Accrued Liability (AL) $1,314,699 $1,862,419
Market Value of Assets (MVA) 1,142,450 1,617,067
Unfunded Accrued Liability (UAL) [AL – MVA] $172,249 $245,352
Funded Ratio [MVA ÷ AL ] 86.9% 86.8%
Summary of Valuation Data — Page 26
June 30, 2022 June 30, 2023
Active Member Count 32 37
Annual Covered Payroll $2,243,729 $2,642,529
Transferred Member Count 8 12
Separated Member Count 14 14
Retired Members and Beneficiaries Count 1 1
101
CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 5
Changes Since the Prior Year’s Valuation
Benefits
The standard actuarial practice at CalPERS is to recognize mandated legislative benefit changes in the first annual valuation
following the effective date of the legislation. For pooled rate plans, voluntary benefit changes by plan amendment are generally
included in the first valuation with a valuation date on or after the effective date of the amendment.
Please refer to the Plan’s Major Benefit Options in this report and Appendix B of the Section 2 Report for a su mmary of the plan
provisions used in this valuation.
Actuarial Methods and Assumptions
There are no significant changes to the actuarial methods or assumptions for the June 30, 2023, actuarial valuation.
New Disclosure Items
In December 2021, the Actuarial Standards Board issued a revision of Actuarial Standard of Practice No. 4 (ASOP 4) requiring
actuaries to disclose a low -default-risk obligation measure (LDROM) of the benefits earned. This information is shown in a new
exhibit, Funded Status – Low-Default-Risk Basis.
Subsequent Events
This actuarial valuation report reflects fund investment return through June 30, 2023, as well as statutory changes , regulatory
changes and board actions through January 202 4.
During the time period between the valuation date and the publication of this report, inflation has been higher t han the expected
inflation of 2.3% per annum. Since inflation influences cost-of-living increases for retirees and beneficiaries and active member
pay increases, higher inflation is likely to put at least some upward pressure on contribution requirements a nd downward
pressure on the funded status in the June 30, 202 4, valuation. The actual impact of higher inflation on future valuation results
will depend on, among other factors , how long higher inflation persists.
The 2023 annual benefit limit under Internal Revenue Code (IR C) section 415(b) and annual compensation limits under IR C
section 401(a)(17) and Government Code section 7522.10 were used for this valuation and are assumed to increase 2.3% per
year based on the price inflation assumption. The actual 2024 limits, determined in October 2023, are not reflected.
On April 16, 2024, the board took action to modify the Funding Risk Mitigation Policy to remove the automatic change to the
discount rate when the investment return exceeds various thresholds. R ather than an automatic change to the discount rate, a
board discussion would be placed on the calendar. The 95th percentile return in the Future Investment Return Scenarios exhibit
in this report has not been m odified and still reflects the projected contribution requirements associated with a reduction in the
discount rate.
To the best of our knowledge, there have been no other subsequent events that could materially affect current or future
certifications ren dered in this report.
102
Liabilities and Contributions
• Determination of Required Contributions 7
• Required Employer Contributions 8
• Member Contribution Rates 9
• Other Pooled Miscellaneous Risk Pool Rate Plans 10
• Breakdown of Entry Age Accrued Liability 11
• Allocation of Plan’s Share of Pool’s Experience 11
• Development of the Plan’s Share of Pool’s Assets 11
• Funded Status – Funding Policy Basis 12
• Additional Employer Contributions 13
• Projected Employer Contributions 14
• Schedule of Amortization Bases 15
• Amortization Schedule and Alternatives 16
• Employer Contribution History 18
• Funding History 18
103
CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 7
Determination of Required Contributions
Contributions to fund the plan are determined by an actuarial valuation performed each year. The valuation employs complex
calculations based on a set of actuarial assumptions and methods. See Appendix A in Section 2 for information on the
assumptions and methods used in this valuation. The valuation incorporates all plan experience through the valuation date and
sets required contributions for the fiscal year that begins two years after the valuation d ate.
Contribution Components
Two components comprise required contributions:
• Normal Cost — expressed as a percentage of pensionable payroll
• Unfunded Accrued Liability (UAL) Contribution — expressed as a dollar amount
Normal Cost represents the value of benefits allocated to the upcoming year for active employees. If all plan experience exactly
matched the actuarial assumptions, normal cost would be sufficient to fully fund all benefits. The em ployer and employee s each
pay a share of the normal cost with contributions payable as part of the regular payroll reporting process. The contribution rate
for Classic members is set by statute based on benefit formula whereas for PEPRA members it is based on 50% of the total
normal cost.
When plan experience diffe rs from the actuarial assumptions, unfunded accrued liability (UAL) emerges. The new UAL may be
positive or negative. If the total UAL is positive (i.e., accrued liability exceeds assets), the employer is required to make
contributions to pay off the UAL o ver time. This is called the Unfunded Accrued Liability Contribution component. There is an
option to prepay this amount during July of each fiscal year , otherwise it is paid monthly.
In measuring the UAL each year, plan experience is split by source. Common sources of UAL include investment experience
different than expected , non-investment experience different than expected , assumption changes and benefit changes. Each
source of UAL (positive or negative) forms a base that is amortized, or paid off, o ver a specified period of time in accordance
with the CalPERS Actuarial Amortization Policy. The Unfunded Accrued Liability Contribution is the sum of the payments on all
bas es. See the Schedule of Amortization Bases section of this report for an inventory of existing bases and Appendix A in
Section 2 for more information on the amortization policy.
104
CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 8
Required Employer Contributions
The required employer contributions in this report do not reflect any cost sharing arrangement between the agency and the
employees.
Fiscal Year
Required Employer Contributions 2025-26
Employer Normal Cost Rate 7.96%
Plus
Unfunded Accrued Liability (UAL) Contribution Amount 1 $13,656
Paid either as
1) Monthly Payment $1,138.00
Or
2) Annual Prepayment Option* $13,214
The total minimum required employer contribution is the sum of the Plan’s Employer Normal Cost Rate
(expressed as a percentage of payroll and paid as payroll is reported) and the Unfunded Accrued Liability (UAL)
Contribution Amount (billed monthly (1) or p repaid annually (2) in dollars).
* Only the UAL portion of the employer contribution can be prepaid (which must be received in full no later
than July 31).
For Member Contribution Rates see the following page.
Fiscal Year Fiscal Year
Development of Normal Cost as a Percentage of Payroll 2024-25 2025-26
Base Total Normal Cost for Formula 15.62% 15.71%
Surcharge for Class 1 Benefits 2
None 0.00% 0.00%
Plan’s Total Normal Cost 15.62% 15.71%
Offset Due to Employee Contributions 3 7.75% 7.75%
Employer Normal Cost 7.87% 7.96%
1 The required payment on amortization bases does not take into account any additional discretionary payment made after
April 30, 2024.
2 Section 2 of this report contains a list of Class 1 benefits and corresponding surcharges.
3 This is the expected employee contributions, taking into account individual benefit formula and any offset from the use of a
modified formula, divided by projected annual payroll. For member contribution rates above the breakpoint for each benefit
formula, see Member Contribution Rates .
105
CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 9
Member Contribution Rates
The required member contributions in this report do not reflect any cost sharing arrangement between the agency and the
employees.
The California Public Employees’ Pension Reform Act of 2013 (PEPRA) established new benefit formulas, final compensation
period, and contribution requirements for “new” employees (generally those first hired into a CalPERS -covered position on or
after January 1, 2013). In accordance with Government Code Section 7522.30(b), “new members … shall have an initial
contribution rate of at least 50% of the normal cost rate.” The normal cost rate for the plan is dependent on the benefit levels,
actuarial assumption s and demographics of the risk pool, particularly members’ entry age. Should the total normal cost rate of
the plan change by more than 1% from the base total normal cost rate established for the plan , the new member rate shall be
50% of the new normal cos t rate rounded to the nearest quarter percent.
The table below shows the determination of the PEPRA member contribution rates effective July 1, 2025, based on 50% of the
total normal cost rate as of the June 30, 2023, valuation.
Basis for Current Rate Rates Effective July 1, 2025
Rate Plan
Identifier Benefit Group Name
Total
Normal
Cost
Member
Rate
Total
Normal
Cost Change
Change
Needed
Member
Rate
27037 Miscellaneous PEPRA Level 15.43% 7.75% 15.71% 0.28% No 7.75%
106
CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 10
Other Pooled Miscellaneous Risk Pool Rate Plans
All of the results presented in this Section 1 report, except those shown on this page , correspond to rate plan 27037. In many
cases, employers have additional rate plans within the sa me risk pool. For cost analysis and budgeting it is useful to consider
contributions for these rate plans as a whole rather than individually. The estimated contribution amounts and rates for all of the
employer’s rate plans in the Miscellaneous Risk Pool are shown below and assume that the total employer payroll within the
Miscellaneous Risk Pool will grow according to the overall payroll growth assumption of 2.80% per ye ar for three years. Classic
members who are projected to terminate employment are assumed to be replaced by PEPRA members.
Fiscal Year Fiscal Year
Estimated Employer Contributions for all Pooled Miscellaneous Rate Plans 2024-25 2025-26
Projected Payroll for the Contribution Year $5,412,687 $6,134,430
Estimated Employer Normal Cost $530,125 $600,212
Required Payment on Amortization Bases $160,459 $337,661
Estimated Total Employer Contributions $690,584 $937,873
Estimated Total Employer Contribution Rate (illustrative only) 12.76% 15.29%
107
CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 11
Breakdown of Entry Age Accrued Liability
Active Members $1,390,198
Transferred Members 325,736
Separated Members 84,849
Members and Beneficiaries Receiving Payments 61,636
Total $1,862,419
Allocation of Plan’s Share of Pool’s Experience
It is the policy of CalPERS to ensure equity within the risk pools by allocating the pool’s experience gains/losses and assum ption
changes in a manner that treats each employer equitably and maintains benefit security for the members of the System while
minimizing substantial variations in employer contributions. The pool’s experience gains/losses and impact of
assumption/method changes is allocated to the plan as follows:
1. Plan’s Accrued Liability $1,862,419
2. Projected UAL Balance at 6/30/2023 206,132
3. Other UAL Adjustments (Golden Handshake, Prior Service Purchase, etc.) 0
4. Adjusted UAL Balance at 6/30/2023 for Asset Share 206,132
5. Pool’s Accrued Liability1 23,349,910,053
6. Sum of Pool’s Individual Plan UAL Balances at 6/30/20231 5,227,602,209
7. Pool’s 2022-23 Investment (Gain)/Loss1 114,855,623
8. Pool’s 2022-23 Non-Investment (Gain)/Loss1 360,116,330
9. Plan’s Share of Pool’s Investment (Gain)/Loss: [(1) - (4)] ÷ [(5) - (6)] × (7) 10,497
10. Plan’s Share of Pool’s Non -Investment (Gain)/Loss: (1) ÷ (5) × (8) 28,723
11. Plan’s New (Gain)/Loss as of 6/30/2023: (9) + (10) 39,220
12. Increase in Pool’s Accrued Liability due to Change in Assumptions1 0
13. Plan’s Share of Pool’s Change in Assumptions: (1) ÷ (5) × (12) 0
14. Increase in Pool’s Accrued Liability due to Funding Risk Mitigation1 0
15. Plan’s Share of Pool’s Change due to Funding Risk Mitigation: (1) ÷ (5) × (14) 0
16. Offset due to Funding Risk Mitigation 0
17. Plan’s Investment (Gain)/Loss: (9) – (16) 10,497
1 Does not include plans that transferred to the pool on the valuation date.
Development of the Plan’s Share of Pool’s Assets
18. Plan’s UAL: (2) + (3) + (11) + (13) + (15) $245,352
19. Plan’s Share of Pool’s Market Value of Assets (MVA): (1) - (18) $1,617,067
For a reconciliation of the pool’s Market Value of Assets (MVA), information on the fund’s asset allocation and a history of
CalPERS investment returns, see Section 2, which can be found on the CalPERS website (www.calpers.ca.gov).
108
CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 12
Funded Status – Funding Policy Basis
The table below provides information on the current funded status of the plan under the funding policy . The funded status for this
purpose is based on the market value of assets relative to the funding target produced by the entry age actuarial cost method
and actuarial assumptions adopted by the board. The actuarial cost method allocates the total expecte d cost of a member’s
projected benefit (Present Value of Benefits) to individual years of service (the Normal Cost). The value of the projected benefit
that is not allocated to future service is referred to as the Accrued Liability and is the plan’s fundin g target on the valuation date.
The Unfunded Accrued Liability (UAL) equals the funding target minus the assets. The UAL is an absolute measure of funded
status and can be viewed as employer debt. The funded ratio e quals the assets divided by the funding target. The funded ratio
is a relative measure of the funded status and allows for comparisons between plans of different sizes.
A funded ratio of 100% (UAL of $0) implies that the funding of the plan is on target and that future contributions equal to the
normal cost of the active plan members will be sufficient to fully fund all retirement benefits if future experience matches the
actuarial assumptions. A funded ratio of less than 100% (positive UAL) implies that in addition to normal costs, payments toward
the UAL will be required. Plans with a funded ratio greater than 100% have a negative UAL (or surplus) but are required under
current law to continue contributing the normal cost in most cases, preserving the surplus for future contingencies.
Calculations for the funding target reflect the expected long -term investment return of 6.8%. If it were known on the valuation
date that future investment returns will average something greater/less than the expected return, calculated normal costs and
accrued liabilities provided in this report would be less/greater than the results shown. Therefore, for example, if actual a verage
future returns are less than th e expected return, calculated normal costs and UAL contributions will not be sufficient to fully fund
all retirement benefits. Under this scenario, required future normal cost contributions will need to increase from those prov ided in
this report, and the plan will develop unfunded liabilities that will also add to required future contributions. For illustrative
purposes, funded statuses based on a 1% lower and higher average future investment return (discount rate) are as follows:
The Risk Analysis section of the report provides additional information regarding the sensitivity of valuation results to the
expected investment return and other factors. Also provided in that section are measures of funded status that are appropriat e
for assessing the su fficiency of plan assets to cover estimated termination liabilities.
June 30, 2022 June 30, 2023
1. Present Value of Benefits $5,143,875 $6,323,848
2. Entry Age Accrued Liability 1,314,699 1,862,419
3. Market Value of Assets (MVA) 1,142,450 1,617,067
4. Unfunded Accrued Liability (UAL) [(2) – (3)] $172,249 $245,352
5. Funded Ratio [(3) ÷ (2)] 86.9% 86.8%
1% Lower
Average Return
Current
Assumption
1% Higher
Average Return
Discount Rate 5.8% 6.8% 7.8%
1. Entry Age Accrued Liability $2,298,157 $1,862,419 $1,527,469
2. Market Value of Assets (MVA) 1,617,067 1,617,067 1,617,067
3. Unfunded Accrued Liability (UAL) [(1) – (2)] $681,090 $245,352 ($89,598)
4. Funded Ratio [(2) ÷ (1)] 70.4% 86.8% 105.9%
109
CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 13
Additional Employer Contributions
The minimum required employer contribution towards the Unfunded Accrued Liability (UAL) for this rate plan for FY 2025-26 is
$13,656 . CalPERS allows agencies to make additional discretionary payments (ADPs) at any time. These optional payments
serve to reduce the UAL and future required contributions and can result in significant long -term savings. Agencies can also use
ADPs to stabilize annual contributions as a fixed dollar amount, percent of payroll or percent of revenue.
Provided below are select ADP options for consideration. Making such an ADP during FY 2025-26 does not require an ADP be
made in any future year, nor does it change the remaining amortization period of any portion of unfunded liability. For
information on permanent changes to amortization periods, see Amortization Schedule and Alternatives . Agencies considering
making an ADP should contact CalPERS for additional information.
Fiscal Year 2025-26 Employer Contributions — Illustrative Scenarios
Funding Approach Estimated
Normal Cost
Minimum UAL
Contribution ADP 1 Total UAL
Contribution
Estimated Total
Contribution
Minimum required only $264,480 $13,656 0 $13,656 $278,136
20 year funding horizon $264,480 $13,656 $10,936 $24,592 $289,072
15 year funding horizon $264,480 $13,656 $15,032 $28,688 $293,168
10 year funding horizon $264,480 $13,656 $23,673 $37,329 $301,809
5 year funding horizon $264,480 $13,656 $50,538 $64,194 $328,674
The minimum required contribution above is less than interest on the UAL. With no ADP the UAL is projected to increase over
the following year. If the minimum UAL payment were split between interest and principal, the principal portion would be
negative. This situation is referred to as negative amortization. If only the minimum required contribution is made, contributions
are not expected to exceed interest on the UAL until FY 2027-28, as shown in the Amortization Schedule and Alternatives
section of the report (see columns labeled Current Amortization Schedule).
Fiscal Year 2025-26 Employer Contribution Necessary to Avoid Negative Amortization
Estimated
Normal Cost
Minimum UAL
Contribution
ADP 1 Total UAL
Contribution
Estimated Total
Contribution
$264,480 $13,656 $4,338 $17,994 $282,474
1 The ADP amounts are assumed to be made in the middle of the fiscal year. A payment made earlier or later in the fiscal year w ould have to be
less or more than the amount shown to have the same effect on the UAL amortization.
The calculations above are based on the projected UAL as of June 30, 2025, as determined in the June 30, 2023, actuarial
valuation. New unfunded liabilities can emerge in future years due to assumption or method changes, changes in plan
provisions, and actuarial experience different than assumed. Making an ADP illustrated above for the indicated number of year s
will not result in a plan that is exactly 100% funded in the indicated number of years. Valuation results will vary from one ye ar to
the next and can diverge significantly from projections over a period of several years.
Additional Discretionary Payment His tory
The following table provides a recent history of actual ADPs made to the plan.
Fiscal
Year ADP Fiscal
Year ADP
2019-20 $0 2022-23 $0
2020-21 $0 2023-242 $0
2021-22 $0
2 Ex cludes payments made after April 30, 2024
110
CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 14
Projected Employer Contributions
The table below shows the required and projected employer contributions (before cost sharing) for the next six fiscal years. The
projection assumes that all actuarial assumptions will be realized and that no further changes to assumptions, contributions,
benefits, or funding will occur during the projection period. In particular, the investment return beginning with FY 2023-24 is
assumed to be 6.80% per year, net of investment and administrative expenses. Future contribution requirements may differ
significantly from those shown below. The actual long -term cost of the plan will depend on the actual benefits and expenses paid
and the actual investment experience of the fund.
Required
Contribution
Projected Future Employer Contributions
(Assumes 6.80% Return for Fiscal Year 2023-24 and Beyond)
Fiscal Year 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31
Rate Plan 27037 Results
Normal Cost % 7.96% 8.0% 8.0% 8.0% 8.0% 8.0%
UAL Payment $13,656 $18,000 $23,000 $27,000 $28,000 $28,000
For ongoing plans, investment gains and losses are amortized using a 5 -year ramp up. For more information, please see
Amortization of Unfunded Actuarial Accrued Liability in Appendix A of the Section 2 Report. This method phases in the impact of
the change in UAL over a 5 -year period in order to reduce em ployer cost volatility from year to year. As a result of this
methodology, dramatic changes in the required employer contributions in any one year are less likely. However, required
contributions can change gradually and significantly over the next five ye ars. In years when there is a large i nvestment loss, the
relatively small amortization payments during the ramp up period could result in contributions that are less than interest on the
UAL (i.e. negative amortization) while the contribution impact of the increase in the UAL is phased in.
The required contribution for FY 2025-26 is less than interest on the UAL, a situation referred to as negative amortization,
as explained in the Additional Employer Contributions section earlier in this report. If only the minimum required contribution is
made, contributions are not expected to exceed interest on the UAL un til FY 2027-28, as shown in the Amortization Schedule
and Alternatives section of the report (see columns labelled “Current Amortization Sched ule”).
For projected contributions under alternate investment return scenarios, please see the Future Investment Return Scenarios
exhibit. Our online pension plan projection tool, Pension Outlook, is available in the Employers section of the CalPERS website.
Pension Outlook can help plan and budget pension costs under various scenarios.
111
CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 15
Schedule of Amortization Bases
Below is the schedule of the plan’s amortization bases. Note that there is a two -year lag between the valuation date and the start of the contribution year.
• The assets, liabilities and funded status of the pl an are measured as of the valuation date: June 30, 2023 .
• The required employer contributions determined by the valuation are for the fiscal year beginning two years after the valuati on date: FY 2025-26.
This two-year lag is necessary due to the amount of time needed to extract and test the membership and financial data, and the need to provide public agencies with
their required employer contribution well in advance of the start of the fiscal year.
The Unfunded Accrued Liability (UAL) is used to determine the employer contribution and therefore must be rolled forward two years from the valuation date to the first
day of the fisca l year for which the contribution is being determined. The UAL is rolled forward each year by subtracting the expected paymen t on the UAL for the fiscal
year and adjusting for interest. The expected payment on the UAL for FY 2023-24 is based on the actuarial valuation two years ago , adjusted for additional discretionary
payments made on or before April 30, 2024, if necessary, and the expected payment for FY 2024-25 is based on the actuarial valuation one year ago.
Reason for Base
Date
Est.
Ramp
Level
2025-26
Ramp
Shape
Escala-
tion
Rate
Amort.
Period
Balance
6/30/23
Expected
Payment
2023-24
Balance
6/30/24
Expected
Payment
2024-25
Balance
6/30/25
Minimum
Required
Payment
2025-26
Non-Investment (Gain)/Loss 6/30/22 No Ramp 0.00% 19 19,733 0 21,075 1,895 20,550 1,895
Partial Fresh Start 6/30/22 40% Up Only 0.00% 19 186,399 0 199,074 4,279 208,189 8,558
Investment (Gain)/Loss 6/30/23 20% Up Only 0.00% 20 10,497 0 11,211 0 11,973 257
Non-Investment (Gain)/Loss 6/30/23 No Ramp 0.00% 20 28,723 0 30,676 0 32,762 2,946
Total 245,352 0 262,036 6,174 273,474 13,656
The (gain)/loss bases are the plan’s allocated share of the risk pool’s (gain)/loss for the fiscal year as disclosed in Allocation of Plan’s Share of Pool’s Experience earl ier
in this report. These (gain)/loss bases will be amortized in accordance with the CalPERS amortization policy in effect at the time the base was established.
112
CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 16
Amortization Schedule and Alternatives
The amortization schedule on the previous page (s) shows the minimum contributions required according to the CalPERS
amortization policy. Many agencies have expressed a desire for a more stable pattern of payments or have indicated interest in
paying off the unfunded accrued liabilities more quickly than required. As such, we have provided alternative amortization
schedules to help analyze the current amortization schedule and illustrate the potential savings of accelerating unfunded lia bility
payments.
Shown on the following page are future year amorti zation payments based on 1) the current amortization schedule reflecting the
individual bases and remaining periods shown on the previous page, and 2) alternative “fresh start” amortization schedules
using two sample periods that would both result in inter est savings relative to the current amortization schedule. To initiate a
fresh s tart, please contact a CalPERS actuary.
The current amortization s chedule typically contains both positive and negative bases. Positive bases result from plan changes,
assumption changes, method changes or plan experience that increase unfunded liability. Negative bases result from plan
changes, assumption changes, method changes, or plan experience that decrease unfunded liability. The combination of
positive and negative base s within an amortization schedule can result in unusual or problematic circumstances in future years,
such as:
• When a negative payment would be required on a positive unfunded actuarial liability; or
• When the payment would completely amortize the total un funded liability in a very short time period, and results in a
large change in the employer contribution requirement.
In any year when one of the above scenarios occurs, the actuary will consider corrective action such as replacing the existin g
unfunded l iability bases with a single “fresh start” base and amortizing it over a n appropriate period.
The current amortization s chedule on the following page may appear to show that, based on the current amortization bases, one
of the above scenarios will occur at some point in the future. It is impossible to know today whether such a scenario will in fact
arise since there will be additional bases added to the amortization schedule in each future year. Should such a scenario ari se in
any future year, the actuary will take appropriate action based on guidelines in the CalPERS Actuarial Amortization Policy.
113
CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 17
Amortization Schedule and Alternatives (continued)
Alternative Schedules
Current Amortization
Schedule 20 Year Amortization 15 Year Amortization
Date Balance Payment Balance Payment Balance Payment
6/30/2025 273,474 13,656 273,474 24,592 273,474 28,688
6/30/2026 277,958 18,193 266,656 24,592 262,423 28,688
6/30/2027 278,058 22,729 259,374 24,592 250,620 28,688
6/30/2028 273,476 27,265 251,597 24,592 238,015 28,689
6/30/2029 263,896 27,523 243,291 24,592 224,552 28,689
6/30/2030 253,397 27,523 234,420 24,592 210,173 28,688
6/30/2031 242,185 27,523 224,946 24,591 194,817 28,689
6/30/2032 230,210 27,523 214,829 24,591 178,416 28,688
6/30/2033 217,421 27,524 204,024 24,592 160,901 28,688
6/30/2034 203,762 27,524 192,483 24,591 142,195 28,689
6/30/2035 189,174 27,525 180,158 24,591 122,216 28,689
6/30/2036 173,592 27,523 166,995 24,591 100,878 28,688
6/30/2037 156,953 27,524 152,937 24,592 78,090 28,688
6/30/2038 139,181 27,523 137,922 24,591 53,753 28,689
6/30/2039 120,203 27,525 121,887 24,591 27,760 28,688
6/30/2040 99,931 27,524 104,762 24,591
6/30/2041 78,282 27,524 86,472 24,591
6/30/2042 55,161 27,523 66,939 24,592
6/30/2043 30,469 27,524 46,076 24,591
6/30/2044 4,096 4,233 23,796 24,592
6/30/2045
6/30/2046
6/30/2047
6/30/2048
6/30/2049
Total 498,931 491,830 430,326
Interest Paid 225,457 218,356 156,852
Estimated Savings 7,101 68,605
114
CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 18
Employer Contribution History
The table below provides a recent history of the employer contribution requirements for the plan , as determined by the annual
actuarial valuation . Changes due to prepayments or plan amendments after the valuation report was finalized are not reflected.
[
Valuation
Date
Contribution
Year
Employer
Normal Cost Rate
Unfunded Liability
Payment
06/30/2014 2016 - 17 6.555% $98
06/30/2015 2017 - 18 6.533% 256
06/30/2016 2018 - 19 6.842% 427
06/30/2017 2019 - 20 6.985% 748
06/30/2018 2020 - 21 7.732% 1,430
06/30/2019 2021 - 22 7.59% 2,130
06/30/2020 2022 - 23 7.47% 3,341
06/30/2021 2023 - 24 7.68% 0
06/30/2022 2024 - 25 7.87% 6,174
06/30/2023 2025 - 26 7.96% 13,656
Funding History
The table below shows the recent history of the actuarial accrued liability, share of the pool’s market value of assets, unfunded
accrued liability, funded ratio and annual covered payroll.
Valuation
Date
Accrued
Liability
(AL)
Share of Pool’s
Market Value of
Assets (MVA)
Unfunded
Accrued Liability
(UAL)
Funded
Ratio
Annual
Covered
Payroll
06/30/2014 $1,134 $1,184 ($50) 104.5% $45,781
06/30/2015 13,949 13,103 846 93.9% 267,754
06/30/2016 60,963 55,366 5,597 90.8% 480,842
06/30/2017 118,920 112,859 6,061 94.9% 533,369
06/30/2018 241,416 222,056 19,360 92.0% 669,749
06/30/2019 337,313 304,801 32,512 90.4% 846,573
06/30/2020 561,555 508,425 53,130 90.5% 1,389,863
06/30/2021 889,710 934,610 (44,900) 105.0% 1,575,779
06/30/2022 1,314,699 1,142,450 172,249 86.9% 2,243,729
06/30/2023 1,862,419 1,617,067 245,352 86.8% 2,642,529
115
Risk Analysis
• Future Investment Return Scenarios 20
• Discount Rate Sensitivity 21
• Mortality Rate Sensitivity 21
• Maturity Measures 22
• Maturity Measures History 23
• Funded Status – Termination Basis 24
• Funded Status – Low-Default-Risk Basis 25
116
CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 20
Future Investment Return Scenarios
Analysis using the investment return scenarios from the Asset Liability Management process completed in 2021 was performed
to determine the effects of various future investment returns on required employer contributions. The projections below refle ct
the impact of the CalPERS Funding Risk Mitigation Policy. The projections also assume that all other actuarial assumptions will
be realized and that no further changes in assumptions, contributions, benefits, or funding will occur.
The first table shows projected contribution requirements if the fund were to earn either 3.0% or 10.8% annually. These alter nate
investment returns were chosen because 90% of long -term average returns are expected to fall between them over the 20 -year
period ending June 30, 2043.
Assumed Annual Return
FY 2023-24
through FY 2042-43
Projected Employer Contributions
2026-27 2027-28 2028-29 2029-30 2030-31
3.0% (5th percentile)
Discount Rate 6.80% 6.80% 6.80% 6.80% 6.80%
Normal Cost Rate 8.0% 8.0% 8.0% 8.0% 8.0%
UAL Contribution $20,000 $27,000 $36,000 $43,000 $51,000
10.8% (95th percentile)
Discount Rate 6.75% 6.70% 6.65% 6.60% 6.55%
Normal Cost Rate 8.2% 8.4% 8.6% 8.3% 8.5%
UAL Contribution $17,000 $19,000 $19,000 $0 $0
Required contributions outside of this range are also possible. In particular, whereas it is unlikely that investment returns will
average less than 3.0% or greater than 10.8% over a 20 -year period, the likelihood of a single investment return less than 3.0%
or greater than 10.8% in any given year is much greater. The following analysis illustrates the effect of an extreme, single year
investment return.
The portfolio has an expected volatility (or standard deviation) of 12.0% per year. Accordingly, in any given year there is a 16%
probability that the annual return will be -5.2% or less and a 2.5% probability that the annual return will be -17.2% or less. These
returns represent one and two standard deviations below the expected return of 6.8%.
The following table shows the effect of one and two standard deviation investment loss es in FY 2023-24 on the FY 2026-27
contribution requirements. Note that a single -year investment gain or loss decreases or increases the required UAL contribution
amount incrementally for each of the next five years, not just one, due to the 5 -year ramp in the amortization policy. However,
the contribution requirements beyond the first year are also impacted by investment returns beyond the first y ear. Historically,
significant downturns in the market are often followed by higher than average returns. Such investment gains would offset the
impact of these single year negative returns in years beyond FY 2026-27.
Assumed Annual Return for
Fiscal Year 2023-24
Required
Employer
Contributions
Projected
Employer
Contributions
2025-26 2026-27
(17.2%) (2 standard deviation loss)
Discount Rate 6.80% 6.80%
Normal Cost Rate 7.96% 8.0%
UAL Contribution $13,656 $28,000
(5.2%) (1 standard deviation loss)
Discount Rate 6.80% 6.80%
Normal Cost Rate 7.96% 8.0%
UAL Contribution $13,656 $23,000
• Without investment gains (returns higher than 6.8%) in FY 2024-25 or later, projected contributions rates would
continue to rise over the next four years due to the continued phase -in of the impact of the illustrated investment loss in
FY 2023-24.
• The Pension Outlook Tool can be used to model projected contributions for these scenarios beyond FY 2026-27 as
well as to model other investment return scenarios .
117
CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 21
Discount Rate Sensitivity
The discount rate assumption is calculated as the sum of the assumed real rate of return and the assumed annual price
inflation, currently 4.5% and 2.3%, respectively. Changing either t he price inflation assumption or the real rate of return
assumption will change the discount rate. The sensitivity of the valuation results to the discount rate assumption depends on
which component of the discount rate is changed. Shown below are various valuation results as of June 30, 2023, assuming
alternate discount rates by changing the two components independently. Results are shown using the current discount rate of
6.8% as well as alternate discount rates o f 5.8% and 7.8%. The rates of 5.8% and 7.8% were selected since they illustrate the
impact of a 1.0% increase or decrease to the 6.8% assumption.
Sensitivity to the Real Rate of Return Assumption
As of June 30, 2023
1% Lower
Real Return Rate
Current
Assumptions
1% Higher
Real Return Rate
Discount Rate 5.8% 6.8% 7.8%
Price Inflation 2.3% 2.3% 2.3%
Real Rate of Return 3.5% 4.5% 5.5%
a) Total Normal Cost 19.65% 15.71% 12.71%
b) Accrued Liability $2,298,157 $1,862,419 $1,527,469
c) Market Value of Assets $1,617,067 $1,617,067 $1,617,067
d) Unfunded Liability/(Surplus) [(b) - (c)] $681,090 $245,352 ($89,598)
e) Funded Ratio 70.4% 86.8% 105.9%
Sensitivity to the Price Inflation Assumption
As of June 30, 2023
1% Lower
Price Inflation
Current
Assumptions
1% Higher
Price Inflation
Discount Rate 5.8% 6.8% 7.8%
Price Inflation 1.3% 2.3% 3.3%
Real Rate of Return 4.5% 4.5% 4.5%
a) Total Normal Cost 16.56% 15.71% 14.29%
b) Accrued Liability $1,959,421 $1,862,419 $1,691,078
c) Market Value of Assets $1,617,067 $1,617,067 $1,617,067
d) Unfunded Liability/(Surplus) [(b) - (c)] $342,354 $245,352 $74,011
e) Funded Ratio 82.5% 86.8% 95.6%
Mortality Rate Sensitivity
The following table looks at the change in the June 30, 2023, plan costs and funded status under two different longevity
scenarios, namely assuming rates of post-retirement mortality are 10% lower or 10 % higher than our current mortality
assumptions adopted in 2021. This type of analysis highlights the impact on the plan of a change in the mortality assumption .
As of June 30, 2023 10% Lower
Mortality Rates
Current
Assumptions
10% Higher
Mortality Rates
a) Total Normal Cost 15.98% 15.71% 15.46%
b) Accrued Liability $1,896,086 $1,862,419 $1,831,294
c) Market Value of Assets $1,617,067 $1,617,067 $1,617,067
d) Unfunded Liability/(Surplus) [(b) - (c)] $279,019 $245,352 $214,227
e) Funded Ratio 85.3% 86.8% 88.3%
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CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 22
Maturity Measures
As pension plans mature they become more sensitive to risks . Understanding plan maturity and how it affects the ability of a
pension plan sponsor to tolerate risk is important in understanding how the pension plan is impacted by investment return
volatility, other economic variables and changes in longevity or other demographic assumptions.
Since it is the employer that bears the risk, it is appropriate to perform this analysis on a pension plan level consider ing all rate
plans. The following measures are for one rate plan only. One way to look at the maturity level of CalPERS and its plans is to
look at the ratio of a plan’s retiree liability to its total liability. A pension plan in its infancy will have a ve ry low ratio of retiree
liability to total liability. As the plan matures, the ratio increas es. A mature plan will often have a ratio above 60%-65%.
Ratio of Retiree Accrued Liability to
Total Accrued Liability June 30, 2022 June 30, 2023
1. Retiree Accrued Liability $61,131 $61,636
2. Total Accrued Liability $1,314,699 $1,862,419
3. Ratio of Retiree AL to Total AL [(1) ÷ (2)] 5% 3%
Another measure of the maturity level of CalPERS and its plans is the ratio of actives to retirees, also called the support ratio. A
pension plan in its infancy will have a very high ratio of active to retired members. As the plan matures and members retire, the
ratio declines. A mature plan will often have a ratio near or below one.
To calculate the support ratio for the rate plan, retirees and beneficiaries receiving a continuance are each counted as one, even
though they may have only worked a portion of their careers as an ac tive member of this rate plan. For this reason, the support
ratio, while intuitive, may be less informative than the ratio of retiree liability to total accrued liability above.
For comparison, the support ratio for all CalPERS public agency plans as of June 30, 2022, was 0.77 and was calculated
consistently with how it is for the individual rate plan. Note that to calculate the support ratio for all public agency plan s, a retiree
with service from more than one CalPERS agency is counted as a retiree more than once.
Support Ratio June 30, 2022 June 30, 2023
1. Number of Actives 32 37
2. Number of Retirees 1 1
3. Support Ratio [(1) ÷ (2)] 32.00 37.00
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CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 23
Maturity Measures (continued)
The actuarial calculations supplied in this communication are based on various assumptions about long -term demographic and
economic behavior. Unless these assumptions (e.g., terminations, deaths, disabilities, retirements, salary increases, investment
return) are exactly realized each year, there will be differences on a year -to -year basis. The year-to -year differences between
actual experience and the assumptions are called actuarial gains and losses and serve to lower or raise requir ed employer
contributions from one year to the next. Therefore, employer contributions will inevitably fluctuate, especially due to the u ps and
downs of investment returns.
Asset Volatility Ratio
Shown in the table below is the asset volatility ratio (AVR), which is the ratio of market value of assets to payroll. Plans that
have a higher AVR experience more volatile employer contributions (as a percentage of payroll) due to investment return. For
example, a plan with an AVR of 8 may experience twice the con tribution volatility due to investment return volatility than a plan
with an AVR of 4. It should be noted that this ratio is a measure of the current situation. It increases over time but generally
tends to stabilize as a plan matures.
Liability Volatility Ratio
Also shown in the table below is the liability volatility ratio (LVR), which is the ratio of accrued liability to payroll. Pl ans that have
a higher LVR experience more volatile employer contributions (as a percentage of payroll) due to changes in li ability. For
example, a plan with an LVR of 8 is expected to have twice the contribution volatility of a plan with an LVR of 4 when there is a
change in accrued liability, such as when there is a change in actuarial assumptions . It should be noted that this ratio indicates a
longer-term potential for contribution volatility, since the AVR, described above, will tend to move closer to the LVR as the
funded ratio approaches 100%.
Contribution Volatility June 30, 2022 June 30, 2023
1. Market Value of Assets $1,142,450 $1,617,067
2. Payroll $2,243,729 $2,642,529
3. Asset Volatility Ratio (AVR) [(1) ÷ (2)] 0.5 0.6
4. Accrued Liability $1,314,699 $1,862,419
5. Liability Volatility Ratio (LVR) [(4) ÷ (2)] 0.6 0.7
Maturity Measures History
Valuation Date
Ratio of
Retiree Accrued Liability
to
Total Accrued Liability Support Ratio
Asset
Volatility
Ratio
Liability
Volatility
Ratio
06/30/2017
0%
N/A 0.2
0.2
06/30/2018
0%
N/A 0.3
0.4
06/30/2019
0%
N/A 0.4
0.4
06/30/2020
0%
N/A 0.4
0.4
06/30/2021
0%
N/A 0.6
0.6
06/30/2022
5%
32.00
0.5
0.6
06/30/2023
3%
37.00
0.6
0.7
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CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 24
Funded Status – Termination Basis
The funded status measured on a termination basis is an estimate of the financial position of the plan had the contract with
CalPERS been terminated as of June 30, 2023. The accrued liability on a termination basis (termination liability) is calculated
differently from the plan’s ongoing funding liability. For the termination liability calculation, both compensation and service are
frozen as of the valuation date and no future pay increases or service accruals are assumed. This measure of funded status is
not appro priate for assessing the need for future employer contributions in the case of an ongoing plan, that is, for an employer
that continues to provide CalPERS retirement benefits to active employees. Unlike the actuarial cost method used for ongoing
plans, the termination liability is the present value of the benefits earned through the valuation date.
A more conservative investment policy and asset allocation strategy was adopted by the board for the Terminated Agency Pool.
The Terminated Agency Pool has limited funding sources since no future employer contributions will be made. Therefore, expected
benefit payments are secured by risk -free assets and benefit security for members is increased while limiting the funding risk.
However, this asset allocation has a lower expected rate of return than the remainder of the PERF and consequently, a lower
discount rate assumption. The lower discount rate for the Terminated Agency Pool results in higher liabilities for terminated plans.
The discount rate used for actual termination valuations is a weighted average of the 10 -year and 30 -year Treasury yields where
the weights are based on matching asset and liability durations as of the termination date. The discount rates used in the fo llowing
analysis is based on 20 -year Treasury bonds, which is a good proxy for most plans. The discount rate upon contract termination
will depend on actual Treasury rates on the date of termination, which varies over time, as shown below.
Valuation 20-Year Valuation 20-Year
Date Treasury Rate Date Treasury Rate
06/30/2014 3.08% 06/30/2019 2.31%
06/30/2015 2.83% 06/30/2020 1.18%
06/30/2016 1.86% 06/30/2021 2.00%
06/30/2017 2.61% 06/30/2022 3.38%
06/30/2018 2.91% 06/30/2023 4.06%
As Treasury rates are variable, the table below shows a range for the termination liability using discount rates 1% below and above
the 20 -year Treasury rate on the valuation date. The price inflation assumption is the 20 -year Treasury breakeven inflation rate,
that is, the difference between the 20-year inflation indexed bond and the 20 -year fixed-rate bond.
The Market Value of Assets (MVA) also varies with interest rates and will fluctuate depending on other market conditions on t he
date of termination. Since it is not possible to approximate ho w the MVA will change in different interest rate environments, the
results below use the MVA as of the valuation date.
Discount Rate: 3.06%
Price Inflation: 2.50%
Discount Rate: 5.06%
Price Inflation: 2.50%
1. Termination Liability1 $2,973,880 $1,841,157
2. Market Value of Assets (MVA) 1,617,067 1,617,067
3. Unfunded Termination Liability [(1) – (2)] $1,356,813 $224,090
4. Funded Ratio [(2) ÷ (1)] 54.4% 87.8%
1 The termination liabilities calculated above include a 5% contingency load. The contingency load and other actuarial
assumptions can be found in Appendix A of the Section 2 report.
In order to terminate the plan, first contact our Pension Contract Services unit to initiate a Resolution of Intent to Terminate. The
completed Resolution will allow a CalPERS actuary to provide a preliminary termination valuation with a more up -to -date
estimate of the plan’s assets and liabilities. Before beginning this process, please c onsult with a CalPERS actuary.
121
CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 25
Funded Status – Low-Default-Risk Basis
Actuarial Standard of Practice (ASOP) No. 4, Measuring Pension Obligations and Determining Pension Plan Costs or
Contributions, requires the disclosure of a low -default-risk obligation measure (LDROM) of benefit costs accrued as of the
valuation date using a discount rate based on the yields of high quality fixed income securities with cash flows that replica te
expected benefit payments. Conceptually, this measure represents the level at which financial markets would value the accrued
plan costs, and would be approximately equal to the cost of a portfolio of low -default-risk bonds with similar financial
characteristics to accrued plan costs.
As permitted in ASOP No. 4, the Actuarial Office uses the Entry Age Actuarial Cost Method to calculate the LDROM. This
methodology is in line with the measure of “benefit entitlements” calculated by the Bureau of Economic Analysis and used by the
Federal Reserve to report the indebtedness due to pensions of plan sponsors and, conversely, the household wealth due to
pensions of plan members.
As shown below, the discount rate used for the LDROM is 4.82%, which is the Standard FTSE Pension Liability Index1 discount
rate as of June 30, 2023 , net of assumed administrative expenses.
Selected Measures on a Low -Default-Risk Basis June 30, 2023
Discount Rate 4.82%
1. Accrued Liability2 – Low-Default-Risk Basis (LDROM)
a) Active Members $2,112,125
b) Transferred Members 563,652
c) Separated Members 105,661
d) Members and Beneficiaries Receiving Payments 80,033
e) Total $2,861,471
2. Market Value of Assets (MVA) 1,617,067
3. Unfunded Accrued Liability – Low-Default-Risk Basis [(1e) – (2)] $1,244,404
4. Unfunded Accrued Liability – Funding Policy Basis 245,352
5. Present Value of Unearned Investment Risk Premium [(3) – (4)] $999,052
The difference between the unfunded liabilities on a low -default-risk basis and on the funding policy basis represents the present
value of the investment risk premium that must be earned in future years to keep future contributions for currently accrued p lan
costs at the levels anticipated by the funding policy.
Benefit security for members of the plan relies on a combination of the assets in the plan, the investment income generated from
those assets, and the ability of the plan sponsor to make necessary future contributions. If future returns fall short of 6.8%,
benefit security could be at risk without higher than currently antici pated future contributions.
The funded status on a low -default-risk basis is not appropriate for assessing the sufficiency of plan assets to cover the cost of
settling the plan’s benefit obligations (see Funded Status – Termination Basis), nor is it appropriate for assessing the need for
future contributions (see Funded Status – Funding Policy Basis ).
1 This index is based on a yield curve of hypothetical AA -rated zero coupon corporate bonds whose maturities range
from 6 months to 30 years. The index represents the single discount rate that would produce the same present value
as discounting a standardized set of liabilit y cash flows for a fully open pension plan using the yield curve. The liability
cash flows are reasonably consistent with the pattern of benefits expected to be paid from the entire Public
Employees’ Retirement Fund for current and former plan members. A different index, hence a different discount rate,
may be needed to measure the LDROM for a subset of the fund, such as a single rate plan or a group o f retirees.
2 If plan assets were invested entirely in the AA fixed income securities used to determine the discount rate of 4.82%,
the CalPERS discount rate could, at various times, be below 4.5% or 5.25%, and some automatic annual retiree
COLAs could be suspended (Gov. Code sections 21329 and 21335). Since there is currently no proposal to adopt an
asset allocation entirely comprised of fixed income securities, the automatic COLAs have been fully valued in the
measures above based on the assumptions used for plan funding. Removing future COLAs from the measurement
would understate the statutory obligation.
122
CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 26
Summary of Valuation Data
The table below shows a summary of the plan’s member data upon which this valuation is based:
June 30, 2022 June 30, 2023
Active Members
Counts 32 37
Average Attained Age 41.3 42.9
Average Entry Age to Rate Plan 38.8 40.1
Average Years of Credited Service 2.4 2.6
Average Annual Covered Pay $70,117 $71,420
Annual Covered Payroll $2,243,729 $2,642,529
Present Value of Future Payroll $24,003,208 $27,593,900
Transferred Members 8 12
Separated Members 14 14
Retired Members and Beneficiaries*
Counts 1 1
Average Annual Benefits $3,678 $3,751
Total Annual Benefits $3,678 $3,751
Counts of members included in the valuation are counts of the records processed by the valuation. Multiple records may exist for
those who have service in more than one valuation group. This does not result in double counting of liabilities.
* Values include community property settlements.
List of Class 1 Benefit Provisions
This plan has the following Class 1 Benefit Provisions:
• None
123
CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Page 27
Plan's Major Benefit Options
Shown below is a summary of the major optional benefits for which the agency has contracted. A description of principal standard and optional plan provisions is in
Section 2.
Benefit Group
Member Category Misc
Demographics
Actives Yes
Transfers/Separated Yes
Receiving Yes
Benefit Group Key 112448
Benefit Provision
Benefit Formula 2% @ 62
Social Security Coverage No
Full/Modified Full
Employee Contribution Rate 7.75%
Final Average Compensation Period Three Year
Sick Leave Credit Yes
Non-Industrial Disability Standard
Industrial Disability No
Pre-Retirement Death Benefits
Optional Settlement 2 Yes
1959 Survivor Benefit Level Level 4
Special No
Alternate (firefighters) No
Post-Retirement Death Benefits
Lump Sum $5,000
Survivor Allowance (PRSA) No
COLA 2%
124
CalPERS Actuarial Valuation - June 30, 2023
PEPRA Miscellaneous Plan of the City of Moorpark
CalPERS ID: 4690157978
Rate Plan belonging to the Miscellaneous Risk Pool Page 28
Section 2
California Public Employees ’ Retirement System
Risk Pool Actuarial Valuation Information
Section 2 may be found on the
CalPERS website (www.calpers.ca.gov)
in the Forms & Publications section
125