In the complex domain of local government finance, the traditional role of reserves as a safety net is undergoing significant transformation. The modern financial landscape, characterized by increasing volatility and uncertainty, demands a reevaluation of traditional reserve strategies. This article delves into the emergence of Section 115 trusts as a modern financial instrument designed to […]

Taking the initiative to establish a Section 115 Trust to manage your agency’s long-term Other Post-Employment Benefits (OPEB) and/or pension obligations reflects a commitment to securing both the financial future of your staff and the fiscal health of your agency. But who your agency selects as a trust provider is crucial as it influences the management, security, […]

With its Public Safety Personnel Retirement System (PSPRS) funded ratios at just 20.4% for the Fire Department and 72.3% for the Police Department, the Town of Clifton‘s need for a sustainable solution in managing its pension liabilities became increasingly evident back in June of 2022. After researching possible solutions and holding thorough internal discussions, Clifton’s Council decisively adopted […]

Post employment benefits, including pension and other post-employment benefits (OPEB), are often some of the largest line item expenditures for local governments nationwide. Costs can be unpredictable and often rise from year-to-year. One way agencies or districts can initiate some control over these expenditures is by adopting and diversely investing assets into an IRC Section 115 […]