For many public agencies, retiree health care benefits have historically been funded on a Pay-As-You-Go (PayGo) basis—paying annual costs as they come due. While this approach may seem manageable in the short term, rising health care costs and an aging workforce are making PayGo increasingly risky for local governments and educational entities nationwide.  Key Risks of the PayGo Approach Prefunding […]

On Wednesday, October 8, 2025, the Board of the Fresno Unified School District of Fresno County, California, passed and adopted the PARS Supplementary Retirement Plan (SRP). With over 1900 employees eligible to enroll, this one-time-offer presents an incredible opportunity for the district’s bottom line, as well as for those eligible employees considering retirement. Administered by […]

Faced with declining enrollment, rising costs, and a desire to honor long-tenured staff, Salinas City Elementary School District (SCESD), chose to act strategically by implementing a Supplementary Retirement Plan (SRP) through Public Agency Retirement Services (PARS). The plan was designed to carefully balance fiscal pressure with employee morale and to open space for new staff […]

The Benefits of Prefunding Retiree Healthcare in a Section 115 Trust  Setting aside assets in a Section 115 Trust to cover future retiree healthcare or ‘OPEB’ costs is becoming increasingly popular. However, many local governments and educational entities still hold misconceptions about how these trusts operate and the advantages they offer. At PARS, we frequently hear the same concerns.  Here’s a closer look at the most […]

Maximize Growth and Control Your Financial Future with Arizona’s Leading Section 115 Trust. As we encroach on budget season, PARS is here to help AZ local governments take a bold step toward financial security and growth. We have worked with public agencies for over 40 years and specialize in saving money and maximizing reserve funds!  […]

As we start the New Year and you start planning your 2025/26 budget, it may be time to consider how a PARS Voluntary Separation Incentive (VSIP) could benefit your district.  Our unique, tax-deferred incentives are designed to proactively address fiscal and operational workforce challenges such as rising labor costs, budget cuts, and declining enrollment.  Advantages of PARS’ Voluntary Separation Incentive […]

Effective pension plan management is critical for securing retiree benefits, but for many local government agencies, pension costs place a significant strain on the budget.  At PARS, we understand that while it’s difficult to control the investment volatility and rising costs associated with pension plan(s), agencies can take steps to protect themselves from financial fallout with an IRC Section 115 […]

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 […]