Cook County Fiscal Strength Presentation
Retirement Fund Overview
Employees' and Officers' Annuity and Benefit Fund of Cook
County (the "Retirement Fund") established under Illinois
Pension Code (the “Code”), separate legal entity from the
County
The Code currently limits County and employee contributions
to the Retirement Fund based on a percentage of payroll;
contributions are not determined on an actuarial basis
•
County contributions generally derived from property tax
("Pension Levy")
■ Funded Ratio of the Retirement Fund has been relatively
stable over the past 5 years at 56-63%
☐
County has made supplemental contributions to the
Retirement Fund starting in 2016 to independently shore-up
funding²
•
Funded by increase in Home Rule Sales Tax from 0.75%
to 1.75%
UAAL
Funded Ratio
Investment Rate
Assumed
Retirement Fund Status1
Pension
Pension & OPEB
Actuarial
Accrued Liability
$18.4 billion
$17.4 billion
Actuarial Value
of Assets
$11.8 billion
$11.8 billion
$6.7 billion
$6.7 billion
63.9%
67.6%
7.25%
Current
Statutory
Contribution
Pension Levy = 1.54x Employee
Contribution 2 years prior
Historical Retirement Fund Contributions1
($mm)
Statutory
Supplemental
Funded Ratio
1,000
65%
.
The FY 2022 budget includes a $342 million
supplemental payment and up to an additional $20
million in the pension stabilization reserve
800
60%
600
55%
Under current statutes and actuarial assumptions,
Retirement Fund expected to deplete its assets by 2047
absent action; projection assumes no further supplemental
contributions
400
50%
200
45%
0
40%
2010
2012
2014
2016
2018
2020
1.
Source: Retirement Fund CAFR for the fiscal year ended December 31, 2020 and the Actuarial Valuations of the Retirement Fund as of December 31, 2020. See also Appendix B to
Preliminary Official Statement dated November 5, 2021. Amounts rounded.
2.
See Appendix B to Preliminary Official Statement dated November 5, 2021 for information on supplemental contributions to Retirement Fund not included in this projection.
OF
COOK
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