Burbank Unified School District Board Meeting Wrap-up

RETIREES' BENEFITS STUDY

The Government Accounting Standards Board, which establishes the parameters for how governmental bodies account for their finances, recently issued a new rule that requires governmental entities to determine the value of the benefits owed to all its retirees.

The school district conducted an actuarial study that found $18,847,148 was owed in benefits to current and future retirees as of April 19, 2007.

The board decided to set up an irrevocable district-run trust that will hold money for the sole purpose of paying the benefits to retirees.

WHAT IT MEANS

Lori-Ordway Peck, assistant superintendent of business services, will investigate how to best to set up the trust. So far, the district has set aside about $4 million toward the benefits fund and is committed to the continued funding of benefits.

VOTE: 5-0