Even worse than pension underfunding!-----Retiree healthcare (OPEB) only 4.35% funded!

Amazingly, Norton Shore's retiree healthcare benefits fund (OPEB=OtherPost-Employment Benefit Plan) is in WORSE condition that its pension fund.

• 1. Over $38 MILLION unfunded. (the pension fund is "only" $20 MILLION unfunded!)

That means someone's gotta find $38 million just to to get back to "on track". 

(Fully funded does not mean fully paid up. "Fully funded" means if you continue to make the required actuarial payments every year, you are on track to have enough money to pay the promised obligations in the future.) 

• 2. The OPEB fund is only 4.35% funded! 

I've never seen a lower rate. 

Other than Detroit!

• 3. The annual requirement (2015) was over $2.2 MILLION. NS contributed only $657, 183! Only 29% of the required amount!

• 4. Plus, the amount contributed and percentage contributed are going down almost EVERY year!

CITY OF NORTON SHORES, MICHIGAN FINANCIAL STATEMENTS FOR THE YEAR ENDED JUNE 30, 2015--- Page 45

http://www.nortonshores.org/vertical/sites/%7BFF3C7447-59C5-49A5-8AC0-3258B1B50FAA%7D/uploads/FY_2015_Audit.pdf