Segal Responds to GASB’s Preliminary Views on Pension and Financial Accounting by Employers at Recent Public Hearings
Mary L. Feldman
Senior Vice President, Public Affairs
NEW YORK (11/8/10) – The Segal Company recently responded to the Governmental Accounting Standards Board (GASB) in response to its request for comments on the Preliminary Views on major issues related to Pension Accounting and Financial Accounting for Employers. Segal actuaries participated in GASB's public hearings in Dallas, October 13 and San Francisco, October 14.
Segal said that it supports the Preliminary Views with regard to level percentage of pay cost methodology and long-term earnings discount rate, but it has concerns about certain aspects including:
- Decoupling funding and accounting,
- Expense volatility from recognition periods for liability changes, and
- Expense volatility from proposed asset smoothing.
Leon F. (Rocky) Joyner, Jr. delivered a summary of the Segal response at the Dallas hearing.
As a leader in providing actuarial and consulting services to state and local governments, Segal is active in the development, implementation and valuation of public sector defined benefit pension plans.
About The Segal Company
The Segal Company (www.segalco.com) has been a leading, independent firm of benefit, compensation and human resources consultants since its founding in 1939. Segal is headquartered in New York and has more than 900 employees throughout the U.S. and in Canada. Clients include state and local governments, corporations, non-profit organizations, professional service firms, and joint boards of trustees administering pension and health and welfare plans under the Taft-Hartley Act.