COVSF Benefit Payment for December 2017

The NYCERS Board had their October Regular Meeting last Thursday, October 12, 2017.

For over 50 minutes the trustees were treated to a song and dance by the IT director on the delayed two and half year old legacy upgrade project.

In contrast, over a two minute period the representative of the NYCERS Actuary, Sherry Chan, presented the trustees with Ms. Chan's FY-2017 financial and accounting report for the five city pension funds. Ms. Chan was not present. No questions were asked.

On a positive note, the NYCERS's closing balance increased from $55.49B to $61.32B during FY-2017. NYCERS was able to transfer $285.77M into the Correction Officers' Variable Supplements Fund (COVSF) in FY-2017. Of course, it would be very informative if the actuary would provide the details of the calculation of how she arrived at the $285.77M figure.

FYI: As of July 1, 2017 the COVSF Board is responsible for investing $288M. I hope someone told them to get busy.

Now the big question is will there be a payment this December for the COVSF service retirees. Below is the COVSF payment history for the last five years. It looks very promising. Last year, 2016, there was no December payment.

COVSF History 2013-2016

Year	Open Balance	Interest Earned	"Skim"	Payments	Close Balance
FY-2013:	$35.925M	$0.038M	$0.000M	$0.000M	$35.963M
FY-2014:	$35.963M	$0.020M	$190.000M	$38.014M	$187.969M
FY-2015:	$187.969M	$0.010M	$30.012M	$78.285M	$139.706M
FY-2016	$139.706M	$0.184M	-$52.7240M	$82.149M	$5.017M
FY-2017	$5.017M	$0.300M	$285.924M	$2.624M	$288.165M
FY-2018	$288.165M

Note: The $82.149M paid in FY-2016 (July 2015 - June 2016) represents payments made in December 2015