Specifications include, but are not limited to: The Vermont Pension Investment Commission (“VPIC”) is seeking proposals from qualified firms to provide specified advisory services to aid VPIC in setting actuarial assumed rate of return and inflation assumptions as well as the actuarial smoothing period for the nearly $6 billion in assets it oversees for Vermont’s three statewide defined benefit public pension plans (Vermont State Employees’ Retirement System, Vermont State Teachers’ Retirement System, and the Vermont Municipal Employees’ Retirement System, or “the pension plans”). Previously, these three actuarial variables were set separately by the pension plans; recent legislation has consolidated them under the sole oversight of VPIC. The pension plans jointly retain their own actuary and responsibility for annual valuations and periodic experience studies. We envision a proves whereby VPIC formally affirms the assumed rate of return, the inflation assumption, and the smoothing method during the summer of each year, prior the pension plans’ actuary’s commencement of the actuarial valuations in the fall of each year.
