EBA-R  Workers’ Compensation Fund                                                                   EBA-R

 

At the beginning of each fiscal year, the Board of Education will transfer an amount from the General Fund to the Workers’ Compensation Fund equal to the excess of fund liabilities over assets plus forecasted expenditures for the subsequent fiscal year.

 

To the extent there is a surplus and to the extent fund assets are greater than liabilities plus forecasted expenditures for the succeeding fiscal year, the Board of Education will transfer surplus from the Workers’ Compensation Fund to the General Fund.

 

Surplus is: 

Fund assets minus Fund liabilities plus forecasted expenditures for the subsequent fiscal year.

 

Fund Assets are:

Fund assets equal the amount transferred from the General Fund for that contract period plus cumulative interest earnings, less the cost of reinsurance premiums and service charges.

 

Fund Liabilities are:

For the first five (5) years following the close of a contract period, liability for that contract is defined as 80% of contract period loss fund or the sum of paid benefits and stated reserves as reported by the Third Party Administrator, whichever is greater.

For beyond five (5) years following the close of a contract period, liability for that contract period is defined as the sum of paid benefits and stated reserves as reported by the Third Party Administrator.

 

 

8/4/94