Hatboro Borough Police Pension Plan – Montgomery County – Audit Period January 1, 2019 to December 31, 2022

A compliance audit of the Hatboro Borough Police Pension Plan was conducted for the period from January 1, 2019, to December 31, 2022. The audit followed the Municipal Pension Plan Funding Standard and Recovery Act’s guidelines to ensure compliance with state laws and regulations. Key audit objectives included verifying corrective actions on previous findings and ensuring the pension plan’s administration adheres to legal requirements. The audit uncovered continued noncompliance with a prior recommendation: the pension plan maintained an unauthorized cost-of-living adjustment (COLA) benefit for survivors, which Act 600 does not authorize. Borough officials cited challenges in removing this provision during negotiations with police officers. Despite this issue, in all other respects, the audit confirmed that the plan was administered in compliance with applicable standards. This noncompliance highlights the need for timely implementation of corrective actions to adhere fully to regulatory requirements. This is an automated summary. Please rely on the contents included in the released audit report.