Homestead Borough Police Pension Plan – Allegheny County – Reduced Period Engagement – Period Ended December 31, 2024

A compliance audit of the Homestead Borough Police Pension Plan, conducted under Act 205 of 1984, examined whether the plan was administered according to applicable laws and regulations. The audit reviewed financial transactions from January 1, 2020, to December 31, 2024, focusing on the proper deposit of state aid, adequacy of internal controls, employer and employee contributions, and compliance with Act 205’s distressed provisions. Significant non-compliance findings include failure to deposit state aid into an eligible pension plan, pay the minimum municipal obligation, maintain pension benefit calculations, and implement mandatory distressed provisions, potentially impacting state aid. The pension plan is in Level II moderate distress with a funded ratio of 60.1%, indicating financial management issues. Borough officials are advised to address these findings to ensure long-term financial stability. This is an automated summary. Please rely on the contents included in the released audit report.