Auditor General DePasquale Releases Pension Plan Audits for Municipalities in 20 Counties

June 13 2014

HARRISBURG (June 13, 2014)– Auditor General Eugene DePasquale today released audits of municipal employee pension plans in Adams, Allegheny, Armstrong, Beaver, Butler, Cambria, Centre, Chester, Elk, Erie, Lancaster, Lehigh, Luzerne, Mercer, Montgomery, Northampton, Schuylkill, Washington, Wayne and York counties.

State pension aid for police, firefighters and non-uniformed municipal employee pensions is provided from a 2 percent tax on out-of-state casualty insurance premiums, a portion of the out-of-state fire insurance tax designated for paid firefighters, and any investment income earned on the collection of these taxes.

The objectives of pension plan audits are to determine, for the selected audit period, if the municipality complied with any prior audit recommendations and if the municipal pension plan is in compliance with applicable state laws, regulations, contracts, administrative procedures, and local ordinances and policies.

Specifically, department auditors review issues including whether:

• state aid was properly determined and deposited according to the requirements of the Municipal Pension Plan Funding Standard and Recovery Act;
• employer contributions were determined and deposited in compliance with the plan’s governing document and applicable state laws and regulations;
• employee contributions are required, and if so, whether they were properly determined and deposited into the pension plan;
• benefit payments were properly made only to those entitled to receive them;
• obligations for plan benefits were accurately determined under plan provisions and based upon complete and accurate participant data; and
• actuarial valuation reports were sent to the Public Employee Retirement

Commission in accordance with state law and selected information provided on these reports is accurate, complete and in accordance with plan provisions to ensure compliance for participation in the state aid program.

The following audit reports are available online at: www.PaAuditor.gov/Reports/MunPen.html.

Adams
• Straban Township Nonuniformed Employees Pension Plan
Allegheny
• Indiana Township Nonuniformed Pension Plan
• Indiana Township Police Pension Plan
Armstrong
• Parks Township Nonuniformed Pension Plan
• Parks Township Police Pension Plan
Beaver
• Hanover Township Nonuniformed Union Pension Plan
Butler
• Jackson Township Municipal Employees Pension Plan
• Jackson Township Police Pension Plan
• Saxonburg Borough Nonuniformed Pension Plan
• Saxonburg Borough Police Pension Plan
Cambria
• Lower Yoder Nonuniformed Pension Plan
Centre
• Millheim Borough Nonuniformed Pension Plan
Chester
• East Goshen Township Firemen’s Pension Plan
• East Goshen Township Nonuniformed Defined Contribution Pension Plan
Elk
• Johnsonburg Borough Nonuniformed Pension Plan
• Johnsonburg Borough Police Pension Plan
Erie
• Albion Borough Nonuniformed Pension Plan
• Albion Borough Police Pension Plan
Lancaster
• Conestoga Township Nonuniformed Pension Plan
• East Earl Township Nonuniformed Pension Plan
• East Earl Township Police Pension Plan
Lehigh
• Catasauqua Borough Nonuniformed Pension Plan
• Catasauqua Borough Police Pension Plan
Luzerne
• Conyngham Borough Nonuniformed Pension Plan
• Conyngham Borough Police Pension Plan
Mercer
• Sharon City Firemen’s Pension Plan
• Sharon City Nonuniformed Pension Plan
• Sharon City Police Pension Plan
Montgomery
• Lower Gwynedd Township Nonuniformed Employees Pension Plan
• Lower Gwynedd Township Police Pension Plan
• Lower Providence Township Employees Defined Contribution Pension Plan
• Lower Providence Township Employees Pension Plan
• Lower Providence Township Police Pension Plan
Northampton
• Lehigh Township Nonuniformed Pension Plan
• Lehigh Township Police Pension Plan
Schuylkill
• Ashland Borough Nonuniformed Pension Plan
• Ashland Borough Police Pension Plan
Washington
• Deemston Borough Nonuniformed Pension Plan
Wayne
• Honesdale Borough Nonuniformed Pension Plan
• Honesdale Borough Police Pension Plan
York
• Spring Garden Township Nonuniformed Employees Pension Plan
• Spring Garden Township Police Pension Plan

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