Metropolitan Government of Nashville and Davidson County
Comprehensive Annual Financial Report
Notes to the Financial Statements
Note 9 - Selected Pension Information


        Metro
    City (a)
    County (a)
    Metro
Education
  City
Education(a)
     County
Education (a)
ACTUARIAL VALUATION INFORMATION
 
              
   
Valuation date       June 30, 1998   June 30, 1998   June 30, 1998   July 1, 1998   July 1, 1998     July 1, 1998
 
Actuarial cost method       entry age   entry age   entry age   entry age   entry age     entry age
        normal   normal   normal   normal   normal     normal
                               
Amortization method       level dollar   level dollar   level dollar   level dollar   level dollar     level dollar
        closed   open   open   open   open     open
 
Amortization period       40 years   40 years   40 years   40 years (b)   40 years     40 years
        (21 remaining)                      
 
Asset valuation method       5 year   5 year   5 year   market   market     market
        smoothed   smoothed   smoothed              
        market   market   market              
Actuarial assumptions:              
 
   Investment rate of return*       8.00%   8.00%   8.00%   7.75%   7.75%     7.75%
 
   Projected salary increases*       5.00%   None   None   6.00%   6.00%     6.00%
 
   Cost of living adjustments       1.8 - 3.25%   None   None   3.00%   3.00%     3.00%
 
   * Includes inflation at       3.25%   3.25%   3.25%   3.00%   3.00%     3.00%
 
 
(a) These plans are closed and funded on a "pay-as-you-go" basis. Contributions are not made based on actuarial computation.
(b) In the calculation of the contribution requirement, costs are amortized over the average life expectancy of all active and retired members (20.69 years at valuation date).

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