Montgomery County Employee Retirement Board Meeting - July 16, 2026

The Montgomery County Employee Retirement Board held a meeting on July 16, 2026, focusing primarily on the financial performance and actuarial valuation of the county's retirement fund. Presenters reported a strong quarter with positive asset performance, particularly in equities and alternatives, contributing to an improved funded ratio of 80.2%, up from 76.9% the previous year. The actuaries discussed the actuarially determined contribution (ADC) for 2026, which decreased to $31 million from $32.5 million, reflecting favorable asset returns and demographic gains. The board also reviewed the impact of asset smoothing on contribution stability and discussed the potential fiscal implications of a cost-of-living adjustment (COLA) for retirees, noting that a 5% COLA could increase liabilities by approximately $20 million and contributions by about $5 million annually over five years. The board acknowledged the statutory requirement to maintain at least an 80% funded ratio to provide COLAs and the ongoing legislative context. A motion related to the meeting's proceedings was seconded and passed by the board members. No specific procurement actions, contract awards, or vendor selections were discussed during this meeting.