The South Carolina Public Employee Benefit Authority (PEBA) was created July 1, 2012, by the South Carolina General Assembly as part of Act No. 278. PEBA is a state agency responsible for the administration and management of the state's employee insurance programs and retirement systems.
Please use the links at left and above for more information about PEBA and the programs and systems it manages.
August 27, 2015
The Chairman of the PEBA Board of Directors, Art Bjontegard, has directed the Retirement Policy Committee, chaired by John Sowards, to conduct a review of the Retirement System’s investment returns for the last five fiscal years and the impact of those returns on the System’s unfunded liability and the required employer and employee contribution rates to the System. This review shall include an analysis of the System’s asset allocation, the management fees associated with that asset allocation, and any other issues which may be relevant to the investment returns and contribution rates for the System. The Retirement Committee is to conclude its analysis and render a written report on the subject to the PEBA Board as soon as reasonably practicable, which is expected to be no more than six months.
June 26, 2015
The South Carolina Public Employee Benefit Authority (PEBA) has released a Request for Proposal (RFP) to Provide Claims Administration Services for the Self-Funded State Dental Plan, and Accompanying Insurance for the State’s Voluntary Supplemental Dental Product, Dental Plus. The RFP is located here: http://www.mmo.sc.gov/PS/PS-eip-solicitations.phtm. Please see the RFP for instructions on asking questions or requesting additional information.
June 24, 2015
The Governmental Accounting Standards Board (GASB) recently announced that it has approved new Other Post-Employment Benefits (OPEB) standards, GASB Statement No. 74 for plans (i.e., the State Health Plan) and GASB Statement No. 75 for employers that provide those benefits to their employees. The final standards are expected to be released in late June.
OPEB accounting requirements for employers will parallel the new pension requirements that employers will implement this year. Key changes anticipated for OPEB accounting, based on the exposure drafts released last year, include balance sheet recognition of the unfunded OPEB liability, a new OPEB expense, and additional disclosure reporting.
Employers covered through the state’s OPEB (agencies, public schools, higher educational institutions) will recognize a proportionate share of the state’s unfunded liability. Other employers participating in PEBA Insurance Benefits (counties, towns, cities), are not part of the state’s OPEB, and are responsible for their own OPEB funding and reporting.
Unlike the state’s retirement plan benefits, which, historically, have been prefunded, retiree health benefits have not been prefunded. Also, unlike retirement plan benefits, OPEB liability is impacted by continuous health benefit changes, such as changes to member and employer contributions and benefit plan design, which can occur for any given plan year. Specific to the state of South Carolina, the actuarial accrued liability as reflected in the most recent OPEB valuation (as of June 30, 2014) is $10.124 billion with an unfunded liability of $9.339 billion, resulting in a funded ratio of 8 percent. In comparison, based on a recent Standard and Poor’s report, South Carolina ranks as one of 15 states with a funded ratio above 5 percent.
Effective dates of implementation are FY17 for GASB 74 (plans) and FY18 for GASB 75 (employers).
The South Carolina Public Employee Benefit Authority is the state agency responsible for the administration and management of the state's employee insurance programs and retirement systems.