Skip to main content
Find a Lawyer

Hawaii Revised Statutes Division 1. Government § 88-105.5

Current as of January 01, 2025 | Updated by Findlaw Staff

(a) The actuary shall conduct an annual stress test of the system.

(b) The board shall submit an annual report to the legislature, not later than twenty days prior to the convening of each regular session, on the results of the actuary's stress test.

(c) For the purposes of this section, a “stress test” shall address:

(1) Projections of assets, liabilities, pension debt, service costs, employee contributions, employer contributions, net amortization, benefit payments, payroll, and funded ratio for the system for each of the next thirty years based upon the then-current actuarial assumptions, including the assumed rate of return;

(2) Projections for the items listed in paragraph (1), assuming that investment returns are two percentage points lower than the assumed rate of return and that the State makes employer contributions:

(A) Based upon the then-current funding policy for the system; and

(B) That are held constant at the levels calculated for paragraph (1);

(3) Estimates of the items listed in paragraph (1), if there is a one year loss on planned investments of twenty per cent followed by a twenty-year period of investment returns two percentage points below plan assumptions, with the following assumptions regarding contribution policy:

(A) Employer contributions are adjusted based upon current policy; and

(B) Employer contributions are held constant at the levels calculated for the baseline projections; and

(4) The estimated actuarially accrued liability, the total plan normal cost for all benefit tiers, and the employer normal cost for all benefit tiers, calculated using:

(A) A discount rate equal to the assumed rate of return; and

(B) The ten-year average of the yield of thirty-year treasury notes.

Previous Part of Code Next Part of Code
Back to Chapter List

Cite this article: FindLaw.com - Hawaii Revised Statutes Division 1. Government § 88-105.5 - last updated January 01, 2025 | https://codes.findlaw.com/hi/division-1-government/hi-rev-st-sect-88-105-5/

FindLaw Codes may not reflect the most recent version of the law in your jurisdiction. Please verify the status of the code you are researching with the state legislature before relying on it for your legal needs.

Was this helpful?

Welcome to FindLaw's Cases & Codes

A free source of state and federal court opinions, state laws, and the United States Code. For more information about the legal concepts addressed by these cases and statutes, visit FindLaw’s Learn About the Law.

Go to Learn About the Law

Latest Blog Posts

For Legal Professionals

Learn About The Law

Get help with your legal needs

FindLaw’s Learn About the Law features thousands of informational articles to help you understand your options. And if you’re ready to hire an attorney, find one in your area who can help.

Go to Learn About the Law

Need to Find an Attorney?

Search our directory by legal issue

Enter information in one or both fields (Required)

Copied to clipboard