Workers' Comp. Self Insurance Operating Fund

Source: PDF pp. 1045-1046 ↗ · raw: 1045 · 1046

Breadcrumb: Fund Summaries > City Administrator. . > Workers' Comp. Self Insurance Operating Fund

City of Portland Fiscal Year 2026-27 Proposed Budget City Administrator> Workers' Comp. Self Insurance Operating Fund Workers' Comp. Self Insurance Operating Fund Fund Summary 2024-25 Actuals 2023-24 Actuals 2025-26 Revised Budget 2026-27 Proposed Expense $17,568,868 $18,094,181 $17,111,431 $17,986,479 Bureau Expense $7,835,738 $7,424,701 $8,067,170 $7,857,817 Fund Expense $276,037 $276,048 $9,044,261 $10,128,662 Contingency $0 $0 $8,743,447 $9,807,583 Debt Service $122,810 $118,084 $127,723 $132,821 Fund Transfers - $153,227 $157,964 $173,091 $188,258 Expense Unappropriated $9,457,093 $10,393,432 $0 $0 Ending Fund Balance $9,457,093 $10,393,432 $0 $0 Revenue $17,568,870 $18,094,181 $17,111,431 $17,986,479 External Revenues $1,003,808 $320,164 $333,661 $353,992 Miscellaneous $1,003,808 $320,164 $333,661 $353,992 Internal Revenues $16,565,062 $17,774,017 $16,777,770 $17,632,487 Beginning Fund $10,393,432 $12,141,282 $9,566,873 $9,692,127 Balance Interagency Revenue $6,171,630 $5,632,735 $7,210,897 $7,940,360 Fund Overview The Workers’ Compensation Self Insurance Operating Fund supports the City’s self-insured workers’ compensation program, including claims administration and Citywide loss prevention. Fund expenditures are primarily for claims-related payments. Projected claims are based on an independent actuarial study, which includes a projection for the current fiscal year and for the next five years. The reserve requirement is derived from the annual actuarial study, which recommends a range of reserve levels needed to cover outstanding incurred liabilities. The range of estimates is produced by calculating reserves at various confidence levels (i.e., the probability that actual losses will not exceed the reserve level). Reserves are stated at a discounted level, which takes into account the interest the fund earns on the fund balance. The fund reserves are currently forecasted at a discounted confidence level of 75%. Interagency revenues are projected on a five-year basis, so that, by year five, the fund will arrive at the required claims reserve forecasted for the fifth year by the actuary. This five-year smoothing of interagency rates is designed to mitigate large fluctuations in rates from year to year. Managing Agency 1045

City of Portland Fiscal Year 2026-27 Proposed Budget Office of the Chief Financial Officer Significant Changes from Prior Year Risk added a permanent full-time Claims Technician to manage the increasing amount of complex and severe claims against the City. 1046

Parent: City Administrator. . · PDF: pp. 1045-1046 ↗