TO:                  All Financial Statement Preparers                      CC: Dennis Jack, COD FRB

 

FROM:            Robert M. Darragh III, OCFO FOD                DATE: March 23, 2003

 

SUBJECT:       FECA Actuarial Liability Balance as of March 31, 2003

 

 

Each federal entity must record its portion of the FECA actuarial liability based on amounts provided by U.S. Department of Labor (DOL).  The agencies’ actuarial liability balance (General Ledger Account 2650N) must equal the amounts provided by DOL. 

 

The calculation of the FECA actuarial liability involves very complex modeling covering over 30 years that includes assumptions for, among other things, accident rates, interest rates, and future inflation/deflation of medical cost.  This liability could move up or down and DOL will estimate this amount only once a year.  OCFO cannot estimate this amount and the amount should not change materially from one quarter to another. 

 

Therefore, for the quarter ending March 31, 2003, the balance in the FECA actuarial account 2650N should equal the amount shown in the table below for your agency which is the same as the amount for September 30, 2002 and December 31, 2002.  You may call me at 202 720-0994 if you have any questions.

 

 

 

Note: You should not have to process and adjustment; however, you must verify that the balance in your ledger equals the amount listed for your agency.   Attach a copy of your ledger , showing the balance in account 2650, with  a copy of this letter as documentation for my review.

 

 

(amounts in dollars)

Current

 

 

Agency

 

ACTUARIAL

CODE

AGENCY

LIABILITY

01

SEC

$603,672

02

AMS

$35,756,823

03

ARS

$43,721,006

07

RHS

$27,229,910

08

RMA

$4,104,653

10

FAS

$3,463,954

11

FS

$365,606,435

13

OC

$88,535

14

OGC

$1,188,339

15

RUS

$3,301,609

16

NRCS

$40,348,562

18

ERS

$1,819,335

20

NASS

$1,128,840

22

CSREES

$19,819,100

23

OIG

$12,792,828

30

FNS

$8,257,815

32

RBCS

$11,899

34

APHIS

$50,182,721

36

GIPSA

$9,533,644

37

FSIS

$197,800,424

38

OCE

$226,612

42

OBPA

$2,055

90

OCFO

$8,362,383

DA

DA

$4,438,950

ES

OES

$1,142

FA

FSA

$21,382,769

IT

OCIO

$295,854

NA

NAD

$45,132

SC

NSIIC

$0

TOTAL

 

$861,515,000