Program Schedule for the 2005 Enrolled Actuaries Meeting

EXHIBIT HALL A OPEN
6:00 PM - 8:00 PM

REGISTRATION DESK OPEN
2:00 PM - 8:00 PM

MONDAY, APRIL 4, 2005

EXHIBIT HALL A OPEN
8:00 AM - 9:00 AM
10:30 AM - 12:30 PM
1:45 PM - 7:30 PM

REGISTRATION DESK OPEN
7:00 AM - 12:45 PM
1:45 PM - 6:00 PM

General Session - 001
9:00 AM - 10:30 AM

001

Practicing Professionalism

Credit: EA Core 1.8
Panel: 1. Lauren M. Bloom, 2. Ethan E. Kra, 3. James E. Turpin

As actuaries, we have a professional obligation to our clients to provide the appropriate level of service for each engagement. However, for some engagements, there may be a conflict between our professional responsibilities and our business objectives. For example, our client may negotiate a fee that does not cover the scope of services you feel should be included. In a new business situation, we may try to outbid other consultants without considering the full scope of work that you would normally perform. The speakers address these and other situations, and present guidelines to maintain our professionalism.

Track #1
11:00 AM - 12:30 PM

101

What’s Been Happening? – Legal & Regulatory Update

Credits: EA Core 1.8, PD 1.5
Panel: 1. Heidi Rackley, 2. Christopher M. Bone, 3. Linda Josephson

The panel highlights hot new issues, regulations and rulings from the IRS, DOL, and PBGC. Speakers emphasize the practical application of these new developments and their effect on client consulting assignments. (Repeated at #501.)

102

Schedule B Issues

Credits: EA Core 1.8, PD 1.5
Panel: 1. Jerry D. Allen, 2. James E. Holland, Jr.

When should you refile a Schedule B? When can’t you refile a Schedule B? These and other questions are addressed in this session. Topics include takeover issues, deficit reduction contribution calculation issues, current liability issues, and unusual full-funding situations.

103

Hybrid Plans: Overview and Valuation Issues

Credits: EA Core 1.8, PD 1.5
Panel: 1. Brian C. Donohue, 2. David Weissner

In the first part of this session the speakers review the design and operational basics of hybrid (i.e. cash balance and pension equity) plans. Panelists then discuss techniques for applying funding and accounting rules written for annuity formulas to hybrid designs. A later session on “Rulings Affecting Cash Balance Plans” includes a more detailed discussion of the current legal environment for these designs.

104

Joint Board Update

Credit: EA Core 1.8
Panel: 1. Donald J. Segal, 2. Martin Pippins, 3. Patrick McDonough, 4. Rudy Nuissl

For the first time in many years, the JBEA is examining its regulations. This session presents the opportunity for Enrolled Actuaries to hear the thoughts of the Joint Board and to provide input.

105

International Accounting Standards

Credits: EA Noncore 1.8, PD 1.5
Panel: 1. Mark G. Beilke, 2. Stacy A. Day

International Accounting Standards No. 19 (IAS19) and UK Financial Reporting Standard No. 17 (FRS17) are part of two trends in accounting that could have a profound impact on many of our clients – the move toward uniform international standards and the shift to mark-to-market reporting. The panel covers an overview of these trends with specific concentration on these two standards.

106

Investment in Nonliquid Assets

Credits: EA Core 1.8, PD 1.5
Panel: 1. Alex M. Brucker, 2. Robert H. Schramm

Panelists at this session cover some of the complexities of controlled and affiliated service groups, including a variety of case studies to help understand how easy it is to unknowingly get caught in an affiliated group situation.

107

Pension Funding Targets and Strategies

Credits: EA Core 1.8, PD 1.5
Panel: 1. Andrew Ferguson, 2. Stephen M. McGivney

The pension funding environment is littered with landmines – additional funding charges, participant notices, PBGC premiums, quarterly contribution requirements and balance sheet liabilities. In addition, employers contemplating large contributions in order to restore plans’ funded status are confronted by complicated tax deduction and potential excise tax issues. Recent low interest rates have changed the dynamics of pension funding calculations, making them even more volatile. The discussion addresses strategies that can help plan sponsors take control of their pension plan funding, and avoid adverse outcomes.

Monday Luncheon Entertainment
Paul Begala

The Enrolled Actuaries Meeting is proud to announce Paul Begala as our featured speaker. Begala is co-host of CNN’s legendary Crossfire, where he debates politics, the media and culture with the sharpest minds of our time – and he does so with wit, passion and a great sense of humor.

He was counselor to President Clinton, where he helped define and defend the Administration’s agenda, from the State of the Union Address to the economic, domestic and international issues the White House faces each day. The greatest tribute to Paul Begala’s service as one of the top advisors to the president of the United States is that the character Josh Lyman on the hit TV series West Wing is said to be based on Paul.

This presentation should offer some unique views and insights on today’s political spectrum. “Take a break” from all the technical content of the meeting and relax to this show on the current political theater.

Track #2
2:30 PM - 4:00 PM

201

Overview of Regulations on Relative Value Disclosure & RASD

Credits: EA Core 1.8, PD 1.5
Panel: 1. David P. Hegg, 2. Bruce C. Gaffney, 3. Martin Pippins

Coordinating the benefit election rules with recent regulations can be a nightmare. The relative value disclosure and retroactive annuity starting date regulations have added new layers of complexity to an already difficult administrative process. Panelists review the regulations, discuss the interaction of the various requirements, and provide examples. This session focuses on compliance with the rules in your day-to-day practice. Discussion of unusual circumstances, special issues, and outstanding questions with respect to these rules wll be addressed in Session 601.

202

Current Issues w/Public Employee Retirement Systems

Credits: EA Noncore 1.8, PD 1.5
Panel: 1. Robert C. North, 2. Bonita Jo Wurst

An experienced panel of public plan actuaries discuss current issues in the public sector with a special emphasis on DROP plan design and pricing. Actuarial assumptions, valuation methods, and the applicability of financial economics are other items slated for discussion. (Linked to #504 workshop)

203

Quarterly Contributions & Liquidity Rules

Credits: EA Noncore 1.8, PD 1.5
Panel: 1. Timothy S. Bleick, 2. James E. Holland, Jr.

Plan liquidity rules and quarterly contribution requirements are of heightened interest in today’s economic environment. The panelists discuss the technical aspects of quarterly contributions and plan liquidity rules, and current practices, such as recharacterization that were used to satisfy these rules.

204

Recent Court Cases of Interest to Actuaries

Credits: EA Core 1.8, PD 1.5
Panel: 1. Alex M. Brucker, 2. Michael Roach

This interesting session deals with ways not to design and administer plans. A review of recent court cases provides insight on the consequences of improper plan design and administration.

205

A View from the Street

Credits: EA Noncore 1.8, PD 1.5
Panel: 1. John H. Lowell, 2. Bryan E. Boudreau

The accounting and analyst communities have forced more complete disclosures of pension-related information. Find out why they’ve asked for these enhanced disclosures, the questions they’re asking, and what they’ll do with your answers.

206

Actuarial Assumptions for Small Plans

Credits: EA Core 1.8, PD 1.5
Panel: 1. Lorraine Dorsa, 2. Lawrence Deutsch, 3. Andrew C. Martin

Panelists at this session focus on issues specific to small plans in selecting actuarial assumptions, including the interrelationship of plan design, demographics, and cash flow projections. In addition to funding issues, the implications for PBGC premiums, restricted payouts for HCEs, nondiscrimination testing and participant illustrations are discussed.

207

PBGC Update

Credits: EA Core 1.8, PD 1.5
Panel: 1. James Armbruster, 2. C. David Gustafson, 3. Harold Ashner, 4. James Beller

A panel of PBGC representatives provide an overview of recently published PBGC guidance, highlights from this year’s “Blue Book, and other issues of interest to actuaries, including elements of the Administration’s Pension Reform Proposal. There will be plenty of time for questions from the audience. Participants are encouraged to come prepared with specific technical questions related to any PBGC topic.

208

Participant Loans from Qualified Plans: Truth-in-Lending Act Requirements

Credits: EA Noncore 1.8, PD 1.5
Panel: 1. David R. Godofsky, 2. David A. Brown

Loan provisions for plan participants are wildly popular in 401(k) plans, but also available in some other qualified plans, including defined benefit plans. Qualified plan loans are regulated not only by ERISA but by a bewildering variety of State and Federal laws relating to truth in lending and even usury.

The speakers also cover the basics of Truth-in-Lending requirements and usury limits for participant loans, including initial disclosures, on-going disclosures, penalties for noncompliance, and methods of correcting violations. Also a plus – learn the surprisingly non-actuarial way to calculate an APR!

Track #3
4:30 PM - 5:45 PM

301

Gotcha Again: ERISA Traps for the Unwary Actuary

Credits: EA Core 1.5, PD 1.0
Panel: 1. Donald J. Segal, 2. Tonya B. Manning

ERISA is now over 30 years old and there are many overlooked, poorly publicized details in the law, code, regulations and other guidance that apply to the majority of plans. This session revisits these “compliance pitfalls” that we all should know. For some this will be just a review. For others it will be a revelation. This is real core stuff!

302

Public Employee Retirement Systems Workshop

Credits: EA Noncore 1.5, PD 1.0
Panel: 1. Paul Angelo, 2. Rebecca A. Sielman

This is an open forum on current topics of concern to public plan actuaries. Topics include setting assumptions including how to justify your interest rate, asset valuation methods, recent DROP controversies, funding concerns and the focus of public interest on the government sector plans in today’s economy. (This session is not recorded.)

303

Rulings Affecting Cash Balance Plans

Credits: EA Core 1.5, PD 1.0
Panel: 1. Adrien R. LaBombarde, 2. Greg Braden

An experienced panel of cash balance practitioners and litigators review court decisions relating to cash balance plans and discuss the significance of these decisions. The panel explains the basis for the various rulings, and discusses the geographic reach of each ruling as well as possibilities for appeal and reversal. The panelists also discuss recent Hill activity concerning cash balance plans and how future legislation could impact the cash balance arena.

304

Truth or Consequences: Another Look at Precept 8

Credit: EA Core 1.5
Panel: 1. David R. Godofsky, 2. Edward E. Burrows, 3. James E. Turpin

An actuary shall take reasonable steps to prevent deceitful use of his work product. A panel of experts lead this highly interactive discussion of important case studies and dilemmas. This session picks up where last year’s popular general session left off. First up: application of precept 8 to the relative value disclosure regulations.

305

Actuarial Guide to Stock Options

Credits: EA Noncore 1.5, PD 1.0
Panel: 1. Terry Adamson, 2. Scott M. Turner

Participants can explore the various mathematical models and numerical techniques relevant to stock option valuations, and how they apply techniques to FASB’s recent accounting guidance. As part of our exploration of the Black-Scholes and binomial/lattice modeling techniques, the presenters look at the key assumptions that go into these models and the resulting sensitivities. The limitations of the models and the considerations that go into the selection of a particular model are discussed. Finally, the process of analyzing experience and factoring judgments about the future in setting assumptions is presented.

306

Plans for the Self-Employed – Partnerships, LLCs and Sole Proprietors

Credits: EA Core 1.5, PD 1.0
Panel: 1. Lorraine Dorsa, 2. Kenneth A. Balinski, 3. Richard A. Hochman

How do you design and administer plans for the self-employed? This session addresses issues peculiar to plans of the self-employed including, the definition of compensation and how to apply it for each type of entity, deductions and funding, and owner/partner communication.

307

Determination Letters

Credits: EA Core 1.5, PD 1.0
Panel: 1. Martin Pippins, 2. John Lowell, 3. Dana Barry

The determination letter process has been radically revamped. IRS panelists discuss this new process and what it will mean to practitioners and their clients.