I believe Providence is bankrupt and for sometime has been playing with the float and various accounts just to get by. Somehow , sometime this lack of payment of the ARC turned into an asset. If Dan Sherman did not suspect fraud he should have or maybe , just maybe somebody forced him into doing this. The last Valuation available on line is 2007. I am sure if we go back we will find how this started. The valuation in 2007 is titled the "eightieth valuation report"
please copy paste to read
from that report this nugget
2. The market value of the assets of the
pension system as of June 30, 2007 on a “cash basis”
To convert this amount to an “accrual basis,”
this amount should be increased by the discounted value of the City’s contribu
tion already appropriated for the July 1, 2007 -June 30, 2008 fiscal year
($55,328,995) but assumed not to be deposited until June 30, 2008.
The discounted value of this contribution is $50,994,465. Therefore, the market value of the
assets of the system as of June 30, 2007 on an “accrual basis”
In 2007 the Mayor was David Cicilline, Bruce Miller was the director of Finance,the valuation report(audit) was conducted by Dan Sherman of Buck Consultants. The internal auditor was James Lombardi and the Director of Administration was John Simmons. This is where the SEC and United States Attorney or FBI should focus.
from 2012 to 2015 Dan Sherman was appointed the Actuary for Rhode Island municipal pension and OPEB commission . Talk about covering your tracks. Buck consultants where Sherman was in 2007 was fired in 2012 by Angel Taveras and both the city and Buck are suing each other .