A statewide pension plan exists for all local governments in a certain state. The provisions of the plan indicate that each qualifying retiree receive 2% multiplied by the number of years active employment multiplied by the average salary for the past four years of service. The government calculates the actuarial liability on a statewide basis, not by individual government. The plan would be known as a (an):

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The plan covers multiple employers and provides a defined benefit based on years of service and average salary, making it a defined benefit plan. Additionally, the actuarial liability is calculated on a statewide basis, indicating that the cost is shared among employers, making it a cost-sharing plan. Therefore, the plan is a multiple-employer, defined benefit, cost-sharing plan.

A Statewide Pension Plan Exists for All Local Governments in a Certain