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Elk River Municipal Utilities Elk River, Minnesota Notes to the Financial Statements December 31, 2019 Note 3:Defined Benefit Pension Plans - Statewide (Continued) D.Pension Costs General Employees FundPension Costs At December 31, 2019, the Utilitiesreported a liability of $2,874,964for its proportionate share of the General Employees Fund’s net pension liability. TheUtilitiesnet pension liability reflected a reduction due to the State of Minnesota’s contribution of $16 million to the fund in 2019.The State of Minnesota is considered a non-employer contributing entity and the state’s contribution meets the definition of a special funding situation.The State of Minnesota’s proportionate share of the net pension liability associated with the Utilitiestotaled$89,329.The net pension liability was measured as of June 30, 2019, and the total pension liability used to calculate the net pension liability was determined by an actuarial valuation as of that date. The Utilitiesproportionate share of the net pension liability was based on the Utilities contributions received by PERA during the measurement period for employer payroll paid dates from July 1, 2018through June 30, 2019relative to the total employer contributions received from all of PERA’s participating employers. At June 30, 2019, the Utilitiesproportionateshare was 0.0520 percent which wasthe same percent as its proportion measured as of June 30, 2018. Utilities' Proportionate Share of the Net Pension Liability$2,874,964 State of Minnesota's Proportionate Share of the Net Pension Liability Associated with the Utilities89,329 Total $2,964,293 For the year ended December 31, 2019, the Utilitiesrecognized pension expense of $415,700for its proportionate share of the General Employees Plan’spension expense.In addition, the Utilitiesrecognized an additional $6,690as pension expense (and grant revenue) for its proportionate share of the State of Minnesota’s contribution of $16 million to the General Employees Fund. At December 31, 2019, the Utilitiesreported its proportionate share ofthe General Employees Plan’sdeferred outflows of resources and deferred inflows of resources, and its contributions subsequent to the measurement date, from the following sources: DeferredDeferred OutflowsInflows of Resourcesof Resources Differences between Expected and Actual Economic Experience$90,420$1,403 Changes in Actuarial Assumptions4,266237,305 Net Difference between Projected and Actual Earnings on Plan Investments-305,863 Changes in Proportion48,77964,405 Contributions paid to PERA subsequent to the Measurement Date141,730- Total$285,195$608,976 42 132