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6.3. SR 06-15-2020
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6.3. SR 06-15-2020
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6/12/2020 9:01:04 AM
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6/15/2020
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CITY OF ELK RIVER <br />SCHEDULE OF CHANGES IN TOTAL OPEB LIABILITY AND <br />RELATED RATIOS — UTILITIES RETIREES HEALTH PLAN (CONTINUED) <br />DECEMBER 31, 2019 <br />Changes in Benefits and Assumptions <br />2019: <br />2018: <br />Changes in Benefit Terms: <br />• There were no significant changes in benefit terms. <br />Changes in Assumptions <br />• The discount rate was changed from 3.31 % to 3.71 %. <br />• Mortality, withdrawal and salary scale updated to the rates used in the July 1, 2018 PERA of <br />Minnesota Retirement Plan actuarial valuation to reflect recently -published tables. <br />• Medical per capital claims costs were updated to reflect recent experience. <br />• The assumed retirement age was updated from 60 to 57 to reflect recent experience. <br />• The inflation assumption was changed from 2.75% to 2.50% based on an updated historical <br />analysis of inflation rates and forward -looking market expectations. <br />• Health care trend rates were reset to reflect updated cost increase expectations, including <br />an adjustment to reflect the impact of the Affordable Care Act's Excise Tax on high -cost <br />health insurance plans. <br />Changes in Benefit Terms: <br />• There were no significant changes in benefit terms. <br />Changes in Assumptions <br />• The discount rate was changed from 3.81 % to 3.31 %. <br />(85) <br />
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