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City of Elk River <br />Notes to Basic Financial Statements <br />NOTE 13 — POST EMPLOYMENT HEALTH CARE PLAN (CONTINUED) <br />C. Members <br />As of the valuation date of January 1, 2021, the following were covered by the benefit terms: <br />Active employees electing coverage <br />Retirees receiving payments <br />Spouses receiving payments <br />Total <br />126 <br />7 <br />2 <br />135 <br />D. Actuarial Assumptions <br />The total OPEB liability was determined by an actuarial valuation measured as of January 1, 2022, using <br />the following actuarial assumptions, applied to all periods included in the measurement, unless <br />otherwise specified: <br />Key Methods and Assumptions Used in Valuation of Total OPEB Liability <br />Discount rate <br />Salary increases <br />Inflation <br />Medical trend rate <br />Mortality assumption <br />2.00% <br />Service graded table <br />2.00% <br />6.25% in 2022, grading to 5.00% over 5 <br />years and then to 4.00% over the next 48 <br />years <br />Pub-2010 Public Retirement Plans <br />Headcount -Weighted Mortality Tables <br />(General, Safety) with MP-2020 <br />Generational Improvement Scale <br />The actuarial assumptions used in the December 31, 2022, valuation were based on the results of an <br />actuarial experience study for the period January 1, 2022 to December 31, 2022. <br />The discount rate used to measure the total OPEB liability was 2.00% based on 20-year municipal bond <br />rates. <br />E. Total OPEB Liability <br />The City's total OPEB liability of $902,334 was measured as of January 1, 2022, and was determined by <br />an actuarial valuation as of that date. <br />93 <br />