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6.3 SR 06-05-2023
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6.3 SR 06-05-2023
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6/7/2023 11:18:59 AM
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6/1/2023 3:07:14 PM
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City Government
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SR
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6/5/2023
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City of Elk River <br />Notes to Required Supplementary Information <br />Police and Fire Fund (Continued) <br />2017 Changes (Continued) <br />Changes in Actuarial Assumptions (Continued) <br />• The assumed percentage of female members electing Joint and Survivor annuities was increased. <br />• The assumed post -retirement benefit increase rate was changed from 1% for all years to 1% per <br />year through 2064 and 2.5% thereafter. <br />• The single discount rate was changed from 5.6% per annum to 7.5% per annum. <br />Changes in Plan Provisions <br />• There have been no changes since the prior valuation. <br />2016 Changes <br />Changes in Actuarial Assumptions <br />• The assumed post -retirement benefit increase rate was changed from 1.0% per year through 2037 <br />and 2.5% thereafter to 1.0% per year for all future years. <br />• The assumed investment return was changed from 7.9% to 7.5%. The single discount rate <br />changed from 7.9% to 5.6%. <br />• The single discount rate changed from 7.90% to 5.60%. <br />• The assumed future salary increases, payroll growth, and inflation was decreased by 0.25% to <br />3.25% for payroll growth and 2.50% for inflation. <br />Changes in Plan Provisions <br />• There have been no changes since the prior valuation. <br />2015 Changes <br />Changes in Actuarial Assumptions <br />• The assumed post -retirement benefit increase rate was changed from 1.0% per year through 2030 <br />and 2.5% per year thereafter to 1.0% per year through 2037 and 2.5% per year thereafter. <br />Changes in Plan Provisions <br />The post -retirement benefit increase to be paid after attainment of the 90% funding threshold was <br />changed, from inflation up to 2.5%, to a fixed rate of 2.5%. <br />112 <br />
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