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City of Elk River <br />Notes to Required Supplementary Information <br /> <br /> <br /> 121 <br />Post Employment Benefits Plan <br /> <br />No assets are accumulated in a trust to pay related benefits. <br /> <br />2024 Changes <br />Changes in Actuarial Assumptions <br />• The discount rate was changed from 4.00% to 3.70% based on updated 20-year municipal bond <br />rates. <br /> <br />2023 Changes <br />Changes in Actuarial Assumptions <br />• The discount rate was changed from 2.00% to 4.00% based on updated 20 -year municipal bond <br />rates. <br />• The inflation rate changed from 2.00% to 2.50%. <br />• The health care trend rates were changed to better anticipate short term and long term <br />medical increases. <br />• The mortality tables were updated from the Pub-2010 Public Retirement Plans Headcount - <br />Weighted Mortality Tables (General, Safety) with MP -2020 Generational Improvement Scale to <br />the Pub-2010 Public Retirement Plans Headcount -Weighted Mortality Tables (General, Safety) <br />with MP-2021 Generational Improvement Scale. <br />• The retirement, withdrawal, and salary increase rates for public safety employees were <br />updated to reflect the latest experience study. <br /> <br />2022 Changes <br />Changes in Actuarial Assumptions <br />• None noted <br /> <br />2021 Changes <br />Changes in Actuarial Assumptions <br />• The discount rate was changed from 2.90% to 2.00% based on updated 20 -year municipal bond <br />rates. <br />• The inflation rate changed from 2.50% to 2.00%. <br />• The health care trend rates were changed to better anticipate short term and long term <br />medical increases. <br />• The mortality tables were updated from the RP -2014 Mortality Tables (Blue Collar for Public <br />Safety, White Collar for Others) with MP-2018 Generational Improvement Scale to the Pub- <br />2010 Public Retirement Plans Headcount -Weighted Mortality Tables (General, Safety) with <br />MP-2020 Generational Improvement Scale. <br />• The retirement and withdrawal rates for non -public safety employees were updated. <br />• The salary increase rates were changed from a flat 3.00% per year for all employees to rates <br />which vary by service and contract group. <br /> <br />2020 Changes <br />Changes in Actuarial Assumptions <br />• The discount rate was changed from 3.80% to 2.90% based on updated 20-year municipal bond <br />rates. <br /> <br />Page 311 of 637