2022 Annual Comprehensive Financial Report

CITY OF SHAKOPEE NOTES TO THE FINANCIAL STATEMENTS DECEMBER 31, 2022

NOTE 13 – PENSION PLANS (CONTINUED)

G. Pension Expense and Deferred Outflows of Resources and Deferred Inflows of Resources Related to Pensions For the year ended December 31, 2021, the City recognized negative pension expense of $149,679. At December 31, 2021, the City reported deferred outflows of resources and deferred inflows of resources related to pensions from the following sources: Defined Benefit Pension Plan – Volunteer Fire Fighter's Relief Association (Continued)

Deferred

Inflows of Resources Deferred

Outflows of Resources

Contributions paid subsequent to the measurement date Difference between expected and actual liability

$

348,310 12,787 148,482

$

-

51,137

-

Changes in assumptions

Net difference between projected and actual earnings on

-

425,988

pension plan investments

$

509,579

$

477,125

$348,310 reported as deferred outflows of resources related to pensions resulting from State contributions subsequent to the measurement date will be recognized as a reduction of the net pension liability in the year ended December 31, 2023. Amounts reported as deferred outflows of resources and deferred inflows of resources related to pensions will be recognized in pension expense as follows:

Pension Expense

Year Ending December 31, 2022 2023

Amount

$

41,934 16,484 (44,937) (62,187) (181,407) (85,743)

2024 2025 2026

Thereafter

$

(315,856)

Total

H. Payable to the Pension Plan

At December 31, 2022, the City reported a payable of $0 for the outstanding amount of contributions to the pension plan required for the year ended December 31, 2022.

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