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Appendix A <br />Page 3 <br />June 30, 2015 (the measurement date), the average active employee contribution rate is 8.197 percent of <br />annual pay for the Miscellaneous Plan and 9.557 percent of annual pay for the Safety Plan, and employer <br />contribution rate is 24.134 percent of annual payroll for the Miscellaneous Plan and 42.457 percent of <br />annual payroll for the Safety Plan. <br /> <br />Changes in the Net Pension Liability. The changes in the Net Pension Liability for each Plan follow: <br /> <br />REDWOOD CITY <br />Changes in Net Pension Liability <br /> <br /> Miscellaneous Plan Safety Plan <br /> Total Pension <br />Liability <br />Plan Fiduciary <br />Net Position <br />Net Pension <br />Liability <br />Total Pension <br />Liability <br />Plan Fiduciary <br />Net Position <br />Net Pension <br />Liability <br />Balance at 6/30/15 267,985,557 197,591,985 70,393,572 309,747,565 215,992,153 93,755,412 <br />Changes in the year: <br />Service cost 4,787,766 - 4,787,766 7,620,719 - 7,620,719 <br />Interest on total pension liability 19,792,491 - 19,792,491 22,992,406 - 22,992,406 <br />∆ btw actual/expected experience (546,244) - (546,244) 210,529 - 210,529 <br />Changes in Assumptions (4,797,291) - (4,797,291) (5,686,859) - (5,686,859) <br />Changes in benefit terms - 18,362 (18,362) - - - <br />Contribution – Employer - 6,882,313 (6,882,313) - 9,993,967 (9,993,967) <br />Contribution – Employee - 2,372,657 (2,372,657) - 2,420,787 (2,420,787) <br />Net investment income - 4,413,116 (4,413,116) - 4,953,411 (4,953,411) <br />Administrative Expenses (223,524) 223,524 (245,450) 245,450 <br />Benefit payments (12,621,036) (12,621,036) - (15,054,516) (15,054,516) - <br />Net Changes 6,615,686 841,888 5,773,798 10,082,279 2,068,199 8,014,080 <br />Balance at 6/30/16 274,601,243 198,433,873 76,167,370 319,829,844 218,060,352 101,769,492 <br /> <br />Source: Redwood City 2015-16 CAFR. <br /> <br /> <br />Pension Expenses and Deferred Outflows/Inflows of Resources Related to Pensions. For the fiscal year <br />ended June 30, 2016, the City recognized pension expense of $13,257,437. At June 30, 2016, the City <br />reported deferred outflows of resources and deferred inflows of resources related to pensions from the <br />following sources: <br /> <br />REDWOOD CITY <br />Deferred Outflows/Inflows of Resources <br /> <br /> Deferred Outflows <br />of Resources <br />Deferred Inflows <br />of Resources <br />Contributions subsequent to measurement date 17,362,779 - <br />Changes in assumptions - (7,210,834) <br />∆ between actual and expected experiences 155,127 (343,931) <br />Net ∆ between projected/actual earnings on plan investments - (4,408,288) <br /> Total 17,517,906 (11,963,053) <br /> <br />Source: Redwood City 2015-16 CAFR. <br /> <br />For information concerning the City’s pension obligations, including descriptions of the actuarial <br />methods and assumptions, and an explanation of the discount rate used by please See APPENDIX B— <br />COMPREHENSIVE ANNUAL FINANCIAL REPORT OF THE CITY FOR THE FISCAL YEAR ENDED <br />JUNE 30, 2016, Note 9. <br /> <br />8.C. - Page 78