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8.A. - Page 39 of 51 On December 21, 2016, the PERS Board voted to lower its discount rate from 7.5% to 7.0% over the next three years according to the following schedule. Other Post -Employment Benefits (OPEB). In June 2015, the Governmental Accounting Standards Board ("GASB") issued Statement No. 75, Accounting and Financial Reporting for Postemployment Benefit Other Than Pension, which is effective for fiscal years beginning after June 15, 2017. The objective of this Statement is to address reporting by governments that provide other postemployment benefits ("OPEB") to their employees and for governments that finance OPEB for employees of other governments. For the fiscal year ending June 30, 2018, the City restated its beginning net position as part of implementation of Statement No. 75. The City's OPEB plan (the "OPEB Plan") is managed through the California Employer's Retiree Benefits Trust (CERBT), an irrevocable trust fund that allows public employers to prefund the future cost of their retiree health insurance benefits and other post -employment benefits for their covered employees or retirees. The City's OPEB Plan and its contribution requirements are established by Memoranda of Understanding with the applicable employee bargaining units and may be amended by agreements between the City and the bargaining units. The annual contribution is based on the actuarially determined contribution ("ADC"). The ADC represents the annual employer contribution that along with member contributions and investment income is projected to fully fund the OPEB plan over a static 28 years beginning in fiscal year 2012-13. For the fiscal year ended June 30, 2019, the City's cash contributions were $4,568,901 in payments to the trust plus $3,260,775 cash benefit payments and the estimated implied subsidy was $724,000, resulting in total payments of $8,553,676. The changes in the net OPEB liability for the City's OPEB Plan for the fiscal year ended June 30, 2019 were as follows: ATTY/AGR/2020.264/PRELIMINARY OFFICIAL STATEMENT — WASTEWATER REV: 11-18-2020 EI Page 17 of 29 705 Fiscal Year Required Discount Valuation Contribution Rate Date June 30, 2016 2018-19 7.375% June 30, 2017 2019-20 7.250 June 30, 2018 2020-21 7.000 Other Post -Employment Benefits (OPEB). In June 2015, the Governmental Accounting Standards Board ("GASB") issued Statement No. 75, Accounting and Financial Reporting for Postemployment Benefit Other Than Pension, which is effective for fiscal years beginning after June 15, 2017. The objective of this Statement is to address reporting by governments that provide other postemployment benefits ("OPEB") to their employees and for governments that finance OPEB for employees of other governments. For the fiscal year ending June 30, 2018, the City restated its beginning net position as part of implementation of Statement No. 75. The City's OPEB plan (the "OPEB Plan") is managed through the California Employer's Retiree Benefits Trust (CERBT), an irrevocable trust fund that allows public employers to prefund the future cost of their retiree health insurance benefits and other post -employment benefits for their covered employees or retirees. The City's OPEB Plan and its contribution requirements are established by Memoranda of Understanding with the applicable employee bargaining units and may be amended by agreements between the City and the bargaining units. The annual contribution is based on the actuarially determined contribution ("ADC"). The ADC represents the annual employer contribution that along with member contributions and investment income is projected to fully fund the OPEB plan over a static 28 years beginning in fiscal year 2012-13. For the fiscal year ended June 30, 2019, the City's cash contributions were $4,568,901 in payments to the trust plus $3,260,775 cash benefit payments and the estimated implied subsidy was $724,000, resulting in total payments of $8,553,676. The changes in the net OPEB liability for the City's OPEB Plan for the fiscal year ended June 30, 2019 were as follows: ATTY/AGR/2020.264/PRELIMINARY OFFICIAL STATEMENT — WASTEWATER REV: 11-18-2020 EI Page 17 of 29 705