COG Comprehensive Annual Financial Report

For the year ended June 30, 2018, the City recognized OPEB expense of $10,657,462. At June 30, 2018, the City reported deferred inflows of resources related to OPEB from the following sources:

Deferred Inflows of Resources

Differences between expected and actual experience

$

817,650 3,346,354 133,108 4,297,112

Changes of assumptions

Net difference between projected and actual earnings on plan investments

Total

$

Amounts reported as deferred inflows of resources related to OPEB will be recognized in OPEB expense as follows:

Year ended June 30: 2019

$

(733,109) (733,109) (733,109) (733,109) (1,364,676)

2020 2021 2022 2023 Total

$ (4,297,112)

H. Deferred Compensation The City offers all of its employees a Deferred Compensation Plan (Plan) in accordance with Internal Revenue Code Section 457 and 401. The Plan, available to permanent City employees, permits them to defer a portion of their salary until future years. The deferred compensation is not available to employees until termination, retirement, death or unforeseeable emergency. The City has complied with changes in laws which govern the City’s Plan, requiring all assets of the Plan to be held in trust, custodial accounts or into annuity contracts for the exclusive benefit of participants and their beneficiaries. Effective January 1, 1999, the City entered in a trust arrangement in compliance with GASB Statement No. 32, Accounting and Financial Reporting for Internal Code Section 457 Deferred Compensation Plans . All transactions are administered by third party administrators and accordingly, Plan assets are not included in the City’s financial statements. The City contributes 3.25% of salary for participating full time employees to the 401(a) Plan. The City also contributes an additional 1.75% to a 401(a) plan prior to FICA deduction of salary if applicable, for those engaged in firefighting, if firefighters choose to defer at least 1.75% of their salary, as well. Those employees engaged in law enforcement may participate in the 457 Plan, however, no City contributions are made on their behalf, but instead, the City contributes 5% of salary to the 401(k) Defined Contribution Pension Plan. All employees may defer amounts in the 457 Plan, administered by ICMA- Retirement Corporation, and the 401(k) Plan, administered by Prudential Retirement for the State of North Carolina and its subdivisions, up to the maximum allowed by the Internal Revenue Service each year. The employee receives credit for his contribution as well as the City’s, and benefits are based on the total assets owned in the employee’s individual accounts. The fair market value of the deferred compensation accounts of employees through the year ended June 30, 2018 was $153,948,630 consisting of $107,818,213 (457), $28,213,511 (401(a)), and $17,916,906 (401(k)). I. Pension Plan Obligations 1. Local Governmental Employees’ Retirement System Plan Description The City of Greensboro is a participating employer in the statewide Local Governmental Employees’ Retirement System (LGERS), a cost-sharing multiple-employer defined benefit pension plan administered by the State of North Carolina. LGERS 38rr