2019 City of Maple Ridge Annual Report

Consolidated Financial Statements Notes to the Consolidated Financial Statements

For the year ended December 31, 2019

2019

2018

Accrued benefit obligation, beginning of year

$ 3,800,900 $ 4,932,200

Add:

Current service costs

169,000 107,800 116,500 (864,800) 3,329,400

397,600 143,900

Interest on accrued benefit obligation

Actuarial (gain)/loss

(1,192,800) (480,000) 3,800,900

Less:

Benefits paid during the year

Accrued benefit obligation, end of year

Add: Unamortized actuarial gain

669,600

861,200

Accrued Benefit liability

3,999,000

4,662,100

Actuarial assumptions used to determine the City's accrued benefit obligation are as follows: 2019

2018 3.00 % 2.00 % 2.68 %

Discount rate (long-term borrowing rate)

3.00 % 2.00 % 2.63 %

Expected future inflation rate

Merit and inflationary wage and salary increases averaging Estimated average remaining service life of employees (years)

11.0

11.0

11. Debt (Schedule 4) The City obtains debt instruments through the Municipal Finance Authority (MFA), pursuant to security issuing bylaws under authority of the Community Charter, to finance certain capital expenditures. Debt is reported net of Sinking Fund balances and interest expense is reported net of Sinking Fund earnings. The City carries no debt for others. The following debenture debt amounts plus projected Sinking Fund earnings are payable over the next five years and thereafter are as follows: Debt Payments 2020 $ 2,215,521 2021 2,260,235 2022 2,306,211 2023 2,353,485 2024 2,402,094 Thereafter 7,497,538 Sinking Fund earnings 4,256,266 $ 23,291,350 The City has the following authorized but un-issued financing available as at December 31, 2019: L/A Bylaw L/A Amount L/A Bylaw L/A Amount #6558 $ 6,000,000 #6560 $ 275,000 #6679 1,100,000 #7370 3,500,000 #7371 7,000,000 #7372 8,500,000 #7373 1,000,000 #7374 2,500,000 #7375 1,000,000 #7376 2,500,000 #7377 23,500,000 Total 56,875,000

52 City of Maple Ridge - 2019 Annual Report