1. GASB 75 Employer Reporting Other Postemployment Benefits (OPEB)
Fiscal Management, Fiscal Integrity, Financial Reporting

2. Key Concepts

3. – Plan’s fiduciary net position Net OPEB liability =
Basis of Accounting - Full Accrual
Formula for Measuring Net Pension Liability
Total OPEB liability
– Plan’s fiduciary net position
Net OPEB liability =

5. Three steps of measuring total OPEB liability (TOL)
Projecting
Discounting
Allocating
Measuring plan’s fiduciary net position

6. Three important dates for OPEB reporting
Financial statement date
Actuarial valuation date
Measurement date (& measurement period)
Not earlier than the prior FYE
8/31/17 OPEB plans
Measurement period is FY 17

7. OPEB amounts
Net OPEB liability (NOL)
Current NOL
Non-Current NOL
Deferred outflows of resources related to OPEB
Deferred inflows of resources related to OPEB
OPEB expense
Changes in NOL in the measurement period
Expensed immediately
Deferred and amortized into expense

8. Changes in NOL deferred and amortized into expense:
Difference between expected and actual experience (what really took place during the FY)
Assumption changes (actuarial)
Difference between projected and actual investment return
Employer specific adjustments (what happened after the measurement date)
Employer Specific Adjustment – 2nd year of implementation (Verifying)

9. Amortization period expense (Deferred Inflows/Outflows)
Recognition of experience changes
Recognition of assumption changes
Recognition of difference in investment return
OPEB expense
Service costs
Interest on Total OPEB Liability
Member contributions
Projected investment return
Administrative costs
Employer Contributions
Proportion and proportionate share
Proportion is percentage
Proportionate share is amount

10. Employer specific adjustments
Additional adjustments for (after the measurement date in PY):
Change in proportion
Contribution difference
Will change proportionate share of OPEB expense and deferred outflows and inflows
Will NOT change proportionate share of ending NOL for current FY

11. Disclosure Requirements

12. Note Disclosure Requirements
Discount rate
Single blended rate
LT expected rate of return - methods and assumptions
Municipal bond rate and source (if applicable)
Periods where each rate applied
Sensitivity analysis
Assumption and benefit changes
Asset allocation and LT expected real rate of return by asset class
OPEB expense

13. Note Disclosure Requirements
Schedule of OPEB deferred outflows and inflows by source
Amortization of OPEB deferrals in future years
Schedule of Changes in NOL for current period
Proportion, proportionate share of collective NOL and change in proportion Measurement date and actuarial valuation date

14. RSI Requirements 10-year schedule of changes in NOL and related ratiosor
10-year schedule of proportionate share of collective NOL and related ratios
10-year schedule of employer contributions
Notes to schedules

15. Financial Statement Impact

16. Without Proprietary Funds
Statement of Net Position
NOL – Net OPEB Liability
Deferred Outflows of Resources
Deferred Inflows of Resources
Statement of Activities
OPEB Expense
State agencies with independent audited reports.
Statement of Net Position – NPL, where does in go on the statement? Noncurrent Liablities?
Financial Reporting will post the state’s collective NPL, deferred outflows, deferred inflows and pension expense to FT 12 (on GAAPR?)on the Government wide statements. The proportionate percentage will be provided to each agency that issues independent audited reports so that each agency can calculate their proportionate share of the collective amounts that will be reported in governmental activity or proprietary fund and business-type activities (if applicable) on their independent audited reports.
The Pension Expense with be shown where on the statement of activities?

17. With Proprietary Funds
Statement of Net Position
NOL – Net OPEB Liability
Deferred Outflows of Resources
Deferred Inflows of Resources
Statement of Revenues, Expenses, and Changes in Net Position
OPEB Expense
Statement of Cash Flows
Reconciliation of Operating Income (Loss) to Net Cash Provided by (Used in) Operating Activities
State agencies with Proprietary Funds
Statement of Net Position – NPL where does in go in the statement? Noncurrent Liablities?
Statement of Revenues, Expenses, and Changes in Net Position – Pension Expense will be in the Operating Expense Section.
Statement of Cash Flows – Reconciliation of Operating Income (Loss) to Net Cash Provided by Operating Activities
On the reconciliation, Operating Income (Loss) will change by the amount shown for Pension Expense.
Net Cash Provided by (Used in) = Net Cash used in Operating Activities