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OPEB as of June 30, 2021
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Town of Canton
Other Postemployment Benefits Plan
GASB 74 & GASB 75 Actuarial Valuation
With a Valuation Date of July 1, 2020
As of the Measurement Date:
June 30, 2021
For the Reporting Date:
June 30, 2021
Delivered August 13, 2021Source page 2
TABLE OF CONTENTS
PAGE
EXECUTIVE SUMMARY I
PRINCIPAL RESULTS OF THE VALUATION 1
EXHIBITS
A FINANCIAL STATEMENT DISCLOSURES 5
B REQUIRED SUPPLEMENTARY INFORMATION 17
APPENDIX
I LIABILITIES, ASSETS, & CASH FLOWS 23
II PLAN PROVISIONS 28
III ACTUARIAL METHODS & ASSUMPTIONS 31
IV PLAN DEMOGRAPHICS 39
V OVERVIEW OF GASB 74 & 75 42
VI ASOP 41 DISCLOSURES 44
GLOSSARY 47Source page 3
August 13, 2021 Personal and Confidential Mr. Randy Scollins Finance Director Town of Canton 801 Washington St Canton, MA 02021 Dear Mr. Scollins: We have performed an actuarial valuation of the Town of Canton Other Postemployment Benefits Plan for the Reporting Date & fiscal year ending June 30, 2021 with a Measurement Date of June 30, 2021 and a Valuation Date of July 1, 2020. The figures presented in this report reflect the adoption, by the Town of Canton, of Statement Nos. 74 and 75 of the Governmental Accounting Standards Board (“GASB 74/75”) effective for the fiscal years ending June 30, 2017 and June 30, 2017 respectively. The financial results of the actuarial valuation are summarized in the report. The Executive Summaries highlight the results of the valuation. Additional information summarizing census data, actuarial assumptions, claim rates and the methodology for developing them, as well as a glossary of selected terms used in this study, is also included in the report. All costs, liabilities and other factors under the plan were determined in accordance with generally accepted actuarial principles and procedures. In our opinion, the actuarial assumptions used are reasonable, reflecting the experience of the plan and reasonable expectations and, in combination, represent our best estimate of the anticipated experience under the plan. We will be pleased to answer any questions that you may have regarding this actuarial valuation report. Very truly yours, Parker E. Elmore, ASA, EA, FCA, MAAA President, CEO & Actuary
Source page 4
August 13, 2021
ACTUARIAL CERTIFICATION
This is to certify that Odyssey Advisors has conducted an actuarial valuation of certain benefit obligations of the Town of Canton other
postemployment benefit programs with a Valuation Date of July 1, 2020 with a Measurement Date of June 30, 2021 for the Reporting Date &
fiscal year ending June 30, 2021 in accordance with Government Account Standards Board Statement No. 74 & 75 and Actuarial Standards of
Practice as issued by the American Academy of Actuaries. The actuarial calculations presented in this report have been made on a basis
consistent with our understanding of GASB Statements Numbers 74 & 75 for the determination of the liability for postemployment benefits
other than pensions.
The actuarial data is based on the plan of benefits verified by the Town and on participant claims or premium data provided by the Town
and/or vendors employed by the Town.
The actuarial computations made are for purposes of fulfilling plan accounting requirements. Determinations for purposes other than
meeting financial accounting requirements may yield results significantly different than those reported here. As such, additional
determinations may be needed for other purposes including determining the benefit security at termination and/or adequacy of the funding
of an ongoing plan.
To the best of our knowledge, this report is complete and accurate and in our opinion represents the information necessary to comply with
GASB Statements Number 74 and 75 with respect to the benefit obligations addressed. The signing actuaries are members of the Society of
Actuaries, the American Academy of Actuaries and other professional actuarial organizations and meet their “General Qualification
Standards for Statements of Actuarial Opinion” to render the actuarial opinion contained herein. Further, in our opinion, the assumptions as
approved by the Town are reasonably related to the experience and expectations of the postemployment benefits programs.
Parker E. Elmore, ASA, EA, FCA, MAAA Sarah F. Rothenberg, ASA, MAAA
President, CEO & Actuary Consulting ActuarySource page 5
EXECUTIVE SUMMARY
How did plan liabilities change from FY 20 to FY 21?
Plan Experience
For the year ending on the Measurement Date of June 30, 2021, the Plan saw an experience gain of $5,176,153 or 5.82% of the
beginning Total OPEB Liability ("TOL"). This was mainly due to premiums for Medicare Supplement plans increasing 2% rather
than the expected 9% increase over the 2-year period and due to a decrease in the number of retirees and retiree spouses who are
over the age of 65 and enrolled in Active plans.
Assumption Changes
One or more key assumptions have changed since the prior valuation. The total impact of these assumption changes increased
disclosed liabilities by $8.8 million, as detailed below.
✓ Due to the GASB 75 standards the discount rate has been changed from 6.00% to 6.25% decreasing the disclosed liability
by $2.9 million.
✓ Based on recommendations by PERAC, the mortality table has been updated from the RP-2000 Employees Mortality
Table projected generationally with scale BB and a base year 2009 to the RP-2014 Mortality Table projected generationally
with scale MP-2016 for males and females increasing the disclosed liability by $5.1 million.
✓ Due to updated guidance related to the implementation of ASOP 6, we have updated our methodology for calculating
expected claims increasing the disclosed liability by $6.6 million.
✓ Based on recent actuarial research we have adopted the Getzen model for future projected healthcare costs. This change
had no material impact on plan liabilities.
It is important to remember that actuarial assumptions or changes in such do not impact the actual cost of the Plan. Rather, they
impact the timing of the recognition of such costs.
Investment Experience
✓ During the period there was an investment gain of $1,327,347 due to asset performance above the expected rate of return.
Changes in Benefits Terms
✓ To the best of our knowledge there have been no material changes in benefit terms that would impact the figures
shown in this report.
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page ISource page 6
EXECUTIVE SUMMARY
Recognition Period
✓ Changes in assumptions & plan experience are amortized into the net OPEB expense over 5.93 years.
✓ Differences between projected & actual earnings on OPEB plan investments are amortized into the net OPEB expense over 5.00
years
✓ Changes in benefit terms are to be recognized in full immediately
Events Subsequent to the Measurement Date
To the best of our knowledge there were no material events subsequent to the Measurement Date that would impact the figures shown
in this report.
Discount Rate Determinants
✓ Employer Current and Future Benefit Payments
✓ Municipal Bond Rate – The S&P 20-year high grade municipal bond index was 2.18% as of June 30, 2021.
✓ Current Asset Level – The Town had $9,066,372 of OPEB assets as of June 30, 2021.
✓ Funding Policy - The Town is expected to contribute $1.05 million in Fiscal 2022 which will then increase by $100 thousand per
year until contributions reach $1.5 million per year beginning in Fiscal 2027.
✓ Investment Policy - The Town is expected to earn 6.51% per year on assets based on its investment policy.
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page IISource page 7
EXECUTIVE SUMMARY
Key Drivers of Plan Liabilities
Several key drivers of plan costs and liabilities are:
✓ Premiums for Post 65 (Medicare supplement) plans - represent 72.49% of the total plan liabilities
✓ Age at which plan participants retire
✓ Percentage of plan participants who elect coverage for themselves and/or a spouse
✓ Medical care cost inflation rate - We currently assume medical costs increase according to the Getzen Model of Long-Run
Medical Cost Trends for Active and Medicare supplement plans.
✓ Discount Rate (6.25%) – Higher discount rates yield lower liabilities and vice versa
✓ Cost Sharing - Under Massachusetts law you may charge retirees up to 50% of premiums for health insurance
Medicare Buy-In
The Town currently has 18 retirees or covered spouses who are over the age of 65 and are enrolled in Active medical plans rather than
Medicare Supplement (Senior) plans. Under Actuarial Standards of Practice for OPEB, we are required to reflect the projected higher
healthcare costs that occur as retirees age.
Recently, some of our clients have seen substantial cost savings by “buying into” Medicare for retirees who would otherwise be
ineligible. To buy into Medicare the Town would need to pay the Medicare Part A premium and the Medicare Part A and B penalties.
While the cost to buy into Medicare is significant, it is likely still far less than the cost of the claims that the associated retirees are
expected to incur. You may wish to review their Medicare eligibility to see if they are already eligible for Medicare or if a “buy-in” is
appropriate as this could yield a reduction in your OPEB annual costs and disclosed liabilities. If you are in this situation, we encourage
you to talk to your healthcare consultant to see if this might be viable.
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page IIISource page 8
EXECUTIVE SUMMARY
Key Plan Metrics
While an actuarial valuation under GASB 74/75 can be very complex with many variables, we find it helpful to look at several key
metrics (shown below) to better allow you to manage your plan.
Representative Plan Statistics
Valuation Date July 1, 2020 July 1, 2018
Measurement Date & Period Ending June 30, 2021 June 30, 2020
Reporting Date/Fiscal Year End June 30, 2021 June 30, 2020
Total OPEB Liability 95,935,243 88,952,265
Per Eligible Active Plan Participant 67,007 63,596
Per Retiree/Spouse Plan Participant 81,747 77,745
Total Annual Service Cost (Annual Benefit Accrual) 2,115,184 2,011,440
Per Eligible Active Plan Participant 3,115 2,980
Expected Employer Share of Retiree Costs 4,119,198 3,875,429
Per Retiree/Spouse Plan Participant 6,676 6,546
Net OPEB Liability as a % of Covered Payroll 173.50% 172.10%
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page IVSource page 9
EXECUTIVE SUMMARY
Liabilities & Benefit Payments in Today’s Dollars
With the growth of medical care costs over time, the nominal accrued liabilities (“TOL”) and benefit payments can appear daunting.
However, it is important to remember that a dollar paid in the future is worth less than a dollar paid today.
Number of
Retirees, Present Value at 3.00% of
For the Period Ending on Spouses, & Present Value at 3.00% Employer Share of Employer Share of
the Measurement Date Surviving of Total OPEB Premiums/Claims Premiums / Claims
of: Spouses Total OPEB Liability Liability Including "Implicit Cost" Including "Implicit Cost"
June 30, 2021 617 95,935,243 95,935,243 4,119,198 4,119,198
June 30, 2026 671 114,521,017 98,786,835 5,136,770 4,431,023
June 30, 2031 702 133,982,060 99,695,236 6,784,935 5,048,629
June 30, 2036 718 153,015,417 98,214,774 8,342,381 5,354,657
June 30, 2041 695 174,508,307 96,621,018 9,226,362 5,108,413
June 30, 2046 669 200,465,421 95,743,402 10,515,274 5,022,153
June 30, 2051 647 232,466,061 95,772,939 11,939,081 4,918,743
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page VSource page 10
EXECUTIVE SUMMARY
Continuing OPEB Disclosures
In addition to pension benefits, municipal entities may provide retired employees with healthcare and life insurance benefits. The
portion of the cost of such benefit paid by these entities is generally provided on a pay-as-you-go basis.
The pay-as-you-go costs to the Town for such benefits for the most recent years is as follows:
Fiscal Year Ending Cost
June 30, 2022 (budgeted) 4,058,281
June 30, 2021 Actual 4,119,198
June 30, 2020 Actual 3,875,429
June 30, 2019 Actual 3,723,578
June 30, 2018 Actual 3,179,556
June 30, 2017 Actual 3,013,880
The Town performs actuarial valuations of its non-pension post-employment benefits liability in accordance with GASB reporting
requirements. As of the June 30, 2021 Measurement Date, the Net OPEB Liability ("NOL") was determined to be $86,868,871 assuming a
discount rate of 6.25%. The Town has established an OPEB Trust and plans to fund this liability. The Town is expected to contribute
$1.05 million in Fiscal 2022 which will then increase by $100 thousand per year until contributions reach $1.5 million per year beginning
in Fiscal 2027. The balance of this fund as of June 30, 2021 was $9,066,372. See the Town's audit reports for additional information.
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page VISource page 11
PRINCIPAL RESULTS OF THE VALUATION
Prior Year Comparison
Town of Canton
Assuming Funding - 6.25% discount rate
Comparison of Plan Liabilities to Prior Valuation
Valuation Date July 1, 2020 July 1, 2018
For the Measurement Period ending on the Measurement Date of: June 30, 2021 June 30, 2020
For the Reporting Period & Fiscal Year ending on: June 30, 2021 June 30, 2020
I. Total OPEB Liability
A. Actives 45,497,445 42,927,426
B. Retirees/Disabled 50,437,798 46,024,839
C. Total 95,935,243 88,952,265
II. Fiduciary Net Position [Plan Assets] 9,066,372 6,380,381
III. Net OPEB Liability (Asset) [I. - II.] 86,868,871 82,571,884
IV. Funded Ratio [II. / I.] 9.45% 7.17%
V. Number of Eligible Participants
A. Actives 679 675
B. Retirees/Disabled & Dependents 617 592
C. Total 1,296 1,267
VI. Service Cost 2,115,184 2,011,440
VII. Financial Statement Expense/(Income) 5,055,914 4,409,946
VIII. Employer Contribution to the OPEB Trust (914,000) (1,030,000)
IX. Deferred Inflow of Resources (11,709,945) (8,716,226)
X. Deferred Outflow of Resources 7,518,125 250,135
XI. Money Weighted Rate of Return 26.10% 2.35%
XII. 20-year Municipal Bond Rate (SAPIHG) 2.18% 2.66%
XIII. Expected Long Term Rate of Return (Net of Expense) 6.51% 7.00%
XIV. Crossover Year 2077 2062
XV. Discount Rate 6.25% 6.00%
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 1Source page 12
PRINCIPAL RESULTS OF THE VALUATION
Town of Canton
Plan Liabilities as of the June 30, 2021 Measurement Date
Public Safety Food Service Water Enterprise Sewer Enterprise
Town Employees School Employees Employees and Employees and Employees and Employees and
and Retirees and Retirees Retirees Retirees Retirees Retirees Total
I. Total OPEB Liability
A. Actives 5,356,084 26,706,204 11,767,686 571,473 856,589 239,409 45,497,445
B. Retirees/Disabled 5,913,558 33,822,995 9,219,592 59,125 946,332 476,196 50,437,798
C. Total 11,269,642 60,529,199 20,987,278 630,598 1,802,921 715,605 95,935,243
II. Fiduciary Net Position [Plan Assets] 1,065,040 5,720,319 1,983,405 59,595 170,385 67,628 9,066,372
III. Net OPEB Liability (Asset) [I. - II.] 10,204,602 54,808,880 19,003,873 571,003 1,632,536 647,977 86,868,871
IV. Number of Eligible Participants
A. Actives 108 444 101 11 12 3 679
B. Retirees/Disabled 93 392 113 1 15 3 617
C. Total 201 836 214 12 27 6 1,296
For the Reporting Date and Fiscal Year Ending June 30, 2021
V. Service Cost 329,760 1,325,716 397,405 20,832 33,745 7,726 2,115,184
VI. Financial Statement Expense/(Income) 671,663 3,183,116 1,043,359 40,888 88,325 28,563 5,055,914
VII. Employer Share of Costs (666,026) (2,581,859) (721,165) (19,656) (79,442) (51,050) (4,119,198)
VIII. Employer (Payments)/Withdrawals to/from OPEB Trust (105,910) (577,104) (201,238) (6,169) (17,047) (6,532) (914,000)
IX. Total Employer Contribution [VII. + VIII.] (771,936) (3,158,963) (922,403) (25,825) (96,489) (57,582) (5,033,198)
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 2Source page 13
PRINCIPAL RESULTS OF THE VALUATION
Totals by Demographic
Town of Canton
Assuming Funding - 6.25% discount rate
For the Period Ending on the June 30, 2021 Measurement Date
Actives Retirees/Disabled
Grand Total
Under Age 65 Age 65+ Actives Total Under Age 65 Age 65 + Retirees Total
Present Value of Future Benefits
A. Participants 15,389,678 20,907,551 36,297,229 4,335,155 31,217,040 35,552,195 71,849,424
B. Spouses 10,451,497 16,163,822 26,615,319 2,981,378 11,904,225 14,885,603 41,500,922
C. Total 25,841,175 37,071,373 62,912,548 7,316,533 43,121,265 50,437,798 113,350,346
Total OPEB Liability
A. Participants 11,319,008 14,867,567 26,186,575 4,335,155 31,217,040 35,552,195 61,738,770
B. Spouses 7,760,658 11,550,212 19,310,870 2,981,378 11,904,225 14,885,603 34,196,473
C. Total 19,079,666 26,417,779 45,497,445 7,316,533 43,121,265 50,437,798 95,935,243
Service Cost
A. Participants 474,544 752,711 1,227,255 0 0 0 1,227,255
B. Spouses 312,032 575,897 887,929 0 0 0 887,929
C. Total 786,576 1,328,608 2,115,184 0 0 0 2,115,184
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 3Source page 14
PRINCIPAL RESULTS OF THE VALUATION
CURRENT FUNDING POLICY (OPEN GROUP)
Current Funding Policy
Funding - 6.25% discount rate
II. Fiduciary Net IX. Benefit X. Administrative
Position as of VI. Employer VII. Trust VIII. Gross Payments & Investment XI. Total Employer
For the Period Ending on the I. Total OPEB Measurement Date III. Net OPEB IV. Funded Share of Benefit Contributions Trust Reimbursed Expenses Payments Less
Fiscal Measurement Date Liability ("TOL") as with an expected Liability (Asset) Ratio V. Service Payments (With Beyond Pay-as- Contributions from the Reimbursed from Reimbursements
Year of: of Measurement Date 6.51% return [I. - II.] [II. / I.] Cost Implicit Cost) you-go [VI. + VII.] Trust the Trust [VIII. - IX. - X.]
2021 June 30, 2021 95,935,243 9,066,372 86,868,871 9.45% 2,115,184 4,119,198 914,000 5,033,198 4,119,198 0 914,000
2022 June 30, 2022 99,970,446 10,740,231 89,230,215 10.74% 2,091,699 4,058,281 1,050,000 5,108,281 4,058,281 0 1,050,000
2023 June 30, 2023 103,244,649 12,626,262 90,618,387 12.23% 2,154,800 4,297,460 1,150,000 5,447,460 4,297,460 0 1,150,000
2024 June 30, 2024 106,984,689 14,738,278 92,246,411 13.78% 2,226,560 4,539,021 1,250,000 5,789,021 4,539,021 0 1,250,000
2025 June 30, 2025 110,727,006 17,090,990 93,636,016 15.44% 2,296,383 4,860,826 1,350,000 6,210,826 4,860,826 0 1,350,000
2026 June 30, 2026 114,521,017 19,700,067 94,820,950 17.20% 2,377,852 5,136,770 1,450,000 6,586,770 5,136,770 0 1,450,000
2027 June 30, 2027 118,384,483 22,530,597 95,853,886 19.03% 2,457,067 5,387,917 1,500,000 6,887,917 5,387,917 0 1,500,000
2028 June 30, 2028 122,250,930 25,545,394 96,705,536 20.90% 2,540,245 5,714,555 1,500,000 7,214,555 5,714,555 0 1,500,000
2029 June 30, 2029 126,165,352 28,756,454 97,408,898 22.79% 2,625,592 6,027,352 1,500,000 7,527,352 6,027,352 0 1,500,000
2030 June 30, 2030 130,120,220 32,176,554 97,943,666 24.73% 2,718,654 6,337,650 1,500,000 7,837,650 6,337,650 0 1,500,000
2031 June 30, 2031 133,982,060 35,819,303 98,162,757 26.73% 2,808,444 6,784,935 1,500,000 8,284,935 6,784,935 0 1,500,000
2032 June 30, 2032 137,814,471 39,699,195 98,115,276 28.81% 2,903,842 7,170,444 1,500,000 8,670,444 7,170,444 0 1,500,000
2033 June 30, 2033 141,785,906 43,831,668 97,954,238 30.91% 2,993,807 7,412,748 1,500,000 8,912,748 7,412,748 0 1,500,000
2034 June 30, 2034 145,468,855 48,233,165 97,235,690 33.16% 3,099,888 7,808,202 1,500,000 9,308,202 7,808,202 0 1,500,000
2035 June 30, 2035 149,140,397 52,921,199 96,219,198 35.48% 3,200,475 8,219,464 1,500,000 9,719,464 8,219,464 0 1,500,000
2036 June 30, 2036 153,015,417 57,914,424 95,100,993 37.85% 3,308,840 8,342,381 1,500,000 9,842,381 8,342,381 0 1,500,000
2037 June 30, 2037 156,984,079 63,232,708 93,751,371 40.28% 3,416,785 8,549,672 1,500,000 10,049,672 8,549,672 0 1,500,000
2038 June 30, 2038 161,213,772 68,897,213 92,316,559 42.74% 3,527,416 8,809,907 1,500,000 10,309,907 8,809,907 0 1,500,000
2039 June 30, 2039 165,544,239 74,930,477 90,613,762 45.26% 3,647,396 8,880,999 1,500,000 10,380,999 8,880,999 0 1,500,000
2040 June 30, 2040 169,865,257 81,356,506 88,508,751 47.89% 3,766,279 9,055,915 1,500,000 10,555,915 9,055,915 0 1,500,000
2041 June 30, 2041 174,508,307 88,200,870 86,307,437 50.54% 3,887,561 9,226,362 1,500,000 10,726,362 9,226,362 0 1,500,000
2042 June 30, 2042 179,380,042 95,490,802 83,889,240 53.23% 4,014,724 9,475,893 1,500,000 10,975,893 9,475,893 0 1,500,000
2043 June 30, 2043 184,378,982 103,255,308 81,123,674 56.00% 4,152,328 9,604,127 1,500,000 11,104,127 9,604,127 0 1,500,000
2044 June 30, 2044 189,615,764 111,525,284 78,090,480 58.82% 4,284,936 9,829,377 1,500,000 11,329,377 9,829,377 0 1,500,000
2045 June 30, 2045 194,799,285 120,333,635 74,465,650 61.77% 4,437,154 10,293,580 1,500,000 11,793,580 10,293,580 0 1,500,000
2046 June 30, 2046 200,465,421 129,715,410 70,750,011 64.71% 4,588,395 10,515,274 1,500,000 12,015,274 10,515,274 0 1,500,000
2047 June 30, 2047 206,484,379 139,707,938 66,776,441 67.66% 4,751,518 10,826,173 1,500,000 12,326,173 10,826,173 0 1,500,000
2048 June 30, 2048 212,448,600 150,350,980 62,097,620 70.77% 4,917,899 11,290,139 1,500,000 12,790,139 11,290,139 0 1,500,000
2049 June 30, 2049 218,970,103 161,686,884 57,283,219 73.84% 5,092,472 11,551,659 1,500,000 13,051,659 11,551,659 0 1,500,000
2050 June 30, 2050 225,261,265 173,760,755 51,500,510 77.14% 5,281,531 11,677,042 1,500,000 13,177,042 11,677,042 0 1,500,000
2051 June 30, 2051 232,466,061 186,620,635 45,845,426 80.28% 5,461,777 11,939,081 1,500,000 13,439,081 11,939,081 0 1,500,000
2052 June 30, 2052 240,123,886 200,317,694 39,806,192 83.42% 5,664,209 12,174,763 1,500,000 13,674,763 12,174,763 0 1,500,000
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 4Source page 15
EXHIBIT A
FINANCIAL STATEMENT DISCLOSURES
(As of the June 30, 2021 Measurement Date)
The GASB Standards for accounting and financial reporting for postemployment benefits other than pensions require the following
disclosures in the financial statements:
1. OPEB Expense Development
Components of the Town's OPEB Expenses for the Fiscal Year Ending June 30, 2021
Description Amount
I. Service Cost 2,115,184
II. Interest on Total OPEB Liability (Asset), Service Cost, and Benefit Payments 5,342,271
III. Deferred (Inflows)/Outflows from Plan Experience* (1,984,363)
IV. Deferred (Inflows)/Outflows from Changes of Assumptions* 235,491
V. Projected Earnings on OPEB Plan Investments (444,644)
VI. Deferred (Inflows)/Outflows from Earnings on Plan Investments** (208,025)
VII. Financial Statement Expense/(Income) Prior to Plan Design Changes [I. + II.+ III. + IV. + V. + VI.] 5,055,914
VIII. Expense Related to Change in Benefit Terms*** 0
IX. Financial Statement Expense/(Income) [VII. + VIII.] 5,055,914
* Amortized over 5.93 years
** Amortized over 5.00 years
*** Recognized Immediately
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 5Source page 16
EXHIBIT A
FINANCIAL STATEMENT DISCLOSURES
(As of the June 30, 2021 Measurement Date)
NOL Change
2. Changes in Net OPEB Liability
Changes in Net OPEB Liability
Increase (Decrease)
Total OPEB Plan Fiduciary Net OPEB
Liability Net Position Liability
I. Balances for the June 30, 2020 Reporting Date 88,952,265 6,380,381 82,571,884
II. Prior Period Adjustment 0 0 0
III. Balances for the June 30, 2020 Reporting Date with Adjustment [I. + II.] 88,952,265 6,380,381 82,571,884
Changes for the year:
IV. Service Cost 2,115,184 0 2,115,184
V. Interest on Total OPEB Liability, Service Cost, and Benefit Payments 5,342,271 0 5,342,271
VI. Changes in Benefit Terms * 0 0 0
VII. Change in Assumptions ** 8,820,874 0 8,820,874
VIII. Differences Between Actual and Expected Experience ** (5,176,153) 0 (5,176,153)
IX. Net Investment Income 0 1,771,991 (1,771,991)
X. Employer Contributions to Trust 0 5,033,198 (5,033,198)
XI. Benefit Payments Withdrawn from Trust 0 (4,119,198) 4,119,198
XII. Benefit Payments Excluding Implicit Cost (2,892,692) 0 (2,892,692)
XIII. Implicit Cost Amount (1,226,506) 0 (1,226,506)
XIV. Total Benefit Payments Including Implicit Cost [XII. + XIII.] (4,119,198) 0 (4,119,198)
XV. Administrative Expense 0 0 0
XVI. Other Charges 0 0 0
XVII. Net Changes [IV.+V.+VI.+VII.+VIII.+IX.+X.+XI.+XIV.+XV.+XVI.] 6,982,978 2,685,991 4,296,987
XVIII. Balances for the June 30, 2021 Reporting Date [III.+XVII.] 95,935,243 9,066,372 86,868,871
* Recognized Immediately
** Amortized over 5.93 years
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 6Source page 17
EXHIBIT A
FINANCIAL STATEMENT DISCLOSURES
Deferred Inflows/Outflows
(As of the June 30, 2021 Measurement Date)
3. Changes in Net OPEB Expense
Deferred (Inflows)/Outflows in OPEB Expense Arising from the Recognition of the Effects of Differences Between Expected & Actual
Experience
Differences Between
Fiscal Actual & Expected Recognition Remaining
Year Experience Period (Years) Balance 2021 2022 2023 2024 2025 2026
2017
2018 0 5.79 0 0 0 0
2019 (5,996,352) 5.45 (2,695,608) (1,100,248) (1,100,248) (1,100,248) (495,112)
2020 (61,259) 5.45 (38,779) (11,240) (11,240) (11,240) (11,240) (5,059)
2021 (5,176,153) 5.93 (4,303,278) (872,875) (872,875) (872,875) (872,875) (872,875) (811,778)
2022
2023
2024
2025
2026
Total Remaining Balance (7,037,665)
Net increase (decrease) in OPEB Expense (1,984,363) (1,984,363) (1,984,363) (1,379,227) (877,934) (811,778)
Deferred (Inflows)/Outflows in OPEB Expense Arising from the Recognition of the Effects of Changes in Assumptions
Differences from
Fiscal Changes in Actuarial Recognition Remaining
Year Assumptions Period (years) Balance 2021 2022 2023 2024 2025 2026
2017
2018 0 5.79 0 0 0 0
2019 (3,907,488) 5.45 (1,756,578) (716,970) (716,970) (716,970) (322,638)
2020 (2,915,959) 5.45 (1,845,883) (535,038) (535,038) (535,038) (535,038) (240,769)
2021 8,820,874 5.93 7,333,375 1,487,499 1,487,499 1,487,499 1,487,499 1,487,499 1,383,379
2022
2023
2024
2025
2026
Total Remaining Balance 3,730,914
Net increase (decrease) in OPEB Expense 235,491 235,491 235,491 629,823 1,246,730 1,383,379
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 7Source page 18
EXHIBIT A
FINANCIAL STATEMENT DISCLOSURES
(As of the June 30, 2021 Measurement Date)
3. Changes in Net OPEB Expense (Continued)
Deferred (Inflows)/Outflows in OPEB Expense Arising from the Recognition of Differences Between Projected & Actual Earnings on
OPEB Plan Investments
Differences Between
Fiscal Actual & Expected Recognition Remaining
Year Earnings Period (years) Balance 2021 2022 2023 2024 2025 2026
2017
2018 (39,705) 5.00 (7,941) (7,941) (7,941)
2019 57,003 5.00 22,800 11,401 11,401 11,399
2020 269,918 5.00 161,950 53,984 53,984 53,984 53,982
2021 (1,327,347) 5.00 (1,061,878) (265,469) (265,469) (265,469) (265,469) (265,471)
2022
2023
2024
2025
2026
Total Remaining Balance (885,069)
Net increase (decrease) in OPEB Expense (208,025) (208,025) (200,086) (211,487) (265,471) 0
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 8Source page 19
EXHIBIT A
FINANCIAL STATEMENT DISCLOSURES
(As of the June 30, 2021 Measurement Date)
3. Changes in Net OPEB Expense (Continued)
Statement of Outflows & Inflows Arising from Current & Prior Reporting Periods for the Measurement Period Ending on June 30, 2021 to be
Reported for the Fiscal Year Ending June 30, 2021
Deferred Deferred
Outflows of Inflows of
Resources Resources Total
I. Contributions made subsequent to the Measurement Date 0 0 0
II. Differences Between Actual & Expected Experience 0 (7,037,665) (7,037,665)
III. Changes of Assumptions 7,333,375 (3,602,461) 3,730,914
IV. Net Difference Between Projected & Actual Earnings on OPEB Plan Investments 184,750 (1,069,819) (885,069)
V. Total [I.+II.+III.+IV.] 7,518,125 (11,709,945) (4,191,820)
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 9Source page 20
EXHIBIT A
FINANCIAL STATEMENT DISCLOSURES
(As of the June 30, 2021 Measurement Date)
3. Changes in Net OPEB Expense (Continued)
Annual Amortization of Deferred (Inflows)/Outflows
The balance of deferred (inflows)/outflows as of June 30, 2021 will be recognized in future years as shown below.
Year ending June 30:
2022 (1,956,897)
2023 (1,948,958)
2024 (960,891)
2025 103,325
2026 571,601
Thereafter 0
4. Discount Rate
The discount rate used to measure the Total OPEB liability was 6.25% as of June 30, 2021 and 6.00% as of June 30, 2020. The
projection of cash flows used to determine the discount rate assumed that contributions will be made in accordance with the
Town’s funding policy. Based on these assumptions, the OPEB Plan’s Fiduciary Net Position is projected to be insufficient to
make all projected benefit payments to current plan members. Therefore, the long-term expected rate of return on the OPEB Plan
assets is applied to the projected benefits payments which the Fiduciary Net Position is expected to be sufficient to cover until
Fiscal Year 2077 and the Municipal Bond Rate is applied thereafter. The Municipal Bond Rate is based on the S&P Municipal
Bond 20 – Year High Grade Index ("SAPIHG"), which was 2.18% as of June 30, 2021. The S&P Municipal Bond 20 - Year High
Grade Index is the index rate for 20 year, tax exempt general obligation municipal bonds with an average rate of AA/Aa or
higher.
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 10Source page 21
EXHIBIT A
FINANCIAL STATEMENT DISCLOSURES
(As of the June 30, 2021 Measurement Date)
Investment Policy
5. Funding Policy
The contribution requirements of plan members and the Town are established and may be amended through Town ordinances.
For the period ending on the June 30, 2021 Measurement Date, total Town premiums plus implicit costs for the retiree medical
program were $4,119,198. The Town also contributed $914,000 to an OPEB Trust for a total contribution during the measurement
period of $5,033,198 to be reported on the financial statement for the fiscal year ending June 30, 2021.
6. Investment Policy
The chart below shows how the long-term rate of return on assets is developed based on the Town's Investment Policy.
Investment Target Allocation & Expected Long-Term Real Rate of Return
Long-Term
Target Expected Real
Asset Class Allocation Asset Class Rate of Return*
Domestic Equity - Large Cap 27.25% Domestic Equity - Large Cap 4.90%
Domestic Equity - Small/Mid Cap 20.25% Domestic Equity - Small/Mid Cap 5.40%
International Equity - Developed Market 12.00% International Equity - Developed Market 5.32%
International Equity-Emerging Market 6.00% International Equity-Emerging Market 6.26%
Domestic Fixed Income 22.50% Domestic Fixed Income 1.40%
International Fixed Income 4.50% International Fixed Income 1.30%
Alternatives 7.00% Alternatives 6.32%
Real Estate 0.00% Real Estate 6.25%
Cash & Cash Equivalents 0.50% Cash & Cash Equivalents 0.00%
Total 100.00%
I. Real Rate of Return 4.26%
II. Inflation Assumption 2.50%
III. Total Nominal Return [I. + II.] 6.76%
IV. Investment Expense 0.25%
V. Net Investment Return [III.-IV.] 6.51%
* Mean Geometric Returns based on 2020 Horizon Survey of Capital Market Assumptions
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 11Source page 22
EXHIBIT A
FINANCIAL STATEMENT DISCLOSURES
(As of the June 30, 2021 Measurement Date)
7. Schedule of The Town's Contributions
Contributions in
Relation to the Contributions as a
Actuarial Actuarially Contribution Covered Percentage of
For the Fiscal Year Determined Determined Deficiency Employee Covered Employee
Ending Contribution Contribution (Excess) Payroll Payroll
June 30, 2021 6,498,321 (5,033,198) 1,465,123 50,059,589 10.05%
June 30, 2020 7,670,645 (4,905,429) 2,765,216 47,989,715 10.22%
June 30, 2019 7,622,221 (4,523,578) 3,098,643 46,591,956 9.71%
June 30, 2018 8,240,517 (4,179,556) 4,060,961 45,486,461 9.19%
June 30, 2017 7,882,229 (3,783,880) 4,098,349 44,161,613 8.57%
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 12Source page 23
EXHIBIT A
FINANCIAL STATEMENT DISCLOSURES
(As of the June 30, 2021 Measurement Date)
+/-1 % Sensitivity
8. Effect of 1% Change in Healthcare Trend
Impact of a 1% Change in the Healthcare Trend Rate as of the June 30, 2021 Measurement Date
1% Decrease Current Trend Rate 1% Increase
I. Total OPEB Liability 84,293,042 95,935,243 110,453,849
II. Fiduciary Net Position 9,066,372 9,066,372 9,066,372
III. Net OPEB Liability (Asset) [I.-II.] 75,226,670 86,868,871 101,387,477
IV. Service Cost 1,692,956 2,115,184 2,689,943
9. Effect of 1% Change in Discount Rates
Impact of a 1% Change in the Discount Rate as of the June 30, 2021 Measurement Date
1% Decrease Current Discount Rate 1% Increase
I. Total OPEB Liability 104,170,626 95,935,243 84,913,022
II. Fiduciary Net Position 9,066,372 9,066,372 9,066,372
III. Net OPEB Liability (Asset) [I.-II.] 95,104,254 86,868,871 75,846,650
IV. Service Cost 2,490,877 2,115,184 1,649,457
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 13Source page 24
EXHIBIT A
FINANCIAL STATEMENT DISCLOSURES
(As of the June 30, 2021 Measurement Date)
Money ROR
10. Money Weighted Rate of Return
Plan
Investments / Periods Period
Net External Invested Weight
Cash Flows
I. Beginning value - June 30, 2020 6,380,381 12 1.0000
Monthly net external cash flows:
July 0 11 0.9167
August 250,000 10 0.8333
September 0 9 0.7500
October 0 8 0.6667
November 0 7 0.5833
December 0 6 0.5000
January 0 5 0.4167
February 664,000 4 0.3333
March 0 3 0.2500
April 0 2 0.1667
May 0 1 0.0833
June 0 0 0.0000
II. Total net external cash flow 914,000
III. Earnings and increase in fair value 1,771,991
IV. Ending value - June 30, 2021 [I.+II.+III.] 9,066,372
Money Weighted Rate of Return 26.10%
Asset Value - June 30, 2021 9,066,372
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 14Source page 25
EXHIBIT A
FINANCIAL STATEMENT DISCLOSURES
NOL & Expense by Group
(As of the June 30, 2021 Measurement Date)
11. OPEB Liability, OPEB Expense
Fiscal Year Ending June 30, 2021
School Public Safety Food Service Water Enterprise Sewer Enterprise
Town Employees Employees and Employees and Employees and Employees and Employees and
and Retirees Retirees Retirees Retirees Retirees Retirees Total
I. Total OPEB Liability as of June 30, 2021 11,269,642 60,529,199 20,987,278 630,598 1,802,921 715,605 95,935,243
II. Fiduciary Net Position as of June 30, 2021 1,065,040 5,720,319 1,983,405 59,595 170,385 67,628 9,066,372
III. Net OPEB Liability (Asset) as of June 30, 2021 [I. - II.] 10,204,602 54,808,880 19,003,873 571,003 1,632,536 647,977 86,868,871
IV. Service Cost 329,760 1,325,716 397,405 20,832 33,745 7,726 2,115,184
V. Interest on Total OPEB Liability (Asset), Service Cost, and Benefit Payments 623,977 3,372,635 1,171,361 35,846 99,709 38,743 5,342,271
VI. Projected Earnings on OPEB Plan Investments (52,195) (280,554) (97,306) (2,927) (8,353) (3,309) (444,644)
VII. Net Recognition of Deferred (Inflows)/Outflows (229,879) (1,234,681) (428,101) (12,863) (36,776) (14,597) (1,956,897)
VIII. Expense Related to Change in Benefit Terms 0 0 0 0 0 0 0
IX. Financial Statement Expense/(Income) [IV. + V. + VI. + VII. + VIII.] 671,663 3,183,116 1,043,359 40,888 88,325 28,563 5,055,914
X. Employer Share of Costs (666,026) (2,581,859) (721,165) (19,656) (79,442) (51,050) (4,119,198)
XI. Employer (Payments) Withdrawals to/from OPEB Trust (105,910) (577,104) (201,238) (6,169) (17,047) (6,532) (914,000)
XII. Total Employer Contribution [X. + XI.] (771,936) (3,158,963) (922,403) (25,825) (96,489) (57,582) (5,033,198)
XIII. Net OPEB Expense/(Income) [IX. + XII.] (100,273) 24,153 120,956 15,063 (8,164) (29,019) 22,716
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 15Source page 26
EXHIBIT A
FINANCIAL STATEMENT DISCLOSURES
(As of the June 30, 2021 Measurement Date)
12. OPEB Liability, OPEB Expense and Deferred Inflow/Outflow
Valuation Date July 1, 2020
For the Measurement Period ending on the Measurement Date of: June 30, 2021
For the Reporting Period & Fiscal Year ending on: June 30, 2021
Source of Deferred Inflow/Outflow
I. Deferred (Inflow)/Outflow from Actual vs. Expected Experience (7,037,665)
II. Deferred (Inflow)/Outflow from Investment Experience (885,069)
III. Deferred (Inflow)/Outflow from Changes in Assumptions 3,730,914
Change in Deferred Inflow/Outflow
I. Deferred Outflow at the beginning of the period 250,135
II. Deferred Outflow created during the period 8,820,874
III. Deferred Outflow recognized during the period 1,552,884
IV. Change in Deferred Outflow (II. - III. ) 7,267,990
V. Deferred Outflow at end of the period (I. + IV. ) 7,518,125
VI. Deferred Inflow at the beginning of the period (8,716,226)
VII. Deferred Inflow created during the period (6,503,500)
VIII. Deferred Inflow recognized during the period (3,509,781)
IX. Change in Deferred Inflow (VII. - VIII. ) (2,993,719)
X. Deferred Inflow at end of the period (VI. + IX. ) (11,709,945)
Net OPEB Liability
I. Net OPEB Liability at beginning of period 82,571,884
II. Service Cost 2,115,184
III. Interest on Total OPEB Liability, Service Cost, and Payments 5,342,271
IV. Projected Investment Income (444,644)
V. Total Employer Contributions (5,033,198)
VI. Expense Related to Change in Benefit Terms 0
VII. Net OPEB Expense/(Income) - Before Recognition of Deferred (Inflow)/Outflow (II. + III. + IV. + V. + VI. ) 1,979,613
VIII. Deferred Outflow created during the period 8,820,874
IX. Deferred Inflow created during the period (6,503,500)
X. Net OPEB Liability at end of period (I. + VII. + VIII. + IX. ) 86,868,871
Net OPEB Expense
I. Service Cost 2,115,184
II. Interest on Total OPEB Liability, Service Cost, and Payments 5,342,271
III. Projected Investment Income (444,644)
IV. Recognition of Deferred (Inflow)/Outflow (1,956,897)
V. Expense Related to Change in Benefit Terms 0
VI. Financial Statement Expense/(Income) (I. + II. + III. + IV. + V. ) 5,055,914
VII. Benefit Payments (4,119,198)
VIII. Contributions to Trust (914,000)
IX. Total Employer Payments (VII. + VIII. ) (5,033,198)
X. Total Net OPEB Expense/(Income) under GASB 75 (VI. + IX. ) 22,716
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 16Source page 27
EXHIBIT A
REQUIRED SUPPLEMENTARY INFORMATION
(As of the June 30, 2021 Measurement Date)
The Town’s Actuarially Determined Contribution (ADC) is an amount actuarially determined in accordance with the parameters of
GASB Statement No. 74/75 which is composed of the service cost and an amortization of the unfunded liability. For FY 2021 and future
years we have used a 30 year amortization increasing by 3.00%per year of the Town’s unfunded liability for the purpose of calculating
ADC. The following table shows the components of the Town’s annual ADC and the amount actually contributed to the plan:
Actuarially Determined Contribution - Deficiency / (Excess)
For the Fiscal Year Ending:
June 30, 2021 June 30, 2020 June 30, 2019 June 30, 2018 June 30, 2017
I. Service Cost 2,115,184 2,011,440 2,040,579 2,675,741 2,515,860
II. Amortization of NOL 4,383,137 5,659,205 5,581,642 5,564,776 5,366,369
III. Actuarial Determined Contribution [I. + II.] 6,498,321 7,670,645 7,622,221 8,240,517 7,882,229
IV. Contributions in Relation to the Actuarially Determined Contribution (5,033,198) (4,905,429) (4,523,578) (4,179,556) (3,783,880)
V. Contribution Deficiency / (Excess) [III. + IV.] 1,465,123 2,765,216 3,098,643 4,060,961 4,098,349
Covered Employee Payroll 50,059,589 47,989,715 46,591,956 45,486,461 44,161,613
Contributions as a % of Covered Employee Payroll 10.05% 10.22% 9.71% 9.19% 8.57%
Discount Rate 6.25% 6.00% 5.75% 5.25% 5.25%
Money Weighted Rate of Return 26.10% 2.35% 5.55% 5.05% 8.23%
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 17Source page 28
EXHIBIT B
REQUIRED SUPPLEMENTARY INFORMATION
(As of the June 30, 2021 Measurement Date)
Schedule of Changes in the Town's Net OPEB Liability and Related Ratios
Valuation Date July 1, 2020 July 1, 2018 July 1, 2018 July 1, 2016 July 1, 2016
GASB 75 Measurement Date June 30, 2021 June 30, 2020 June 30, 2019 June 30, 2018 June 30, 2017
For the Reporting Period & Fiscal Year Ending on: June 30, 2021 June 30, 2020 June 30, 2019 June 30, 2018 June 30, 2017
Total OPEB Liability 95,935,243 88,952,265 88,688,109 94,811,510 90,505,695
I. Service Cost 2,115,184 2,011,440 2,040,579 2,675,741 2,515,860
II. Interest on Total OPEB Liability, Service Cost, and Benefit Payments 5,342,271 5,105,363 5,463,438 4,809,630 4,590,666
III. Changes in Benefit Terms 0 0 0 0 0
IV. Difference Between Expected & Actual Plan Experience (5,176,153) (61,259) (5,996,352) 0 0
V. Changes of Assumptions 8,820,874 (2,915,959) (3,907,488) 0 0
VI. Benefit Payments Excluding Implicit Cost (2,892,692) (2,998,522) (2,867,284) (2,839,350) N/A
VII. Implicit Cost Amount (1,226,506) (876,907) (856,294) (340,206) N/A
VIII. Total Benefit Payments Including Implicit Cost [VI.+VII.] (4,119,198) (3,875,429) (3,723,578) (3,179,556) (3,013,880)
IX. Net Change in OPEB Liability [I.+II.+III.+IV.+V.+VIII.] 6,982,978 264,156 (6,123,401) 4,305,815 4,092,646
X. Total OPEB Liability - Beginning of Period 88,952,265 88,688,109 94,811,510 90,505,695 86,413,049
XI. Prior Period Adjustment 0 0 0 0 0
XII. Total OPEB Liability - Beginning of Period with Adjustment 88,952,265 88,688,109 94,811,510 90,505,695 86,413,049
XIII. Total OPEB Liability - End of Period [IX.+XII.] 95,935,243 88,952,265 88,688,109 94,811,510 90,505,695
Plan Fiduciary Net Position 9,066,372 6,380,381 5,219,494 4,155,794 2,980,371
XIV. Earning from Plan Investments 1,771,991 130,887 263,700 175,423 221,830
XV. Employer Contribution to Trust 5,033,198 4,905,429 4,523,578 4,179,556 3,783,880
XVI. Benefit Payments from Trust, Including Refunds of Member Contributions (4,119,198) (3,875,429) (3,723,578) (3,179,556) (3,013,880)
XVII. Administrative Expense 0 0 0 0 0
XVIII. Other 0 0 0 0 0
XIX. Net Change in Plan Fiduciary Net Position [XIV.+XV.+XVI.+XVII.+XVIII.] 2,685,991 1,160,887 1,063,700 1,175,423 991,830
XX. Plan Fiduciary Net Position - Beginning of Period 6,380,381 5,219,494 4,155,794 2,980,371 1,988,541
XXI. Prior Period Adjustment 0 0 0 0 0
XXII. Plan Fiduciary Net Position - Beginning of Period with Adjustment 6,380,381 5,219,494 4,155,794 2,980,371 1,988,541
XXIII. Plan Fiduciary Net Position - End of Period [XIX.+XXII.] 9,066,372 6,380,381 5,219,494 4,155,794 2,980,371
XXIV. Net OPEB Liability [XIII.-XXIII.] 86,868,871 82,571,884 83,468,615 90,655,716 87,525,324
XXV. Plan Fiduciary Net Position as % of Total OPEB Liability [XXIII. / XIII.] 9.45% 7.17% 5.89% 4.38% 3.29%
XXVI. Covered Employee Payroll 50,059,589 47,989,715 46,591,956 45,486,461 44,161,613
XXVII. Plan NOL as % of Covered Employee Payroll [XXIV. / XXVI.] 173.53% 172.06% 179.15% 199.30% 198.19%
Single Discount Rate to calculate Plan Liabilities 6.25% 6.00% 5.75% 5.25% 5.25%
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 18Source page 29
EXHIBIT B
REQUIRED SUPPLEMENTARY INFORMATION
(As of the June 30, 2021 Measurement Date)
Notes to Required Supplementary Information:
Valuation Date: Actuarially Determined Contribution was calculated as of July 1, 2020.
Actuarial Cost Method: Individual Entry Age Normal
Asset-Valuation Method: Market Value of Assets as of the Measurement Date, June 30, 2021.
Actuarial Assumptions:
Investment Rate of Return: 6.51%, net of OPEB plan investment expense, including inflation.
Municipal Bond Rate 2.18% as of June 30, 2021 (source: S&P Municipal Bond 20-Year High Grade Index –
SAPIHG)
Single Equivalent Discount Rate: 6.25%, net of OPEB plan investment expense, including inflation.
Inflation: 2.50% as of June 30, 2021 and for future periods
Salary Increases: 3.00% annually as of June 30, 2021 and for future periods
Cost of Living Adjustment: Not Applicable
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 19Source page 30
EXHIBIT B
REQUIRED SUPPLEMENTARY INFORMATION
(As of the June 30, 2021 Measurement Date)
Pre-Retirement Mortality: General: RP-2014 Mortality Table for Blue Collar Employees projected generationally
with scale MP-2016 for males and females, set forward 1 year for females
Teachers: RP-2014 Mortality Table for White Collar Employees projected generationally
with scale MP-2016 for males and females
Post-Retirement Mortality: General: RP-2014 Mortality Table for Blue Collar Healthy Annuitants projected
generationally with scale MP-2016 for males and females, set forward 1 year for females
Teachers: RP-2014 Mortality Table for White Collar Healthy Annuitants projected
generationally with scale MP-2016 for males and females
Disabled Mortality: General: RP-2014 Mortality Table for Blue Collar Healthy Annuitants projected
generationally with scale MP-2016 for males and females, set forward 1 year
Teachers: RP-2014 Mortality Table for White Collar Healthy Annuitants projected
generationally with scale MP-2016 for males and females
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 20Source page 31
EXHIBIT B
REQUIRED SUPPLEMENTARY INFORMATION
(As of the June 30, 2021 Measurement Date)
Plan Membership
At July 1, 2020, OPEB plan membership consisted of the following:
Inactive employees or beneficiaries currently receiving benefits: 617
Active Employees: 679
Total: 1,296
Events Subsequent to the Measurement Date
To the best of our knowledge there were no material events subsequent to the Measurement Date that would impact the
figures shown in this report.
Changes in Assumptions: From June 30, 2020 to June 30, 2021
✓ Due to the GASB 75 standards the discount rate has been changed from 6.00% to 6.25%
✓ Based on recommendations by PERAC, the mortality table has been updated from the RP-2000 Employees Mortality Table
projected generationally with scale BB and a base year 2009 to the RP-2014 Mortality Table projected generationally with
scale MP-2016 for males and females
✓ Due to updated guidance related to the implementation of ASOP 6, we have updated our methodology for calculating
expected claims
✓ Based on recent actuarial research we have adopted the Getzen model for future healthcare cost increases
Contributions/Withdrawals:
The contribution requirements of plan members and the Town are established and may be amended through Town
ordinances. The Town contributed $914,000 beyond the pay-as-you-go cost for the period ending on the June 30, 2021
Measurement Date. For the year ending on the June 30, 2021 Measurement Date total Town premiums plus implicit costs for
the retiree medical program were $4,119,198. $1,226,506 of the $4,119,198 represents implicit cost.
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 21Source page 32
EXHIBIT B
REQUIRED SUPPLEMENTARY INFORMATION
(As of the June 30, 2021 Measurement Date)
Census Data Manipulation:
In the absence of data, the following was assumed:
Spouse Sex: Male participants had female spouses and vice versa.
Spouse Age: Male spouses were three years older than female spouses and same sex spouses were
the same age.
Hire Age: Participants who were not on the previous valuation were hired halfway between last
valuation and the current valuation. If we did not have census data related to the last
valuation, the participants were assumed to have been hired at age forty.
Retiree Age: Retirees had the same birth date as they had the prior valuation. If we did not have
census data related to the last valuation, retirees who were enrolled in Active plans
were assumed to be age sixty-two and retirees who were enrolled in Medicare
Supplement plans were assumed to be age seventy-two. Those not enrolled in a
medical plan were assumed to be sixty-seven.
School Demographics: Two thirds of school participants were teachers.
Other Material Changes: No other data changes were deemed to be material.
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 22Source page 33
APPENDIX I – LIABILITIES, ASSETS, & CASH FLOWS
CONTRIBUTION PROJECTION DISCLOSURES
Table 1: Projection of Contributions using a July 1, 2020 Valuation Date
V. Employer
For the Period Ending I. Payroll for III. Total IV. Contributions Payments for VI. Employer VII. Total
on the Measurement current II. Payroll for Payroll from current current plan Payments for Payments
Date employees future employees [I.+II.] employees members future employees [IV.+V.+VI.]
June 30, 2021 50,059,589 0 50,059,589 0 4,119,198 0 4,119,198
June 30, 2022 47,451,996 4,109,381 51,561,377 0 4,058,281 0 4,058,281
June 30, 2023 45,196,311 7,911,907 53,108,218 0 4,297,460 0 4,297,460
June 30, 2024 43,248,393 11,453,072 54,701,465 0 4,539,021 0 4,539,021
June 30, 2025 41,478,197 14,864,312 56,342,509 0 4,860,826 0 4,860,826
June 30, 2026 39,888,667 18,144,117 58,032,784 0 5,136,770 0 5,136,770
June 30, 2027 38,319,147 21,454,621 59,773,768 0 5,387,917 0 5,387,917
June 30, 2028 36,719,020 24,847,961 61,566,981 0 5,714,555 0 5,714,555
June 30, 2029 35,173,210 28,240,780 63,413,990 0 6,027,352 0 6,027,352
June 30, 2030 33,720,807 31,595,603 65,316,410 0 6,337,650 0 6,337,650
June 30, 2031 32,144,286 35,131,616 67,275,902 0 6,784,935 0 6,784,935
June 30, 2032 30,652,547 38,641,632 69,294,179 0 7,148,603 21,841 7,170,444
June 30, 2033 29,034,480 42,338,524 71,373,004 0 7,356,623 56,125 7,412,748
June 30, 2034 27,573,133 45,941,061 73,514,194 0 7,703,464 104,738 7,808,202
June 30, 2035 26,153,807 49,565,813 75,719,620 0 8,045,779 173,685 8,219,464
June 30, 2036 24,852,702 53,138,507 77,991,209 0 8,081,072 261,309 8,342,381
June 30, 2037 23,517,632 56,813,313 80,330,945 0 8,225,847 323,825 8,549,672
June 30, 2038 22,181,760 60,559,113 82,740,873 0 8,410,728 399,179 8,809,907
June 30, 2039 20,977,445 64,245,654 85,223,099 0 8,393,809 487,190 8,880,999
June 30, 2040 19,757,118 68,022,674 87,779,792 0 8,498,433 557,482 9,055,915
June 30, 2041 18,505,042 71,908,144 90,413,186 0 8,590,435 635,927 9,226,362
June 30, 2042 17,381,023 75,744,559 93,125,582 0 8,719,824 756,069 9,475,893
June 30, 2043 16,386,580 79,532,769 95,919,349 0 8,693,015 911,112 9,604,127
June 30, 2044 15,248,989 83,547,940 98,796,929 0 8,727,207 1,102,170 9,829,377
June 30, 2045 14,313,423 87,447,414 101,760,837 0 8,949,965 1,343,615 10,293,580
June 30, 2046 13,328,577 91,485,085 104,813,662 0 8,886,291 1,628,983 10,515,274
June 30, 2047 12,395,926 95,562,146 107,958,072 0 8,959,534 1,866,639 10,826,173
June 30, 2048 11,442,606 99,754,208 111,196,814 0 9,155,151 2,134,988 11,290,139
June 30, 2049 10,481,180 104,051,538 114,532,718 0 9,118,243 2,433,416 11,551,659
June 30, 2050 9,668,420 108,300,280 117,968,700 0 8,979,571 2,697,471 11,677,042
June 30, 2051 8,686,681 112,821,080 121,507,761 0 8,957,456 2,981,625 11,939,081
June 30, 2052 7,935,186 117,217,808 125,152,994 0 8,850,262 3,324,501 12,174,763
June 30, 2053 7,135,731 121,771,853 128,907,584 0 8,852,465 3,702,800 12,555,265
June 30, 2054 6,339,457 126,435,355 132,774,812 0 8,763,104 4,116,864 12,879,968
June 30, 2055 5,501,230 131,256,826 136,758,056 0 8,725,735 4,582,683 13,308,418
June 30, 2056 4,802,331 136,058,467 140,860,798 0 8,728,165 5,087,868 13,816,033
June 30, 2057 4,118,621 140,968,001 145,086,622 0 8,655,975 5,573,868 14,229,843
June 30, 2058 3,541,505 145,897,716 149,439,221 0 8,515,679 6,088,254 14,603,933
June 30, 2059 2,911,666 151,010,732 153,922,398 0 8,383,950 6,632,557 15,016,507
June 30, 2060 2,391,684 156,148,386 158,540,070 0 8,208,645 7,175,511 15,384,156
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 23Source page 34
APPENDIX I – LIABILITIES, ASSETS, & CASH FLOWS
CONTRIBUTION PROJECTION DISCLOSURES (CONTINUED)
Table 1: Projection of Contributions using a July 1, 2020 Valuation Date
V. Employer
For the Period Ending I. Payroll for III. Total IV. Contributions Payments for VI. Employer VII. Total
on the Measurement current II. Payroll for Payroll from current current plan Payments for Payments
Date employees future employees [I.+II.] employees members future employees [IV.+V.+VI.]
June 30, 2061 1,859,339 161,436,933 163,296,272 0 8,120,956 7,736,772 15,857,728
June 30, 2062 1,446,633 166,748,527 168,195,160 0 7,901,858 8,361,690 16,263,548
June 30, 2063 1,012,227 172,228,788 173,241,015 0 7,662,112 9,025,576 16,687,688
June 30, 2064 760,898 177,677,347 178,438,245 0 7,494,513 9,736,879 17,231,392
June 30, 2065 481,217 183,310,175 183,791,392 0 7,270,247 10,506,904 17,777,151
June 30, 2066 337,476 188,967,658 189,305,134 0 7,080,893 11,326,739 18,407,632
June 30, 2067 150,401 194,833,887 194,984,288 0 6,885,994 12,151,619 19,037,613
June 30, 2068 67,228 200,766,589 200,833,817 0 6,695,445 13,017,613 19,713,058
June 30, 2069 0 206,858,832 206,858,832 0 6,520,384 13,927,235 20,447,619
June 30, 2070 0 213,064,597 213,064,597 0 6,324,530 14,832,270 21,156,800
June 30, 2071 0 219,456,535 219,456,535 0 6,102,656 15,769,431 21,872,087
June 30, 2072 0 226,040,231 226,040,231 0 5,882,319 16,758,604 22,640,923
June 30, 2073 0 232,821,438 232,821,438 0 5,645,960 17,776,600 23,422,560
June 30, 2074 0 239,806,081 239,806,081 0 5,411,093 18,832,621 24,243,714
June 30, 2075 0 247,000,263 247,000,263 0 5,163,250 19,928,124 25,091,374
June 30, 2076 0 254,410,271 254,410,271 0 4,900,481 21,063,982 25,964,463
June 30, 2077 0 262,042,579 262,042,579 0 4,644,939 22,245,107 26,890,046
June 30, 2078 0 269,903,856 269,903,856 0 4,389,245 23,462,809 27,852,054
June 30, 2079 0 278,000,972 278,000,972 0 4,127,934 24,721,136 28,849,070
June 30, 2080 0 286,341,001 286,341,001 0 3,869,900 26,017,008 29,886,908
June 30, 2081 0 294,931,231 294,931,231 0 3,604,100 27,347,104 30,951,204
June 30, 2082 0 303,779,168 303,779,168 0 3,349,828 28,724,601 32,074,429
June 30, 2083 0 312,892,543 312,892,543 0 3,097,535 30,140,836 33,238,371
June 30, 2084 0 322,279,319 322,279,319 0 2,846,332 31,600,894 34,447,226
June 30, 2085 0 331,947,699 331,947,699 0 2,603,296 33,110,235 35,713,531
June 30, 2086 0 341,906,130 341,906,130 0 2,366,202 34,670,080 37,036,282
June 30, 2087 0 352,163,314 352,163,314 0 2,137,833 36,285,266 38,423,099
June 30, 2088 0 362,728,213 362,728,213 0 1,917,427 37,949,089 39,866,516
June 30, 2089 0 373,610,059 373,610,059 0 1,708,697 39,668,445 41,377,142
June 30, 2090 0 384,818,361 384,818,361 0 1,512,307 41,446,097 42,958,404
June 30, 2091 0 396,362,912 396,362,912 0 1,328,750 43,275,877 44,604,627
June 30, 2092 0 408,253,799 408,253,799 0 1,158,310 45,167,807 46,326,117
June 30, 2093 0 420,501,413 420,501,413 0 1,001,359 47,119,961 48,121,320
June 30, 2094 0 433,116,455 433,116,455 0 857,926 49,138,035 49,995,961
June 30, 2095 0 446,109,949 446,109,949 0 727,965 51,223,972 51,951,937
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 24Source page 35
APPENDIX I – LIABILITIES, ASSETS, & CASH FLOWS
FIDUCIARY NET POSITION PROJECTION DISCLOSURES
Table 2: Projection of OPEB Plan's Fiduciary Net Position using a July 1, 2020 Valuation Date
III. Contributions to IV. Gross VII. Trust
II. Employer Share of Trust for Current Contributions to V. Administrative VI. Benefit Payments Withdrawals for IX. Ending
For the Period Ending I. Beginning Fiduciary Benefit Payments for Plan Members Trust for Current Expenses Withdrawn Withdrawn from the Current Plan Fiduciary Net
on the Measurement Net Position for Current Current Plan beyond Pay-as-you- Plan Members from the Trust for Trust for Current Plan Members VIII. Investment Position for Current
Date Plan Members Members go [II. + III.] Current Plan Members Members [V. +VI.] Earnings Plan Members
June 30, 2021 6,380,381 4,119,198 914,000 5,033,198 0 4,119,198 4,119,198 1,771,991 9,066,372
June 30, 2022 9,066,372 4,058,281 966,316 5,024,597 0 4,058,281 4,058,281 574,138 10,606,826
June 30, 2023 10,606,826 4,297,460 978,676 5,276,136 0 4,297,460 4,297,460 721,858 12,307,360
June 30, 2024 12,307,360 4,539,021 988,282 5,527,303 0 4,539,021 4,539,021 832,871 14,128,513
June 30, 2025 14,128,513 4,860,826 993,842 5,854,668 0 4,860,826 4,860,826 951,606 16,073,961
June 30, 2026 16,073,961 5,136,770 996,653 6,133,423 0 5,136,770 5,136,770 1,078,344 18,148,958
June 30, 2027 18,148,958 5,387,917 961,604 6,349,521 0 5,387,917 5,387,917 1,212,304 20,322,866
June 30, 2028 20,322,866 5,714,555 894,612 6,609,167 0 5,714,555 5,714,555 1,351,679 22,569,157
June 30, 2029 22,569,157 6,027,352 831,990 6,859,342 0 6,027,352 6,027,352 1,495,906 24,897,053
June 30, 2030 24,897,053 6,337,650 774,403 7,112,053 0 6,337,650 6,337,650 1,645,608 27,317,064
June 30, 2031 27,317,064 6,784,935 716,697 7,501,632 0 6,784,935 6,784,935 1,801,302 29,835,063
June 30, 2032 29,835,063 7,148,603 663,531 7,812,134 0 7,148,603 7,148,603 1,963,520 32,440,273
June 30, 2033 32,440,273 7,356,623 610,199 7,966,822 0 7,356,623 7,356,623 2,131,411 35,125,758
June 30, 2034 35,125,758 7,703,464 562,608 8,266,072 0 7,703,464 7,703,464 2,304,711 37,888,339
June 30, 2035 37,888,339 8,045,779 518,105 8,563,884 0 8,045,779 8,045,779 2,483,129 40,715,888
June 30, 2036 40,715,888 8,081,072 477,990 8,559,062 0 8,081,072 8,081,072 2,665,918 43,598,487
June 30, 2037 43,598,487 8,225,847 439,139 8,664,986 0 8,225,847 8,225,847 2,852,330 46,566,131
June 30, 2038 46,566,131 8,410,728 402,131 8,812,859 0 8,410,728 8,410,728 3,044,338 49,613,421
June 30, 2039 49,613,421 8,393,809 369,221 8,763,030 0 8,393,809 8,393,809 3,241,662 52,737,114
June 30, 2040 52,737,114 8,498,433 337,614 8,836,047 0 8,498,433 8,498,433 3,444,002 55,961,248
June 30, 2041 55,961,248 8,590,435 307,008 8,897,443 0 8,590,435 8,590,435 3,652,913 59,285,242
June 30, 2042 59,285,242 8,719,824 279,961 8,999,785 0 8,719,824 8,719,824 3,868,438 62,677,572
June 30, 2043 62,677,572 8,693,015 256,256 8,949,271 0 8,693,015 8,693,015 4,088,520 66,111,236
June 30, 2044 66,111,236 8,727,207 231,520 8,958,727 0 8,727,207 8,727,207 4,311,259 69,551,845
June 30, 2045 69,551,845 8,949,965 210,986 9,160,951 0 8,949,965 8,949,965 4,534,584 72,953,800
June 30, 2046 72,953,800 8,886,291 190,747 9,077,038 0 8,886,291 8,886,291 4,755,403 76,270,967
June 30, 2047 76,270,967 8,959,534 172,233 9,131,767 0 8,959,534 8,959,534 4,970,758 79,547,319
June 30, 2048 79,547,319 9,155,151 154,356 9,309,507 0 9,155,151 9,155,151 5,183,476 82,750,163
June 30, 2049 82,750,163 9,118,243 137,269 9,255,512 0 9,118,243 9,118,243 5,391,433 85,845,449
June 30, 2050 85,845,449 8,979,571 122,936 9,102,507 0 8,979,571 8,979,571 5,592,477 88,863,391
June 30, 2051 88,863,391 8,957,456 107,236 9,064,692 0 8,957,456 8,957,456 5,788,442 91,777,444
June 30, 2052 91,777,444 8,850,262 95,106 8,945,368 0 8,850,262 8,850,262 5,977,758 94,525,807
June 30, 2053 94,525,807 8,852,465 83,033 8,935,498 0 8,852,465 8,852,465 6,156,290 97,062,330
June 30, 2054 97,062,330 8,763,104 71,619 8,834,723 0 8,763,104 8,763,104 6,321,052 99,338,137
June 30, 2055 99,338,137 8,725,735 60,339 8,786,074 0 8,725,735 8,725,735 6,468,846 101,284,639
June 30, 2056 101,284,639 8,728,165 51,139 8,779,304 0 8,728,165 8,728,165 6,595,268 102,843,178
June 30, 2057 102,843,178 8,655,975 42,581 8,698,556 0 8,655,975 8,655,975 6,696,455 104,008,346
June 30, 2058 104,008,346 8,515,679 35,548 8,551,227 0 8,515,679 8,515,679 6,772,082 104,727,722
June 30, 2059 104,727,722 8,383,950 28,375 8,412,325 0 8,383,950 8,383,950 6,818,684 104,942,224
June 30, 2060 104,942,224 8,208,645 22,629 8,231,274 0 8,208,645 8,208,645 6,832,464 104,621,806
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 25Source page 36
APPENDIX I – LIABILITIES, ASSETS, & CASH FLOWS
FIDUCIARY POSITION PROJECTION DISCLOSURES (CONTINUED)
Table 2: Projection of OPEB Plan's Fiduciary Net Position using a July 1, 2020 Valuation Date
III. Contributions to IV. Gross VII. Trust
II. Employer Share of Trust for Current Contributions to V. Administrative VI. Benefit Payments Withdrawals for IX. Ending
For the Period Ending I. Beginning Fiduciary Benefit Payments for Plan Members Trust for Current Expenses Withdrawn Withdrawn from the Current Plan Fiduciary Net
on the Measurement Net Position for Current Current Plan beyond Pay-as-you- Plan Members from the Trust for Trust for Current Plan Members VIII. Investment Position for Current
Date Plan Members Members go [II. + III.] Current Plan Members Members [V. +VI.] Earnings Plan Members
June 30, 2061 104,621,806 8,120,956 17,079 8,138,035 0 8,120,956 8,120,956 6,811,427 96,578,407
June 30, 2062 96,578,407 7,901,858 12,901 7,914,759 0 7,901,858 7,901,858 6,287,668 88,730,629
June 30, 2063 88,730,629 7,662,112 8,764 7,670,876 0 7,662,112 7,662,112 5,776,645 81,102,269
June 30, 2064 81,102,269 7,494,513 6,396 7,500,909 0 7,494,513 7,494,513 5,279,963 73,630,271
June 30, 2065 73,630,271 7,270,247 3,927 7,274,174 0 7,270,247 7,270,247 4,793,456 66,372,574
June 30, 2066 66,372,574 7,080,893 2,674 7,083,567 0 7,080,893 7,080,893 4,320,940 59,299,384
June 30, 2067 59,299,384 6,885,994 1,157 6,887,151 0 6,885,994 6,885,994 3,860,427 52,416,368
June 30, 2068 52,416,368 6,695,445 502 6,695,947 0 6,695,445 6,695,445 3,412,322 45,722,065
June 30, 2069 45,722,065 6,520,384 0 6,520,384 0 6,520,384 6,520,384 2,976,506 39,201,681
June 30, 2070 39,201,681 6,324,530 0 6,324,530 0 6,324,530 6,324,530 2,552,029 32,877,151
June 30, 2071 32,877,151 6,102,656 0 6,102,656 0 6,102,656 6,102,656 2,140,303 26,774,495
June 30, 2072 26,774,495 5,882,319 0 5,882,319 0 5,882,319 5,882,319 1,743,020 20,892,176
June 30, 2073 20,892,176 5,645,960 0 5,645,960 0 5,645,960 5,645,960 1,360,081 15,246,216
June 30, 2074 15,246,216 5,411,093 0 5,411,093 0 5,411,093 5,411,093 992,529 9,835,123
June 30, 2075 9,835,123 5,163,250 0 5,163,250 0 5,163,250 5,163,250 640,267 4,671,873
June 30, 2076 4,671,873 4,900,481 0 4,900,481 0 4,900,481 4,900,481 304,139 304,139
June 30, 2077 304,139 4,644,939 0 4,644,939 0 4,644,939 4,644,939 19,799 19,799
June 30, 2078 19,799 4,389,245 0 4,389,245 0 4,389,245 4,389,245 1,289 1,289
June 30, 2079 1,289 4,127,934 0 4,127,934 0 4,127,934 4,127,934 84 84
June 30, 2080 84 3,869,900 0 3,869,900 0 3,869,900 3,869,900 5 5
June 30, 2081 5 3,604,100 0 3,604,100 0 3,604,100 3,604,100 0 0
June 30, 2082 0 3,349,828 0 3,349,828 0 3,349,828 3,349,828 0 0
June 30, 2083 0 3,097,535 0 3,097,535 0 3,097,535 3,097,535 0 0
June 30, 2084 0 2,846,332 0 2,846,332 0 2,846,332 2,846,332 0 0
June 30, 2085 0 2,603,296 0 2,603,296 0 2,603,296 2,603,296 0 0
June 30, 2086 0 2,366,202 0 2,366,202 0 2,366,202 2,366,202 0 0
June 30, 2087 0 2,137,833 0 2,137,833 0 2,137,833 2,137,833 0 0
June 30, 2088 0 1,917,427 0 1,917,427 0 1,917,427 1,917,427 0 0
June 30, 2089 0 1,708,697 0 1,708,697 0 1,708,697 1,708,697 0 0
June 30, 2090 0 1,512,307 0 1,512,307 0 1,512,307 1,512,307 0 0
June 30, 2091 0 1,328,750 0 1,328,750 0 1,328,750 1,328,750 0 0
June 30, 2092 0 1,158,310 0 1,158,310 0 1,158,310 1,158,310 0 0
June 30, 2093 0 1,001,359 0 1,001,359 0 1,001,359 1,001,359 0 0
June 30, 2094 0 857,926 0 857,926 0 857,926 857,926 0 0
June 30, 2095 0 727,965 0 727,965 0 727,965 727,965 0 0
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 26Source page 37
APPENDIX I – LIABILITIES, ASSETS, & CASH FLOWS
BENEFIT PAYMENT PROJECTION DISCLOSURES
Table 3: Actuarial Present Values of Projected Benefit Payments using a July 1, 2020 Valuation Date
V. Present Value of VI. Present Value of
II. Benefit IV. Unfunded Funded Benefit Unfunded Benefit VII. Present Value of
For the Period Ending I. Beginning Fiduciary Net Payments for Portion of Benefit Payments using the Payments using the Benefit Payments using
on the Measurement Position for Current Plan Current Plan III. Funded Portion Payments Long-Term Rate of Municipal Bond Rate the Single Equivalent
Date Members Members of Benefit Payments [II. - III.] Return [6.51%] [2.18%] Discount Rate [6.13%]
June 30, 2021 6,380,381 4,119,198 4,119,198 0 4,119,198 0 4,119,198 Sum of Column V.
June 30, 2022 9,066,372 4,058,281 4,058,281 0 3,810,235 0 3,823,742 104,608,430
June 30, 2023 10,606,826 4,297,460 4,297,460 0 3,788,184 0 3,815,090
June 30, 2024 12,307,360 4,539,021 4,539,021 0 3,756,566 0 3,796,659 Sum of Column VI.
June 30, 2025 14,128,513 4,860,826 4,860,826 0 3,777,013 0 3,830,857 6,981,647
June 30, 2026 16,073,961 5,136,770 5,136,770 0 3,747,470 0 3,814,367
June 30, 2027 18,148,958 5,387,917 5,387,917 0 3,690,444 0 3,769,638 Sum of Column VII.
June 30, 2028 20,322,866 5,714,555 5,714,555 0 3,674,936 0 3,767,104 [V. + VI.]
June 30, 2029 22,569,157 6,027,352 6,027,352 0 3,639,180 0 3,743,676 111,590,077
June 30, 2030 24,897,053 6,337,650 6,337,650 0 3,592,649 0 3,708,911
June 30, 2031 27,317,064 6,784,935 6,784,935 0 3,611,119 0 3,741,195
June 30, 2032 29,835,063 7,148,603 7,148,603 0 3,572,127 0 3,713,918
June 30, 2033 32,440,273 7,356,623 7,356,623 0 3,451,389 0 3,601,107
June 30, 2034 35,125,758 7,703,464 7,703,464 0 3,393,212 0 3,552,958
June 30, 2035 37,888,339 8,045,779 8,045,779 0 3,327,382 0 3,496,380
June 30, 2036 40,715,888 8,081,072 8,081,072 0 3,137,713 0 3,308,765
June 30, 2037 43,598,487 8,225,847 8,225,847 0 2,998,710 0 3,173,394
June 30, 2038 46,566,131 8,410,728 8,410,728 0 2,878,704 0 3,057,197
June 30, 2039 49,613,421 8,393,809 8,393,809 0 2,697,318 0 2,874,719
June 30, 2040 52,737,114 8,498,433 8,498,433 0 2,564,021 0 2,742,342
June 30, 2041 55,961,248 8,590,435 8,590,435 0 2,433,366 0 2,611,827
June 30, 2042 59,285,242 8,719,824 8,719,824 0 2,319,047 0 2,497,948
June 30, 2043 62,677,572 8,693,015 8,693,015 0 2,170,611 0 2,346,349
June 30, 2044 66,111,236 8,727,207 8,727,207 0 2,045,957 0 2,219,443
June 30, 2045 69,551,845 8,949,965 8,949,965 0 1,969,936 0 2,144,551
June 30, 2046 72,953,800 8,886,291 8,886,291 0 1,836,373 0 2,006,237
June 30, 2047 76,270,967 8,959,534 8,959,534 0 1,738,343 0 1,905,871
June 30, 2048 79,547,319 9,155,151 9,155,151 0 1,667,728 0 1,834,932
June 30, 2049 82,750,163 9,118,243 9,118,243 0 1,559,482 0 1,721,917
June 30, 2050 85,845,449 8,979,571 8,979,571 0 1,441,898 0 1,597,729
June 30, 2051 88,863,391 8,957,456 8,957,456 0 1,350,433 0 1,501,684
June 30, 2052 91,777,444 8,850,262 8,850,262 0 1,252,721 0 1,397,966
June 30, 2053 94,525,807 8,852,465 8,852,465 0 1,176,446 0 1,317,501
June 30, 2054 97,062,330 8,763,104 8,763,104 0 1,093,390 0 1,228,828
June 30, 2055 99,338,137 8,725,735 8,725,735 0 1,022,184 0 1,152,874
June 30, 2056 101,284,639 8,728,165 8,728,165 0 959,974 0 1,086,549
June 30, 2057 102,843,178 8,655,975 8,655,975 0 893,845 0 1,015,287
June 30, 2058 104,008,346 8,515,679 8,515,679 0 825,610 0 941,106
June 30, 2059 104,727,722 8,383,950 8,383,950 0 763,157 0 873,000
June 30, 2060 104,942,224 8,208,645 8,208,645 0 701,530 0 805,348
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 27Source page 38
APPENDIX I – LIABILITIES, ASSETS, & CASH FLOWS
BENEFIT PAYMENT PROJECTION DISCLOSURES (CONTINUED)
Table 3: Actuarial Present Values of Projected Benefit Payments using a July 1, 2020 Valuation Date
V. Present Value of VI. Present Value of
II. Benefit IV. Unfunded Funded Benefit Unfunded Benefit VII. Present Value of
For the Period Ending I. Beginning Fiduciary Net Payments for Portion of Benefit Payments using the Payments using the Benefit Payments using
on the Measurement Position for Current Plan Current Plan III. Funded Portion Payments Long-Term Rate of Municipal Bond Rate the Single Equivalent
Date Members Members of Benefit Payments [II. - III.] Return [6.51%] [2.18%] Discount Rate [6.13%]
June 30, 2061 104,621,806 8,120,956 8,120,956 0 651,616 0 750,699
June 30, 2062 96,578,407 7,901,858 7,901,858 0 595,283 0 688,231
June 30, 2063 88,730,629 7,662,112 7,662,112 0 541,941 0 628,782
June 30, 2064 81,102,269 7,494,513 7,494,513 0 497,688 0 579,484
June 30, 2065 73,630,271 7,270,247 7,270,247 0 453,286 0 529,656
June 30, 2066 66,372,574 7,080,893 7,080,893 0 414,496 0 486,048
June 30, 2067 59,299,384 6,885,994 6,885,994 0 378,450 0 445,353
June 30, 2068 52,416,368 6,695,445 6,695,445 0 345,487 0 408,003
June 30, 2069 45,722,065 6,520,384 6,520,384 0 315,889 0 374,372
June 30, 2070 39,201,681 6,324,530 6,324,530 0 287,673 0 342,141
June 30, 2071 32,877,151 6,102,656 6,102,656 0 260,615 0 311,059
June 30, 2072 26,774,495 5,882,319 5,882,319 0 235,852 0 282,500
June 30, 2073 20,892,176 5,645,960 5,645,960 0 212,539 0 255,478
June 30, 2074 15,246,216 5,411,093 5,411,093 0 191,247 0 230,700
June 30, 2075 9,835,123 5,163,250 5,163,250 0 171,334 0 207,411
June 30, 2076 4,671,873 4,900,481 4,900,481 0 152,675 0 185,479
June 30, 2077 304,139 4,644,939 2,426,163 2,218,776 70,967 663,835 165,646
June 30, 2078 19,799 4,389,245 2,017,130 2,372,115 55,396 694,583 147,482
June 30, 2079 1,289 4,127,934 1,872,252 2,255,682 48,275 646,411 130,686
June 30, 2080 84 3,869,900 1,747,433 2,122,467 42,303 595,269 115,436
June 30, 2081 5 3,604,100 1,620,342 1,983,758 36,828 544,507 101,294
June 30, 2082 0 3,349,828 1,500,803 1,849,025 32,027 496,706 88,707
June 30, 2083 0 3,097,535 1,382,892 1,714,643 27,707 450,788 77,285
June 30, 2084 0 2,846,332 1,266,383 1,579,949 23,822 406,521 66,913
June 30, 2085 0 2,603,296 1,154,785 1,448,511 20,395 364,757 57,663
June 30, 2086 0 2,366,202 1,046,812 1,319,390 17,358 325,160 49,382
June 30, 2087 0 2,137,833 943,699 1,194,134 14,692 288,018 42,038
June 30, 2088 0 1,917,427 844,685 1,072,742 12,346 253,223 35,525
June 30, 2089 0 1,708,697 751,492 957,205 10,313 221,134 29,828
June 30, 2090 0 1,512,307 664,293 848,014 8,559 191,732 24,874
June 30, 2091 0 1,328,750 583,003 745,747 7,053 165,016 20,592
June 30, 2092 0 1,158,310 507,834 650,476 5,768 140,866 16,913
June 30, 2093 0 1,001,359 438,774 562,585 4,679 119,235 13,776
June 30, 2094 0 857,926 375,808 482,118 3,762 100,003 11,121
June 30, 2095 0 727,965 318,846 409,119 2,997 83,052 8,891
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 28Source page 39
APPENDIX II – PLAN PROVISIONS
Plan Year July 1 through June 30.
Premium Effective Date Medicare Supplement Plans: effective January 1, 2021
Non-Medicare Plans: effective July 1, 2021
Dental Plans: effective July 1, 2021
Creditable Service Elapsed time from date of hire to termination of service date.
Benefits Offered Comprehensive Medical and Dental Insurance and $5,000 of group term Life Insurance.
Medicare Part A To the best of our knowledge the Town does not pay any Medicare Part A premiums or
penalties.
Medicare Part B Medicare Part B Premium reimbursements by the Town were not reflected in this
valuation.
Medicare Part B Penalty reimbursements have been reflected.
Surviving Spouse Coverage Spousal benefits do not change after the death of a plan participant.
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 29Source page 40
APPENDIX II – PLAN PROVISIONS
Eligibility
Hire Date Eligibility
•Age 55 with 10 years of creditable service
Before April 2, 2012
•20 years of service regardless of age
On or after April 2, 2012 •Age 60 with 10 years of creditable service
Town Contributions
Group Individual Two-Person / Family
Medical The Town pays 75% of premiums The Town pays 75% of premiums
The Town pays 75% of the basic plan The Town pays 75% of the basic plan
Dental
premiums premiums
Life The Town pays 75% of premiums N/A
Town of Canton Other Postemployment Benefits Plan
For the Fiscal Year ending June 30, 2021 | Delivered August 13, 2021 Page 30