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City of Little Canada, Minnesota <br />Notes to the Financial Statements <br />December 31, 2024 <br />Note 4: Defined Benefit Pension Plans - Statewide (Continued) <br />G. Discount Rate <br />H. Pension Liability Sensitivity <br />1 Percent 1 Percent <br />Decrease (6.0%)Current (7.0%)Increase (8.0%) <br />General Employees Fund 1,703,507$ 779,937$ 20,216$ <br />I. Pension Plan Fiduciary Net Position <br />The discount rate used to measure the total pension liability in 2024 was 7.0 percent. The projection of cash flows <br />used to determine the discount rate assumed that contributions from plan members and employers will be made at <br />rates set in Minnesota Statutes. Based on these assumptions, the fiduciary net position of the General Employees <br />Plans were projected to be available to make all projected future benefit payments of current plan members. <br />Therefore, the long-term expected rate of return on pension plan investments was applied to all periods of projected <br />benefit payments to determine the total pension liability. <br />The following presents the City’s proportionate share of the net pension liability for all plans it participates in, <br />calculated using the discount rate disclosed in the preceding paragraph, as well as what the City’s proportionate share <br />of the net pension liability would be if it were calculated using a discount rate one percentage point lower or one <br />percentage point higher than the current discount rate: <br />Detailed information about each pension plan’s fiduciary net position is available in a separately issued PERA financial <br />report that includes financial statements and required supplementary information. That report may be obtained on the <br />Internet at www.mnpera.org. <br />86