ACFR City of Paris 9-30-2024 with Continuing Disclosure Tables-searchable

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CITY OF PARIS, TEXAS Notes to Financial Statements (Continued) September 30, 2024 IV. Detailed Notes on All Activities and Funds (Continued) F. Employee Retirement Systems and Plans The City participates in a nontraditional defined benefit retirement plan for all full-time employees and maintains a single -employer, defined benefit plan for firefighters. As of and for the year ended September 30, 2024, the two plans had the following balances reported in the government - wide financial statements: Net Pension Liability (Asset) Texas Municipal Retirement System $ (261,675) $ 2,652,417 Retirement Fund (1,358,323) 1,041,582 545,201 65,179 Total Pension Plans Deferred Deferred Outflows Inflows of Pension Racn rrac R-Penl r-Ges EXPG14SG $ 612,816 $ 159,274 Paris Firefighters' Relief and $ (1,619,998) $ 3,693,999 $ 1,158,017 $ 224.453 1. Texas Municipal Retirement System Plan Description The City of Paris participates as one of 934 plans in the defined benefit cash -balance pension plan administered by the Texas Municipal Retirement System (TMRS). TMRS is an agency created by the State of Texas and administered in accordance with Texas Government Code, Title 8, Subtitle G (the TMRS Act) as an agent multiple -employer retirement system for municipal employees in the State of Texas. The TMRS Act places the general administration and management of the System with a six -member Board of Trustees. Although the Governor, with the advice and consent of the Senate, appoints the Board, TMRS is not fiscally dependent on the State of Texas. TMRS's defined benefit pension plan is a tax -qualified plan under Section 401 (a) of the Internal Revenue Code. The plan financial statements are prepared using the accrual basis of accounting. TMRS issues a publicly available annual comprehensive financial report (ACFR) that can be obtained at www.tmrs.com. All eligible employees of the city are required to participate in TMRS. Benefits Provided TMRS provides retirement, disability, and death benefits. Benefit provisions are adopted by the governing body of the City, within the options available in the state statutes governing TMRS. At retirement, the member's benefits are calculated based on the sum of the member's contributions with interest, the City -financed monetary credits with interest, their age at retirement and other actuarial factors. When a member applies for retirement, they have three options to determine how their lifetime monthly benefit will be paid. After a member selects one of the three benefit payment options, they can choose to receive a partial lump -sum distribution to 12, 24, or 36 times the Retiree Life Only monthly benefit, however this partial lump -sum cannot exceed 75% of the total member contributions and interest. Prior service credit is a monetary credit that a city may grant to eligible employees when the City joins TMRS. The credit is used in calculating the employee's retirement benefit and is based on compensation they earned while working for the City before the City joined TMRS. Current service credit is a monetary credit for 61