2015 Financial Annual Report

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS City of Surrey

For the year ended December 31, 2015 [tabular amounts in thousands of dollars]

16. PENSION PLAN

The City and its employees contribute to the Municipal Pension Plan (the Plan), a jointly trusteed pension plan. The Board of Trustees, representing plan members and employers, is responsible for administering the Plan, including investment of the assets and administration of benefits. The Plan is a multi-employer defined benefit pension plan. Basic pension benefits provided are based on a formula. As at December 31, 2015, the Plan has about 185,000 active members and approximately 80,000 retired members. Active members include approximately 37,000 contributors from local government. The most recent valuation for the Plan as at December 31, 2012 indicated a $1,370 million funding deficit for basic pension benefits on a going concern basis. The next valuation will be as at December 31, 2015 with results available in 2016. Employers participating in the Plan record their pension expense as the amount of employer contributions made during the fiscal year (defined contribution pension plan accounting). This is because the Plan records accrued liabilities and accrued assets for the Plan in aggregate, resulting in no consistent and reliable basis for allocating the obligation, assets and cost to the individual employers participating in the Plan. The City paid $16.8 million (2014 - $16.0 million) for employer contributions while employees contributed $14.0 million (2014 - $13.2 million) to the Plan in Fiscal 2015.

17. TAXATION REVENUE

2014

2015

Tax collected:

Property taxes

$

262,365

$

276,588

Collections for other authorities

276,085

281,012

Drainage Parcel taxes

31,918

50,108

Grants-in-lieu of taxes

16,266

17,440

Other

475

520

587,109

625,668

Less transfers to other authorities: Province of BC - School Taxes

211,600

212,851

Greater Vancouver Regional District

6,151

6,022

BC Assessment Authority

6,792

6,764

Greater Vancouver Transportation Authority

42,765

42,055

Other

8,777

13,320

276,085

281,012

$

311,024

Taxation revenue

$

344,656

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