The following table presents a period-end reconciliation of DB Plan assets measured and
recorded at fair value on a recurring basis, using significant unobservable inputs (Level 3):
(in thousands) 2015 2014
Balance, beginning of year $ 2,625 $ 2,940
Plan transfers 182 (494)
Contributions 187 537
Benefits paid (497) (438)
Return on plan assets (net of investment expenses) 84 80
Balance, end of year $ 2,581 $ 2,625
=—=—_ —aEaE
In order to satisfy the minimum funding requirements of the Employee Retirement Income
Security Act of 1974, applicable to defined benefit pension plans, we anticipate that we will
contribute approximately $1.1 million to the DB Plan in 2016.
The following maximum benefit payments, which reflect expected future service, as appro-
priate, are expected to be paid in the years indicated:
(in thousands) DB Plan OPEB Plans
2016 $ 686 $ 54
2017 756 64
2018 845 72
2019 977 91
2020 978 92
2021 - 2025 6,666 642
Total $ 10,908 $1,015
Because we are subject to regulation in the state in which we operate, we are required to
maintain our accounts in accordance with the regulatory authority’s rules and regulations. In
those instances, we follow the guidance of ASC 980 (“Regulated Operations”). Based on
prior regulatory practice, we recorded underfunded DB Plan and OPEB Plan obligations as a
regulatory asset and we expect to recover those costs in rates charged to customers.
Defined Contribution Plan
In addition to the defined benefit plan, we have a defined contribution plan covering
substantially all employees. Under this plan, our Company matches 100% of the first 3% of
each participating employee’s salary contributed to the plan. The matching employer’s con-
tributions, recorded as operating expenses, were approximately $217,000 and $207,000 for
the years ended December 31, 2015 and 2014, respectively,
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