CITY OF LAGUNA NIGUEL NOTES TO BASIC FINANCIAL STATEMENTS JUNE 30, 2024 NOTE 12 OTHER POSTEMPLOYMENT BENEFITS (CONTINUED) C. OPEB Expense and Deferred Outflows of Resources and Deferred Inflows of Resources Related to OPEB For the measurement period ended June 30, 2024, the City recognized OPEB expense . At June 30, 2024, the City reported deferred outflows and inflows of of $150,153 resources related to OPEB from the following sources: Deferred Deferred Outflows of Inflows of Resources Resources Difference Between Expected and Actual Experience $ 82,689 $ 421,239 Changes in Assumptions 248,689 535,147 Total $ 331,378 $ 956,386 expected average remaining service lives of all Amounts are amortized over the members that are provided with benefits and will be recognized in the future OPEB expense as follows: Deferred Outflows (Inflows) of Resources Fiscal Year Ending June 30, OPEB Plan 2025 $ (62,363) 2026 (62,363) 2027 (58,395) 2028 (61,493) 2029 (90,149) Thereafter ( 290,245) Total $ ( 625,008) NOTE 13 CONTINGENCIES The City is involved as a defendant in various legal proceedings. While it is not feasible to predict or determine the outcome in these cases, it is the opinion of the City that the outcome of the majority of these cases will have no material adverse effect on the financial position of the City. The City has received state and federal funds for specific purposes that are subject to review by the grantor agencies. Although such audits could generate expenditures disallowances under the terms of the grants, it is believed that any required reimbursements, if any, will not be material. (71)