Retirement Benefits [Text Block] | 12. EMPLOYEE BENEFIT PLANS The Company sponsors both a noncontributory pension plan and a postretirement plan. The pension plan covers all employees hired prior to January 2017 January 1, 2017, no 401 401 January 1, 2017. 401 The postretirement plan provides certain health care, supplemental retirement and life insurance benefits to retired employees who meet specific age and service requirements. Employees hired prior to January 1, 2000 Employers who sponsor defined benefit plans must recognize the funded status of defined benefit pension and other postretirement plans as an asset or liability in their statements of financial position and recognize changes in that funded status in the year in which the changes occur through comprehensive income. For pension plans, the benefit obligation is the projected benefit obligation, and for other postretirement plans, the benefit obligation is the accumulated benefit obligation. The Company established a regulatory asset for the portion of the obligation expected to be recovered through rates in future periods. The regulatory asset is adjusted for the recognition of actuarial gains and losses. The portion of the obligation attributable to the unregulated operations of the holding company is recognized in other comprehensive income, with actuarial gains and losses recognized using the corridor method. The following table sets forth the benefit obligation, fair value of plan assets, the funded status of the plans, and amounts recognized in the Company’s consolidated financial statements: Pension Plan Postretirement Plan 2024 2023 2024 2023 Accumulated benefit obligation $ 26,859,162 $ 24,449,856 $ 10,842,455 $ 11,248,448 Change in benefit obligation: Benefit obligation at beginning of year $ 26,747,624 $ 27,268,456 $ 11,248,448 $ 12,416,546 Service cost 324,265 366,537 30,398 45,897 Interest cost 1,468,822 1,372,098 613,477 620,622 Actuarial loss (gain) 2,613,621 (1,031,160 ) (540,914 ) (1,331,541 ) Benefit payments, net of retiree contributions (1,280,904 ) (1,228,307 ) (508,954 ) (503,076 ) Benefit obligation at end of year $ 29,873,428 $ 26,747,624 $ 10,842,455 $ 11,248,448 Change in fair value of plan assets: Fair value of plan assets at beginning of year $ 26,878,661 $ 28,017,797 $ 13,019,313 $ 12,138,119 Actual return on plan assets, net of taxes 5,456,381 89,171 2,567,922 1,384,270 Employer contributions — — — — Benefit payments, net of retiree contributions (1,280,904 ) (1,228,307 ) (508,954 ) (503,076 ) Fair value of plan assets at end of year $ 31,054,138 $ 26,878,661 $ 15,078,281 $ 13,019,313 Funded status $ 1,180,710 $ 131,037 $ 4,235,826 $ 1,770,865 Amounts recognized in the consolidated balance sheet consist of: Benefit plan assets under other non-current assets $ 1,180,710 $ 131,037 $ 4,235,826 $ 1,770,865 Benefit plan liabilities under deferred credits and other non-current liabilities — — — — Amounts recognized in accumulated other comprehensive income: Net actuarial loss (gain), net of tax $ 432,149 $ 1,168,687 $ (227,071 ) $ 6,946 Total amounts included in accumulated other comprehensive income, net of tax $ 432,149 $ 1,168,687 $ (227,071 ) $ 6,946 Amounts deferred to a regulatory asset (liability): Net actuarial loss (gain) $ 3,041,666 $ 4,029,282 $ (4,032,929 ) $ (1,813,071 ) Amounts recognized as regulatory assets (liabilities) $ 3,041,666 $ 4,029,282 $ (4,032,929 ) $ (1,813,071 ) The Company expects that approximately $41,000, before tax, of AOCI will be recognized in net periodic benefit costs in fiscal 2025 2025. The changes in the benefit obligations for both the pension plan and postretirement plan was primarily attributed to actuarial gains and losses associated with the discount rate used to calculate the benefit obligations. The following table details the actuarial assumptions used in determining the projected benefit obligations and net benefit cost of the pension plan and the accumulated benefit obligations and net benefit cost of the postretirement plan: Pension Plan Postretirement Plan 2024 2023 2024 2023 Assumptions used to determine benefit obligations: Discount rate 4.83 % 5.63 % 4.83 % 5.63 % Expected rate of compensation increase 4.00 % 4.00 % N/A N/A Assumptions used to determine benefit costs: Discount rate 5.63 % 5.15 % 5.63 % 5.16 % Expected long-term rate of return on plan assets 4.50 % 4.50 % 4.21 % 3.95 % Expected rate of compensation increase 4.00 % 4.00 % N/A N/A To develop the expected long-term rate of return on plan assets assumption, the Company, with input from the Plans' actuaries and investment advisors, considered the historical returns and the future expectations for returns for each asset class, as well as the target asset allocation of each plan’s portfolio. Components of net periodic benefit cost are as follows: Pension Plan Postretirement Plan 2024 2023 2024 2023 Service cost $ 324,265 $ 366,537 $ 30,398 $ 45,897 Interest cost 1,468,822 1,372,098 613,477 620,622 Expected return on plan assets (1,179,830 ) (1,232,597 ) (533,249 ) (464,046 ) Recognized loss (gain) 316,522 316,724 (40,597 ) — Net periodic benefit cost $ 929,779 $ 822,762 $ 70,029 $ 202,473 Service cost is included in operations and maintenance expense in the consolidated statements of income. All other components of net periodic benefit costs are included in other income, net in the consolidated statements of income. The assumed health care cost trend rates used in measuring the accumulated benefit obligation for the postretirement plan are presented below: Pre 65 Post 65 2024 2023 2024 2023 Health care cost trend rate assumed for next year 7.00 % 6.30 % 5.60 % 5.20 % Rate to which the cost trend is assumed to decline (the ultimate trend rate) 4.00 % 3.94 % 4.00 % 3.94 % Year that the rate reaches the ultimate trend rate 2075 2075 2075 2075 The health care cost trend rate assumptions could have a significant effect on the amounts reported. A change of 1% 1% Increase 1% Decrease Effect on total service and interest cost components $ 71,000 $ (61,000 ) Effect on accumulated postretirement benefit obligation 1,204,000 (1,031,000 ) The primary objectives of both plans' investment policies are to maintain investment portfolios that diversify risk through prudent asset allocation parameters, achieve asset returns that meet or exceed the corresponding actuarial assumptions and will provide for future benefits. The Company's pension plan allocation approach seeks to match the duration of the fixed income portion of the portfolio with the duration of the plan's liabilities. Such allocation is designed to reduce the overall volatility in the pension plan relative to the funded status. The equity allocations in both plans provide for potential returns to offset growth in the corresponding liabilities. Based on its most recent evaluation of returns for the asset classes within each plan's investment portfolio, the Company set the expected long-term rate of return for both the pension plan and the postretirement plan for fiscal 2025 The Company’s ultimate target and actual asset allocation in the pension and postretirement plans as of September 30, 2024 2023 Pension Plan Postretirement Plan Target 2024 2023 Target 2024 2023 Asset category: Equity securities 25 % 25 % 27 % 30 % 48 % 43 % Debt securities 75 % 75 % 72 % 70 % 36 % 37 % Cash — % — % 1 % — % 16 % 20 % The Company uses the fair value hierarchy described in Note 1 1 2 2 not Pension Plan Fair Value Measurements - September 30, 2024 Fair Value Level 1 Level 2 Level 3 Asset Class: Cash $ 142,921 $ 142,921 $ — $ — Common and Collective Trust and Pooled Funds: Bond Funds 19,505,237 — 19,505,237 — Mutual Funds: Domestic Fixed Income 3,791,697 3,791,697 — — Equities Domestic Large Cap Growth 2,073,092 2,073,092 — — Domestic Large Cap Value 2,469,045 2,469,045 — — Domestic Small/Mid Cap Core 1,297,579 1,297,579 — — Foreign Large Cap Growth 498,732 498,732 — — Foreign Large Cap Value 482,222 482,222 — — Foreign Large Cap Core 793,613 793,613 — — Total $ 31,054,138 $ 11,548,901 $ 19,505,237 $ — Pension Plan Fair Value Measurements - September 30, 2023 Fair Value Level 1 Level 2 Level 3 Asset Class: Cash $ 202,218 $ 202,218 $ — $ — Common and Collective Trust and Pooled Funds: Bond Funds 16,446,813 — 16,446,813 — Mutual Funds: Domestic Fixed Income 3,000,525 3,000,525 — — Equities Domestic Large Cap Growth 2,256,767 2,256,767 — — Domestic Large Cap Value 2,222,733 2,222,733 — — Domestic Small/Mid Cap Core 1,082,801 1,082,801 — — Foreign Large Cap Growth 481,309 481,309 — — Foreign Large Cap Value 463,907 463,907 — — Foreign Large Cap Core 721,588 721,588 — — Total $ 26,878,661 $ 10,431,848 $ 16,446,813 $ — Postretirement Plan Fair Value Measurements - September 30, 2024 Fair Value Level 1 Level 2 Level 3 Asset Class: Cash $ 2,381,909 $ 2,381,909 $ — $ — Mutual Funds: Bonds Domestic Fixed Income 5,457,976 5,457,976 — — Equities Domestic Large Cap Growth 2,412,824 2,412,824 — — Domestic Large Cap Value 1,996,262 1,996,262 — — Domestic Small/Mid Cap Core 738,393 738,393 — — Foreign Large Cap Growth 532,391 532,391 — — Foreign Large Cap Value 652,023 652,023 — — Foreign Large Cap Core 906,503 906,503 — — Total $ 15,078,281 $ 15,078,281 $ — $ — Postretirement Plan Fair Value Measurements - September 30, 2023 Fair Value Level 1 Level 2 Level 3 Asset Class: Cash $ 2,640,622 $ 2,640,622 $ — $ — Mutual Funds: Bonds Domestic Fixed Income 4,841,048 4,841,048 — — Foreign Fixed Income — — — — Equities Domestic Large Cap Growth 1,693,422 1,693,422 — — Domestic Large Cap Value 1,570,538 1,570,538 — — Domestic Small/Mid Cap Growth — — — — Domestic Small/Mid Cap Value — — — — Domestic Small/Mid Cap Core 588,898 588,898 — — Foreign Large Cap Growth 433,886 433,886 — — Foreign Large Cap Value 526,364 526,364 — — Foreign Large Cap Core 724,535 724,535 — — Total $ 13,019,313 $ 13,019,313 $ — $ — Each mutual fund or common collective trust fund has been categorized based on its primary investment strategy. Annual funding contributions to the pension plan and postretirement plan are made under advisement from the Company's actuaries and investment advisor based upon ERISA funding requirements. For the years ended September 30, 2024 2023, not 2025. The following table reflects expected future benefit payments: Pension Postretirement Fiscal year ending September 30 Plan Plan 2025 $ 1,361,000 $ 682,000 2026 1,446,000 698,000 2027 1,554,000 730,000 2028 1,639,000 734,000 2029 1,712,000 766,000 2030 - 2034 9,483,000 3,830,000 The Company established an NQDC Plan in fiscal 2021. not 2024 2023 Beginning deferred compensation balance $ 47,674 $ 59,108 Employer contributions 52,400 — Earnings 13,526 6,787 Forfeitures — (18,221 ) Ending deferred compensation balance $ 113,600 $ 47,674 The Company sponsors a 401 may 401 first 401 January 1, 2017. Years Ended September 30 2024 2023 Matching contribution $ 427,022 $ 388,616 Discretionary contribution 112,207 75,899 |