KENTUCKY STATE UNIVERSITY SCHEDULE OF THE UNIVERSITY'S (KSU) PROPORTIONATE SHARE OF THE NET PENSION LIABILITY KENTUCKY TEACHERS' RETIREMENT SYSTEM June 30, 2017 (Amounts in thousands)

2017 2016 2015

KSU's proportion of the net pension liability $ 68,926 $ 63,956 $ 64,987

KSU's proportionate share of the net pension liability 0.22% 0.23% 0.30%

State's proportionate share of the collective net pension liability $ 6,496 $ 6,503 $ 7,374

KSU's covered payroll $ 16,961 $ 19,076 $ 21,451

KSU's proportionate share of the net pension liability as a share of its covered employee payroll 406.38% 335.27% 302.96%

Plan fiduciary net position as a percentage of total pension liability 35.22% 42.49% 45.59%

Note: This table represents data that is one year in arrears.

Changes in assumptions: For fiscal year 2017, the KTRS plan discount rate decreased from 4.88 percent to 4.20 percent. For fiscal year 2016, there was a decrease in the assumed investment rate of return from 7.75 percent to 7.50 percent; a decrease in the assumed rate of inflation from 3.50 percent to 3.25 percent; a decrease in the assumed rate of wage inflation from 1.00 percent to 0.75 percent and a decrease in the payroll growth assumption from 4.50 percent to 4.00 percent.

SCHEDULE OF THE UNIVERSITY'S CONTRIBUTION KENTUCKY TEACHERS' RETIREMENT SYSTEM June 30, 2017 (Amounts in thousands)

201720162015
Contractually required contribution$1,879$1,773$2,059
Contributions in relation to the contractually required contribution$1,879$1,773$2,059
Contribution deficiency (excess)----
KSU covered payroll$17,779$16,961$19,076
Contributions as a percentage of covered payroll10.57%10.45%10.79%

Note: These are 10-year schedules. However, the information in this schedule is not required to be presented retroactively. Years will be added to this schedule in future fiscal years until 10-years of information is available.

46.