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Pension and Other Postretirement Benefit Costs
 9 Months Ended
Sep. 30, 2017
Pension and Other Postretirement Benefit Expense [Abstract]  
Pension and Other Postretirement Benefit Costs
PENSION AND OTHER POSTRETIREMENT BENEFIT COSTS

The following table provides the components of net periodic benefit cost for our pension and other postretirement benefit plans:
 
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
 
 
Pension Benefits
 
Other Postretirement
Benefits
 
Pension Benefits
 
Other Postretirement
Benefits
In thousands
 
2017
 
2016
 
2017
 
2016
 
2017
 
2016
 
2017
 
2016
Service cost
 
$
1,881

 
$
1,978

 
$
98

 
$
119

 
$
5,621

 
$
5,866

 
$
295

 
$
361

Interest cost
 
4,484

 
4,607

 
274

 
301

 
13,428

 
13,755

 
822

 
901

Expected return on plan assets
 
(5,112
)
 
(5,017
)
 
—

 
—

 
(15,337
)
 
(15,051
)
 
—

 
—

Amortization of prior service costs
 
32

 
57

 
(117
)
 
(117
)
 
95

 
173

 
(351
)
 
(351
)
Amortization of net actuarial loss
 
3,656

 
3,555

 
138

 
192

 
10,899

 
10,559

 
415

 
575

Settlement expense
 
—

 
193

 
—

 
—

 
—

 
193

 
—

 
—

Net periodic benefit cost
 
4,941

 
5,373

 
393

 
495

 
14,706

 
15,495

 
1,181

 
1,486

Amount allocated to construction
 
(1,581
)
 
(1,556
)
 
(136
)
 
(163
)
 
(4,660
)
 
(4,678
)
 
(403
)
 
(491
)
Amount deferred to regulatory balancing account(1)
 
(1,484
)
 
(1,542
)
 
—

 
—

 
(4,519
)
 
(4,762
)
 
—

 
—

Net amount charged to expense
 
$
1,876

 
$
2,275

 
$
257

 
$
332

 
$
5,527

 
$
6,055

 
$
778

 
$
995


(1)
The deferral of defined benefit pension plan expenses above or below the amount set in rates was approved by the OPUC, with recovery of these deferred amounts through the implementation of a balancing account. The balancing account includes the expectation of higher net periodic benefit costs than costs recovered in rates in the near-term with lower net periodic benefit costs than costs recovered in rates expected in future years. Deferred pension expense balances include accrued interest at the utility’s authorized rate of return, with the equity portion of the interest recognized when amounts are collected in rates. See Note 2 in the 2016 Form 10-K.

The following table presents amounts recognized in accumulated other comprehensive loss (AOCL) and the changes in AOCL related to our non-qualified employee benefit plans:
 
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
In thousands
 
2017
 
2016
 
2017
 
2016
Beginning balance
 
$
(6,678
)
 
$
(6,825
)
 
$
(6,951
)
 
$
(7,162
)
Amounts reclassified to AOCL
 
—

 
(1,795
)
 
—

 
(1,795
)
Amounts reclassified from AOCL:
 
 
 
 
 
 
 
 
Amortization of actuarial losses
 
248

 
371

 
698

 
962

Loss from plan settlement
 
—

 
193

 
—

 
193

Total reclassifications before tax
 
248

 
(1,231
)
 
698

 
(640
)
Tax (benefit) expense
 
(98
)
 
486

 
(275
)
 
232

Total reclassifications for the period
 
150

 
(745
)
 
423

 
(408
)
Ending balance
 
$
(6,528
)
 
$
(7,570
)
 
$
(6,528
)
 
$
(7,570
)



Employer Contributions to Company-Sponsored Defined Benefit Pension Plans
For the nine months ended September 30, 2017, we made cash contributions totaling $15.4 million to our qualified defined benefit pension plans. We expect further plan contributions of $4.0 million during the remainder of 2017.

Defined Contribution Plan
The Retirement K Savings Plan is a qualified defined contribution plan under Internal Revenue Code Sections 401(a) and 401(k). Employer contributions totaled $4.1 million and $3.6 million for the nine months ended September 30, 2017 and 2016, respectively.

See Note 8 in the 2016 Form 10-K for more information concerning these retirement and other postretirement benefit plans.