Where is all the money that is supposed to go to Norton Shores retiree's pensions and healthcare going?!!

Norton Shores, Michigan 
From the most recent Norton Shores Financial Report
What does this mean?

• The top half is the retiree healthcare fund
• It is supposed to have almost $40 million in it.
• It has less than $2 million.
• Its "funded rate" 4.35%. 
• Astoundingly low! 
• Detroit-style!!
• The bottom half is the schedule annual required payments (Annual OPEB Cost)
• The city's actual annual contribution is less than required.
• And the annual contribution is going down!!

Where is all the money that is supposed to go to retirees pensions and healthcare going?!!

And how are the citizens of Norton Shores going to get the money to fix this?