The board of Jacksonville’s Police and Fire Pension fund was set to vote on the city’s pension reform measure on Monday. But instead of an up-or-down vote, the board has requested several changes to the measure and sent it back to the city council for approval.
Both entities need to approve the measure before it is passed into law.
The changes the board is requesting, according to News4Jax.com:
John Keane, executive director of the fund, said the board has several concerns that it will express to the city:
– Calls on city council to guarantee a funding source for its $40 million annual contribution required by the agreement.
– Not willing to accept reduced cost-of-living increase from the agreed 3 percent annual to a variable rate between 0 and 6 percent for active and retired police and firefighters. The board is requesting it be increased to 0 to 6 percent.
– City council approved a 0-10 percent rate for deferred retirement (DROP) each year. Pension board wants higher rate: 2-14.4 percent.
– The original deal with the mayor allowed the terms of the plan to be renegotiated after 10 years. City council changed that to three years, which is not acceptable to the pension board.
The board said a primary concern is making sure current employees are confident that the revised pension plan will give them a secure future.
Members feel the funding deficit was created by the city, so the changes should be made strictly on the backs of the employees.
“We’ve gotten to this point today simply by fact that city has not saved for a rainy day,” said Richard Tuten, a member of the pension fund’s board.
The board and the council have a self-set deadline of January 15 to come up with a final proposal.
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