City pension negotiations ongoing | News
JACKSONVILLE, Fla. -- Mayor Alvin Brown and the Jacksonville Police and Fire Pension Fund are finding agreement on some issues, but road blocks on others.
The two sides for two weeks have been working to find common ground on how to shore up a $1.6 billion dollar unfunded liability.
"Our members always paid our contributions,' said pension administrator John Keane in noting the city has failed to pay its share.
The city is agreeing to pay $40 million extra annually to help make up the deficit.
The pension fund has agreed to contribute $60 million this year toward the unfunded amount with a cap of $105 million overall.
The sticking points are the cost of living adjustments given to current members. The fund wants the COLA to remain at 3% with the city wanting the cap to be 2.25%.
Another issue is the on the rate of return guaranteed to firefighters and police officers in DROP. The fund agrees to 5% with the city saying 4.5% is what it is willing to pay.
Any agreement reached will have to be reviewed by the city council.