Pension agreement reached after two weeks at city hall | News
JACKSONVILLE, Fla. -- After starting miles apart the city and the police and fire pension fund found middle ground to reach agreement on pension reform.
The challenge was resolving a $1.6 billion unfunded liability that had a pension task force recommending a tax increase to pay the bill.
The deal has the city kicking in $40 million annually until the fund is 80% solvent. Pension fund agreed to pay $107 million toward the unfunded liability.
Police and firefighters under the deal eventually will have to contribute 10% of their pay toward their pension.
"Happy days are here again and we are delighted reached an agreement on this serious issue," said pension administrator John Keane who represented police and firefighters.
"We got a good retirement plan that is good for taxpayers and good for city employees," said Mayor Alvin Brown who sat at the table during the talks.
The pension board will hold an emergency meeting next week to review the deal. The city council at a later date will also be asked to give its approval to the agreement.