Post by Logan on Jun 22, 2016 2:07:14 GMT -6
Lincoln firefighters union wants simple fund merger to be part of negotiations
Union president Ron Trouba asked the Lincoln City Council to delay a decision on merging two pension funds so that issue could be included in the next round of negotiations with firefighters.
The simple accounting maneuver that will save the city more than $4 million a year in pension fund payments is one of nine recommendations from an advisory group which studied the city’s defined benefit pension system for police and firefighters for five months.
The Pension Review Committee recommended the city merge the regular pension fund with what is called the “13th check fund” that provides an additional monthly check each year to retirees in lieu of a cost-of-living increase.
Though the two funds are invested together they are accounted for separately. Merging the two would allow the city’s actuarial firm more flexibility and reduce the city’s liability for police and fire pensions from $12 million to about $8 million next year.
Read more: journalstar.com/news/local/govt-and-politics/firefighters-union-wants-simple-fund-merger-to-be-part-of/article_2b85c57b-0ef5-5ea9-a18d-389cc0c178cb.html
Union president Ron Trouba asked the Lincoln City Council to delay a decision on merging two pension funds so that issue could be included in the next round of negotiations with firefighters.
The simple accounting maneuver that will save the city more than $4 million a year in pension fund payments is one of nine recommendations from an advisory group which studied the city’s defined benefit pension system for police and firefighters for five months.
The Pension Review Committee recommended the city merge the regular pension fund with what is called the “13th check fund” that provides an additional monthly check each year to retirees in lieu of a cost-of-living increase.
Though the two funds are invested together they are accounted for separately. Merging the two would allow the city’s actuarial firm more flexibility and reduce the city’s liability for police and fire pensions from $12 million to about $8 million next year.
Read more: journalstar.com/news/local/govt-and-politics/firefighters-union-wants-simple-fund-merger-to-be-part-of/article_2b85c57b-0ef5-5ea9-a18d-389cc0c178cb.html