Resolution 11-1271RESOLUTION NO. 11-1271
A RESOLUTION
p(OF THE CITY COMMISSION OF u. CAE
L. CITY OF O �C7GWOOD (CITY), FLORIDA, P61O@,IDIING
FOR THE SUPPORT OF POLICE OFFICER AND
FIREFIGHTER PENSION PLAN REFORMS.
WHEREAS, the CITY opposes unfunded state mandates in that mandates
impose state -initiated policy changes and programs onto the CITY
without providing any funding to pay for them; and
WHEREAS, the legislature has imposed significant unfunded mandates onto the
CITY relative to'the operation of the CITY'S police officer and firefighter
pension plans by mandating minimum pension benefit levels and
mandating the use of revenues to fund pension plan costs; and
WHEREAS, prior to 1999, the CITY was largely free to bargain with local police
and fire unions, or provide for the non -unionized police and firefighters,
the pension benefits that best fit the priorities and needs of the CITY and
its police and firefighters; and
WHEREAS, in 1999, the legislature passed a law that required the CITY police
and fire pension plans to meet all of the minimum pension benefit
standards established in state law; and
WHEREAS, in 1999, the legislature substantially revised how the CITY could
use insurance premium tax revenues to fund its police and firefighter
pension plans by requiring the CITY to use any increase in the tax
revenues to provide new, extra pension benefits; to police and
firefighters; and
WHEREAS, since 1999, the requirement to provide new, extra; pension benefits
to police and firefighters with increases in insurance premium tax
revenues has collectively required cities across the state to provide more
than $400 million in new, extra pension benefits to police and firefighters;
and
W, HEREAS, state law continues to require the provision of new, extra pension
benefits to police and firefighters even though the CITY struggles with
funding the current level of pension benefits provided to police and
firefighters; and
WHEREAS, even if the CITY desired to reduce the level of pension benefits
provided to police and firefighters to address the CITY critical revenue
constraints, the state Division of Retirement imposes a policy that police
and firelighter pension benefit levels may not he reduced to a level lower
than the level that existed in 1999; and
WHEREAS, if the CITY did lower its pension benefits for police and firefighters to
a level lower than existed in 1999, the state Division of Retirement may
threaten to withhold all insurance premium tax revenues as a penalty if
such action is taken; and
WHEREAS, the CITY has limited ability to control pension costs because of state
laws and interpretations of those laws by the state Division of
Retirement, the effect of which is cities can raise pension benefits for
police and firefighters, but cannOtr lower them, even if approved by their
unions.
WHEREAS, the CITY supports flexibility in state law that would allow cities to
deal with their local problems locally, and needs for the legislature to
remove barriers in state law that prohibit this flexibility.
WHEREAS, the CITY is not seeking a handout from the legislature but is instead
requesting the legislature to untie its hands so that it can address its
pension issues locally and in a manner that best serves its citizens.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE
Ci Y C 11LG ,I�
Section 1. That the CITY hereby supports police and firefighter pension reform.
Section 2. That the CITY hereby requests the legislature to remove itself from the
local collective bargaining process with CITY police and firefighters.
Section 3. That the CITY hereby requests the legislature to remove minimum
pension benefits standards for police and firefighter pensions, remove
the requirement to provide new, extra pension benefits to police and
firefighters, and allow the CITY to use insurance premium tax revenues
to pay for pension benefits already provided to police and firefighters.
Section 4. That the CITY hereby requests the legislature to prohibit the state
Division of Retirement from imposing administrative policies that result in
increased costs to the CITY in providing the police and firefighter
pension plans.
Section 6. That the CITY urges the legislature to pass and the Governor to approve the
alcove recommendations relating to police and firefighter pension plans in the 2011
legislative session.
Section 6. That the City Clerk is authorized to transmit a copy of this resolution to
Governor Rick Scott, the Florida Legislature, and the Florida League of
Cities, Inc.
Section 7. That this resolution shall be effective upon adoption.
PASSED AND ADOPTED TIT _ % DAY OF A.D., 2011.
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ATTEST-
Sayr,ah M. Mims, Yll-Iyt1 C, MBA, City Clerk
Approved as to from and legality for the use and reliance of`the City of Longwood, Florida, only.
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