LEGISLATIVE ACTION ITEM
SPONSOR: Grover C. Robinson, IV, Mayor
SUBJECT:
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REVISED PROPOSED ORDINANCE NO. 49-20 AMENDING SECTION 9-5-72 OF THE CODE OF THE CITY OF PENSACOLA, FLORIDA FIREFIGHTERS’ DEFERRED COMPENSATION PROHIBITING ADDITIONAL FUNDING
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RECOMMENDATION:
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That City Council adopt the revised Proposed Ordinance No. 49-20 on second reading.
AN ORDINANCE AMENDING SECTION 9-5-72 OF THE CODE OF THE CITY OF PENSACOLA, FLORIDA; PROHIBITING ADDITIONAL FUNDING OF THE FIREFIGHTERS DEFERRED COMPENSATION PLAN; PROVIDING FOR APPLICABILITY OF ORDINANCE; PROVIDING FOR SEVERABILITY; REPEALING CLAUSE; PROVIDING AN EFFECTIVE DATE.
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HEARING REQUIRED: No Hearing Required
SUMMARY:
The Social Security Replacement Program for Firefighters was established effective June 15, 2015 as part of the Pensacola Professional Firefighters International Association of Firefighters (IAFF) Local 707 Collective Bargaining Agreement for Fiscal years 2015 - 2017. The Social Security Replacement Plan was provided to offset the reduction in the spousal benefit approved in the Firefighters’ Relief and Pension Plan Special Act and agreed upon in the IAFF Collective Bargaining Agreement. The Collective Bargaining Agreement beginning October 1, 2020 through October 1, 2023 will restore the spousal benefit back to 75% of the retiree’s benefit amount with no reduction to the retiree’s pension. Therefore, the Social Security Replacement Plan is no longer needed to replace the spousal benefit reduction and is being closed.
Due to recodification of the Code of the City of Pensacola that was published January 1, 2021, the Section of the Code was renumbered to 9-5-72.
PRIOR ACTION:
February 12, 2015 - City Council ratified the Pensacola Professional Firefighters International Association of Firefighters (IAFF) Local 707 Collective Bargaining Agreement for Fiscal Years 2015 through 2017 providing the Social Security Replacement Plan to firefighters hired after the date of the pension changes.
December 10, 2020 - City Council voted to approve Proposed Ordinance No. 49-20 on first reading.
FUNDING:
N/A
FINANCIAL IMPACT:
Costs associated with the restoration of the spousal benefit have been estimated to be approximately $5,000 per year and the cost for the 300 hours of pensionable overtime is approximately $27,691 as determined by the Fire Pension Actuary. However those costs will not occur in Fiscal Year 2021 but will be incorporated in future year proposed budgets.
CITY ATTORNEY REVIEW: Yes
11/24/2020
STAFF CONTACT:
Keith Wilkins, City Administrator
Amy Lovoy, Finance Director
Ted Kirchharr, Human Resources Director
ATTACHMENTS:
1) Proposed Ordinance No. 49-20
2) Revised Proposed Ordinance No. 49-20
PRESENTATION: No end