Police, fire unions hold firm on pensions in talks

Matt Galnor
Nov 11, 2009 (The Florida Times-Union - McClatchy-Tribune Information Services via COMTEX) --

Jacksonville's police and fire unions say they won't negotiate changes to their pension plan -- an item high on the city's to-do list in contract talks.

Any talk about the retirement plan will have to be done with the Police and Fire Pension Fund itself, union leaders said.

"We will not bargain pensions," said Paul Donnelly , a Gainesville attorney who represents the fire union.

City negotiators maintain the bargaining table is the place to discuss pensions, just as it is for other compensation items, such as wages and health insurance.

Donnelly and pension fund executive director John Keane cite an agreement between the city and fund that runs through 2030. They say the agreement dictates pension changes running through the fund.

"If one party wants to change it, both parties have to agree," Keane said.

Keane said he "might" discuss pension changes with the city but would not commit either way in a phone interview Wednesday.

The city wants to reduce pension benefits for new police and fire employees. The pension's unfunded liability was $788 million in fall 2008, and the city is contributing about $79 million to the pensions this year, according to city auditors..

Mayor John Peyton and several City Council members have called the current pension system "unsustainable" and targeted the retirement plans in current negotiations.

Part of the city's pension proposal would increase minimum years of service before retirement from 20 to 25 years, increase the employee contribution to the pension and eliminate a guaranteed return on deferred retirement funds.

During negotiations between the city and police union last week, Fraternal Order of Police President Nelson Cuba said he was looking into Keane's position on the pension and would not talk about the retirement plan that day.

Cuba said Wednesday he supports the fire union position.

Fire negotiations will resume Nov. 25 and talks with police will continue Nov. 30.