Re(3): Membership meeting on Thursday night IP: 64.12.117.18 Posted on April 30, 2008 at 03:25:52 AM by Larry Vincent
TO ALL RETIREES,
AS WE SAID, PATRICK LYNCH CAME TO THE MEETING AND EXPLAINED THE ENHANCED COLA IDEA. PATRICK HAS BEEN WORKING ON THIS FOR AT LEAST 3.5 YEARS. THE ESSENCE OF THE PLAN IS AS FOLLOWS. THE ACTIVES WILL CONTRIBUTE A PERCENTAGE OF THEIR PAY TO HELP FUND THIS BENEFIT. AT COLLECTIVE BARGAINING, THE UNIONS WILL TRY TO GET THE CITY TO HELP WITH THEIR CONTRIBUTION OF $1.34 FOR EACH ACTIVE CONTRIBUTION DOLLAR. I KNOW THAT THE POLICE WILL BE PUTTING IN AT LEAST 1% OF THEIR UPCOMING INCREASE TO HELP FUND THIS BENEFIT. IN ADDITION TO THE CONTRIBUTION FROM THE ACTIVES, THE PLAN CALLS FOR A LOAN FROM THE PRAA OF 50 TO 100 MILLION TO GET THE BENEFIT FUNDED. THE PLAN CALLS FOR THIS MONEY TO BE SET ASIDE IN A SEPARATE FUND AND THE TRUSTEES WILL OVERSEE ITS' MANAGEMENT. IN OTHER WORDS, JAY BOWEN, OUR FUND INVESTMENT ADVISOR, WILL INVEST THESE FUNDS. IF AND WHEN THIS FUND MAKES ENOUGH MONEY, CHECKS WILL BE SENT TO ALL FUND RETIREES, WIDOWS TOO, EACH MONTH. ALL RETIREES, LOD, LONGEVITY AND WIDOWS WILL SHARE EQUALLY. THE CHECKS WILL BE SENT OUT EACH MONTH. EVERYONE WILL GET THE SAME MONTHLY AMOUNT REGARDLESS OF THE AMOUNT OF PENSION YOU CURRENTLY GET. IT IS ANTICIPATED THAT CHECKS OF $1000 TO $1200 A MONTH WILL BE A REALITY. IF THIS BENEFIT GET PASSED, IT WILL NET ALL RETIREES MORE MONEY THAN THE MULTIPLIER. THE TRUSTEES ARE GOING TO TRY TO GET THE FUNDS ACTUARY TO DO THE FIGURES TO SEE WHAT ACTUALLY CAN BE OBTAINED. THE TRUSTEES WILL ASK THAT THE FUND PAY FOR THE ACTUARY STUDIES TO MAKE THIS BENEFIT A REALITY. THERE ARE STILL MORE DETAILS TO BE WORKED OUT. PATRICK LYNCH HAS ASSURED US THAT THIS BENEFIT WILL COME TO ALL RETIREES NOT ONLY ACTIVES WHEN THEY RETIRE. THIS BENEFIT IS BEING DRIVEN BY THE ACTIVES BECAUSE THEY DON'T WANT TO WIND UP LIKE US WHEN THEY RETIRE. AS YOU KNOW, A MAN AND HIS WIFE PAY ALMOST $1200 A MONTH FOR THE CITY HEALTH INSURANCE. THE ACTIVES DON'T WANT TO BE IN THAT BOAT. THEREFORE, THEY ARE IN SUPPORT OF THIS BENEFIT, WHICH THEY WILL PAY FOR BUT NOT COLLECT ON UNTIL THEY RETIRE. PATRICK HAS INCLUDED THE RETIREES IN THIS PLAN FROM THE BEGINNING. HE MET WITH MYSELF AND BILLY LYNN OVER 3 YEARS AGO AND EXPLAINED THE BASIC PLAN TO US. AT THIS TIME, THE PBA HAS AN INSURANCE COMMITTEE. I WAS ASKED TO BE A PART OF THE COMMITTEE AND I AM INVOLVED ALL THE WAY. THERE IS A PART OF THE BENEFIT THAT WILL INCLUDE A RETIREE ON THE STEERING COMMITTEE, ALONG WITH THE TRUSTEES OF THE FUND, TO MAKE SURE THAT THE RETIREES' INTERESTS ARE NOT OVERLOOKED. ALL IN ALL, THE PLAN BASICS ARE VERY GOOD FOR EVERYONE. I THINK THE PLAN CAN WORK AND WORK WELL. THERE ARE FINE POINTS TO BE IRONED OUT BUT I HAVEN'T SEEN ANYTHING THAT CAN'T BE WORKED OUT. AS THIS PLAN IS FURTHER DEVELOPED, I WILL KEEP ALL INFORMED. TO BORROW FUNDS FROM THE PRAA, THE EXPENDITURE OF THE MONEY WILL STILL BE FOR COLA BENEFITS. IT WILL REQUIRE AN AMENDMENT TO THE CONTRACT AND WILL HAVE TO BE APPROVED BY THE LEGISLATURE. WE WILL NEED THE SUPPORT OF OUR ELECTED OFFICIALS AND I HAVE THE COMMITMENT FROM A SENATOR AND A MEMBER OF THE HOUSE OF REPRESENTATIVES. NO PROBLEM IN GETING THE CHANGE INTRODUCED IN THE LEGISLATURE. THIS TIME, WE WILL BE LOBBYING THE LEGISLATORS JOINTLY AND I FEEL WE CAN BE SUCCESSFUL. IN ORDER FOR THIS BENEFIT TO MOVE AHEAD QUICKLY, WE WILL HAVE TO HAVE THE AMENDMENT TO THE CONTRACT READY TO GO BY MID DECEMBER 2008. WILL KEEP ALL INFORMED AS MORE INFO IS OBTAINED. PATRICK SAID HE WOULD COME TO OUR JULY MEETING TO EXPLAIN OUR PROGRESS. THE PBA HAS AGREED TO MEET WITH ROBERT KLAUSNER, A NOTED PENSION ATTORNEY, AND ASK HIM TO REFINE THE PLAN. THE PBA WILL PAY THE ATTORNEY. HOPE THIS INFO HELP TO UNDERSTAND WHAT IS BEING DONE TO GET A REAL MEANINGFUL BENEFIT FOR ALL RETIREES. UNTIL THE NEXT TIME
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