HomeMy Public PortalAboutRES 11/03RESOLUTION NO. 011 -3
A RESOLUTION OF THE TOWN OF GULF STREAM SUPPORTING
POLICE OFFICER AND FIREFIGHTER PENSION PLAN REFORMS.
WHEREAS, the Town of Gulf Stream opposes unfunded state mandates in that
mandates impose state - initiated policy changes and programs onto the town of Gulf
Stream without providing any funding to pay for them; and
WHEREAS, the legislature has imposed significant unfunded mandates onto
municipalities relative to the operation of their 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, municipalities were 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 municipality and its police and
firefighters; and
WHEREAS, in 1999, the legislature passed a law that required municipalities' police
and fire pension plans to meet all the minimum pension benefit standards established in
state law; and
WHEREAS, in 1999, the legislature substantially revised how municipalities could
use insurance premium tax revenues to fund its police and firefighter pension plans by
requiring the municipalities 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
WHEREAS, state law continues to require the provision of new, extra pension
benefits to police and firefighters even though municipalities struggle with funding the
current level of pension benefits provided to police and firefighters; and
WHEREAS, even if municipalities desire to reduce the level of pension benefits
provided to police and firefighters to address the municipalities' critical revenue constraints,
the state Division of Retirement imposes a policy that police and firefighter pension benefit
levels may not be reduced to a level lower than the level that existed in 1999; and
WHEREAS, if a municipality were to 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, a municipality 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 cannot lower
them, even if approved by their unions.
WHEREAS, the Town of Gulf Stream 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 municipalities are not seeking a handout from the legislature but are
instead requesting the legislature to untie their hands so that they can address their
pension issues locally and in a manner that best serves their citizens.
NOW THEREFORE, BE IT RESOLVED BY THE TOWN COMMISSION OF THE
TOWN OF GULF STREAM, FLORIDA, that:
Section 1. That the Town of Gulf Stream hereby supports police and firefighter
pension reform.
Section 2. That the Town of Gulf Stream hereby requests the legislature to
remove itself from the local collective bargaining process with municipal police and
firefighters.
Section 3. That the Town of Gulf Stream hereby requests the legislature to
remove minimum pension benefits standards for police and firefighters pensions, remove
the requirement to provide new, extra pension benefits to police and firefighters, and allow
municipalities to use insurance premium tax revenues to pay for pension benefits already
provided to police and firefighters.
Section 4. That the Town of Gulf Stream hereby requests the legislature to
prohibit that state Division of Retirement from imposing administrative policies that result in
increased costs to the municipalities in providing the police and firefighter pension plans.
Section 5. That the Town of Gulf Stream urges the legislature to pass and the
Governor to approve the above recommendations relating to police and firefighter pension
plans in the 2011 legislative session.
Section 6. That the Town of Gulf Stream Clerk is hereby 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 IN OPEN AND REGULAR SESSION OF THE TOWN COMMISSION OF
THE TOWN OF GULF STREAM, FLORIDA, THIS 11TH DAY OF MARCH, 2011.
ayor ;
V
Town Commission
ATTEST
/C y
Town Clerk