By Sallie James
Calling Boca Raton’s recently negotiated police and fire contracts a “reset” and a compromise, City Council members in April voted 4-1 to approve the long overdue agreements.
The contracts are expected to save the city approximately $93 million in combined pension obligations over the next 30 years.
“There’s a saying that a good compromise leaves both sides a little dissatisfied,” said City Council member Scott Singer. “I think these agreements fit the spirit of that statement.”
Council member Jeremy Rodgers voted no on both contracts, claiming the plans were not sustainable in the long run and that the contracts did not contain enough incentives for new hires.
The contracts are retroactive to Oct. 1, 2014, and run through Sept. 30, 2017. Boca Raton police will receive annual 2 percent raises for the next three years under a three-year contract that also requires police personnel to contribute more to their pension plan.
Firefighters will also receive annual 2 percent raises for the next three years. The Boca Raton/International Association of Firefighters Local 1560 also agreed to changes in the pension plan that should make the plan actuarially sound.
Mayor Susan Haynie called the contracts the “most meaningful pension reform” that has occurred in the history of the city.
Under the new police contract, police personnel will be upping their pension contributions from 10.3 percent to 11.5 percent.
In addition, retirees will get a maximum of 77 percent of the average of their last three years’ pay before retirement. Previously, they could earn a maximum of 87.5 percent.
The fire rescue contract includes two caps: Firefighter pensions across the board are capped at $100,000 and firefighter pensions also are capped at 90 percent of the last three years’ average salary before retirement. Previously there was no cap.
Boca Raton residents Judith Teller Kaye and Betty Grinnan, co-founders of Boca Citizens for Fiscal Responsibility, both urged city officials to reject the contracts.
Kaye called the city’s financial calculations “embarrassing.”
“The projected savings do not take into account updated mortality tables and use an 8.5 percent projected rate of return for the next 30 years. It’s not realistic,” Kay said.
Grinnan told council members she believes city firefighters are overpaid.
“Public safety eats up more than 50 percent of the city budget. I hate it. I want some of those funds to go to the library,” Grinnan said.
John Luca, union president for the firefighters of Boca Raton, said the city needs to provide decent incentives to attract and retain good employees.
“We don’t want Boca to be a training ground,” he said. “We want to continue to attract the best and brightest in hopes of keeping those police and firefighters on the streets for a career."
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