16 July 2009

W.Va. Cities Still Seek Pension Aid

Officials from cities strapped by funding gaps in their police and fire pension funds continue to beseech the Legislature for help, the Herald-Dispatch of Huntington reports.

Lawmakers holding interim study meetings reviewed a new proposal that "includes putting new hires into a new, less costly retirement system," the article said. "The proposal will not affect police and fire personnel that are already involved in a pension fund."

The article explains that "Huntington will spend more than 20 percent, or $8.8 million, of its $40 million budget on pension costs this year. Under the current funding method, those costs will rise to $12.4 million by 2015 and will not reach their ceiling until they hit approximately $20 million between 2020 and 2022, according to the city's finance department."

Aid advocates want Gov. Joe Manchin to adding the issue to any upcoming special session agenda. A spokesman for the governor told the newspaper that would first "have to be a consensus by fire and police personnel, municipalities and legislators" in support of the proposal.

No comments: