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91-7736R97 A RESOLUTION IN OPPOSITION TO DOUBLE PENSION COST OF LIVING MECHANISMS (13TH CHECK) WHEREAS, H.F. No. 127/S.F. No. 370, have been introduced and would authorize investment related post-retirement adjustments in addition to annual existing cost of living adjustments for local police and paid firefighter relief associations; and WHEREAS, the Richfield Police Relief Association pension fund is only funded 80.8$ and the Richfield Fire Relief Association pension fund is only funded 56.1$; and WHEREAS, the City of Richfield is already contributing an extraordinary amount of salary for the members of these two local police and~fire funds as compared to the amount contributed for officers currently in the PERA Police and Fire Fund; and WHEREAS, claims that these and similar proposals, if passed, will reduce the City's costs, measure only short-term financial demands and do not compare short and long-term City contribution rates for proposals to adopt alternative actuarial assumptions with no benefit increase involved; and WHEREAS, the current budgetary crisis of the State of Minnesota demonstrates that the City of Richfield will be faced with the prospect of long-term revenue shortfalls; and thus short-term expenditure shifts with later increases will only exacerbate City financial problems. NOW, THEREFORE, BE IT RESOLVED by unanimous vote of its City Council, the City of Richfield hereby expresses its opposition to H.F. 127 and S.F. 370 and other similar proposals to provide additional benefits to retirees of local funds based upon investment performance of the fund's assets while escalation remains in effect. BE IT FURTHER RESOLVED, that Senator Riveness and Representatives Garcia and Henry are urged to convey the City's position to the members of the Legislative Commission on Pensions and Retirement and to the leadership of each House and to vigorously resist all such local pension changes which will add to the short- term or long-term costs of the City of Richfield. The Clerk is instructed to transmit a certified copy of this resolution to members of the City's legislative delegation and to the League of Minnesota Cities. Adopted by the City Council of the City of Richfield, Minnesota this 8th day of April, 1991. AlTTE~ST ~I ,: ~ ~ Thomas P. Fer er, City Clerk e Martin J. rsch, Mayor