Sunday, March 11, 2012
Deferred Pension Payment Now Due
On Saturday, I got a close look at the City Council packet at the Plainfield Public Library and one item on temporary budget appropriations for April was a shocker. Amounts ranged from $500 to a little over half a million, until the line for the Police and Firemen's Retirement System (PFRS), which is $5,199,585. That amount and $1,407,810 for the Public Employees Retirement System (PERS) are the price of deferring payments in 2009 and now the state expects to be paid.
Then-Governor Corzine offered municipalities a pension deferral plan for tax relief in 2009, with repayment over 15 years beginning in 2012. See Plaintalker's post here. If I read the rules correctly, failure to pay the amount due by April 2012 will result in 10 percent interest being charged by the state.
Meanwhile, the city has had a high turnover of administrators and also went through a six-month budget "year" in which none of the usual budget deliberations took place. This year opened with a brand-new city administrator and within a month the chief financial officer left. The city is now employing a CFO who has the same position plus the full-time job of borough administrator in a neighboring municipality. He gives the city a few hours per week. The city is actively seeking a full-time CFO and is in the process of passing legislation to increase the maximum salary for a CFO to $125,000, but if approved Monday, it will not be final for another 20 days.
At last Monday's agenda fixing session, council members were displeased at the lack of budget information, but I did not hear this item mentioned specifically in the discussion.The council and the public need to know more about this situation.
The radio show "This American Life" devoted a recent program to an exploration of the costs of government. The first segment used Trenton as an example of a city in trouble, both fiscally and operationally. You can hear the program or download it at this link.The New York Times also just had an article on the pressures of governmental costs (click here).
Budget introduction is promised soon and then the council will have the unhappy task of reviewing and possibly amending the 2012 budget. Courage and fortitude will be needed.
--Bernice
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What's a few million dollars between friends, especially when it's other people's money?
ReplyDeleteGuess what folks there are 12 new police officers that have just been hired.
ReplyDeleteWhich Councillors approved this fiasco Bernice?
ReplyDeleteThe jist of this new issue is ... Let me get this right...Law enforcement the backbone of this City's Order are now due compensation for all of their toil and dedication,all the hours spent in domestic disputes all the hard work in aggressively taking down all the unrully, thugs!!!! oh let me be politically correct delinquent youth from Bloods to Crips to Ms13
ReplyDeleteand so on and so on...All the calls from neighbors who are sick and tired of drug dealers making neighborhoods into drug marketplaces and so on....
It seems that now the obligation has to be satisfied...Thus the PROBLEM?
Let me remind all of the armchair bloggers...
Officer Valintin is paying a price for his service to us...Do you know what it is like to be hospitalized due to being apart or a member of Law Enforcement...Well let me fill you in on a known fact...He will become a suspect automatically...Internal affairs will attempt to brand him at fault for not paying attention to detail...The after action review process will make him feel at fault...just because GET THIS...THEY REALLY DO NOT WANT TO PAY THE BILLS ASSOCIATED WITH HIS INJURY!!!!!
I say this because it is true We have become so selfish that it is easier to disqualify the Officer rather than pay the Bill
I beg you all, do not rob our men and women in blue...Rmember the life expectancy of Law Enforcementis 59years...These brave souls due to the stress, die off at an early age...
Help them celebrate what ever life they have left on this earth because as quiet as its kept
due to dedication the prise is HIGH...family break ups and so on.
PAY THESE HEROES