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HomeMy WebLinkAboutCommittee of the Whole Minutes 04.15.1997CITY MEMBERS PRESENT: OTHERS PRESENT: MINUTES COUNCIL COMMITTEE OF THE WHOLE APRIL 15, 1997 6:17 P.M. COUNCIL CHAMBERS Chairman, Chuck Rodgers Gary Temple Gay Easton Dirk Kroll Norman Orr Donna Kilpatrick Bud Johnson Miles Walton William Staudinger V. Joe Leckie Jim Stevens Mike Zuhoski Andy Loebe Jim Flisrand Mark Guy Don Hackmann Jerry Williams, Butte Police Dept. Tim Shanks, Great Falls Police Dept. With the assistance of Tim Shanks and Jerry Williams, Mark Guy gave an overview of the MPORS (Montana Police Officers Retirement Systems) in comparison with the current PERS (Public Employees' Retirement System) for police officers. Under the current PERS system, the employee pays 6.7% of their gross wage and the city pays 6.7%. Under the MPORS system, the employee would pay 10.5% of the base wage, the city would contribute 14.36%, and the state 15.66%. The PERS system is a 30~year retirement system, whereas the MPORS is a 20-year retirement system. Both of them would be vested after five years. Using the 1996-97 budgeted payroll figures, the city's additional contribution for the difference between 6.7% and 14.36% would amount to $ 22,158.00. However, police officers do not pay social security, which is 6.2%. They do, however, pay the Medicare rate of 1.45%. If the officers were paying social security, like all other city employees, the actual additional cost for MPORS over PERS would amount to 1.46%. (14.36% less PERS of 6.7% less Social Security of 6.2% equals 1.46%.) Based on the current budget, the additional cost would amount to $ 4,223.00. Mark Guy mentioned that if Laurel would go to a 20-year retirement system, the officers would stay here and work rather than get trained and then move on to a city which has the 20-year retirement system versus a 30-year system. Retirement benefits under PERS has several options to choose from, whereas the MPORS benefit would be 50% of your base wage after 20 years. Joe updated the council regarding the petitions for repealing the ordinance on the city treasurer and repealing the resolution that increased the water rates. (See two letters in the council correspondence for tonight.) Joe mentioned that Larry Herman has been appointed Yellowstone County Justice of the Peace. He can still hold the office of Laurel City Judge. There is no prohibition against him collecting a salary for both positions. He can hold two elected positions as long as they are not in conflict with each other. Joe said that he did not know what Larry was going to do about setting court hours in Laurel. Meeting adjourned at 6:59 p.m. Respectfully submitted, Don Hackmann City Clerk