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Fort Worth Cuts Cost Of Living Changes To Pensions

By Bill Zeeble, KERA News

http://stream.publicbroadcasting.net/production/mp3/kera/local-kera-959160.mp3

Dallas, TX – The Fort Worth City Council has voted overwhelmingly to reduce some retiree benefits for employees hired after July 1st.

Fort Worth's pension plan faces a $717 million unfunded liability - that's the pension money promised to employees and retirees now in the system. Mayor Mike Moncrief says no Fort Worth issue is more important.

Moncrief: If we are ever to hope to be able to continue to provide quality services to people who live in this city, to attract the best and the brightest then we have got to address this problem. We can't just kick this can down the road. That is not being responsible.

Fort Worth will reduce some benefits for new employees, like upping the minimum age of retirement from 50 to 55. Council members acknowledge cost-of-living increases hurt the city's ability to fix its retirement system. Pension plan changes will NOT affect workers or retirees already in the system.

Email Bill Zeeble