NEW PROPOSED PENSION PLAN FOR SPECIAL RISK RETIREMENT

Governor Rick Scott Announces Cuts to PensionsAnnounced today, the Governor's Budget will include these changes to State and Local Pension Plans:

* Current employees will contribute 5%

* DROP will be eliminated

* Special Risk drops from 3 to 2 percent accrual*

New employees will not be allowed into the Defined Benefit Plan

* COLA for current retirees remains, but NO COLA for new retirees

Details have not been released yet (scheduled release on Monday, February 7th).

However, you can contact the Governor's Office now to learn more.

Governor Rick Scott: 850?488?7146 or email him at:
http://www.flgov.com/contact?gov?scott/email?the?governor/

[retiredCCSO]

Here is a link for the budget proposal. This is the entire document so you have to get to the Pension Plan Reform section.

http://letsgettowork.state.fl.us/rep...egislation.pdf

Not sure if I posted this correctly...MOD, if not can you fix it?

No problem. In the future just drag over the link to highlight it and then click on the "URL" tab and that will add the ability to link with the site

Mod 167

Everyone needs to forward this to their State Legislators with note that you strongly agree with Stanley Smith's assessment.

http://www.orlandosentinel.com/news/...,1289888.story

Pension-plan change would seem like default
By Stanley Smith

February 8, 2011

As people discuss the Florida Retirement System, they should differentiate between current employees and future employees.

Gov. Rick Scott's proposal to change the FRS for current state employees is the same as defaulting on those obligations to the employees. Investopedia describes default as follows: "Default occurs when a debtor is unable to meet the legal obligation of debt repayment. Borrowers may default when they are unable to make the required payment or are unwilling to honor the debt."

The state employees accepted, as part of their compensation, a financial obligation from the state identifying what payments the retirees would receive if they put part of their compensation with the FRS instead of in a defined-contribution plan with different investment companies.

Those employees who chose the FRS did not expect the state to default on its financial obligations to the employees when they were counting on those payments to have some dignity in their retirement years.

It is also important to recognize that part of the problem with FRS is that from 2001 to 2010 the state made much smaller contributions for FRS participants than for participants in a defined-contribution plan. The justification for those lower contributions for the FRS participants was that FRS's assets were greater than its expected liabilities.

In other words, when times were good, the Republican-controlled state government took advantage of higher investment returns to spend money on other state activities. Now that there is no overfunding, it doesn't want to honor its financial obligations.

As recently as 2008, they were encouraging state employees who were in the defined-contribution plan to buy into FRS. To those who bought into the FRS in 2008, the current proposals favored by Scott now sound like fraud.

If the conditions of the state of Florida are that bad, why is Scott not talking about defaulting on all of its obligations, such as state government bonds?

He is not talking about defaulting on those bonds because rich people own those bonds. He would rather hurt the people who have taught the children of Florida and protected their lives and property. This is what Scott and the other critics of the FRS think is ethical financial responsibility.

If the state is in that much trouble, then the pain of that default should be shared. If Scott wants to not honor the state's financial obligations to its current employees, then he should not honor its other financial obligations in the same manner.

If he wants to cut FRS benefits to current employees, then he should cut the principal and interest payments on the state government bonds by the same percentage. Until Scott and the Republican Legislature are willing to share the pain of defaulting on the state's financial obligation with all debt holders, then this just looks like they are trying to take advantage of many low-paid state employees so they can protect the rich bond-holders from any losses.

I hope we can count on some Republican leaders to honor their words by meeting the state's financial obligations to its current and past employees.

At the same time, they should be evaluating what is fair compensation for new employees relative to other potential employers.

I have analyzed compensation for the Florida State University System professors and have determined that their current total compensation, including retirement contributions, is within 1 percent of total compensation in Georgia, Alabama and South Carolina.

It is less than the national average and less than the private sector. So you can significantly cut compensation for new employees, but you may not like the quality of those employees.

Stanley Smith of Oviedo is a professor of finance at the University of Central Florida.

We have to contact our local Florida politicians and let them know we EXPECT them to vote against the Governor. Please call or email. If you email, please keep your anger out of it and be articulate. PLEASE SHARE WITH FRIENDS & FAMILY AT OTHER FLORIDA LAW ENFORCEMENT AGENCIES. You can write one email and "cc" it to all the others.

They can be reached at the following:

Senator Garrett Richter (239) 338-2777 Richter.Garrett.web@flsenate.gov

Senator Lizbeth Benacquisto (850) 487-5356 Benacquisto.lizbth.web@flsenate.gov

Senator Mike Bennett (239) 225-3697 Bennett.mike.web@flsenate.gov

Representative Ken Roberson (941) 613-0914 Ken.Roberson@myfloridahouse.gov

Representative Paige Kreegel (941) 575-5820 Paige.Kreegel@myfloridahouse.gov

Representative Matt Caldwell (239) 533-2411 Matt.Caldwell@myfloridahouse.gov

Representative Gary Aubuchon (239) 344-4900 Gary.Aubuchon@myfloridahouse.gov

Representative Trudi Williams (239) 433-6775 Trudi.Williams@myfloridahouse.gov

Senate President Mike Haridopoolos (850) 487-5056 Haridopolos.mike.web@flsenate.gov

House Speaker Dean Cannon (850) 488-2742 Dean.cannon@myfloridasenate.gov

Just heard that Rick Scott has changed his slogan from "Let's get to work" to "Let's get to work screwing over public sector employees". :snicker:

Just heard that Rick Scott has changed his slogan from "Let's get to work" to "Let's get to work screwing over public sector employees". :snicker:

And for any deputy or command staff that voted for this JERK deserve what they get! It's not too funny now is it?? This guy is going to put a screw to us. I hope you enjoyed working 12 hour shifts for nothing. I have three years to go and all I heard from some of the command staff and a few of our own deputies is Gov. Scott is going to be great he's going to straighten up Florida and create all kinds of jobs.

Have you noticed yet he's planning on laying off hundreds of State employees???? So far for creating new jobs and keeping people employed.

He talks out of both sides of his pie hole. Have you noticed??

Just heard that Rick Scott has changed his slogan from "Let's get to work" to "Let's get to work screwing over public sector employees". :snicker:

And for any deputy or command staff that voted for this JERK deserve what they get! It's not too funny now is it?? This guy is going to put a screw to us. I hope you enjoyed working 12 hour shifts for nothing. I have three years to go and all I heard from some of the command staff and a few of our own deputies is Gov. Scott is going to be great he's going to straighten up Florida and create all kinds of jobs.

Have you noticed yet he's planning on laying off hundreds of State employees???? So far for creating new jobs and keeping people employed.

He talks out of both sides of his pie hole. Have you noticed??

This is the first time I did not vote for a republican. I can also tell you if he does what he wants to do I am done voting repubby in the State of Florida.

So what? I say we pay 5%! I have no problem doing my part, as alway

Rick Scott wants to create 700,000 new jobs. Sounds like a great idea. Just as soon as he get's done destroying the ones in the public sector first. Remember this is the rest of Rick Scott's campaign slogan that he did want to unveil while he was running..."Now let's get to work...screwing over public sector employees".

Bye Bye Florida repubby party you have lost my vote for life!

[sineater]

Rick Scott wants to create 700,000 new jobs. Sounds like a great idea. Just as soon as he get's done destroying the ones in the public sector first. Remember this is the rest of Rick Scott's campaign slogan that he did want to unveil while he was running..."Now let's get to work...screwing over public sector employees".

Bye Bye Florida repubby party you have lost my vote for life!

And how does he plan to create those jobs? Some of you deputies aren't smart so I'll help, its by having more casinos through the whole state.