City 1st Offer

[Unregistered]

We have the first offer and it includes 3-3-3 and trust. We have no idea how much the trust will cost and no info in sight for it. PBA when are you going to be honest about say how much every member will pay into trust monthly. We know city refuses to fully fund it so every officer single or not will have to pay or family coverage will cost the same and the trust doesn’t include any retirees now or in future. That’s the original reason for trust for after retirement. So why should we still be running with this trust ? The city gave over 5 million just for trust???? Just add that to colas and forget trust.

[Unregistered]

No, don't forget the trust. Push forward and take your time to do this right. Short sighted is not the way to look at this. The potential for lower healthcare costs or significantly better coverage and the ability to add in retirees at a later date should out weigh 1 extra % from 3 to 4 %.

For example. That 1% on an MPO would be barely $1000 a year increase. IF we get 4 4 4 it would be a little less then 3k difference a year increase at the end of the contract, but for argument sake we will round up.

$3000 after 20 year multiplier (63%) is $1890 increase in your pension or $157 a month.

If the healthcare trust off sets a minimum $157 a month in healthcare costs for retirees it's a push. Anything more and we come out well ahead.

I haven't even mentioned the money it would save and put back in your pocket if it reduces bi weekly healthcare costs. Saving money is a raise. Even a $50 reduction in healthcare cost translates into $1300 of extra money for the year. (More than the extra 1% you would earn)

Is it a gamble? sure.. could it not work? Of course. But if we don't try and give in we will never have this chance again.

We have nothing to lose and everything to gain as we dont have anything worth a crap for retirees now. We are at the will of the city for healthcare cost and coverage

[Unregistered]

No, don't forget the trust. Push forward and take your time to do this right. Short sighted is not the way to look at this. The potential for lower healthcare costs or significantly better coverage and the ability to add in retirees at a later date should out weigh 1 extra % from 3 to 4 %.

For example. That 1% on an MPO would be barely $1000 a year increase. IF we get 4 4 4 it would be a little less then 3k difference a year increase at the end of the contract, but for argument sake we will round up.

$3000 after 20 year multiplier (63%) is $1890 increase in your pension or $157 a month.

If the healthcare trust off sets a minimum $157 a month in healthcare costs for retirees it's a push. Anything more and we come out well ahead.

I haven't even mentioned the money it would save and put back in your pocket if it reduces bi weekly healthcare costs. Saving money is a raise. Even a $50 reduction in healthcare cost translates into $1300 of extra money for the year. (More than the extra 1% you would earn)

Is it a gamble? sure.. could it not work? Of course. But if we don't try and give in we will never have this chance again.

We have nothing to lose and everything to gain as we dont have anything worth a crap for retirees now. We are at the will of the city for healthcare cost and coverage

This is 100% spot on.

[Unregistered]

No, don't forget the trust. Push forward and take your time to do this right. Short sighted is not the way to look at this. The potential for lower healthcare costs or significantly better coverage and the ability to add in retirees at a later date should out weigh 1 extra % from 3 to 4 %.

For example. That 1% on an MPO would be barely $1000 a year increase. IF we get 4 4 4 it would be a little less then 3k difference a year increase at the end of the contract, but for argument sake we will round up.

$3000 after 20 year multiplier (63%) is $1890 increase in your pension or $157 a month.

If the healthcare trust off sets a minimum $157 a month in healthcare costs for retirees it's a push. Anything more and we come out well ahead.

I haven't even mentioned the money it would save and put back in your pocket if it reduces bi weekly healthcare costs. Saving money is a raise. Even a $50 reduction in healthcare cost translates into $1300 of extra money for the year. (More than the extra 1% you would earn)

Is it a gamble? sure.. could it not work? Of course. But if we don't try and give in we will never have this chance again.

We have nothing to lose and everything to gain as we dont have anything worth a crap for retirees now. We are at the will of the city for healthcare cost and coverage

I understand the point you are trying to make but your math is off. You didn’t account for the cola compound on the 3,000 you miss out on this contract if you still have many years to go. $3,000 now will be worth $4,500 to $6,000 in 15 to 20 years at 3% every year so the monthly loss in your pension will be closer to $250 to $300 if you are early in your career now.

What you are also missing is that you will be making 3% less for the next 15 to 20 years after this contact, let’s just call it the $3,000 a year after this contact. So let’s say after this contract you have 15 or 20 years to go, you lose out on $45,000 worth salary over 15 years or $60,000 over 20 years that if properly invested in the market for a 6 or 7% APY could have been worth around between $70,000 to $115,000.

So if I am a young officer with many years to go, agreeing to loose a few percent this contract will cost me $70,000 to $115,000 over the course of my career plus $215 to $315 a month for the rest my life after.

Some people would rather get their money up front now and save extra money for retirement Health plans than sacrifice basically a couple of hundred thousands dollars over the course of their life on a “gamble” that might not even pay off.

[Unregistered]

No, don't forget the trust. Push forward and take your time to do this right. Short sighted is not the way to look at this. The potential for lower healthcare costs or significantly better coverage and the ability to add in retirees at a later date should out weigh 1 extra % from 3 to 4 %.

For example. That 1% on an MPO would be barely $1000 a year increase. IF we get 4 4 4 it would be a little less then 3k difference a year increase at the end of the contract, but for argument sake we will round up.

$3000 after 20 year multiplier (63%) is $1890 increase in your pension or $157 a month.

If the healthcare trust off sets a minimum $157 a month in healthcare costs for retirees it's a push. Anything more and we come out well ahead.

I haven't even mentioned the money it would save and put back in your pocket if it reduces bi weekly healthcare costs. Saving money is a raise. Even a $50 reduction in healthcare cost translates into $1300 of extra money for the year. (More than the extra 1% you would earn)

Is it a gamble? sure.. could it not work? Of course. But if we don't try and give in we will never have this chance again.

We have nothing to lose and everything to gain as we dont have anything worth a crap for retirees now. We are at the will of the city for healthcare cost and coverage

Very good explanation for those with the simple mindset another 1% COLA will put a dent in their healthcare costs after retirement. The city will NOT budge on the 3-3-3, but they absolutely will increase contributions to trust. ONCE THAT DOOR IS OPEN, IT WILL ONLY GET BETTER with subsequent negotiations throughout your career. This is where the last clowns who represented us, screwed the membership by not getting that door open during the last contract. All of you who haven't been here during a downturn in the economy, have no idea how long it could be to even think of bringing this up again, if you put this off until the next contract. It might be too late in three more years.

Now is the time, the city can afford it and will fund it THIS contract. The last thing they want is for us to go to impasse about the same time they dish out BWCs.