UPDATE: The Dallas Police and Fire Pension Review Board has just voted 6-5 against the City of Dallas’s so-called “best and final” pension plan, igniting a fierce controversy that threatens the financial security of retired first responders. Board members appointed by police officers and firefighters claim the city is trying to impose an unfair agreement while ongoing litigation looms over the pension fund.
The meeting took place as November 12, 2023 oral arguments were heard in El Paso regarding the pension fund’s legal battle with the city. This litigation is pivotal in determining if the plan already submitted to the state should dictate how the pension operates. Trustee Rob Walters initiated a surprise motion last week that many believe undermines the board’s authority, attempting to force a deal that could jeopardize the pensions of those who have dedicated their lives to public service.
The Dallas Police and Fire Pension System has been critically underfunded for years, currently sitting at only 32% funding ratio, a significant drop from 45% in 2018. The city has failed to make necessary contributions since 2017, despite warnings from the board that inaction would lead to severe financial consequences.
The board’s decision to reject the city’s proposal underscores a major divide. “No prudent person would accept a far lesser plan than the one that was submitted last November,” stated a board member, emphasizing that key elements crucial for members’ security are missing from the city’s offer.
The city’s response to the board’s rejection is troubling. By pushing through a vote with newly appointed trustees, the city aims to create the illusion of compliance to the courts, falsely suggesting that all parties are in agreement. This tactic has not gone unnoticed, with board members asserting that they will not allow the city to gain control over their retirement security.
The urgency of this situation cannot be overstated. As the deadline for a state-approved plan approaches in late 2024, the board must finalize a suitable agreement. However, the current impasse means that there is still no enforceable plan, leaving active members and retirees in a precarious position.
The ongoing conflict highlights the emotional toll this has taken on those who served the city. Active members have reported feeling outraged and sidelined, as they have not been privy to the city’s “best and final” proposal. “Active members have been funding the lion’s share of the pension since 2017, yet they have no idea what the ‘best and final’ will provide,” an anonymous source revealed, expressing the frustration felt by many.
As the board prepares for further legal battles, the justices in El Paso are urged to deliberate carefully. The outcome could have lasting implications not just for the pension fund, but for the future of public safety recruitment in Dallas. Without a satisfactory agreement, experienced officers may seek employment in other cities, exacerbating an already critical staffing crisis.
Next steps: The board will continue to advocate for the pension plan that it believes is lawful and beneficial for all members. With tensions running high, the public is left watching closely as the situation develops. This is more than just a financial issue; it is a fight for the dignity and rights of those who protect and serve the Dallas community.
Stay tuned for updates as this story unfolds. The stakes are high, and the time for action is NOW.
