In the late evening hours of Thursday, May 1, 2014, an emergency meeting of the leadership of the DPOA, including the four elected officers, the executive board, and the grievance committee, was called. The purpose of this meeting was to decide to accept or decline the citys offer in regards to pension, wages, and healthcare which is to be part of the citys Plan of Adjustment. The city proposed the requirement of 25 years of service AND 50 years of age for full retirement with a five year transition period. The ability to take a vested pension would continue to be ten years. The ability to receive benefits from a vested pension would be at age 55. The city was offering a wage package of a 12.5% increase over the next five years ( 5% July 14,0% 2015, 2.5% 2016, 2.5% 2017,2.5% 2018). In addition, they offered a 3% bonus paid in two installments of 2% and 1% in 2015 which amounts to a one-year longevity. If you combine this wage package with the other terms of the proposal, which includes a 6% member payment into the new pension plan beginning in July 2014 along with the 10% pay cut we have already suffered, it would leave the membership making 3.5% less in 2018 than we made in 2012. The city was offering the current healthcare plan for active employees with COPS Trust added. There would be no healthcare for those who retire over the next five years. The city, as stated above, wanted the employee contribution into the new pension plan to be 6% which is 1% more than we currently pay into our annuity. We currently do not pay into the pension itself. The ability to voluntarily pay into the annuity would be allowed with a maximum of 10% payable by the member. There was also a waterfall plan in the proposal to recover under-funding in the new pension plan which had multiple steps including the elimination of the 1% COLA and increase of member payments of up to 10% (from the original 6%) before any payment by the city to correct the under-funding. After careful consideration of the above and taking into consideration the additional requirement to forfeit our appellate rights and the rights to all pending litigation such as the constitutional protection of our accrued pension benefits and our entitlement to the 5% restoration we were to receive in January 2014, the leadership of the DPOA voted UNANIMOUSLY to decline the citys offer. The leadership submitted one last proposal to the city which they respectfully rejected. The membership of the DPOA have suffered greater losses for a greater time than any other union in the city and we are resolved that we will not agree to allow the city to continue to disrespect our membership by proposing more cuts when we have already given more than we have to give. On Friday, I was called into the office of the head mediator, Judge Rosen, where I reiterated clearly and emphatically that the DPOA would not accept any offer from the city that continued to cut the pay and benefits of our membership. I expressed that the city needed to find the money necessary or cram down. The city has received an extension until Monday, May 5,2014, to present their final Plan of Adjustment which could possibly result in another proposal for the Association. The leadership of the DPOA stands united and with great resolve to represent the membership with the integrity and honor it deserves and will not accept any offer that is not in the best interest of the membership. The membership should prepare itself for the cram down of the Plan of Adjustment. Thank you for your patience and understanding during this long and unprecedented process. Mark Diaz President-D.P.O.A.
Posted on: Tue, 06 May 2014 00:54:33 +0000