1. Overview city of Jacksonville pensions

2. Laws Governing Jacksonville Pensions
State Laws
Chapter 112, Part VII – Actuarial Soundness of Retirement Systems
Chapter 175 – Firefighter Pensions
Chapter 185 – Municipal Police Pensions
Chapter (9) – Pension Liability Surtax
Local Laws
Article 16 – Retirement and Pension Benefits
Article 19 – Employee Relations
Article 22 – Jacksonville Police and Fire Pension Board of Trustees
Chapter 120 – General Employees and Corrections Officers Retirement Plans
Chapter 121 – Police and Firefighters Pension Plan
City Council Rules
Chapter 4, Part 12 – Collective Bargaining

3. COJ Pension Funds General Employees Pension Fund (1937)
Correctional Officers Pension Fund (created within the GEPF & administered separately by the BOT)
Police and Fire Pension Fund (1937)

4. Unions City JEA JHA Police and Fire ASFCME CWA JSA LIUNA
FOP – Corrections, Judicial Officers and Bailiffs
JEA
IBEW
PEA
JHA
Police and Fire
FOP – Police Officers through Sergeants / Lieutenants through Captains
IAFF – Firefighters through Captains / District Chiefs

5. Role of City Council During Collective Bargaining: During Impasse
Acts as a legislative body
Consults with executive team in executive session
Approves or rejects agreements negotiated between the Mayor and the Unions
During Impasse
Acts as a quasi judicial body
Determines the outcome of the dispute between the Mayor and the Unions

6. Pension Legislation Timeline
Historical Information Regarding the city of Jacksonville's pension plans

7. Original Agreement (1992) Original Agreement Enacted: August 1992
Mayor Austin
Ordinance:
1st Amendment
Enacted: June 1993
Ordinance:
2nd Amendment
Enacted: April 1996
Mayor Delaney
Ordinance:
3rd Amendment
Enacted: August 1998
Ordinance: E

8. Original Agreement (1992)
Original 1992 Agreement resolved litigation between the PFPF Board and the City relating to the City’s contribution rates and management of pension funds.
Commences the PFPF Board’s involvement in negotiating pension benefits.
The 1992 Agreement and its Amendments established the base benefits from which the benefits in the future agreements were based.

9. Restated Agreement (2001) Restated Agreement Enacted: February 2001
Mayor Delaney
Ordinance: E
1st Amendment
Enacted: April 2003
Ordinance: E
2nd Amendment
Enacted: March 2004
Mayor Peyton
Ordinance: E
3rd Amendment
Enacted: May 2006
Ordinance: E

10. Restated Agreement (2001)
The Restated Agreement and the Amendments thereto were negotiated between the City and the PFPF Board.
This 2001 agreement and its amendments were often referred to as the “30 year agreement.”
After approximately 5 years, attempts were made to renegotiate the terms.

11. Lawsuits
The so-called “30 year agreement” the amendments thereto and a 2013 mediated settlement proposal were the subject of several lawsuits and all thrown out:
Randall Wyse et al. v. City of Jacksonville
Alleged violation of the terms of the Restated Agreement when attempts were made to renegotiate pension benefits (Complaint filed 2/4/2013)
Frank Denton v. Mayor Brown, et al.
Alleged the mediation in the Wyse case violated the sunshine law (Complaint filed 6/6/2013)
Resulted in the appellate court affirming that the PFPF Board was collectively bargaining for the Unions and the original settlement in Wyse was void ab initio (i.e., to be treated as invalid from the outset) (Hon. W. Wallace SJ Order – ; 1st DCA aff – 10/21/2014)
Florida Supreme Court declined jurisdiction and denied a petition for review (Fl Sup Ct – 2/24/ 2016)
Curtis Lee et al. v. City of Jacksonville, et al.
Alleged the Restated Agreement and Amendments thereto were illegal (Complaint filed 6/3/2011)
Court declared Restated Agreement void ab initio as well (Hon. T. Beverly SJ Order – 3/24/2015)
Appellate court affirms in per curiam order (i.e., ruling issued by multiple judges acting collectively and unanimously) (1st DCA aff – 4/6/2016)

12. Mayor Peyton’s Pension Reform Proposals
Ordinance:
Amending Chapter 120
General Employee’s Pension Plan
Enacted contingent on
Ordinance:
Amending Chapter 121
Police and Fire Pension Plan
Withdrawn by Mayor Brown
Neither Ordinance went into effect after Mayor Brown took office.

13. Pension Reform Task Force
Mayor Brown created a Pension Reform Task Force which met to discuss and, ultimately, propose recommendations regarding pension reform.
A comprehensive report was issued on March 19, The recommendations were considered in further reform efforts.
Mayor Brown initiated negotiations regarding pension benefits which led to the Wyse litigation being filed.

14. Mayor Brown’s Pension Reform Proposals
Sought approval of mediated settlement agreement in Wyse litigation.
Denied by Council July 23, 2013.
Ultimately, agreement upon which it was based was found void as a result of Denton litigation.
Sought approval of the 2014 Retirement Reform Agreement negotiated in public meetings with the City and the Board.
Approved by Council (substituted and amended, December 9, 2014).
PFPF Board approves with counter-proposal amendments; Thus Ordinance becomes null and void.
Counter-proposal from PFPF Board drafted into a new ordinance for Council consideration.
Denied by Council March 25, 2015.

15. 2015 Retirement Reform Agreement
Council Member Gulliford introduces Ordinance on April 28, 2015.
Council’s counter-proposal back to the Board.
Approved by Council on June 9, 2015.
Subsequently adopted by the PFPF Board.
Current terms of Police and Fire Pension benefits.

16. Mayor Brown’s Proposed Funding Sources
Ordinance:
Interlocal Agreement with JEA paying the City $120,000,000
Withdrawn July 28, 2015
Ordinance:
Interlocal Agreement with JEA authorizing a Bond Agreement
No permanent funding source was secured for the
2015 Retirement Reform Agreement.

17. Mayor Curry’s Pension Funding Solution
Laws of Florida Chapter House Bill No. 1297
Signed by Governor: 3/25/2016
Authorizes pension liability surtax
Ordinance: E
Enacted: 5/10/2016
Establishment of surtax and placement on the ballot
2016 Primary Election
August 30, 2016
Referendum on Pension Liability Surtax is passed by voters
65.11% Yes, 34.89% No

18. Defined Benefit Plan Closure & Funding Source
2017 Retirement Reform
Defined Benefit Plan Closure & Funding Source
Implementation of the pension liability surtax requires several steps to become effective, primarily accomplished through traditional collective bargaining.
Collective bargaining commences with Unions entering into Tentative Agreements with the City to close defined benefit plans.
Legislation enacting the agreements anticipated to be filed March 2017.
Requirements to implement PLS include: • underfunded plan is below 80% of actuarial funding, • closing of underfunded plan, • 10% employee contribution min for underfunded plan, • BOT for the plan is prohibited from participating in the collective bargaining process and engaging in the determination of pension benefits, • Subject county currently levies an infrastructure surtax scheduled to terminate and pension surtax takes effect upon termination of infrastructure surtax.