Legislation to fix the City’s pension system by increasing the City’s annual contribution, adding independent experts and requiring website reporting to promote transparency.
Sponsors: Councilmember Oh
Councilmember Oh
Referred to the
Committee on Law and Government
RESOLUTION
Proposing an amendment to the Philadelphia Home Rule Charter so that there shall be
imposed upon the City of Philadelphia’s Pension and Retirement Systems financial
discipline by amending “Section 3-803” of “ARTICLE III – EXECUTIVE AND
ADMINISTRATIVE BRANCH – ORGANIZATION,” “CHAPTER 8 –
INDEPENDENT BOARDS AND COMMISSIONS,” to re-balance the membership of
the Board of Pensions and Retirement by adding independent experts; and by adding a
new “Section 6-602” to “ARTICLE VI – EXECUTIVE AND ADMINISTRATIVE
BRANCH – POWERS AND DUTIES – Director of Finance, Financial Departments,
Boards and Commissions, City Treasurer, Procurement Department, and Board of
Pensions and Retirement,” “CHAPTER 6 – BOARD OF PENSIONS AND
RETIREMENT,” to require that the City contribution for each of the Pension and
Retirement Systems of the City shall be no less than the Annual Required Contribution as
defined by the Governmental Accounting Standards Board, limit assumed investment rate
of return, and promote transparency by requiring website reporting of Systems
performance and other important information; and providing for the submission of the
amendment to the electors of Philadelphia.
WHEREAS, The pension and retirement systems of the City are becoming increasingly
expensive, crowding out program funding, and are not financially sustainable; and
WHEREAS, Financial discipline is required to address the problems of the pension and
retirement systems of the City; and
WHEREAS, Under Section 6 of the First Class City Home Rule Act (53 P.S. §13106), an
amendment to the Philadelphia Home Rule Charter may be proposed by a resolution of
the Council of the City of Philadelphia adopted with the concurrence of two-thirds of its
elected members; now, therefore