Raleigh council debates funding separation allowance for firefighters, weighing raises vs. long‑term liability

City of Raleigh budget staff presented actuarial estimates for a proposed separation allowance for firefighters and several other operating departments, prompting a multihour council discussion about trade‑offs between one‑time salary increases and a long‑term benefit.

Sadia Sitar, Budget and Management Services, told the council the separation allowance is “a temporary benefit payable at retirement till the age of 62” and said the actuarial work showed an unfunded amount and an annual cost to reach full funding. She said the consultant’s data put the total actuarial cost shown on the slide at about $9,726,000 and that roughly 48% — about $4.6 million — would be attributable to Raleigh Fire. Sitar also noted a larger liability figure referenced during the discussion: “you take that, that $32,000,000 and there’s a plan to pay it back over 20 years,” a finance staff…