Council refers proposed retirement-system changes to finance committee after recusals and resident concern
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Summary
Council voted 4–2 to send a proposed amendment to Livonia’s retirement-system qualifications to the Finance and Budget Committee after multiple members recused themselves and residents warned the timing could create breaks in service that affect eligibility.
On Dec. 3 the Livonia City Council agreed to refer a proposed amendment to Title 2 (chapter 2.96, section 160) governing retirement-system qualifications to the Finance and Budget Committee for further review, after questions about potential financial impacts and recusal by several members.
Council Vice President moved to send the measure to the finance committee rather than advancing a second reading. Council President McCullough said he would recuse himself because the amendment could affect his own defined-contribution option; Council member Toye likewise recused for potential personal financial interest. McCullough said he declined earlier retirement benefits and recused ‘‘at the advice from our city attorney and our ethics’’ office.
Speakers in the two-minute public-comment window urged careful consideration of timing and eligibility. Denise Micah warned that moving the item into committee while some members’ terms expire could create a ‘‘break in service’’ that would make them ineligible for benefits. Cindy Fleming said she feared the referral could negatively affect officials whose terms were expiring and urged caution.
Council members supporting the referral said they wanted additional legal and fiscal analysis and to avoid unintended retroactive consequences in the ordinance’s language. Council member Donovic described the committee structure as the appropriate forum for detailed review; council members Shield and Budzinski supported sending the item to the finance committee.
Vote and next steps: The motion to refer the ordinance to the Finance and Budget Committee passed on a roll call vote, 4–2–0. The referral will place detailed drafting and fiscal analysis into committee so that staff, legal counsel and committee members can assess financial impacts, clarify language to avoid retroactive application and address break-in-service concerns before the council considers further readings.
Implementation notes: The council chair and the finance committee were asked to coordinate with the law department and personnel/HR to evaluate the proposal’s financial implications and report back. The committee is expected to hold an open meeting to discuss the ordinance and take public input prior to any second reading.