Police pension board tells Texarkana council it will seek consolidation with Lotfi retirement system

Ernest Haid, a member of the Police Pension and Review Board, told the Texarkana board during citizen communication that the PPRF (the “old plan”) will be the subject of a proposed consolidation with the Lotfi Retirement System at the board’s July 21 meeting. "An actuarial valuation was conducted and the results indicate that a 15 year amortization schedule will result in a cost of $52,272 per month with a local plan COLA of 3%," Haid said.

Haid said the PPRF board unanimously recommended the consolidation. He told the board the closed plan has no new contributing members, the remaining liabilities decline as members pass away, and those rollbacks make consolidation feasible now where it had been previously cost-prohibitive. He said the consolidation would dissolve the Police Pension and Review Board, reduce city reporting and audit burdens, and that additional packet materials — including a requested emergency clause — will appear in the July 21 meeting packet.

A city staff member told the board staff will distribute additional information well before the July meeting so members have time to review and raise questions. Haid said documents and member files must be completed by Oct. 31 for consolidation under the Lotfi system to proceed.

Board members asked procedural questions about timing and packet availability; staff said they will provide the materials earlier than the Friday before the meeting and will follow up with board members who raised specific questions. Haid said current retirees are already on the Lotfi system and that previous consolidation for the fire department included a 3% COLA aligned to Lotfi members' benefits.

The item was presented as a citizen communication and will appear as a formal agenda item for the board’s July 21 meeting. No formal motion or vote on the consolidation occurred at the session.