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Relief association proposes higher city contribution or admin-fee support to sustain pension growth
Summary
To support an increased service benefit and expected retirements, the Fire Relief Association proposed the city raise its annual contribution from $15,000 to $25,000 or alternatively cover administrative fees of about $8,000–$10,000 per year; councilors heard the options and indicated further review ahead of formal readings.
At the June 10 special work session, Fire Relief Association representatives presented two options for the town to support the pension fund if benefits rise: increase the city's annual contribution from $15,000 to $25,000, or pay roughly $8,000'$10,000 per year in administrative fees to improve net asset growth.
Association materials explained that a larger direct contribution would help cover the cost of an expected one retirement per year while letting investment earnings sustain benefit levels. The administrative-fee option would reduce net fees paid from the plan and thereby support asset growth without increasing direct contributions.
Council members and staff discussed public perception concerns if contributions increased while retirements did not occur immediately, and said they would analyze both the fiscal impact on the town budget and the longer-term actuarial implications before bringing a formal proposal to the council for readings and votes.
No motion or vote was taken on June 10; councilors requested more details and formal options for consideration in upcoming meetings.
