CINCINNATI — A new Ohio House bill would require cities, towns and villages to contribute more money to police pensions. While the Ohio Police and Fire Pension Fund sees it as a necessary solution for future funding, the Ohio Municipal League argues that not all cities can afford the increase.
At just 26 years old, former Columbus police officer Mike Weinman was forced into retirement after a shooting left him paralyzed in 1998.
"I wanted to go where the action was. The pension is one of the most important things for us — being able to collect a retirement pension. You really can't achieve that with a 401k," Weinman said.
His retirement comes from the Ohio Police and Fire Pension Fund, which currently has 27,000 active members and over 30,000 retirees collecting benefits. Fund leaders are concerned about its sustainability.
House Bill 280 takes action by requiring increased contributions from cities, towns and villages to the pension fund. Currently, police officers contribute 12.25% of their salaries, up from 10% 13 years ago, while employers contribute 19.5%, a rate unchanged since 1986. HB 280 would increase employer contributions to 24%. The bill also grants the board of trustees the authority to set contribution rates based on actuarial evaluations.
Learn more about why some think the bill will do more harm than good in the video below:
We reached out to the bill's author, Rep. Cindy Abrams (R-Harrison), who declined an on-camera interview but provided a statement to WCPO 9:
"This isn't a new concept this general assembly. Good government is proactive, not reactive. We must protect the pensions of our first responders. Without our first responders, nothing else matters."
A spokesperson for the Ohio Police and Fire Pension Fund released a statement from executive director Mary Beth Foley, saying:
“We are very appreciative of Representative Abrams and Hall and are supportive of House Bill 280, especially the actuarial determined employer contribution method proposed in the bill. This funding method has been favorably commented upon by Americans for Prosperity as well as the Reason Foundation. We have found the current General Assembly willing to listen to ideas to ensuring the sustainability of the pension fund for Ohio’s public safety officers. Our house bill passed in December of last year with the vote of 66-25 and a companion bill had been introduced in the Senate. The pension is a promise for labor already performed and service already given. We are confident the General Assembly will support Ohio’s municipal public safety officers.”
Kent Scarrett, executive director of the Ohio Municipal League, expressed concerns to us.
"This would be the largest unfunded mandate in the history of the legislature coming down on our local governments," he said. "There’s a breaking point."
Scarrett estimates that if HB 280 becomes law, it would cost cities, villages and towns across the state an additional $80 million a year.
"If you do this, we will not be able to continue to support the services at the same level that we do now, that our residents and businesses expect, and we see cuts," Scarrett said.
This comes at a time when the Cincinnati City Council is preparing the city's budget for the next year, addressing a $10.2 million deficit. We reached out to the city regarding their stance on HB 280 and its financial impact, but we are still awaiting a response.
We asked Scarrett about what he would recommend as a solution to fund the state's police and fire pension.
"It shouldn't just be all on the employer, maybe looking at not going to 24% of the increase and having the legislature make up the difference on that, looking at an employee higher contribution rates," said Scarrett. "Having the legislature make up that difference in the revenues financially, they can do it if they had the political will to do that."