LTC 364-2009 Budget Advisory Committee Motion;.
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m MIAMIBEACH
OFFICE OF THE CITY MANAGER
NO. LTC # 364-2009
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LE~~R TQ C,Q~~~SION
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TO: Mayor Matti Herrera Bower and Members of the City Commission
FROM: Jorge M. Gonzalez, City Manager
DATE: December 31, 2009
SUBJECT: Budget Advisory Committee Motion
The Citizens Budget Advisory Committee would like you to be aware of the attached motion
regarding City Pension Plans, which was adopted and approved at their November 24, 2009
committee meeting.
C: ~ Kathie Brooks, OBPI Director
Ramiro Inguanzo, HR Director
City of Miami Beach
Budget Advisory Committee
Meeting of: November 24, 2009
Members Present: Marc Gidney, Jack Benveniste, John Gardiner, Antonio Hernandez,
Stephen Hertz, Dushan Koller, Tony Rodriguez and Regina Suarez
Motion Made By: John Gardiner
Motion Second By: Tony Rodriguez
Motion Text: The Citizens Budget Advisory Committee (BAC) made a motion at their
meeting of Tuesday, November 24, 2009.
After reviewing the pension reform proposals and discussing them with the City's actuary,
Actuarial Concepts, the BAC unanimously approved the following resolution:
The current pension plan cost control proposals contain cost reductions and is an
improvement for the City of Miami Beach, but it does not limit the City's unquantifiable
exposure and risk.
A "hybrid" plan with elements of both a "defined contribution plan" and a "defined benefits
plan" would have the effect of sharing risks with employees and quantifying/limiting exposure
to the City.
Resolved, that the BAC advises the Miami Beach City Commission to request Actuarial
Concepts to study and recommend a "hybrid" plan for the Commission to consider and to
include in the pension plan reform proposals that are being negotiated with the employee
unions.
Motion Passage: Unanimous