Gov. Beshear Signs Lexington Pension Reform Bill Into Law
LEXINGTON, Ky. - State and local officials are praising the teamwork and compromise that led to a reform plan of Lexington’s police and fire pension system. Years of debate and negotiations culminated in a ceremonial bill signing Friday at Lexington’s city hall for House Bill 430.
The legislation will immediately reduce the city’s unfunded liability of the police and firefighter pension plan by 45 percent and allow Lexington to pay off the remainder over the next 30 years.
“Today is an historic one for the city of Lexington. Our police and fire pension system has been preserved and strengthened for the long term. And that is what our police officers and firefighters who keep our city safe deserve,” says Mayor Jim Gray.
The pension reform includes compromise for all sides involved. Lexington government is increasing its fund contribution to $20 million a year and retirement payments will also be higher for active and future police officers and firefighters.
“Had it not been for the group of men and women of the police and fire departments who overwhelmingly voted on this, we wouldn’t have it,” said Detective Mike Sweeney of the Lexington Fraternal Order of Police.
Seventy-six percent of union members from the police and fire departments supported the plan.