Lexington Police and Fire Pensions

Deal Struck To Shore Up Lexington's Police & Fire Pensions

Jan 18, 2013

LEXINGTON, Ky. -- Lexington Mayor Jim Gray says negotiators have reached an agreement to shore up the city's police and fire pension.

City officials said Friday that the plan would immediately cut the city's unfunded liability by about 45 percent. Lexington's police and fire pension currently has a $296 million unfunded liability.

FRANKFORT, Ky. - Lexington Mayor Jim Gray says the city may introduce legislation in the General Assembly to wrest control of its troubled police and fire pension fund away from state lawmakers. 

Lexington is the only city in Kentucky where police and firefighters are not covered by the state pension system.  The onus is on the city to have one and fund it, but control of the plan rests with the legislature.  Mayor Gray says despite annual contributions, the fund is currently 258 million dollars in the hole.