Stories indexed with the term ‘city retirement benefits’

Transit Withdrawal Before Council Transition

Ann Arbor city council meeting (Nov. 8, 2012): The post-election meeting of the council – moved from its usual Monday slot to Thursday – featured one high-profile piece of business watched by many throughout the county. That was a vote on withdrawal by the city of Ann Arbor from a new transit authority – called The Washtenaw Ride – which was incorporated on Oct. 3, 2012. The vote to opt out was 10-0. Sandi Smith (Ward 1) was absent.

Margie Teall

Margie Teall (Ward 4) raises her hand asking to be recognized so she can speak at the Ann Arbor city council’s Nov. 8 meeting. (Photos by the writer.)

Smith had said her farewell from the council at the previous meeting, on Oct. 15. She had decided not to seek re-election to her seat. At the Nov. 8 meeting, two other councilmembers attended their final meeting – Carsten Hohnke (Ward 5) who, like Smith, did not seek re-election, and Tony Derezinski (Ward 2) who did not prevail in his August Democratic primary. New councilmembers – Sumi Kailasapathy (Ward 1), Sally Petersen (Ward 2) and Chuck Warpehoski (Ward 5) – will be ceremonially sworn in at the start of the council’s next meeting on Nov. 19.

A transitional theme emerged, as discussion of some agenda items straddled the Nov. 8 and Nov. 19 meetings – including the transit authority opt-out vote. Stephen Kunselman (Ward 3) had been planning to bring a similar item forward on Nov. 19, when he felt he’d have a six-vote majority on the question. But that move was preempted by the Nov. 8 item, which included the sponsorship of Sabra Briere (Ward 1), Christopher Taylor (Ward 3) and mayor John Hieftje – who had previously been key figures in supporting the city’s role in the planned authority.

Discussion of a living wage waiver for the nonprofit Community Action Network (CAN) also included mention of the Nov. 19 meeting. That’s when a proposal will be brought forward that would change the living wage ordinance itself. The preference of Hieftje and Hohnke to wait and consider the ordinance revision for all nonprofits – instead of granting a waiver to CAN – was strong enough that they voted against the waiver. But the eight votes it received were enough to ensure that for the next three years, CAN does not need to abide by the living wage ordinance – which would otherwise require it to pay all its workers $13.57/hour.

A resolution that transferred $90,000 from the general fund reserve to the affordable housing trust fund was part of the transitional theme – because it had Sandi Smith’s name attached as a sponsor, even though she could not attend the meeting. The dollar amount was keyed to the price of a strip of land belonging to the former YMCA lot, which the Ann Arbor Transportation Authority recently purchased from the city. The transfer of funds was made in the spirit, if not the letter, of a policy enacted by the council at Smith’s urging at her final council meeting. That policy called for net proceeds of the sale of the Y lot to be deposited in the affordable housing trust fund.

The council’s agenda for Nov. 19 was partially previewed when both Briere and Jane Lumm (Ward 2) announced they’d be bringing forward proposals to revise the city’s Percent for Art ordinance – in the wake of a failed public art millage proposal at the polls on Nov. 6. Briere’s proposal would alter the definition of projects that qualify, while Lumm’s would eliminate the program. The Percent for Art ordinance requires that 1% of the budgets for all capital projects be set aside for public art.

And although he’ll be leaving the council, Derezinski will serve out the remainder of Evan Pratt’s term on the city planning commission. Pratt is leaving that role after being elected Washtenaw County water resources commissioner. At the Nov. 8 meeting, council confirmed Derezinski’s planning commission nomination, which had come at the council’s previous meeting. The council also decided to expand a task force on planning for the North Main corridor to make room for outgoing councilmember Sandi Smith, and appointed her to that group as a citizen member. She’s been serving as the council’s representative.

In other business, a resolution that would have moved toward converting the city’s retirement system to a defined contribution plan – instead of a defined benefit plan – was withdrawn. The council also approved increasing the staffing level of the fire department from 85 to 86 firefighters. And the city’s sign board of appeals (SBA) was dissolved by the council, with responsibilities transferred to the zoning board of appeals (ZBA). The council also voted to give city attorney Stephen Postema a 2.4% raise, his first in five years. [Full Story]

No Switch to Defined Contribution Retirement

The Ann Arbor city council wound up not considering a resolution that would have directed the city administrator to develop a defined contribution retirement plan to offer non-union employees hired after July 1, 2013. The city currently has a defined benefit plan.

The sponsor of the resolution, Jane Lumm (Ward 2), withdrew the resolution, saying that the city administrator and the city attorney had identified some concerns with the resolution. Possibly related to the resolution was a closed session held at the beginning of the council’s meeting, to discuss labor negotiation strategy.

Although the withdrawn resolution indicated specific action for non-union employees, it also included a goal to implement a similar change for union employees – which would have to be collectively bargained. The … [Full Story]

Fire, Police Retirement/Health Changes OK’d

At its April 16, 2012 meeting, the Ann Arbor city council gave approval to changes to the employee retirement system to accommodate recent changes to the collective bargaining agreement with its police command officers union and firefighters union. The council also gave final approval to changes to the retirement health care benefits to reflect changes to those collectively bargained agreements.

Changes to the retirement system include: (1) increasing the pension contribution of command officer members to 6% from 5%; (2) implementing a pick-up feature as permitted by the Internal Revenue Code for the pension contributions of firefighters and command officers, converting their 6% pre-tax contribution to a 6% post-tax contribution; (3) increasing the vesting and final average compensation requirements for firefighters hired … [Full Story]

Beyond Pot: Streets, Utilities, Design

Ann Arbor city council meeting (June 6, 2011, Part 1): While the largest chunk of time at the city council’s Monday meeting was devoted to consideration of ordinances regulating medical marijuana, the agenda was dense with other significant material.

Tom Crawford John Hieftje

Mayor John Hieftje (standing) and interim city administrator Tom Crawford before the start of the city council's June 6 meeting.

For road users who head to the polls on Nov. 8, possibly the most important issue on the agenda was a brief presentation from the city’s project management manager, Homayoon Pirooz, on the city’s street repair tax, which would reach the end of its current five-year life this year, if not renewed by voters. The city council will convene a working session on June 13 to look at the issue in more detail.

Also related to infrastructure was the council’s initial action on setting rates for utilities (water, sewer, stormwater), voting unanimously to send the rate increases on to a second and final vote with a public hearing. The rate increases range from 3-4% more than customers are currently paying. All new and amended city ordinances require two votes by the council at separate meetings.

The council also approved an $800,000 agreement with the Michigan Dept. of Transportation for the initial, right-of-way portion of the East Stadium bridges replacement project. Construction on that public project is due to start later this fall.

For another public project, the council voted to add a previously budgeted $1.09 million to the construction manager contract for the new municipal center at Fifth and Huron.

In an action designed eventually to reduce employee benefits costs, the council passed a resolution – brought forward by its budget committee – that directs the city administrator to craft an ordinance revision that would alter the way non-union employee benefits are structured. What’s planned is a change from three to five years for the final average compensation (FAC) calculation, and a change from five to 10 years for vesting. In addition, retirees would receive an access-only health care benefit.

The city’s newest non-union employee is Chuck Hubbard, whose appointment as the new fire chief was approved by the city council on Monday night. Hubbard was previously assistant chief, which, unlike the chief’s job, is a union position. Hubbard has 25 years of fire protection experience, all of it in Ann Arbor.

Expected to begin construction this year – in late summer – is a private development on the First and Washington lot currently owned by the city. On that lot, Village Green is planning to build a 9-story, 99-foot-tall building featuring 156 dwelling units and a 244-space parking deck on the first two stories. After much discussion, the council approved a $100,000 reduction in the purchase price – from $3.3 million to $3.2 million – that Village Green will pay for the First and Washington parcel. The price break came in the context of water management and a decision to use a full “bathtub”-type design for the foundation. The unanimous vote came after two councilmembers had already left the meeting (which pushed nearly to midnight), but it seemed at one point to hang in the balance, with two of the remaining nine councilmembers expressing reservations. Because the resolution involved land purchase, it needed eight votes to pass.

Village Green’s project, a planned unit development (PUD) approved over two years ago, was not required to undergo the mandatory process of design review that is now part of the city’s code. The council gave final approval to that design review process on Monday night. The new ordinance sets up a seven-member design review board (DRB) to provide developers with feedback on their projects’ conformance to the design guidelines. While the DRB process is required, conformance with the recommendations of that body is voluntary.

Also receiving approval at first reading was a revision to the landscaping ordinance. Fuller Road Station also drew comment from the public and the council.

Final action on medical marijuana zoning and licensing is not expected until the council’s June 20 meeting. Council deliberations on medical marijuana will be covered in Part 2 of The Chronicle’s meeting report. [Full Story]

Budget, Bridge, Ball Fields, Booze, Bugs

a plastic owl sitting on a porch bannister

A five-year-old child who's been exposed to the Leslie Science and Nature Center will be able to identify the type of bird, and explain its sleeping habits – though perhaps not recognize that this one is made of plastic.

Ann Arbor City Council Meeting, Part I (May 4, 2009): Despite assurances from Mayor John Hieftje that he’d be surprised if Mack pool and Leslie Science Center weren’t funded, city council heard from several advocates of those facilities Monday night, along with supporters of Project Grow and the senior center.

Audible through the expressions of support for programs facing cuts was also a call for the council to focus attention on bigger ticket items. One of those bigger ticket items was a mediator-mandated agreement with the Ann Arbor Police Officers Association union, which council was constrained by state law to approve – an agreement that will cost the city about $650,000 more than it had anticipated. Another was approval of the early retirement option for police officers as a part of the employees retirement system, which the city is offering instead of mandatory layoffs.

Still another big ticket item surfaced in the form of the approval of an application for funding of the East Stadium bridge reconstruction – though it’s likely to be paid by federal tax dollars. The bridge fit into the general theme of transportation at the meeting, which showed up in the form of an agenda item authorizing a study for a north-south intra-city connector (which was postponed), as well as a lengthy discussion on the Ann Arbor transportation plan update, which was ultimately adopted, despite some sentiment for postponing it. [These items are reported in detail in Part II of our meeting coverage here.]

In other business, council approved two agreements with the public schools for operation of recreation facilities, gave initial approval to a revamped liquor licensing code for the city, and approved an amendment to the partnership agreement between the city and the Leslie Science and Nature Center. [This last accounts for the last word in the headline.] [Full Story]