The Pensions Solutions Team is expected to provide the mayor with recommendations on reducing city pension costs by Feb. 2013.
Most city employees are members of the state pension plan, the Public Employees Retirement Association of Colorado (PERA), though the city has separate pension accounts for firefighters and police officers. Pension costs have risen in recent years, and are expected to continue to grow. Bach has said that he expects costs to exceed revenues in the city in the years to come, and has identified pensions as a major cause of the shift.
“The City's current pension plans are not fiscally sustainable and if not changed will lead to General Fund insolvency," the mayor stated in a press release. "It is essential that the plans be modified for long term sustainability."
The Pensions Solutions Team will be led by CPA Marv Strait. Other members include CPA Kurt Kofford, retired businessman David Sunderland, two City Council members to be announced, City Chief of Staff Laura Neumann, City Chief Financial Officer Kara Skinner, and City Human Resources Director Mike Sullivan.