UPDATE: The Dallas Police and Fire Pension Review Board has just voted 6-5 to reject the city of Dallas’s controversial “best and final” pension plan, sparking outrage among first responders. This urgent development comes amid ongoing litigation that could determine the future of the pension system and its ability to secure benefits for retired police officers and firefighters.
The board’s vote, which occurred earlier today, is viewed by many as a desperate move by the city to undermine the ongoing court case in El Paso. Trustee Rob Walters initiated a surprise motion last week that sought to push through the city’s plan, which many board members believe compromises the security of their pensions. “This is not just about numbers; it’s about the livelihoods of our first responders,” said Tina Hernandez Patterson, deputy vice chair of the Pension System.
The Dallas Police and Fire Pension has faced severe underfunding for years, currently at a troubling 32% funding ratio. A state-mandated deadline in late 2024 requires that the pension system submits a plan to achieve 100% funding within 30 years. However, the city’s latest proposal has sparked fears that it will weaken the pension’s long-term viability.
As the legal battle intensifies, the board’s rejection of the city’s plan aims to maintain a previously submitted plan that they believe is lawful and offers a better chance of securing pensions. “We cannot allow the city to gain control over our retirement security,” Patterson emphasized, highlighting the potential consequences for hiring and retaining experienced officers.
On November 12, 2023, oral arguments were heard in El Paso to assess if the lower courts’ decisions were correct in designating the board’s plan as the rightful plan for resolving the ongoing pension crisis. The justices expressed awareness of the urgency surrounding the case, understanding that an impasse could have dire implications for the pension system.
The current discord stems from previous negotiations between the city and the pension board, which began two years ago. The board had unanimously approved a plan in August 2024, only for the city to submit its own proposal, disregarding the board’s wishes. The board then successfully sued the city to adhere to their plan, but the city’s appeal has created a tense standoff.
Patterson and other board members report that the city’s proposal lacks critical elements necessary for the future security of active members and retirees. The city has not shared its “best and final” proposal with active members, leaving them in the dark about their future benefits.
While the board is divided, the overwhelming sentiment among those elected to represent police officers and firefighters is clear: the city’s plan is inadequate and could jeopardize the pension system’s stability. “No prudent person would accept a far lesser plan than what we submitted last November,” Patterson declared, urging the justices in El Paso to continue deliberating on the appeal.
As the board navigates this critical juncture, the implications for Dallas’s first responders are profound. A weakened pension plan could lead to difficulties in hiring and retaining qualified personnel, ultimately impacting public safety. The stakes have never been higher for the Dallas Police and Fire Pension System, and the community is watching closely.
In this developing situation, it is clear that tensions between the city and the pension board will likely escalate unless a mutually agreeable solution is reached. The board’s commitment to protecting the interests of Dallas’s first responders remains unwavering, as they prepare for the next steps in this ongoing struggle.
Stay tuned for updates as this urgent story unfolds.
