The Dallas City Council approved a plan on Wednesday to fund the Dallas Police & Fire Pension System, a move it made despite opposition from the Dallas Police Association.
The City’s plan to address the pension’s underfunding includes an annual 1% stipend for first responder retirees. An independent actuary told City leaders last year that the Dallas Police & Fire Pension System has $3.5 billion in unfunded liabilities, as previously reported by The Dallas Express.
Jaime Castro, the president of the Dallas Police Association, expressed disappointment and outrage at City leaders during Wednesday’s council meeting.
“I’m disgusted and angry beyond belief to hear what the City pension plan proposal will be,” he said, per KERA News.
“I cannot, in good conscience, advocate for this department if this plan passes,” he continued. “The message will be clear: If you don’t need a raise in 22 years after you retire, in today’s economy, the city of Dallas is for you.”
Castro noted ongoing litigation over the pension plan and asked City staff several times if the lawsuits would delay payments to retirees. City leaders were unable to provide a clear answer.
Dallas Mayor Eric Johnson expressed some urgency at the council meeting regarding funding the pension and praised council members for passing the plan on Wednesday.
“When Dallas makes a commitment, we keep it,” Johnson said in a statement. “We have promised to take care of both our retired and active first responders, and we will keep that promise.”
“Today, we approved a plan to fully fund the Dallas Police & Fire Pension System that honors the men and women who have dedicated themselves to keeping our city safe,” he continued. “Public safety is and will always be my number one priority.”
Council Member Cara Mendelsohn (District 12) was the only member to vote against the passage of the City’s pension plan.
“The key question that was missed is, ‘What are we willing to give up to fund the pension plan quicker and provide some sort of payment to offset inflation for retirees,’” she said at the meeting. “Sadly, by not even asking the question, the plan provides nothing. The plan provides the very least dollars possible for fiscal year 25 and delays the biggest payments to later years when we are long gone.”
Mendelsohn proposed that the council delay a vote on the pension plan by two weeks to continue debating funding. The council voted down her proposal.
“The plan on our agenda, in its most simple terms, can be viewed through the lens of a friend who blows every single paycheck, spending frivolously, and lacks the discipline to save for retirement,” she said at the meeting. “Except in this case, it’s someone else’s retirement, and their future is our city’s future.”