Politics & Government

City Approves New Retirement Benefits for Police

New hires to the Belmont police department will receive a new level of retirement benefits.

Belmont police officers and associated safety personnel hired after Jan. 2, 2012, will now receive a new level of retirement benefits.

In a unanimous vote on Tuesday, the Belmont City Council agreed to amend the contract with the state’s Public Employees Retirement System (CalPERS) to establish a second tier of retirement benefits—3 percent at age 55.

During recent labor negotiations between the city and the Belmont Police Officers Association (BPOA), and agreement was made to provide a different level of CalPERS retirement benefits to new hires. 

Find out what's happening in Belmontwith free, real-time updates from Patch.

This new rate is based on the highest three-year average final compensation package.

A CalPERS analysis of the change in employer rates associated with this new plan shows that the city will see a cost savings. The employer contribution rate will drop from its current 35.093 percent of payroll to 20.308 percent of payroll (under the new Tier 2 plan).

Find out what's happening in Belmontwith free, real-time updates from Patch.

“Pensions should be different than what they are right now,” said Mayor Coralin Feierbach. “They are currently too high.”

Current and future police hired before Jan. 2, 2012 will receive the current 3 percent at 50, benefits package.

 


Get more local news delivered straight to your inbox. Sign up for free Patch newsletters and alerts.

We’ve removed the ability to reply as we work to make improvements. Learn more here