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Municipal Revenue & Taxation <br />reduce the need for additional contribution increases, including a modification of PERA <br />eligibility guidelines to account for temporary, seasonal and part-time employment <br />situations, the use of pro-rated service credit and a comprehensive review of exclusions to <br />simplify eligibility guidelines. Further employer contribution rate increases should be avoided <br />untilothercostalignmentmechanismsareconsidered. <br />MetroCitiessupportscitiesand firereliefassociationsworkingtogethertodeterminethe <br />best application of State Fire Aid. Flexibility in the application of State Fire Aid, where <br />combination departments exist, will ensure that fire services can be provided in the most cost- <br />effective means possible. <br />Regarding police pension contributions, Metro Cities supports a proactive review of factors <br />contributing to the financial status of police and fire pension plans, to ensure that <br />structural adjustments are considered in conjunction with potential increases in employee <br />and employer contribution rates. Specifically, an area that could be considered is contractual <br />overtime impacts onpensionlevels. <br />Metro Citiessupportsremovingthesunsetofthe PERAaidthatispaid tolocalunitsof <br />governmenttohelpaddressincreasedemployercontributioncosts. <br />1-RStateProgramRevenueSources <br />Metro Citiesopposesany attemptbythestateto financeprogramsofstatewidevalueand <br />significance, that are traditionally funded with state revenues, with local revenue sources <br />such as municipal utilities or property tax mechanisms. Statewide programs serve <br />important state goals and objectives and should be financed through traditional state <br />revenue sources suchas theincome orsalestax. <br />Metro Cities further opposes substituting traditionally state funded programs with funding <br />mechanismsthatwoulddisparatelyaffecttaxpayers inthemetropolitanarea. <br />1-SPost-EmploymentBenefits <br />MetroCitiessupportedstatutorychangesthat allowlocalgovernmentstoestablishtrusts <br />from which to fund post-employment health and life insurance benefits for public <br />employees, with participation by cities on a strictly voluntary basis, in recognitionthat <br />cities have differing local needs and circumstances. Cities should also retain the ability to <br />determine the levelofpost-employmentbenefitstobe providedtoemployees. <br />1-THealthCareInsurancePrograms <br />Metro Cities supports legislative efforts to control health insurance costs but opposes <br />actions that undermine local flexibility to manage rising insurance costs. Metro Cities <br />encouragesa full examinationoftherising costsofhealth care andthe impactson cityemployers <br />and employees. Metro Cities also supports a study of the fiscal impacts to both cities and <br />retireesofpoolingretirees separatelyfromactiveemployees. <br />2022 Legislative Policies <br />8 <br /> <br />