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Final Approval Expected in Providence Pension Case

Final Approval Expected in Providence Pension Case

PROVIDENCE, R.I. (AP) _ A Superior Court judge is expected to issue her final approval of a negotiated pension settlement between Providence Mayor Angel Taveras and city police and fire unions and municipal retirees.
 
A hearing is scheduled for Friday morning at which Superior Court Judge Sarah Taft-Carter is expected to enter her final consent judgment.
 
Taft-Carter ruled last month that the pension agreement was fair, reasonable and adequate. She said it could be used as a model for other municipalities facing unfunded pension liabilities.
 
The agreement suspends cost-of-living increases for 10 years and caps pensions. It also shifts eligible retirees to Medicare at age 65.
 
The city says the deal will save $18.5 million in the current fiscal year. It reduces the pension liability by $178 million, from more than $900 million.

 

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