Dallas Pension Crisis Deepens as Board Rejects City’s Proposal

UPDATE: The Dallas Police and Fire Pension Review Board has just voted 6-5 to reject the city of Dallas’s controversial pension proposal, heightening tensions over the future of benefits for first responders. This urgent decision reflects deep dissatisfaction among board members representing police officers and firefighters, who believe the city is attempting to undermine their interests.

On November 12, 2024, oral arguments were held in El Paso regarding the legitimacy of the city’s plan amid ongoing litigation that could redefine the future of the pension fund. Many board members argue that the city’s proposal poses a significant risk to the financial security of retired and active first responders.

The backdrop to this conflict is alarming: the Dallas Police and Fire Pension System is currently operating at just 32% funding, a stark decline from approximately 45% in 2018. As the deadline for a state-approved plan looms in late 2024, the stakes for Dallas first responders could not be higher.

Trustee Rob Walters’s surprise motion to push through the city’s “best and final” proposal is seen as a strategic move to sidestep the legal battle and present a semblance of cooperation. However, board members representing first responders claim this deal is not only inadequate but also a diversion from a more comprehensive plan previously approved by their board.

“We believe the plan we submitted to the state’s Pension Review Board is the law. Police and Fire Pension System representatives will not stand by and allow the city to gain complete control over both wages and their retirement security,” said Tina Hernandez Patterson, deputy vice chair of the Dallas Police and Fire Pension System.

Frustration is mounting as the city has had seven years to address funding issues but has failed to make meaningful contributions. The board, which has negotiated in good faith, contends that the city’s actions are delaying necessary progress and jeopardizing the future of the fund.

Members of the Dallas Police and Fire community are outraged, feeling their voices have been ignored. Many active members have not even seen the city’s proposal, raising concerns about transparency and accountability. “This ‘best and final’ proposal is worse than anything the city has previously put on the table,” Patterson added.

The decision to vote on the city’s plan has sparked intense debate within the board, with some members questioning the motivations behind the recent appointments made by the mayor, which they argue are designed to tilt the balance in favor of the city’s agenda.

The community is now looking to the El Paso courts for a resolution, hoping that justices will uphold the previous ruling that supports the board’s submitted plan. The ongoing litigation is critical, as it could potentially dictate how the pension is managed moving forward.

With the deadline for a finalized plan rapidly approaching, the Dallas Police and Fire Pension System stands at a crossroads. The urgency of the situation cannot be overstated; without a viable agreement, the future of benefits for those who risk their lives to protect the city hangs in the balance.

As tensions rise, all eyes are on the courtroom in El Paso. The outcome will not only impact the board and the city but also the countless first responders who rely on the pension for their retirement security. Share this urgent update as the fight for a fair pension continues.