Mayor and Council Make Recommendation to Repeal Elected Official’s Retirement Plan

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Doral, FL – During the April 12th Council Meeting, Mayor and Council received an update on findings by an independent, specialize pension attorney that was hired in February 2023 to review the existing elected official’s retirement plan that was approved in February 2021 (Ordinance 2021-02) that established a retirement system for former, current, and future elected officials (the “Plan”). The following issues were identified as part of the summary provided by the City’s special pension counsel, Lewis, Longman & Walker (LLW):

Whether an actuarial impact analysis was performed either before or concurrently with the
adoption of the Ordinance as required by Florida’s Constitution and Florida Statutes;

Whether the Ordinance and actuarial impact statement were submitted to the State Division of Retirement between first and second reading, as required by law;

Whether all or portions of the Ordinance contravene Section 215.425, Florida Statutes, which prohibits extra compensation to any officer after the service has been rendered, subject to certain exceptions;

Whether the requirement of a unanimous vote to amend the Ordinance is
constitutional/enforceable;

Whether the City has been filing the statutorily required actuarial valuation reports with the Florida Division of Retirement; and

Whether certain provisions of the Plan violate state and/or federal laws/regulations governing retirement plans of public entities.

LLW’s report, titled “Summary of Initial Findings,” explains the various deficiencies with Ordinance 2021-02, and finds that it appears that the requirements of Florida’s Constitution and Chapter 112, Florida Statutes, were not observed during the adoption of the Plan, and many of the requirements applicable to the administration and funding of the Plan had not been followed since the Plan’s inception.

Following the comprehensive presentation that addressed the validity and legality of Ordinance 2021-02, a motion was made by Vice Mayor Rafael Pineyro to recommend to the pension administrative committee to suspend pension payments and to direct the City Attorney to prepare an Ordinance repealing the current elected officials’ retirement plan. It was seconded by Councilwoman Maureen Porras and passed unanimously by all Councilmembers.

“Transparency and accountability are key components to a good government, this is why since I became Mayor, I have focused with great effort on addressing decisions made by our previous administration, such as the elected officials’ pensions, to this end and always with the goal of protecting our taxpayers,” said Mayor Christi Fraga. “I am pleased that we have taken this first step in correcting this matter and putting these funds back into the important projects and services that our residents deserve.”

Attached –
Elected Officials’ Retirement Plan – Summary of Initial Findings (Lewis, Longman & Walker)

Maggie Santos
Communications Director
City of Doral
8401 NW 53 Terrace
Doral, FL 33166
T (305) 593-6678
F (305) 593-6621
maggie.santos@cityofdoral.com
www.cityofdoral.com

 

 

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