Pittsburgh Council kills pension enhancement amendment

Pittsburgh City Council on Wednesday effectively killed a amendment that would have enhanced pension payouts for elected officials, including outgoing Councilwoman Darlene Harris.

Members voted 6-2 without comment to table the amendment aimed at eliminating a so-called Social Security offset. Harris and Councilman Anthony Coghill voted no and Councilwoman Theresa Kail-Smith was absent.

City employees, with the exception of firefighters and police, are subject to the offset, which calls for a reduction in pension payments by 50% of the amount received from Social Security after an employee reaches maximum Social Security retirement age. The provision applies only to city employees hired after June 30, 2004.

The amendment conflicts with an ordinance members approved two years ago banning changes in pension payments outside of collective bargaining.

Harris of Spring Hill, who lost her seat in the Democratic primary, turns 67 on Jan. 6, her last day in office. The offset would cost her about $700 per month in her monthly pension payout.

Harris said she feels it’s unfair.

“There wouldn’t even be a pension plan right now if I hadn’t saved the pension plan when I was council president,” she said

Council in 2004 approved the offset as part of the city’s efforts to avoid bankruptcy. Council in 2010, when Harris was council president, narrowly avoided a state takeover of chronically underfunded pension funds by dedicating $735 million in parking tax revenue over three decades to put the funds above a state-mandated funding threshold of 50%.

Harris said council can still eliminate the offset if another member introduces a similar amendment next year.