July 14, 2011

Dear Affiliate Leaders,

On July 13, the fifth straight day of intensive negotiations between the Obama administration and congressional leadership on raising the nation’s debt ceiling, Vice President Joe Biden took the time to meet privately with me for more than hour in the West Wing of the White House.

Our meeting addressed topics including the Staffing for Adequate Fire and Emergency Response (SAFER) program, protecting staffing in cash-strapped communities, ensuring that resources are available to prevent fire fighters from being laid off, the proposed taxation of employer-sponsored health care costs, the prospect of mandatory Social Security and public safety communications and interoperability.

While we have also been meeting with top congressional leadership in both parties to protect our interests during these challenging times and during this unprecedented, multi-level negotiation to reduce the deficit, reshape government and avoid our nation defaulting on its debt obligations, I wanted to make sure you know that the IAFF was able to advocate our position on issues affecting fire fighters and emergency response issues at the highest levels.

I think it speaks volumes about the vice president’s values and commitment to fire fighters and the IAFF, and it deserves recognition that he would carve out a significant portion of his schedule during this incredible and sensitive period of negotiations on issues that will affect our nation, the global economy and the future size and scope of government for generations to come.

While we still have a lot of work to do to make sure our issues get resolved in a way that benefits our members, and during the time when many of our friends aren’t standing up and fighting on our behalf, it is heartening to know that Joe Biden, who has been a friend of fire fighters and working men and women throughout his long and illustrious career in the Senate, remains one of our most steadfast champions.

In Solidarity,

Harold A. Schaitberger

General President

Calls & Emails Still Needed Daily
The Washington State Council of Fire Fighters has completed an all-encompassing evaluation of HB 2097, which proposes a merger of LEOFF Plans 1 and 2. As an organization that serves and represents union firefighters (active and retired, LEOFF 1 and 2), we take seriously our duty to ensure any legislation we support is thoroughly analyzed and serves the interests of ALL FIRE FIGHTERS.
HB 2097 resulted as an alternative to contribution reductions in LEOFF Plan 2 (HB 2068) and secures future funding for both LEOFF plans. It also brings to an end the legislative manipulation of rates and contractual provisions to both plans.   In the two weeks since the introduction of HB 2097, there has been a comprehensive examination of the proposal (including bill language review, actuarial risk analysis and actuarial fiscal note prepared by the State Actuary, and thorough legal analysis by a special assistant attorney general) on the plan to merge LEOFF Plans 1 and 2. 
Here is what the WSCFF has determined about HB 2097 and the significance of a merger of LEOFF Plans 1 and 2:
·         LEOFF Plan 1 and LEOFF Plan 2 share similar balance sheets in regard to assets, liabilities, deferred market losses, and fund status. (2009 Valuation Report)
·         The merged funds would be used to provide the respective, contractually guaranteed, benefits to both LEOFF 1 and LEOFF 2 members and annuitants. “This bill would not affect the benefits of any members of LEOFF Plans 1 or 2.” (Fiscal Note)
·         The LEOFF Retirement Board, not the Select Committee on Pension Policy, would adopt actuarial assumptions (not subject to legislative revision) and be responsible for studying LEOFF 1 benefit issues and recommending legislation. (HB 2097 – Section 8)
·         The six plan member representatives on the LEOFF Retirement Board would be from LEOFF 1 or 2.
(HB 2097 – Section 6)
·         Any future benefit enhancements to LEOFF Plans 1 or 2 would require legislative approval, which is the same as today. (Bill silent – no change to current law)
·         The risk of a “pay-as-you-go” status for LEOFF 1 is reduced from 39% to 0.1%.   LEOFF Plan 2 active members accept the slight risk of higher contribution rates should LEOFF 1 funds fail to remain sufficient to pay benefits. (Risk Analysis)
·         This bill does not change the structure or existence of local disability boards. The WSCFF has always supported the retention of local disability boards and will continue to do so.
·         Bill conforms to statutory and constitutional requirements for pension plan mergers – it’s legal.
Passing HB 2097 in this special session will not be an easy task. The WSCFF legislative team has added support of HB 2097 to our 2011 session agenda and lobbying efforts begin today to support the bill. Your calls and emails are needed as well.