By: Diane Benjamin
Spiking pensions in Bloomington has cost taxpayers over $2,000,000 since 2012.
Spiking a pension means collecting more in retirement than employees are entitled to. Your government “gifts” them more retirement at taxpayer expense. The IMRF retirement system started charging for spiking when they realized the pension funds would not remain viable if people were collecting money for which IMRF never received contributions.
The City of Bloomington has been playing a game for years. They have a continuous list of court cases they are watching instead of changing WHEN employees are paid for accumulated comp time. TWO MILLION DOLLARS+ would have covered a lot of legal expenses if employees had sued. So far every court case has been won by government, but the gutless wonders at the City would rather pander to employees. Some of the union contracts even codify spiking.
Last night Donna Boelen spoke about spiking during public comment. She knows this practice is outright THEFT from taxpayers. Just hit play below to hear her comments.
Here’s where the City gets really funny. Last night’s performance stating yet another employee was about to spike his pension was to comply with a law that went into effect in 2016.
Here’s why the dog and pony show took place last night and will continue to occur until the City understands YOU know this is theft! Funny how union contract spiking is exempt from disclosure! Since most of the City employees are union, most spiking will only show up on Bills and Payroll.
You can hear the presentation from Human Resources and a brief Council discussion at 1:12:17.
Scott Black said he wants to hear what costs would be incurred if spiking was ended. Springfield City lawyer Jeff Jurgens hurriedly back pedaled.
Scott here’s the bottom line:
- employees would still get their “earned” comp time
- employees would still get the pension they are entitled to, not more because of this scam
- an estimated $5 million more in penalties is waiting to be paid – taxpayers avoid that expense
- if employees sue I will expose them as greedy SOBs
- any legal fees incurred won’t come close to $5 million
It is so much easier to raise your taxes, so don’t expect the gutless to change the policy. Only a new Council can do that.