November 13, 2001

11th Meeting

Room 112 Capitol

 

LEGISLATIVE COMMISSION ON PENSIONS AND RETIREMENT

MINUTES

Senator Dean E. Johnson, Chair of the Legislative Commission on Pensions and Retirement, called the meeting to order at 9:40 a.m.

Commission members present:

Representatives Philip Krinkie, Ann Lenczewski, Mary Murphy, and Steve Smith
Senators Don Betzold, Dean Johnson, Lawrence Pogemiller, Dan Stevens, and Roy Terwilliger

Commission member absent:

Representative Harry Mares

Agenda items discussed:

Designated Commission Interim Project; Potential Expansion of the PERA-Correctional Plan Coverage Group (Second Consideration)

Mr. Edward Burek, Deputy Director, Legislative Commission on Pensions and Retirement, informed members that Commission staff attempted to obtain data on the proposed coverage groups from three sources: from counties through the Association of Minnesota Counties, from cities through the League of Minnesota Cities for 911 operators who are city employees, and from the Hennepin County Medical Center (HCMC) through a letter sent to the HCMC administrator (data has not yet been received from HCMC). He noted that the data is incomplete (37 counties did not respond to the request, and data has not yet been received from HCMC), and the data that was received may not be complete or may be duplicative. He cautioned members that the data discussed in the staff memo represents only a sample, so there may not be a good indication of the demographics of the groups and there is certainly not a good indication of the total number of affected employees. Mr. Burek then reviewed the staff memo.

Rep. Krinkie asked Mr. Burek what specific information would be needed to obtain a preliminary estimate of the financial impact of the proposed transfers from PERA-General to PERA-Correctional, and how difficult it would be to get that information. Mr. Burek responded we would need to know the number people, how many years of service they have, and to obtain position descriptions to determine eligibility for all of that past service. Mr. Burek said that obtaining the necessary information presents some complications, but more specific information could be requested from the counties and from PERA.

Mr. Robert Johnson, representing Teamsters Local 320 and the Minnesota Professional Firefighter Association, testified in support of the proposal. He introduced several people wishing to testify specifically to their jobs as 911 dispatchers and probation officers.

Ms. Mary Jo Balzart, a 911 telecommunicator with the Hennepin County Sheriff’s Office, testified in support of the proposal and responded to questions from Sen. Johnson and Rep. Murphy about job stress and overtime.

Ms. Sherry Munyon, representing Minnesota Association of County Probation Officers (MACPO) and Minnesota Corrections Association (MCA), testified in support of the proposal and provided a handout.

Ms. Terryl Arola, Pine County Court Services, testified in support of the proposal to cover probation officers. She referred to information she previously provided to the Commission regarding the results of her 1997 probation officer survey on the subject of safety and exhibited a number of items confiscated from offenders who are not supposed to have weapons.

Ms. Mary Ann Mowatt, Hennepin County Parole Agent in the Sex Offender Unit, testified in support of the proposal and made a brief statement regarding her experiences concerning terroristic threats and hazardous situations.

Mr. Robert Sutter, Intensive Community Supervision Agent, Minnesota Dept. of Corrections, and MAPE representative, testified in support of the proposal and the opportunity for early retirement. Sen. Johnson pointed out that as an employee of the Department of Corrections, Mr. Sutter’s retirement coverage is through the Minnesota State Retirement System (MSRS) and he would not be covered by this proposal.

Rep. Krinkie asked Ms. Munyon if there are statistics concerning how many parole officers have sustained bodily injury. Ms. Munyon said that they do not have data at this time, but that they are trying to begin collecting that information. Sen. Johnson said that it would also be helpful to have some national comparisons regarding retirement coverage in addition to regional comparisons.

Approval of Minutes of the Commission Meeting of October 9, 2001

Rep. Murphy moved approval of the minutes for the Commission meeting of October 9, 2001.
MOTION PREVAILED.

Potential Expansion of the PERA-Correctional Plan Coverage Group (continued)

Mr. Keith Carlson, Metropolitan Inter-County Association, testified to the Association’s concerns regarding the proposed expansion. He provided and discussed a handout relating to workers’ compensation claims by corrections officers, probation officers, and 911 dispatchers for selected counties. Rep. Murphy asked if the Association had a position regarding the extension of the Rule of 90 for those hired after 1989. Mr. Carlson replied that they have not taken a position on that provision at this time.

Mr. Jim Mulder, Executive Director, Association of Minnesota Counties, testified to their concerns regarding the proposal. Mr. Mulder also responded to Rep. Murphy’s question regarding the Rule of 90, saying that while they do not have an official position on the Rule of 90, it is the perspective of the counties to provide more incentive for people to extend their employment rather than to retire early.

Sen. Pogemiller stated that, while he is not unsympathetic to the concerns expressed by Mr. Mulder and Mr. Carlson, he believes the job environment has changed for some of these jobs. Sen. Stevens asked Sen. Pogemiller about funding the increased cost of the proposal and the potential for an unfunded mandate. Sen. Pogemiller said there is a partnership with counties and cities, and that if there are employees who deserve broadened pension coverage, we need to work in a partnership to solve the issue.

Mr. Roger Kruse, Hennepin County Medical Center protection officer, testified in support of the proposal and discussed the nature of his position and the dangers of the work environment.

Mr. Chris Cowen, Political Action Director, AFSCME, testified that he believes all parties need to work together to resolve these issues and they will do whatever they can to provide useful information.

Mandated Commission Interim Project; Appropriate Mechanism for the Recovery of Unpaid Member and Employer Retirement Plan Contributions from Closed Charter Schools (Second Consideration)

Sen. Johnson announced that this agenda item would be delayed until the December meeting.

Designated Commission Interim Project; Draft Proposed Legislation Recodifying Minnesota Statutes, Chapter 356, Relating to Retirement, Generally (First Consideration)

Mr. Lawrence Martin, Executive Director, Legislative Commission on Pensions and Retirement, reviewed the staff memo and draft proposed legislation to recodify Chapter 356, the general retirement plan portion of Minnesota Statutes.

Sen. Johnson reminded members that the next meeting is December 11, 2001, at 9:00 a.m., and tentatively scheduled a Commission meeting for January 22, 2002, at 9:30 a.m.

The meeting adjourned at 11:40 a.m.