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File #: 2665-2017    Version: 1
Type: Ordinance Status: Passed
File created: 10/2/2017 In control: Finance Committee
On agenda: 10/16/2017 Final action: 10/19/2017
Title: To authorize the Department of Finance and Management to enter into a Memorandum of Understanding with the Franklin County Commissioners in order to reimburse Franklin County for the City's portion of Ohio Public Employment Retirement Systems (OPERS) liability costs associated with the case of State ex re,. Altman-Bates v. Pub. Emps. Retirement Bd; 2016-Ohio-3100, to authorize the appropriation and expenditure of up to $3,000,000.00 from the Special Income Tax Fund; and to declare an emergency. ($3,000,000.00)
Attachments: 1. Ord 2665-2017 Legislation Template
Explanation

BACKGROUND: This ordinance authorizes the Director of Finance and Management to enter into Memorandum of Understanding (MOU) with the Franklin County Commissioners in order to reimburse Franklin County for its portion of the Ohio Public Employees Retirement System (OPERS) costs arising out of the lawsuit known as State ex re,. Altman-Bates v. Pub. Emps. Retirement Bd. 2016-Ohio-3100 that mandates service credit for up to 254 current and former employees of the non-profit Franklin County Public Defender’s office (FCPD) hired between 1985 and 1992. The Ohio Supreme court case Altman-Bates decision is based upon a previous court case also involving prior pension obligations known as Mallory v. Pub. Emp. Retirement Bd. (1988). The City of Columbus and Franklin County previously negotiated an agreement to settle the financial obligations of the Mallory case which was authorized by City Council through ordinance 0782-1999. This agreement stated that the two entities would share expenses associated with the Mallory case.

The (FCPD) office was organized as a non-profit corporation prior to 1999. The Public Employees Retirement Board (PERB) had initially determined that employees of the non-profit Franklin County Public Defender’s Office were not entitled to service credit in OPERS. However, the Ohio Supreme Court case Mallory v. Pub. Emp. Retirement Bd. ordered OPERS to credit service time to the FCPD employees and further directed Franklin County to remit pension contributions to OPERS on behalf of the employees who worked for the former (FCPD) office hired between 1985 and 1992.

From 1976 through the present, the City of Columbus has contracted with the Franklin County Commissioners and the FCPD office for the performance of the City’s duty under Chapter 173 of the Columbus City Code, 1959, and Section 120 of the Ohio Revised Code to provide legal counsel to indigent persons charged with municipal criminal offenses. Therefore, the City of Columbu...

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