The Pension board voted 3 to 2 to disapprove the proposal by the Mayor's administration, that would have allowed giving the fund 71-thousand dollars a month over the next 5 years, beginning in July.
The total payment would end up being 3.5-million dollars, plus 8 percent interest. The pension board had a number of concerns with this plan, they noted the fund would miss out on gained interest money from stock market increases of July 2009 until January 2011.
"As the actuary projections goes up and down they could be paying us with our own money, because the projections are liable to go down as the stock market does better. So they can turn around and pay us back with no interest at all. And we've lost the interest on the money we would've gained during this period of time, when it was critical that our pension fund recover," said Charles Bishop, of the pension board.
The pension board tossed around the idea of hiring an outside attorney so the city and the board can find middle ground.