
Countering arguments put forth by attorneys representing the Fraternal Order of Police Fort Pitt Lodge #1, Attorney Gretchen Love, said the City of Pittsburgh is following the dictates of the latest Act 47 recovery plan, and that the union wants those dictates ignored.
During the union’s April presentation to the arbitrators empanelled to resolve the current contract dispute, attorney Rick Poulson called Act 47 “crack for mayors” and said the arbitrators could and should ignore its limits on salary increases.
During the city’s presentation, Love said for the panel to authorize salaries exceeding the limitations, it would have to find the recovery plan authors acted in a manner that is “arbitrary, capricious or established in bad faith.”
“The city’s status as a financially distressed community is not on trial. Nothing about the outcome of this proceeding will change that,” she said. “The FOP has failed to produce evidence that their individual bargaining units allocation was developed arbitrarily, capriciously or in bad faith.”
Noting that in the last decade the city had tried financial remedies like selling assets, such as the Aviary and reducing services, Love said there is nothing to cut.
“The cost of wages and benefits make up 71 percent of the city’s expenses,” she said. “And that 71 percent is not decreasing, it’s increasing because of drivers like wages, health care, pensions and post-retirement healthcare. And they are projected to be 80 percent by the end of the five-year recovery plan.”
Simply raising property taxes, which the city hasn’t done for 10 years, is not an option, Love said, because six of the 10 largest employers are government or nonprofit entities, which are exempt.
The city’s offer, a 1-percent raise for 2016 and 2-percent raises in 2017 and 2018, are part of the plan to get the city back on its feet. All other union-represented employees have accepted similar contracts, she noted.
Beyond a statement by Poulson that a 40 percent raise in salary would be needed of Pittsburgh officers to be paid a wage comparable to surrounding communities, the FOP has made no specific salary recommendations.
Last year, the FOP won an arbitration award allowing officers to live outside the city limits. That ruling was upheld by Commonwealth Court and has been appealed to the state Supreme Court.
In a statement issued following the city’s initial presentation, Mayor Bill Peduto said the FOP never intended to work within the parameters of the Act 47 plan.
“The FOP has spent its time before the arbitration panel attacking the Act 47 plan—and even me,” he said. “The City cannot tax its way to financial sustainability, sell more assets, further reduce services that are already cut to the bone, or keep ignoring investments in our infrastructure. If we did, the city we share would die.”
The three arbitrators, neutral arbitrator Bill Miller, police arbitrator Bryan Campbell and city arbitrator Rich Miller will announce their award in few months. Their ruling will establish the parameters of the new contract and will be retroactive to Jan. 1.
(Send comments to cmorrow@newpittsburghcourier.com.)
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