Council rejects police retirees’ request

Spokane City Council members, in a 6-1 vote Monday, said “no” to a request that the city reimburse more than 80 retired police officers for medical insurance premiums they are paying under Part B Medicare insurance starting at age 65.

Through the city’s Police Pension Board, the retirees asked the council to reimburse their $88.50 monthly premiums, which would have cost the city an estimated $90,000 a year.

Councilman Bob Apple cast the only dissenting vote because, he said, it appears the city had promised its officers years ago that their medical care would be fully covered until they died.

“I think the city does have some obligation,” Apple said.

But Councilman Rob Crow said no one could have predicted the escalating cost of medical care when those officers were hired under the state’s Law Enforcement Officers and Firefighters (LEOFF) Plan 1 pension system.

“Nothing in life is free,” said Councilwoman Nancy McLaughlin, who serves on the Police Pension Board.

The plan guarantees that all necessary medical costs will be covered, but state law also allows cities not to reimburse their retirees for Part B premiums for non-hospital care. If retirees fail to sign up for Part B, they are liable for any medical expenses that the Medicare insurance program would have paid.

Retired police officer Jim Earle, who was hired by the department in 1974, said the city’s promise to pay medical expenses was tantamount to a contract.

Retired officer Gary Gow said the retirement medical benefits were a trade-off for the low wages officers were paid prior to the 1970s.

The city has 87 retirees under the LEOFF 1 system, with 13 more who are eligible but who still are working on the force.

In a 4-3 vote, the Police Pension Board recommended that the council not pay the premiums for the LEOFF 1 officers.

A similar request is expected to be forwarded to the City Council by the fire pension board. Nearly 300 retired firefighters are being required to pay their Part B premiums at age 65. City reimbursement would cost $315,000 a year.

Deputy Mayor Jack Lynch said that asking retired officers to pay Medicare premiums is only fair because all other city employees are being asked to shoulder a larger share of their health costs through higher premiums, deductibles and copayments.

“It’s not just a matter of expense,” Lynch said. “It’s a question of equity.”