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R-1013 - 03/25/2008 - LEGISLATION - Resolutions Supporting DocumentsITEM 1011.2 ) AGENDA ITEM Regular Board of Trustees Meeting of March 25, 2008 SUBJECT: Public Safety Employee Benefits Act FROM: Blaine Wing, Assistant Village Manager BUDGET SOURCE /BUDGET IMPACT: None RECOMMENDED MOTION: I move for passage of Resolution R -1013, A Resolution in Support of Legislation Relative to the Public Safety Employee Benefits Act Background /History: In 1997, the Illinois General Assembly enacted the Public Safety Employee Benefits Act ( PSEBA) to provide employer -paid health coverage to those firefighters or police officers "catastrophically injured" on duty. In 2003, the Illinois Supreme Court decision said that any public safety worker who obtained a line -of -duty disability pension was necessarily "catastrophically injured." A line -of -duty disability pension can be obtained, even if the inured worker is fully able to work in any other job except the firefighter or police position previously held. Under the Illinois Pension Code, any firefighter or police officer can be granted a line -of- duty pension (65% of salary) if a workplace injury caused the employee to be unable to perform even one of the job duties of the position. The legislature did not provide any financial support to fund these costs, the costs must be fully assumed by the Village and its taxpayers. While the Village believes that the legislature did not intend to provide free family health coverage to firefighters and police officers who have sustained only minor injuries and are able to obtain other employment, there is information that this is occurring. Recommendation: I recommend the Village Board approve the attached Resolution to urge the legislature in enacting amendments to the PSEBA for the reasonable application of the catastrophic injury provisions. RESOLUTION 2008 -GL -R -1013 A RESOLUTION IN SUPPORT OF LEGISLATION RELATIVE TO THE PUBLIC SAFETY EMPLOYEE BENEFITS ACT WHEREAS, it has been the practice of the President and Board of Trustees and the Village management of the Village of Oak Brook to maintain and support a strong, cooperative relationship with the Village's workers, and WHEREAS, without diminishing the contribution of others, the relationship with the Village's public safety workers in the Fire and Police Departments has always been of critical importance, and WHEREAS, these workers are often called on in extremely adverse conditions and with risks that can be life threatening, and WHEREAS, while we acknowledge these contributions and always endeavor to provide wages and benefits that recognize these challenges and risks there are now circumstances beyond our control that have brought forth a potential crisis that threatens the financial vitality of the Village and many other cities and villages across the State of Illinois, and WHEREAS, public employee collective bargaining has been in place in Illinois for more than two decades and along with other benefits a comprehensive system exists to provide for the general health and welfare of our public safety workers, and WHEREAS, in 1997 the Illinois General Assembly enacted the Public Safety Employee Benefits Act ( PSEBA) to provide employer -paid health coverage to those firefighters or police officers "catastrophically injured" on duty WHEREAS, in 2003 the Illinois Supreme Court decision said that any public safety worker who obtained a line -of -duty disability pension was necessarily "catastrophically injured " A line -of -duty disability pension can be obtained, even if the injured worker is fully able to work in any other job except the firefighter or police position previously held Under the Illinois Pension Code, any firefighter or police officer can be granted a line -of -duty pension (65% of salary) if a workplace injury caused the employee to be unable to perform even one of the job duties of the position WHEREAS, a Pension Board, consisting of a majority of firefighters or police officers, determines whether the injured employee receives a line -of -duty disability pension This results in the injured employee, as well as his /her spouse and dependents, receiving 100% employer -paid health coverage for years, regardless of whether the employee is able to work elsewhere or is eligible for other health insurance WHEREAS, the legislature did not provide any financial support to fund these costs, the costs must be fully assumed by the Village and its taxpayers While the Village believes that the legislature did not intend to provide free family health coverage to firefighters and police officers who have sustained only minor injuries and are able to obtain other employment, there is information that this is occurring WHEREAS, a new survey by the Intergovernmental Risk Management Agency (IRMA), municipal and county Councils of Governments (COGs) shows there are at least 100 PSEBA cases with a looming fiscal liability in the tens of millions that represent just the tip of the fiscal iceberg for Illinois taxpayers, and WHEREAS, while no responsible elected official or manager believes any benefits should be withheld from those public safety workers who are incapacitated, there is growing sentiment that a sound, negotiated, legislative compromise is needed to avoid fiscal strife and the possible cutback of other vitally needed services and programs Resolution 2008 -GL -R -1013 Resolution Supporting Compromise in the PSEBA Page 2 of 2 NOW, THEREFORE, BE IT RESOLVED by the President and Board of Trustees of the Village of Oak Brook, DuPage and Cook Counties, Illinois, as follows Section 1 That the President and Board of Trustees for the Village of Oak Brook hereby express their collective support and endorse the legislative initiative to address this issue and urge the swiftest possible negotiations and enactment Section 2 That the President and Board of Trustees encourage elected officials, members of management and labor groups to compromise and loin in this effort Section 3 That a suitable copy of this Resolution be sent all members of the Illinois General Assembly Section 4 All resolutions or parts of resolutions in conflict with this resolution are hereby repealed to the extent of the conflict Section 5 This resolution shall be in full force and effect from and after its passage, approval and publication as required by law APPROVED THIS 25th day of March, 2008 PASSED THIS 25th day of March, 2008 Ayes Nays Absent John W Craig Village President ATTEST Charlotte K Pruss Village Clerk