Pensions for Chester County police, firefighters get funding infusion
WEST CHESTER >> Retirement plans for police, firefighters and municipal workers in Chester County will receive $8.1 million in state aid.
It’s all part of a $299 million funding infusion announced by state Auditor General Eugene DePasquale to help support retirement plans for police, firefighters and municipal workers who work to keep communities safe and functioning.
“This funding is about looking out for the people who look out for us every day,” DePasquale said. “If the money was not available, the retirement of a lot of police officers and firefighters would be in jeopardy.”
The $299 million in state pension aid went to 1,495 municipalities and regional departments to support pension plans covering police officers, paid firefighters and non-uniformed employees.
West Chester will receive $815,000, the most funding of any Chester County municipality. Tredyffrin will receive $665,000, Phoenixville, $609,000, West Goshen, $594,000, Coatesville. $430,000, West Whiteland, $341,000 and Kennett Square Borough, $224,000. Modena Borough, West Marlborough, South Coventry, Malvern, Franklin, Elk, East Coventry, Elverson, Penn, New London, Newlin, Schuylkill, Wallance, Warwick and West Nantmeal will get no funds. Other municipalities at the lower end of the list are Avondale, $1,800 and Charlestown Township, $4,600.
“Without this aid, communities would have to rely more heavily on local taxes to fund their employee retirement plans, some of which are already struggling to meet obligations,” DePasquale said. “That’s why the Pennsylvania General Assembly must enact a statewide municipal pension reform plan.”
In November, DePasquale announced the release of $55.1 million in volunteer firefighters’ relief association funding. The money helps to save lives and protect property by funding equipment purchases, critical training and insurance for volunteer firefighters and emergency service providers.
The pension aid and volunteer firefighter funding comes from a 2 percent state tax on casualty and fire insurance premiums paid to out-of-state insurance companies. In addition to distributing the state aid each fall, the Department of the Auditor General audits local government pension plans and volunteer firefighters’ relief associations.
In addition, funds are allocated through the department and local municipalities to nearly 2,000 volunteer firefighter relief associations to enable the purchase of training, equipment and insurance, and pay for death benefits for volunteer firefighters. Revenue for the state aid comes from a two percent tax on premiums paid for casualty and fire insurance sold in Pennsylvania by out-ofstate insurance companies.
The Department of the Auditor General is charged with administering the state’s General Municipal Pension System State Aid Program that helps local governments defray the cost of employee, police and firefighter pension plans maintained by municipalities, regional police forces and councils of government.