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CC WORKSESSION 06031997
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CC WORKSESSION 06031997
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7/18/2016 4:23:20 PM
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j <br />If the City chooses to contribute to the relief association, there are three options: <br />1. Create a line item in the general fund budget dedicating a fixed amount to <br />the relief association each year. This option would have little impact for the <br />first couple of years but would, over time, raise benefits to a level <br />comparable to some of the other departments. This option would require <br />about $6,000 per year and would incur no liability on the part of the City. <br />2. The City could approve a benefit level and then contribute the amount <br />necessary to meet that benefit. For example, a benefit of $1,500 per year of <br />service would require a first -year contribution of about $7,500. This <br />contribution would decline each year and should reach zero in 5 or 6 years. <br />This option would have a dramatic short -term effect but would have to be <br />repeated periodically to maintain a competitive benefit level. Under this <br />option, the City would be liable for financing the deficit. <br />3. Create a special tax levy. Most fire relief associations receiving city <br />contributions receive them through a special tax levy. This option is the <br />most balanced and would provide both short and long -term impact. The <br />City would incur no liability under this option, but a new tax levy might <br />not be politically attractive, even though it would amount to less than $1 <br />per capita per year. <br />
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