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Pension on Ethics Commission likely to OK Kerbel for panel


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April 7, 2008

Ethics Commission likely to OK Kerbel for panel

As the long, and sometimes mind-numbing, pension reform hearings got under way at the State House, it struck one of the commission members — Providence Mayor David Cicilline’s director of administration, Richard I. Kerbel — that he is one of many across Rhode Island with a stake in the outcome of this latest effort.

Launched by House Speaker William J. Murphy, this latest study is aimed at reining in the exploding cost of public employee pensions or, at the very, least, finding a new way to finance them.

As Kerbel explained in a March 6 letter to the state Ethics Commission in which he asks advice on whether he can continue: Prior to joining the Cicilline administration early this year, his 13 years as town manager in North Kingstown made him a vested member of the state-run municipal retirement system. He is currently eligible for a potential $25,884 pension when he turns 58, in July.

“I do not currently collect a pension from the system but will be eligible on my 58th birthday,” he wrote. “In light of the fact that I am eligible to collect a pension from a system administered by the state, I am seeking an advisory opinion on whether there is a conflict of interest with my serving on a commission that is studying the state’s pension system.”

Kerbel is not the only one on the 19-member study group with a potential stake. State police and judges were not touched by the last round of pension changes, but now there is a representative of each group on the study group deciding what, if anything, can and should be done this year to curb the state and local costs of providing the state’s retired public employees with pensions and health-care benefits unavailable to many — if not most — of the other taxpayers paying the tab.

Other public employees on the panel include state General Treasurer Frank Caprio, Cumberland Mayor Daniel McKee and longtime University of Rhode Island employee Michael Downey, the president of Council 94, American Federation of State, County and Municipal Employees.

The Ethics Commission plans to formally address Kerbel’s query — which arguably will set the standard for the other potentially conflicted members — tomorrow.

But Kerbel said Friday he was pleased that a draft opinion that Ethics Commission staff sent him in advance would allow him to continue as a member, knowing how concerned the mayor and city are about the future of the pension system. He made public a copy that noted there are over 60,000 members of the state and municipal pension plans, and at least 1,800 are like Kerbel — former municipal employees who are entitled to, but not yet collecting pensions.

Beyond that, it said: “It does not appear that the petitioner’s mere participation as a member of this advisory body will result in a direct monetary gain or loss to himself.”

Posted by Pam Cotter  at 9:44 AM | Permalink

Comments

Taxpayers should not be footing the bill for public employee pensions - it's outrageous.

Posted by: Pension at April 8, 2008 3:16 PM

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