On January 1, 2016, the 30-year consent decree resulting from the settlement of cases involving the Cincinnati Retirement System went into effect. Valued by the Court at $165 million for current City employees, the settlement and resulting consent decree mean that thousands of City employees will receive significantly higher pensions when they eventually retire. And while many public sector pension funds are eliminating retiree healthcare altogether, the settlement means that for the first time eligible retirees will have an enforceable right to receive retiree healthcare coverage – something they have never had before because the City could change or eliminate retiree healthcare at will, even for those who had already retired. Plus, because the settlement is part of a comprehensive effort to stabilize the $3 billion Cincinnati Retirement System, it is also good news for retirees and taxpayers who would have suffered if the system had continued to be seriously underfunded. As a result of the settlement, the Cincinnati Retirement System is projected to be fully funded within 30 years.
Minnillo & Jenkins Co., LPA is extremely proud of managing partner Chris Jenkins’ leadership role in this settlement. As co-lead counsel for the City’s approximately 3,000 current employees, Chris is one of the architects of the collaborative settlement agreement and consent decree, and he continues to work on its implementation and enforcement. The Court’s decisions approving the settlement and valuing it can be read here.