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toward a more equitable split between <br />employees and employers; or <br />b) An additional state general fund <br />appropriation to fund the deficiency <br />in police and fire pension aid <br />payments so that the state equalizes <br />the contributions of employers and <br />employees. <br />The League also supports: <br />a) Maintaining the statutory changes <br />made to Minn. Stat. § 353.01 in 2007 <br />that separate injuries resulting from <br />"hazardous duties" from injuries <br />resulting from "non -hazardous <br />duties" for purposes of police and fire <br />disability retirement benefits. <br />b) A thorough study by PERA of the <br />current effects of overtime <br />accumulation and outside employment <br />compensation on individual pension <br />benefits and the overall funding of the <br />plan. The study should also include <br />recommendations on whether the <br />overtime or outside employment <br />should be factored into or excluded <br />from high five average wage <br />calculations. <br />c) Allowing cities, including cities with <br />combination (full-time and paid -on <br />call staff) fire departments, to work <br />with their fire relief associations to <br />determine the best application of fire <br />state aid. <br />For PERA Corrections Plan the League <br />supports: <br />a) Maintaining the current definition of <br />covered employees for the PERA <br />corrections plan, which does not <br />include dispatchers due to the <br />substantial differences between the <br />dispatchers and the existing <br />corrections positions covered by this <br />plan. <br />For all PERA defined benefit plans the <br />League supports: <br />a) Adjustments to the benefits for active <br />members and retirees to reduce the <br />cost of the plans. <br />b) Requiring special legislation for <br />individual employee pension benefit <br />increases be initiated or approved by <br />the city council of the impacted city <br />unless the cost of the benefit increase <br />is fully covered by the individual or <br />the legislation addresses a clerical or <br />administrative error. <br />HR-10. Retirement Work <br />Incentives <br />Issue: Demographic experts warn that as the <br />baby boomers retire, employers will begin to <br />experience a significant labor shortage and <br />lose the substantial expertise and knowledge <br />of a fully -trained workforce. One solution <br />to the coming labor shortage is to provide <br />some incentives for retirees to postpone full <br />retirement with a "phased -in" approach that <br />would allow "knowledge transfer" to take <br />place between the retiree and less - <br />experienced replacement staff. <br />The Phased Retirement Option (PRO) <br />program was created by PERA for this <br />purpose. The PRO program meets many of <br />the goals of workforce planning However, <br />cities would benefit from broadening the <br />criteria for participation; currently, only <br />employees age 62 or older can participate. <br />In addition, the program is scheduled to <br />sunset in 2019. The program, as introduced, <br />allows for five one-year renewals, which <br />may be more than is needed to meet the <br />intended purpose. <br />Response: The League of Minnesota <br />Cities supports changes to the PRO <br />program (if actuarially neutral for PERA <br />pension plans) that would: <br />League of Minnesota Cities <br />2018 City Policies Page 86 <br />