Proceed Carefully With Firefighters’ Contract Proposal
A tentative agreement announced last week by Mayor Eddie Sundquist and the Jamestown Professional Firefighters Association (JPFFA) Local 137 could be a great thing for city taxpayers.
The new contract provides for the hiring of four additional firefighters, along with the deployment of a second ambulance. Additional contractual terms include wage increases of 2.5% for the years 2021 through 2023, followed by a 2.75% increase in 2024. The agreement also includes percentage increases to the city’s health insurance plan by union members, along with the end of lifetime health insurance for all newly hired firefighters.
We say the contract could be a great thing because there is an giant unknown that City Council members have to deal with as they consider the proposal before tonight’s meeting.
Can the city pay for the proposal?
The union’s concession — and it is a huge concession — to give up lifetime health insurance is a gamechanger for the city and its taxpayers. But the savings won’t be realized for several years.
In exchange for long-term savings, the city is spending a lot of money now. We’d anticipate some of the initial costs will be paid for with American Rescue Plan lost revenue funds. Some of the costs may be able to be paid with health care savings from the ongoing switch of city retirees off of city-backed health care onto public options.
But before the council pulls the trigger, they must be sure the city can hire the additional four firefighters after the stimulus money runs out. The last thing anyone wants is to have to lay off four firefighters who are providing a service city taxpayers grow accustomed to receiving. And, laying off firefighters once they’re hired likely would lead to an impact arbitration filing from the union, and such arbitrations have long-lasting costs associated with them.
Give credit to Sundquist for negotiating what looks like a good contract and to union members for giving up what had been in the past an untouchable benefit, but the council needs to make sure the math works out in the long run before casting a vote in favor. If necessary, the council should communicate with the union about a possible postponement of a vote into January. This is an important agreement for both the union and for taxpayers. The last thing anyone wants is unintended consequences to turn agreement into an albatross.
