City Council Hears Public Testimony on DROP

After more than two hours of public testimony, a City Council hearing on the Deferred Retirement Option Plan (DROP), recessed before a public meeting on the program.

Council’s Committee of the Whole met beginning at 10 a.m. Wednesday morning for a public hearing on a pair of bills that would terminate DROP, pending certain terms and conditions and amend the city’s code to change retirement options for city workers.

City workers and residents came out both in support and in disagreement with DROP.

The second bill would create a new lump sum benefit program for retirees and change eligibility requirements for the benefits.

Fred Fisher, a retired city employee, called DROP “shameful.”

“It is very obvious to all of the people in this room that DROP is double dipping, being paid for your day’s work and your pension at the same time,” Fisher said. “There is no benefit to the taxpayers.”

Several city employees came out in favor of DROP. Bill Gault, a Philadelphia firefighter, said that the city’s retirement plan offers firefighters only five years of medical care after retirement.

“I just wanted to tell you, we buy medical coverage with this,” Gault said. “The DROP program is the only way blue-collar workers can save any money.”

Pete Matthews, President of District Council 33, raised concerns that any change to the retirement program would violate collective bargaining agreements, and that the city was obligated to negotiate with unions in order to change retirement terms and pension plans.

After the public testimony was heard, Council President Anna Verna adjourned the public hearing, and recessed until a public meeting could be held to make decisions on the pair of bills. The meeting was scheduled to begin at 1:30 p.m.

Check back at Chestnut Hill Patch later in the day for more on this developing story.