Where’s The Leadership On The City’s Pension Problem?

(Memphis) Police Director Toney Armstrong did everything by the book when he announced he was taking advantage of the golden parachute that’s provided in the city’s pension plan.

But voters were more than a little surprised at how much he’ll receive – $6,900 a month for three years, which adds up to a $250,000 check when he retires, and then those monthly payments continue for the rest of his life.

It’s exposing a larger problem of what’s really behind the city’s pension crisis.

The Informed Sources ask, where’s the leadership to address it?

35 comments

  • canadianwhiskeygirl

    He will for sure have a cushy life then. Are there any quickie criminal justice degrees available???? Lol

  • ChrisWilliamsisaBootyBurglar

    There is no leadership when you have all these black leaders. This city is going to H–L in a dodge viper.

  • Unknown

    Really channel 3 really? The drop program is his own money that goes into a Ira the city doesn’t pay a cent. Are y’all really that desperate to make the department look bad. How much is the city paying you to share these stories.

  • H Posey

    You need to look at and understand the DROP program. They have to continue to WORK those 3 years. Their retirement money is placed in a account and invested in US T-Bills (Haa, check and see what they draw !!). That cost the City nothing. Question, does Ms Thorpe draw a pension from the County, when she worked for the Wharton Adminstration. and what about the former A/G Mr Kustoff, does he draw anything from the Government? As for his last statement he or she could have applied to become a Firefighter, but choose the more ‘honorable” political careers. If your house catches on fire Mr. Kustoff, call a Politician, see what results you’ll get ! Talks Cheap !!

  • freakaleak50

    That is HIS money that he worked for those 3 years for the $250,000! It’s his retirement check for those three years. It’s his money that he earned based on the salary of the Police Director, and like others have said it’s not the City’s money it’s the man’s retirement check he gets for his last three years of service.

    He would have gotten the money over a three year period even if he left. As far as the money he will get each month for the rest of his life it’s HIS money that he earned over the 28 years he will have put in working for the City!

    All you haters could have gotten on the PD 25 years ago and retired with a pension too based on your salary!

  • freakaleak50

    You people show your ignorance when you say it’s money the City cannot afford because the $250,000 is his retirement money he would have gotten regardless. He would have gotten the money anyway it’s his retirement.

    You want to talk about what the taxpayers are paying for? Go look at the Redbird’s Stadium, and the river bluff restaurant and the pyramid.

    Police officers and fireman put money into the pension for 25 and more years! It’s their own money!

  • Hard Truths

    City should honor its pension obligations. Nobody told King Willie that, I guess. We are now reaping the bitter harvest of Willie’s malign regime.

  • freakaleak50

    I’ll tell you talking head pundits something else.

    You can change whatever you want for the new hires, but you’re not going to change the pension rules that the CITY established as a part of one being–hired 22 years in to the game!

    • Joe

      you know what freak?

      this city is closer to insolvency than you realize. At the very least the bond rates are gonna be much higher because of what politicians have promised over the last 30 years.

      And yes…..the pension payouts could be changed….nothing is sared when the city is going down the tubes financially.

      Folks like Armstrong goose the pension plan by entering a drop program…..this bulks up their salary over the last three years of their employment and results in a higher pension payout.

      You think theres a more noble reason they are doing this?

      wake up memphis…..the unions negotiated this little perk years ago.

      wanna change things? bring pressure on the unions and city hall to end these sweetheart deals cut in back rooms

      • Tim Warren

        Actually, these officers and firemen pay into the pension. They put their own money into it. The city only gives a small portion of what ever they put in. In other words, if an officer puts in 100.00, then the city donates maybe 6.00. That is the truth of it. As for Social Security, the city does not offer that option. Therefore, this is the only option available. Then the city mismanages some of their funds and borrows from the portion that should have gone into the pension. Now they can’t keep up their ed of the bargain. Therefore, they decide to drop the pension and go a different route. Their thinking is that it will free them up on even more money and they can use those funds for something else to get rich quick on. So, the pension is all these guys have towards retirement. BUT, the MAyor will get TWO retirements. His income alone will double, triple, or quadruple the Director’s payment. This should not be allowed. If the pension plan is truly in a hole and needs assistance, then he should be willing to forgo one of those pension plans to help it. However, money is power and power equals more money. So, there you have it in a nutshell. ;)

      • freakaleak50

        Joe that shows hows ignorant you are on the topic. You think the Director entered the DROP to “bulk”up his pension the last three years? LOL. His pension and the rate was locked in the day he signed up for the DROP and was based on a percentage of the prior three years he worked!

        Him nor anyone else hasn’t done anything wrong by entering the DROP. The money they get via the DROP would have been money they would have drawn the next three years had they not signed up for the DROP.

        The money they continue to make as a salary for the 3 years on the DROP? What is wrong with that? They are still working!

      • Dq

        The unions did not negotiate the drop program. This came from the city. It is in use in most major cities. It is actually another way the city doesn’t have to put their share into the pension fund. The city claims it cost them nothing. What it is costing is the employees pension fund, by the city not making those deposits.

        Simple solution, turn the pension fund over to the unions. Then you and the city can blame the union. City won’t do that. They will not have money to steal or pilfer from.

  • Joe

    this is a great expose’ on the huge snowball that is the memphis pension debacle.

    and all you firefighters and police employees that are screaming that you DESERVE this….it was PROMISED to you…..

    I’m sick of hearing that you cant do your job after 50 because of the physical requirements…..there are hundreds of positions within police and fire that require no significant level of physical fitness…there must be…we see you waddling around every day

    you can look at your fat union stewards as one example….but administratively, there are hundreds more. As you move up…you come off the streets…..if that’s not your goal….you are shortsighted

    wanna show that you really intended to be a public servant? then have some dignity and refuse to participate in the DROP program and inflate your payout

    that would be noble……and we would be proud of you

    • Freedomwasawesome

      You could have applied for one of these jobs as well. Quit your griping
      You are responsible for your choices. These men and women were offered these pensions for their service. You can’t say you would be ok with making an agreement with your employer ( if you have one) and then suddenly they want to change it because of thier poor management.

    • Freedomwasawesome

      The noble thing to do would be for all the freeloading late sleepers to get off their buts and do something. Refuse welfare. Refuse affermative action
      ( after all it’s the character of the person that matters not the color of skin.
      ” MLK” ).

      These men and women have paid into the pension plan, and fulfilled their part of the agreement. They deserve what was agreed upon period.

    • Dq

      One issue with your statement. I paid into the pension, just as you have into SS. The city didn’t pay anywhere near the amount I paid into it.

  • Tim Warren

    well, truth be told, the Mayor will receive two pensions when he leaves and his checks will be far greater than the Director’s. Maybe ya’ll should look into his pension as well. ;)

    • Hard Truths

      Not near as much as she has cost the County on convictions reversed because of her Rambo trial tactics.

      • Hard Truths

        Of course, she learned everything she knows at the feet of the very unethical prosecutor Thomas “Darth” Henderson.

        Should have fired him for hiding evidence in those two murder trials. But did NOTHING to him.

      • canadianwhiskeygirl

        Because of 2 issues I am now deadset against her. Unless u know of anyone better qualified, I guess Im ready to hear about the Clown getting elected.

  • Bill

    When I’m elected Mayor of the City, I’ll cut all 6 figure salaries to less that 80K or you can take a hike. That includes mine.

  • PP.......IseeyounoticedmyBigPP!!!

    Look at whet certain people keep voting in and there is your answer. It all started with a Worthless Willie !!!!

  • warriorsheart

    I can see that most of the comments made here are very “uneducated” as to what the DROP plan is, you think that “oh he’s getting 250,000 and a retirement of 6,900 a month, well when he signed up for the DROP that was his effective retirement date, not 3 years from now, he is basically contracting with the city to continue doing his job as he was. If he left today he would still be getting that 6,900 a month for the next 3 years but someone else would be getting that pay for being director. IT IS HIS MONEY that is being put into DROP and it is HIS MONEY that he will be getting the end of it, I for one cannot understand why these stories are put out there as propaganda and to make the public think that city workers are getting so much more, by the way to the one that thinks there are “100’s” of jobs in the police and fire departments that are available that require no physical effort, well you are sadly mistaken !!

  • Lorena

    Amazing issues here. I’m very happy to look your post.
    Thanks a lot and I’m having a look forward to contact you.

    Will you kindly drop me a mail?

Comments are closed.


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