NEW: Fire Chiefs Take Extra $300,000 in Retirement Pay
Wednesday, December 22, 2010
Two Providence fire chiefs have voluntarily taken demotions so they can be eligible for the compounded cost of living adjustments that union members earn when they retire, according to documents obtained by GoLocalProv.
Battalion Chief Michael Morgan and Deputy Assistant Chief Daniel Crowley were granted a voluntary reduction in rank to firefighter first class on December 17 by fire Chief George Farrell.
With the 3 percent compounded cost of living adjustment, or COLA, Morgan would receive an additional $137,536 in retirement pay over 26 years. Crowley would get an extra $172,058.
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“How low can these people go?” said Councilman John Igliozzi, who chairs the Finance Committee. “It’s just amazing the level of irresponsibility this outgoing administration goes to. It just flies in the face of pension reform.”
Two city councilmen also blasted the move in a letter to Mayor David Cicilline. “We recently became aware of this unprecedented and historic personnel action that, if allowed to stand, will place these two individuals in a position of retiring with a significantly higher salary of a chief, and with their ranks now reduced, they would also be eligible for a compound COLA,” Councilman Miguel Luna and Councilman-elect Davian Sanchez wrote.
In 2010, both men pulled six-figure salaries, according to a GoLocalProv review of city pay records. Crowley earned a total of $122,775 in salary and benefits while Morgan drew $102,533.
Taveras: ‘It is inconceivable we can continue this’
Mayor-elect Angel Taveras said the situation showed how unsustainable the city’s retirement policies are. “Today’s news regarding compound COLAs and voluntary demotions within the Fire Department underscores the unsustainability and irregularity of the City’s current approach to employee retirement benefits,” Taveras said.
He added: “It is inconceivable that we can continue this approach moving forward. This, and similar issues, will be high priority topics in my administration’s comprehensive review of Public Safety policy, as well as integral to our assessment of all City operations.”
Luna and Sanchez called on Cicilline to rescind the voluntary demotions. A spokeswoman for Cicilline did not respond to a request for a comment.
“To say that we were shocked that the Chief, and his supervisors, would approve of such a contrived and self-serving request is a complete understatement,” Luna and Sanchez wrote. “This sad episode illustrates that there appear to be no limits to what some employees will do to enrich themselves at the taxpayer’s expense.”
‘Blatant attempt to circumvent’ the rules
The demotions come months after the council rejected a proposed ordinance that would have given compound COLAs to non-union employees in the city, according to Igliozzi. Igliozzi said the demotions were a way “to go around the system” while Luna and Sanchez described them as a “blatant attempt to circumvent the legislative authority of the City Council.”
“If allowed to remain, this unprecedented personnel maneuver will establish one of the worst precedents in recent memory and place Providence taxpayers in the position of footing the bills of exorbitant pensions for individuals who are clearly not entitled to receive this benefit,” Luna and Sanchez said.
Demoted chief denies accusation
In an interview, Crowley denied that he was about to retire. Crowley said he has been on the job for 31 years and could work for another eight. “I’m not retiring soon, I’ll guarantee you that,” Crowley told GoLocalProv.
Asked why then he requested the demotion, Crowley declined to comment. “I have no comment on that. You’d have to ask my superiors,” he said. “I’m not going to feed a media frenzy.”
Morgan did not respond to a request for comment.
