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Fung to announce 'breakthrough development' Monday on Cranston pension plans

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By News staff

CRANSTON, R.I. -- Mayor Allan Fung's office says he will announce "a breakthrough development regarding Cranston's local pension including current members and retirees" on Monday.

A news release issued just after 4 p.m. Sunday said the mayor would make the announcement at 2 p.m. in his City Hall office.

Fung has been negotiating with retired police officers and firefighters in an effort to cut costs in two closed pension plans that cost the city more than $20 million a year..

Last fall, he asked the 483 retirees in the plans to forgo an annual cost-of-living increase in their pensions for 10 years. He also proposed capping cost-of-living adjustments,at 3 percent after the 10-year freeze.

Lawyers for the retirees called Fung's plan illegal and vowed to fight it.

Sunday's news release did not include details of what Fung would announce or what pension plans were involved.


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