Nearly 300 retired city employees in a Democrat-led city are reportedly still waiting to receive their pension payments, months after accepting early retirement packages as part of a cost-cutting initiative.
At a city council meeting Wednesday, Houston Mayor John Whitmire pushed back against criticism that the Houston Municipal Employees Pension System (HMEPS) failed to issue payments, stressing he has no authority over the fund, according to local news outlet KHOU 11 News.
“I have no control over the pension fund,” Whitmire said. “We’ve explained that repeatedly, provided the data to our daily paper, but that’s not what they want to write, and neither does one of my critics want to show the facts.”
More than 1,000 city employees accepted early retirement packages in May to help trim city spending.
That number far outpaces HMEPS’ usual average of 39 retirements per month, board Chair Sherry Mose told KHOU 11 News.
Retirees were originally told it would take about 30 to 60 days to receive their pension payments, but that timeline has not been met, according to ABC13.
“I strongly regret retiring,” Kathy Caldwell, a retired City of Houston employee who has become increasingly anxious amid mounting bills, told ABC13. “I strongly regret it, and I’m sorry, I’m getting ready to cry. I don’t want to, but it’s a lot. It’s a lot. It’s a lot. I need help. I need my money.”
All outstanding payments are expected to be issued by the end of September, according to Mose.
She explained that delays have stemmed from timing issues, as well as errors in the paperwork submitted by some retirees, including missing documents like birth certificates and marriage licenses, KHOU 11 News reported.
To address the issue, HMEPS has brought on additional staff, and staff has been working overtime, Mose told KHOU 11 News, noting that her office has received more than 13,000 calls regarding the missing payments.
“My board members, everyone’s been working on this. It’s not being placed on the back burner,” Mose said.
HMEPS is a government-run defined benefit pension plan that offers disability, retirement and survivor benefits to City of Houston employees and HMEPS staff. It serves more than 25,000 people, according to its website.
Mayor Whitmire and HMEPS did not immediately respond to FOX Business’ request for comment.
