JOHNSTOWN, Pa. – Earlier this year, the Pennsylvania Department of the Auditor General issued a report showing that “in all significant respects” the City of Johnstown’s Comprehensive Municipal Pension Trust Fund was administered in compliance regarding state laws and local policies, although several areas of concern still existed, such as inconsistent benefits and incorrect data.
The AG’s office also noted that some of the matters had been raised in previous audits, specifically pointing out how the firemen’s plan was being cited for the eighth time for having benefits in excess of what is permitted by the Third Class City Code.
Auditors “strongly” encouraged “timely implementation of the recommendations” made in the report.
In an attempt to address the concerns, Johnstown City Council unanimously approved an ordinance on Wednesday that was designed to bring its police, fire and nonuniformed pension plans into compliance with the code.
“There were inconsistencies in the language of the various points of our agreements and the Third Class City Code,” City Manager Ethan Imhoff said in an interview after the meeting. “The purpose of this was to remedy some of those inconsistencies.”
Imhoff added: “It’s just kind of administratively cleaning house. We’ve been doing a lot of that the first year and a half that I’ve been here.”
The audit, which was released in March, looked at the period from Jan. 1, 2019, to Dec. 31, 2021.
The auditor general’s office pointed out that the city made a “marked improvement” in getting its police plan funded to 97%, fire to 87.8%, non-uniformed to 91.7%, and bureau of sewage to 99.2%, as of Jan. 1, 2021. That was compared to when the pensions had previously been in either “severe” or “moderate” distress.
The city funded the pensions using money from the sale of its sewer system.
Prospect update
City Councilman Charles Arnone, who is also chairman of the Johnstown Housing Authority, provided an update about the Prospect Homes housing project.
JHA required more than 200 residents to vacate those properties due to structural concerns, most critically the condition of the ceilings, a few months ago.
The buildings are being evaluated.
“There are still no definitive plans for the Prospect community,” Arnone said. “We are currently waiting for a full scope of work of exactly what needs done building by building. Some properties have different needs.”
Arnone said JHA is looking to get a “realistic complete estimate” of the projected cost for any work before moving forward.
Dave Sutor is a reporter for The Tribune-Democrat. He can be reached at 814-532-5056. Follow him on Twitter @Dave_Sutor.
