LEXINGTON, Ky. — The Police and Fire Pension Board approved a higher employer contribution rate during its monthly meeting Wednesday, increasing the city's funding obligation as it navigates ongoing challenges with the pension system's unfunded liabilities.

The board voted to increase the employer contribution rate from 50.06% to 51.24% for the new fiscal year, according to meeting records. Treasurer Commissioner Hensley noted the change takes effect with the July payroll period, which became the first three-payroll month under the new rate structure. Active June payroll totaled $11.5 million with accruals and standard employee and employer contributions processed through the fund.

The board also approved routine business items including military service purchases and ghost time credit purchases for officers, as well as widow annuities for Amy Heisel and Laura, and a child's annuity for Jena Anniston and Cutler Marshal. The board approved a motion to relocate its November 18 meeting to the Phoenix Building's third floor conference room.

Officer Jason Wallace of the Division of Police received service retirement approval effective July 18, 2026. The board also processed several disability cases, including applications from Dean Hammond, Mark Rogers, Brian Rosco, Adam Sorelle, Jonathan Cole and Derek DeSimon. Board members noted that one applicant's disability rating was updated following evaluation by reviewing physicians.

The board observed tributes to three individuals whose families receive benefits. Rick Heisel, a paramedic with the Division of Fire, died August 26. Scott Marshal of the Division of Fire passed away August 15, and Grace Corb, widow of retired police officer Thomas Corb, died August 28. Board members shared memories and offered condolences, with one noting that Scott Marshal's widow and children had just been approved for benefits.

The Police and Fire Retirement Fund serves sworn members of the Divisions of Police and Fire and Emergency Services. As of January 2026, the fund faced an unfunded liability of $386.6 million against approximately $1.4 billion in benefits already earned.