PERS official explains what county can do about firefighter sick leave abuse

Retrieving ill-gotten gains in firefighters' pensions is a more oblique and less sexy part of tackling potential sick leave abuse.

But Clark County commissioners have said it's vital because wrongdoers can keep reaping the benefits for decades.

County officials suspect that some firefighters timed fake sick calls to bump up co-workers' callback pay.

Most firefighters who return to work less than 12 hours after finishing a shift -- usually to fill in -- qualify for callback, in which a portion of the day's earnings go toward pensions.

A Public Employee Retirement System official explained to commissioners Tuesday what they can do under the law to reverse any fraudulent boosting of pensions.

The first step is for the county to prove the misconduct, said Tina Leiss, PERS operating officer.

"Specifically, on a fraud question, we have to rely on the employer," Leiss said.

Metropolitan Police Department and FBI officials are reviewing documents to determine whether to launch a criminal investigation into sick leave abuse.

Firefighters' sick leave cost the county about $7 million in 2009, partly because tight staffing leads to firefighters receiving overtime pay to fill in.

Commissioner Steve Sisolak has noted that schemes involving callback pay could be more costly because the abusers could pad their retirement pay by tens of thousands of dollars a year.

Leiss said the time limit for reducing a pension because of a reporting error is six years. The limit might not apply when correcting a fraudulent benefit, though that has never been tested in court, she said.

If the county finds a pattern of abuse, PERS experts will assist in adjusting the firefighter's benefits, Leiss said.

By law, pensions are treated as property and can't be forfeited if the person commits a crime, unless that crime is directly related to the benefit, Leiss said. For instance, if someone kills a spouse to take over that person's pension.

If firefighters schemed to pump up their pensions fraudulently, that could result in a reduction, she said.

Commissioner Chris Giunchigliani said those who illegally padded their pensions should lose some of their benefits, but she wants the county to thoroughly investigate to ensure firefighters who used callback legitimately aren't penalized.

"It's very difficult to figure out who did what," she said.

Contact reporter Scott Wyland at swyland@reviewjournal.com or 702-455-4519.