Sheriff Looking To Add COLA To Merit Deputies’ Pension Plan

May 9, 2025 at 4:43 p.m.
Alan Alderfer (standing), a six-year member of the Merit Board and a local financial adviser, updates the Kosciusko County Council Thursday night on the current state of the Kosciusko County Sheriff’s Office pension plan, with Sheriff Jim Smith listening (sitting). Photo by David Slone, Times-Union
Alan Alderfer (standing), a six-year member of the Merit Board and a local financial adviser, updates the Kosciusko County Council Thursday night on the current state of the Kosciusko County Sheriff’s Office pension plan, with Sheriff Jim Smith listening (sitting). Photo by David Slone, Times-Union

By DAVID L. SLONE Managing Editor

To get and keep quality merit deputies, Kosciusko County Sheriff Jim Smith presented a project to the county council Thursday his office and the Merit Board have been working on for close to 1-1/2 years.
“The presentation tonight, you will hear a request to add the cost-of-living adjustment to the sheriff’s office merit deputies,” he said.
The council was provided a document explaining the cost-of-living adjustment (COLA), the benefits of the adjustment and the expenses related to hiring and training new deputies.
“As sheriff, I feel that my obligations are not just running the day-to-day operations of the office, but also include continuing to make the sheriff’s office an organization where law enforcement officers desire to come, stay and retire from,” Smith stated.
He said he’s looked at other agencies and how they’ve attracted and retained officers.
“It goes far beyond just the salary. In the highly competitive law enforcement recruiting field, pensions are certainly a factor in attracting talent. As I reviewed the pension plans for other agencies, specifically the ones that are close to home - Indiana State Police, the DNR and Warsaw Police Department - the cost-of-living adjustments are already implemented into their retirement plans,” Smith said.
Alan Alderfer, a six-year member of the Merit Board and a local financial adviser, updated the county council on the current state of the sheriff’s office pension plan and the results of the COLA study that was recently completed.
Alderfer said he’s been involved with helping manage the pension fund, but disclosed that his firm doesn’t manage any of it as it’s outsourced to another firm.
“Our current pension fund is 97.5% funded. The average in the state of Indiana is between 80 and 85%. So we are very, very well funded,” he said, adding it was funded nearly 100% because of the county funding it at the recommended level. “And then it’s also funded because we’ve done a very nice job and we’ve been very prudent with the pension fund money and we’ve had some very nice growth in the portfolio.”
He said currently what they’re asking for is a “3% variable comp annually, based on the fed’s rate. The 3% is the maximum, but if inflation is less than 3%, it will be less than 3%. If inflation is 2, the officers will get 2.”
He continued, “You’re going to have to have at least 20 years of service. Ten years of cost-of-living increase is what we’re asking for. We’re not asking for a lifetime, we’re asking for 10 years. That 10 years is available after 20 years of service and upon reaching the age of 55 and drawing your pension.”
The Merit Board has presented two options, Alderfer said. The first option is that the COLA apply only to future retirees, and the second option is to apply the COLA to both current and future retirees.
“So our 2025 recommended funding is $637,955. That’s currently what we’re asking and going to have for next year. If we have a COLA for future retirees, that funding will be $851,651, that’s an additional $213,966. Also, the COLA for future and current retirees, that is $996,359, and that’s an additional $358,404,” Alderfer stated.
He said the recommendation is to have the COLA for both current and future retirees.
Smith said, “I want to be clear. This is not just us asking for something. We at the sheriff’s office have been very diligent, fiscally conservative in our budget and spending. For example, as you recall, we recently came before you and presented a project as it pertains to inmate food. In January of this year, we began our partnership with Kellwell Food Management. We are so excited to report tonight that after initial evaluations of the program, the sheriff’s office is projected to save approximately $375,000 on our food budget, which is half of the 2025 budgeted amount of $750,000.
“With cost-saving measures on inmate meals and even factoring in our minor 2026 budget increase request, council, we are projecting a total 2026 budget savings of $337,260.”
Smith read a statement from Chris Francis, a former 18-year employee of the sheriff’s office who now works at the Warsaw Police Department. In his statement, Francis supports Smith’s efforts to institute a COLA to the pension plan and says a driving force for him leaving the sheriff’s office was the lack of a COLA attached to the pension plan.
Since Smith took office as sheriff, he said the has hired or replaced 14 merit deputies.
“We are striving to be an organization where deputies come, stay and retire from,” he said. “I truly feel we owe this to the citizens of Kosciusko County.”
Council President Tony Ciriello asked if he was trying to get the additional appropriation for the COLA for this year or trying to get the funds in the 2026 budget. Smith said he was anticipating it for the 2026 budget. Ciriello directed Smith to include the figures in his 2026 budget and it’ll be discussed at the budget hearings this summer.

To get and keep quality merit deputies, Kosciusko County Sheriff Jim Smith presented a project to the county council Thursday his office and the Merit Board have been working on for close to 1-1/2 years.
“The presentation tonight, you will hear a request to add the cost-of-living adjustment to the sheriff’s office merit deputies,” he said.
The council was provided a document explaining the cost-of-living adjustment (COLA), the benefits of the adjustment and the expenses related to hiring and training new deputies.
“As sheriff, I feel that my obligations are not just running the day-to-day operations of the office, but also include continuing to make the sheriff’s office an organization where law enforcement officers desire to come, stay and retire from,” Smith stated.
He said he’s looked at other agencies and how they’ve attracted and retained officers.
“It goes far beyond just the salary. In the highly competitive law enforcement recruiting field, pensions are certainly a factor in attracting talent. As I reviewed the pension plans for other agencies, specifically the ones that are close to home - Indiana State Police, the DNR and Warsaw Police Department - the cost-of-living adjustments are already implemented into their retirement plans,” Smith said.
Alan Alderfer, a six-year member of the Merit Board and a local financial adviser, updated the county council on the current state of the sheriff’s office pension plan and the results of the COLA study that was recently completed.
Alderfer said he’s been involved with helping manage the pension fund, but disclosed that his firm doesn’t manage any of it as it’s outsourced to another firm.
“Our current pension fund is 97.5% funded. The average in the state of Indiana is between 80 and 85%. So we are very, very well funded,” he said, adding it was funded nearly 100% because of the county funding it at the recommended level. “And then it’s also funded because we’ve done a very nice job and we’ve been very prudent with the pension fund money and we’ve had some very nice growth in the portfolio.”
He said currently what they’re asking for is a “3% variable comp annually, based on the fed’s rate. The 3% is the maximum, but if inflation is less than 3%, it will be less than 3%. If inflation is 2, the officers will get 2.”
He continued, “You’re going to have to have at least 20 years of service. Ten years of cost-of-living increase is what we’re asking for. We’re not asking for a lifetime, we’re asking for 10 years. That 10 years is available after 20 years of service and upon reaching the age of 55 and drawing your pension.”
The Merit Board has presented two options, Alderfer said. The first option is that the COLA apply only to future retirees, and the second option is to apply the COLA to both current and future retirees.
“So our 2025 recommended funding is $637,955. That’s currently what we’re asking and going to have for next year. If we have a COLA for future retirees, that funding will be $851,651, that’s an additional $213,966. Also, the COLA for future and current retirees, that is $996,359, and that’s an additional $358,404,” Alderfer stated.
He said the recommendation is to have the COLA for both current and future retirees.
Smith said, “I want to be clear. This is not just us asking for something. We at the sheriff’s office have been very diligent, fiscally conservative in our budget and spending. For example, as you recall, we recently came before you and presented a project as it pertains to inmate food. In January of this year, we began our partnership with Kellwell Food Management. We are so excited to report tonight that after initial evaluations of the program, the sheriff’s office is projected to save approximately $375,000 on our food budget, which is half of the 2025 budgeted amount of $750,000.
“With cost-saving measures on inmate meals and even factoring in our minor 2026 budget increase request, council, we are projecting a total 2026 budget savings of $337,260.”
Smith read a statement from Chris Francis, a former 18-year employee of the sheriff’s office who now works at the Warsaw Police Department. In his statement, Francis supports Smith’s efforts to institute a COLA to the pension plan and says a driving force for him leaving the sheriff’s office was the lack of a COLA attached to the pension plan.
Since Smith took office as sheriff, he said the has hired or replaced 14 merit deputies.
“We are striving to be an organization where deputies come, stay and retire from,” he said. “I truly feel we owe this to the citizens of Kosciusko County.”
Council President Tony Ciriello asked if he was trying to get the additional appropriation for the COLA for this year or trying to get the funds in the 2026 budget. Smith said he was anticipating it for the 2026 budget. Ciriello directed Smith to include the figures in his 2026 budget and it’ll be discussed at the budget hearings this summer.

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