The meeting of NARFE in Logan Nov. 8 considered the tax refund due federal retirees from the state. Gov. Leavitt has offered 6 percent on the principal; NARFE attorneys are holding out for 12 percent. At the Logan meeting the vote was 95 for 12 percent to 12 for 6 percent. Considering the slanted presentation (by the attorneys), it is surprising that as many as 12 voted for the governor's offer.
NARFE attorneys are to receive 15 percent of the gross bill (estimated to be $50 million at 6 percent, or $63 million at 12 percent). This is a whopping $7.5 million to $9.45 million. It's little wonder the attorneys are holding out for 12 percent.NARFE leadership made a serious mistake engaging attorneys at so high a rate. It leads me to wonder of they had the authority to spend so much of their members' money without direct authorization.
The attorney at the Logan meeting assured us the state has plenty of money. This is not the issue. The 12 percent on the state tax forms was never intended to handle a case like this one. This is a special case.
How many NARFE members could have made 12 percent on the money had they not paid it as tax? It might be a fair question to ask. How many could have made 6 percent, or how many very well might now have nothing to show for it? A return of 12 percent is not realistic.
NARFE apparently is obligated to pay their attorneys 15 percent of their membership's money. Let's do it and compliment the governor on his fair and generous treatment of the problem. Or, we can insist on the last drop of blood and drag the thing out. No matter what the outcome, only the attorneys win.
Wesley Keller
Logan