Schuylkill County retirees are finally celebrating their long-awaited cost of living pension increase.

The county salary board in a split vote Wednesday granted the 1.4 percent increase. The raise will give retirees an average of $14 a month.

Treasurer Linda L. Marchalk, and Commissioners Gary J. Hess and Frank J. Staudenmeier voted in favor of the hike, with Commissioners’ Chairman George F. Halcovage Jr. and Controller Christy D. Joy opposed.

Retirees Association President Joan Dietrich was pleased with the decision. She and others have been waiting 10 years for an increase.

“We’re very pleased that they voted in our favor. It was a long-fought victory,” she said after the public meeting.

Marchalk explained her reasons for supporting the increase.

“As the treasurer, I looked at the numbers, and I looked at both sides of the situation. I felt the retirees have worked hard for the county, and most employees do see an annual cost of living increase in their paychecks, so I felt the retirees were deserving of the increase,” Marchalk said.

“As treasurer, I’ve worked hard to increase the interest income and hotel tax revenue for the county, and I believe there are other avenues the county can look at to reduce expenses,” she said.

Joy, however, said he’s concerned about the long-term impacts, and believes the county should follow Lehigh County’s example, and not even consider cost of living increases unless the retirement account is 104 percent funded. It’s now about 91 percent funded.

Under state law, the fund must be at least 80 percent funded for COLAs to be granted.

“We paid $4,465,468 in health care premiums in 2016 for retiree households,” he said.

“In 2017, the premiums increased by 7 percent, $669 for a single and $1565 for a family, an average of $393,158 a month. In total, the county paid $4,717,896.04 a 6 percent increase. That’s about 2 mils in real estate tax revenue.

“In addition, the county annually reimburses retirees $361,996 for Medicare part B, and we pay $55,500 for in-lieu-of health care,” Joy said.

Halcovage defended his vote against the increase.

“My concern has been the rising cost of health care, and the continuing cost of health care,” he said.

Referring to Joy’s statement, Halcovage said the cost of health care rose 7 percent, so retirees are “getting a 7 percent cost of living (increase) from that standpoint, based on the amount that has to be paid out every year,” he said.

“I respect our retirees; they’re good people. Our fund is healthy, but I’m going to be consistent with what my statement has been from day one,” Halcovage said.

The cost-of-living adjustment, or COLA, would be the first in 10 years for the retirees. The last increase was in 2007. Until 2015, the retirement board had balked at increasing the pensions because they would have had to make the raise retroactive, costing millions. But state legislation has since relieved them of that requirement.

Retirees have been asking for a three-tenths of a percent increase.

But Joy explained in December that the state regulates the increases based on a consumer price index.

The increase will cost the county $922,446 over 10 years, he said.

The county is restricted to either the 1.4 percent increase or none at all.