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MOBILE, Alabama — A judge today approved a settlement agreement over Prichard’s failed pension fund, which means at least 105 city retirees will get their first paychecks in 2 years next month.

Mobile County Circuit Judge Michael Youngpeter approved the agreement in front of a few dozen retirees in court after a nearly 2-hour hearing.

Many retirees asked anxious questions about the settlement and how Prichard city officials would be held accountable in the future.

About 140 retirees who were owed a total of $150,000 a month have not been paid since September 2009, when the pension fund became insolvent.

‘We’ve worked hard for this,’ former clerk says

Under the settlement, retirees would get some of the backpay owed, and the city would restart monthly payments of $50,000 divided among them — about one-third of what the pensioners are supposed to receive.

“We’ve worked hard for this,” said Mary Berg, a former assistant city clerk. “It will give the retirees some relief.”

Still, other pensioners were concerned about the city of Prichard staying committed to their end of the deal. Attorneys said the judge will continue to have the authority to enforce the settlement.

“You have questions because so many of the retirees do no trust the city,” said Brenda Dennis, who in the end agreed to the settlement.

The city will have to pay about $629,000 from remaining money in the pension fund. The money would go toward about $2.7 million that the retirees are owed.

If the city’s annual revenues ever increase, the retirees would also be entitled to one-third of that increase toward what they’re owed. After that, any additional funds would help restore full monthly payments.

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