The ongoing saga of reforming benefits. retirement and pension formulas one government municipality at a time.
Oakland Tribune/Matthew Artz, 6/4/12. "Oakland wrestling with broke pension system."
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| 30+ years of generous pensions |
"The last time Oakland issued bonds to prop up a woefully underfunded
pension system for retired police and firefighters, it lost a
quarter-billion dollars, according to the city auditor.
On Tuesday, city council members are all but certain to hold their noses and approve issuing up to $250 million in additional bonds to stabilize the pension fund because rejecting it would ravage the city's finances.
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| Been there... |
The only council
member publicly opposed to the bond plan is Ignacio De La Fuente, who's
frustrated by the city's lack of control over the independently-managed
retirement system. The city recently won a tentative ruling against the
system, which Johnson said will save it about $3 million a year by
forcing the system to lower benefits for retired police officers to
mirror concessions agreed to by active police. "I like to learn
from my screw-ups," De La Fuente said during a recent city meeting.
"There's got to be some recognition that we cannot keep paying (this) at
the expense of other services and other employees of the city." Read Article.
Related - Budget. City of Oakland proposed 2012-13 mid-cycle budget included, 5 pages. "No layoffs, for the first time in more than 4 years...." City of Oakland $441 million 2011-13 budget facts, 6 pages.
Related - City Council. Oakland is a charter city, with eight (8) city councilmembers, plus a "strong mayor" (Jean Quan). Charter city of Oakland: "Section 200. Composition of the Council. The Council shall consist of eight Councilmembers, nominated and elected as hereinafter provided. The Mayor shall not be a member of the Council, but he shall have a vote on the Council if the councilmembers are evenly divided."
Related - Budget. City of Oakland proposed 2012-13 mid-cycle budget included, 5 pages. "No layoffs, for the first time in more than 4 years...." City of Oakland $441 million 2011-13 budget facts, 6 pages.
Related - City Council. Oakland is a charter city, with eight (8) city councilmembers, plus a "strong mayor" (Jean Quan). Charter city of Oakland: "Section 200. Composition of the Council. The Council shall consist of eight Councilmembers, nominated and elected as hereinafter provided. The Mayor shall not be a member of the Council, but he shall have a vote on the Council if the councilmembers are evenly divided."
Posted by Kathy Meeh
2 comments:
De La Fuente hit the nail on the head. Can't afford to keep paying
these salaries and benefits and pensions! Reform or perish.
Same as in almost every city, town, county and state.
Meanwhile the government unions are still in denial and are outraged when we tell them we don't have the money.
They need to all have their pensions reduced to what we get on SSI. $2000 a month max, and not until they are 67.
No worries though. The whole Calpers pension system will collapse soon as more and more cities file for bankruptcy. Then their pensions will have to be cut.
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