From the CC Times Endorsement of Jack Weir for City Council, we find this gem:
..."The city's current two-year budget spends $1.2 million more than it takes in. Sales tax, on which the city is highly dependent, was down about 15 percent from expectations last year. To help make up the shortfall, the city is seeking voter approval on Nov. 2 for a utility tax increase.
That would be Measure "T"...
..."Yet, at the same time, the city, with a tradition of generous employee benefits, provides nearly free health care and completely free pensions to its workers." (emphasis ours)
"City workers pay $55 a month for medical coverage, regardless of the number of dependents. The city pays the rest, which works out to about $1,000 per employee per month. As for retirement, the city not only pays the employer share of payments to the state retirement system, it also picks up the employee share. As a result, for every dollar of payroll, the city pays another 37 cents for police pensions and 19 cents for the retirement of other workers."
Wow, where do we sign up? The company I work for doesn't even have 401k matching anymore!
"That was bad policy when the city was flush with cash; it's horrible now that revenues have shrunk. As the city enters negotiations next year with all of its employee unions, the council needs to remember that its first obligation is to provide services while being mindful of the taxpayer burden."
Get the "rim shot" ready.......
"Interestingly, if the city required employees to pay their share of retirement, it would free up nearly as much money as the utility tax increase would generate. The pension change wouldn't solve the city's fiscal problems, but it's an obvious move that could save substantial money." (again, emphasis ours)
So the City's decision Monday night is to endorse the tax increase and hope people forget they have $2 million above and beyond the baseline reserve which is supposed to be used "in case there is a recession"?
..."The city's current two-year budget spends $1.2 million more than it takes in. Sales tax, on which the city is highly dependent, was down about 15 percent from expectations last year. To help make up the shortfall, the city is seeking voter approval on Nov. 2 for a utility tax increase.
That would be Measure "T"...
..."Yet, at the same time, the city, with a tradition of generous employee benefits, provides nearly free health care and completely free pensions to its workers." (emphasis ours)
"City workers pay $55 a month for medical coverage, regardless of the number of dependents. The city pays the rest, which works out to about $1,000 per employee per month. As for retirement, the city not only pays the employer share of payments to the state retirement system, it also picks up the employee share. As a result, for every dollar of payroll, the city pays another 37 cents for police pensions and 19 cents for the retirement of other workers."
Wow, where do we sign up? The company I work for doesn't even have 401k matching anymore!
"That was bad policy when the city was flush with cash; it's horrible now that revenues have shrunk. As the city enters negotiations next year with all of its employee unions, the council needs to remember that its first obligation is to provide services while being mindful of the taxpayer burden."
Get the "rim shot" ready.......
"Interestingly, if the city required employees to pay their share of retirement, it would free up nearly as much money as the utility tax increase would generate. The pension change wouldn't solve the city's fiscal problems, but it's an obvious move that could save substantial money." (again, emphasis ours)
So the City's decision Monday night is to endorse the tax increase and hope people forget they have $2 million above and beyond the baseline reserve which is supposed to be used "in case there is a recession"?