Monday, January 18, 2010
San Diego city’s pension system actuary has come out with an estimate of what the city will owe its pension fund in 2011.
The sum is $231 million. That is $20 million more than the mayor's estimate.
City Councilman Carl DeMiao says the city did take the first step to reform pensions for public employees in 2008, but that reform does not affect every city employee.
"A lot of city leaders crow about the fact that as of July 2009, new hires are being put into a new pension system." Demaio said, " but we weren’t done, because it left out fire, police and elected officials. Now that’s been swept under the rug."
DeMaio said the report opens up a hole in the mayor’s budget strategy.
He argues the bulk of the city’s pension payments are due to overgenerous pensions rather than market losses.