Posted on 11/11/2013 4:17:31 PM PST by Olog-hai
Voters in Cincinnati last week soundly defeated a ballot initiative which would have overhauled the pension system for public workers, leaving the city without a plan to deal with $872 million in unfunded liabilities.
Cincinnati is not alone.
Across the nation, cities and states are finding funding for basic services being crowded out of their budgets by the rising cost of retirees’ pensions and healthcare. …
More and more cities, counties, and even some states will face the harsh reality of having to fix their pension systems or deal with a Detroit-style bankruptcy. …
(Excerpt) Read more at newsmax.com ...
When this hits, the people will know who is to blame, and they know it will not be the conservatives.
Here are the top 10 cities with the lowest percentage of funding for pension liabilities City Total Liability % Funded Charleston, W. Va. $270 million 24 Omaha, Neb. $1.43 billion 43 Portland, Ore. $5.46 billion 50 Chicago, Ill. 24.97 billion 52 Little Rock, Ark. $498 million 59 Wilmington, Del. $364 million 59 Boston, Mass. $2.54 billion 60 Atlanta, Ga. $3.17 billion 60 Manchester, N.H. $436 million 60 New Orleans, La. $1.99 billion 61
I think the list is wildly understated and missing some of the deepest holes.
Rats and unions colluded for decades to promise an exchange of union money and votes for extravagant pensions and stick the taxpayers with the bill. Problem is that the taxpayers are revolting and aren’t rolling over. The Rats and the union bosses ought to be prosecuted under Rico laws.
Everywhere you look there are death spirals going on. Who would move or start a business in a town with something like this hanging over their heads? Why would you stay?
Lots of usual suspects but Omaha hits me as an outlier....
Very common thing, doling out pensions based on formulas figuring a rosy return on fund investments. Projecting big returns like 8 percent when reality is not even half that. By contract, the cities are on the hook to make up the shortfall. They need to change the contracts with the unions so the cities won't have to make up the difference. But they won't.
On my list of things I GAF about, public pension funding is, well NOT EVEN ON THAT LIST! Maggots.
When this hits, the democrats will propose a federal bailout, the republicans will oppose it, the republicans will get the blame for the "crisis" and blame it on the Tea party. Count on it.
Democrats want to loot 401k personal savings. I will not bail out these pensioners.
90% of your salary? For life? With early retirement?
The NEXT 10 City Pensions That Will Run Out Of Money
Business Insider 12/27/2010
http://www.freerepublic.com/focus/f-news/3044951/posts
This list from 2010 doesn’t jive with the cities listed here. Does that mean the cities are just getting bailed out by the state?
The one you have presented “feels” more correct in my view of the world.
The current low interest rates are keeping the federal deficit lower than it would otherwise be, but making a bad situation worse for pension funds.
“initiative which would have overhauled the pension system for public workers”
How much was predicated on large tax increases of some sort? The article wasn’t clear.
I worked with a public employee union for years and they truly believe that they will never have to take a cut to their pensions.
Saginaw Michigan was headed for bankruptcy but the emergency manager pulled them back from the brink. The city went from some 200 city employees to 10. Private contractors picked up most of the city employees and negotiated new union contracts with the employees.
The city isn’t out of the woods but they’re in a lot better position than they were.
Most public employees that are unionized have Cadillac plans. They wanted Gov’t insurance because that meant more gov’t employees. But they never intended to have the same insurance the peons (taxpayers) have.
I didn’t see Calpers (California)on the list, many others.
Indeed... it's possible that in addition to the current holder of a given job, there might be two of his predecessors getting pension checks. The Commies just need to prop up the current system a little longer, until the death panels can get to work taking the pressure off.
I don't recall many references to retirees in Soviet Russia. Betcha there are plenty of unmarked mass graves, though.
I’ve said it before, —I would like to see these unions win judgements to force these politicians to sell all public owned properties and put up tents where these politicians are employed— they granted these pensions/promises or did nothing to slow down the expansion of debt.
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