https://www.americancityandcounty.com/wp-content/themes/acc_child/assets/images/logo/footer-logo.png
  • Home
  • Expert Insights
    • Back
    • Commentaries
    • Smart Cities Council
    • Co-op Solutions
  • News
  • In-Depth
  • Multimedia
  • Resources
    • Back
    • Resources
    • Webinars
    • White Papers
    • American City & County Awards
    • Events
    • Municipal Cost Index – Archive
  • Magazine
    • Back
    • Digital Editions
    • Reprints & Reuse
  • About Us
    • Back
    • About Us
    • Contact Us
    • Privacy Statement
    • Terms of Service
American City and County
  • NEWSLETTER
  • Home
  • Co-op Solutions
  • Expert Insights
    • Back
    • Commentaries
    • Smart Cities Council
  • News
  • In-Depth
  • Multimedia
  • Resources
    • Back
    • Webinars
    • White Papers
    • American City & County Awards
    • Events
    • Municipal Cost Index
  • Magazine
    • Back
    • Digital Editions
    • Reprints & Reuse
    • Subscribe to AC&C
    • Manage AC&C Subscription
    • Subscribe to GovPro
    • Manage GovPro Subscription
    • Advertise
  • About Us
    • Back
    • About Us
    • Contact Us
    • Cookie Policy
    • Privacy Stament
    • Terms of Service
  • newsletter
  • Administration
  • Economy & Finance
  • Procurement
  • Public Safety
  • Public Works & Utilities
  • Smart Cities & Technology
acc.com

Administration


Image by Brian A. Jackson/Getty Images.

Article

Cities propose various strategies to fix pension problems

Cities propose various strategies to fix pension problems

  • Written by Jason Axelrod
  • 5th December 2018

Across the country, cities are proposing and implementing multiple strategies in attempts to reduce pension deficits.

Princeton, Ill., officials plan to institute a 2 percent increase in taxes over last year, unanimously approving a first reading of the ordinance to institute the levy on Dec. 3, BCRNews reports. The city’s police pension is funded at 74.34 percent, while its fire pension is funded at 62.33 percent, and officials plan to levy $353,326 for the police pension and $414,644 for the fire pension.

“There is a state mandate that those have to be fully funded by 2040, and it’s something that I am going to be working on over the next six months or so,” Princeton City Manager Rachel Skaggs said, per BCRNews.

To ease such a big increase, the city’s general fund will take a 40 percent decrease, BCRNews reports.

In Birmingham, Ala., the city’s pension board proposed multiple strategies to fund a missing $378 million in the city’s pension fund, Alabama TV station WBRC reports. Mayor Randall Woodfin noted that the city would need at least $12 million per year over the next 30 years to make the fund whole again.

Strategies include letting the Retirement Systems of Alabama manage the fund, increasing contributions made by the city and its employees or reducing current and new employee retirement benefits, according to WBRC.

Both strategies were met with opposition. The city has been very good for me and I want to do everything I can as a board member to make sure our bond rating stays strong but throwing on the backs of the employees and the rush like it’s been done right now is not the way to do it. We didn’t get here overnight, and we can’t fix it overnight,” said Dale Wyatt, a pension board member, per WBRC.

Two of New Haven, Ct.’s pensions — a retirement fund for police and firemen and one for city employees — are about $700 million underfunded, the New Haven Register reports. A pension task force has been specifically assembled to discover how the city got itself into the issue and how that issue can be resolved over time.

The first meeting of the task force, which occurred on Dec. 3, “was simple to lay out the expectations for the members. That dedicated and informed membership agreed to focus on finding solutions to real issues by having meaningful and respectful dialogue based on presentations from experts,” New Haven Board of Alders President Tyisha Walker-Myers said in a message to the Register.

The currently five-member task force hopes to hire a consultant and expects to hear from the city’s financial review and audit commission, as well as Connecticut’s Municipal Accountability Review Board, the Register reports.

“We have a tremendous amount of work to do in the next couple of months and we encourage and welcome all positive and constructive ideas,” Walker-Myers said in the message to the Register.

Tags: Administration Economy News Administration Economy News Article

Related


  • Financing to fuel energy savings projects
    In an era of tightening budgets, one way many communities are saving costs is by going green. By adopting energy conservation measures (ECMs), cities and counties can keep their coffers and the environment sustainable. Energy savings programs can save municipalities considerable amounts of money, and they are often cost-neutral to implement since the costs are […]
  • Pensacola hit by cyber attack hours after shooting
    Pensacola, Fla., has disconnected most of its network following a cyber attack over the weekend. The city first became aware of the incident early Saturday morning, CBS News reports. The discovery of the cyber attack came just hours after a Saudi flight student killed three and wounded eight during a shooting at a naval air […]
  • Newark sues New York City to stop homeless relocation program
    Newark, N.J., is suing New York City’s mayor to court in hopes of ending a controversial program that sends homeless families to live in the state. The legal battle is the most recent of many similar conflicts going on across the country. According to NJ.com, New York City offers a one-time assistance program to homeless […]
  • Civil rights icon Rosa Parks honored in downtown Montgomery
    Sixty-four years ago, Rosa Parks was arrested in Montgomery, Ala. This week, a commemorative statue of Parks was unveiled in the city’s downtown square. On Dec. 1, 1955, Parks, an African American seamstress, refused to give her seat on a public bus to a white passenger, according to Politico. That evening, she was arrested for […]

Leave a comment Cancel reply

-or-

Log in with your American City and County account

Alternatively, post a comment by completing the form below:

Your email address will not be published. Required fields are marked *

Related Content

  • Treading carefully: How public employers can combat heightened exposure in the #MeToo era
  • The top 23 hyperconnected U.S. cities
  • All hands on deck! A closer look at city-utility collaboration to meet sustainability goals
  • Lyft withdraws electric scooters from multiple U.S. cities

White Papers


Top Trends in Critical Communications

10th December 2019

The 2019 Public Sector Guide to Text Messaging Policy and Retention

15th October 2019

Smart Parks: A 7-Step Guide to Park Asset Management

3rd October 2019
view all

Events


Twitter


AmerCityCounty

#PeachtreeCorners, Ga joins a slew of communities experiencing #transportation innovation by unveiling its technolo… twitter.com/i/web/status/1…

11th December 2019
AmerCityCounty

Today at 2 PM ET we're hosting the Internal Alerting Webinar! Join us and @OnSolve to dive deeper into the importan… twitter.com/i/web/status/1…

11th December 2019
AmerCityCounty

A new report by @ESIThoughtLab, ranks 100 #hyperconnected cities across the globe. Click through our gallery to see… twitter.com/i/web/status/1…

10th December 2019
AmerCityCounty

Join us for the internal alerting webinar on Wednesday! @OnSolve will diver deeper into the importance of an… twitter.com/i/web/status/1…

10th December 2019
AmerCityCounty

Building a #publictransportation network in a city is tough. However, for many residents, it's become a necessity.… twitter.com/i/web/status/1…

10th December 2019
AmerCityCounty

#Marijuanalegalization is gaining momentum, and the small beach community of #PortHueneme, CA decided to capitalize… twitter.com/i/web/status/1…

10th December 2019
AmerCityCounty

Join us for the internal alerting webinar on Wednesday! @OnSolve will dive deeper into the importance of an… twitter.com/i/web/status/1…

9th December 2019
AmerCityCounty

The NYPD pulled it's LiveScan #fingerprinttracking system offline after a #ransomware virus spread to 23 machines c… twitter.com/i/web/status/1…

9th December 2019

Newsletters

Sign up for American City & County’s newsletters to receive regular news and information updates about local governments.

Expert Insights

Learn from experts in the public and private sectors about best practices and how to optimize your government’s operations.

Municipal Cost Index

Updated monthly since 1978, our exclusive Municipal Cost Index shows the effects of inflation on the cost of providing municipal services

Media Kit and Advertising

Want to reach our digital and print audiences? Learn more here.

DISCOVER MORE FROM INFORMA TECH

  • IWCE’s Urgent Communications
  • IWCE Expo

WORKING WITH US

  • About Us
  • Contact Us

FOLLOW American City and County ON SOCIAL

  • Cookies Policy
  • Privacy
  • Terms
Copyright ©2019 Informa PLC. Informa Telecoms & Media Limited is a company registered in England and Wales with company number 00991704 whose registered office is 5 Howick Place, London, SW1P 1WG. VAT GB365462636. Informa Telecoms & Media Limited is part of Informa PLC.
Websites are now required by law to gain your consent before applying cookies. We use cookies to improve your browsing experience. Parts of the website may not work as expected without them. By closing or ignoring this message, you are consenting to our use of cookies.
X