For this weeks blog, I am continuing the discussion about providing a fixed percentage of the budget towards police. A nickname for this might be, “We Get, You Get.” The name refers to when the aggregate budget grows, then funding for the most critical service a city can provide—police—would grow. (Providing a sewer system is a close second for the most critical service).
Read More 39Pension reform
Council Could Cancel its Own Pensions
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Councilmember Pete Constant is leading the charge to terminate the CalPERS pension program for the mayor and City Council. Originally asking City Attorney Rich Doyle to study the proposal in June, Constant’s Dec. 19 memo, which suggests Doyle draft a resolution that gives notice of the city’s intention to terminate its contract with CalPERS, went in front the Rules and Open Govt. Committee on Wednesday and was unanimously approved.
Read More 19San Jose Inside’s 2011 Year in Review
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As the year winds down, you can almost hear the collective sigh coming from City Hall. Or maybe that’s an echoing whoosh from councilmembers, the mayor, city manager and their staffs, who hightailed it for the holidays. Either way, 2011 was a tumultuous year, fierce in the manner civic actors clashed over pension reform, public safety, pot, a potential ballpark, ballot measures, pay cuts, occupations of city property and other issues of varying degrees of importance.
Read More 22Pairing Pension Reform with Taxes
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Vice Mayor Answers Reader Questions
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This week, San Jose Vice Mayor Madison Nguyen answered 10 questions selected by SJI staff out of dozens submitted by San Jose Inside commenters. The topics range from the Little Saigon controversy and Nguyen’s relationship with public safety unions to the city’s legal basis for the pension reform ballot measure.—Editor
Read More 49POA to Vote on Extending Pay Cut
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A day after the City Council decided to go to the ballot box in June for pension reform, the police union signed a tentative agreement with the city of San Jose to extend a 10-percent pay cut through the 2012-13 fiscal year. The agreement will need to be ratified by the Police Officers Association membership. If that is achieved, the POA expects the deal to save the city $25 million.
Read More 15Council Votes in Favor of Ballot Measure
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Let the real battle begin. On Tuesday, the City Council voted 6-5 to place a retirement reform ballot measure before voters in June 2012, which will also be the same time California voters take part in the presidential primary election. Supporting the ballot measure were Mayor Chuck Reed and councilmembers Madison Nguyen, Pete Constant, Rose Herrera, Sam Liccardo and Pierluigi Oliverio. Voting against the measure were councilmembers Xavier Campos, Kansen Chu, Ash Kalra, Nancy Pyle and Don Rocha.
Read More 65City Still Wants Pension Reform Election
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With San Jose’s budget shortfall coming in at far less than the $80 million expected, the City Council will defer any action next Tuesday to declare a fiscal emergency. New projections put the shortfall at around $25 million. However, Mayor Chuck Reed still wants an election next year to reform employee pensions. The preferred election date for the ballot measures would be June 5, 2012, according to a memo sent out Thursday by Reed and councilmembers Pete Constant, Rose Herrera, Sam Liccardo and Madison Nguyen.
Read More 28Data Shows No ‘Fiscal Emergency’
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Editor’s Note: Jim Unland is a sergeant in the San Jose Police Department and president of the Police Officers Association. He wrote this column for San Jose Inside.
Good news has been hard to come by as of late. That is until yesterday. The city of San Jose Police and Fire Retirement Board voted yesterday to accept the plan actuary recommendations on pension costs for next year. And surprise, surprise, pension costs shrank to the tune of $55 million in the police and fire plan. That’s not a typo—$55 million will come off the projected budget deficit as a result of pay and concessions and concessions agreed to by police officers and firefighters.
Read More 24Teeter-Totter Salary vs. Pension
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I was recently approached in my district by a married couple who told me that they hold “very liberal” perspectives on political matters, with the exception of pensions. When it comes to that topic, they said, they are in line with Rush Limbaugh. It is evident to me that whatever degree of pension reform is put on the ballot—and, yes, pension reform for current employees must go to the ballot since it would require a change to the city charter—will pass. But it will be necessary to reallocate a portion of the savings to increase certain salaries.
Read More 62Unions: Half-Billion Saved in New Proposal
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Exemption from the Pension Tax
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It is clear that the budget deficit this year and in future years cannot be solved only by pension reform. Even if the city stopped matching the employee contributions at the current rate of 250 percent to the average employer match on a 401K of 3-6 percent, taxpayers would still have a multi-billion dollar unfunded liability from commitments to current and future retirees already vested. Why beat around the bush when we know taxes will have to be raised to afford the pension obligations and maintain bare minimum services laid out in the city charter?
Read More 98Pension Crisis Takes Stage at Stanford
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Stepping away from City Hall and community centers to talk about the budget and retirement benefit reform, Mayor Chuck Reed, labor leaders and a couple Stanford University scholars will be meeting Monday night to take an in-depth look at the city’s pension crisis.The event is open to the public.
Read More 15Idea to Increase Sales Tax Abandoned
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Unions Outraged by City’s Ballot Proposal
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A few weeks ago, there seemed to be a greater sense of cooperation between the city and five public employee unions over pension reform. Agreements were made to extend negotiations and work together on ballot measures. But last week, the city sent out its first draft of proposed measures. The ideas did not sit well with more than a few unions.
Read More 29City Unveils Proposed Ballot Measures
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On Wednesday, the city sent a draft of proposed ballot measures addressing pension reform to each public employee union. Only two of those letters went to union groups that have agreed to set times to continue negotiations: the police and firefighters, which recently joined together in negotiations, and the unions representing architects and engineers (AEA), mid-level managers (CAMP) and maintenance supervisors (AMSP).
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