Difference between revisions of "San Francisco Public Employee Pensions, Proposition D (June 2010)"
|Line 38:||Line 38:|
Revision as of 08:34, 14 December 2010June 8, 2010 ballot in San Francisco, where it was approved.
Proposition D will:
- Require new public employees hired by the city to contribute 9% to their pension, rather than the 7% contributed by existing public employees of the city.
- Require the city to set aside some funds every year to pay for the future known costs of the city's pension plan.
- Base pension payouts on what an employee earned in the last two years of employment, rather than in the last year.
Proposition D applies to employees hired after July 1, 2010.
The San Francisco City Controller estimated that if Proposition D is approved, it would save the city between $300 million and $500 million cumulatively over the next 25 years.
Proposition D, however, will have no impact on the $483 million deficit the city is projecting for the fiscal year that begins on July 1, 2010.
The San Francisco Chronicle's editorial board endorsed a "yes" vote on Proposition D, saying: "This measure will dent a significant problem: financial promises to retired workers that are outpaced by rising health care costs and declining investment returns. It also shores up the city's image with financial rating agencies wondering what steps San Francisco is taking to limit future liabilities."
The annual amount San Francisco pays in pensions is growing rapidly. It is estimated that in 2014, the annual expense of San Francisco's pension payments will be $700 million, compared to $300 million in 2010.
- Official text of Proposition D
- Official ballot proposition list for San Francisco's June 8, 2010 election
- June 8, 2010 election results, San Francisco
- San Francisco Chronicle, "S.F. ballot measure would save pension costs", March 3, 2010
- San Francisco Chronicle, "Prop. D pension changes key to S.F. deficit", May 17, 2010
- Beyond Chron, "June Ballot Measures Reflect City’s Political Fault Lines", March 24, 2010
- San Francisco Chronicle, "San Francisco's ballot measures", May 16, 2010