Back in November San Francisco voters rejected a ballot initiative that would have required city workers to contribute more to the cost of funding their pensions. The measure, sponsored by Public Defender Jeff Adachi, "a Democrat with impeccable progressive credentials," garnered support from just 43 percent of voters after a multi-million dollar union advertising campaign against it.
Now comes the bad news. A new study by Stanford University Public Policy Professor Joe Nathan says the situation in the city by the bay is even more dire than originally thought. In addition to its pension promises, the city owes an estimated $4.364 billion in retirement health care benefits it has pledged to workers but not bothered to set aside any funds for, Nathan estimates. The city's health and pension costs, already at $514 million a year on a $4 billion budget, will double to $1 billion in just five years, Nathan projects. Adachi, who commissioned the study, is laying the groundwork for another ballot initiative to address the city's rising cost of employee retirement benefits.
Now comes the bad news. A new study by Stanford University Public Policy Professor Joe Nathan says the situation in the city by the bay is even more dire than originally thought. In addition to its pension promises, the city owes an estimated $4.364 billion in retirement health care benefits it has pledged to workers but not bothered to set aside any funds for, Nathan estimates. The city's health and pension costs, already at $514 million a year on a $4 billion budget, will double to $1 billion in just five years, Nathan projects. Adachi, who commissioned the study, is laying the groundwork for another ballot initiative to address the city's rising cost of employee retirement benefits.
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