City Council Passes Pension Rescue Plan

PITTSBURGH (KDKA) — City Council met Friday to put the final touches on a plan to save the pension fund from a state takeover.

They passed the latest plan to dedicate nearly $735.7 million in parking tax revenue over the next 30 years into that fund and raise parking meters and garage rates to fill the hole in the budget that this causes.

Council had to redo the bill because the state gave them wrong requirements earlier in the week.

“The state told us to use a 5 percent discount rate when determining all of our outlying numbers,” Councilman Bill Peduto said. “They then came back the next day and said use eight percent.”

But with numbers corrected, council moved quickly with one new supporter – Councilman Ricky Burgess.

“This plan has an opportunity to prevent state takeover, and I will vote for it because I have been consistent that a state takeover is the worst of all possible realities,” he said.

Council President Darlene Harris signed the unanimous bill which City Clerk Linda Johnson-Wasler walked down the hall to Mayor Ravenstahl’s office for his signature only to find his office closed up tight.

An aide to the mayor eventually showed up to take the bill to him which he vetoed, requiring council to meet again to override his veto, making the mayor, once again, the odd man out.

“I would love the city to be working together,” Harris. “There’s the controller, nine council members, and we would love to have the mayor.”

In the strange world of politics, Ravenstahl insists he did cooperate with council by vetoing the bill in time for them to override it before midnight.

He did do that.

But council is feeling good that even without the mayor they found a way to keep the city’s pension fund in city hands.

They say they have guaranteed city residents, city workers and retirees a happier new year.


One Comment

  1. unhappy burgher says:

    As a city resident and employee, i must say that i am somewhat disappointed by this. The city is robbing Peter to pay Paul. At least a state run pension will gurantee the cities employees will get what they desrve. This will fall apart in a few years and we will be worse off. council is a joke

  2. Unhappy New Year says:

    This is the second time I am trying to leave a comment on this. They just won’t post them. What a joke. Once again it now costs $15. an hour to park downtown. If they write you a ticket the cost of that is $95. Now they wonder why more people don’t come downtown. These people running this city are a joke. They have no touch with reality. The year is now 2011 no one rides free anymore it’s all about greed. No one gets a pension plan no one gets health care not without paying for it! The times have changed they must get up with the times. Quit making the people pay for these things. Who pays for your pension plan? No one because most likely you do not have a pension plan. Who pays for your health care? No one because most likely you don’t have one. They just keep pushing more and more people out of downtown. There will be more empty buildings and offices down here now than ever before. So happy new year to all you delivery people you will have a worst time this year as more people more out and you will be delivering less. The problem is you keep putting these same people back in office.

  3. Figures says:

    So, again, they did NOTHING to fix the “out of touch with reality” pension plans. Instead, they prolonged the pain and with increased parking fees will drive more people/businesses to the suburbs. Good job democrats.

  4. Roger C says:

    I bet these very same councilman voted for Obama. You have to love socialism. What’s that saying..”change you can believe in?”. BLAH!

  5. Rachel says:

    Government as a whole needs to look at themselves as a corporation instead of as an employee owned business.. Make cuts where they are needed instead of robbing Peter to pay Paul. What was one of the first things to go when a company went bankrupt, the pension. Pensions are too expensive in this day and age. The city really needs to look at dissolving the fund in order to move forward. Pittsburgh will forever be stuck becasue of the pension debt monkey if changes are not made.

  6. Tim says:

    Rachel is a liberial puck. More than likely a suburban house wife with a rich husband and bad kids.

    1. Rachel says:

      Tim, I just want to set the record straight. I am NOT a suburban housewife with a rich husband and bad kids. I am a working class city of Pittsburgh resident that has an opinion about the pension, wife, and mother to two well behaved kids. I will have to save for my own retirement through 401Ks due to never seeing a pension and social security when it is my time to retire.

    2. ZOEYZOTRON says:

      TIM – You are a dumba$$, Rachel’s comments would make her conservative, not Liberal. And by the way, she is 100% right. there is NO way to save Pensions, time for 401Ks going forward.

  7. LMartin says:

    No, Rachel isn’t, she is is a very intelligent person. The solution to the pension problem is to have the people pay for their own, instead of relying on welfare. You are running out of other people’s money, this is what happens when you do.

    1. Rachel says:

      LMartin, thank you for the compliment.

  8. ZOEYZOTRON says:

    Why am I paying for my retirement and someone else’s???? I will now do all I can not to park in the city. DRink Tax, wage tax, Parking tax… ALL = BAILOUT.

  9. One small voice says:

    What do you expect, the Council is all City Employees that get a pension. They want their share, then move out of town when they retire.

Comments are closed.

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