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Bill White Wants to Strip City Employees of their Pensions

Discussion in 'BBS Hangout: Debate & Discussion' started by El_Conquistador, Mar 5, 2004.

  1. El_Conquistador

    El_Conquistador King of the D&D, The Legend, #1 Ranking

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    ...calls a special election in hopes of overturning the Proposition that passed in September which locked in city employees pension payments. This man would rather use money to build a toy train than to help hard-working city employees with their retirement needs. Stripping policemen and firefighters of their retirement is a very heartless move by a man who has dubbed himself a man of the people. What a joke.

    Mayor calls for special election over city pension issue
    By DAN FELDSTEIN
    Copyright 2004 Houston Chronicle

    Houston Mayor Bill White today called for a special election on May 15 to "opt out" of a state constitutional amendment that locks Houston into its generous pension payments to city workers.

    The amendment, called Proposition 15, was approved by voters statewide in September. It said that no city can reduce or impair pension benefits that it has already promised to employees vested in their plans.

    But Houston has recently discovered that the city can not meet the funding predictions for its main pension plan. A consultant predicts that the plan's assets will be $1.5 billion short of the expected payouts to retirees over the next 18 years.

    "It does the city no good to have an unfunded promise. That's a fraud," White said at a morning news conference.

    The cause of the funding shortfall, according to the consultant, is partly due to the investments that have underperformed during the recent recession and partly to the generosity of the plan, which gives 90 percent of salary in retirement to anyone who works 25 years. With Social Security, those employees will make more in retirement than they earned while working.

    When the administration of former Mayor Lee Brown agreed to the plan improvements in 2001, a consultant for the pension board said the city would not have to pay more than 14 percent of its payroll to keep the plan funded. Now the consultant predicts 42 percent of payroll, which White said is not possible.

    The constitutional amendment gives cities exactly one chance to opt out of the law -- calling an election in May 2004. White said he expects the opt-out question to pass, because the city shouldn't allow itself to be locked into anything in perpetuity. But made no predictions about what changes might be made in the pension after that. First, he said, the pension fund needed a thorough and independent analysis.

    He said city employees still would have many protections and should not be alarmed. The current pension plan is part of state law, for instance, and new rules call for "meet and confer" negotiations between the city and the employee-dominated pension board before any changes could be made to benefits.

    White said the police and fire pension funds were in sounder financial shape than the main employees pension fund, but that all would be examined. Hans Marticiuc, president of the Houston Police Officers' Union, said the election would naturally cause anxiety among employees, but said the opt-out wasn't necessarily a bad idea.

    The mayor "raises some points on how plans will be paid for. We don't know what the big picture is yet," Marticiuc said.

    White said he will ask for City Council approval to hold the election, which will cost about $2 million to $3 million, at next week's session.

    A spokesman for another employee union said his members were terrified of losing benefits and the union would oppose the opt-out.

    "I had 40 phone calls this morning. One guy literally brought his family to our parking lot,'' said Kimbal Urrutia, director of the American Federation of State, County and Municipal Employees Local 1550.
     
  2. Rocketman95

    Rocketman95 Hangout Boy

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    When are you moving?
     
  3. Troy McClure

    Troy McClure Member

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    [​IMG]

    Where's the mayor when you need him? :p
     
  4. glynch

    glynch Member

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    Jorge is so partisan , that he will even pose as a supporter of employee pensions for government workers if he thinks it helps the GOP somehow.

    Sam, I think we have found another example of Jorge, soon to be Trader Raj, shirking in his stand as a defender of elite privilege.

    Next thing Jorge might even stop getting kicks from humilitating waitresses and secretaries with his vaunted "psychological tactics".

    Now to a type of response that the partisan fanatic Jorge would never make.

    I disagree with White on this, if he is trying to get out of paying the pensions already accrued and promised to city workers. It is not clear to me exactly what he wants a referendum on.
     
  5. El_Conquistador

    El_Conquistador King of the D&D, The Legend, #1 Ranking

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    Didn't we just vote on this? Of course we did. Why does Bill White want to circumvent democracy with these measures? Is reducing the retirement money of firemen and policemen that important to him that he has to hold a special election? That really tells you something.
     
  6. RocketMan Tex

    RocketMan Tex Member

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    NEWSFLASH!!!!!

    TRADER_JORGE WANTS TO POST BULLSH*T ON THIS BBS!!!

    NEWS AT 11!!!!
     
  7. Rocketman95

    Rocketman95 Hangout Boy

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    So, I guess you disagree with the recall in California?
     
  8. MadMax

    MadMax Member

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    where am i??? i think this is a very conservative measure, TJ...an appropriate one, as well. he's cutting govt spending by saying that what was once promised by a past administration simply can not be delivered. particularly not without massive property tax increases which our local economy simply can't bear.

    i can not imagine why you, in particular, would disagree with this course of action. looks like leadership to me.
     
  9. Deckard

    Deckard Blade Runner
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    This news speaks to Brown as a mayor far more than White. It sounds like White is trying to clean up the mess. The deal for city pensions is a hell of a lot better than State Retirement... which is outstanding as long as Perry and friends keep their dirty little paws off of it. I think you have a decent topic to post about , T_J, but you're just aiming at the wrong mayor... make that ex-mayor.
     
  10. pgabriel

    pgabriel Educated Negro

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    Blame Brown, Blame Brown, Everybody Blame Brown.

    I think I'm going to write a hip-hop Krunk song with that as the chorus



     
  11. Deckard

    Deckard Blade Runner
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    No one is stopping you. ;)
     
  12. Rocketman95

    Rocketman95 Hangout Boy

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    Because his middle name is partisan. Bill White could **** countless gold bricks into everyone's hands and he'd be complaining about the smell.
     
  13. droxford

    droxford Member

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    I don't want to pay the 2 billion needed to give 100% pension to retired city employees. I'm glad White is putting it to the vote.

    I blame Brown.

    -- droxford
     
  14. Refman

    Refman Member

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    It tells me that he is trying everything he can think of to repair the damage done to city coffers by his predecessors without raising taxes.

    I am very fiscally conservative, and vote Republican (voted for Orlando Sanchez). But give the Mayor a fair shake. Laying in wait and trying to stir up crap whenever you can isn't going to help make this city any better or fix any of the problems.

    I am a conservative...you are merely a shill.
     
  15. mateo

    mateo Member

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    90%????

    Screw that.

    Even with my aggressive retirement planning and spending plan I dont expect to be making more in retirement than I make in my working years. Or at least I can't guarantee it, like these guys can.

    Cut the cord, Mayor.
     
  16. krosfyah

    krosfyah Member

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    I posted this last week in a thread that died so I felt it worth posting again w/ the latest Chronical article.

    fact 1:
    An independant consultant firm, Tower Perrin, wrote the pension plan.

    fact 2:
    The consultant firm was hired by the pension board, which is controlled by employees and retirees...not the mayor.

    fact 3:
    City council voted on and approved the pension package in 2001.

    fact 4:
    Mayor Brown only has one vote in city council.

    fact 5:
    Towers Perrin revised their figures and offered dramitically different figures than in 2001. Nobody forsaw the problems.

    Mayor Brown and all of Houston was duped into this thing. That was obvious to me after reading the original stories that surfaced. But the blame Brown camp was dancing in the streets.

    And now the front page of the Chron seems to point out these facts. Facts...hard to dispute...but people try.
     
  17. GladiatoRowdy

    GladiatoRowdy Member

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    Again, you show your near total lack of reading comprehension. First of all, the very articla you cite says that police and firefighter's pension palns are in much better financial shape than the main employees plan. Second, they are not talking about stripping anyone's retirement plan from them, they are talking about making sure that the pension plan meets fiscal responsibility requirements.

    It is really all about the person, not the policy to you, huh?
     
  18. Refman

    Refman Member

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    Not to mention the fact that it isn't like we are talking about forcing them to beg in the streets. We simply realize that guaranteeing them 90% of their salary is ludicrous.
     
  19. Deckard

    Deckard Blade Runner
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    Thanks, krosfyah, for the info. So that's what happened? The city... nobody checked the numbers of the pension plan before they voted on it? In Austin, something like this would have to be approved on three separate votes of the city council before it could pass, which normally leaves plenty of time for review. That's a pretty crazy scenario. Wow, and some people here think the Austin City Council is crazy.
     
  20. GladiatoRowdy

    GladiatoRowdy Member

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    No kidding, this is the fiscally responsible thing to do and it isn't even like White can undo it all by himself. He is not circumventing the democratic process, he is using it to allow the voters to undo an irresponsible policy from breaking the city.

    Looks like leadership to me, too.
     

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