Wednesday, March 4, 2015

Nutter Not Getting Way On Pension Changes?

It looks like Mayor Nutter won’t get his way on a pension measure he hoped would help him in contract negotiations with city unions.

Nutter Not Getting Way On Pension Changes?

It looks like Mayor Nutter won’t get his way on a pension measure he hoped would help him in contract negotiations with city unions.

Tomorrow is the deadline for the city to enter a state recovery program that would require the administration to set up a lower cost pension plan for new hires.

But to enter the program, City Council must pass a resolution pledging to create a lower cost pension plan for new city hires. Council has balked at the request from the mayor to do so and no member would even introduce a resolution.

Some members felt the administration tried to strong-arm them into passing the bill with misleading information. Last week, the administration sent around a memo which said the city could face legal action from the state Public Employee Retirement Commission if the resolution wasn’t passed.

But the administration later retreated on that position. City Solicitor Shelley Smith sent testimony to Council this week, which said that the original analysis of the situation was “overly aggressive.” A new version of the memo said that legal action was unlikely if Council didn’t act.

Nutter has said that he needs to reign in benefit costs for city workers, citing the woefully underfunded pension plan as a key liability for the city.
 

About this blog
William Bender, a Drexel graduate who landed at the Daily News in 2007, has covered everything from South Philly mobsters to doomsday hucksters. He occasionally writes about local food trucks and always eats everything on his plate, whether it be a bloody rib eye or a corrupt politician. E-mail tips to benderw@phillynews.com
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David Gambacorta, has been a reporter with the Daily News since 2005, covering crime, police corruption and all of the other bizarre things that happen in Philadelphia. Now he’s covering the 2015 mayor’s race, because he enjoys a good circus just as much as the next guy. He’s always looking to get a cup of coffee. Send news tips and other musings on life to gambacd@phillynews.com
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