Councilmember Carl DeMaio released today the following presentation of data and findings revealed in the city’s study on the cost of retiree healthcare benefits granted to city employees over the years. Councilmember DeMaio is proposing that the benefits be immediately reduced to the level currently funded in the city’s budget – and that further reductions be examined in the context of a long-term financial recovery package for the city.
“The retiree health care study provides proof that the current benefit package given to city employees is simply unsustainable. The Mayor and City Council should immediately act to reform the benefit package to the levels currently funded in the FY 2011 budget. Further reductions in the benefit should also be considered as part of a long-term comprehensive financial recovery package for the city. Any reform short of that is evidence that the Mayor and City Council are not serious about reforming this unsustainable benefit for city employees.”
Citing ambiguity in Prop D as to what would constitute reform, DeMaio laid out two standards for reform – one relating to eliminating cost increases in the future, and one relating to achieving cost savings for taxpayers.
To view full presentation click below:
uploaded/file/retiree healthcare slides 9-7-10.pdf