The delay of San Jose Mayor Chuck Reed’s pension reform initiative is bad for California, says Moody’s.
“For Moody’s-rated local governments, pension costs increased by an average of 14% from fiscal 2011 to 2012,” the investor service says in its Weekly Credit Outlook. “And absent pension reform, we expect this rate of increase to continue for the next several years.”
What we are seeing is a conscious, astute effort by public employee unions and their political allies to thwart the public will and push cities into service insolvency to continue their self-enrichment. So libraries must close, pitted roads rattle our cars apart, fewer cops mean more crime victims. So?