Archive for the ‘Pension Reform’ Category

Icon Written by Bill Stroh on February 9, 2012 – 7:00 am

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csny_logoSeveral Onondaga County town and village leaders have joined CenterState CEO and the Committee to Save New York (CSNY) in support of Governor Andrew Cuomo’s proposed mandate relief plan.  In Onondaga County mandated costs have increased 75 percent since 2009. Under Governor Cuomo’s proposal, Onondaga County taxpayers would save $24 million over the next five years.  Additionally, his pension reform proposal will save $1.6 billion over the next 30 years.  Click here to read more about the support for mandate relief.

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Icon Written by Rob Lillpopp on February 8, 2012 – 8:32 am

Governor Andrew M. Cuomo today announced the schedule for the Mandate Relief Council’s public hearings that will give citizens and local officials an opportunity to provide input on the mandate relief proposals in the Executive Budget.

The Council was created by the Governor and Legislature to address the skyrocketing costs facing local governments that have contributed to New York State’s high property tax rates. Lieutenant Governor Robert Duffy will host the public hearings.

“These public hearings will be held across the state giving citizens and local officials the chance to have direct input on our plan to reduce the cost of local government,” Governor Cuomo said. “I have said repeatedly that government works best when the citizens get involved, and I urge all New Yorkers to participate in this important process.”

To read more click here.

To tell Albany we need Tier VI Pension Reform now click here!



Icon Written by Rob Lillpopp on February 8, 2012 – 8:06 am

Brian Sampson,executive director of Unshackle Upstate provides the following view in an op-ed to the Star Gazette in support of enacting a Tier VI pension plan.

“New York’s businesses and residents have suffered under the highest taxes in the nation. That’s why Unshackle Upstate helped create the “Let New York Work” agenda, designed to make our communities more affordable through commonsense legislative changes.

Two principal causes of high taxes are out-of-control pension costs and unfunded mandates. For years, we’ve heard tough talk on resolving these issues, with little action. That is, until this year. In his 2012 budget, Gov. Andrew Cuomo outlined a vision for reforming our pension system and providing substantial mandate relief to local governments. Now we need the Legislature to stand up to the special interests that have been protecting the status quo and pass these reforms.

Rising pension costs are one of the largest financial burdens on our state and local governments, resulting in higher taxes for all. Our pension system long has been a ticking time bomb, with benefits and costs growing past what our state can manage. Without real reform, this system will either collapse or, more likely, saddle taxpayers with a massive, unaffordable bill.”

To read more click here.

To tell Albany we need Tier VI Pension Reform now click here!



Icon Written by Rob Lillpopp on February 8, 2012 – 7:03 am

New York has one of the highest pension burdens in the nation — second only to Alaska — and it’s about to get worse: the state’s (i.e., taxpayer’s) required payment will soon skyrocket from its current level at $1.5 billion to $2 billion in 2014.

Our current pension system is already unsustainable, and the generational surge in retirees will mean that our younger population will be forced to carry the fiscal burden.

At a time when we are focused on growing our economy and increasing the number of good-paying, private-sector jobs in New York, it is counterintuitive to maintain a pension system that is hurting taxpayers and businesses and helping to drive away our best and our brightest citizens.

Governor Cuomo has a plan tht would not affect current employees, and would still offer a defined benefits system for the future workforce His plan eliminates the use of padding tricks like overtime in pension calculations. The opportunity to enroll in a 401K-style retirement account would also be available to new employees.

Click here and tell the legislature that we need a Tier VI Now!



Icon Written by Rob Lillpopp on February 8, 2012 – 7:01 am

Proposal critical for the communities to remain affordable

The leaders of the Let New York Work are calling on all state legislators to join with the governor and support his plan to create a Tier VI retirement for future employees, an essential step to improve the pension system for employees and make our communities more affordable.

Let NY Work: A Common Agenda for the Common Good is a historic effort led by a coalition of prominent business, local government and educational organizations. The purpose of the initiative is to advance six critical points to enact significant mandate relief. Passage of Tier VI is one of those points, all of which are aimed at helping stabilize New York’s economy and provide a sense of security for all taxpayers.

“NYCOM enthusiastically supports Gov. Cuomo’s bold, yet responsible Tier VI pension reform proposal. The plan’s rightsizing of benefits and increased cost-sharing for future public employees will serve as a positive legacy for local governments, their employees and - most importantly - property taxpayers for generations to come,” said Peter Baynes, executive director of NYCOM. “New York cannot afford to not pass this legislation. Without it, local governments will steadily lose the fiscal capacity to hire employees, much less pay their pensions. This is a critically important step on the road to sustainable property tax relief for New Yorkers. If state legislators are serious about authentic mandate relief, they must pass the governor’s Tier VI plan.”

“New York must fix our current unsustainable pension system. It’s unreasonable to expect our hardworking taxpayers and business-owners to continue footing the bill for exorbitant state and local pension costs, which will have a price tag of $2 billion in 2014,” said Heather Briccetti, president and CEO of The Business Council of New York State, Inc. “Enacting the governor’s proposal will help provide much-needed relief to localities and move New York along the path to financial stability and renewed economic growth.”

“The Tier VI retirement proposal advanced by Gov. Cuomo is a fair and balanced approach to containing pension costs in New York,” said Brian Sampson, executive director of Unshackle Upstate. “It is fair for the taxpayers of this state to be relieved of a tremendous burden and it is fair to future workers. Not only will they have a choice of a retirement plan, but what they contribute will be based on their pay and they will share the risk/reward with their employer. What more could be balanced and equitable for taxpayers and future employees?”

Mandate relief for local governments and school districts is central to efforts at reducing the tax burden on New Yorkers and making our communities more affordable. It was one of the reasons that many supported the implementation of New York’s property tax cap.

“The last 12 months have seen the adoption of many positive pro-growth policies that are improving our business environment and strengthening New York agriculture,” said Dean Norton, president of the New York Farm Bureau. That said, we need to take additional and substantial steps this year if we want to begin to reverse decades of damaging economic decisions and policies. New York Farm Bureau members are very supportive of one such step recently outlined by Gov. Cuomo that will begin the process of the state assuming the local portion of Medicaid costs. Lifting this burden from localities will lead to lower property taxes for our farms, more support for local agriculture programs and a better rural economy.”

“The necessity for significant mandate relief for New York’s small business owners and taxpayers has never been needed more. Within Gov. Cuomo’s executive budget proposal lie provisions that provide taxpayers a tremendous opportunity for substantial long-term savings and opens the door for more immediate financial relief,” said Mike Durant, state director for the National Federation of Independent Business. “The governor’s public pension proposal is a considerable opportunity for small business owners and taxpayers and I urge the legislature to embrace these avenues of change and commit to moving New York forward as a fiscally responsible and business-friendly state.”

In a review of pension costs by the New York State Division of Budget, pension costs are expected to rise 185 percent from 2009-2015. Those costs, unless neutralized, will fall squarely on the taxpayers of New York. That is a level of financial strain that is simply unsustainable.

“The governor’s proposal to add a new tier to the state pension system is a win-win for school districts and employees. While the plan would help schools stem rising employer contribution costs over the long term, it also would give employees the option of a portable, defined contribution plan should they choose to leave public employment,” said New York State School Boards Association Executive Director Timothy G. Kremer.

The members of Let New York Work will be in Albany on February 14th for a series of visits with elected officials. The day, called We Love Mandate Relief, will focus on the intent of the six points plan and the group will ask members of the legislature to support the effort.

To tell you legislator that you support passage of Tier VI click here now.



Icon Written by Sonia Lindell on February 7, 2012 – 7:30 am

The following op-ed appeared in the NY Daily News. It points out that, despite Mayor Bloomberg’s best efforts to cut spending, New York City is forced to spend one out of every six dollars in city taxes on pensions:

“After many billions of dollars worth of cost-cutting, accomplished year after year without discernible impact on city services, Mayor Bloomberg is still scrounging for money to stay afloat.

He’s counting on pulling in $1 billion from the sale of taxi medallions.

He’s pouring the last $1 billion of a rainy day fund into the pot.

Without both of those, the mayor and the public are sunk.

Question that should come to New Yorkers’ minds:

If Bloomberg has cut expenses and trimmed the workforce by 20,000 people over 10 years, how come he’s still in the hole?

Answer that should spur New Yorkers to action:

Runaway pension costs.

Since 2002, the city’s retirement tab has soared from $1.3 billion to $8 billion.”

To read more click here.



Icon Written by Sonia Lindell on February 6, 2012 – 6:05 am

According to Siena pollster Steven Greenberg:

“More than two-thirds of voters – including a majority of voters from union households – support the Governor‟s proposal to create a new pension tier for future government employees, requiring them to make larger contributions to their retirement plans and saving employers money. It is overwhelmingly supported by voters from every party and region.”

To read more click here.



Icon Written by Rob Lillpopp on February 6, 2012 – 5:39 am

Business Council President and CEO Heather Briccetti appeared on YNN’s Capital Tonight on Friday to explain the Business Council’s reason for pushing for the enactment of a Tier VI pension for public employees.

To see the interview click here.



Icon Written by Rob Lillpopp on February 2, 2012 – 9:17 am

COMMITTEE TO SAVE NY AND BUSINESS COUNCIL JOINS BUFFALO NIAGARA PARTNERSHIP AND ELECTED OFFICIALS IN SUPPORTING STATE PENSION REFORM

Erie County Pension Costs Skyrocketed 142 Percent Since 2009, Continue to Grow

(BUFFALO, NY) February 2, 2012 — The Committee to Save New York (CSNY), a statewide coalition of citizens and taxpayers concerned about the economic future of New York State, hosted a press conference today in support of Governor Andrew Cuomo’s proposed Tier VI Pension reform plan.

“Governor Cuomo has proposed a significant plan to begin to manage the state’s out-of-control pension system cost; now it’s time for the Legislature to act on it,” said Andrew J. Rudnick, CSNY board member and President & CEO of the Buffalo Niagara Partnership. “Employers are looking to governments at all levels to show increased fiscal responsibility, and I think Albany has the chance to do its part with this plan.”

In the 2012 Executive Budget Address, Governor Cuomo outlined a Tier VI Pension Plan that would save the state $123 billion over the next thirty years. The plan would establish a new benefits system for future employees offering them the option to participate in either a traditional, but less generous, plan or a 401-k type program that is more flexible and permits for career growth. No current workers would lose their pensions, and all reforms would only impact pensions for public employees who have not been hired yet.

Heather Briccetti, CSNY board member and President & CEO of the Business Council of New York State said, “At a time when private sector employees are seeing their benefits slashed and municipalities are cutting services, New York’s businesses and taxpayers simply cannot afford to pay for these overly generous benefits programs. Without reforms, school districts and local government will be forced to raise taxes, cut services and eliminate jobs just to pay for escalating pension costs. We can avoid those problems tomorrow with sensible reforms today.”

Taxpayers in the Empire State pay on average $574 each year to help cover the cost of public pensions. New York’s public pension tax burden is the second most costly in the nation, trailing only Alaska who benefits from rich oil and minerals deposits.

Rudnick added, “Getting New York’s pension costs under control is another step toward making this state, and our region in particular, a more competitive place for business investment and job creation.”

Independent analysis by the Citizens Budget Commission shows the mandatory contributions by the State for public pensions increased 300 percent since 2004, totaling $1.5 billion last year. By 2014 the State requirement is expected to reach $2 billion- accounting for more than 10 percent of State Operations.

Democratic Mayor Byron Brown said: “Next to Medicaid, pension costs are the most burdensome on local governments. I want to thank Governor Cuomo for his leadership in putting pension reform as a central part of his plan. The new Tier VI pension system for new hires would save the city a quarter million over the next five fiscal years.”

Republican Assemblywoman Jane Corwin said: “The Tier VI proposal is a good first step in reducing pension costs for municipalities in New York State. Local governments and school districts would finally be able to get much needed relief from the State and ultimately save taxpayers money. Also, future employees will have new options and choices when selecting their retirement plan. It’s a “Win, Win.”

Democratic Assemblyman Dennis Gabryszak said: “I am pleased to stand with the Committee to Save New York and I applaud Governor Cuomo for taking the initiative to address the rising cost of state pensions. As a former town supervisor, I know firsthand the strain pension costs can be on a municipal budget. New York State needs to find ways to help save taxpayers money. I support exploring options for a new benefits system for future public employees.”

Republican Assemblyman Ray Walter said: “If we’re going to turn New York’s economy around, we need to deal with the reality that our pension costs are unsustainable. In order to protect not only the benefits due to current public employees, but the litany of vital programs and services we rely on, we need to reduce costs moving forward. That’s why I support Governor Cuomo’s Tier VI pension plan and am committed to working with the Committee to Save New York to provide real reforms that will lead to tax relief for Western New York’s families and businesses.”

Democratic Assemblyman Robin Schimminger said: “Pension costs, as one of the fastest growing expenses for both the State and local governments, have become unsustainable. Enacting this legislation would be a giant step forward in fulfilling the New York State Legislature’s commitment to providing significant relief to local municipalities, school districts, and ultimately the taxpayers of New York. Today’s difficult economic climate requires that changes to the retirement system must be made now in order to ensure the well-being of our current and future retirees.”

The Committee to Save New York was founded in 2011, at a time when the State was facing a $10 billion deficit, businesses were fleeing and unemployment was growing. CSNY is dedicated to restoring fiscal sanity to state government in order to ensure that future generations of New Yorkers will have the opportunity to get a great education, find a good job or start a new business and prosper.
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Icon Written by Sonia Lindell on January 26, 2012 – 6:43 am

The following is an op-ed published in the NY Daily News:

“They just don’t get it or they just don’t care that public employee pension costs are crippling the city and the state.

Members of the Legislature on Wednesday held a first hearing on Gov. Cuomo’s critically needed reform plan — and promptly subjected it to withering dissection.

The questioning of Budget Director Robert Megna was so close that spectators could be excused for thinking union leaders had commandeered the legislative seats.

Literally, that is, not figuratively, which is clearly the case.

Democratic Staten Island Sen. Diane Savino, a former labor leader; Democratic Brooklyn Assemblyman Peter Abbate, who carries union water, and others took umbrage that future government workers wouldn’t enjoy the rich retirement benefits that the legislators themselves get.”

To read more click here.