The 3 Costs of Cutting Municipal Pensions. 6+ years of Court Fights.

San Diego in 2012 reduced its pension payouts. Labor groups sued. Pension cuts are caught in the courts.

The costs facing San Diego from the 2012 pension costs:

• Attorney fees for labor groups. No estimate of amount, but guesses are high.
• Cost of the pension cut payout: $100 Million  to $20 Million (people disagree)
• $20.1 million to retroactively create pensions for new hires, if the city is forced into this route

What’s the timeline for the 2012 cuts? An appeals court should rule in 2018.

Next stop: California Supreme Court. 

San Diego Union Tribune | Pension case could cost city millions