2011 Omaha Budget = Tax Increase

[joeglow]

Not defending the bloated police & fire pensions, but this current budget shortfall has more to do with less sales tax revenue coming in due to the slow economy.

I am not talking about the short term budget deficit.  I am more concerned with the unsustainability of the pensions in the long term.

[DeWalt]

GREAT article on just this topic:

http://www.star-telegram.com/2010/08/13 ... ation.html

Some key comments:

"Traditional pensions, becoming rare in private business, remain a valuable benefit for government workers and a ticking time bomb in many public budgets."

"he worries that city-to-city comparisons "tend to ratchet up" pay."

"Most private employers dropped pensions and retiree healthcare years ago because the perks are unsustainable."

"They're especially reluctant to challenge police and firefighters, even if their compensation packages are among the most generous."

It is an interesting situation.  Government employees - who are supposedly public servants - are now in a class unto themselves.  They make more money than those who are paying their salaries, and have outlandish benefits and pension packages, unlike anything seen in the private sector.

I'm wondering if the ship is too far gone, or if it can still be righted.

[DeWalt]

An update on Omaha's financial picture.  It's not as bleak as expected!

http://www.omaha.com/article/20100816/N ... -brightens


I find it VERY interesting how much money is saved by dropping 12 police officers and 16 firefighters...

[Stargazer]

Does Omaha have any legal obligation to re-fill these positions ?

[S33]

Does Omaha have any legal obligation to re-fill these positions ?

The fact that you had to ask that question, is just more proof of unions doing more harm than good to the public sector...