San Diego's Pension Fund Meltdown

Here is another story about the failing health of our nation's pensions.-Lou

Hemorrhaging
Pension debt to hamper city for generations

The menacing threat posed by San Diego's pension fund meltdown is accelerating at an alarming pace.

Based on the latest actuarial snapshot, the retirement system's funded ratio has dropped to its lowest level ever, 62 percent. Meantime, the retirement system's crushing unfunded liability has surged to its highest level ever, $2.3 billion.

To put this in perspective, this steadily growing tidal wave of debt owed by taxpayers amounts to almost $2,000 for every resident of San Diego. Are you in good enough financial shape to write a check to cover the share owed by you, your spouse and your children?

Amid the upheaval on Wall Street, the pension fund's assets have declined by a stunning $1.3 billion in just the last eight months. Further deterioration is likely in the year ahead as the economy worsens under the weight of the global recession.

What this means for taxpayers is that San Diego is going to have to slash city services in order to come up with tens of millions of dollars more each year to pay for the bloated pensions of city employees

Read Article Here:
http://www3.signonsandiego.com/stories/2009/mar/13/lz1ed13top23328-hemorrhaging/