5 State Mayors Advance Pension Reform Plan - Fox 2 News Headlines

5 State Mayors Advance Pension Reform Plan

SANTA ANA (AP) - Five California mayors have filed papers to place a pension reform measure on the 2014 ballot that would allow local governments to negotiate changes in future pension benefits for current employees as well as future ones.

San Jose Mayor Chuck Reed said Wednesday that the measure, which would amend the state constitution, is intended to help cities with skyrocketing retirement costs.

The proposal would not allow cities to take away benefits that have already been accrued.

Reed is joined in the proposal by the mayors of Santa Ana, Anaheim, San Bernardino and Pacific Grove.

Public employees' unions and the California Public Employees' Retirement System are denouncing the proposal.

Steven Maviglio, a spokesman for Californians for Retirement Security, says it's an extreme measure that breaks a promise to public employees.

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