California: Cash-strapped cities want workers to contribute more to pensions

◼ As Gov. Jerry Brown calls for sweeping reforms in public-employee pensions, cities such as Santa Ana demand concessions from their employee unions. - LA Times

Getting a handle on pension costs in the county's largest city is a must, officials here say. Santa Ana is facing a $30-million deficit, has only $300,000 in reserves and is jettisoning jobs by the dozens to keep its head above water. Last year, the city paid out about $11.3 million for employee pension costs.

Now the city and scores of others around the state are getting a potential assist from Gov. Jerry Brown, who is calling for sweeping reforms in public-employee pensions. Santa Ana is among the cities that would see the most significant cost reductions if workers were required to pick up more of their retirement costs.

A Times analysis based on 2009 payrolls shows that cities and counties in California would save an estimated $1.3 billion if local government workers statewide paid what the governor's office determines to be the normal employee share of pension contributions. Brown says workers should be contributing about 8% of their paychecks to their own retirement. Police and firefighters, who have more generous pensions, should pay about 9%, Brown says.