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Friday, June 10, 2011

Disappointment Over Delay In Fixing City Pension Plan

Saint John Police Union President Jamie Hachey was hoping the province would accept the city's proposals for its pension plan which is running an estimated deficit of 129 million dollars and is disappointed as well as baffled that did not come about.

 Mayor Ivan Court maintains what the city is asking for isn't all that outlandish. The same proposals are acceptable in Ontario and Quebec but not New Brunswick.

The Mayor argues those proposals were made based on what the city heard from professional actuaries. The city is seeking regulatory change but that can't be made official now until the fall sitting of the legislature.

If changes are not made, Court says Common Council would have to raise the tax rate by 12 to 14 cents, institute deep cuts or a combination of both in next year's city budget.  

He also points out other municipalities in the province are in the same boat and they're looking at what's happening in Saint John as a guide post for the future.