In San Jose, generous pensions for city workers come at expense of nearly all else.

SAN JOSE — Here in the wealthy heart of Silicon Valley, the roads are pocked with potholes, the libraries are closed three days a week and a slew of city recreation centers have been handed over to nonprofit groups. Taxes have gone up even as city services are in decline, and Mayor Chuck Reed is worried.

The source of Reed’s troubles: gold-plated pensions that guarantee retired city workers as much as 90 percent of their former salaries. Retirement costs are eating up nearly a quarter of the city’s budget, forcing Reed (D) to skimp on everything else.

http://www.washingtonpost.com/business/economy/in-san-jose-generous-pensions-for-city-workers-come-at-expense-of-nearly-all-else/2014/02/25/3526cd28-9be7-11e3-ad71-e03637a299c0_story.html