Modesto council seeks voter help

The Modesto City Council decided Tuesday to ask voters for their opinions on changing city workers' retirement benefits.

The vote was 4-3 and came after a nearly two-hour public hearing. Council members Brad Hawn, Joe Muratore and Stephanie Burnside and Mayor Jim Ridenour voted for it, while council members Garrad Marsh, Dave Lopez and Dave Geer voted against it.

Hawn, a candidate for mayor in the November election, put forth the three advisory measures. The measures would not commit the city to taking any position in negotiations with labor groups.

Modesto voters will be asked in November whether the city should:

• Seek to move employees from traditional pensions to defined contribution benefits similar to 401(k) plans

• Base employee pensions on a three-year average of salary, rather than their final year of pay. The change would prevent "spiking," the practice of claiming vacation cashouts and other unusual pay toward pension calculations.

• Seek to increase the retirement age for city workers to mirror the retirement age in the private sector

Hawn said Modesto no longer can afford its traditional pensions. He said the city has cut services in seven of the eight years he has been on the council and can't make more cuts without harming the city.

"I believe we are at the tipping point with public safety, streets … and parks," Hawn said.

But Marsh, also a candidate for mayor in the November election, said the advisory vote would waste money and accomplish nothing.

He said city officials are well aware the pension system is not sustainable and are working with the city's employee unions on reforms, such as raising the retirement age.

"This is the 'Seinfeld' show of Modesto government," Marsh said about the ballot measures, which could cost the city $12,000. "It's about nothing."

Union leaders warned that the advisory vote could harm relationships between the city and its unions. They stressed that while reforms are needed, employee pensions are not responsible for the economic downturn.

"Let's be clear, our pension systems are not the cause of this," said Tim Tietjen, president of Modesto City Firefighters Local 1289.

Muratore said it's difficult for elected officials to take up pension reform because many rely on government workers for campaign support. But he agreed with Hawn that the system is no longer sustainable.

Muratore said that while he did not agree with Hawn's questions for the voters, he said it's important to get citizen input on changing the system.

Ridenour, who can't run for re-election in November because of term limits, said the advisory vote could serve as a mandate for future councils.

Bee staff writer Kevin Valine can be reached at kvaline@modbee.com or (209) 578-2316.