Small cities are going to have to pay the piper for the recent election giving Sacramento the Democrat majority to do as they wish.
The biggest concerns of our cities has to do with CALPERS and the unbridled hold they have on the amount of pension funding paid out of California cities operating budgets. Cities similar in size to Mission Viejo have seen these budgets hit hard by the State’s ongoing pension crisis. Cities in the State are seeing increases of 15-17% annually to Calpers and increases in police and fire services of around 10% to cover costs of pension funding.
Do any of us expect to see the Democrats that run Sacramento making any changes to the looming pension crisis in the State? Especially the art of pension spiking in the last years of employment.
While Mission Viejo is a contract city for these services, we still are on the hook for these escalating costs growing at geometric proportions. Mission Viejo needs to begin putting away funds for these costs and start to understand the fiscal impact with every new capital project they begin, or additional change orders the city is asked to fund.