Politics & Government

County Council Opposes Teacher Pension Shift

The council says one year of pensions equals the cost of nearly 500 county jobs.

Montgomery County Councilmembers are the latest in a growing list of officials opposing Gov. Martin O’Malley’s plan to shift half the cost of teacher pensions to the state’s counties.

In a Feb. 23 statement from the council, members said the shift, which councilmembers said would cost $47 million in the next budget year, could devastate county services.

“How much is $47 million? It pays for the jobs of nearly 500 teachers, firefighters, police officers, and other vital county personnel,” reads the statement. “It is more than the county's general fund budgets for housing, transportation, and environmental protection combined. Our entire budget for libraries is less than $30 million.”

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The statement echoed Council President Roger Berliner’s comments in Annapolis, pointing out the last three years of budget cuts and the current budget gap of $135 million. 

“If we now have to absorb another large burden from the state, there will be real damage to all our vital services — our schools, college, police, fire and rescue, safety net, libraries, parks, housing, transportation, recreation and many others,” councilmembers wrote.

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O’Malley’s plan involves combining teacher pensions, which the state pays for currently, and teacher social security costs, which local governments pay for currently. Then, the state and counties would split the total 50-50.

The governor included millions of dollars in increased taxes to offset the cost, . Local governments would also not be required to repay about $370 million in an income tax fund.

Leaders from several counties . Berliner represented Montgomery and said, "None of us up here are oblivious to the challenges the state faces in balancing its budget and its structural deficit…We know because we've been doing it for years and years and years now." 

Board of Education President Shirley Brandman also opposes the shift.

“Shifting the burden from state to local government will not improve the long-term health of the pension fund which should be the primary interest,” she said in a Feb. 14 statement. “However, it will have an immediate negative impact on the important services that our local governments provide.”

County Executive Isiah Leggett " last month. 

"The bottom line is that it's not an acceptable approach," said Leggett. "It's a difficult pill to swallow."


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