On May 10, San José City Council voted 10-1 to comply with the court order removing all Measure B language from the City Charter and Municipal Code and rescinding the resolution that placed Measure B on the ballot in 2012. Only Councilmember Pierluigi Oliverio voted to violate the court order. Measure B, passed by voters in June 2012, called for Draconian cuts to City workers’ retirement benefits.
Local 21 has remained committed to our legal battle against Measure B – the process the City used to put it on the ballot was unlawful and we never wavered in our demand that all of Measure B — the charter changes and the municipal code changes — must be undone.
This memorandum from City Manager Norberto Duenas provides the context for the Council vote.
The next two big steps in our Alternative Settlement Framework are proceeding simultaneously:
First, all City Unions and the City have agreed upon ballot language that provides for the actuarial soundness of the pension plan, no retroactive pension enhancements and no pension enhancements without voter approval. That language is attached here and will go to the voters in November.
Second, the City Council will adopt new Municipal Code ordinances to implement the provisions of our settlement framework. These provisions were agreed upon at the negotiating table and are summarized in the Alternative Settlement Framework. We are still working to finalize these ordinances that will enable the City to provide a competitive retirement benefit to new hires and begin to save the City $3 billion over the next 30 years.
Unfortunately, former Councilmember Pete Constant and his financier Charles Munger Jr. have filed numerous lawsuits to try and derail San Jose moving forward. We will keep you informed of any developments on that front.