St. Charles pensions too costly

Pensions are not only a problem for the state of Illinois, but a major problem for the City of St. Charles.

The city funds pensions from property tax revenue collected from residents and businesses of the city — 31.6 percent of this tax revenue goes to funding city pensions, or $216.78 per owner of a $300,000 house.

Police officers contribute 9.9 percent of their salary and can retire after 30 years of service with a pension of 75 percent of their salary. The firemen contribute 9.46 percent of their salary and can retire after 30 years with 75 percent of their salary.

For the year 2010-2011, the police pension cost to the city per police person will be $28,299.09 and per each fireman the cost will be $25,244.12. These amounts are equal to what many people earn per year.

The St. Charles taxpayers can expect huge property tax increases and/or substantially reduced services if the current police and fireman pensions are not modified. I believe it is unrealistic to expect the taxpayers of St. Charles to pay increased taxes to support these excessive pensions.

Ron Fuchs

St. Charles