Statement: “The pension payment last year went from $150 million to $235 million. It’s going to go to $318 million in the year 2016. It’s going to rise to $520 million in the year 2025,” City Councilman Carl DeMaio said on KUSI recently.
Analysis: The rising cost of employee pensions contributes to San Diego’s structural budget deficit — meaning the city is set to spend more than it takes in. Because pension costs continue to rise faster than revenue, the city ends up cutting its budget each year in order to pay its pension bill.
Fact Check: Booming Pension Payments
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