HARTFORD, CONN (WTIC Radio)-Leaders from state and municipal government and labor announced an agreement on pension reform for
cities and towns, projected to save them more than $843 million over the next thirty years.
Municipal leaders have faces increased pension costs, some as high as $700-hundred thousand. The proposal affects 107 of Connecticut's 169 municipalities.
The agreement was spearheaded by State Comptroller Sean Scanlon, who called the agreement historic.
Hamden Mayor Lauren Garrett said the proposal will help shore-up its pension fund, saving about $3 million next year.
The plan has six steps, including changing the Cost of Living Adjustment and re-amortizing the fund from 17 to 25 years.
It also includes creating a second tier for pensions. But leaders acknowledged those discussions will occur next year.
This proposal will also including discussions with those municipalities who are not participating, inquiring about their plan and determining they'd like to join this effort.
A bill still has to be created this legislative session and leaders in both parties expect it to pass.
