Friday, February 24, 2012 Hon. Thomas P.

DiNapoli New York State Comptroller 110 State Street Albany, NY 12236 Dear Comptroller DiNapoli, The fiscal crisis facing our taxpaying constituents as a result of skyrocketing pension costs cannot be overstated, and as local government leaders in different parts of New York State, we strongly support Governor Cuomos push for meaningful reform of our pension system. Rising pension costs are, by definition, a long-range problem, and we are concerned about your dismissal of local government leaders support for the Governors plan because its impact will not be felt immediately. Your comments suggest that you may not recognize that the fiscal health of our state and localities in the long run necessitates pension reform now. The consequences over time of dismissing this crisis will be deeply painful to citizens and taxpayers resulting in higher taxes and service cuts and we urge you to lend your support to Governor Cuomos efforts. In a recent op-ed, you defended the status quo and criticized those who say that pensions are unsustainable and unaffordable. But we know first-hand that the facts on the ground run counter to your comments. Pension costs for New Yorks localities and counties have grown by more than 630% over the last decade. These skyrocketing costs have meant less money for our schools, less money for our police departments, less money for job creation, and less money for social services. If pension costs are allowed to continue to grow as they will in the absence meaningful reform now the level of service cuts and tax increases that will be required to balance our local budgets in the future will be devastating. That outcome is unacceptable and entirely avoidable. Government employees deserve a fair and secure retirement. But right now in addition to the fact that providing the current level of pension benefits to the next generation of public employees will be unaffordable for taxpayers employee contribution levels are below the norm: New York public employees contribute less to their pension benefits than their counterparts in all but three other states. Specifically, only 1% of New Yorks public retirement system revenues come from employee contributions, ranking New York 47th among all states. This is a long-term problem, and it requires immediately a long-term solution. That is why we fully support the fair plan for pension reform put forth by Governor Cuomo. The plan would have no effect on current state and local government employees or retirees. Instead, it would set our pension systems on a sustainable footing by creating a new pension tier that will provide competitive benefits and offer greater flexibility to

future employees. Failure to enact the Governors plan would cost the States localities and counties $79 billion over the next 30 years, including the following costs to some of our coalition members: City of New York: $30,000,000,000 City of Albany: $152,288,197 City of Hornell: $8,847,064 City of Jamestown: $36,610,989 City of Ogdensburg: $11,340,724 City of Plattsburgh: $20,620,173 City of Rochester: $300,588,752 City of Syracuse: $188,626,109 City of White Plains: $126,534,090 Erie County: $2,984,444,847 Genesee County: $217,578,728 Monroe County: $2,351,277,996 Nassau County: $7,167,129,359 Oneida County: $691,230,923 Onondaga County: $1,622,188,959 Orange County: $1,446,405,745 Suffolk County: $6,878,823,775 Westchester County: $5,437,702,762 Wyoming County: $121,513,961

To dismiss the importance of $79 billion in savings because it will be realized over time is simply not responsible. In the weeks ahead, there will undoubtedly be efforts by special interests to distort the facts and stop responsible and fair reform of our pension systems. We hope you will reject those efforts and instead be guided by the fiscal realities that local governments are facing. Failure to take action would not only threaten the retirement stability of the people the pension system was built to serve, but also our very ability to continue to provide basic services to the millions of people we represent. With this in mind, we urge you to reconsider your position on this critical issue and join us in urging the State Legislature to adopt pension reform as part of this years budget. Sincerely,

ROBERT P. ASTORINO Westchester County Executive

JOANNE M. MAHONEY Onondaga County Executive

STEVEN BELLONE Suffolk County Executive

STEPHANIE A. MINER Mayor of Syracuse

MICHAEL R. BLOOMBERG Mayor of New York City

ANTHONY J. PIECENTE, JR. Oneida County Executive

MAGGIE BROOKS Monroe County Executive

SAMUEL TERESI Mayor of Jamestown