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Cuomo calls for new, cheaper public pension plan

By Associated Press

Story Created: Jan 4, 2012 at 2:55 PM EDT

Story Updated: Jan 4, 2012 at 2:55 PM EDT

ALBANY, N.Y. (AP) - Gov. Andrew Cuomo has revived his proposal for a new, cheaper tier of public pension eligibility to spare
state and local governments and their taxpayers from skyrocketing
costs.

The new pension tier comes just a year after the last revision that also aimed to cut down on the cost of lucrative public pensions for a bulge of baby boomer retirees.

But most of those savings are still more than a decade away.

The new plan in his State of the State speech Wednesday is aimed at greater savings sooner.

The cost of public pensions is a crisis for local governments and, in some other states, has pushed cities toward bankruptcy.

Governments in New York pay for pensions and health care at levels mostly eliminated as unaffordable in the private sector.

(Copyright 2012 by The Associated Press. All Rights Reserved.)

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