Thursday, March 11, 2010

City Council Continues Discussing Pension

Pittsburgh City Council met on Wednesday to continue discussing the pension bailout proposal that would privately lease the assets of Pittsburgh parking garages for fifty years to make $200,000 million for the city's pension plan.

Investment firm Morgan Stanley is overseeing the lease plan for the Pittsburgh Parking Authority. They attended City Council chambers on Wednesday. On Thursday, Leslie Hairston, Alderman of the 5th Ward of Chicago attended a meeting to discuss the pros and cons of privatizing the city's parking. In Chicago, she said, different rates are used in different regions and at different hours. It has been met with mixed results by the city's residents. In Chicago officials only had a few days to decide on the plan. She encouraged council to have at least one, if not a few outside parties study the proposal.

Councilman Bruce Kraus expressed concerns that when there is a move towards a reduction in vehicles the revenue stream from the garages will lessen and the city will have sold off a valuable asset.

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