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Nutter and Council get ready for a DROP showdown

Friday, September 17th, 2010

Mayor Nutter and Philadelphia City Council are at a standoff over ending the deferred retirement plan that has given big lump sum payments to departing city officials.

Nutter wants Council to end the DROP program, citing a study that showed it’s draining the city pension fund. But it’s a delicate issue for Council members – because seven of them are signed up to get big checks, and because city unions want to keep the benefit.

Nutter and Council are up for re-election next year, and Nutter says they should listen to the voters.

“The public has spoken pretty loudly,” he says. “And financially we can’t afford it.”

Council majority leader Marian Tasco – who’s signed up to get a DROP check and may still run for re-election – isn’t so sure the public is outraged.

“I’ve heard the Inquirer and some news media have their opinion,” she says. “There are other people in the community who’ve not expressed their interest and that’s what we want to hear from.”

Council leaders won’t commit to ending the program, saying they want to hear first from the consultant they hired to evaluate its cost.

One Comment

  • Anne Marie Lewandowski says:

    Was the mayor upset when the city was getting 16 to 20 percent interest on the DROP money and only paying out 4.5 percent? Where is the fair and balanced reporting on the issue?

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