California Pension loophole to be closed

The Sacramento Bee reports:

The Schwarzenegger administration moved Tuesday to close a loophole in state pension law that allowed some retiring state firefighter managers to receive pensions that were larger than the salaries they earned while they were working, a spokeswoman for the Department of Personnel Administration said.

The loophole opened at the beginning of the year when the state changed the pension formula for rank-and-file firefighters, but not for managers, under an agreement signed with former Gov. Gray Davis five years ago. The legal change allowed some supervisors who had formerly worked as firefighters to qualify for pensions that could exceed their salaries.

About a dozen firefighter supervisors who have retired since the beginning of the year were affected, with some earning as much as 115 percent of their salaries, state officials said.

Do you know anyone in the private sector getting that?