San Bernardino To Defer CalPERS Payments Amid Ch. 9 Woes

Law360, New York (October 30, 2012, 5:30 PM EDT) -- The City of San Bernardino, Calif., will defer a part of its payments to the California Public Employees’ Retirement System in efforts to reduce costs as it negotiates through a roughly $46 million budget shortfall amid mounting obligations to its creditors, the bankrupt city said Monday.

The city, which first deferred its CalPERS payment the day before its Aug. 1 Chapter 9 petition in California bankruptcy court, said that only the employer portion of the payment has been pushed and that CalPERS benefits for current and...
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