The Compensation Monster Devouring Cities

The national media (as well as many policy experts) have focused on state budget battles, like the one in Wisconsin between Governor Scott Walker and public-employee unions. But the truth is that Americaâ??s problem with government-worker costs is disproportionately a local issue. In the typical city, town, or school district, compensation costs generally range from 70 to 80 percent of the budget. Those compensation costs have soared over the years.