A review of Milwaukee County pension payouts since 2016 shows the infamous “backdrop” payment passed 20 years ago has cost taxpayers another $58 million, increasing the total bill to $354.4 million, an analysis by Urban Milwaukee has found. But some 800 veteran employees who are still eligible for the backdrop and have yet to retire could increase the total cost to at least $460 million.
These massive costs are the result of legislation passed by the Milwaukee County Board, which awarded lucrative pension sweeteners for non-union (and later union) employees in 2000 and 2001 respectively. The package included a 25% bonus that allowed veteran employees to collect as much as 100% of their final average salary in a pension and an added backdrop which gave eligible employees a generous lump-sum payment. To date 144 employees have gotten a back drop of at least $400,000, with seven getting more than $900,000 and a lucky 14 getting more than $1 million — all in addition to a monthly pension payment.