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Providence Mayor Angel Taveras got an early Christmas present on Thursday from Moody Investors Service.In a research note, Moody analyst Tom Compton praised the tentative settlement on pensions and retiree health benefits that Taveras has sac louis vuitton occasion negotiated with the city unions and retired workers. The police and fire unions, as well as the two department retirees, have all voted to approve the deal.changes offer significant relief to the highly leveraged and fiscally stressed city, Compton wrote. It will reduce the fixed costs pensions, retiree health benefits and debt service that made up about 22% of Providence operatingfund spending in 201112.of louis vuitton pas cher this settlement marks another achievement by Providence in altering existing contractual agreements with active employees and retirees, he wrote. expect it louis vuitton pas cher to set a precedent that other struggling Rhode Island cities and towns can follow. He called the Taveras administration process of negotiating under court oversight effective tool to manage the rapidly growing expenditures. ability to reduce the [pension] liability will be critical to the city longterm credit strength, he said.The deal provide immediate and longterm budgetary relief to Providence even though the reductions significantly less severe than those ordered in Central Falls, according to Compton. It will reduce annual pension costs by 25% and annual medical benefit costs by 13% from the previous year level.Moody pegged the 201213 savings from settlement at $22.5 million: $18.5 million from the pension changes louis vuitton pas cher and $4 million from the retiree health changes. The deal will reduce the city unfunded pension liability by $170 million, or 19%, and cut medical costs by $40 million over the next decade. Moody did not estimate the reduction in Providence unfunded liability for retiree health care.