Pittsburgh's pension system is the most underfunded among systems in the state and is likely among the most underfunded in the country, according to municipal analysts.

Pittsburgh would have to pay $2.6 billion to $3.6 billion over the next 30 years to shore up its public pension fund if the city fails to meet a state funding minimum by the end of the year, city council members were told Thursday.

The city's retirement system currently has only 28% of the assets it needs to cover its obligations; if it cannot raise that to 50% by Dec. 31, Pennsylvania law will require the state to take over the retirement system and compel Pittsburgh to make the payments needed to assure pensions for 8,000 active and retired employees.

Reaching the 50% threshold will require about $220 million, equivalent to about half of the city's annual budget. Making the payment from the general fund would result in painful consequences for city residents, such as loss of services or higher taxes.