The CalPERS board will vote later this month on when to start asking the state and local governments to increase their annual contributions to offset the added cost of people living longer. CalPERS staff recommends waiting two years, but Governor Jerry Brown says that’s unacceptable.
“He wants CalPERS to account for the changes immediately so the state can start paying those costs today, rather than push off the costs into the future,” says Jim Evans in the governor’s press office.
Starting now would cost the state an extra $1.2 billion a year.
The governor’s sense of urgency over CalPERS differs from his stance on the teachers’ pension fund’s $70 billion unfunded liability. In his January budget proposal, Brown called for no action on CalSTRS until 2015 (see pg 6 of the linked file). But last week, Assembly Speaker John Pérez said he’d push for legislation this year – and in response, the Brown administration said it’s “ready to go to work.”
Democratic Senate Leader Darrell Steinberg wants to exempt vehicle fuels from California’s cap-and-trade system, which they’re currently set to enter next year. Instead, he wants a carbon tax at the gas pump.
Affordable housing projects in California lost their most reliable funding source when the state dissolved redevelopment agencies a couple of years ago. Now, there’s growing support to find money for affordable housing once again.
Governor Jerry Brown says California’s different regions make it hard to develop water policies that would satisfy the entire state. Meanwhile, a lawmaker wants to quintuple state funding to the California Arts Council.
Governor Jerry Brown has landed a big win in court. The three judge panel overseeing state prisons has given the Brown Administration an additional two years to downsize the inmate population by another 5,000 inmates.
California is “in the money” once again with January revenues surpassing Governor Jerry Brown’s budget estimates.