It’s called the unfunded liability. From 2012 to 2013 it grew by $730 million.
That’s actually less than expected because there have been fewer health care claims and health care inflation was lower than expected.
But State Controller John Chiang says the state should stop covering only the minimum amount needed to fund health care costs as they are due.
Instead, some money should be set aside in a trust solely for future retiree benefits, just like a savings account.
Chiang says the state could save more than $20 billion by pre-funding its obligation.
“Get the benefit of some interest and you will grow your money, same thing for trying to take down the health care obligations for the state of California," says Chiang. "If you can’t make full payment, let’s make some payment and make the tax obligations that are going to be used in the future drop significantly.”
Latinos make up the largest segment of California’s population. Yet they have one of the smallest voter representations. One organization is trying to change that equation.
California ended its fiscal year with a surge in revenues. The Department of Finance reports California exceeded revenue projections for the fiscal year by $732 million.
You may soon be able to buy a bottle of your favorite craft whiskey when you visit a distillery tasting room in California.
A bill in the California Legislature that proposes sweeping changes to the state’s Public Utilities Commission passed an Assembly committee today.
The alleged murder of a San Francisco woman by an undocumented immigrant with a criminal history has revived a debate in the California Capitol over sanctuary cities.