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.”
July 7, 2014
Four months after Governor Jerry Brown and Democratic lawmakers announced “emergency drought legislation,” the vast majority of the money sits untouched.
June 24, 2014
School districts, teachers and state taxpayers will each chip in more money to stabilize the California State Teachers Retirement System under a measure signed Tuesday by Governor Jerry Brown.
June 16, 2014
Democrats are lauding the passage of California’s $156 billion budget while Republicans say state spending is becoming excessive.
June 13, 2014
California Governor Jerry Brown and Democratic legislative leaders say they’ve reached a final budget deal.
June 12, 2014
California Governor Jerry Brown and Democratic legislative leaders have yet to announce a state budget deal – even though many of their compromises have been ratified by a joint Senate-Assembly conference committee
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