CalPERS still hasn’t issued their actuarial analyses for the period ending 6/30/2018, even though a year ago, the 6/30/2017 analyses were available. Could it be related to the fact that the DJIA index on 10/01/2018 was 26,447 and as of midday 10/01/2019 it sits at 26,599? Did CalPERS have a bad year and what does that mean? What...

here Pick a city in California. Pick a county in California. Odds are, they could be the topic of this analysis instead of Richmond. But Richmond is the focus of a recent analysis published in Reason entitled “Richmond, California’s Finances Remain Shaky,” and that work provides solid data from which to take a deeper look at what’s truly driving...

California Governor Gavin Newsom has agreed to give state prison correctional officers a 3 percent raise. According to the Legislative Analyst’s Office, there is “no evident justification” for this raise. A recent article in the Sacramento Bee summarizes portions of the LAO report, writing “The last time the state compared state correctional officers’ salaries to their local government counterparts,...

Every two years in November, California’s local agencies ask the voters to approve hundreds of new taxes and bonds. California’s primary ballot every other June also features dozens, if not hundreds of new requests for local tax increases and borrowing. And in times of dire urgency, special elections are called. For example, this Tuesday, June...

As reported by the Ventura County Star, the City of Oxnard faces budget headwinds. Quoted in the article, Mayor Tim Flynn had this to say: We’re making decisions that should have been made 10, 20 years ago to put the city on a sustainable path,” Flynn said. “These are very painful cuts, but we have to...

Earlier this week the California Supreme Court ruled in the case CalFire vs CalPERS. The case challenged one of the provisions of California’s 2014 pension reform legislation (PEPRA) which had eliminated the purchase of “Airtime.” This was the practice whereby retiring public employees could purchase “service credits” that would lengthen the number of years they worked,...

The typical analysis of state and local government finances is that they are primarily a function of the economy. When the economy is growing well, and especially when it is growing faster than expected, local and state government finances prosper. When the economy grows, more people are employed and employees have larger paychecks. State income...

Sacramento — In the preamble to California’s Ralph M. Brown Act, the state’s 1953 law governing the public’s access to government meetings, the Legislature noted, “The people of this State do not yield their sovereignty to the agencies which serve them.” Likewise, the people “do not give their public servants the right to decide what is good for the...

Sacramento It’s rare that a politician will say something that is praiseworthy and anger-inducing in the same breath. Nevertheless, Gov. Jerry Brown accomplished that unusual feat when he released his May revised budget, and told cities that the state government isn’t in a position to help them with their soaring pension costs. “They have to...