A Surplus of Nonsense in the Governor’s Latest Budget

By John Moorlach
There are two big days for a California governor, January 10 when the budget is presented and the May Revise when a few months of additional data and debate have passed. They’re both political documents, allowing governors to play with numbers. Few governors have been as sporting in that enterprise as Gavin Newsom. Last week,...

TAGS: California budget, John Moorlach, pension

Red Flags: New Study Offers Grim Warning for California Pension Funds

By California Policy Center
For Immediate Release July 12, 2016 California Policy Center Contact: Will Swaim Will@CalPolicyCenter.org (714) 573-2231 Stock market overvaluation will lead to ‘major correction,’ trigger benefits cuts and tax hikes SACRAMENTO, Calif. – There are more red flags for public-sector pension funds that rely on stock investments for most of their income, a new California Policy Center...

TAGS: California, CalPERS, Edward Ring, pension

Comparing Fresno City and County Pension Systems

By California Policy Center
As the Fresno Bee recently reported, the city of Fresno’s pension systems are in much better financial shape than the Fresno County Employees’ Retirement Association (FCERA). As of June 30, 2015, the city’s two systems reported a combined $349 million of assets (at market value) in excess of actuarially accrued liabilities. By contrast, FCERA’s assets...

TAGS: Fresno County, pension

Sonoma and Marin county officials voted to hike their own retirement pay

By California Policy Center
For Immediate Release April 29, 2016 California Policy Center Contact: Will Swaim Will@CalPolicyCenter.org (714) 573-2231   Retroactive pension bump likely violated multiple state transparency and accounting laws Sacramento — County supervisors members and other senior county officials in Marin and Sonoma may have violated state law when voting for massive retroactive pension increases for themselves and...

TAGS: pension, Section 7507

CalPERS Spends $50 Million on Investment Advisors, Underperforms Market by 67%

By Robert Fellner
The California Public Employees’ Retirement System (CalPERS) spent nearly $50M on their investment advisors in 2014, despite producing a dismal 2.4% investment return – 67% lower than what the market returned over the same time, as measured by the S&P 500. CalPERS’ 275 investment officers and portfolio managers cost taxpayers $49.27 million, with chief investment...

TAGS: pension

University of California Hikes Tuition to Fund Soaring Pensions of up to $350,000 a Year

By Robert Fellner
The University of California (UC) is implementing major changes to their retirement system to address its $12.1 billion unfunded liability, which has been cited as the driving factor behind recent tuition hikes. The proposed changes include a cap on pension benefits and the possibility of offering a 401(k) defined contribution plan to new hires. Looking...

TAGS: pension, Public sector pensions, university of california

Over 8,000 LA County Retirees Made at Least $100K in Pension Pay as Taxpayer Cost Soars

By Robert Fellner
Last year, 8,088 retirees in the Los Angeles County Employees’ Retirement Association (LACERA) received yearly pension and medical benefits packages worth at least $100,000, a more than 11% increase from the previous year, according to Transparent California’s recently published 2014 pension data. At the same time, the employer’s annual required contribution – the cost borne by taxpayers...

TAGS: Los Angeles County, pension