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California teachers pension plan has $64 billion deficit

Original post made by watching, Another Pleasanton neighborhood, on Feb 4, 2013

Good report out by CalSTRS (California Teachers Retirement System), available at: Web Link , indicates the CalSTRS system has a $64 billion deficit now. And guess what, the taxpayers are once again on the hook for this should the fund run out of money, which they say will happen in 33 years if nothing is done. It also states the longer the legislature ignores the problem, the harder it will be to make solvent.

Even the Legislature budget analyst went after Governor Brown's " balanced budget" since it did nothing to address the CalSTRS (Teachers Retirement System) or CalPERS (Public Employee Retirement System).

In addition to all of the unfunded liability issues at the State level, we have our own problems in Pleasanton with underfunded retirement funds as well as underfunded retiree medical plans. Even with the changes to the employee union contracts at the city, our unfunded liability has increased. If our council does not do something shortly, are services will keep dwindling down so that we can make the payments for the retirees. The city should be showing the fully burdened cost of employees, not just what they are paying out. It is so hard to get from them what it really is costing us for the employees if we did pay the actuarial costs of these retirement plans.

Comments (10)

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Posted by Very Alarmed
a resident of Another Pleasanton neighborhood
on Feb 4, 2013 at 10:34 pm

Oh my gosh! Keep watching, and then fill us in in another 33 years, if nothing is done. We'll be waiting for your report.

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Posted by lessismore
a resident of Amador Valley High School
on Feb 5, 2013 at 8:41 am

This is not just a problem with the teacher union but all of state and city unions.

Said to say but most people do not get it or do not care. Each time someone wants to fit the problem the teacher or fire unions spends millions on add on how the big bad GOP is picking on this helps school teacher.

It easy to fix.
1) make cut to the programs
2) raise our taxes to cover the cost
3) Let the state go bankrupt.

I would my kids to be able to live in this state, but it could be come more difficult. Some of this problem need to be fixed, but as long as the DEM or run the state are in bed with the unions this problem will not be fixed.

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Posted by liberalism is a disease
a resident of Birdland
on Feb 5, 2013 at 9:19 am

liberalism is a disease is a registered user.

Substitute CalSTRS with Social Security in this article and let's see if 'very alarmed' wakes up and realizes the dems have mortgaged his future.

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Posted by local
a resident of Another Pleasanton neighborhood
on Feb 5, 2013 at 11:28 am

"Very Alarmed" says "Keep watching, and then fill us in in another 33 years"

Just great. Charge everything now and give the bill to our kids... Sounds like this might be a union rep saying "Give me everything now as I will not be here in 33 years and don't care what happens then as long as I get mine now."

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Posted by Very Alarmed
a resident of Another Pleasanton neighborhood
on Feb 5, 2013 at 12:03 pm

Old you-know-whats worried about 33 years from now. Yeah, I bet. I wonder where they were during the Reagan and Bush years of steep deficits? Oh, under a rock? Thought so! Then along came Bill Clinton.

An improved economy, increased revenue streams, and some necessary tax hikes for the wealthy and the problem is fixed. But the old you-know-whats refuse to acknowledge possibility of an improved economy (unless they can somehow distort it as a Republican contribution, which they can't), are mum on the reality of increased revenue streams (which comes from an improving economy), and are too morally deficient to acknowledge how the wealthy should be paying higher taxes.

So, simpletons, let's pretend that nothing good will happen over the next 3+ decades. Check back in 33 years and tell us how that's workin' for ya.

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Posted by Very Alarmed
a resident of Another Pleasanton neighborhood
on Feb 5, 2013 at 6:02 pm

Boy, that gunk just spills out from you as if you can't prevent it. Get help.

Apologies to PW Editors. I sincerely hope you don't find my response inappropriate. I considered citing some academic sources that would shine light on how Tell's comments are racist, and perhaps too arguing that racism is still alive and kicking. But I realize you might find such offensive. Happy Black History Month!

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Posted by Sam
a resident of Oak Hill
on Feb 5, 2013 at 6:40 pm

Don't waste your time on him. Just tune him out.

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Posted by Rob
a resident of Another Pleasanton neighborhood
on Feb 6, 2013 at 9:46 am

Don't fear for our children's future. Just don't bet on the dollar!

Let the Euro and the Yen guide your financial future. The dollar will be extinct in 33 years. But we'll still be living here either retired, working, or raising kids playing sports or marching band....all the while buying our groceries with a Yen-based ATM card!

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Posted by Lockem Up
a resident of Another Pleasanton neighborhood
on Feb 6, 2013 at 11:54 am

CalSTRS has a big deficit because State Government has been robbing the fund, and not contributing to the fund. The Democrats that have absolute control of the State Government should be locked up in San Quentin for Grand Theft. Now, once again, the taxpayers will be stuck with the tab.

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Posted by Cholo
a resident of Livermore
on Feb 7, 2013 at 1:01 pm

Teachers work hard and receive minimal compensation. They deserve every penny that they earn.

If you're so dissatisfied with American teachers, please consider moving back to your ancestors cave. Maybe you would love Texas!

happy trails...

Sorry, but further commenting on this topic has been closed.

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