The California Public Employees Retirement System (CalPERS) is proposing an idea to reduce its estimate about how much money the fund's investments are projected to earn in future years which may drop the discount rate assumption from 7.75% to just 7.5%.
According to an Associated Press article released today, the small reduction in the discount assumption rate would ultimately require the State and other employees that are covered by the CalPERS program to increase the amount of money workers pay into the pension fund, which is estimated to be around $200 million.
And as usual any change to public pension reform will put the tax payers on the hook. In this particular situation, it looks as though tax payers will have to front more money allocated to public workers. Why you may ask? The CalPERS program admits that by reducing the assumed rate of investment, it has the effect of "increasing contributions to employers."
In other words, government agencies use tax money to pay themselves and cover their benefits. No surprise, business as usual.
Meanwhile, the State is faced with a $25 billion budget deficit. Governor Jerry Brown's current budget proposal that is waiting in the wings of the State Legislature, included specifics on CalPERS lowering the discount rate. Instead of actually doing something meaningful, like they are in Wisconsin or New Jersey, our State has to remain committed and loyal to the public workers.
Tomorrow, the Board of Directors for CalPERS will consider the change. As it stands now, the pension fund deficit is estimated to be $75 billion.
You think it is high time for California to get serious about pension fund reform?
Short answer: Yes!
Showing posts with label governor jerry brown. Show all posts
Showing posts with label governor jerry brown. Show all posts
Monday, March 14, 2011
Thursday, March 10, 2011
California redevelopment agencies misuse tax money
Money was apparently misused last year by 18 redevelopment agencies, according to a California State Audit that was released on Monday.
Redevelopment agencies in California receive roughly $5.5 billion a year to beautify areas and build low to moderate income housing, and several of these so-called agencies claim that they produced jobs last year.
$5.5. billion of tax payer money, has nothing to do with actually creating jobs. Far from it.
According to an article released by Southern California Public Radio, the State Controller's office found that 10 out of the 18 agencies failed to verify their claims that they "created" jobs; failed to provide transparency and keep proper accounting records and misused money that was supposed to be spent on building housing. Instead, this money went to cover administrative salaries, in some cases more than 20% alone.
The head of the California Redevelopment Association, John Shirey, calls the audit "politically motivated". What's motivated about this Mr. Shirey is that many public workers simply used millions of dollars on themselves, without any consideration to the people that are actually paying their salary and to create work in a state agency, designed to build public housing.
As for the creation of jobs, Shirey insists California Redevelopment has created hundreds of thousands jobs. Yes, to be sure. Hundreds of thousands of jobs to pay the salaries to redevelopment freeloaders. Yet, nothing has been said about the creation of private sector jobs in the State of California.
Maybe Mr. Shirey doesn't realize that California is fundamentally bankrupt and has a $25 billion budget deficit and our unemployment is 12.4%. Governor Brown has called for cuts in discretionary spending. I wonder if that would have included this outrageous junket by redevelopment workers of misusing tax money to pay themselves.
I'd be curious to know why Mr. Shirey believes these entitlements are okay for public workers to misuse tax money while the State continues to suffer everyday from budget and unemployment problems.
Redevelopment agencies in California receive roughly $5.5 billion a year to beautify areas and build low to moderate income housing, and several of these so-called agencies claim that they produced jobs last year.
$5.5. billion of tax payer money, has nothing to do with actually creating jobs. Far from it.
According to an article released by Southern California Public Radio, the State Controller's office found that 10 out of the 18 agencies failed to verify their claims that they "created" jobs; failed to provide transparency and keep proper accounting records and misused money that was supposed to be spent on building housing. Instead, this money went to cover administrative salaries, in some cases more than 20% alone.
The head of the California Redevelopment Association, John Shirey, calls the audit "politically motivated". What's motivated about this Mr. Shirey is that many public workers simply used millions of dollars on themselves, without any consideration to the people that are actually paying their salary and to create work in a state agency, designed to build public housing.
As for the creation of jobs, Shirey insists California Redevelopment has created hundreds of thousands jobs. Yes, to be sure. Hundreds of thousands of jobs to pay the salaries to redevelopment freeloaders. Yet, nothing has been said about the creation of private sector jobs in the State of California.
Maybe Mr. Shirey doesn't realize that California is fundamentally bankrupt and has a $25 billion budget deficit and our unemployment is 12.4%. Governor Brown has called for cuts in discretionary spending. I wonder if that would have included this outrageous junket by redevelopment workers of misusing tax money to pay themselves.
I'd be curious to know why Mr. Shirey believes these entitlements are okay for public workers to misuse tax money while the State continues to suffer everyday from budget and unemployment problems.
Monday, February 28, 2011
Jerry Brown should take a lesson from Scott Walker
California Governor Jerry Brown is continuing to push for more taxes, something that would most likely become nothing more than a burden for just about everyone in the State.
The Los Angeles Times reported on Friday that Governor Brown is insisting on pushing for a $25 billion cut in State services, if voters do not approve more taxes. Of course there is already more bickering up in Sacramento, as Democrats act like a bunch of rubber stamps anyway and a majority of Republicans signed a tax pledge last year vowing to vote against any tax hike period. However there are some Republican State Senators that Governor Brown says he can win over.
I guess some Republicans are able to show their true colors as a bunch of back stabbing worms.
But perhaps Governor Brown should take a lesson from Wisconsin Governor Scott Walker. Last week, the Wisconsin Assembly approved a bill to take away union rights. You know, the same unions that receive largely inflated pension funds and huge pay checks? And the same unions that are part of the problem as to why States across the nation continue to suffer financially because the tax payers are on the hook to pay for all of their crap?
It was amazing to finally see politicians do something which usually only receives talk and no walk.
Only if Governor Brown would take note of Wisconsin's unprecedented steps at real union reform, but the problem with Governor Brown is that he protects State unions, not to mention illegal aliens. The two huge factors that play a part in California's escalating financial crisis and yet he refuses to even acknowledge this. To him, it is all about raising taxes on Californians. No other alternative exists.
I wonder if Governor Brown has any conscious at all to the families in California? Thanks to the protests in the Middle East, gasoline prices have begun to skyrocket and if it continues, people will have to start spending less and California already suffers from 12% unemployment. I'd really like to know why Governor Brown thinks it is so necessary to add more fuel to the fire, instead of looking at alternative solutions to solve the problems that have cost this State an arm and a leg for decades now.
Take a lesson from Wisconsin, Governor Brown. At least they're actually doing something.
The Los Angeles Times reported on Friday that Governor Brown is insisting on pushing for a $25 billion cut in State services, if voters do not approve more taxes. Of course there is already more bickering up in Sacramento, as Democrats act like a bunch of rubber stamps anyway and a majority of Republicans signed a tax pledge last year vowing to vote against any tax hike period. However there are some Republican State Senators that Governor Brown says he can win over.
I guess some Republicans are able to show their true colors as a bunch of back stabbing worms.
But perhaps Governor Brown should take a lesson from Wisconsin Governor Scott Walker. Last week, the Wisconsin Assembly approved a bill to take away union rights. You know, the same unions that receive largely inflated pension funds and huge pay checks? And the same unions that are part of the problem as to why States across the nation continue to suffer financially because the tax payers are on the hook to pay for all of their crap?
It was amazing to finally see politicians do something which usually only receives talk and no walk.
Only if Governor Brown would take note of Wisconsin's unprecedented steps at real union reform, but the problem with Governor Brown is that he protects State unions, not to mention illegal aliens. The two huge factors that play a part in California's escalating financial crisis and yet he refuses to even acknowledge this. To him, it is all about raising taxes on Californians. No other alternative exists.
I wonder if Governor Brown has any conscious at all to the families in California? Thanks to the protests in the Middle East, gasoline prices have begun to skyrocket and if it continues, people will have to start spending less and California already suffers from 12% unemployment. I'd really like to know why Governor Brown thinks it is so necessary to add more fuel to the fire, instead of looking at alternative solutions to solve the problems that have cost this State an arm and a leg for decades now.
Take a lesson from Wisconsin, Governor Brown. At least they're actually doing something.
Tuesday, February 8, 2011
Governor Jerry Brown's election a good idea?
California Governor Jerry Brown continues with his wrath of bringing nothing new to California, and wants everyone in the State to vote in a special election to approve his budget deficit plan. Sounds like a coy. Governor Brown also is apparently semi-delusional on this issue since Governor Schwarzenegger asked for basically the same special election last year, which was overwhelming defeated by the people of California.
Yet when you consider that all of the politicians in Sacramento were elected to solve these problems, none of them will admit that they are all part of the problem as to why this State continues to suffer financially.
Since the politicians in Sacramento have no interest in solving real problems, lets give Governor Jerry Brown the benefit of the doubt on his budget deficit plan he wants Californians to vote on later this year.
In this special election, lets throw in the following as a rational solution to solve the $25 billion deficit:
- Vote for a part-time State Legislature that congresses every other year and reduces perks for all of them.
- Vote for an amendment to the California Constitution, which specifies that deficits will not be allowed.
- Eliminate the State Employment by 30%.
- No raises to State employee salaries and benefits, until the budget deficit is reduced to workable levels.
- Eliminate public employee unions.
- Eliminate worthless Governor appointed State boards and commissions that collect hundreds of thousands of dollars, for doing absolutely nothing.
- Eliminate programs that provide benefits to illegal aliens;
- And finally, lets sell or auction off all of that unused property which is owned by the State and is just accumulating depreciation.
What do you think Governor Brown? If this is all on the ballot, we may very well eliminate California's budget deficit entirely!
Yet when you consider that all of the politicians in Sacramento were elected to solve these problems, none of them will admit that they are all part of the problem as to why this State continues to suffer financially.
Since the politicians in Sacramento have no interest in solving real problems, lets give Governor Jerry Brown the benefit of the doubt on his budget deficit plan he wants Californians to vote on later this year.
In this special election, lets throw in the following as a rational solution to solve the $25 billion deficit:
- Vote for a part-time State Legislature that congresses every other year and reduces perks for all of them.
- Vote for an amendment to the California Constitution, which specifies that deficits will not be allowed.
- Eliminate the State Employment by 30%.
- No raises to State employee salaries and benefits, until the budget deficit is reduced to workable levels.
- Eliminate public employee unions.
- Eliminate worthless Governor appointed State boards and commissions that collect hundreds of thousands of dollars, for doing absolutely nothing.
- Eliminate programs that provide benefits to illegal aliens;
- And finally, lets sell or auction off all of that unused property which is owned by the State and is just accumulating depreciation.
What do you think Governor Brown? If this is all on the ballot, we may very well eliminate California's budget deficit entirely!
Thursday, January 27, 2011
Crime wave in 2011?
It has been two years since the stock market crash and a world economic crisis spread. Millions and millions of people not just in America, but all over the world, continue to suffer from unemployment, struggling with no source of income to support themselves and their families and debt. Due to these factors, it brings upon a great deal of stress for many people, and when stress is a problem in a continued economic crisis, people begin to loose it.
In the last few months, there has been an escalation of violence throughout the United States. In September, there was an attempted assassination on Governor Jay Nixon of Missouri but the perpetrator mistakenly attacked the dean of a college, were the Governor was speaking. In Florida, about a month ago, a man opened fire on a school board meeting because his wife had been laid off by the school district. At the beginning of this month, we had the shooting in Tucson on Congresswoman Gabrielle Giffords. In this last week alone, there have been a number of shootings at schools in Los Angeles and eleven shootings on police officers across the country. Also last week in Santa Ana, California, police uncovered graffiti on two separate occasions which had scathing words for a proposed plot to kill California Governor Jerry Brown.
This is disturbing news. Many people may just say that some of this is nothing new or that some people are just 'venting their frustrations'. But if you look at what is happening across the world, people are revolting everywhere from Tunisia to Egypt, and to England and Greece. People are fed up with government and living in terrible times.
Back here in the United States, a new AP survey involving some of the leading economists in the world, say that in 2011, the outlook for economic recovery should be more optimistic. So if this is the case, then in 2011, we should see a decline in crime and more employment, right?
But this is not entirely optimistic. As States across this country continue to suffer from skyrocketing deficits, they'll have to find some way to either raise taxes and push more people to the brink of despair, or implement severe cuts, which will also put people out of work. Some of them of course, can afford not to work, like the ones that have gigantic pension funds.
Across the world, every country seems to be having the same problem, financially and people suffer.
So, due to the continuing severe economic factors, will we start to see a crime wave in 2011?
I'm predicting we will... unfortunately.
In the last few months, there has been an escalation of violence throughout the United States. In September, there was an attempted assassination on Governor Jay Nixon of Missouri but the perpetrator mistakenly attacked the dean of a college, were the Governor was speaking. In Florida, about a month ago, a man opened fire on a school board meeting because his wife had been laid off by the school district. At the beginning of this month, we had the shooting in Tucson on Congresswoman Gabrielle Giffords. In this last week alone, there have been a number of shootings at schools in Los Angeles and eleven shootings on police officers across the country. Also last week in Santa Ana, California, police uncovered graffiti on two separate occasions which had scathing words for a proposed plot to kill California Governor Jerry Brown.
This is disturbing news. Many people may just say that some of this is nothing new or that some people are just 'venting their frustrations'. But if you look at what is happening across the world, people are revolting everywhere from Tunisia to Egypt, and to England and Greece. People are fed up with government and living in terrible times.
Back here in the United States, a new AP survey involving some of the leading economists in the world, say that in 2011, the outlook for economic recovery should be more optimistic. So if this is the case, then in 2011, we should see a decline in crime and more employment, right?
But this is not entirely optimistic. As States across this country continue to suffer from skyrocketing deficits, they'll have to find some way to either raise taxes and push more people to the brink of despair, or implement severe cuts, which will also put people out of work. Some of them of course, can afford not to work, like the ones that have gigantic pension funds.
Across the world, every country seems to be having the same problem, financially and people suffer.
So, due to the continuing severe economic factors, will we start to see a crime wave in 2011?
I'm predicting we will... unfortunately.
Tuesday, January 11, 2011
Ignorance in California Part 3: Governor Brown's plan
Sometimes I think the people in California are honestly re-enacting the movie The Producers. The things that go on in this State are unintentionally hilarious. Or maybe to Governor Brown, they are intentionally hilarious.
Who the hell knows?
Governor Brown has a so-called new plan to solve California's $25 billion deficit crisis. His plan is to ask tax payers to "dig deeper" into their wallets to solve its escalating financial problems. First of all, I need to apologize to any reader of this commentary blog, because I said about a month ago that Governor Brown would propose something like this sometime in his first year as Governor. Well, I had no idea he would do it just days after he was sworn in.
His grim plan includes slashing the state's welfare program, health care to the poor, about a $1 billion cut from both the University of California and California State University institutions and eliminating home health services to elderly citizens.
You may recall during the election, that Governor Brown vowed to only raise taxes if tax payers approved it. So come this June, Governor Brown will be asking tax payers to most likely vote on a measure that would approve these cuts and raise taxes.
Now I had thought that Governor Brown said last month "We've been living in fantasy land..."
I guess he too is living in fantasy land because he seems to forget that just last year, Governor Schwarzenegger had a special election to raise taxes and cut pretty much the same programs. The measure was defeated overwhelmingly by most of California.
Does Governor Brown honestly believe that this will be any different?
Well it might, if you consider that the same ignorant voters in this State that chose to elect him as Governor, will probably continue to be ignorant and go with the flow. Why? Because he is a Democrat.
I'd really like to see the look on every voter's face if and when there is an election and the measure is passed, taxes raised and programs cut. Then you're going to hear all of this whining and complaining from people who can't figure out why they're taxes are so high or why they cannot apply for welfare programs.
Give me a break.
Republicans State lawmakers are vowing against this citing that people cannot afford any higher taxes. Seems quite obvious that Governor Brown is already failing to address the two critical issues that have destroyed this State for many years: The cost of illegal immigration and pension funds and salaries to state employees.
But probably the most hilarious comment that came after Governor Brown announced his plan was from Democratic Senate President Pro-Tem Darrell Steinberg, who is quoted as saying in the Los Angeles Times: "I hate the cuts, but I'm not going to reject the cuts."
This is the same Senator Steinberg that opposed Governor Schwarzenegger's similar budget reductions last year, yet all of a sudden, he is now for them?
Who the hell knows?
Governor Brown has a so-called new plan to solve California's $25 billion deficit crisis. His plan is to ask tax payers to "dig deeper" into their wallets to solve its escalating financial problems. First of all, I need to apologize to any reader of this commentary blog, because I said about a month ago that Governor Brown would propose something like this sometime in his first year as Governor. Well, I had no idea he would do it just days after he was sworn in.
His grim plan includes slashing the state's welfare program, health care to the poor, about a $1 billion cut from both the University of California and California State University institutions and eliminating home health services to elderly citizens.
You may recall during the election, that Governor Brown vowed to only raise taxes if tax payers approved it. So come this June, Governor Brown will be asking tax payers to most likely vote on a measure that would approve these cuts and raise taxes.
Now I had thought that Governor Brown said last month "We've been living in fantasy land..."
I guess he too is living in fantasy land because he seems to forget that just last year, Governor Schwarzenegger had a special election to raise taxes and cut pretty much the same programs. The measure was defeated overwhelmingly by most of California.
Does Governor Brown honestly believe that this will be any different?
Well it might, if you consider that the same ignorant voters in this State that chose to elect him as Governor, will probably continue to be ignorant and go with the flow. Why? Because he is a Democrat.
I'd really like to see the look on every voter's face if and when there is an election and the measure is passed, taxes raised and programs cut. Then you're going to hear all of this whining and complaining from people who can't figure out why they're taxes are so high or why they cannot apply for welfare programs.
Give me a break.
Republicans State lawmakers are vowing against this citing that people cannot afford any higher taxes. Seems quite obvious that Governor Brown is already failing to address the two critical issues that have destroyed this State for many years: The cost of illegal immigration and pension funds and salaries to state employees.
But probably the most hilarious comment that came after Governor Brown announced his plan was from Democratic Senate President Pro-Tem Darrell Steinberg, who is quoted as saying in the Los Angeles Times: "I hate the cuts, but I'm not going to reject the cuts."
This is the same Senator Steinberg that opposed Governor Schwarzenegger's similar budget reductions last year, yet all of a sudden, he is now for them?
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