Posted on 02/21/2007 9:28:47 AM PST by NormsRevenge
Gov. Arnold Schwarzenegger and legislative leaders Tuesday announced appointments to a commission that will report on how the state and local governments can meet the costs of providing pensions and health care to retired public employees.
Gerald Parsky, an investment executive and former chair of the University of California Board of Regents, will head the 12-member panel, the Governor's Office said.
The governor's other appointees, all Republicans, will join union leaders and pension experts appointed by Democratic legislative leaders.
Schwarzenegger's Finance Department estimates the state would need to invest an additional $44 billion to meet its pension obligations to all current state employees.
Anne Sheehan, chief deputy director of the Finance Department, said that's not an emergency: The state has enough money invested in pensions to cover about 86 or 87 percent of the total obligation.
"I like being closer to at least 90 percent," said Sheehan, who will serve as executive director of the commission, which the governor created by executive order at the end of last year.
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The Legislature's nonpartisan budget adviser last year said it would cost the state about $5 billion more annually ...
New national accounting standards that take effect this year require local and state governments to calculate and disclose future health care costs. Those costs are rising rapidly because retirees are living longer and health care prices are outpacing general inflation.
State employee unions have questioned whether the state and local governments are facing a real fiscal crisis. Union leaders have suggested that the issue is being manufactured so that the state has an excuse to cut back on benefits to retirees.
"We are hoping it doesn't become just a public-employee bashing issue," said J.J. Jelincic, president of the California State Employees' Association.
(Excerpt) Read more at sacbee.com ...
Gerald Parsky, an investment executive and former chair of the University of California Board of Regents..
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He did a real bang-up job at UC.
Schwarzenegger's Finance Department estimates the state would need to invest an additional $44 billion to meet its pension obligations to all current state employees.
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"Invest"?? You mean tax out of the public -- let's see with $70 BILLION in debt on the table now, should we add this $44 BILLION to it ???
Hey Arnie? "Is the credit card full yet??"
It's also rising rapidly because many, if not most, of these employees have been granted outrageously lucrative retirement packages.
Nah... he wants another $50 billion or so for Phase II of his "Rebuild California" program.
He won't be done until your wallet is empty.
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