California public pension shortfall one of nation's largest
Last edited Mon May 8, 2017, 05:25 AM - Edit history (1)
Throughout California, local government and school district officials are writing new budgets and confronting rapidly rising costs of pensions.
Many have seen their costs double in the last few years, largely consuming revenue increases that the state’s expanding economy have produced. For instance, a projected $1 billion increase in school districts’ teacher pension costs in 2017-18 will more than equal projected revenue gains.
However, as the old rock song says, “You ain’t seen nothing yet.”
Lackluster earnings by pension trust funds, revised actuarial projections and impacts of benefit increases are compelling the systems to sharply increase mandatory “contributions” from public employers.
Nevertheless, pension systems have seen their “unfunded liabilities” continue to increase – giving California one of the nation’s widest gaps between earning assets and pension obligations.
Read more here: http://www.fresnobee.com/news/politics-government/article148198789.html
