No easy fix for Calif. teacher pension crisis
By Chris Megerian, Los Angeles Times
WEST SACRAMENTO — When the glass-sheathed headquarters of the California teachers’ pension fund opened five years ago, it was supposed to help anchor developments along the blighted riverfront on the capital’s outskirts.
But as Jack Ehnes, the fund’s chief executive, looked out from a top-floor conference room on a recent afternoon, he could see patches of empty land where nothing had been built.
Construction plans, he said, took a huge blow from the recession.
The same could be said of the California State Teachers’ Retirement System, or CalSTRS, which Ehnes has run for more than a decade. Today, the pension fund is one of the biggest financial problems in a state with more than its share of money woes.
Perhaps the most critical and important issue facing the State of California and not a single comment from anyone…. hmmmm.
Here some news;
Do you remember Tim Draper the venture capitalist that lead the fight for vouchers back in the 90’s?
If his efforts had prevailed this issue and many others would not exist.
Now Draper is leading the fight to break the state into six parts, each a new state.
A big part of the goal is to fix the horrid education system.
Power to the People!
A futile effort? Perhaps, but a spectacular political show for sure.
Breaking away from the swath of California that runs from South Lake Tahoe to San Francisco is the goal. Check out the map. google it.
If you want to sign the petition it should be available shortly.
Again, the government seems to be able to mismanage your money. Build a Taj Mahal, set up a separate organization to handle investments of your money, and then watch the capital bleed away.
My IRA made 24% last year, why didn’t this pension fund? I’m no investment expert but I hire people who are.
The legislature increases benefits but isn’t required to identify the money to pay for it. Why not hold them responsible?
If the State wants results they should hire a company to manage the investments and hold them responsible for results. Don’t put them on your payroll as employees but subcontract out the service and only pay for what you get.
How ironic teachers getting a lesson in basic arithmetic.
CJ. Drapper? Really? His “efforts” were soundly DEFEATED! His voucher ballot measure lost with 79% of of the vote in 2000. Now, Tim wants to split California into Six States. LOL!
According to the article, Teachers don’t get Social Security. Average retirement at 62 is $3800 per month. CalStrs is solvent for 30 years. Some “crisis.”
rock4tahoe,
The article is misleading on the retirement payout, There are two payouts to teachers and most government employee retirement plans. One is the pension, the other is health care payment outside the pension.
The article only gave you one of the income figures, the pension.
Second, teachers retire on average at Age 62, how come us regular folks have to work to age 67? It also points out that they get a bonus if they work to the age us regular folks have to work too.
Add to that the fact that it is only a 3/4 time job, and you have a fairer understanding of the compensation. Making that adjustment their Pension Pay alone is the equivalent of $5,200 not including healthcare.
If Vouchers had won back in the 90’s we would have a much better education system in place but the education community lied and deceived the public and the citizens are worse off for it. My douce on this is me, been there done that.
From here it gets worse.
CJ. US Congress Members worked 113 Days last year with full pay and benefits. In my opinion, they did absolutely nothing for their pay or benefits. Teachers on the other hand deal with kids and older kids (parents) along with their problems all the time. I think they are paid accordingly. “Worse” is subjective.