State Senate bill nail in the coffin for pension reform

Citing extreme and unsustainable costs, the metropolis of Placentia withdrew from the Orange County Fire Authority and established its private fireplace division.

The fireplace division is now up and working. The metropolis expects to save hundreds and hundreds of 12 months, thanks in half to its functionality to provide outlined contribution retirement plans to new firefighters.

Naturally, firefighter unions can’t stand the thought-about a metropolis offering firefighting jobs with one thing other than an unsustainable and very pricey outlined revenue pension.

On Monday, the California state Senate voted 30-6 in the assist of Assembly Bill 2967, launched by Assemblyman Patrick O’Donnell, D-Long Beach, to cease cities from taking comparable movement.

“The bill clarifies that a public agency may not amend its contract with CalPERS to exclude groups of employees that were previously included under that contract,” reads the author’s assertion. “Selectively limiting access to CalPERS robs entire classes of employees, including critical public safety workers like firefighters, of the pension benefits and financial security they deserve.”

Groups like the League of California Cities, the California Special Districts Association, and the California State Association of Counties countered that what the bill would really do is “prohibit cities, special districts, and counties contracted with CalPERS from exploring novel and innovative operational structures in the future.”

They’re correct.

Especially amid the coronavirus pandemic, with all of its recognized and projected impacts to native authorities revenues, AB2967 solely serves to lock native governments into preparations that had been an increasing number of unsustainable even in good cases.

“When the pension meltdown finally arrives, many will look at this bill, should it pass, as one of the nails in the coffin,” talked about Sen. John Moorlach, R-Costa Mesa, on the Senate flooring.

He’s correct.

We understand that public-sector unions want to defend their unaffordable benefits in any respect costs and that CalPERS wishes as little innovation as attainable. But what’s correct for public sector unions is all too often at odds with the needs of the taxpaying public.

Be the first to comment on "State Senate bill nail in the coffin for pension reform"

Leave a comment

Your email address will not be published.