Friday, November 22, 2013

Maybe the Regents Finally Got the Attention of the Governor on the UC Pension Issue

We noted in a post yesterday that the LAO was forecasting rosy budget times ahead for the state but nonetheless seemed to want a budget freeze for UC.  Today, the news media are full of statements by Gov. Brown warning the legislature not to party and to behave frugally. 

We also noted in prior posts on the recent Regents meeting that the Regents were somewhat bolder with the governor.  After the usual thank-you-thank-yours for Prop 30, they passed a budget proposal with more money than the governor wanted and pointed especially to the imbalance whereby the state automatically funds the CSU and community college pensions via CalPERS, but not UC's pension.

Maybe, just maybe, the pension message is beginning to penetrate.  From the Sacramento Bee:

...Brown said he has a “lot of optimism about this state. I mean, I would have never thought we could go from financial instability to stability and surplus, and we can do that.”
But he said significant financial concerns remain. “We have deferred maintenance on our roads, that is serious, we have unfunded and growing liabilities in our pension and retiree health – state, university and local level,” Brown said. “That’s real.” ...

Full story at

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