PDA

View Full Version : California's $500-billion pension time bomb




WayBehind
04-06-2010, 04:40 PM
http://www.latimes.com/news/opinion/la-oe-crane6-2010apr06,0,6247734.story

Excerpt:

The staggering amount of unfunded debt stands to crowd out funding for many popular programs. Reform will take something sadly lacking in the Legislature: political courage.
By David Crane

The state of California's real unfunded pension debt clocks in at more than $500 billion, nearly eight times greater than officially reported.

That's the finding from a study released Monday by Stanford University's public policy program, confirming a recent report with similar, stunning findings from Northwestern University and the University of Chicago.

To put that number in perspective, it's almost seven times greater than all the outstanding voter-approved state general obligation bonds in California.

Why should Californians care? Because this year's unfunded pension liability is next year's budget cut to important programs. For a glimpse of California's budgetary future, look no further than the $5.5 billion diverted this year from higher education, transit, parks and other programs in order to pay just a tiny bit toward current unfunded pension and healthcare promises. That figure is set to triple within 10 years and -- absent reform -- to continue to grow, crowding out funding for many programs vital to the overwhelming majority of Californians.

foofighter20x
04-06-2010, 05:24 PM
California deserves to implode.

ChaosControl
04-06-2010, 05:40 PM
Maybe we'll just sell it to China.

payme_rick
04-06-2010, 05:42 PM
California deserves to implode.

What sucks for you is they'll seek refuge in Oregon...

Stary Hickory
04-06-2010, 06:27 PM
Clueless libs ruining more people's lives with false promises. Is it moral to promise people a free ride when they are old, only to reneg on it after it's too late to save and plan?

Such humanitarians. Their answer will be to steal, rob, and spread more misery.

torchbearer
04-06-2010, 06:29 PM
Clueless libs ruining more people's lives with false promises. Is it moral to promise people a free ride when they are old, only to reneg on it after it's too late to save and plan?

Such humanitarians. Their answer will be to steal, rob, and spread more misery.

YouTube - Penn & Teller: Bullshit! Explain Wealth Redistribution (http://www.youtube.com/watch?v=pz2p4EQtEXs)

Danke
04-06-2010, 07:18 PM
.
Why should Californians care? Because this year's unfunded pension liability is next year's budget cut to important programs.

No mention of just cutting the pensions. (I know, may be difficult and they may have to declare bankruptcy).

tangent4ronpaul
04-06-2010, 07:22 PM
The unfunded mandates in the HC bill will sink them.

-t