A $2.5 billion pension tsunami in San Mateo County

By Chuck McDougald | Daily Journal — Gov. Jerry Brown is proposing deep cuts in health and welfare programs and warning of cuts to schools, universities and courts if voters refuse to pass tax hikes in November. Taxpayers might find that odd, given that this year’s projected tax revenue is flat or even slightly higher than last year.

Same or higher tax revenue, but draconian cuts in the budget. What are we missing?

Missing from Brown’s cuts versus taxes propaganda are pensions for state workers. A pension tsunami is rolling over California taxpayers, destroying all budgets in its path. Years of out of control pension grabs by politicians, unions and complicit managers have left California taxpayers on the hook for close to half a trillion dollars in unfunded state pension liabilities, according to a recent Stanford University study.

State, county and city budgets are also drowning in pension red ink. San Mateo County is one of the worst offenders. According to a study by Northwestern University’s Kellogg School of Management, our county’s taxpayers owe close to $2.5 billion in unfunded pension liabilities for current and future retirees. Read the entire op-ed . . .

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